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Case study

Measuring Co-Branding Options for Optimal Market Share and Revenue

Client/Situation

A contact lens manufacturer was launching a new co-branded product and wanted to explore which of several brand partnerships would produce the greatest market share and revenue.

Approach/Solution

The research employed a monadic design (each respondent fully evaluated only one concept), but then other concepts were shown and ranked for a secondary preference given all options. 

As pricing research is highly sensitive to bias (especially when the respondent feels they could influence the actual pricing of the product), pricing questions were “derived” by using techniques that present potential prices in a deliberate and rotated order and ask when a price becomes too expensive so a ceiling can be identified. 

These data points allowed for calculations for each brand that identified the prices that optimize revenue.

Results

The pricing analysis showed two clear potential winners in terms of demand, with one concept producing significantly more revenue. The client was able to incorporate this information into their internal planning and their discussions with the two potential partners for negotiation purposes.

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