by Pim Kneepkens | Mar 12, 2023 | Pricing, Revenue Growth Management, RGM Bites
Anchors Can Increase Willingness to Pay Anchors Increase Willingness to Pay Adding a high priced super-premium product to an existing assortment will increase consumer’s overall willingness to pay as the super-premium item(s) will make the regular and premium priced...
by Pim Kneepkens | Mar 12, 2023 | Pricing, Revenue Growth Management, RGM Bites
Consumer Response to Downsizing Pack Price Versus Pack Size Pack size elasticity is about 1/4th the pack price elasticity. Furthermore consumers consistently under-estimate pack size changes, especially if it involves changes in all three dimensions (width, height and...
by Pim Kneepkens | Mar 12, 2023 | Pricing, Revenue Growth Management, RGM Bites
Price is The Key Driver of Profitability Price Key Driver of Profitability Price has the most immediate impact on top- and bottom-line growth. In fact, research has shown that a 1.0% increase in price leads to a 11.0% increase in profits (ceteris paribus). With...
