Amazon is the most reputed and widely trusted eCommerce giant in the customer landscape. Success doesn’t come randomly to this brand; instead, it results from its hard work, strategic planning, and great marketing campaigns. A new analysis from the marketplace reveals that Amazon follows intelligent price changes for its extensive range of products. Surveys show that Amazon changes prices approximately 2.5 million times per day, around 50 times higher than other popular retailers such as Best Buy and Walmart.
If you love shopping on Amazon, you might be already aware that the company keeps on offering the best price deals by changing product prices more often. Buyers need not wait for the specific holiday seasons to festivals to grab discounts; instead, they can save on purchases throughout the year. And probably, this is one of the significant factors behind the increasing popularity of Amazon among many other retail and eCommerce stores online.
How to deal with frequent price changes on Amazon?
The dynamic price changes on such big platforms demonstrate why new businesses, including brick-and-mortar stores, need to follow advanced price intelligence solutions to capture audience attention. When you are interested in competing with Amazon, it is good to understand their pricing strategy and follow the same approach to lead your pricing optimization. Studies reveal that dynamic price changes make the retail landscape more competitive and motivate customers to invest in products fast to grab the best offers. But to follow the adequate price change strategy, business owners first need to use an automated price intelligence system.
It is essential to mention that big platforms such as Amazon use big data to monitor and implement dynamic price changes daily. By changing the price tags of the products, eCommerce platforms assess the audience’s willingness to buy. You may observe the same trend outside the eCommerce sector as well, for instance, in the case of hotel rooms and plane tickets. People keep on checking fares for their favorite destinations time and again and wait for the price change to book their tickets. A similar phenomenon inspires Amazon’s price change strategy. You will be surprised to hear that there is a price change every 10 minutes on Amazon. Dynamic product catalogs are likely to attract more sales throughout the year.
How Amazon really works?
Amazon collects more than 2000 real-time and historical data points regarding every order and uses advanced machine learning algorithms to check any fraudulent transaction. Due to its proactive approach of Amazon, it can meet the precise needs of customers with ease. The intelligent algorithms also make it easier for Amazon to send product recommendations to relevant buyers while highlighting special discounts. This entire strategy helps develop strong connections with the audience while influencing them to make the purchase fast. There is no point in making manual price comparisons and changes if you run a business, as it may lead to huge losses instead of profits. Rather, you can also follow the advanced algorithms and intelligent systems for price changes, and it will soon influence returns on your business.