It’s no use planning where to go if you don’t know where you are.” says the official slogan of the research agency DATAMAR. Since we have been in our industry for many years, we usually had a pretty good idea where we were even before working with them. But guessing doesn’t always mean knowing.
With the new dimension of our business, we have decided that it is better to know than to know and that we must measure twice and cut once. This protects our reputation, our money, our investors’ money and ourselves. That’s why in recent months we have adopted a strategy to test and measure everything on a large statistical sample before launch. DATAMAR helps us with its expert methods and large statistical sample.
The first of the extensive surveys whose results we received concerned the price level of our LOUIE brand cans. As the results of our marketing campaigns showed us, there was a high percentage of consumers who did not trust the contents of our cans because the price was too low.
The price sensitivity analysis showed that at our price of CZK 49 per piece we are already in the category of expensive canned food (but only just), but up to CZK 69 we can only discourage a very small percentage of customers. On the contrary, there is a large percentage of those who would buy our canned food, but for 49 CZK they do not believe that there can really be 95% meat.
The result was a rise in price from CZK 49 to CZK 69. This has no negative effect on sales, but we earn CZK 20 more per can in B2C.
