This global CPG company had created a new line of products at premium price points within one of their family care categories. They wanted to drive higher profit margins with a minimal loss to sales volume.
However, soon after the new line launched, this client was not experiencing the sales they had expected. They asked Fractal Analytics to help them better understand the price points at which they could encourage consumers to purchase the premium line over their basic product line.
Fractal developed a framework by which our client could use data from multiple countries to determine the optimal price to offer their premium product line and drive more sales. Fractal’s framework:
Fractal developed a model by which our client could determine the optimal price to offer their premium product line and drive more sales. The model takes into consideration country-specific consumer behaviors and purchasing decisions.
The company had not given consumers enough opportunities to purchase the premium products at a similar price point to its basic products, preventing the premium products’ sales from gaining traction.
Our solution enabled this client to predict higher profit margins on their new line of premium products.