What is the appropriate profit margin for Amazon product pricing? How is it usually priced?

Although Amazon products are exported overseas, merchants do not have to reduce profits to the lowest level. Therefore, if they want to make money, they actually need to price their products reasonably. So what is the most appropriate deposit profit? This is also very important for merchants.

1. Amazon product pricing profit

In fact, the profits of different industries are different. You can know the profits by pricing according to the industry you are in. After all, the profits will be different due to different channels. Of course, 30% is generally appropriate.

2. How is pricing usually done?

For the same product, the strategies are different when there are competitors and when there are no competitors. At the same time, the ideas of products are also different at different stages.

1. In the new product stage, there are no good reviews, no ratings, no loyal fans, and no competitiveness. If the price is set the same as the mature price, imagine if anyone will buy it?

Of course not. Therefore, in order to cultivate a good experience and quickly enter the market, it is advisable to set a lower price for a new product. However, it should not be set too low, otherwise it will not only fail to make a profit, but also underestimate the value and even suspect that it is selling fakes.

2. In the growth stage, when the quantity and score have a foundation, the quantity is on the rise, but the number of loyal fans is still small. If it is in the growth stage, the price can be slightly raised or controlled in a slightly lower range.

3. Mature stage. When it is already very stable, the ranking and rating indicators are very good, and a lot of foundation has been accumulated. The performance has far exceeded that of ordinary store owners, and it can be seen from all aspects that this is a hot product.

So, at this level, the price comparison has weakened, and it represents more the image and store positioning. So, you can safely raise the price. Loyal customers will not leave because of the price increase, so everyone can make more money during this time.

4. Decline stage: After the popularity has passed, the product will slowly enter a decline stage. New products with more complete functions will replace the old ones, loyalty will decline, demand will gradually weaken, and sales will be much lower than before, so there is no need to continue to push it. If there is still inventory, it can be cleared, which means it has reached the closing stage.

What follows is the need for everyone to develop new products, and then the pricing idea for new products is basically based on this. As long as everyone learns more, they will gradually understand the pricing stage.

In fact, the appropriate degree of profit from Amazon product pricing is related to the industry you are in. There are differences in profits between different industries, so you cannot just look at a certain standard and then apply it rigidly. You still have to look at the profit based on the product pricing in your industry.