The situation

Our client wanted to establish market potential of two new animal health products; price needed to be tested for market acceptability. The client also wanted to establish how the new products would fit into their customers’ current drench and vaccine programs.

Our approach

  • Three focus groups were conducted covering dairy cattle, weaned calves, and cow operations.
  •  Quantitative research focused on beef cattle producers across one country.
  • All respondents had to be responsible for making decisions on animal health management, and had to have drenched or vaccinated their cattle in the previous 12 months.
  • The quantitative phase included both a price sensitivity meter and price laddering to establish the pricing corridors for the two new drench/vaccine products, along with assessing the likelihood of adopting the product concept.

Business outcomes for the client

  • The client got a clearer understanding of the opportunity that existed for the two new combined drench/vaccine products for the weaner/cow animal health market. This was driven by the following considerations:

    • Incidence of drenching and vaccination
    • Whether animal husbandry practices are undertaken concurrently
    • Brand awareness and use of manufacturer
    • Acceptance of the specific product features offered, particularly two activities combined into one
    • Rating of the two new products
    • Likely use of the two new products without considering price
    • Establishment of price points and if they were within the respondents’ pricing corridor to maximize revenue