Client Success Stories – Choice Modeling & Trade-Up
Understanding Trade-Up Dynamics for Oral Care Division of Global CPG Client
Client Issue / Need:
- The oral care category has many complexities:
- Manual vs. power
- Children's vs. adults'
- Wide range of price points
- Client wanted to understand trade-up dynamics across complex line-up and the right price points for each stage.
Our Solution: Trade-Up Model
- Dollarized the value of educational TV advertising and dentist recommendation.
- Identified "sonic" as the key product attribute that consumers would pay more for.
- Recommended new consumer target and price point for rechargeables.
- Based on results of our study, the client supported continuation of the professional marketing program (never before quantified).
- Prioritized sonic products in development stream.
Choice Study to Understand Drinking Occasion Landscape for Alcohol Beverage Client
- In order to increase sales/penetration, client wanted to understand in more depth the category usage landscape and how price and promotions interact with the need for a certain product in a specific drinking situation.
Our Solution: Choice-based conjoint with occasion dynamics using a Bayesian model
- Understand the impact of promoting certain brands to target key occasions and consumers.
- Uncover the importance of mood dynamics on consumption.
- Salesforce was armed with a simulation tool that calculates incremental revenue by replacing an existing brand with a new brand; adding a brand to the menu; promoting a new or existing product.
- Ability to better partner with trade to increase revenue on both sides.
Read more about our solution for Understanding Consumer Decision Making.