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Description: Pricing strategy is an invaluable tool for ecommerce sellers and an essential part to maximizing your store’s revenue. Check out more The Journey content at bit.ly/GDTheJourney. ✅ Read about it on our blog ➜ bit.ly/3x5QNNHGoDaddy ⏰TIMESTAMPS⏰ 00:00 – Introduction 00:28 – What is dynamic pricing? 01:02 – Time-based dynamic pricing 01:39 – Competitor based dynamic pricing 02:03 – What types of companies use dynamic pricing? 02:54 – Are there any disadvantages to dynamic pricing? 03:26 – Using the WooCommerce dynamic pricing plugin 04:42 – Wrap up Dynamic pricing is a strategy in which ecommerce businesses apply variable prices instead of fixed prices for their items. Like any pricing strategy, dynamic pricing seeks to maximize conversions and/or revenue per sale. The distinguishing feature of this strategy is that it is fully or partially automated. Types of dynamic pricing strategies Time-based dynamic pricing With this strategy you increase or decrease your prices based on time. This is the simplest form of dynamic pricing, and it was used by traditional retailers well before the rise in ecommerce tech. The perfect example is the car salesperson that needs to reach their quota at the end of the month. To hit their sales target, they will decrease prices to further entice potential buyers. Competitor based dynamic pricing Real-time competitor-based pricing requires advanced dynamic pricing software. One that lets you track your competitor's prices, notifying you the moment there is a change. Dynamic pricing can be applied in numerous ways. You can choose to change the price of the product or apply a discount. Simple discounts aren’t always the best due to their negative impact on your brand. However, they can still be effective provided you use them in the appropriate situation. Implementing dynamic pricing with WooCommerce The WooCommerce Dynamic Pricing plugin enables you to set bulk and individual prices on an item and category basis. The rules can be applied as fixed-price or percentage discounts. It also lets you set a new fixed price for the items included in the pricing rules. When the extension applies a dynamic price to an order it will not add any information to the cart and checkout pages. The customer will see the discounted amount with a slash through the regular price, however, there will not be an explanation as to what discount is being applied. woocommerce.com/products/dynamic-pricing With WooCommerce and a little know-how, new and smaller businesses can reap the valuable rewards that come from a well-executed dynamic pricing strategy. The Journey is what everyday entrepreneurs, like you, need to follow in the pursuit of online success. Our experienced GoDaddy Guides are here to take you through all the steps, both big and small, that you encounter every day. Want to learn about more ways to grow your business? Subscribe to GoDaddy on YouTube: bit.ly/GoDaddy-Subscribe GoDaddy links: godaddy.com youtube.com/godaddy instagram.com/godaddy facebook.com/godaddy twitter.com/godaddy #woocommerce #dynamicpricing #sellonline #godaddy #thejourney