Choosing the correct repricer is the key to maximizing profits and performance on Amazon. Learn the difference between the alternatives and choose the right tool for your Amazon business.
The new black of eCommerce, “AI-based Repricer” is a technology that revolutionizes the Amazon marketplace. Repricers as a concept are quite familiar for many Amazon sellers. However, this innovative technology may leave you wondering the difference between the “rule-based” repricers on the market and how it affects your pricing strategies.
Regardless, whether you are a reseller or a private label owner on Amazon, choosing the right repricer tool determines whether you profit or not. Understanding what different options are available is the key to finding the best solution for your needs.
Let’s take a look at how these different types of repricers function and perform on the Amazon marketplace.
Rule-based Repricer on Amazon
Rule-based repricer software compares the competitors’ prices and adjusts the prices based on a set of predefined rules. Most of the repricers on the market work this way. As a seller, you have various options when deciding the best repricer strategy for your product. For example, you can set the rules to hit the lowest price or beat it by a specific amount. It gives you the possibility to tweak and fine-tune the rules over time.
However, the problem with the rule-based repricers is precisely what the name suggests. It functions as it is programmed, nothing more, nothing less. As charming as the simplicity of just setting the rules may sound, it necessarily does not lead to the most profitable outcomes.
The Lowest Price Always Wins -or Does It?
On Amazon, winning the Buy Box typically means beating your competition at a lower price. Therefore, it’s tempting to adjust the rules so that the lowest price would win the position, right?
However, pushing the prices down won’t do any good for your profits in the long run. Winning the Buy Box is dependent on other factors too. Instead of cutting the prices, you should focus on the technology behind the repricer tool. Specifically, the speed of your Amazon repricer is the key to winning, and you should invest in the fastest one available.
AI-based Repricer on Amazon
The distinctive factor between these alternatives lies in the technology and the way it performs. Repricer that is based on Artificial Intelligence utilizes machine learning instead of pre-determined rules.
A software-based on this innovative technology becomes smart and self-learning in a similar way a human would be. Therefore, the performance only gets better as the machine learns. What’s even better, unlike in the rule-based repricers, the possibility for human error is out of the equation.
Intelligent Performance Outsmarts the Competition
Eva’s Intelligent Repricer is a prime example of how powerful AI technology can be in repricing. The utilization of AI enables Eva to access millions of data points from every single angle. It is capable of identifying and analyzing various competitive situations and optimizing prices based explicitly on them. The repricing process is automated and, thanks to self-learning, requires almost no human interaction. As an Amazon seller, having such a useful tool keeps you ahead of the competition without you sacrificing your valuable time for monitoring fluctuating marketplace situations.
You may wonder how using a smart repricer applies to winning the Buy Box on Amazon? Instead of always cutting the price and your profit, you can win with the optimized maximum price.
In conclusion, both of the options are effective ways to stay ahead of the competition. However, every seller needs to choose the right repricer for their Amazon business. If your business is a smaller scale, part-time operation, you might consider a rule-based repricer. It gives you full control and a chance to test different pricing strategies personally. However, setting the rules is time-consuming, and there is always a risk of making a mistake.
Sellers who aim to scale up their business need a solution where intelligence and efficiency are combined. In this case, an AI-powered Repricer can make fast and smart decisions for you, which unleashes your store’s true potential.
Make informed and smart choices that are best for your business. Start your free 15-day trial and outsmart competition with Eva.