About this White Paper
The current marketplace is under continuous changes, as well as its prices. Ecommerce is booming and information transparency provided by new technologies makes it pivotal for e-tailers to obtain detailed information about their positioning and their competitors’. Through this brief guide, you will learn about 4 key factors that can help you improve your strategy as a retailer in the online marketplace.
Identifying your competitors
Identifying your competitors is the first step to be taken in order to get an idea of how to position yourself in the market. Once competitors have been identified, it is possible to take steps towards an analysis and follow-up, something which will allow you to play a better role in the market.
Normally, the list starts with the most outstanding competitors in the sector: these are your direct rivals with presence on the Internet and, more specifically, on Google Shopping. It is very important that the number of competitors in Google Shopping is known, as well as the evolution of their prices. For instance, if some of your competitors are selling at prices which are way more competitive than yours, this is something that will have a negative impact on your sales volume.
Detecting competing products
Once you have detected your competing sites, you can get to compare catalogs and establish to what extent you have a similar catalog to that of your competitors’. It is essential to have this information in order to start monitoring of these products, and to carry out a comparison of prices and stock between your products and your competitors’.
prices and stocks
Obtaining updated data on prices and stock of each product can help you make the right changes in your daily pricing. This will allow you to adapt to the market and achieve a more competitive image of your products in the eyes of customers. For instance, you can decide to promote only those products in which you are truly competitive, something which can help you optimize the budget you spend in your advertising campaigns and Google Shopping.
94% of shoppers invest time in finding the best price online, and 65% of them spend over 15 minutes in comparing prices before any purchase.
How can you obtain updated data on the price and stock situation of your competitors in order to take actions which turn into benefits for your business? Currently, in the market there are tools called price intelligence software, which help retailers in the e-marketplace track the prices of their main competitors and obtain detailed information on the market.
These tools help speed up the decision-making process, given that they allow retailers to detect at glance any behaviours in the market that may be damaging the performance of their products.
Getting updates on prices and stock
Through the software for automatic price tracking, several actions can be carried out which will have a very positive outcome for the daily performance of e-commerce sites:
Getting to know price changes in competitors without having to check website by website manually.
Establishing connections between your product catalog and your competitors’ to understand your positioning in a general and product by product level.
Making decisions based on facts and achieve a more effective pricing strategy.