Market simulator

The market simulator will give you answers to questions such as:

• Is the delivery time of your product a determining factor?
• Does price in particular play a role?
• Do they consider accessibility and service to be most important?
• Or is there a particular feature of your product that is irresistible to your customers?

To make simulated market choices, we start with conjunct measurement. With conjunct measurement, we identify the added value of product features. Consumers' preferences are measured by having them make choices as they do on comparison sites.

In these experiments, we ask respondents to evaluate a number of product concepts, systematically varying each independent component of a product concept.

How does the market simulator work?

After the data is collected, a market simulator is created that acts as a tool to predict which products consumers would choose if they were actually on sale.

A market simulator allows an analyst or manager to present numerous "What if" questions to explore problems, such as while designing new products, product positioning and determining pricing strategy.

It's a bit like having your entire target audience in one room, with the sole purpose of voting on product concepts within competing scenarios. You walk into the room and show them a number of products. And the group immediately votes for the products they prefer. So you can evaluate millions of potential products and market situations.

The results of this simulation are well suited for needs-based segmentation. The target group is divided into different groups such as:

• Price-conscious consumers
• Loyal consumers (brand loyalty)
• Consumers who value reliability (e.g., speed)

So you know exactly in which segment your brand has the strongest position.

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