Success Story: Sporting Goods

Success Story: Sporting Goods

Company Overview

Ben runs the online business for his uncle’s outdoor and camping equipment store, which he has been helping out since he was a teenager. The range is diverse, with over 50,000 SKUs, more than 120 brands from at least 30 suppliers. All product information, specifications and pricing are available in electronic form, which makes it easy for Ben to upload or revise an entire product line. However, the data formats differ from brand to brand and it is time consuming to manage such a vast inventory. The online business started as an eBay only store. Ben has only recently switched to multi-channel and multi-marketplace by having their web site and Amazon FBM running from his upgraded eCommerce platform.

The Situation

Ben saw the need for a repricing solution for his eBay store two years ago. It was until last year when he noticed one of his major competitor‘s prices were changing frequently, that he decided to implement it for his business. Because of supply agreements and restrictions, and also their “price guarantee” to maintain pricing parity with their physical store, Ben needs the flexibilityto apply dynamic repricing only to certain brands and product groups. Ben also wants to know what his competitors are selling on eBay, in case he misses something.

The Solution

Due to his supply agreements, Ben needs a solution that can handle multiple price rules for different brands and product groups.

With StreetPricer’s Enterprise package, Ben’s 50,000 SKUs are split into 2 product groups, a Reprice group and a suggestion-only (do not reprice but tell me) group. Within the Repricegroup, Ben further divides them into an “Accessories” group which has products that are clearly defined and do not require any sales expertise, which Ben would price match anyone as long as he’s still profitable, and another “Equipment” group which has products that require advice and demonstrations during the sales process, that are typically bulky and impractical to return, which Ben would price match at 5% above the lowest priced competitors.

StreetPricer’s can find and lock approx. 65% of Ben’s competitors’ listings automatically via ItemSpecifics, whilst the remaining 35% that gets picked up by StreetPricer’s Radar via AIScanand KeywordScan has to be visually confirmed by Ben and his team, usually because of unstructured product data. “65% is still fantastic, considering how many SKUs we have. We just couldn’t have done it manually all by ourselves.”, said Ben.

StreetPricer then allows Ben to apply different price rules to his groups and updates his eCommerce platform directly and automatically.

The Results

Ben is able to run the company’s eBay store with only a small team. The revenue contributionfrom Ben’s eCommerce section to the overall business has been increasing year-on-year. With an inventory of 50,000 SKUs that are always price competitive, Ben is ready to take their business to Amazon to duplicate its success.