Consumer Demand Analysis™ (CDA)
Consumer Demand Analysis (CDA) leverages highly customizable simulation exercises to model future scenario impacts in a given market, category or shopping context.
The design of the simulation itself and the incorporation of competitive context is critical to be able to realistically model future scenarios, including potential actions that might be taken by competitors.
Our decision support simulators are used to build various future-looking scenarios leveraging choice-based economics to predict price curves and volume estimates.
We can then deconstruct each scenario by looking at brand impact and sources of volume to understand who and what the new offering will be competing with.
This allows us to build up to a final offering that maximizes revenue, profit, or both, within the confines of a realistic competitive environment using a new brand or a brand within our client’s portfolio.
Client benefits: Our clients use CDA to assess the future impacts of their actions and competitive response. Because of the rigor of choice-based economics, our clients can confidently optimize and forecast the potential for success for each product launch, focusing on the benefits that drive purchase. The simulator simultaneously explains the impact of competitive responses, cannibalization and other market dynamics.