Pricing Strategy in eCommerce- How to Maximize Your Profits!

Pricing Strategy in eCommerce- How to Maximize Your Profits ? 01. Cost - Plus Pricing This method requires a company to write their unit product costs . • The task here is to develop the right profit margin to maximize the profits . • Two major factors play a role in this : competitor prices and customers ' willingness to pay . ● 02. Value - Based Pricing • If you believe your product is worth it and you start overcharging it , you will automatically reduce your customer base . • Value - based pricing ensures that your customers are happy about the pricing of your product . 03. Competitor - Based Pricing ● If you want to maximize your profits and stand out , you must chase your competition . • You have to monitor your competitors ' prices and set a relative price in this strategy . You can either set the same or lower pricing . • This model only works if you are selling identical products . 04. Psychological Pricing With time , sellers often understand their customers ' preferences and perspectives . These insights help form a strategy that works for you and your customers . Many believe it is a part of neuromarketing as well . 间 18 BUYR 05. Name your Own Price Based Pricing What if you throw in a surprise and set this amazing pricing strategy ? In this , you allow your customers to name their prices for the items they wish to buy . A lot of organizations like Buyr.com are using it and are still earning better profit margins . Are you intrigued ? 18 eCommerce is a challenging niche . You need to review the market and make changes accordingly in your pricing structure to earn and maximize your profits . For more details visit our website : www.buyr.com $ 5.99