Amazon Stores chief says pricing team focuses on competitive prices, not profit maximization

Amazon.com, Inc.

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Amazon management outlined a pricing strategy that prioritizes competitive pricing over profit maximization in a management podcast interview.
Worldwide Stores CEO Doug Herrington said the pricing team is tasked with keeping prices competitive, not using price as a sales-versus-margin lever.
Pricing and Promotions VP Christa Glenn said Amazon compares prices across thousands of retailers in real time to match or beat competitors.
Glenn said Amazon’s pricing rules are “asymmetrical,” making it easier to cut prices than raise them.
Glenn cited Profitero research showing Amazon has posted the lowest prices among retailers for nine consecutive years.

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