Why is it necessary to monitor competitors' prices?
Competitors price monitoring is the way you realize how your customers see you.
Competitor price monitoring is the way you realize how your customers see you. Is not only a way to optimize your margins or a method to be always the cheapest offer, is an eye on how your e-commerce store, your brand, your products are perceived from your customers.
What is the most good and efficient way to compare competitors' prices?
Forget about manually browsing competitors’ product pages, letting machines (servers) checking the price for you, every day, is definitely the most efficient way to monitor and compare competitors’ prices with yours.
Pricefy does exactly this, once competitors’ URLs are defined, our servers analyze them every day, multiple times per day and compare your competitors’ prices with yours extracting statistics, alerts and insight to let you adapt your pricing strategy in real time.
What do you do when your competitors cut prices?
The answer to this question has mostly to do with your pricing strategy.
Let’s say that Pricefy alerts you that your competitor decreased his price by 10% , probably the first question you must ask yourself is:“Is this cut sustainable in the long term?”.
The market is full of bad actors who think themself smarter than what they really are and the result is that they go out of business in a matter of months.
The second question is:“it could be possible that my competitor has access to a cheaper supplier”?
If you are not a producer, in fact, your supplier is the most important partner you have and he strongly influences your daily business offering your products at a good price but it could be that your competitor has access to a cheaper supplier or to cheaper offers from the same supplier (maybe because he has ordered a huge number of products, in stock, paying in cash).
Do your researches (this time offline, making some calls) and do your math to understand if you can obtain your products at a better price, from your or another supplier.
What are the best tools for monitoring competitors?
These are the best tools, software and saas you can use to monitor your competitors' prices.
- Model N
- Omnia Retail
What about the law? Is scraping an e-commerce website legal?
We could say that scraping prices from e-commerce stores is considered pretty legal but if you want to know more about this topic we suggest you to read our article here Is it legal to scrape ecommerce store?