Pricing within the healthcare sector is one of the most complex of any market. Apart from the usual factors that influence pricing levels such as product positioning, medical and pharmaceutical products also need to take into account regulatory and budgetary realities.
One of the key questions that must to be answered prior to the commencement of any product launch (preferably, while the product is still in development) is the pricing level. This ensures that ROI will answer expectations. Having an accurate understanding of the price elasticity of your product as well as the possible oscillations per geography will allow you to decide the level of investment that this new product might deserve. It is also essential for forecasting future sales more confidently.
HBS has a team of pricing experts specialised in the design, development and execution of pricing projects to determine the optimal price for your product. We can advise you on the suitability of methodologies such as menu based or choice based conjoint pricing analysis, Garbo Granger, Van Westendorp or even MaxDiff for example. Choosing the right methodology for your particular product is paramount.