How to avoid listing hijecking and price war?
Hi everyone, I know the question might sound a bit offensive, but I'm genuinely puzzled about how this actually works. I have a listing—it's a wholesale item, branded but not under my brand—and traders can easily sell on it. My question is, why do some traders come and drastically lower the price instead of sharing the buy box for higher profits? I just don't get it. Are there any great tactics to win a price war?
I've heard a lot of horror stories about hijacking listings, but I don't understand how they could do that, and how to avoid it. If I create a brand, trademark, and brand registry, and I don't sell the product wholesale (so they can't buy it elsewhere), am I protected? I know they can still pop into the listing, but afterward, can I make an IP claim for my own brand, etc.? In this case, is my listing protected?
I would highly appreciate any tips! Thank you for your response and time!
10 replies
Seller_KlbXZHzQGSDZv
1 you dont have a listing amazon do.
2 some people may prefer to clear out stock quickly for a smaller profit but a higher turnover so they can invest more. Amazon encourages you to lower the price and unfortunately if you get 2 new inexperienced players on the listing they will reduce it down to the minimun or less profit.
3 hijacking listing generally occurs when you have a great selling item and its worth someone while to hijack it for the reviews etc to folg their tat. How its done is a mystery cause if you want to change anything on a listing you have to jump through so many hoops just to correct the title when it has been entered wrong. Either these sellers have a connection in Amazon (tinfoil hat) or they have worked out how to gain the system more likley.
Seller_Fg2fqaWOnEtha
It's a good question that might require a degree in psychology to answer. Apart then those who have stock to get rid of, there are some situations that don't make sense. Sometimes it seems more a matter of ego (the buy box is MINE!!!) than a rational business decision. There is nothing wrong in sharing a buy box, personally I prefer to sell less for a higher margin than get engaged in a penny war to sell more for less profit. The BB rotates anyway and will depend on your location as well and your dispatch/delivery times. Ratings don't seem to matter, as I have even seen a seller with 46% getting the BB.
Seller_40ozsHlGqPuEL
It`s called business. If you wish to sell on Amazon then your margins may be small. However, if you are the sole seller of product `x` then you could make your fortune.
Seller_NR7AbZwDMu6mb
Sadly Amazon nowadays is plagued by new sellers who have seen a few arbitrage TikTok videos and think they are some big shot business person.
They pretty much all fail eventually, but in the meantime they destroy everyones margin by getting into price wars when they clearly haven't worked out their actual margins after Amazon take their cut.
I am a brand owner with brand registry, don't be fooled into thinking this will help protect your listings from hijackers. It doesn't. Amazon will not enforce distribution agreements.
Seller_IC5dxZRZpcM4T
There is also the issue of repricing software which is a ridiculous concept. People believe they can sit back and allow the software to make them money but newbies set these up incorrectly and down the price goes and along with it the profits.
Personally I do not use any repricing software, I conduct instead i review all stock that need replenishing and examine the current selling patterns of the listing.
Seller_nMvvMNiZTUmR1
simply some people are stupid and do not check there prices or want to sell as many as they can at no profit or loss to get scores up....i get it all the time with people coming in dropping the price under the no profit margin......after time you learn to leave your price at a set price to get your margin....sometime lower to get rid off new sellers...but be careful as this could lower the price for some time
Best solution find a product and list for the margin you want and leave it....start researching new ones...
Seller_qjPjvwmMvJ7tV
The root cause of this is tons and tons of 0 reviews new sellers , showing up on a listing in one single night all at once.
Every experienced seller who can afford to bleed, and is able to take it on chin should not allow those goons who are registering tons of LTD sitting somewhere in China,Turkey,Pakistan etc to piggybag and harvest the profits.
Kill the profits, dont let them relax, don't allow them to take the warm driving seat which is the buy box.