Pricing Market Research

Only 1 in 7 North American companies does serious pricing research. Without research, companies put success to intuition and chance.

Pricing Market Research is crucial today because of fierce global competition. Today’s customers have endless purchasing options in the global marketplace. Price communicates the product’s value and information about the entire product. Pricing research also allows a company’s management to strategically compete against competitors. Given that 9 in 10 new product launches fail, gaining robust pricing insights are essential.

Pricing Research’s Complexity

Pricing market research is complex. Different market segments can react differently to the same pricing, impacting marketing strategy. Costs and profits can dominate pricing policy. Divisions often duel over pricing strategy’s focus, emphasizing different strategies like market pricing, market penetration, profit maximization, differentiation and value pricing. On a global level, standardized pricing may bring success in one region but failure in another. Aggressive pricing strategies may result in competitive reactions that immediately impact sales.

SIS Premier Pricing Research Approach

SIS International is the only firm with the integrated research, global coverage and expertise to deliver a “full-market view.” Our Integrated Research approach uses several levels of research to deliver full insight into the entire market landscape necessary for pricing strategy.

Key services include:

• Cost structure analysis
• Fixed and variable costs
• Revenue Analysis
• Profitability analysis
• Breakeven analysis
• Competitor pricing
• Pricing strategy
• Price framing (in consumers’ mind)
• Price forecasting
• Price elasticity

Companies may need price framing. We research the most appropriate ways that price is framed in the customers’ mind. Pricing psychology factors heavily in this process, where SIS examines findings with pricing psychology. The importance of price framing emerges when local companies compete against global companies, and when relative pricing is more important than nominal price tags.

Thought Leadership

Our Past Experience