Here are some tips from us that will help you set the price accordingly:
- Ensure you do not price yourself out of the market because that might lead to losing many potential new customers.
- Strike a balance. Make sure you consider your product, production costs, target market, revenue goals, and competitors’ price points.
- Try to research and analyze how much your target customer is willing to spend on your product before setting a final price.
- Use your competitors’ prices as a starting point to enter the market. Analyzing similar items will help you get an accurate comparison.
- Consider using a 3rd party auto repricing tool if you are selling against others on the buy box.
- Analyze where the corresponding market is likely to head within the next few years. Is your item likely to stay in trend? Is it something that people are likely to use in everyday life? Can you innovate and possibly secure a patent on an improvement to the functionality of the product?
Don’t forget to enter your COGS (cost of goods) into sellerboard on your new product! sellerboard will help you know your launch costs and clarify your profitability of the newly launched product.
Always make sure to evaluate your market and A/B test different price points. Proper pricing research and testing will help you learn whether you accurately price your products to achieve sustainability in your growing business.
Have fun selling! 🙂
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