In this post, we will propose three simple metrics to help you narrow down your most important competitors. While they could be found manually, we will be showing you how to use them in Pricing Assistant’s automated pricing optimization panel.
Your market experience has surely allowed you to discover your most threatening competitors. However, with the vast number of online retailers and constantly changing prices, it is virtually impossible to keep track of them all manually. We believe that in today’s online retail world, a price monitoring tool is invaluable for identifying your important competitors and staying on top of the game. With the help of Pricing Assistant, you can get full insight into your full list of competitors and improve the accuracy of your top competitor analysis by using the following 3 methods:
- Identify stores that have the most products in common with you
Stores that hold a similar inventory pose the threat of price-sensitive customers switching to the store that provides a better deal.
2. Identify stores that have the most aggressive pricing strategy
Even if you are following the minimum price guidelines set by the manufacturer, you may find that some of your competitors will not. E-merchants that strive to be ‘cost leaders at all costs’ can therefore pose a serious threat. This can be determined with our "average price difference" indicator.
- Identify stores with the best Google Ranking
Google rankings can say a lot about how much traffic an online store receives and the size of their operations. Our tool shows the popularity of websites, as classified by Google.
Now that we have covered some of the characteristics of threatening competitors, let’s talk about how to use this information in your competitive analysis. To highlight your favourite competitors, select the competitors tab and click on the star to the left of your competitor’s name.
What the advantages of this feature?
- Analyze the products of your favourite competitors
In the ‘products’ tab, select ‘favourites only’. This allows you to:
- easily access the list of the products that you have in common with your favorite competitors
- know the number of favourite competitors for each product
- see your price positioning in relation to your top competitors
- Set your alerts
- Export the data to Excel
- Minimum and maximum of your competitors for a product
- Average price of your favourite competitors for this product
- Sale price for each of your favourite competitors