Obtain a holistic view of the market along with the impact on specific brands and portfolios in a price change scenario

Pricing research is undertaken to gauge the impact of price changes on the brand, portfolio and overall market size. It is often a mix of consumer research and historical data mining. Our pricing model goes beyond Choice Modelling to include various macro & micro variables that influence consumer purchase process, so that it can mirror in-market changes. A continuous validation and fine-tuning protocol at a category level ensures 80%+ levels of prediction accuracy.

Objective

  • To enable informed pricing decisions for the current portfolio, be it in isolation or in the competitive context
  • Predict share movements for current offers, cannibalization and likely sources of gains/ destinations of losses
  • Understand the impact of price changes (and other macro-economic factors) on overall category volumes
  • To facilitate identification of pricing scenarios that could optimize a company’s portfolio position through share, revenue or profit maximization, either individually or in any combination, taking into account competitor responses

Examples:

  • To enable informed pricing decisions for the current portfolio, be it in isolation or in the competitive context
  • Predict share movements for current offers, cannibalization and likely sources of gains/ destinations of losses
  • Understand the impact of price changes (and other macro-economic factors) on overall category volumes
  • To facilitate identification of pricing scenarios that could optimize a company’s portfolio position through share, revenue or profit maximization, either individually or in any combination, taking into account competitor respons

Solution

Our pricing tool aids in obtaining a holistic view of the market along with the impact on specific brands and portfolios in a price change scenario. It assists the marketer in arriving at an informed decision by incorporating techniques like choice based conjoint, adaptive conjoint, macro modelling, price sensitivity measurement, BPTO and turf analysis.