blog / article

Differences between Amazon market research and repricing tools

by Cardy Chung
6 Dec 2021
The concepts of a market research tool and a repricing tool can be confusing to Amazon sellers as they have some similarities. Both tools use Big Data to help sellers make better decisions. Some might even be thinking – “Why do I need another tool if I already have one of these?” The answer is maximizing profit! A market research tool and a repricing tool are vastly different in terms of their purpose and the results achieved. All Amazon sellers should absolutely have both!

What is a Market Research Tool?

As the name suggests, a market research tool helps sellers find information and insights on the market, such as the best products to sell, keywords searched, latest trends, competitors’ analysis, etc. Through tracking online data, sellers using a market research tool can identify and capture potential sales opportunities. It also allows sellers to reduce risk of failure by knowing which products have the highest rates of success before actually investing resources. Some of the most well-known Amazon market research tools are Helium 10, Jungle Scout, SellerApp, but there are many more.

What is a Repricing Tool?

A repricing tool is software that automates the process of price adjustment. It removes both the hassle and the massive time sink of manually researching market pricing or analyzing inventory turnover to determine the best price for a seller’s products. You simply set the rules and the repricing tool will adjust the products’ price for you 24/7, some even do this in near real-time. Some of Amazon’s highest rated repricing tools are StreetPricer, RepricerExpress, BQool, Informed.co, and Aura. We also have an article explaining the basics of a repricing tool in more detail with a full breakdown and recommendations.

Major Difference between Both Tools

The similarity between both tools is that they allow users to research competitors’ activities and the pricing of a product in a specific market. They are different, however, in that a market research tool lets users see historical prices, while a repricing tool focuses on the current price and making sure you always have the competitive edge.

The market research tool is an information-tool. Although users can see the pricing a given product has sold at, they would still need to analyse, compare and determine the best price for the product themselves. On the other hand, a repricing tool is an action-tool. Not only does it identify competitors’ prices but it also makes recommended adjustments to your product’s price automatically. It analyzes and reacts to information as soon as it becomes available.

In this case, it might seem like a repricing tool is more useful but it’s only because repricer focuses specifically on the pricing aspect, while market research goes beyond that to include keywords, SEO strategies, trend projections and more. Each of them serves a different purpose for users – one gives a broad overview of information and one does all the price management.

In summary, all sellers should use both tools for their business as they are equally important. Use the market research tool to determine which products to sell and use a repricing tool to set the best price for that product. A good Amazon seller lets both pieces of software complement each other while putting untold hours back in their week and maximizing profit.

ABOUT THE AUTHOR

Cardy Chung is the founder of StreetPricer. Read more articles by Cardy Chung.

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