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Competitor price monitoring on Allegro

Allegro is the biggest e-commerce platform in Poland. It has been selling products from almost every category for 21 years. It is the biggest marketplace, and it can also be used to compare product prices.

Internet users connect it with low, attractive prices and wide offers. Everything is available there – from the pin to a car. Allegro is chosen by many retailers because they can sell products without having an online shop and this significantly reduces costs. As a result, they offer clients lower prices. The price is a key factor here as the sales volumes and marketing strategy depend on it. In this case, none of the retailers can go without an effective competitor’s price monitoring


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Allegro joins the Warsaw Stock Exchange

On 12 October 2020, Allegro, made its debut on the Warsaw Stock Exchange. The company broke the record for the highest initial public offering, beating by 13% the previously highest PLN 8.1 billion recorded by PZU in 2010.

Thus, Allegro has become the largest company listed on the Warsaw Stock Exchange, joining the WIG20 index. Its capitalization is almost twice as high as that of CD Project, which occupies the second place on the Polish stock exchange.

As a consequence, Allegro is becoming a more and more powerful e-commerce platform worldwide, but also strengthens its unquestionable first position in the Polish e-commerce market, despite the recent Amazon debut in Poland.

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Allegro vs Amazon – similarities and differences

When it comes to the Polish market Allegro is Amazon’s biggest competitor. Though Amazon is available in 17 markets, Polish online buyers still prefer using Allegro. According to the statistics, in 2020 Allegro was visited by 17.39 million users. It is the fourth site most frequently visited by Poles and the tenth most popular e-commerce platform in the world. The mobile version was used by over 4 million users in March 2020.
The main differences between Allegro and Amazon may be categorized as follows:

  • Product pricing – on Amazon a product can be posted only with a specific price, whereas on Allegro the product can be put up for auction or sold using the “buy now” option.
  • User interface – Allegro focus on the seller when Amazon focuses on the product.
  • Selling costs – Allegro offer for retailers includes free account activation, charges for posting products and fixed commisions (from 6% to 15%). On the other hand, Amazon offers a monthly subscription for its retailers and a fixed commision avg. 15%.
  • Payments and shipping – Allegro provides a few shipping options, popular especially among the Polish buyers such as Free PayU, Allego inPost, Allegro Smart. In comparision, on Amazon the seller can send the products by their own means or use the FbA programme, where Amazon is responsible for the storage, labelling and shipping of the products.

Whichever marketplace you choose, you might want to be familiar with prices on both platforms to have the full picture of the price positioning of your store. In the Dealavo price monitoring tool, you will be able to integrate the pricing information from all major e-commerce platforms, including Allegro and Amazon.


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Sales on Allegro – how to improve the results?

Below you’ll find a few tricks on how to increase sales on Allegro.

  1. Competitive price
    Of course, price is not the only factor the customers consider when making a purchase, but it is one of the most important ones. The competition on Allegro is huge, and it is really easy to find the cheapest offer on the platform thanks to the advanced filter options. That is why sellers have to continuously ensure that their prices are attractive to the customers and, at the same time, bring appropriate profit. It is a challenging task, but it can be made much easier by using modern tools for price monitoring.
  2. Presentation of the offer
    The auction on Allegro is the only place where the customer sees your offer. That is why you have to make it really attractive. High-quality photos that present a product in a positive but realistic way are a must. The description is also important. It should contain all the necessary information and answer every potential question of the customers. It should also include technical specifications and precisely describe the condition of the product.
  3. Auction title
    Another crucial factor for effective sales on Allegro is the title of the auction. The platform works in a similar way to a search engine and processes around 1.6 thousand queries per second. The name of the product should be optimised in a way that will make it easy for a customer to find it. It can only have 50 characters, so be sure to use the limit properly and choose words that will convince the customer to click the offer. You should avoid ambiguous titles and names that make it difficult to identify the product, mislead people or are irrelevant from the customer’s point of view (e.g. internal stock number). Inappropriate auction titles may cause a significant decrease in sales on Allegro.
  4. Additional benefits of your offer
    Sometimes, customers are willing to pay more if the purchase involves additional benefits. If you offer fast or free shipping, extended warranty or attractive delivery options (e.g. parcel lockers or Allegro Smart program), you should highlight this in your offer. This way, you can convince the customer to make a purchase in your shop even if the price you offer is not the lowest one.
  5. Highlighting your offer
    If you sell products from a popular category, where the competition is high, you should consider using paid advertisements. Allegro Ads, the advertisement system of Allegro, helps you to reach new customers and increase the visibility of your offer. It provides three basic mechanisms: sponsored offers, graphic advertising and ad network. The most interesting option is the last one, which allows you to direct traffic from external platforms, such as Facebook and Google, to Allegro.


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What are Allegro Ads and how to use them?

ADS advertising is a special type of product placement on Allegro platform. The payment is based on the number of times users click on the ad (pay-per-click). Currently, there are several variants of such advertising and their efficiency depends on many factors, such as selecting proper ad placement, adjusting rates and the budget, as well as the quality of the offer and of the account. In spite of appearances, the success of a campaign depends on the most minute details, so omitting even a single one of them may result in a low return on the investment.

To increase your chances for success, before you even start working with Allegro Ads, you need to find the answers to the following questions:

– What effects do I want to see?

– Which products will I promote?

– What is the size of my budget?

– What level of ROI do I want to achieve?

– Is my offer attractive to clients?

Summing up, you should start setting up the campaign only after you have planned the aim of the promotion. If you have already done that, log in to ads.allegro with the same credentials as to your Allegro account.

To choose the best products for your campaign we highly recommend using price monitoring tool, such as Dealavo that will help you choose the best pricing strategy, keep up with your competitors’ pricing changes as well as tracking on-going promotion on the platform.


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Start monitoring prices on Allegro

Both sellers and buyers focus on a certain product or branch of products where it goes about price, quality, and the variety of offers. Providing that, up-to-date control, and analysis of own prices and actions and comparing them with other’s results is important. This helps in deriving conclusions and implementing solutions (e.g. decreasing prices, changing strategy, changing the marketing content). All actions are taken to be a step ahead of competitors having a more attractive sales offer. Moreover, daily monitoring makes it possible to react fast in case a competitor makes any change. This is essential to keep a high position and have effective sales.

When you sell on Allegro, you have to remember that you do not have to limit yourself to this one channel. The e-commerce world offers plenty of possibilities, so you might want to try multi-channel selling and also sell your products on other platforms, such as Amazon or Google Shopping.

However, we do not recommend directing traffic to Allegro from your own online shop. If you do this, you will decrease your profit because selling through an intermediary involves paying commissions. Thus, when setting prices on Allegro, you have to take into account not only the offering of your competitors but also the terms of sale of the particular platform.

Contact us if you want to learn more on how to sell effectively on Allegro and choose optimal pricing strategies. Our experts will show you how to use modern monitoring tools to maximise profit from online sales.


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What sites can be monitored with the Dealavo Price Tracking Software?

We can track any site you want.

Price comparison websites, marketplaces or even specific sites like Amazon or your competitors’ sites. Our price tracking platform can successfully monitor all of them

Which countries can be monitored with Dealavo?

With Dealavo Pricing Tool Software we can track prices in any country you ask us for.

How often the system can update the prices in my shop according to the price rules?

Thanks to the Dynamic Pricing platform and all the collected data, our algorithm can recommend a price that will attract the client, as well as guarantee you optimal profits. The system update may occur even a few times a day.

What does Dealavo use to monitor prices?

Dealavo Price Tracking Tool monitors prices using many methods. The main factors allowing price tracking are names of products, EAN codes, GTIN codes, ASIN codes and many more.

The usage of a variety of tracking tools allows Dealavo to track prices as accurately as possible.

Does Dealavo monitor different sizes of products?

Yes, Dealavo Pricing Tool allows businesses to track different-sized products.

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