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TPR elasticity
What is TPR elasticity?
Definition: TPR elasticity is a coefficient that quantifies how sales volume responds to changes in price during temporary price reductions.
Context: The greater the TPR elasticity figure, the more sales respond positively to temporary price reductions.
Example: An elasticity of 3.2 suggests that a 1% decrease in price during a promotion leads to a 3.2% increase in sales units (non-linear relationship).