Running a small business means constantly asking yourself: “Am I charging the right price?” Too high, and you scare people off. Too low, and you can’t cover costs.
I’ve always priced my products based on gut feeling, competitor stalking, and (if I’m honest) what “felt fair.” But lately I’ve been curious: Can AI actually help with product pricing — and does it work for small businesses like mine?
So I gave it a go.
Why I Wanted to Try AI for Pricing
Pricing is stressful when you’re a one-person business. I sell eco-friendly products online, and margins are slim. Discounts, shipping costs, and seasonal trends all impact what’s “right.”
When I heard AI could analyse competitors, predict trends, and suggest prices, I thought: That sounds fancy — but will it be practical for me?
Spoiler: Some of it was surprisingly useful. Some of it… not so much.
The Tools I Tested
I tried three different approaches (all with free versions):
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Prisync (AI-driven competitor tracking): Compares your prices with competitors and suggests adjustments.
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Shopify Magic (if you’re on Shopify): Pulls sales data and recommends pricing strategies based on performance.
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ChatGPT (manual prompts): I fed it cost, margin goals, and competitor info to see what it suggested.
What Worked
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Clarity on Competitors: Prisync was eye-opening. I discovered one competitor’s prices had jumped 15% since last month — something I’d have missed without tracking.
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Quick Scenario Planning: ChatGPT helped me model “what if” scenarios. For example: If I raise prices 10%, how does that affect profit margins with current sales volume?
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Confidence Boost: AI didn’t replace my judgment, but it reassured me that my gut instincts weren’t far off.
What Didn’t Work
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Too Much Data: Some tools gave more insights than I needed. I don’t need dynamic pricing like Amazon — I just need to know if my handmade candles are fairly priced.
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Limited Context: AI doesn’t know my customer loyalty or brand story — things that matter as much as price.
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Setup Time: Competitor tracking required manual input (finding URLs, uploading products). Worth it, but not instant.
Key Takeaways for Other Small Business Owners
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Start Simple: One tool (like Prisync or even a spreadsheet + ChatGPT) is enough.
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Use AI for confirmation, not control: Let it guide you, but you know your customers best.
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Revisit regularly: Prices change — AI can help spot when it’s time to review.
Final Verdict
AI can help with product pricing, especially for spotting trends and competitor changes. But it’s not a magic fix — human judgment is still key.
For me, it’s now part of my quarterly review: I run the numbers, check competitors, and tweak prices if needed. It’s less stressful, more informed, and — honestly — feels professional.
