If you're looking to grow your business in 2021 using the best Amazon repricer, this is your guide.
Repricing on Amazon is getting a face-lift. A face lift to both usability and performance. What goes into what makes an amazing Amazon repricing tool?
It’s easy to make the generalization that all repricers do the same thing; drive your price to the bottom and tank the Buy Box. Switching to a more advanced Amazon repricer shows you just how wrong that assumption is.
The Amazon tools that started it all were basic and many argue that they could only reprice down. Repricers have the capability to fully control your pricing depending on multiple situations and even make decisions for you.
What is an Amazon repricer?
A repricing tool updates your product prices automatically on your behalf. They will typically follow a set of rules created by yourself, which frees up more of your time to focus on growing the business through sourcing more products.
A repricing tool will connect with your Seller Central account -- specifically your marketplace -- and watch the prices change for you products over time. With each price change in the Buy Box, the system is considering updating your price based on your strategy settings. If it determines your price needs to update on a product, it will immediately calculate and submit that price change to Amazon.
Using automation, you increase the chances of winning the Buy Box, which accounts for 82% of organic sales. To update product prices as quickly enough, you'll need to use technology. Regardless of how fast we type, it will never be as fast as a computer running code.
How do I use a repricer?
Although many tools like Aura offer instant repricing, your success comes down to the strategy used. We typically recommend using an Oscillation Strategy, as it creates a balance between increasing sales and maintaining a healthy net profit.
Any tool will require a few data points to run:
- Minimum and Maximum prices
- Strategy applied
- Active inventory
Setting your min/max product prices
Many sellers opt to setting wide minimum and maximum price ranges, which we believe is incorrect. We've seen higher performance with min/max ranges closer to each other (especially while using the Oscillation Strategy).
A tool like Aura will allow you to automatically set your min/max prices. This is done by setting a min/max ROI percentage within your strategy. Once Aura has your cost and the ROI values, it can factor in the listing fees.
Assign a strategy to your listings
All that is left is to tell Aura which strategy to apply to which product/SKU.
Once the above steps are completed, the system will begin to watch the products on your marketplace and update them as needed, increasing Buy Box ownership and sales.
Manual vs. Automation
Like any other industry, Automation has become a focus point for Amazon sellers looking to grow their businesses. Automated tools like an Amazon repricer tool are not limited to high-end sellers moving millions of units per month. Instead, it's easily available and affordable for most sellers.
You could manually reprice your products but who has time for that?!
Once you've grown your business to more than a handful of SKUs you'll quickly become limited in where you can spend your time. Should you spend your time sourcing new inventory or updating your prices to stay competitive and keep revenue flowing? For us, it's a clear choice; automate your pricing with software and spend your time adding new inventory.
When you think about it, that's the only way to grow your Amazon business. Let’s dive into the specifics of what makes a repricer great...
What it takes to be considered the best Amazon repricer
It's important to understand that every tool will approach repricing differently. Some repricing software want to be the most expensive, while others want to be the cheapest (at the cost of features) and everything in between.
While considering your options, look for the following.
Basic repricing tools won’t cut it anymore. Simple reactivity isn’t what you should be looking for. For us, flexibility is a major aspect of what makes a repricer the best. That means an Amazon FBA tool that is able to take a handful of settings and handle a multitude of situations that it may face. In other words, advanced strategies.
Other tools are simply blind to the situations that don’t fit into their settings.
Performance & Speed
Next, we look for a specific type of setting called Exclusions; telling the repricer when to care and when not to care about a type of seller.
When it comes to controlling the buy box and increasing your revenue, a repricer needs to be quick to react to a price change as it happen. The best Amazon repricer can quickly calculate what changes need to make and make them in real time.
A difference to look out for is a repricer that changes your prices based on a set time. As an example, some cheaper repricing tools will only reprice your products every 5-15 minutes. What you want is a repricer that updates your prices instantly.
As an example, Aura has instant repricing, which means a higher amount of price changes keeping you in the Buy Box versus your competition using another tool.
This all comes down to how optimized the platform and strategy is. You could have an amazing strategy but if the platform is slow and sluggish, it won’t help you in winning the Buy Box.
When you pair an amazing - read: high performing repricing strategies - platform with an optimal strategy, it’s a clear win.
Next, we look for future growth. Is the tool content with their performance and features or are they rethinking the whole concept and innovating something new?
Competitive advantages come from innovation and creating something new. Consider the first 100 sellers who used the first repricing tool to increase their sales through the Buy Box. That was a major competitive advantage but not anymore. It’s less about being able to reprice and more about how it’s being done. That includes a real time price change to win the Buy Box using a winning strategy.
For us, that’s what goes into making the best Amazon repricer on the market and building something that provides an incredible amount of value for its users.
Lastly, cost does matter. Not in the way you would think though. You see, it's less about the cheapest options when it comes to an Amazon repricer and more about the ROI you receive for your monthly subscription.
Some tools are incredibly cheap but lack both features and performance. Where you're "getting a good deal" you're actually losing potential revenue. Likewise, could be said with the most expensive option.
In other words, cheap is slow and affordable is the sweetspot.
Our recommendation is to find a healthy balance between cost and value. I want to know that the repricing tool I choose has a very large return on investment for my business.
3 Repricing Tools for FBA Sellers That Are Worth Considering
Here is our top 3 picks for repricing tools.
Aura offers instant repricing within the Buy Box and advanced features with a single pricing tier that's all-inclusive. That means no up-charges for useful features like automatically setting your Minimum and Maximum prices.
Although Aura is considered the "new kid on the block", it's quickly become the gold standard for sellers looking to increase time in the Buy Box. They've chosen to focus more of their efforts away from sales and into engineering (new features) and customer support, which is a big difference from other Amazon repricer tools.
Increase your sales and profits with the Xsellco repricing tool. Includes net margin repricing and analytics and offer a free trial.
3. Informed (formerly Appeagle)
They state that the tool "empowers Amazon sellers with strategic automated repricing and critical insight" and offer a free trial.
Repricing tools can feel overwhelming simply because of the number that exist. Rather than looking for the cheapest option, look for the tool that's the right fit for your business and needs. This is mainly based on available features, growth, and performance.
If you want to avoid decision fatigue and get started with the most valuable repricing tool, we recommend starting a 14-day free trial for Aura. From there, you can lean on our Support Team to help you decide which strategy you should use and how to best increase your sales.
Rather than being alone, you'll have a team of Repricing Nerds behind you every step of the way if needed.