Even if you have a simple business-to-business technology product, the way that you price and package this offering can have a huge impact on its success, and what you get back in the way of revenues, profits or market share. To optimize for any of these three metrics, you’ll need to know:
- How many products or packages to offer?
- What features should be included in each offering?
- How your brand name figures into the demand for your product?
- How much to charge?
Answering these questions requires a lot of time, research, and the ability to handle mathematical complexity. Most firms fudge this work and arrive at pricing by:
- Asking prospects about their willingness to pay
- Interviewing the sales team about market demand
- Examining competitor offerings
That can lead to expensive mistakes where you end up leaving money and market-share on the table.
Maximize Pricing Using Discrete Choice Conjoint Analysis
Topline offers a pricing strategy engagement that leverages Discrete Choice Conjoint Analysis that can give you a clear understanding on optimizing offerings to hit your critical metrics and maximize pricing.
Discrete Choice Conjoint Analysis will show you the right number of offerings to bring to market and the right features to include at each level. It can also show you how to maximize for the highest revenue, profits, and market-share levels, and the trade-offs that will give you the highest levels for all three.
Want to learn more about Discrete Choice Conjoint, watch our recorded webinar.
Want to learn more about pricing research? Check out these additional resources:
- The easiest way to increase revenues
- Four easy questions to determine if you can raise prices
- How to raise prices with value-conscious customers
- Avoiding costly mistakes in pricing research
Are you charging the right price and offering the right number of products? Contact us to find out.