Why Pricing Strategy Matters Now

As tariffs shift and marketplaces get more competitive, ecommerce brands must rethink how they price, promote, and protect their margins. A well-executed pricing strategy can help brands attract price-conscious customers, preserve margins, and strengthen long-term brand value. On the other hand, the wrong strategy can leave your brand vulnerable — falling behind competitors and unable to adapt to shifting market conditions.

This guide unpacks proven strategies and practical tools that help brands stay competitive without sacrificing profitability. From psychological pricing to dynamic repricing software, and expert insights from Spreetail's Senior Director of Pricing, this is your go-to resource for building a future-proof pricing strategy.

Pricing Strategies to Keep in Mind

Monitor Competitor Pricing and Market Signals Daily

Keeping a close eye on competitor pricing helps brands stay responsive in a dynamic marketplace. Even without automation, manually tracking the prices of both direct competitors and dominant players like Amazon and Walmart can reveal key trends such as discount cycles, promotional timing, and bundling tactics. Monitoring this data daily helps you make informed pricing decisions that maintain your competitiveness—without falling into price wars.

Leverage Value-Based and Psychological Pricing

Rather than racing to the bottom, price your products based on the value they provide. If your brand offers unique features—such as eco-friendly sourcing, extended warranties, or faster shipping—make sure those benefits are clearly communicated. Combine this with psychological pricing strategies like charm pricing ($9.99 instead of $10) or tiered options (Basic, Plus, Premium) to nudge shoppers toward higher-value purchases. These tactics subtly increase perceived value and conversion rates without needing to lower prices significantly.

Use Time-Sensitive Promotions to Spark Urgency

Time-limited offers—such as flash sales or limited-time discounts during key events like Prime Day or Black Friday—create a sense of urgency that encourages immediate purchases. These promotions allow brands to boost conversions in the short term without committing to long-term price reductions. Carefully plan your pricing calendar around seasonal trends, and pair promotions with marketing campaigns to drive traffic and maximize impact.

Drive Higher AOV with Bundles and Volume Discounts

Product bundling is a strategic way to increase average order value (AOV) while offering perceived savings to the customer. "Buy more, save more" promotions or curated kits (e.g., a fitness starter pack or seasonal home décor set) deliver added value without lowering unit prices. Bundles also reduce fulfillment costs by consolidating shipments, which helps preserve margins—especially useful in tariff-heavy categories.

Personalize Discounts and Promotions

Personalized pricing strategies are a powerful way to convert without public-facing discounts. Use CRM and customer behavior data to offer targeted deals—such as first-time buyer discounts, loyalty perks, or cart abandonment incentives. These custom offers feel exclusive, improve the customer experience, and avoid the brand erosion that can come from blanket markdowns.

Implement Regional or Zone-Based Pricing

If logistics disruptions are impacting certain regions more than others, brands can consider regional or zone-based pricing strategies to maintain competitiveness. While Amazon doesn't allow variable pricing for standard shipping within the 48 contiguous states, it does support price adjustments for expedited and premium shipping options, as well as select services like AWS. Leveraging tools like zone-based shipping or regional fulfillment networks enables brands to absorb variable costs without inflating national prices.

Prioritize Ad Spend on High-Margin or Low-Tariff SKUs

To maintain profitability in a tariff-inflated market, focus your advertising efforts on SKUs with healthy margins or those unaffected by increased import costs. Use tools like Amazon Sponsored Products or DSP to direct traffic to these high-value items. This allows you to maintain growth without overexposing your most vulnerable SKUs, optimizing your return on ad spend (ROAS) while keeping your pricing strategy intact.

Add Post-Purchase Value to Justify Premium Pricing

When customers feel taken care of after a purchase, they're more likely to accept—and even prefer—premium pricing. Add value through high-quality support, user-friendly returns, how-to guides, or setup videos. QR codes linking to product tutorials or usage tips can boost customer satisfaction and reduce return rates. These investments support pricing power and build long-term brand loyalty.

Dynamic Pricing Tools to Keep in Your Arsenal

When it comes to staying competitive, brands need smart, scalable solutions that respond to market changes in real time. That's where dynamic pricing comes in. By investing in automated pricing software, brands can track competitor pricing, demand shifts, and inventory levels—then adjust accordingly without constant hands-on involvement. This flexibility helps create greater agility, better margins, and a stronger position in crowded marketplaces.

ToolDescriptionBest ForAutomate PricingAmazon's built-in Automate Pricing tool allows sellers to set rules to automatically adjust prices based on competitor pricing. It can be configured to adjust prices within defined parameters; however, it does tend to have a bias of pricing lower.FBA sellers competing for the Buy Box.AuraAura is an AI-powered repricer designed for Amazon sellers. It continuously monitors pricing and adjusts based on competitive activity while focusing on Buy Box win rate and profitability.Amazon private label or wholesale sellers looking for more granular control.FeedvisorFeedvisor offers AI-powered pricing and advertising optimization for Amazon, using real-time data to balance sales velocity, Buy Box ownership, and profitability.Large-scale sellers with big ad budgets.Repricer ExpressThis tool offers real-time Amazon and Walmart repricing with customizable strategies. It supports rule-based and algorithmic pricing, including profit margin protection.Sellers operating across multiple marketplaces.Walmart RepricerWalmart Marketplace sellers can use Walmart's built-in repricer to set pricing rules based on competitors and preferred pricing thresholds.Sellers focused solely on Walmart.com.SellerActiveThis tool supports dynamic pricing across Walmart, Amazon, and other marketplaces. It uses competition and sales velocity data to automate price adjustments.Multichannel sellers looking to centralize pricing.Informed.coThis repricer supports Amazon and eBay, offering real-time price monitoring, competitor tracking, and advanced strategy rules.Sellers on Amazon and eBay who need advanced automation.Channel AdvisorA robust multichannel platform that includes dynamic pricing along with inventory, ad management, and fulfillment tools.Enterprise-level brands selling across many marketplaces.

Expert Advice: Navigating Pricing Strategy

In a time of shifting tariffs, economic uncertainty, and growing marketplace competition, ecommerce brands face constant pressure to strike the right pricing balance. We sat down with Will Wong, Senior Director of Pricing at Spreetail, to gain expert insights on how brands can adapt pricing strategies across Amazon, Walmart, and Target—while also protecting value perception and long-term brand health.

With the current tariff landscape, how should pricing strategies shift across top marketplaces like Amazon, Walmart, and Target?

Diversification isn't just about sourcing—it extends to your channel strategy too. Over-reliance on a single platform increases exposure to risk, whether it's fee changes, policy shifts, or fulfillment disruptions. At Spreetail, we generally aim for price parity across major retailers. Our philosophy is that a customer shouldn't be penalized for their retailer preference.

That said, some smaller marketplaces carry higher fees, and in those cases, we may adjust prices slightly to account for those added costs. But for platforms like Amazon, Walmart, and Target, we maintain as much consistency as possible to protect both customer trust and brand equity.

What are the risks of overcorrecting versus underreacting on price?

It's a delicate balance—classic retail tradeoffs, now supercharged. If you overcorrect and raise prices too aggressively, you risk a steep drop in demand, potential suppression on Amazon due to high-price violations, and losing your BSR (Best Seller Rank) momentum. Recovering from that can take weeks or months.

On the other hand, underreacting means selling through inventory too quickly and being unable to meet demand later in the season. That scenario isn't viable either. At Spreetail, we're working closely with our brand partners to align pricing with inventory planning. In some cases, that means selectively raising prices where the market will bear it, while closely monitoring stock levels to remain agile—especially as tariff policies continue to evolve.

What data signals should brands monitor to know when to adjust or hold firm on price?

There are several key data signals that help us balance competitiveness with financial sustainability—particularly on Amazon, which remains our largest channel and serves as a bellwether for the broader ecommerce space.

One critical input is what we call the Amazon CPI, an internal index tracking year-over-year price changes on the top 1,000 items across categories where we compete. This gives us a macro-level view of pricing momentum.

We also maintain a robust Digital Shelf—essentially a competitor set representing $3B in annual revenue across SKUs that closely map to our portfolio. Using tools like Keepa, we monitor year-over-year price movement to ensure we're reacting appropriately to the comparable items in the market.

How do you measure value perception, and how can brands reinforce it without heavy discounting?

Value perception is multifaceted, but from a pricing and promotions standpoint, we're taking a very strategic, event-driven approach right now. With potential inventory shortages on the horizon, we're being selective about when and how we promote. Our focus is on Tier 1 events like Prime Day, and even then, we're controlling discount depth based on brand goals.

One of our key tactics is earning list price strikethroughs on Amazon. These strikeouts, based on MSRP, create a strong perception of value without lowering your base price. They're not guaranteed, but by meeting certain eligibility criteria and testing different actions, we can trigger them effectively and improve perceived savings—without compromising margins.