Product Feature Evaluation
The NPD Group’s product feature evaluation service is a POS-driven approach that determines the value of individual product features through analysis of granular store-level point-of-sale (POS) data that is representative of the entire market. Through this process, The NPD Group can help to address and even answer the broad range of questions that arise as manufacturers develop and take to market new and enhanced products:
- How much are people willing to pay for feature X?
- Which features, or combinations of features, should we focus on when designing or enhancing products?
- Which product features should we highlight in our communications?
- How should we price products that we upgrade?
- What is the incremental value of our brand – a product feature – in different categories?
Retailers can benefit from NPD’s product feature evaluation service as well:
- To identify must-have product features they need to carry
- To support category-level decisions on how to price and assort products within stores
- To understand people’s needs and preferences and how they evolve over time
All product feature evaluation subscribers—manufacturers and retailers—can test hypotheses, conduct what-if analyses, and obtain answers to critical questions through an interactive simulation system that NPD updates as new features enter the market.