In this video, you'll learn what rule-based repricing is, how to create a strategy, and how to review competition and marketplace-specific settings.
In this video
- Creating a Rule Based Strategy
- Review Target Rank and Buy Box Strategies
- Review Competition Settings
1) Choose a Rule-Based Repricing Strategy
Navigate to our slide out toolbar and select Tools -> Pricing Strategies.
Next, click create pricing strategy. Your first drop down option will allow you to select the marketplace for the newly created strategy. We offer rule-based strategies in one form or another for every marketplace and cart that we integrate with. I‚Äôll use Amazon as an example as it has the most options to choose from.
After selecting Amazon as the marketplace, you will then have the option to select a strategy type. The first strategy option is the Algorithmic Buy Box strategy which is not rule-based. For more information on our Algorithmic Buy Box Strategy, view our tutorial here. The next four options below the Algorithm are all rule-based strategies.
Rule-Based Strategy #1: Buy Box Strategy
This strategy will allow you to manually configure competition settings to target the Amazon Buy Box when eligible. Our Buy Box strategy will make the first price change according to the rules you set and if that change does not capture the Buy Box, we will continue to lower the price until it is captured or until the price stops at your minimum price. This strategy will also raise your price after capturing the Buy Box with the goal to increase your margins.
Rule-Based Strategy #2: Target Rank Strategy
The second rule-based strategy is called Target Rank. Target Rank offers you the option of targeting a specific competitor on your listing depending on the price rank they are positioned in. Rank 1 being the lowest price and rank 10 being the highest price target you can go after, while also offering the Buy Box price as a target. As opposed to the Buy Box strategy where your price will raise and lower to win the Buy Box, this strategy is characterized by a constant offset price from the target you have chosen to compete with.
2) Review Profit Protection Settings
When you have chosen which strategy to create, click next and you will be brought to our Profit Protection settings. For more details on what Profit Protection is and how to best optimize your pricing structure, please see the video tutorial here.
3) Set Competition Settings
Click next one more time and you will land on our Competition settings. These settings are the core of what drives your Target Rank and Buy Box strategies. We first give you the option to filter your competitors by item condition (either no, same, or same or better), then by seller feedback rating, and finally by feedback count. The next option is to choose how you want to price against your competitors. You can price below your competitor by a dollar or percentage amount, match the competitor‚Äôs price, or price above your competitor. As a side note, you are only able to price percentage wise using whole numbers.
The last setting is ‚ÄúInclude shipping in competitive price‚Äù. We highly recommend that you leave this setting on as it will factor both your own shipping price and your competitors shipping price when determining your item‚Äôs price.
4) Select Integration-Specific Settings
After choosing each setting according to your preference, move on to the next page where our Amazon settings are found. These settings allow you to select who you do and do not want to compete against. You have options to compete against all sellers regardless of fulfillment type, FBA only, or FBM only.
The next option allows you to exclude brand-new Amazon sellers who have no feedback and may not be eligible for Buy Box competition. You can exclude Amazon.com offer prices from competition as well as choosing to exclude specific sellers or only price against specific sellers by merchant ID.
Lastly, we offer the option to filter out sellers who are priced below the minimum price you‚Äôve set in our system.
5) Save and Finish
The last step is to give your strategy a name, review the settings you‚Äôve created, and click save before assigning your new strategy to the listings of your choice. If you need assistance with assigning your pricing strategies to listings in our system, please see the above tutorial link for more information.