What is the pricing strategy to make users think that Amazon is the lowest price?

ByZhao!

Online shopping site The appeal of Amazon is that delivery is usually free, and it is inexpensive price setting. Specialize on startup data analysisBoomerang CommerceAnalyzed the price of Amazon's product, we saw Amazon's clever pricing strategy of thinking "Amazon is the lowest price" to users.

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How Amazon Tricks You Into Thinking It Always Has the Lowest Prices | Re / code
http://recode.net/2015/01/13/how-amazon-tricks-you-into-thinking-it-always-has-the-lowest-prices/

Boomerang Commerce tracks price changes in Amazon and other online shopping sites. As a result, I heard that there are several strategies to set Amazon pricing. That means that the popular products are cheap, but the price of less popular products is not cheap compared to other shopping sites.

ByEric Peacock

For example, Samsung Electronics's TV, one of Amazon's best-selling televisions, is sold for $ 350 (about 41,000 yen) to Black Friday in November 2014 where a large sale was done It was keeping the lowest price among net shops. When Black Friday started, the price dropped to 250 dollars (about 30,000 yen), it seems that the price was considerably cheaper than competitors.


Meanwhile, when examining changes in the price of HDMI cables that many users purchase in conjunction with television, it was found that Amazon set the price of HDMI cables 33% higher than usual for 6 months before Black Friday It was. About this, Boomerang Commerce says, "HDMI cables are not the most popular product in the product category, and users do not check the price of HDMI cables on non-Amazon sites, It seems to be reason to set it higher than other companies. "


Also, most of Amazon's popular products are competingWalmartOn the other hand, the survey revealed that the price is set 30% higher than Walmart for products that are not popular like the wireless LAN router, while the price is sold at about 20% lower price.

Amazon is not the cheapest net shop, but for "popular products" and "products with a lot of page views" it is consistently selling at a low price, so users are cheapest if it is "Amazon." It is said that it is easy to think that it is "Deaf".