Pricing Health page launch


#1

To help protect customers from being exposed to products with uncompetitive prices, we replaced the Add to Cart button with See All Buying Options when products are priced higher than the lowest price available from select competitors. Until recently, sellers had no easy way to know when their offer was no longer eligible to be the Featured Offer nor what price to set to restore eligibility, making it difficult to take action. We have launched the Pricing Health page on Seller Central to make it easy for sellers to view and address offers that may be disqualified for the reasons outlined above.

View your Pricing Health


#2

@Amazon_News Great addition, however it’s sometimes incorrectly matching to different products (algorithms aren’t perfect, right?).
We need an easy way to “appeal” the match.


#3

Why isn’t Amazon using shipping in these calculations?

The skus flagged for us are the lowest price when shipping is considered.


#4

This is a good addition for sellers.

However, I fully agree with @Coolkidz that it needs a way to appeal and show an item isn’t actually the same.

I also agree with @verizer in that shipping has to be factored in in some way. I really shouldn’t need to match Walmart’s “instore pick-up” price. @Amazon_News … Amazon really needs to explain the factors considered somewhat anyway.

Bottom line, I’ve told sellers this for quite some time and some thought it untrue, but I’m glad Amazon is becoming even more transparent about this. Maybe a little more though would help sellers.

Rob


#5

The bots who scan the internet for comps should also be taught that ONE rogue price, by ONE seller, for an available quantity of ONE, should not be considered an actual comp.

A single outlier should not trigger an alert. :roll_eyes:


#6

From over here, this looks like a disaster. Nearly everything we sell is MAP controlled, and sold only by authorized sellers. One seller out of fifty sellers dropping their price—by my calculations, it can be a difference as little as 3%!—forces customers to take the extra step of clicking through to see all the other authorized sellers. That’s a really strange system. It violates so many principles of web design and customer service I can’t even begin to list them all.

To be clear, this new change is NOT customer-centric. Anything that forces a buyer to take extra steps to make the purchase they would have made regardless, will just drive them to other sites to make their purchases. The #1 rule in retail is to make it as easy as possible for people to buy things. The Buy Box (for better or worse) has done this successfully for decades.

Moreover, the main reason people shop on Amazon is NOT price (although that’s obviously a factor). It’s convenience and reliable order fulfillment. Price is #3 on that list. Since no other online seller can match Amazon’s order fulfillment, why would Amazon look to those other sellers to dictate pricing? It boggles the mind.


#7

Looking at the first item on our “pricing health” list reveals something odd. (ASIN B002NOI2U6) This is a tightly MAP controlled item and all of the sellers are complying with the MAP policy BUT Amazon is offering a small discount ($0.69) on one of the sellers’ listing. This report is encouraging us to match a price that Amazon is artificially setting with their discount program.

I am not a conspiracy guy, but this seems more than a little bit self serving. AMZ adding a discount so that the other sellers are tempted to match or beat it to break the MAP control on this part.

And why did AMZ decide that this seller deserves this discount? Other sellers (like us) have more stock and better metrics than the chosen one.

As always, whenever you deal with Amazon make sure you are being very careful and fully understand who is controlling the game.

Have a great holiday season!


#8

Yeah, the pricing health that tells me I need to sell something lower than a competitor who is clearing out inventory at a loss on Ebay? Or a competitor who isn’t charged 15% on their own site?

This sounds an awful lot like price fixing to me


#9

How about a Customer Service Health page for sellers who offer uncompetitive service? Like one that points out the sellers who undercut another seller by $1 on a $100 item, use a fake release date, and have “Expedited” delivery 1-2 months out, and still win the Buy Box versus an FBA or Seller Fulfilled Prime seller who can deliver the order in 1-2 days.

So disappointing.


#10

This page is matching our MAP controlled items to other random items that are priced around the wholesale prices of our items. How do we know what they are being compared to? I can’t see the item that they say it compares to. I suspect the page is comparing our leather items to items but made from PU which is plastic. Not the same item. Not even similar.


#11

This is strictly about preventing sellers from profitting on the remaining stock on Amazon, plain and simple. If the buyer is on the page, and sees the price there in the buy box, and thinks its a good deal, they will buy it. What Amazon doesn’t want is sellers profitting on the AMazon name to make bigger numbers when they corner the market on remaining stock. Like someone said before, making the buyer click extra to find sellers, who would be on the buy box anyways, is garbage.


#12

How are you going to implement this on cyber monday, when every site is doing aggressive discounts?

This is seriously the worst thing ever. All it does is makes it more difficult for customers to purchase. How are you going to remove my buy box offer on one of my best selling items just because one site is charging $5 less? Like you had difficulty selling it for $225 just because one site was charging $220 - amazon was still getting 98% of the sales, because customers dont care about that $5 enough to change sites.

But now I’m getting 50% less sales and less rankings because you removed the buy box offer.

As someone else commented, this is the LEAST customer-centric policy ever. I guess i’ll have to lower my price now against my will. This is 100% price fixing.


#13

NO WHERE did I see Amazon saying it would reduce its FBA seller fees to help me keep prices low and competitive. I sell groceries which already have low profit margins, industry-wide. Because of Amazon’s fulfillment fees, I have to triple my buy cost just to earn $1-2 per sale. What is Amazon thinking other than increasing its trillion dollar valuation? Screw third party FBA sellers. Not to mention I have MAP requirements from my wholesalers. I try to purchase wholesale from USA based small businesses. It will be impossible to support our economy now. So much for thinking I could quit my 9 to 5 j-o-b to become a full time seller. I’m done.


#14

Great.
A solution to a non existent problem by Amazon.

The lowest price is not always the best deal.
Let’s all race to the bottom and confuse the customer.


#15

Super bright idea Amazon. Let’s implement this new policy the day of Cyber Monday when sellers can’t prepare. We will tank their sales and have a jolly old time. Merry Christmas. You should consider preparing us instead of just pushing us around like we’re robots.


#16

Okay, I just discovered that the prices they are referring to are on Kohl’s cyber Monday sale. They are selling for $5 over wholesale prices. If we were to sell at that price it would be a loss after fees.


#17

I totally agree, a heads up would have been nice.

My first rant:
Moreover, After checking my listings, I have a product on sale for 259.99 & it got Ineligible because of a 256.44 price? really Amazon? REALLY??? That’s less than 1.4% difference. BTW, this item is FBA, is Amazon trying to suppress sales to keep more inventory in their FBA warehouses to bank more $$$ from storage fees?


#18

So that means that winning the “Buy Box” is gone ?


#19

Good to have this feature but Amazon really needs to consider reevaluating their pricing strategy. Some prices are set at a loss for sellers before COGS. No one is going to lower their price so low that it results as a negative on their ledger. Well. . . Almost no one.


#20

Not in every case. Just when there’s a single seller with a price too low…or too high. Yes, even one seller pricing too HIGH will close the Buy Box and send everyone to the “See All Buying Options” page. I did some experimenting and created this result by pricing one item too high.