Gabor-Granger

A survey technique that asks purchase likelihood at a series of set prices and builds demand and revenue curves from the answers.

André Gabor & Clive Granger (1964; Economica, 1966)

What it does

Asks purchase likelihood at set price points and builds a demand and revenue curve, showing the revenue-maximising point.

When it breaks

You choose the price points, so the answer comes from inside your own range. Still stated preference, and it does not model competitor response.

Case

Miller, Hofstetter, Krohmer and Zhang benchmarked hypothetical WTP formats against real purchase data in JMR. Hypothetical formats showed clear bias — but often still produced the correct demand-curve shape and, importantly, the correct pricing decision.

Miller et al. (2011), Journal of Marketing Research ↗

Diagram — not yet drawn

The demand curve and revenue curve on one axis, with the tested price points marked as dots and the untested space either side left conspicuously blank.

In the wild

Unvetted · not part of the tier assessment

What has been written about this tool in the last twelve months. Machine-retrieved and unchecked — everything above this line was checked.

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