Product Testing and Pricing Research

Marketing research techniques can be used to test product concepts and assess pricing strategies for new or existing products and services. All business have to think about pricing strategy – if they want to make money. To make more money, having some form of customer data to optimize pricing is crucial. While a variety of consumer research methodologies exist, and can be helpful, volition interferes with their accuracy. Unless you can measure actual buying behavior, there will always be a discrepancy between the theory and reality. Therefore, embrace A/B testing to optimize pricing. This is the realest way to define the optimal price point Price research asks existing or potential customers about their willingness-to-pay. This is in itself powerful and will help marketers understand how customers respond to their value proposition. But repeating the willingness-to-pay research across multiple concepts or with competitive propositions, it is also possible to test different concepts against each other.