Why Do Amazon Prices Change? (Here Are the Answers)

Thomas Joseph

Discover the reasons behind the fluctuation of prices on Amazon. From supply and demand to competition and discounts, learn why the prices on Amazon change and how to make the most of it as a consumer.

There is no secret that Amazon's prices keep on changing regularly. You might see a price tag on an item, and after 10 minutes, the price might have changed. The Amazon algorithms are responsible for the regular changes in prices, which is also referred to as dynamic pricing.

The price adjustments are made in response to several factors, including what other online retailers charge and how quickly or slow the product moves. Thus, do not be surprised to find the prices changing almost a thousand times daily. Herein is a detailed discussion of why Amazon prices change frequently and how it works.

Table Of Contents

Why Do Amazon Prices Change?

Here are some of the main reasons why prices will change on Amazon:

Every day millions of people visit Amazon, search for different products and make purchases. This translates to constant customer feedback about what they like and dislike about products on Amazon. The company uses this information to adjust its pricing strategies accordingly to continue offering affordable products while still making profits from each sale.

For example, if customers complain that a product is too expensive, it could be adjusted down so that more customers are willing to buy it at this new lower price point. As a result, there will be increasing sales for both sellers and Amazon!

2. To beat competitor’s prices

Amazon’s aim for price changes is to beat or at least match the prices of competing for online stores to bring more clients to their platform. In this way, merchants can benefit from increased sales by lowering their prices to avoid falling behind competing platforms.

3. Encourage more vendors to join the platform

More sales on Amazon make the platform profitable. High profitability will attract more vendors to join the platform as they seek to tap into the high traffic experienced on the platform.

How Does Amazon Pricing Algorithm Work?

Ideally, most online retailers make manual price adjustments on products, while Amazon does this automatically. Amazon’s pricing strategy aims to give customers low prices consistently without them (customers) putting much effort. For this reason, Amazon can retain more customers as they enjoy the incentive.

Here is how the pricing algorithm works:

The pricing algorithm tracks the prices of different items on the platform and monitors prices of similar items on Amazon’s competitors. At times it also monitors prices from its vendors who offer direct sales to their clients through the site. When the algorithm spots a lower price on any site, it auto-adjusts the prices on Amazon correspondingly.

Pricing of items on Amazon also depends on how best or poor the items are selling. When the pricing AI (algorithm) detects too many unsold products in a particular category, it will lower the prices until demand improves. The same happens when a particular class of products experiences low sales for some time. During the high-demand season, the algorithm will automatically raise the prices of the products in demand.

All pricing adjustments happen behind the scenes, but the price changes will be visible to clients in real-time as they shop on the platform. A study by Amazon shoppers showed that the price of popular products fluctuated within one hour. The variations can save shoppers looking to buy valuable products at an affordable price.

Benefits of Amazon Price Changes

Several benefits come with Amazon price variations. They include:

How to Get a Lower Price on Amazon?

There are a couple of different methods you can employ as an Amazon buyer to enjoy low prices on the platform:

1. Take Advantage of Prime Day

Prime Day is a great time to get deals on anything from Amazon. The 48 hours annual event is held in July and early October. Shoppers can save up to 50 percent off their purchases during Amazon Prime Day. But take note, you must be a prime member to enjoy the Prime Day discounts.

2. Keep Checking the Product's Page

Amazon constantly changes its prices, so it's always worth checking back every few hours or so to see if the price has dropped. If you notice that the price has dropped, buy it before it goes back up! This is especially useful if you're looking at a popular item that is likely to go out of stock soon.

3. Sign up for Subscribe & Save

Subscribing & Save is one of the best ways to save money on Amazon purchases. This program offers discounts, free shipping, and regularly scheduled deliveries of particular products. However, non-prime customers will have to pay for their first shipment.

4. Get Third-Party Browser Extensions

Some third-party extensions can send you notifications when there are coupons and discounts or when different sellers' most popular products are at a lower price than competitors. Ensure to get these extensions to take advantage of the low prices!


Amazon price changes are a strategic pricing strategy the company uses to attract and retain more clients on its platform. The price variations have several advantages for the buyer and vendor on the platform. Some of these benefits to both client and vendor include low prices and increased traffic to the product page, respectively.

Featured Reviews

4,341 Reviews Analyzed
491,913 Reviews Analyzed
71,281 Reviews Analyzed
44,475 Reviews Analyzed
944,561 Reviews Analyzed
16,492 Reviews Analyzed
960,153 Reviews Analyzed
244,092 Reviews Analyzed
256,331 Reviews Analyzed

Related Posts