Are you allowed to ask or speak to competitors about why they are selling at under the profit margin....̣????
some are making £1 loss on every sale the products are high demand and are a set price to buy from wholesalers.....i am talking about small new sellers that can not get a discount etc...
i think amazon should add the profit calculate to the price box so people can see the profit from the sale easy at a glance would stop the price drops
You are not allowed to contact other sellers via buyer messages that is prohibited.
You are not allowed to agree to fix pricing with other sellers. That is against the law.
You can talk to other sellers, with their permission, outside of Amazon but I wouldn't do it for the reason you describe. You are in danger of discussing fixing prices which is illegal.
They may not be making a loss though. They may be buying cheaper, have cheaper postage rates or hoping to sell multiples where there is more profit.
They could also be clearing stock. Possibly they don't know they are making a loss as they haven't accounted for all their costs.
sometimes companies get big discounts also some products sell in multiples so thats where they make the money, or it could be to bring the average weight down
I know a seller competing against someone who is selling FBA for less than the cost of fulfilment.....
All you can do is hope they run their business into the ground pretty soon, and of course, sell through as many other avenues as you can.
Amazon get significant discounts from certain brands, therefore they can sell less than trade and make a profit. Brands generally are very unconformable talking about this and many won't discuss it at all.
As a previous business Advisor to the retail trade , working for the Government , the majority of new sellers do not understand the amount of costs involved in selling on Amazon and think they are doing it right and have no idea they are actually loosing money .
Others will get the buy box to raise their feedback profile
They are some businesses that believe if they can make £1 profit on every sale , if they can make even 200 or so sales in a week , that is a good supplementary income on the other hand , if thy can get upwards of 100,000 sales a year that is not bad
I believe that the first reason in this instance is more likely , which is the reason I gave up advising and came to Amazon myself
There are lots of perfectly valid business reasons for selling less than cost.
Two words..with emphasis on the second word
1st word: Amazon
2nd word: Marketplace
It is not only about the Amazon policies. Generally you can`t contact a seller as a seller to fix their prices.
But i understand where your idea come from. Mostly business sell their products less than their cost to buy new stock and clear old ones. Open space in their warehouse etc etc. Just wait until they are out of stock. Not much to do.
Whilst you wouldn't sell at a £1 loss to do it but there can also be products that people naturally buy multiples off.
Extreme hypothetical example, you can sell a fork you make 1p on that you know the customer is highly likely to buy 4 which if MFN, costs the same to post as 1 and so you get substantial postage savings on 3 of them so 2.46 * 3 + 0.04p profit. Then they have a high chance of buying the matching knives and spoons.
Or if it has a BBE date, it might be low.
There are Plenty of legitimate reasons why a business might sell at what you might think is a £1 loss but more than likely is that they have a lower purchase price than you or have an angle you haven't thought off. Does your calculations factor in packaging? Some large products uses boxes and filler which cost more than £1 and some people have learnt how to get those for free whilst also reducing their footprint. I have a profipack cardboard shredder for example and more free boxes that I can ever feed into it.
There are also plenty of nefarious reason why they might as in a few instances I've encountered, the ones selling below even purchase price was so obviously selling fakes with pop up seller accounts.
You're not allowed to discuss prices with a competitor as that can be price fixing.
Be extremely careful. If you so much as message a seller to discuss price you will lose your account. I watched an interview with a 10 year plus 7/8 figure seller who was deactivated for exactly this recently.
Are you allowed to ask or speak to competitors about why they are selling at under the profit margin....̣????
some are making £1 loss on every sale the products are high demand and are a set price to buy from wholesalers.....i am talking about small new sellers that can not get a discount etc...
i think amazon should add the profit calculate to the price box so people can see the profit from the sale easy at a glance would stop the price drops
Are you allowed to ask or speak to competitors about why they are selling at under the profit margin....̣????
some are making £1 loss on every sale the products are high demand and are a set price to buy from wholesalers.....i am talking about small new sellers that can not get a discount etc...
i think amazon should add the profit calculate to the price box so people can see the profit from the sale easy at a glance would stop the price drops
You are not allowed to contact other sellers via buyer messages that is prohibited.
You are not allowed to agree to fix pricing with other sellers. That is against the law.
You can talk to other sellers, with their permission, outside of Amazon but I wouldn't do it for the reason you describe. You are in danger of discussing fixing prices which is illegal.
They may not be making a loss though. They may be buying cheaper, have cheaper postage rates or hoping to sell multiples where there is more profit.
They could also be clearing stock. Possibly they don't know they are making a loss as they haven't accounted for all their costs.
sometimes companies get big discounts also some products sell in multiples so thats where they make the money, or it could be to bring the average weight down
I know a seller competing against someone who is selling FBA for less than the cost of fulfilment.....
All you can do is hope they run their business into the ground pretty soon, and of course, sell through as many other avenues as you can.
Amazon get significant discounts from certain brands, therefore they can sell less than trade and make a profit. Brands generally are very unconformable talking about this and many won't discuss it at all.
As a previous business Advisor to the retail trade , working for the Government , the majority of new sellers do not understand the amount of costs involved in selling on Amazon and think they are doing it right and have no idea they are actually loosing money .
Others will get the buy box to raise their feedback profile
They are some businesses that believe if they can make £1 profit on every sale , if they can make even 200 or so sales in a week , that is a good supplementary income on the other hand , if thy can get upwards of 100,000 sales a year that is not bad
I believe that the first reason in this instance is more likely , which is the reason I gave up advising and came to Amazon myself
There are lots of perfectly valid business reasons for selling less than cost.
Two words..with emphasis on the second word
1st word: Amazon
2nd word: Marketplace
It is not only about the Amazon policies. Generally you can`t contact a seller as a seller to fix their prices.
But i understand where your idea come from. Mostly business sell their products less than their cost to buy new stock and clear old ones. Open space in their warehouse etc etc. Just wait until they are out of stock. Not much to do.
Whilst you wouldn't sell at a £1 loss to do it but there can also be products that people naturally buy multiples off.
Extreme hypothetical example, you can sell a fork you make 1p on that you know the customer is highly likely to buy 4 which if MFN, costs the same to post as 1 and so you get substantial postage savings on 3 of them so 2.46 * 3 + 0.04p profit. Then they have a high chance of buying the matching knives and spoons.
Or if it has a BBE date, it might be low.
There are Plenty of legitimate reasons why a business might sell at what you might think is a £1 loss but more than likely is that they have a lower purchase price than you or have an angle you haven't thought off. Does your calculations factor in packaging? Some large products uses boxes and filler which cost more than £1 and some people have learnt how to get those for free whilst also reducing their footprint. I have a profipack cardboard shredder for example and more free boxes that I can ever feed into it.
There are also plenty of nefarious reason why they might as in a few instances I've encountered, the ones selling below even purchase price was so obviously selling fakes with pop up seller accounts.
You're not allowed to discuss prices with a competitor as that can be price fixing.
Be extremely careful. If you so much as message a seller to discuss price you will lose your account. I watched an interview with a 10 year plus 7/8 figure seller who was deactivated for exactly this recently.
You are not allowed to contact other sellers via buyer messages that is prohibited.
You are not allowed to agree to fix pricing with other sellers. That is against the law.
You can talk to other sellers, with their permission, outside of Amazon but I wouldn't do it for the reason you describe. You are in danger of discussing fixing prices which is illegal.
They may not be making a loss though. They may be buying cheaper, have cheaper postage rates or hoping to sell multiples where there is more profit.
They could also be clearing stock. Possibly they don't know they are making a loss as they haven't accounted for all their costs.
You are not allowed to contact other sellers via buyer messages that is prohibited.
You are not allowed to agree to fix pricing with other sellers. That is against the law.
You can talk to other sellers, with their permission, outside of Amazon but I wouldn't do it for the reason you describe. You are in danger of discussing fixing prices which is illegal.
They may not be making a loss though. They may be buying cheaper, have cheaper postage rates or hoping to sell multiples where there is more profit.
They could also be clearing stock. Possibly they don't know they are making a loss as they haven't accounted for all their costs.
sometimes companies get big discounts also some products sell in multiples so thats where they make the money, or it could be to bring the average weight down
sometimes companies get big discounts also some products sell in multiples so thats where they make the money, or it could be to bring the average weight down
I know a seller competing against someone who is selling FBA for less than the cost of fulfilment.....
All you can do is hope they run their business into the ground pretty soon, and of course, sell through as many other avenues as you can.
I know a seller competing against someone who is selling FBA for less than the cost of fulfilment.....
All you can do is hope they run their business into the ground pretty soon, and of course, sell through as many other avenues as you can.
Amazon get significant discounts from certain brands, therefore they can sell less than trade and make a profit. Brands generally are very unconformable talking about this and many won't discuss it at all.
Amazon get significant discounts from certain brands, therefore they can sell less than trade and make a profit. Brands generally are very unconformable talking about this and many won't discuss it at all.
As a previous business Advisor to the retail trade , working for the Government , the majority of new sellers do not understand the amount of costs involved in selling on Amazon and think they are doing it right and have no idea they are actually loosing money .
Others will get the buy box to raise their feedback profile
They are some businesses that believe if they can make £1 profit on every sale , if they can make even 200 or so sales in a week , that is a good supplementary income on the other hand , if thy can get upwards of 100,000 sales a year that is not bad
I believe that the first reason in this instance is more likely , which is the reason I gave up advising and came to Amazon myself
As a previous business Advisor to the retail trade , working for the Government , the majority of new sellers do not understand the amount of costs involved in selling on Amazon and think they are doing it right and have no idea they are actually loosing money .
Others will get the buy box to raise their feedback profile
They are some businesses that believe if they can make £1 profit on every sale , if they can make even 200 or so sales in a week , that is a good supplementary income on the other hand , if thy can get upwards of 100,000 sales a year that is not bad
I believe that the first reason in this instance is more likely , which is the reason I gave up advising and came to Amazon myself
There are lots of perfectly valid business reasons for selling less than cost.
There are lots of perfectly valid business reasons for selling less than cost.
Two words..with emphasis on the second word
1st word: Amazon
2nd word: Marketplace
Two words..with emphasis on the second word
1st word: Amazon
2nd word: Marketplace
It is not only about the Amazon policies. Generally you can`t contact a seller as a seller to fix their prices.
But i understand where your idea come from. Mostly business sell their products less than their cost to buy new stock and clear old ones. Open space in their warehouse etc etc. Just wait until they are out of stock. Not much to do.
It is not only about the Amazon policies. Generally you can`t contact a seller as a seller to fix their prices.
But i understand where your idea come from. Mostly business sell their products less than their cost to buy new stock and clear old ones. Open space in their warehouse etc etc. Just wait until they are out of stock. Not much to do.
Whilst you wouldn't sell at a £1 loss to do it but there can also be products that people naturally buy multiples off.
Extreme hypothetical example, you can sell a fork you make 1p on that you know the customer is highly likely to buy 4 which if MFN, costs the same to post as 1 and so you get substantial postage savings on 3 of them so 2.46 * 3 + 0.04p profit. Then they have a high chance of buying the matching knives and spoons.
Or if it has a BBE date, it might be low.
There are Plenty of legitimate reasons why a business might sell at what you might think is a £1 loss but more than likely is that they have a lower purchase price than you or have an angle you haven't thought off. Does your calculations factor in packaging? Some large products uses boxes and filler which cost more than £1 and some people have learnt how to get those for free whilst also reducing their footprint. I have a profipack cardboard shredder for example and more free boxes that I can ever feed into it.
There are also plenty of nefarious reason why they might as in a few instances I've encountered, the ones selling below even purchase price was so obviously selling fakes with pop up seller accounts.
You're not allowed to discuss prices with a competitor as that can be price fixing.
Whilst you wouldn't sell at a £1 loss to do it but there can also be products that people naturally buy multiples off.
Extreme hypothetical example, you can sell a fork you make 1p on that you know the customer is highly likely to buy 4 which if MFN, costs the same to post as 1 and so you get substantial postage savings on 3 of them so 2.46 * 3 + 0.04p profit. Then they have a high chance of buying the matching knives and spoons.
Or if it has a BBE date, it might be low.
There are Plenty of legitimate reasons why a business might sell at what you might think is a £1 loss but more than likely is that they have a lower purchase price than you or have an angle you haven't thought off. Does your calculations factor in packaging? Some large products uses boxes and filler which cost more than £1 and some people have learnt how to get those for free whilst also reducing their footprint. I have a profipack cardboard shredder for example and more free boxes that I can ever feed into it.
There are also plenty of nefarious reason why they might as in a few instances I've encountered, the ones selling below even purchase price was so obviously selling fakes with pop up seller accounts.
You're not allowed to discuss prices with a competitor as that can be price fixing.
Be extremely careful. If you so much as message a seller to discuss price you will lose your account. I watched an interview with a 10 year plus 7/8 figure seller who was deactivated for exactly this recently.
Be extremely careful. If you so much as message a seller to discuss price you will lose your account. I watched an interview with a 10 year plus 7/8 figure seller who was deactivated for exactly this recently.