Babyartikels' focus on staying competitive, with the help of PriceShape, continued growing, even in a challenging market. The company has maintained a strong foothold in the market by continuously improving its assortment, monitoring market trends, and adapting pricing strategies.
“We’re not aiming to be the cheapest, but to find where we can offer more value and set a higher price where it makes sense,” says Tobias Schöllhamme, Managing Director. This approach and a commitment to improving the customer experience positions Babyartikel well in the competitive market.
Understanding competitors' movements is essential for all departments to react accordingly. Tobias notes: “If a small competitor lowers their prices, we might not care. But if we in PriceShape can see that a big competitor lowers their prices, we look into it and see if changes need to be made in different aspects.”
Babyartikel uses PriceShape in several departments across the company, including the purchasing department, to identify trends, sales to evaluate pricing strategies, and negotiations with wholesalers. “We also use a lot of the price history data from PriceShape to know the prices during the year and on large campaign periods like last Black Week and how we should approach discounts this time.” This allows Babyartikel to prepare better campaigns, ensuring their deals are competitive and attractive.
Like many other German businesses, Babyartikel has faced slower online sales and excess inventory as more customers return to physical stores post-COVID. "People have been going back to physical stores more than expected," Tobias explains, highlighting a common challenge in the market.
Babyartikels relies on PriceShape for pricing strategy and market insights to stay competitive. “PriceShape helps us monitor competitor prices and adjust our strategy accordingly,” says Tobias. The tool allows Babyartikels to react swiftly when competitors lower prices or offer steep discounts, ensuring they remain attractive to customers.
Broader market data helps Babyartikel understand how its products are positioned. “We can see if there are 50 competitors or just 10. We need to watch closely. If we’re exclusive on a product, we might even be able to take a higher price, insights we get from PriceShape,” Tobias adds.
Beyond just pricing, Babyartikel tracks which products are popular by analyzing search volumes. “We can, in PriceShape, see which products consumers want right now, what the brand's activity is, and what the market looks like,” Tobias says.
Babyartikel aims “To be the best retailer in class, specialized in baby products,” says Tobias. By offering a wide product range, the company differentiates itself from competitors. “Some brands are better in car seats, others in different areas—so we provide a specialized assortment you won’t find on most marketplaces,” Tobias adds.
The e-commerce market has grown increasingly competitive, especially with many brands starting their own direct-to-consumer (D2C) businesses. Tobias highlights this growing trend:
“We see a lot of brands starting their own B2C businesses, and on the other hand, we see marketplaces growing with market power. This is why a complete market overview is important so we can offer the best service and quality products.”
Babyartikels is based in Germany, specializes in baby products, and has grown to become a key player in the German market. It started 17 years ago as a retail business and has now shifted its focus to online sales. Babyartikels serves customers across Europe, with a strong presence in Germany, Switzerland, and the UK. With approximately 100 employees, Babyartikels offers a wide range of baby essentials, including car seats, strollers, and other relevant products for parents.
Babyartikel’s success is just one example of how PriceShape can help businesses thrive in competitive markets. Discover more case studies to see how other companies achieve their goals with PriceShape.