By Martin Heubel, Founder and Director of Consulterce, a strategy consultancy for B2C Household & CPG brands.
Demands for price matching and margin compensation force many 1P vendors to differentiate their product portfolio on Amazon.
So they’re launching colour variants or larger pack sizes to evade Amazon’s pricing algorithm and charge higher consumer prices.
Could this be the end of dreadful buyer demands for higher margins?
Not so fast.
Amazon does ‘not’ accept colour variations or different pack sizes as exclusive.
The reason is price transparency in the online channel:
Amazon wants to maintain customer trust and will refer to other variations to set competitive prices for these items (e.g., based on price per gram).
So if you want to escape Amazon’s pricing algorithms, you need to launch a product that has a real USP when judged through the eyes of the end customer.
I just released an article that talks explicitly about how to successfully launch Amazon exclusives.
So if you want to know:
- What exclusive products are
- Why you should launch exclusive products
- What Amazon considers exclusive
- Common pitfalls to avoid
- Examples of Amazon exclusives
- FAQs about product exclusives
…then make sure you read the article here
