The USPB Resource Center: Price Elasticity Tool
A price elasticity study was commissioned by the USPB to understand how the demand of potatoes changes with increases or decreases in price. In addition to the study, an interactive tool was designed to help you develop a sales strategy. The tool was created using Nielsen Perishables Group’s fresh-specific price elasticity modeling and 816,000 potato retailer sales data records, spanning from 2009 through spring 2014. The elasticity and cross-elasticity of each product group was calculated. The tool runs off those elasticities and allows the user to see estimated volume changes when adjusting potato pricing for various pack size/types, and to calculate retailer profit.
The USPB has a resource center available to all growers and shippers to help create insights and recommendations for retailers. Not only will these resources help when meeting with retailers, but they will also provide a look at fresh potato category performance, research, best practices and consumer shopping habits.
We encourage everyone to use the USPB as your resource for retail trends and category insight; we are here to help you and your retail customer increase fresh potato sales. Please feel free to reach out to USPB Global Retail Marketing Manager Sarah Reece at [email protected] or 303-873-2334 if you have any questions on these tools or want to find out about other ways the USPB Retail program can help you manage your fresh potato retail marketing program.