10 Reasons: Every Retailer Should Track Competitors' Price

Posted by Vikash Rathee on Mon, 10 Nov 2014 18:56:17 GMT

10 Reasons: Every Retailer Should Track Competitors' Price

Spying on your competitor has become an absolute necessity during this cut throat competitive world and here are 10 major reasons why you should track competitors price daily.

  1. Price tracking daily is important to know the market trend as you should be on your feet always to grab the information what is in demand, whose demand plunged, what product is being offered more discount and what offers are circulating.
  2. Price tracking daily helps you strategize more efficiently example you know that the price for a carpet rises in the month of November and falls drastically in the month of June. Thus you know how to meet the demand and rate the product.
  3. Price tracking helps you to be in sync with the smart consumers because today’s client want to be in the driver’s seat and is smart enough to check the options available so should you.
  4. Price tracking helps you decide the offer and discounts, most and least, on a regular basis like Amazon made a black Friday giving the most discounts on that day and high even on Cyber Mondays and Flipkart celebrated the big billion day by recording the Rs. 600 crores sales in 10 hours while Walmart on the other hand avoided discounts on both these days. But this definitely is not company centric decision but purely as per the product.
  5. Price Tracking daily helps you be in pace with the automated pricing system that follows a set of simple rules which isn’t difficult to understand. Example keeping your price always one percent less than your next competition or let’s say send an email alert when main competitor price is high for a product or in a category. This way you could see the pattern and drive your tactics accordingly.
  6. Price tracking daily saves you from losing on the extra buck you could have made as it’s not necessary to price the product as lowest while to price it correctly.
  7. Price tracking daily gives you enough analytics to have the configuration, stock, margin be at the right point. Remember, you could make a wrong decision based on your gut feeling but numbers could never do that.
  8. Price tracking daily makes you deal with the dynamism of the market as the prices are changing on a dynamic basis and thus tracing should be done regularly.
  9. Price tracking every day implies that you might be keeping ahead of your competitor as you track them more than they do.
  10. Price tracking on a daily basis gives you an edge to keep your clientele informed about the same by email alerts and messages thus maintaining a loyal client pool.
If you can beat 50 guys, why beat only 49? -Coach Springstead

So, has this post convinced you to track competitors even more strategic and daily?

About the author

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Vikash is the Founder @PriceTree (a price comparison site for shoppers and retailers) and loves business intelligence solutions & online marketing.

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