Most online shop owners do not know their market position. They know their price. But they do not know where that price stands relative to others. Product by product, in real time.
Market position monitoring answers the question: “where do I rank for this product?” Not roughly, but exactly. For every product, every day.
What market position is
Market position shows where you rank, for each product, among all online shops selling the same product. Position 1 means you have the lowest price on the market.
That does not mean position 1 is always the goal. For some products it is right to be in 2nd or 3rd place, if the margin is better. What matters is knowing where you are and why.
Why a snapshot is not enough
A manual check gives a picture of one moment. But market position changes constantly.
A typical example: you check the price on Monday, you are in position 2. On Tuesday a competitor cuts the price 3%. You do not know it, because you do not look on Tuesday. On Wednesday a customer leaves, because they found the same product cheaper elsewhere.
Position history shows the trends. Is your position slipping gradually? Bouncing up and down? Steadily in first place? That information is strategically valuable.
How to measure market position
E-shop price monitoring measures your market position automatically for every product, every day. You see:
- Your position on every product (1st, 2nd, 3rd, etc.)
- The price gap to the cheapest competitor (absolute and percentage)
- Position history: how your position has changed
- How many products you rank 1st, 2nd or 3rd on. An overview of the whole catalogue
What to do with your position
When you are in position 1 by a wide margin
This is a signal: you can raise the price. If you are 5 euros cheaper than the next one, you can raise the price by 3–4 euros and still stay first. Your margin improves.
When you are in position 1 by a small margin
Stay alert. Alerts matter especially here. If someone becomes cheaper than you, you know it immediately.
When you are in position 3 or lower
Look at why. Is it a deliberate decision (for a higher margin) or have you simply fallen behind? Sometimes position 3 is acceptable, sometimes it is a signal to review the price.
Where you can monitor market position
Comprice monitors market position automatically for all products. You see the position on every product, up to 12 months of position history and an overview of the whole catalogue in one view.
Read more: e-shop price monitoring and price monitoring software.
If you want to see your market position with real data, try it free.