Case Study: Identifying price points for a new insulin pump
Delivering your product at the right entry point is critical. CMR was commissioned by the client to provide insight in to optimal price points for a newly launched insulin pump portfolio to bring global consistency amongst the diabetes community.
Working in Brazil, Saudi Arabia, Poland and India, CMR used Choice-based Conjoint to produce a simulation that would enable the client to make business decisions related to the launch. This included:
- Range optimisation, exploring cannibalisation potential within each range per market
- Exploring the balance between at sale price (ASP) of the unit and monthly consumable costs
- Giving a clear set of revenue projections to steer a simple recommendation
The client utilised the results to identify the most appropriate price points for each device in each market, using the simulator provided by CMR for ongoing modelling. This activity informed the client’s strategy to ensure the optimum return on investment whilst offering value to the product’s end user.