How pricing works!
Hi guys,
I am a new ‘‘private label’’ seller. But I also want to sell a few products which already exist on Amazon.
So, I can’t really understand how the pricing policy works, I mean who is setting up the lowest price? Is it the manufacturer who sells? And can I set the price lower than others? Also if I create a listing for the existing ASIN, can I add myself keywords and description or it still will show the same description as other sellers?
And in which case it is good to set an automate pricing, as I see it can be important for the already existing products, so my price is always as low as possible?
P.s. links are appreciated!
0 replies
Seller_lljyzgTxr5fgI
Like most market places, Amazon is about supply and demand. The more the demand and the less the supply, the price goes up and vice versa. Many sellers try to keep the lowest possible price for the product on Amazon (we do this ourselves). However, that isn’t always the best policy. It depends on how much profit is available from your stock and where you can go to on price. Each to their own.
What many new sellers don’t appreciate is that we are all competitors on the same selling platform. Its just like being in the market hall in your local town. A seller sets a price and somebody goes lower and so on until it reaches a level. Automatic pricing can be helpful but it does continually drive the price down by a penny or a few pence at a time. However, if thousands are using the same system, it can have a detrimental effect.
You will know what margins are available in your product so it’s very much up to you if you want to try and be the lowest. Hope this helps and good luck with your new venture 
Seller_hC0hNVDuILaKO
Your plan seems to be to sell your goods at the lowest price possible.
This isn’t necessarily a good strategy since you will probably end up in a race to the bottom, make no profit whatsoever and wonder why anyone bothers to sell on Amazon at all after you lose all your money.
Just set your price at a level that is comfortable for you, to allow a decent profit margin taking all costs into account, and which is hopefully competitive.
Seller_QlN0mmCAFPtjZ
You have already gone to ‘‘Private Label’’ , yet you do not seem to know the very basics of listing an item on Amazon ? Look at Seller University .
Spend some time learning how not to lose money first
Seller_EJIX7rqDNQJi2
I think that Automated Pricing is a great idea, especially if you are going to have a high quantity of listings. It doesn’t necessarily have to be a race to the bottom.
You will be able to set your minimum and maximum price and the system will automatically update it based on the pricing rules, which you set. But it takes some time to learn how it works.
Seller_zWhFURNhcbesd
Yes, it will be the same listing, all you can see on the product page is the same for all. You just add yourself as a seller of the item.
Re the keywords, I am not sure but I suppose they are the same. I think - without knowing - that the information on the product is the same for all sellers except for the information in Offer.
