Reaction Latency in Automated Competition
Measuring competitor response intervals on Amazon and the strategic consequences of a market where reaction is not instantaneous.
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Extended documents developing the research in full: method, evidence, and the reasoning behind the decision framework. Published as PDFs under the SellerFlow Research Series.
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From price optimization to decision optimization
Amazon Marketplace is one of the most complex pricing environments in commerce. This paper argues that the difficulty is not primarily a pricing problem, and that treating it as one is why so much marketplace automation erodes margin while working exactly as designed.
It sets out the limitations observed in rule-based repricing, defines the five variables a decision layer must evaluate, presents the reference architecture that implements it, documents the research method — including the decision to treat the buyer-visible marketplace as ground truth — and reports three case studies drawn from a live operation.
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Contents
Intended audience
Amazon Marketplace professionals; ecommerce technology companies; pricing specialists and marketplace consultants; software developers building commercial decision systems; and researchers working on pricing and decision-support methodologies.
Citation
In preparation
Each paper develops one component of the framework in depth.
Measuring competitor response intervals on Amazon and the strategic consequences of a market where reaction is not instantaneous.
Reconciling estimated against settled fees, and the effect of that gap on pricing floors across a live catalogue.
Architecture of a continuous, buyer-faithful record of marketplace offers, and why observation fidelity is the hard part.
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