Best competitor price monitoring software

September 28, 20200

Competitor price monitoring software goes by many names: price scraping, price monitoring, and price comparison software, just to name a few. Whatever you prefer to call it, price tracking software can make a huge difference in your pricing strategy by helping you be more aware of your key competitors and the prices of their items on the marketplace and online shops so you may in turn implement competitive pricing for your product assortment.

How does competitor price monitoring software work?

As implied by the term “price scraping,” price tracking software uses bots to “scrape” information from competitor websites such as product model numbers, images, and textual descriptions, and track thousands of prices. The software compiles this information for retailers in one place so they can later use it to cross-check competitors’ prices on bestseller products and other items. This information gives retailers a good perspective of the market and can help them utilize dynamic pricing even more effectively.

Price monitoring platforms bring a competitive edge to your business strategy and pricing decisions as you can receive up-to-date price updates and collect price information about competitors, and other data important for strategic decisions.

Price monitoring enables retailers and eCommerce professionals to effectively manage stock and offer the best-fit prices for product assortments. Every price change is backed-up by large-scale research and stock information.

What are the benefits of Competitor Monitor Service?

If a client compares prices, it should. Using an effective price control system can provide a competitive advantage when unexpected competitors’ prices change, as well as enables one to stay ahead of the competition. With price monitoring, retailers can effectively track prices on competitor sites and make instant, intelligent decisions to boost their dynamic pricing strategy.

Competitor Monitor is an automatic service that reduces the amount of time you spend manually monitoring competitor prices. In addition, by using the service, we offer you better insight into price fluctuations and more detailed knowledge of the best way to design pricing strategies.

As mentioned before, some price tracking software can also give you information on more variables besides competitor prices, such as promotions, stock availability, and assortment. Due to competitive intelligence, you get to know about numerous factors that can further enhance your own market strategy, take pricing optimization to the next level, and thus improve profit margins.

For example, if you know a key competitor on the market is out of stock of a certain item, you may be able to raise your prices and maximize profit without major risk of impacting your sales. Holding a sufficient amount of price information facilitates your business to stay competitive and proactively respond to the market changes on daily basis.

 

Not all price scraping software is the same

One aspect of the price monitoring tool that is very important to consider when selecting the right price monitoring product for e-commerce companies is how they scrape information about competitor products and with what frequency. Many sites and program companies offer very cheap price scraping services, but it is cheaper for good reason.

Key Challenges in Competitor Product Scraping

Companies are very aware of the fact that their websites are being scoured for information, and they do everything they can to protect this information from bots using various CAPTCHAs or java-script coding. What this means for your price scraping software, is that if their bots are not advanced enough, they will likely fail to obtain the necessary information because of these protective measures.

What is even worse, they will likely not alert you to the fact that this information is missing or out-of-date, meaning that you will be unaware that you are using incorrect information to set your prices.

How often your software gives you information is also very important. The retail market is a fast-paced and competitive environment. To put it simply, if you are setting prices based on information that was scrapped yesterday, this information may already be outdated.

Some software providers may only do weekly data scraping, or even if they do daily data scraping, they may not inform you what time of day this data was collected. All of this information is vital to your pricing strategy, so it is important that you ensure you know exactly how fresh your pricing data is.

Why retailers need competitive price monitoring solutions

Retail price monitoring software helps both small businesses and large corporations by providing detailed information on the wholesale and retail prices of all products. This is very useful for any product that you are selling or buying.

One of the main advantages of a competitor price monitoring platform is that it will help you estimate the profit margin of your business. It can be used by both small and large companies. It not only helps you monitor the wholesale and retail prices of a particular product but also allows you to keep track of your online shoppers’ orders and sales so that your sales team can anticipate future sales and plan ahead.

Price monitoring platform helps you run your business efficiently by enabling you to accurately compute the appropriate prices of all products. Also, you can make the right profit estimates for each product and take better decisions about discounting your products and services. It not only helps you see your profits but also helps you avoid market risks by foreseeing the prices of specific products.

The system uses a combination of real-time prices, current orders, and sales to compute the most accurate average retail price. It compares the prices of similar products to find out the current wholesale and retail prices of each product. It also provides you with exact information on the type of product that sells best at the current prices.

This competitor price tracking software helps you to monitor competitor prices and provide the exact product you are selling so that the potential customers can know exactly what they need in terms of product. It also makes you aware of the types of customers who place orders, and when they place their orders, they have their profiles available so that you can give them the exact product they are looking for at the current prices.

Another advantage of this system is that it allows you to sell the exact product. You will never have to guess the exact price of the product, just as long as you have the software. This system also helps you make the right decision on price-cutting because it predicts the demand for the product.

These systems are widely used by online retailers to calculate the margins and make profit estimates for the goods that they sell. They also provide the perfect information on the total number of products in stock and the expected retail sales so that you can cut the cost of over-stock inventory management.

How to choose the best competitor price monitoring software for your company

Knowing all of this, there are a few key factors to think about to ensure you select the right price monitoring software for your company:

Data quality

Data is king, and its quality is a crucial measure of the end result. In other words, a well-suited data set seeks to serve its specific purpose. Thus, quality data should be accurate, relevant, reliable, complete, and timely.

Make sure that the software you choose meets all these requirements. Many companies will offer a data quality guarantee in their SLA, so be sure to look over this carefully. Quality and accurate data are the basis of a good pricing strategy, so none of the variables should go overlooked.

Data delivery

Platforms you opt for your business needs should deliver pricing updates you want to receive exactly when you need it. With a repricing tool that seamlessly delivers you fresh information, you can much easier and more effectively stand out from your competitors and engage with a more significant number of clients.

If you need your data given to you at noon every day, make sure that your provider has agreed to this and can deliver it timely, so you can make up-to-date decisions to fit the market demand. Otherwise, a lack of prompt competitor monitoring may cost your company profits.

Ease of use

Price monitoring software should help you take the complexity out of collecting and analyzing competitive data. However, if the platform you use for your e-commerce needs is not user-friendly and intuitive, it is not doing its job of enhancing your price evolution.

An easy-to-understand user interface will ensure that you can monitor your competitors in a way that saves you time and resources. The quicker you can analyze competitors’ products, the faster you can develop relevant conclusions and implement them into business processes.

Customer care

A price monitoring software that does not provide you with excellent customer service may prove to be a waste of your time should you have any questions or concerns about your product. Make sure your provider is quick to respond to you when you need them and can help you address any of your inquiries regarding your software and how you use it.

Conclusion

Competitor pricing software can prove to be a vital asset to your pricing process by giving you key market insights to base your pricing strategy. The difference between a mediocre and an excellent program provider may not be evident at first glance, but using the information we have covered, you should be able to select the right trending products for your business that results in saving time, money, and spares you the headache of spreadsheets and manual price monitoring.