Why Use Category Strategies?
Different product categories often need different pricing approaches:
- High-competition categories: Need aggressive pricing
- Accessory categories: Can maintain higher margins
- Exclusive products: Less price-sensitive
Setting Up Categories
Automatic Categories
RightPrice automatically groups products using:
- Shopify product types
- Tags
- Vendor/brand
Custom Categories
Create your own groupings:
- Go to Settings > Categories
- Click Create Category
- Define rules (e.g., "Title contains 'Cable'")
- Save and categorise products
Example Strategies by Category
Electronics (High Competition)
- Strategy: Beat lowest by 3%
- Min margin: 8%
- Rationale: Stay competitive in price-sensitive market
Accessories (High Margin)
- Strategy: Match lowest competitor
- Min margin: 25%
- Rationale: Maintain margins, accessories are add-on purchases
Cables & Adapters (Commodity)
- Strategy: Beat lowest by 5%
- Min margin: 15%
- Rationale: Price is key differentiator for commodities
Premium Products
- Strategy: Stay within £20 of Amazon
- Min margin: 20%
- Rationale: Don't compete on price alone
Category Priority
When a product could fit multiple categories:
- Assign primary category manually, or
- Most specific category wins automatically
Further Reading