Pricing Intelligence
How to predict & react to a competitor flash sale
Reacting quickly to sudden price drops
It’s hard to pinpoint a date or even guess when a competitor might run a flash sale. But when their flash sale does happen, a competitor will use this as a selling point in their advertising.
As a result, if they’re using platforms like Facebook & Google to advertise, they can significantly lower their CPM rates, essentially multiplying the impact and reach of their advertising spend. This can be problematic for brands that don’t react quickly enough. A race to the bottom might not be the best move, but without sufficient data – it’s like running blindly into a minefield.
We know the benefits of a flash sale to the retailer or brand, and even as consumers we know that feeling of having a favoured brand posting “40% off. 4 hours only!”.
It is possible to position yourself, to not only react to competitor pricing moves, but even predict, and therefore profit from this situation.
The outdated approach of reacting to low-pricing strategies
Most pricing managers, unfortunately, find out when it’s too late, or by having to scan competitor websites and marketplaces to see whether anything’s changed.
There is of course the classic method of monitoring competitors manually, but in most cases, this is impractical, costly, and often becomes overwhelming in most cases.
As you can imagine, this approach is also time-consuming, and it can take hours, or even days to build a detailed picture of what key competitors are doing. By the time sufficient research is conducted, the competition’s flash sale has already built momentum.
How brands with pricing intelligence data react
With pricing intelligence, managers get the earliest warning possible on when a major change happens to their competitors’ activities.
With the data available, managers can then plan ahead before their competitors’ flash sale develops momentum. Tweaks can be made to advertising campaigns and product pages to combat against customer objections in price. A decision could also be made to momentarily launch a flash sale too, or a decision can be made to hold off until it has finished.
The fact of the matter is, pricing managers equipped with sufficient and quickly available pricing data are in a position to choose whether to react or not, rather than to be forced to take a gamble based on gut instinct.
The pricing managers with access to historical price-drop data are in an even better position – they can use the data to forecast any future price-drops, especially if a pattern emerges from their competitors’ flash sales, and then can even beat them to it.
Skuuudle is a pricing intelligence platform that allows you to track your competitors across all major marketplaces. Gathering billions of price points and competitive intelligence from websites all around the world. We’ll help you uncover your competitors’ pricing secrets to increase your sales and profit margins, all with no manual input required from you.
Skuuudle provides:
- Accurate competitor data
- Exhaustive product matching
- Bespoke solutions for you
- Compliant & secure
- Human quality control
- Free proof of concept
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