Industry-Leading Retail Brand Receives Over $100K in Additional Profits in 6 Weeks With Feedvisor
“We are blown away by the overall Feedvisor experience. We partnered with Feedvisor 12 months into our marketplace endeavor and if we could change anything, we would have done it sooner to get the benefits that we are experiencing today.”
Introduction
This widely recognized retail brand joined the Amazon marketplace in March 2017, specifically dedicated to selling repair parts for large appliances and lawn and garden items. Examples include specific parts for refrigerators, dishwashers, ranges, water filters, and lawn mowers and trimmers. Currently, the retail brand’s Amazon store has approximately 90K active SKUs and is pacing to achieve an annual revenue through Amazon of $27M in 2018.
Challenge
Finding an Optimization Solution With Flexibility and Intelligence
Prior to partnering with Feedvisor, the brand was utilizing ChannelAdvisor for order integration and listing enhancement, as well as for repricing and analytics. Upon using the repricing and analytics tools, they quickly realized that they needed a platform that provided greater functionality and flexibility and was less binary. They needed to implement a repricing solution with more granular reporting to help them make stronger pricing, fulfillment, and replenishment decisions. They required deeper insights to help them identify where products are in their lifecycle, liquidate stagnant items, or break down performance by SKU.
Solution
Create a Customized Pricing Strategy to Drive Overall Profitability and Sales
We performed a strategic review of the brand’s business operations and demand generation opportunities, such as identification of top sellers and inventory optimization solutions. From there, we established a detailed roadmap and conducted research and experimentation to customize the demand model for their products. We applied our automated, AI-driven pricing optimization and intelligence solution to manage SKU-level strategies in real-time, for both competitive and private label products — mapping both direct and indirect competition. Lastly, we provided monthly updates to review KPIs, performance impact, and to optimize business strategies moving forward.
Results
Tangible Improvements in KPIs, Demand, and Profits
- Upon partnering with Feedvisor, the brand’s Buy Box share for their entire catalog increased by an average of 18%.
- The company experienced an increase of nearly 30% in their average daily sales versus before they were implementing Feedvisor’s price optimization and intelligence.
- The first batch of items that the brand moved over to Feedvisor that had never sold previously brought in over $100K in additional profits during the first six weeks.
Conclusion
Retail Brand Receives Ongoing Value With Feedvisor Partnership
Before Feedvisor, the retail brand didn’t have a comprehensive way to measure their profit margins. Now, they utilize Feedvisor’s cutting-edge technology and predictive business intelligence to get a very specific view of their overall profitability. Their most frequently used reports are the “Top 5 SKU Reports” and “Top 200 SKU Reports” so they can monitor that their top sellers are still increasing in conversion and discover their inventory position at a glance. Upon achieving $20M in revenue within their first year on Amazon, the retail brand is focused on continuing to optimize their marketplace strategy and leveraging the data provided to them with Feedvisor to accelerate performance and profitability according to their business goals.