I have a kind of ‘love / hate’ relationship with Amazon. I love the convenience, range of products and fast delivery when shopping on Amazon. But as a small, retail focused business, I really worry that their growing dominance is creating an online monopoly that is crushing competition, stifling innovation and ultimately leaving consumers with less choice. It’s not that […]
What do we mean by ‘Competitor Pricing Strategy’ ?
A competitor pricing strategy is one that takes into consideration the prices your competitors are charging for the same or similar products. If you’re selling ‘commodity’, branded products, widely available from other retailers, then you have to take into consideration your competitor prices when setting your own. Also known as market pricing, […]
Retailers are challenged by many external competing forces
Price comparison, shopper convenience, product availability are all competing forces at play in the minds of both shoppers and retailers alike.
With apologies to Michael Porter, these forces are disruptive and ultimately drive big changes. Increasingly retailers are trying to reinvent themselves on how to balance these forces to ensure they win customers.
Today customers are equipped with product and price comparison knowledge that […]
Do you search the store and then buy on-line?
Over the weekend I went high street shopping. It’s not my favourite pastime but I was persuaded that I needed to see the items before making a purchase. After many hours of searching, I found the item I wanted. However, I didn’t make the purchase in the store. Not unsurprisingly, I reached […]
Building Price Intelligence Maturity
Price intelligence is one of the most important factors in building business competitiveness. However, not everyone is at the same point along the pricing intelligence journey.
The journey I’m talking about, I like to call ‘Pricing Intelligence Maturity’. This can take many directions, including acquiring pricing knowledge, building pricing skills, systems deployments, or organisational transformation.
Setting your Price Intelligence […]
Change – why? Everything is rosy!
You’re a successful retail business, you’ve got the number one market slot. Sales are good and you believe you have competitive pricing. So why do you need to change? However, deep under that corporate hood, there are flaws.
Reaction time to competitors is still slow. Emotion and perceptions still permeate decision making rather than cold hard […]
We’ve been tracking prices on Google Shopping for a long time and have seen it grow to become an increasingly important source of traffic and sales for our clients. But mastering Goggle Shopping campaigns requires more than just a few minutes each day adjusting bids and product feeds. Creating a winning Google Shopping strategy requires a solid understanding of how […]
Do you need to view data in a different way?
In our previous blogs, we highlighted the need for retailers to understand their competitors through price comparison solutions. This is a still an essential stepping-stone in understanding your competitive landscape.
However, many of the companies we talk to also use data from these systems in a deeper strategic way. Instead of using the […]
Amazon prices are perceived as competitive but consumers still price compare across other retailers.
CPC Strategy surveyed 1500 men and women in the U.S. about their Amazon shopping habits and the results not suprisingly, show price and delivery as the key criteria in the buying decision.
The reports’ introduction quotes some interesting Amazon statistics on its’ size and dominance of U.S retail channels.
Price tracking tools enable rapid price response
Back in November 2000, Professor Robert J. Kauffman posed a question in a paper* that suggested that the Internet would lower on-line prices as a result on intense competition between vendors.
However his research presented a case where intense competition between vendors happens. However it doesn’t drive price down in a never-ending spiral. Instead his evidence points […]