Private Label Repricer: Insider knowledge that gives you the advantage

Many who want to make a living in online trading tend to believe that selling merchandise is the easiest way to make a profit. However, private label sellers on Amazon know that selling a unique product with special components is often the superior solution. In contrast to merchandise sellers, private label sellers don't have to fight over the BuyBox.

Even when it comes to pricing, they don't have to constantly pay attention to the competition.

Or is it?

Here's a quick overview for those who aren't familiar with the concept of private labeling.

The benefits of an Amazon private label business:

The private label business is not only brilliant, but also simple at the same time. As a private label seller, you buy directly from the manufacturer and then label and market the goods under your own brand name. There is no competition for the BuyBox. You can also benefit from other benefits of selling private brands on Amazon:

The target group and price for the product on Amazon are in the hands of the private label seller. For example, if you sell cat scratching posts, you can either position yourself in the premium segment or in the middle and bottom to appeal to price-conscious cat owners.

As a private brand, you have significantly more opportunities to present your Amazon private label products, as opposed to third-party retailers who sell their products under existing listings. This includes your own branding, individual packaging and promotional material, as well as your own service, which barely differs in quality from Amazon.

This point can also result in a positive customer-seller relationship. Your brand remains visible on Amazon despite the diversity of what's on offer, and the customer is more likely to buy from you again.

Private Label Repricer for Amazon: The Importance of Competitive Pricing

Private label retailers often overlook the diverse functions of a Repricing tools. The initial idea that automatic price adjustments on Amazon are only required for retail goods to secure the buy box with the lowest price falls short of private label products. In reality, a repricer can do much more in this area.

Amazon is saturated with similar or even identical items. Unless you have discovered an unoccupied niche, it is highly likely that your product will also be offered by other retailers. The assumption that “private label products have no competition” is simply wrong.

If you offer an item at a specific price and profit margin, it is likely that other private label sellers with comparable products will sell cheaper. A smart place to start is to make sure that your prices match the current competition for similar products. Especially when it comes to comparable products, consumers tend to opt for the most cost-effective offer.

Dealing with the competition and constantly comparing prices can be time-consuming and tedious, especially if you plan to offer more than ten products. At this point, it becomes clear how beneficial it is to use a Private Label Repricers can be.

How can you optimize your product listing with a private label repricer?

A dynamic repricer offers much more than just constantly reducing the price. The metaprice Repricer presents private label retailers with various strategies to sell their products at competitive prices without neglecting margins. Let's take a closer look at some of these strategies.

Daily push strategy:

Let's say you're a private label retailer who sells cosmetic products. Experience has shown that your target group is running out of supplies of cream or make-up removal pads, either in the morning before work or in the evening before going to bed. During these times, your customers buy these products in a targeted manner, and your turnover fluctuates according to their daily routines. Manually adjusting prices would not only be time-consuming, but also an inefficient use of your resources.

For such products, the daily push strategy could prove to be extremely effective. The metaprice Repricer sets a fixed starting price every day at midnight and continuously optimizes. During periods of low demand, sellers can boost demand by offering lower prices. In times of high sales, on the other hand, profit can be maximized by increasing prices. This dynamic repricing enables sellers to react flexibly to market changes and optimize their profit margins.

Sales-based strategy: Repricing based on sales intensity

Let's stick with the example of cosmetic products: Sunscreen cream is sold more frequently at high temperatures. With rigid pricing, you may miss out on margins. In the private label sector, the Repricer offers a sales-based strategy. The price of a product is adjusted according to the quantity sold in order to influence demand in the long term. For example, the price of a cosmetic product could be gradually increased by five percent per 30 items sold as sales rise.

The rule also works the other way around. In bad weather, sunscreen is bought less frequently. If you sell less than X items per week, prices can be gradually reduced without falling below the minimum price. As soon as the optimal price is found that promises the greatest success, it is maintained until the item becomes more popular again.

And it's all automated. They set the minimum price, the percentage price adjustment up or down, and the sales volume. The price optimization software does the rest for you.

Cross-product repricing compared to competitors:

When it comes to repricing, a comparison with the competition should not be missing. Look for offers from your competitors and allow the Repricer to adjust prices accordingly. A product price set too high can slow down sales, while prices that are too low lead to narrower profit margins. In the example of cosmetic products, for example, if you sell eye pads and have 606 competitors, you can narrow down the competition to 20 competitors. Determine the desired price gap using ASIN.

The metaprice Repricer regularly checks the prices of these products and adjusts your price accordingly. This ensures that you remain competitive. You may even be able to increase your turnover by offering the cheapest offer. Buyers tend to opt for the lowest-priced offer from a selection of similar products.

Conclusion:

Private label sellers on platforms like Amazon have control over their brand, products, and prices. However, staying competitive requires effective strategies and tools. Using a private label repricer such as metaprice can be extremely helpful to dynamically adjust prices, increase sales, optimize profit margins and keep pace with the competition. Metaprice offers various repricing strategies that are tailored to different situations and needs. This article makes it clear that Repricing for private labels Salespeople are not only useful, but essential to be successful in an increasingly competitive online retail environment.