Retail Dive: Algorithms feeding unsustainable price cuts online

Retail Dive: Algorithms feeding unsustainable price cuts online. “While consumers and sellers alike may think that Amazon itself is driving price competition, it’s now often third-party marketplace sellers, on Amazon and Walmart, that initiate price-based skirmishes, according to the report. Dynamic pricing algorithms have enabled retailers to detect every online price change, including temporary promotions, and that’s, ‘leading to race-to-the-bottom behavior and permanent drops in Average Selling Price,’ Profitero said.”