Competitor price analysis

What is involved in competitor price analysis and why is it important in pricing strategies?

Competitor price analysis is the process of collecting, analyzing, and comparing the prices of the same or similar sneakers offered by competitors in the resell market. This involves researching the prices at which other sellers are offering the same models of sneakers, on various platforms, and comparing them to your own prices. The analysis should consider various factors such as the condition of the sneakers, the reputation of the seller, and any additional costs such as shipping or fees. The aim of competitor price analysis is to understand the current market prices for a particular model of sneaker, identify any trends or patterns, and use this information to make informed decisions about your own pricing strategy. For example, if a competitor price analysis reveals that a particular model of sneaker is consistently being sold for around $300 by multiple sellers, it may not be wise to price your own pair significantly higher or lower than this without a good reason. In the sneaker resell market, prices can vary significantly between sellers and platforms, so conducting a thorough competitor price analysis can help to ensure that your prices are competitive and attractive to buyers. For beginners in the sneaker resell market, conducting regular competitor price analyses can help to inform their pricing strategies, identify opportunities or gaps in the market, and ultimately, maximize their profits. However, it is important to remember that while price is an important factor, it is not the only one that buyers consider, so it should not be the sole focus of your strategy.