Let’s face it: there’s no one price point that will be right for all of your customers. Every customer has a range of prices they could pay.
Imagine you visit a fancy cocktail bar. You just got a raise at work, and you’re celebrating your daughter’s graduation. How much would you pay for a cocktail? $15?
Now imagine you visit the same cocktail bar but you’ve just heard your company is making redundancies and you’re concerned about your job. Would you even buy a cocktail now?
It’s a simple example that raises an important point. There’s never one price that’s right. Our willingness to pay changes.
The Van Westendorp price sensitivity survey helps you narrow down the appropriate price for your product or service.
With this survey, you'll
Discover an acceptable price for your service
Find the relationship between price and features
And learn the best combination of price and features
The Goldilocks price, not too much, yet not too little
The Van Westendorp pricing model involves asking a set of questions to figure out the price your audience is willing to pay. It pinpoints your customers’ price sensitivity by asking them 4 important questions:
At what price would my product be so expensive that you would not consider buying it?
At what price would it be getting expensive but you would still consider buying?
At what price would it be a bargain and such a great buy for the money?
At what price would it be so cheap that you would actually be worried about the quality of my product?
With these answers, you’ll be able to narrow down the appropriate price for your service. See, by plotting customers’ answers on a line chart (like this great example from Focus vision), you’ll be able to discover a range of acceptable prices.
These are the prices that—for the majority of your customers aren’t considered too much, but also aren’t considered too little. It’s what most customers would be happy to pay.
3 questions you’ll be able to answer with the Van Westendorp survey template
1. Am I undercharging for my product?
Every entrepreneur’s fear is that they’re potentially throwing away money. Undercharging is a sure-fire way to do just that. With the Van Westendorp price sensitivity survey, you’ll discover what customers consider to be an inexpensive and expensive offering, helping you learn if you’re undercharging.
2. Can I increase my prices?
Whether you’ve recently invested in your product quality, added new features to your SaaS offering, or are simply accounting for inflation, most businesses feel the need to increase their prices over time. Price increases come around fairly regularly. To figure out if you can increase your price and by how much, use the Van Westendorp price sensitivity survey.
3. How much should my new product cost?
Launching a new product is daunting for many reasons, with price being close to the top of the list. With the Van Westendorp price sensitivity survey, you can take the guesswork out of pricing your product and figure out what price would be acceptable for your audience before your launch.
An example of a Contentsquare price sensitivity survey
💡Pro tip: Contentsquare’s Surveys tool lets you fully customize your surveys to make them your own. You can
Tweak each question in the template or add your own
Change the color scheme (more colors available on our Growth plan)
Pick between full-screen, pop-up, or external link surveys
Choose the perfect type of survey that fits your needs with Contentsquare’s Surveys tool
How to set up the price sensitivity survey in seconds
Getting started with Contentsquare’s price sensitivity survey is fast and easy.
Navigate to Surveys in Contentsquare from the left-hand menu
Click ‘New Survey’ in the upper-right corner
Choose to start from scratch or use one of 40+ templates—like the price sensitivity template—then customize it as needed
Once set up, your survey is ready to send to customers and start gathering valuable insights.
📌 Reminder: ensure the Contentsquare tag is installed on your site. This tracking code allows you to host the survey live on your site rather than via an external URL. This might be useful if you want to show the price sensitivity survey to users on a certain page. It’ll also mean you’ll be able to access all of Contentsquare’s existing features.
Don’t worry, installing the tag won’t slow your website down. And it doesn’t cost you anything (our free plans are free forever). To set up your full Contentsquare account and install the tag, follow these steps, or simply use the Contentsquare and Google Tag Manager integration.