Price Response - Non-Cannibalistic Graph

The Price Response - Non-Cannibalistic graph displays the elasticity for the selected analysis level for the selected item across the dimensions of Unit Volume, Revenue, and Profit. Each curve displays the lift across the range of price changes (typically -50% to +50%).

The elasticity curves include the effects of gap-elasticity (changing the price gap between other products in the same Demand Group) as well as sales-elasticity (how consumers will change their behavior based on the absolute price of the item).

The elasticities are non-linear. Price-increases may have different responses than price decreases, and different levels of price changes may have different response magnitudes.

The measurements are based on historical price changes. If an item has never seen a 50% price increase, the +50% point is a projection based on the information that the models had available.

You can use this graph together with the Base Price Lift Segmentation chart to predict the effects of changing the base price percentage for the selected item.