SurveyMonkey
Price Optimization (Van Westendorp)
The Price Optimization (Van Westendorp) solution helps you figure out the right pricing strategy for your product or service by measuring how much your target market is willing to pay. This is especially useful when bringing a new product to market, pivoting or repositioning an established product, or changing up product features.
This solution uses the Van Westendorp methodology—a series of four standard questions, helping you collect data on price perceptions in an unbiased way so you can identify an optimal price point, as well as an acceptable price range for your product or service. Plus, you can add additional custom questions to your survey to gather other important information from your target audience, all at once. In your analysis, you can segment your data by your custom survey questions or targeting options to better understand various audiences’ willingness to pay.
Setting Up Your Survey
Get Started
To set up your study:
- Get started by adding a Study title.
- Select Next: Set up Van Westendorp.
Add Survey Components
To add survey components:
- Add an introduction to let respondents know exactly what you want them to do while completing your survey.
- In the Add stimulus section, add a text description and images to provide context, so that respondents can give you helpful feedback.
- Under Select product type, select Product, Service, or Subscription based on what you are testing. Select Other if you want to enter a custom name or specific details, like "monthly subscription."
- While the standard methodology questions aren't editable in Set up the Van Westendorp questions, you can set the Currency and Minimum or Maximum cost limit.
- By default, the toggle is turned on to include answer option validation. This is recommended to ensure respondents can't enter answers that don't make sense. For example, "$100 is too cheap" and "$5 is too expensive."
- Select Next: Customize survey.
Customize and Preview Your Survey
When customizing your survey, you can:
- Add additional custom questions to your survey to gather other important information from your target audience. Feel free to use the Question Bank for pre-written questions, implement logic, and brand your survey.
- Add custom variables to track known-data about your respondents through the survey and use them to filter your results in Analyze.
- Add translations to your survey so people can take it in another language.
Select Preview survey from the top right corner to test your survey in a new window and see what it looks like to respondents. You can even share the preview with others to gather feedback.
Once your survey looks good to you, select Next: Collect responses.
Collecting Responses
When you’re ready to send your survey, select the Collect icon from the left-side menu.
There are 2 ways to collect responses:
- Share a survey link: Create a Web link to send your survey to your own audience.
- Buy responses from your ideal respondents: Target certain demographics with SurveyMonkey Audience.
You can create multiple collectors for your study.
Share a Survey Link
Create a web link that you can send or paste wherever you want. To share a survey link:
- On the Collect page, select Add new collector, then select Web link collector.
- Customize your Web link settings. You can:
- Set a custom survey end page
- Allow multiple responses
- Set a cutoff date and time
- Set response limits
- Copy your web link when you’re ready to send your survey.
Target your Ideal Respondents
SurveyMonkey Audience panelists have been sorted based on hundreds of targeting options, so you can target your respondents based on country, demographics, employment status, hobbies, religion, and more.
To choose your target audience:
- Go to the Collect page.
- Select Choose an audience or select Add new collector, then select Buy Responses.
- Select your target audience by choosing Country, Gender, Age, and Household Income criteria.
- Select + Targeting criteria to browse and choose from hundreds of other targeting options.
- (Optional) Select whether to add a screening question to narrow down your target audience and disqualify people who aren't the best fit for your survey. If you add custom screening questions, estimate how many people you expect to qualify for your survey.
- Add a qualifying question to the beginning of your survey. We recommend either Multiple Choice or Checkboxes.
- Add skip logic that disqualifies people if they select certain answer choices.
- Return to the Target audience setup page to estimate your Qualification Rate.
- Review your target audience summary and select Checkout.
Checkout
To checkout and pay for your study:
- Review the details of your order.
- Under Payment Method, select to pay with Credit or Debit Card, or with My Credits.
- Enter your Billing Details, review the total, and select Confirm.
Once you submit payment, we start gathering responses for your survey right away.
Analyzing Your Data
In the Analyze section, there's an Overview, Key findings, and Survey results page.
- Overview: Track your survey status and see how many responses have been collected by each collector.
- Key findings: View the Van Westendorp price sensitivity meter and some basic statistics.
- Survey results: View charts and data for your custom questions.
Price Sensitivity Meter
The price sensitivity meter is a chart with the results of the Van Westendorp questions arranged together in four curves. There are four main price points that stand out: the point of marginal cheapness (PMC), the point of marginal expensiveness (PME), the optimal price point (OPP), and the indifference price point (IPP). These plotted data points let you visually depict notable price points for your product or service, along with an acceptable price range based on the responses.
Learn more about how to use the price sensitivity meter.
Filter Your Results
On the Key findings or Survey results pages, select the Filter button above the chart to filter your data.
Filtering allows you to show responses that match your filter criteria and hide the rest. Filters help you to identify differences between segments of your audience based on your custom questions, custom variables, targeting criteria, or metadata.
Export Your Data
To export your data:
The export appears at the bottom of your browser window or is available in your computer's Downloads folder.