Strategy Editor
You may need to upgrade in order to access the Dynamic Pricing Module. To enable this features, contact your Account Manager.
IF YOU ARE A RETAILER (NETRIVALS USER)
Watch this video to know more about our Dynamic Pricing feature:
How my price is calculated?
Dynamic Pricing requires certain data to calculate the price to be used in our strategy. This will be both cost price and taxes. The formula used to calculate the current price is:
Cost price including taxes/(100-Min margin)*100
E.g. I have a product with a Cost price of €100, and my minimum margin is set to a 20%, therefore:
100€/(100-20%)*100= 125
Strategy Editor
The Strategy Editor area is where you set all the rules that need to be considered within your repricing strategy.
There are four stages within this view:
- Settings: These are the general settings for your repricing strategy.
- Default Strategy: These are the default rules the system will take into account if no further/more specific actions are defined below (Manual override and Discard actions).
- Manual Override Actions: These are rules that apply to specific products.
- Discard Products: This option allows you to discard products that should not be taken into account when generating price suggestions.
Settings
These are the global settings for your Dynamic Pricing.
You can check this video to know more about the Settings and how to establish these less priority rules in the Dynamic Pricing module:
1. Rivals included in your Dynamic Pricing
You need to enter the rivals that need to be taken into consideration by the system globally. You can choose to include All competitors, Include only specific rivals or Exclude particular ones.
2. Set a price minimum margin for your brands
You can get to set the minimum margin by default. Imagine that you want to keep a minimum margin of 25% for all your products, then you would need to enter such percentage in the box that you will find right next to the ‘Default min margin option’.
If there are other specific brands for which different margins apply, you can define such exceptions at this stage by entering that lower or higher percentage in the box on the right of each brand, and the system will take those criteria into account when calculating the repricing from the very beginning.
The 'Force min margin when no action applied' feature is not active by default and if you want it activated, you’ll need to contact your CSM or support team.
If this feature is deactivated, products that are not affected by any rule will not be taken into account when doing the repricing calculations based on the minimum margin.
If the feature is activated, minimum margins will also apply to those products that are not affected by any rule.
3. Shipping costs
You can choose whether to consider shipping costs or not.
If you click on the first option, shipping costs will be added to the price of the product. Take into account that if a rival is not publishing the shipping costs, we will discard this rival from Dynamic Pricing.
If you click on the second option, shipping costs will be sum to the price of the product but they will be substracted on the final suggested price.
4. Marketplaces sellers management
You can choose which sellers to take into account or not in your Dynamic Pricing strategy. You will be able to select specific sellers for each of the marketplaces you are monitoring in your Netrivals platform.
If you disable this option, marketplace sellers will not be taken into account, only Direct Web retailers, namely that you will exclusively receive suggestions based on the price of the winner of the buybox/main price displayed in the marketplace for the connected products.
There are 3 main scenarios for sellers management:
Case 1. Discard all sellers, only take into consideration main price/winner of the buybox:
In direct Web selector we active the toggle button and we choose our marketplace (Option will be marked as active by means of green circle in top right corner):
And in the name of our marketplace we maintain the toggle button off:
The outcome is the following; all sellers discarded, main price considered as suggestion:
Case 2. Include all sellers:
If we consider sellers for our strategy by activating the seller management toggle button for the marketplaces, then we will add the prices of the aforementioned players (if you select direct web competitors as well, prices will be added along with marketplace sellers).
By selecting the toggle button we will automatically include all sellers with connected products in the marketplaces included):
This is the outcome for such configuration:
Visually, direct web is discarded, but the seller's price for that product is included (in blue on top) not missing any price.
Case 3. Include/Exclude some sellers:
Dynamic Pricing will include or exclude the sellers added in the right box.
Sellers excluded, not considered for the strategy:
Sellers included for the strategy, the rest will be discarded:
Outcome for this case is the following some sellers are included, others are discarded:
If shipping costs are considered and/or main price/winner of the buybox is not the cheapest price due to other criteria considered by marketplaces other than cheapest price, order of sellers might vary:
4. Discard connections
This option protects your price settings if a technical malfunction occurs in your rivals’ web or they suddenly change their numeric system related to the prices. These situations could make Netrivals register that a price of 3.00€ has been modified to 300€, but it would be due to a human error when entering the data or a mistake that could have been caused by one of your rival’s e-commerce system. Through this option you can set the percentage of deviation over and below your own price in order to avoid anything that falls out of that deviation limit.
5. Schedules timezone
You can select your timezone to make sure that when you schedule by date and hour a Manual Override Action, it applies taking this information into account.
6. Sales Performance time period
The period of time considered for Google Analytics conditional actions.
7. Other settings
Four different types of settings are available:
- Discard sellers above List Price: Requires having a List Price added to the feed file. List Price is the MSRP or the Manufacturer's Suggested Retail Price by a given brand for a given product. When the setting is active, all sellers above this Price are discarded from the calculation and not considered in Dynamic Pricing.
- Discard sellers above Maximum Price: Requires having a Max Price added to the feed file defined by yourself. When the setting is active, all sellers above this Price are discarded from the calculation and not considered in Dynamic Pricing.
- Discard sellers below Min Margin: The Min Margin is set in settings step in strategy editor. Any sellers below it re discarded from the calculation and not considered in Dynamic Pricing.
- Discard sellers below Minimum Price: Requires having a Min Price added to the feed file defined by yourself. When the setting is active, all sellers below this Price are discarded from the calculation and not considered in Dynamic Pricing.
IMPORTANT!
- All these settings require to have the information regarding List Price, Min Margin, Maximum and Minimum Price informed in the feed source and activated by our team.
- For enabling and disabling these settings you will need to contact your Account Manager or Support Team via ticket.