Software Portfolio Optimization

 The Challenge

A Fortune 1000 software provider needed to rationalize its complex product portfolio and address market changes in software delivery.  We were commissioned to evaluate product bundling opportunities, determine price elasticity and cannibalization risks, and test licensing options.

The Solution

We conducted a series of the following quantitative studies as the product evolved:

• Concept Test with Van Westendorp pricing model to establish price thresholds and enable uptake
• Choice-Based Conjoint to optimize bundles and align offerings with customer needs
• Menu-Based Conjoint to define individual product/bundle prices and quantify risks

The Insight

• Validated core bundling roadmap proposed by the client
• Quantified price thresholds to support launch decisions
• Segmented interest in license changes among key audiences
• Demonstrated price (in)sensitivity among key audiences
• Captured the voice of unmet customer needs