How we estimate prices for new devices that aren't published
Hello.
We get asked how we estimate price ranges for new aesthetic devices that aren't publicly published.
Several of the founding team are experienced financial quants and forecasting techniques are familiar to us. A technique called regression is how we estimate new device prices. We also have five team members that are very familiar with the US aesthetic device market and any estimated prices have to pass the 'sniff test' - does the range look correct?
Specifically, we gather (current) pricing information for approximately 1,000 pre owned devices being sold in the US and Europe. For every device, its condition, age, use, certification and refurbishment status are assessed. A group of used devices (typically 4-8) for a specific model is used to define the 'like-new' device price. This price is then used to forecast the new device price.
Our confidence in the price forecast is reflected in the breadth of the price range that we apply to each new device model. if our data isn't consistent and comprehensive, the price range is wider.
JP