Amazon is Winning Because of: Bots
Amazon most likely has lower prices than most stores--including yours, shares Retail Dive.
"With the holiday sales season underway, Amazon is pricing 20% below other online retailers on average in key product categories, according to a study by Profitero."
You may ask, how is Amazon wining this online price war? I'll share my answer: Bots. Amazon has unleashed an army of bots to crawl and scrub all of your data and websites, and report it back to Amazon HQ where Amazon uses this data to set it prices lower than yours. I know this because Amazon is constantly crawling our retailers' sites. It's as if Amazon had millions of secret shoppers to visit every store, enter them, write down prices, and then send that back to HQ. Would you want secret Amazon agents entering you store to do competitive research? Our response: Bridge is constantly blocking Amazon's bots. But most indie stores don't have the tech know how or manpower to stop these bots.
Most retailers (and industry leaders) are unprepared for this. I recently spoke to the head of a market building that praised Macy's for buying Story. I just about laughed out load. The future is tech and software, and part of this equation is using bots. Macy's should be buying bot software to crawl websites--which would enable it to have the same or lower prices when compared to Amazon. (Story has little or no tech IP, and I predict it will be written off as a loss within a few years.)
Read the full article here:https://www.retaildive.com/news/amazon-is-dominating-the-holiday-price-war/566055/