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[Are You Taking Measures Against Resale?] A Comprehensive Guide to the Causes and 6 Solutions!

Issues caused by resellers, such as a decline in sales through the company's own online store and a loss of trust in the brand, such as
I discussed risks in my previous blog post.
▼If you haven't read the previous article yet, please read the following article first!
 

To Online Retailers Struggling with Resale Issues
"I wondered if there was anything I could do to help,"
In this article, we'll take a detailed look at strategies for dealing with scalpers!

Increased Sales by Over 3,000% Through Anti-Resale Measures
Six Strategies for Combating Resale, as Presented by Hide & Seek
Please feel free to use this as a reference.

6 Strategies to Combat Resale

Measures to Prevent Resale #1: Don’t Make the Difference Between the Initial Price and the Regular Price Too Large

As I mentioned in my previous post,
Products that resellers target are"Products with a large price difference between the first purchase and subsequent purchases"That's it.
Therefore, the difference between the price for the first purchase and the price for subsequent purchases isMaking it smaller is a way to prevent resale.

It's best to keep the price difference around 1,000 yen.
In order for resellers to make a profit by reselling items,
Compared to the amount for the second and subsequent visits,A small amountWe have to sell it.
As shown in the image below, the price for the first purchase and for subsequent purchases is
If the price difference is around 1,000 yen, the reseller's profit will be about 1,000 yen.

 

Since listing fees and shipping costs are deducted from this profit when reselling,
A situation where there is almost no profitand becameFor resellers, reselling will no longer make sense.

However, the amount of sales made directly by our company cannot be changed immediately.
If you'd like to learn about other methods, please feel free to contact us.

 

Measures Against Resale (Part 2)Identify customers who repeatedly purchase at the introductory price and exclude them in advance

The online retailer limits the number of times customers can purchase at the introductory price to
Most of them are set to once.
However, resellers falsify membership information in order to purchase products at a lower price
Impersonating another user repeatedlyIntroductory PriceI'm going to try to buy it.

One of the main methods is to identify patterns in addresses, as shown in the image below, or
This method involves reusing the email address of a disposable account multiple times.

 

Such suspicious usersDetecting it early is key to taking appropriate measures.

The following are examples of specific countermeasures.

  • Sort first-time customers by address and exclude any suspicious ones in advance.
  • Save information such as the email addresses of disposable accounts, and
    Exclude users who sign up using that email address from the new mailing list.

Both involve visual checks and gathering information, such as
It’s tedious work, but tasks like this are also important for preventing resale.

Measures Against Resale (3)Use GMO Post-Payment

One of the payment methods available at convenience stores and banks isThere is a service called "GMO Post-Payment."

This applies after the product has been delivered to the customer,This is a payment method that involves paying a fee.
Although there is a security deposit, if you use the service,GMO will send payment reminders to users who haven't paid.
Even in the worst-case scenario where there is no payment,Since the system is set up so that a certain percentage of the fees comes from GMO,
Many people use online retailers.

Furthermore, since GMO receives requests from a variety of companies,Exclusive Informationhas been accumulated.
The idea is that they'll use that information to determine whether a buyer is a bad actor,These are the benefits of GMO.

Therefore, whether the user is eligible to pay on a deferred payment basisAfter assessing the situation,
It filters out users who don't meet that criteria right from the start.
In addition, there are users who have registered phone numbers that cannot be called,
You can exclude items from the shipping list in advance.

 

Measures Against Resale (4)Implementing Countermeasures Using Google Analytics

Analytics'TransactionWhen you look at it
You can tell whether an order was placed from the same computer or the same IP address.

If you set the number of sales to "transactions,"
Since a sale counts as one point,
If multiple items are displayed, it means you have placed an order in the past.
That means they are users.

That's why even loyal customers who have purchased products multiple times
The transaction is being displayed multiple times.

A transaction is defined as follows:
You can view this under [Conversion] → [E-commerce].

One thing to keep in mind here isShort periodAnd the transaction...
This is the case when it appears multiple times.
Since a history of multiple purchases made within a short period of time appears unusual,
It's safe to say this is a suspicious user.

In addition, we have established a customer ranking system within the company,
If you link it to customer data,
You can easily identify whether a customer is a valued customer or not.

 

Measures Against Resale ⑤Using Ad Parameters

First, when running ads, add parameters to
Was the purchase made from a URL that included that parameter?
I'll set it up so it's easy to understand.

By separating URL parameters by agency and media outlet,
When the number of purchases is unusual, determine which URL the purchase came fromIt is possible to find out.

In the reselling community, purchase URLs are shared, so
When a product becomes a target for resale, the number of purchases made via a specific URL
It can sometimes spike all at once.
If an unusually high number of purchases occurs, check the parameters and
Stopping that ad is the way to combat reselling.

 

Measures Against Resale (6)Countermeasures Against Affiliate Advertising

ASP(Affiliate services) include
There are three types to choose from when forming a partnership.

① Automatic Approval (Anyone can post.)
② Manual Approval (Requires approval from the requester.)
③ Closed (ASP company representatives introduce the service only to influential individuals.)

If "Auto-Approval" is set during operation,
There are also resellers among affiliate marketers.
In that case, the affiliate's source of income is
"Profits from resales" and "revenue from affiliate commissions"
That makes two.

 

Since there’s a high likelihood that such unscrupulous resellers are involved in automatic approvals,
It takes some effort, but either ② manual approval or ③ a closed
Let's use Affiliate.

Summary

These are the six measures you can take to prevent reselling through your company’s online store.

  1. Don't make the difference between the introductory price and the regular price too large
  2. Identify customers who repeatedly purchase at the introductory price and exclude them in advance
  3. Use GMO Post-Payment
  4. Implementing Countermeasures Using Google Analytics
  5. Using Ad Parameters
  6. Countermeasures Against Affiliate Advertising

 

In this article, we explained methods for preventing resale on our company’s online store.

Those who realize, “There’s still more I can do…!” or
Some people might say, “I knew how it worked, but now I understand exactly how to do it!”
I wonder if they're here.

”Precisely because it's a good product,” ”Precisely because it's a product that sells”The products are resold.

 

I want to get this to the people who really need it,
I want to recover lost revenue
For companies like that, we’ll go all out toThese are the measures we would like you to implement.

Also, while this time we focused on measures for our own online store,
At our company, we not only implement measures to prevent resale of our own products, but alsoWe also implement measures to combat reselling on e-commerce platforms.

Please see the following article for information on how to address issues with Amazon.

"We want to maximize sales on e-commerce marketplaces as well."
"I'd like to hear more details about how to put this into practice!"If you're someone who...
Please use the contact form belowPlease feel free to contact us.

 

Author

Riko

I work in the Amazon Division, where I manage Amazon operations for several clients. I want to be someone who “never takes the obvious for granted”! I’m working hard on my blog to help those who read this page.