The Watched Basket
The twenty prices shoppers actually quote decide whether you look expensive.
The job
Finds the everyday items shoppers actually watch from the prices they quote, sees which ones make the store seem expensive in each city, and proves that a small, targeted price cut changes that view, in dollars of margin per point.
The moment
The pricing committee guesses which prices shoppers watch most: olive oil, coffee and chicken. Then a basket fills, with each item sized by how often shoppers quote its price.
The 10 kg bag of rice lands 14 times bigger than any other item. Nobody guessed it.
Three items, worth about 2% of sales, drive the talk of being expensive in six branches. After price cuts of $1 to $2, that talk drops 9 points there within a month, while unchanged cities stay flat.
The ledger shows $180,000 of margin spent for those 9 points. The CFO calls it "the cheapest perception campaign I have ever run".
What it does
- Submit a quiz guess
- Register a price move with its expected effect
- Send the proposal to pricing approval
- Drill an item to shoppers' quotes
What you see
A basket drawn with items sized by shoppers' quotes, a price-memory quiz for the committee, and a perception ledger in dollars per point
What it moves
The share of price talk in each city that calls the store expensive, and the dollars of margin spent per confirmed point of improvement in how prices are seen.
Built for
- Finance
- Marketing, brand & comms
- Branch, store & field managers
