Several retailers buy items from wholesalers to sell those products directly to consumers. Of course, this helps the product brands reach out to more of the final consumers. But how do you make sure to boost your sales and increase profitability when you have other retailers or even the brand selling the same product?

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In this case, pricing becomes one of the crucial factors to leverage and stand out. Starting with monitoring competitor prices and optimising your prices strategically can make a difference.

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But, there are other factors like making the product available across multiple online platforms for easy accessibility for end consumers. Moreover, you also need to optimise your product pages on those platforms.

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In this blog, let’s discuss in detail the steps you can take to stand out when your competition is selling the same products.

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Why Should You Monitor Competitor Prices?

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The first step is to understand the need to monitor competitor prices. Depending on the product value and your marketing, you can set the right prices. You would want to rank higher in the product search, being available in most of the common online B2C marketplaces. Also, the more attention and space you take in the online space, the more customers will visit your page and you’ll have a higher chance of conversion.

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Now, you can couple this with a smart pricing strategy to not only stay competitive but also gain slightly higher profits than the others. Here’s why you need to monitor competitor prices often and how this can help in boosting product revenue.

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Also Read: How to Monitor and Set Optimal Prices of Alternative Products

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1. Gaining Visibility on Marketplaces

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Why exactly should you monitor competitor prices? The simple answer is visibility. On platforms such as eBay and Google Shopping, products are often sorted and displayed based on price competitiveness. By knowing the price points of your competitors, you can strategically price your products to appear on the first page of search results—a critical factor in driving clicks and ultimately, sales.

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Firstly, you would want to rank higher in the product search when customers are looking to buy the item. But, so are the other retailers or brands aiming for. Here, you need to optimise your product description and the pages through clear communication and videos of using the product.

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Also, collecting customer reviews becomes crucial as people trust other buyers' experiences before they confirm their purchase. Likewise, you optimise your presence on the online marketplaces before your audience.

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2. Pricing Above the Lowest Offer

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Now you may ask how monitoring competitor prices can help you set the right prices. While securing a spot on the first page of marketplace search results is important, it doesn’t necessarily mean you have to be the cheapest option available. Pricing your products just 1% to 2% higher than the lowest price can significantly increase your margins without upsetting customers.

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This slight price increase can be the key to enhancing profitability while remaining attractive to shoppers who perceive slightly higher-priced products as potentially offering better value, more authentic, smooth customer service and reliable delivery experience.

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3. Using Smart Repricing Tools

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To maintain the right prices with your direct competitors in the market, it is a smart move to employ an advanced AI-driven repricing engine. This technology allows you to automatically adjust your prices based on real-time market data and competitor pricing strategies.

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With an AI repricing tool, you can ensure that your products are always priced optimally for each sales channel and each country you operate in. This not only helps in maintaining competitive prices but also in maximising your profitability across different market dynamics.

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By monitoring and optimising your prices with these strategies, you can effectively enhance your visibility, attract more customers, and increase revenue, ensuring that your business remains competitive in a bustling online marketplace. You can easily find the right prices for any product using a smart pricing tool like SYMSON’s competitor pricing solution.

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How to Monitor Prices of Competitors Selling the Same Products?

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Effectively monitoring competitor prices is key to maintaining a competitive edge in a crowded market. Here’s how you can keep track of competitor pricing strategies, specifically for products that are identical across different vendors:

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1. Use Product Identifiers for Accurate Comparisons

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The use of European Article Numbers (EANs) is fundamental in comparing identical products across different vendors accurately. EANs uniquely identify a product, ensuring that the comparisons you make are for the same item, not similar ones.

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2. Leverage EAN Search Tools

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Use EAN searches on various tools and platforms that aggregate product data. This allows you to pull up precise information about a product’s pricing across different online retailers and marketplaces.

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Platforms to Consider for EAN Searches:

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• Amazon: As one of the largest e-commerce platforms, Amazon offers a broad perspective on how products are priced globally. An EAN search here can provide insights into both direct competitors and market trends.
• Google Shopping: This tool is invaluable for seeing a range of prices for a particular product across multiple retailers at a glance. Google Shopping’s interface allows for quick comparisons and can help identify pricing patterns.
• eBay and Bol: Especially relevant in European markets, these platforms can give insights into both new and used product pricing, which can be particularly useful for diverse market strategies.

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3. Use Specialised Price Monitoring Software

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Invest in specialised price monitoring software that can automate the tracking of prices across various platforms using EANs. Such software can:

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• Alert you to change prices: Get real-time updates when competitors change their prices, allowing you to react swiftly. Making timely price changes can help you gain the most advantage in the market.
• Analyse pricing trends: Understand long-term pricing trends and seasonality, which can aid in strategic planning.
• Generate comparative reports: Quickly see how your prices stack up against the competition across different regions and platforms.

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4. Regularly Update Your Price Monitoring Data

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The market is dynamic, with prices changing frequently. To ensure your pricing strategy remains relevant, schedule regular reviews of your price monitoring data. Depending on your industry and the volatility of the market, this could be as frequently as daily or as infrequently as monthly. This process becomes even smoother and automatic in price engine software that continuously monitors price changes in the market in real-time.

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5. Integrate Market Insights into Your Pricing Strategy

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Use the pricing insights that you gain from monitoring competitor prices to adjust your pricing strategy. If your competitors lower their prices, decide whether to match, undercut, or maintain your prices based on your market position and strategic goals. Similarly, if competitors increase their prices, consider whether there is room to increase yours or if you should exploit the gap to gain market share.

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By following these steps, you can ensure that your pricing strategy not only responds effectively to competitor movements but also supports your overall business objectives, maintaining a balance between competitiveness and profitability.

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How You Can Gain an Edge in Setting Competitive Pricing Today?

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It’s crucial to tap into advanced Artificial Intelligence in pricing rather than old-school spreadsheets that set you ages back. An intelligent strategy executed on time would help your business gain customer satisfaction and a profitable edge in the market.

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Smart businesses are already using the power of AI pricing in their daily pricing process. You can read here how SYMSON’s pricing tool has helped multiple brands across industries establish sustainable profitability.

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1. Setting the Right Prices at All Times

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It's not always about being the cheapest option. A smart approach is to price your products slightly higher—perhaps 1% to 2% more than the lowest competitor. This strategy can help you earn a better margin while still being competitive enough to attract customers.

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2. Using Advanced Technology like AI for Repricing

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Implement an AI-driven repricing engine to adjust prices dynamically across different sales channels and countries. This technology ensures you always offer the optimal price point based on real-time market conditions and competitor pricing.

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How AI-powered Pricing Helps Manage Large-Scale Operations

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To manage product/service prices for an enterprise business, a strong pricing process should be in place. As the market becomes more dynamic, responses from the companies in changing prices should become more prompt to stay at par.

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The Challenge of Scale

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Now, managing large quantities of products means optimising the prices of more than a million products. Assigning this to even a large pricing team can be inefficient and may reflect errors.

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Imagine managing 10,000 products across 30 sales channels in 10 different countries. This results in approximately 3 million price adjustments every day—a monumental task that requires sophisticated tools and strategies.

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This is where you would need a smart pricing engine to monitor competitive prices and automate the price changes of millions of products to reflect across various online platforms.

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The Importance of Automated Systems

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To handle such a vast operation efficiently, automating the repricing and monitoring process is crucial. Automation not only saves time but also reduces the likelihood of errors, ensuring that your pricing strategy remains consistent and effective across all markets.

In a marketplace crowded with competitors selling identical products, effective price monitoring and optimisation are key to staying ahead. By understanding the competitive landscape through tools like EAN searches and leveraging AI-driven repricing technologies, you can ensure that your pricing strategy not only enhances revenue but also attracts more customers to your store. Stay proactive and adaptive in your approach to remain competitive in a global market.

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