As a brand, you compete with specific types of competitors only. For example, like Nike, you compete with Adidas, New Balance and brands like that. Although you are interested in the competitive dynamics, you may not focus on an unknown brand unless it is fast emerging and capturing your market share.
Likewise, as a multi-category retailer, you are comparing yourself to peers like yourself. Yes, you may have a competitor who prices lower than you. But customers may ignore the cheap vendor for low ratings or low trust. Thus, you generally want to compete only with competitors in your cohort.
As a retailer or brand, you need precise product and price data at an SKU level. And, you need data on competitors and how customers perceive them. Latter means the competitor ratings, search rankings, and similar metrics. With this rich multi-dimensional data you can compare your brand against the right cluster or competitors and effectively price. As a multi-category retailer, you may have a set of competitors in one category and others in other categories.
We find that retailers that use this type of data are optimizing profits. Premium retailers are ignoring the bargain sellers as that leads to a price war with low profits. They are also comparing themselves with the local competitor that has the same level of brand like them. And they are doing even deeper and creating a cluster of competitors at a category level. This level of competitive intelligence gives sophisticated retailers the edge.
GrowByData provides high-quality SKU level data to retailers and brands. With our high precision matching, we can give the retailers selling the SKU along with their review scores and other metrics. Based on the inclusion/exclusion criteria, we can suggest prices. Likewise, clients pricing team can run their own analysis and price appropriately with our data.