The issue of price increases on the Wish platform has always been a hot topic of concern for sellers. As a highly acclaimed cross-border e-commerce platform, Wish has established widespread trust between buyers and sellers, but for some sellers who are not familiar with the platform mechanism, they often encounter a problem: after detailed market price research and cost calculation, the set product price will soon be changed due to the price increase on the Wish platform.
So, will the Wish price increase be returned to the seller? Unfortunately, the answer is no. The part of the price increase will not be returned to the seller, and the high price after the price increase will often reduce the natural traffic of the product and cause losses to the seller. However, sellers cannot intervene in this phenomenon and can only passively accept the platform’s price increase policy.
Why does Wish increase the price of the product? What is the mechanism and purpose of this? Let’s explore it together. First of all, it is worth noting that the price increase operation on the Wish platform is achieved through intelligent algorithms. Using the big data system, Wish will adjust the price of the product within a certain range according to market conditions to monitor buyers’ reactions to price changes.
First, Wish uses the price increase mechanism to exclude overly homogeneous products. For users who often use Wish, they may have a deep understanding that there are a large number of highly homogeneous products on the platform. In order to save time, many sellers will simply copy the product information and pictures from other sellers or other platforms, resulting in buyers seeing a large number of identical products when searching, affecting the shopping experience. To solve this problem, Wish will limit the traffic of these homogeneous products by increasing the price, thereby eliminating low-end sellers and ensuring the diversity of products.
Second, Wish uses the price increase mechanism to play tricks in the lightning purchase link. When users open the Wish app, they will find the “Lightning Purchase” section, which contains a lucky draw turntable. If you turn to the number 10, you can enjoy a discount for buying 10 items within a limited time. However, this does not mean that the platform bears the discount difference. In fact, the platform will increase the price on the basis of the original price of the product, and then present it to the seller in the form of a discount. This not only makes buyers feel affordable, but also increases the sales and traffic of sellers.
In addition, Wish also uses price increases to achieve off-site promotion to increase the number of users. There are often activities such as “Invite friends to register Wish to get discount coupons”. By increasing the price to lower the price of the product, and then selling it to buyers at a discount, the purpose of making buyers feel the discount is achieved, thereby promoting user growth. This mechanism is similar to the aforementioned “flash purchase”, both of which are aimed at attracting more users.
Finally, the price increase mechanism also ensures the interests of the Wish platform. As mentioned earlier, the income from the price increase belongs to the platform and will not be returned to the seller. In this way, Wish can motivate sellers to improve the quality of their products, thereby eliminating low-end brands, optimizing the quality of platform merchants, promoting the healthy development of the platform, and ensuring the maximization of its own interests.
Although Wish’s smart price increase system makes many sellers feel helpless, sellers often cannot respond to the platform’s price increase policy by increasing or reducing prices on their own. This is because the power of the platform is far greater than that of individuals. When trying to increase or reduce prices, the platform may recalculate the products, thereby affecting the traffic and exposure of the products.
To sum up, as a cross-border e-commerce platform, Wish’s price increase mechanism has caused some troubles to sellers, but from the perspective of the platform, this is a manifestation of multiple purposes such as protecting the interests of the platform, increasing users, and eliminating product homogeneity. Sellers can better plan their business strategies by gaining a deep understanding of this mechanism, so as to achieve better results in this highly competitive market.