price-elasticity-estimation

Measure how sales respond to price and promotions, and turn the answer into a pricing call. Use whenever someone asks for price elasticity or cross-price elasticity; how much volume a price rise or cut will lose or gain; whether a price change will raise revenue or profit; whether customers respond differently when a product is on promotion; whether two products are substitutes or complements; how to fit a log-log demand model on sales and price data; whether a discount pays for itself in extra volume; or how a competitor's price or promotion moves our sales. Not for designing tiers, bundles or segment prices, not for pricing from willingness-to-pay survey data, and not for reading regression coefficients outside a pricing question.