In this article, we are going run through some tips for pricing your Amazon Products. If you looking to sell products on Amazon, either brand names or private label, determining how much you should charge for your products can be a very difficult task. You do not want to charge too much, or else no one will purchase the product. However, you do not want to set the price too low or else your profit margins will not be large enough for you to receive any benefit.

There various factors to consider, your competition’s prices may be extremely low, you could be up against private individuals, big companies or…Amazon themselves! Competition is normally very fierce no matter what category you are selling in and some companies such as Amazon in particular, can afford to keep the margins small and in some instances could even be selling products at a loss to move stock on etc.

The best way to determine price points is to analyse your competition and research through some angles which we will cover in this article.


So what the main points that you should be looking at when pricing up your items selling price?

  1. TOTAL COST IN. Off course, firstly, if you are buying your own goods from overseas to sell on Amazon, you will need to factor in how much your item has actually cost you to source, purchase, ship across to your home / office, private label, package up etc. If the cost of all this is more than what similar items are already selling for by your competition then you have a BIG problem…you have not done enough research before sourcing and buying your items in the first instance. Go sit in the corner you naughty boy or girl….But on the basis that you do have plenty of margin for profit after factoring all the costs in you can move on to step two. Well done you.
  2. COMPETITION PRICES. How much is the competition selling their items for? Can you beat them? Make you sure that you do a like for like comparison, for example, are the other items listed as up to date as yours? is your product a more current model? Will you item come with any free extras? If yes to these points then make sure to emphasise this in your description. Can you price match Amazon? If yes, then go for it, if you can get enough sales and customer reviews behind your product you stand a good chance of Amazon showing your product on their website to potential buyers.
  3. SALES RANK. When an item has a good sales rank it tends to mean that an item is more likely to sell better, meaning that if Amazon is the competition consumers will then not worry so much about buying from a private individual / company that is also selling the item – if the item is hot then the buyer will just want to make the purchase without worrying about the price or who is selling the product.
  4. COMPETITON. Is there a lot of competiton for your products?  If not, then you should have more felixbilty in your selling price, if there a lot off other sellers selling the same product as you then this will tend to push prices down. Over supply and little demand = lower prices.
  5. PRICE HISTORY. You can check for the historical price history of your products on a site called CamelCamelCamel. Having an idea of a price of a product over a historic period of time, some items have big fluctions up and down, will give you an idea of what price point you should be aiming for, look for the average selling price and try to hit the sweet spot.


If your competiton is Amazon then dont be in to much of a rush to beat their price, they will very easily match your selling price or even undercut you and then you run the risk of playing a game that can ultimaley push the price down on the product that you are selling over an extended period of time.

This video on YouTube from Andy Slamans gives you some more details about pricing up your products when selling on Amazon:



Price does not always reflect the caliber of the item, it could simply be supply and demand, if an item is hot, like the latest Christmans presents that kids just need to have, it could just be that and not the fact the item looks like a plastic piece of junk. Supply and demand will always push prices up.


If the competiton is low for your item on Amazon, and therefore difficult for you to get a good sales marker, it is possible for you to search the exact same product online and decide the price by what other online reatialers are selling it for. Low competiton could mean that you are in control of establishing a price point for your products and therefore you will find yourself in a position where you are not being dictated to by others.


As mentioned before, price can impact the demand of an item, even expensive items. Sometimes Amazon have flash sales or certain sales days e.g. Black Friday, so even an expensive TV unit that has had a small price drop could suddenly start to sell in much larger volumes that the previous months that the item has been on sale for. People love a price drop through a sale, even if it is just by a few bucks or a couple of pounds.


If you are are not competing against individuals but against other companies, possibly large ones, you could find yourself in a strong position, for example, if you are working from home and storing your items in a lock up or a garage or using Amazon FBA,  you can then gain an advantage as you do not have to pay overhead expenses, for example, rent for a building, staff etc. Yes, the larger companies could have more buying power but they also have more overheads so use this to your advantage.

Also, large companies could fall foul of miscalculating the sales volume of a particular item, conservatively, a business must not overproduce an item, they could then look to slash the price of the product to move it on so keep an eye on this and do not get caught in a fire sale war.

Hopefully, these tips for pricing up your Amazon products at the right amount will enable you to sell more items and stay ahead of your competition.