How to reasonably set the daily budget and product pricing strategy of AliExpress Express

On the AliExpress platform, through-train advertising is an important tool to attract buyers’ attention and increase product exposure. However, sellers are often confused about how to set a daily advertising budget. In addition, product pricing is also a key factor affecting search rankings, click-through rates, ordering intentions, and product added value. This article will combine these two aspects to help sellers better understand and apply them.

Reasonably set the daily budget for AliExpress Express

1. Consider the degree of product competition

The level of competition for a product is one of the important factors in determining your daily advertising budget. If the products being promoted are highly competitive, sellers may need to set a higher promotion budget in order to maintain ad exposure and conversion rates. On the contrary, if the competition of the product is low, the daily promotion cost can be appropriately lowered.

2. Analyze product prices and profits

When setting up through-train advertising, sellers also need to consider the price and profit margin of the product. If the profit margin of the product is large, the daily promotion fee can be appropriately increased to obtain more exposure and sales opportunities. On the other hand, if the profit of the product is low, promotion expenses need to be controlled more carefully to avoid unnecessary losses.

3. Clarify promotion needs and goals

Each seller’s promotion needs and goals are different, so the daily promotion cost of through train will also be different. Sellers can reasonably set a daily promotion budget based on their own sales goals and financial status. For example, if a seller’s main goal is to increase brand awareness, they may be willing to invest more in advertising.

4. Perform data analysis and optimization

Sellers should pay close attention to changes in advertising data and make optimization adjustments in a timely manner. By analyzing data indicators such as click-through rate and conversion rate of advertisements, problems can be discovered in time and adjustments can be made to improve advertising effectiveness and ROI (return on investment).

AliExpress product pricing strategy

Refer to the prices of peers or similar products

Look for similar products or peer sellers on AliExpress or other cross-border e-commerce platforms and refer to their pricing. On this basis, the price is set according to the store’s own positioning and product positioning. Referring to the prices of peers can not only help sellers dig out more unknown information, but also help sellers discover hidden problems in themselves.

The simplest and “rough” pricing

The specific formula is: price = cost + expected profit. This pricing method is suitable for novice sellers or new products and new stores. It is recommended that the profit be controlled at about 30% of the product cost.

Detailed and refined pricing

The specific formula is: price = (product cost + shipping fee + affiliate marketing commission) / (1 – gross profit margin) / US dollar exchange rate / discount set above on AliExpress, or price = (product cost + shipping fee + gross profit + Affiliate Marketing Commission) / (1 – Commission Ratio) / USD Exchange Rate / Discount set above on AliExpress.

Smart use of digital pricing

Adopting the odd-even pricing rule, that is, not rounding the price of the product but retaining the mantissa, can give consumers a sense of preferential prices.

Conclusion

Based on the above, to reasonably set the daily budget for AliExpress Express, you need to consider factors such as product competition, price profit, promotion needs and goals, and improve advertising effects through data analysis and optimization adjustments. In terms of product pricing, in addition to referring to peer pricing, simple “rough” pricing or more refined pricing methods can also be used. By cleverly leveraging digital pricing, sellers can further increase consumers’ willingness to buy. I hope the above information can help AliExpress sellers better formulate their own advertising budget and product pricing strategy.