The SeaChange in Pricing Research…. | Medium

Few decisions impact the bottom line of a product or service more than those involving price. Price too low and a company could be leaving significant sums on the table and risk forever scarring their brand reputation according to the popular axiom that “Price Connotes Quality”. Price too high and be prepared to revise your forecasts downward daily.

For decades many large companies spent small fortunes with staid pricing consulting groups to get a better grip on their customers’ willingness to pay. These often year-long research projects consumed the time of more than a few internal staff members and typically cost several hundred thousand dollars or more.

Technology has turned on its head many industries including now the billion dollar plus pricing research world. What used to cost $250k or more, now cost $25k or less and what used to take at least six months, can be accomplished in six weeks; and what used to require thousands in a research cell in a fuzzy target audience, now counts hundreds in a very tight demographic circle.

The underlying technology behind this sea change involves the continual evolution of real time survey panels along with artificial intelligence that can generate precise advise in only a matter or minutes. The panels can be drawn from the literally millions of prospective online respondents who are paid a few dollars for each completed survey. So many quality respondents in fact that regardless of the targeted audience from likely buyers of beachfront property in the Baja, to prospective students for private colleges, the tight survey panel gathered ensures relevant and highly reliable findings in the hands of knowledgeable pricing experts.

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The SeaChange in Pricing Research…. – Per Sjofors – Medium.