Traditional brand trackers focus on a brand’s ability to generate volume through measures of stated consideration and preference but often overlook the ability of a brand to charge a higher price. We show how conjoint analysis not only more accurately measures brand volumes but can also measure brand price premium. Furthermore, we show that what you need to do to build brand premium is distinctively different to how to drive brand volume. We delve into different ways of calculating price elasticity and examine the impact of displaying prices to respondents as proportional prices rather than monetary values. Given many brands invest significantly in brand tracking, this provides an exciting new opportunity for the application of conjoint analysis.
