Winter Shoes: Maximizing Revenue & Keeping Price Low
The goal of any retailer is to make money and to do that, you need customers. Offering a good product at a low price point is a great way to bring in new shoppers as well as repeat business.
Winter shoe price changes show that 63% of price changes involve lowering the price while 37% of price changes did not have any adjustments on pricing overall.
Though seemingly reasonable, sellers should look to maximize their revenue along with slashing price strategy. Looking at the data, 58% of total price changes re-priced SKUs lower than the previous lowest prices, while 27% of total price changes actually result in an increase in price while still remaining the lowest price in the market. It seems sellers are monitoring competitor prices and constantly adjusting pricing to undercut the competition while still making as much money as possible off each sale.
New Balance isn't the only retailer using the lowest price strategy. Below are the top 10 online retailers who are repricing frequently using the lowest price strategy:
So, how can you compete with these big sellers?
The top 10 retailers using the lowest price strategy includes big brands like Kohl's and Amazon. The data shows that these brands are very competitive when it comes to pricing, with large percentages of their SKUs having the lowest prices in the market. A good strategy for retailers hoping to win a market share would be to beat these big retailers with the same strategy by offering the lowest price on select SKUs.
The emerging seller, WorkBoots.com, seems to be following the lowest pricing strategy to compete with bigger brands like Kohl's, Amazon, Zappos, etc. If you have not implemented a smart, dynamic pricing strategy on seasonal and highly competitive online shopping categories like winter shoes, then we suggest you plan to soon.
For more Insights please visit "https://growbydata.com/