A staggering 80-95% of new product launches fail due to poor consumer or market understanding, or weak marketing execution. In the modern era of personalisation, comparison tools and user reviews, getting products and services right has never been more important. That’s why our Product & Service Optimisation suite is designed to drive growth in successful product launches.
Optimisation means making difficult decisions and prioritising elements of the marketing mix. Our highly skilled team of analysts applies complex models to optimisation challenges to build winning products. Turn new product failure into profitable, successful innovation with our cutting-edge conjoint analysis (choice-based, adaptive or menu-based), MaxDiff, and price optimisation.
Whether you are launching a new product or optimising an existing one, we will recommend the best route. We test product features such as pack, colour, size or price to reveal precisely what consumers want and how much they are willing to pay for specific features.
Our choice models assess the full commercial picture, including which product has the greatest potential to drive volume and value, and those competitors’ brands from which yours can steal share.
Consumers have seldom had greater product choice. Some would say choice paralysis. Bundled packages, optional features and add-ons, and product menus allow consumers to configure the perfect product. The challenge for marketers is which add-ons to offer, how to price them, and knowing which bundles will drive the strongest growth.
The answer lies in the complex interplay between each element. Our analysis reveals whether features are complementary or substitutes, the optimum bundle, or whether diverse preference warrants a “build your own” approach – all in the context of increasing revenue and profit.
Most product launch decisions have a wider portfolio dimension to them. Which products should be offered, and how should they be priced? Which ones will drive customer acquisition? Which will cannibalise each other? What is the best range to maximise revenue or profit?
The key is to understand your portfolio strategy goals – whether your aim is to drive volume, revenue or profit, or minimise churn. We tailor our modelling to construct the optimum range to achieve these commercial objectives, and deliver it in an intuitive market simulator.
A 1% price increase typically delivers a 10% increase in profit. Setting the wrong price is, at best, a missed opportunity, or at worst, an expensive mistake. Marketing optimisation requires a thorough understanding of what price buyers are willing to pay, whether price thresholds exist, and whether buyers respond to promotions.
The multi-faceted nature of pricing makes conjoint analysis ideal for modelling the optimal price. It exposes the link between price and promotions, and lends itself to the marginal impact of small price changes, which often determine the elusive profit growth that brands seek.
Even the most attractively constructed product with an eye-catching price can be undermined by poor communication. In a world where an estimated 90% of advertising goes unnoticed, your brand communication must be distinctive, relevant, and give people a compelling reason to buy your product or service.
We take an analytically-driven approach to determine which messaging resonates most with your target audience, whether it fits with your brand’s image and, ultimately, whether the communication will drive trial or repeat purchase to support a successful launch.