By Martin Heubel, Amazon Strategy Consultant at Consulterce
It’s no secret: Cost increases are one of the most challenging negotiations with Amazon.
If brands still pursue a cost increase, they often face:
- CRAP
- Buy Box suppressions
- Requests for cost support
The reason for this?
Amazon is a price follower and holds less inventory than most other retailers.
As a result, Vendor Managers are concerned about being among the first to be affected by cost increases.
But what if you could assess your chances of a successful cost increase even before the negotiation?
Introducing: The ASP Compression Analysis
A simple way to understand:
- When to ask for a cost price increase
- What KPIs impact your negotiation strength
- How likely you’ll succeed with your CPI request
Want to learn more?