Setting your price: being the cheapest is the easiest position and the least defensible
A seller entering a platform where prices sit side by side has one first instinct: go lower. It is the only lever that feels safe and the only one that can be pulled in an afternoon.
It is also why it does not work. A position resting on price alone can be copied by anyone, and once someone copies it you have nothing left to use.
Price wars are won by sellers with larger volumes and better buying costs. If you are not among them, it is ground on which you lose even when you win, because you reach the bottom with margins that do not sustain the business.
This does not mean ignoring price. It means knowing where you stand and why, rather than choosing by reflex.
The first step is to know the field. Search your own items and see where they sit against the others: the useful conclusion is not what you charge, but where most of the offers cluster.
From there three positions make sense, and each demands something. Below the cluster is worth it only if you have a real cost advantage the others cannot reach.
At the cluster is where sellers who compete on something else sit: availability, delivery times, depth of range within a specific category. It is where most healthy sellers belong.
Above the cluster is legitimate, but it requires the reason to be visible without explanation. It is where most sellers fail, because the reason is known only to them.
What makes a higher price visible. A complete product page where others have two lines, immediate availability where others show a wait, a pack size better suited to the work, technical detail a professional would otherwise go looking for.
None of this should be stated in words. Writing it asks for trust; showing it lets the professional verify for themselves, and the conclusion is theirs.
There is one case where lowering the price makes sense, the opening one, but it should be understood for what it is: a time-limited investment to win the first orders, not a position.
A frequent error is applying the same logic to the whole catalogue. It makes more sense to be aggressive on a few high-search items that bring the customer in, and hold margin on the rest.
In summary: a position resting on price alone can be copied in a day, look at where the offers cluster before deciding, above the cluster you need a reason visible without explanation, and be aggressive on a few items rather than across the catalogue.