Myth: I need to be the cheapest source on the market
Many sellers seem to be under the impression that in order to be able to compete on today’s ecommerce market, they need to have the lowest price around. In most cases this is totally untrue.
In fact, there are many more things that can more than make up for having a price that is average.
Sure, a key factor in shopping is the price, but that does not mean that this is the sole key to success, in fact, it can be counter-productive to be the cheapest around. In most cases, the goal should be to try and stay price-competitive.
Also, lowering the price too much can negatively impact the market and since there will almost always be someone that is willing to go lower than you, staying near the competition’s prices can be much more advantageous.
Having the lowest price can be a strength, but so can a bunch of other things, and if you highlight those instead of lowering your price, you can get away with landing somewhere in the middle when it comes to who has the cheapest product and still stay in the race.
Some of the things that you could work on highlighting, that consumers are often looking for, includes: brand credibility, trustworthiness, support availability, shopping experience, website attractiveness, reviews and much more.
So, if you focus on these things and highlight the ones you are good at, while simultaneously trying to stay price-competitive, you’ll have a much higher chance of succeeding.
Also worth noting is that “cheap” is often associated with poor quality and dead stock. So…you know…there’s that.