PRICING HYPOTHESIS VALIDATION
HYPOTHESIS
Prices for consultancy service: We are not more expensive than the market price.
Prices for selling site: We are not more expensive than the market price.
Price of the best alternative: Our customers will estimate the value of the best alternative.
Value of performance differential: Our customers will estimate the perceived value of our differentiation (algorithm, selling site, product advertisement and consultancy service).
Differences in perceived value: There is no difference in value estimated between the customers.
TEST
Conduct research what prices competitors have.
Conduct research what prices competitors have.
Survey potential customers where they estimate the maximum price for a consultancy and selling site service.
Survey potential customers where they estimate the maximum price for our (algorithm)
Survey potential customers where they estimate the maximum price for our (algorithm).
VALIDATION
Starting at 100€ hourly up to more than 1000€ per hour.
Result: validated
Ebay charges 10%, Amazon charges between 15% and 50%
Result: validated
The estimated on average of 367€ per product
Result: validated
The average price for the algorithm was higher
Result: validated
The maximum prices in our survey ranged from 350€ to 5200€
Result: not validated