The e-commerce industry is booming and why not?
The way they have grown in terms of selling to prospects is a new revolution for businesses to undertake in order to be successful in the future years.
From selling in physical stores to now selling online with just the use of a website, the e-commerce industry has made catering to prospect's needs much more beneficial.
See it in this way, how often do you have the time to walk in a physical store to shop or what have you done when you cam to know that the product you want is out of stock?
With e-commerce such issues have been bid adieu long ago, you can find your out of stock products available online and whenever you are free and need to shop, the online shopping aka, e-commerce industry is there to assist you at any hours.
Since you are now aware of how impactful the e-commerce industry has evolved to become, there are now thousands of brands associated with such a market and there are still more who are joining this race.
So this clearly states that the competitors will never decrease, they will continue to overshadow their peers and continue to prove their worth to the prospects online with their solution. If this takes place, what would happen to your brand?
The key to a successful e-commerce business growth is to perform better than your competitors and the way to do that is to analyze what prices they are setting. This matters because it can help you to sell better to your prospects.
This is exactly what this article will help you in. Monitor your competitors' prices and watch your business scale higher and better than theirs.
Why should a brand monitor competitors' prices?
1. To receive higher conversion rates
The whole agenda of the e-commerce business is to grow high and sell better to prospects. The e-commerce business is successful because prospects are receiving their needs in multiple choices. There are many competitors catering to such prospects which is why you need to fight through the crowd and ensure that any prospect that lands on your brand are sure to invest their money on your solution.
When you monitor your competitor prices it gives you an advantage. When you are aware that what pricing your competitors have set, you can tweak and modify how much you are offering your solution. So when a prospect looks at your pricing, they should understand that the solution you are offering them with such a price is worth their investment. When this action takes place, you are able to close in more deals and hence your conversion rates increase.
2. Increase profit count
Every business whether it is offline or online is all profit-minded. The reason why monitoring your competitor prices will help you to focus on your profit better because being a vendor yourself you know how much your product is worth in the market and then when you check how much your competitors are pricing that same solution or how much profit they are receiving, you can easily modify the way your pricing is being set.
For your prospects, it's not about investing in any solution, they want to invest in a solution which gives them maximum value and if your pricing is set right, your prospects would be happy to buy from your brand and on the other hand, you will be able to receive a good number of profits.
3. Increase sales figures
Another reason why you need to monitor competitor prices is that it can help your brand to make an impact on the sales figures. When you are aware of what price your competitors are setting for their products for a discount of their solution, this enables you to modify and work on your current solution. For instance say if your competitors are pricing their current solution with a 10% discount, you can do the same by setting a higher number of discounts so that your prospects can be compelled to look at your solution.
The only way you can increase your sales figures is when you have a consistent movement of your product being sold and the right way to get this action conducted is to keep a close eye on what your competitors pricing factors are so that you can create an efficient pricing strategy which your prospects would confidently invest in.
4. Encourages better brand growth
When you are able to sell better to your prospects, your brand converts to become an efficient growing brand. This can happen when you are continuously performing better than your competitors. When you are monitoring the prices of theirs, you are not just monitoring their actions, you are giving your brand the opportunity to offer a much better deal which your prospects would be interested in.
When this happens, your sales will be better as your prospects would believe that the investment they are making with your brand is much better than the crowd. Hence this helps your brand to grow organically better and turns you into a powerful competitor the rest of the crowd needs to be aware of.
5. Keeps you updated of the market prices
The market in your industry will keep fluctuating but that doesn’t mean as a brand you are not aware of the prices being set. The market prices will keep changing and if you are not going to keep a track you will not be able to sell to your prospects in an efficient manner. When you monitor your competitor prices during such a stage you are able to understand or rather get an idea of how your competitor has set their prices according to the new market change.
This helps you to set your current prices accordingly which matches the market rates and is much more efficient than your competitors.
You need to outsell your competitors with reference to pricing because this factor is the most critical factor which prospects stake into serious consideration. To ensure that you monitor competitor prices well, creating a good strategy can come in handy.
Top 4 efficient strategies to conduct efficient competitor pricing monitoring
1. Identify and select your competitors
The first step is before you can commence monitoring the competitor pricing is to analyze who they are in the first place. Not everyone present in the e-commerce industry will be your strong competitors, there will be only a handful of whom you have to perform better from. Identify who they are and then start to monitor their pricing strategies.
2. Monitor crucial factors
Once you are aware of who are the competitors you want to lay your eyes on the most, the next step is to identify what is the purpose of this action? In this case, it is pricing, when you are clear that you want to perform better than your competitors when it comes to pricing, your main focus should be levied on that purpose.
3. Invest in the right tools
Once you have conducted the above two actions, your step would be to convert that theory into action. The only way to do it is to have efficient tools or solutions that can make it happen. Conduct research and invest in your money in the right solutions or tools that can help you to conduct better competitor price monitoring so that building and shaping your brand takes place in an effective manner.
4. Get Started
Once you have accomplished the above three steps, it's time for you to conduct the actions. With the right competitors of target and the right tools to conduct the action, you now need to strain your focus with one vision in mind, ‘how you can sell better to your prospects much better than your competitors are doing?’.
You now have all the information you need to conduct efficient monitoring of your competitor's prices, but do you know how exactly you can conduct such an action?
Top 4 tools to conduct efficient competitor price monitoring in e-commerce
Sellics conducts competitor price monitoring. Its main emphasis is on the brand Amazon since it is one of the most widely used e-commerce platforms for a prospect to find its needs. This solution is available for sellers and vendors.
- Monitors every move of your competitors
- Keeps a track of nay pricing trends
- Let’s you focus on which of your solution has been sold the most
- Keeps a track of your competitor's sales numbers
- Notifies for any revenue loss without your knowledge
Price2spy is another competitor price monitoring solution that helps brands to understand where they are standing currently in their market.
- Delivers reports on the entire market condition
- Alerts on any price changes
- Conducts easy price comparisons
- Identifies which pricing has soared higher and which can be charged less
- Consistent in tracking any pricing trends
Price Manager offers dedicated competitor price monitoring software.
- Conducts daily price tracking
- Users can scan pricing information from competitors website
- Scan any shopping engine or market places to acquire detailed pricing lists
- Tracks prices of 30 different countries
Minderest is considered to be an expert in price monitoring. They offer all kinds of pricing solutions such as Dynamic pricing, Competitor price monitoring and also a dedicated e-commerce product monitoring. They offer two kinds of products, pricing tools, and product data API.
- Price intelligence
- Competitor price monitoring
- Catalogue intelligence
- Dynamic Pricing
- E-commerce product monitoring
Apart from these tools, there is also another way where you can monitor competitor prices in e-commerce.
How can proxy servers help to conduct competitor prices in e-commerce?
Proxy services are a great medium when it comes to conducting online activities. It is a universal truth that in order for a business to scale higher and become the finest in its market, it needs to minus all the competition around it. When a business is able to do that is when they become more clear in the eyes of their potential prospects.
A proxy service ensures that you are able to monitor your competitor prices without them having to know. The greatest feature that proxy services have is that it ensures that a brand's identity is hidden when such an action is being committed. It basically eliminates the vital reason why brands get caught when monitoring a restricted source or a website or in this case the competitor's page.
An IP address gives away the location of the user and with a proxy service, this refrains from happening. So while you continue to monitor your competitor's price, you can do so without having any risk being attached. The proxy service providers offer you a good number of proxies so that your IP address will look different. Incase if your IP address gets blocked your original IP address doesn’t get affected.