Definition
Price sensitivity meter (PSM) refers to a research method for establishing the range of prices that customers are willing to pay for a product.[1]
The technique was introduced as the Van Westendorp Model by Dutch economist Peter van Westendorp in the 1970s.[2]
References
- ^ American Marketing Association, AMA Dictionary.
- ^ Michael Lieberman. “Pricing research: A New Take on the Van Westendorp Model.” Quirk’s Marketing Research Review, June 2015.