CONFIDENTIAL

Solution for Pricing Research

For further detail:info-india@intage.com

Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Solutions for Pricing research▶ Demand aspect
Pricing method considering "how much
would target consumers pay for theproduct”▶ Competitive aspect
Pricing method considering the market priceof competing products; when the products
are not differentiated and there is somecompetition within the market.
Definitelywant to buy￥

Not at all

●●●
JPY

XXX JPY〇〇〇JPY●●●JPY▲▲▲
JPY

Capture price perception ofconsumers towards the productAssess the purchase intention at theproposed price

Assess how comparative the productat the assumed price

PRICE2PSM

Gabor Granger（simple version）

GG（competitive version）
GG（tip game）

Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Solutions for Pricing research (cont.)
PoVSolution

Key Points•••

Consumers are asked perceived price of the product without any price information
Benefit of this approach is to figure out optimal price point from consumer point of view
Limitation is that it is not able to assess purchase intention at the point of price because theprice point is not indicated.

Gabor Granger •Assess purchase intention with price point
It capture the change in purchase intention with repeating questions at different price point.

PRICE2／PSM
DemandSimple ver.

••Gabor Granger •Competitive ver.

Competition••

Gabor Granger •Tip game ver.

•Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Ask respondent to select the product which they want to buy the most among competition
Understand price elasticity with repeating questions at different price point of test product
It is suitable for the products with less purchase frequency (less than once a year)
Presenting the product side-by-side with the competition and assigning how many times tobuy which product in a 10-purchase opportunity.
Understand price elasticity with repeating questions at different price point of test product
It is suitable for the products with purchase frequency (once a year or more) because
purchase frequency is considered.

Recommended solution by research objectives〇：Recommend△：Some limitation

Product X development stage

Demand(1) Determine the price range at which the target

purchase the product(3) Determine the price range at which the targetConcept stage
Existing(competitor user) will buy (switch)market withcompetition Products is ready (4) Determine the price at which the target(competitor user) will buy (switch)

Competitive

PRICE2／PSM

GaborGranger

〇△--〇

△--〇

△--〇-△△

Research objectives

New market/ Concept stage
will purchaseNO
competition Products is ready (2) Determine the price at which the target willNew
productSolutions

simple ver.

GaborGrangerGaborGrangercompetitive ver. Tip game ver.

Concept stage(5) Determine the price range at which existingusers can be retained and new users can be acquired〇△--Products is ready(6) Determine the price at which existing users canbe retained and new users can be acquired〇-△△Price hike(7) Determine the price at which profit can beobtained even if users leave (outflow to competitors)

〇

-〇

〇

Discount(8 ) Determine the price at which you can acquire
new users (inflow from competitors).

〇-〇〇

RenewalExisting
product

Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Gabor Granger（simple ver.)Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Gabor Granger（simple ver.）Showing the product to the respondents along with its price and ask them about their purchase intention.
The evaluation is repeated at different prices, and the percentage of intenders at each price is calculated to determine priceelasticity.

￥Planning the price hike
Repeat the evaluation by showing the price instepwise increments.
Continue until you reach the highest level of priceor the lowest rating of purchase intent (Bottom1)
is selected.
How much would you want to buy this productat ¥298? (7 point scale)￥Planning the price down

Repeat the evaluation by showing the price downin stepwise.
Definitely want Want to buy
to buySlightly wantto buy

Cannot sayeither

Slightly notwant to buy

Not want tobuy

Not want tobuy at all¥348¥398*Repeat questions at different price point

Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Continue until you reach the lowest level of priceor the highest rating of purchase intent (Top1) isselected.

Output of GG simple ver.
Price elasticity of the tested productCapture changes in purchase intention resulting from price changes.
Change in purchase intention at different price point
Definitely want to buy
Slightly not want to buy

Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Want to buy
Not want to buy

Slightly want to buy
Not want to buy at all

Cannot say either

PRICE2

Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

PRICE2: Analysis frame (1)Define 5 price rage based on 4 questions about Price④ Marginal price feelingit as too cheap
Worried aboutquality as it is toocheap②Marginal pricefeeling it as cheapCheap/ Bargain① Marginal pricefeeling it as expensive

Reasonable price③ Marginal price feelingit as too expensive

Expensive

Not to buy as it istoo expensive

PRICE2 calculate the percentage of respondent at each price point➡ Identify the optimal price which many respondent consider it as want to purchase.
(Example) If respondent A’s answers are as follows (in red) and the price of the product is 190 yen, the product is in the"reasonable price range”
¥100

¥170

¥190

¥200

¥280

9Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

PRICE2: Analysis frame(2)PRICE2 analyzes four price ranges: "cheap," "reasonable," "expensive," and "purchasable.
④ Marginal price feelingit as too cheap
Worried about
quality as it is toocheap②Marginal pricefeeling it as cheap① Marginal pricefeeling it as expensive③ Marginal price feelingit as too expensive

Cheap/ Bargain

Reasonable price

Expensive

Minimum
price curve

Reasonable
price curve

Maximum
price curve

Not to buy as it istoo expensive

Price range with possibility of purchase（Not too cheap/ not too expensive）

Purchasable price curve
Purchasable price curve =Minimum price curve ＋Reasonable price curve ＋Maximum price curve

10Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

How to analyze the resultOptimal●Minimum price（¥198）：
The price at which most people perceive the price tobe cheap.
*If low-price strategy is applied, price will be set near
this peak.

Reasonable●Optimal purchasable price（¥258）：
Price at which maximum number of people wouldpurchase the product. Hence consider it as optimal
price point.

MinimumMaximum●Reasonable price（¥308）：
The price at which most people perceive the price tobe reasonable.
Price at which the product would be purchased if
there were no competing products.
●Maximum price（¥508）：
The price at which most people perceive the price tobe expensive.
*If premium-price strategy is applied, price will be set
near this peak.

購買金額

188_ 198_ 208_ 218_ 228_ 238_ 248_ 258_ 268_ 278_ 288_ 298_ 308_ 318_ 328_ 338_
69.27 71.71 91.31 91.31 91.54 91.76 91.54 95.55 95.32 95.32 95.1 95.32 93.54 93.54 93.32
93.1
49 49.89 36.97 36.97 36.97 36.53
36.3 28.29 28.06 27.84 25.84 24.72
4.68
4.68
4.23
4.01
19.82 21.38 53.01 53.01 53.01 53.45 53.23 63.03 63.25 63.47 64.37 64.59 71.71 71.49 71.71 71.49
0.45
0.45
1.34
1.34
1.56
1.78
2
4.23
4.01
4.01
4.9
6.01 17.15 17.37 17.37 17.59
Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Purchasable
price curve
購買可能曲線（％）
Minimum pricecurve
最低価格曲線（％）
Reasonable
pricecurve
妥当価格曲線（％）
Maximum pricecurve
最高価格曲線（％）

498_ 508_ 518_
71.71 47.22 46.99
1.34
0.45
0.45
37.64 13.59 13.59
32.74 33.18 32.96

11Appendix

Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

The order of questions asking GG and PRICE2
When PRICE2 and the GG Simple version are incorporated into a single survey, the questions thatare more important at each stage of development are interviewed first.
◆ Emphasis on capturing the perceived price by the consumer (mainly for the concept stage)
PRICE2➡

GG simple ver.

*The PRICE2, which asks consumers about their perceived price, is interviewed first, and then the GG Simple
version is done. The reason for conducting the GG Simple version is that PRICE2 does not indicate whether or
not consumers want to buy at a particular price. Note that since PRICE2 is done first, the results of the GG
Simple version are the outcome of looking at and considering the target product more closely than usual (theresulting score can be both up and down).

◆ Emphasis on purchase intention at a hypothetical price (mainly for the pre-launch phase)
GG simple ver.

➡

PRICE2*The GG Simple version is asked first, followed by PRICE2, because we want to know the volume of theIntenders. The reason for conducting PRICE2 is to check whether the assumed price is not out of theacceptable price range of the respondents. Note that the results of PRICE2 will be biased by the price in the GG,because the GG Simple version is asked first. ）Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.

Looking forward to working with you

Copyright© 2024 Intage INDIA Private Limited All Rights Reserved.