Is there an optimal price for a newly launched product? Possibly, but I honestly can’t tell you what it is. What I can tell you here is what we are doing and what is giving us results.
The simplest thing is probably also the least surprising. Having a lower price than the competition lowers the risk level for a new product, especially if it doesn’t have any reviews yet.
Lower price compared to the competition (first phase)
That’s what I’m seeing right now. Many Amazon buyers dare to do so because they also know that in the worst case scenario they can return it. The risk is wasting time.
In a specific case, we are applying spain whatsapp number data this strategy to get a lot of sales in a short time and thus also the reviews without having to . It is rather the exception because typically a new product does not get sales just by having a lower price than the competition. In this specific case, we have the situation that we have found with a product with an existing demand but with hardly any supply. The competitor that I just saw and that only has two reviews on its product sells a product of inferior quality for twice the price. It is not surprising that ours is currently achieving 10 sales a day.
Increase the price once the first reviews have come in (second phase)
Anyone who has followed the posts about sms the 6 kpis to master knows that an essential part is the increase in price. The reason for this is very simple. When we do Vine, people also value the price-quality ratio. With a low price you will always have a higher average. That is why at the beginning we set a price with which we still have some margin but less than what we would like to earn in the medium-long term.
For those first-time buyers who stil dating data remember the original price, we do this. We create a pack of, say, three units where if you buy the pack you can buy the product at the old price.
Packs allow us to do two things
On the one hand, the buyer can save money compared to buying one unit. On the other hand, we have a better ROI and margin. The reason for this is simple. With a pack of three, we only pay the shipping logistics cost that Amazon usually charges us once. Everyone wins.
You will have noticed that we do not overcomplicate our lives when it comes to setting prices. It is not the only way to do it, but it is our way and it works for us.