Go-To-Market Feature Optimization And Pricing Research

Leverage Pricing Research to Optimize Your Product Offering and Determine Your Pricing Model

Overview:

The University of Washington Foster School of Business sought to better compete for the limited pool of prospective MBA students by optimizing the curriculum, format, and pricing of its degree offerings and determining the ideal marketing mix to attract new applicants.

Challenge

The research needed to establish an understanding of student needs that would translate into actual behavior when applied to the marketplace. Pricing research and configuration of the program variables (such as delivery in remote/online versus in-person instruction, electives, certifications, etc.) were key to optimizing the program for maximum enrollment, while ensuring the prestigious Foster School of Business brand was not eroded or cannibalized.

Approach

Adaptive Choice-Based-Conjoint experimental design (ACBC) during which prospective students created their ideal program based on a variety of potential program features and pricing, paired with Latent Class Segmentation Analysis to define the total audience and test messaging and communication approaches.

Outcome

Pacific Market Research recommended an optimal set of program features, delivered a dynamic market simulator to demonstrate enrollment based on trade-offs of features versus pricing, and developed strategic market positioning to maximize the university’s ability to compete against other institutions in its region. Armed with this knowledge, the UW has created an enormously successful program, and has the building blocks to repeat this success.