Israel-based startup <a href=”Feedvisor gives Amazon resellers the tools to change the price of their goods automatically throughout the day based on demand, time of day, and other factors — also known as dynamic pricing or algorithmic repricing.
Having been in business for two years, the company has amassed quite a set of data on its clients. Now it’s just landed $6 million to build out a business intelligence suite so it can can share those insights with its clients.
Feedvisor‘s clients are hungry for data. Shmuli Goldberg, director of marketing, tells VentureBeat that his customers have been asking for sales data. Unfortunately, all Feedvisor can do currently is send spread sheets, which are difficult to parse.
Properly analyzed the data can make a big difference to a company. When it comes to visiting Amazon merchants using Feedvisor, “Over 80% of people, instead of looking through the various merchants, they just hit the Buy Now button,” says Goldberg.
Meaning rather than compare various retailers, most consumers just want to buy the product immediately. Amazon links the retailer who has the best value to the Buy Now button. “Best value” accounts for product price in conjunction with positive reviews, shipping options, and quality service.
So Feedvisor conducted a small experiment. It raised the prices of successful retailers in tiny increments to see if Amazon would continue to link the retailer to the Buy Now button. “If all your feedback is great and you offer next-day delivery, you can sometimes be pricing your items for 10-20% more and you’ll still make the sale 80% of the time,” says Goldberg.
This is the kind of information Feedvisor thinks will be important to its users. Right now the company is running its business intelligence suite in private beta, and it still has a lot of work to do before making it generally available.
Square Peg Capital led the round. Investors from previous rounds JAL Ventures, Oryzn Capital, and Micro Angel Fund also contributed.