You have a great product or service. Customers in the Netherlands are happy with it. And now you are looking across the border. But what should it cost in Germany? Poland? Or the US? Good news: there is a surprisingly simple tool to test that. A hamburger.
The hamburger that knows more than your accountant
The Big Mac Index is a concept that has been around for decades. It was originally devised by The Economist as a light-hearted way to illustrate purchasing power parity between countries. The idea is simple: a Big Mac consists of the same ingredients everywhere in the world, and it is made and sold the same way. So what a Big Mac costs in different countries tells you something about local purchasing power.
In the Netherlands you currently pay around €5.20 for one of those burgers. In India? Roughly €2.40 in converted terms. In Switzerland, a good €7.50. Those differences are not random. They reflect wages, rents, tax levels and what people are willing to pay.
For business owners this means the following: if your subscription, service or product is priced for the Dutch market, then in some countries that price is ridiculously expensive. And in other countries you are leaving money on the table.
From hamburger to pricing strategy
Say you sell a SaaS subscription for €5 per month. Sounds affordable. In the Netherlands that is 0.2% of an average monthly salary. In Vietnam that same amount is a larger share of the average income. In Norway it is close to pocket money. Same price, completely different perception.
This is exactly why a well-considered international pricing strategy is essential if you seriously want to grow outside the Netherlands. Not just in terms of competitiveness, but also in terms of conversion. A price that does not match local purchasing power drives people away, even if your product is excellent.
The Big Mac Index does not give you an exact formula, but it does give you a reliable feel for the market. And the best part? You do not have to be an economist. All you need is a good prompt.
The AI prompt that does the work for you
Justin from JKC tested it himself: simply ask AI what the right prompt is to see how your price compares to the Big Mac Index per country. What comes out is a direct, usable analysis, per country, including an estimate of affordability for the local population.
This is the prompt you can copy and use right away in ChatGPT, Claude or another AI:
I sell [describe your product or service] for [price] per [month / year / one-time]. It is a [B2B / B2C] product aimed at [target audience, e.g. small businesses / consumers / freelancers].
Use the Big Mac Index (most recent data available) and purchasing power parity (PPP) to analyze how affordable this price is in the following countries: [fill in countries].
Assume that a price is “acceptable” if it amounts to less than 1% of the average net monthly income in that country.
For each country, report in a table with four columns:
Finish with a top 3 of the most promising markets based on the analysis.
Present the outcome clearly, country by country.
Tip: replace the parts between brackets with your own details.
This is what the result looks like
To show that this really works, we tested the prompt with a concrete example: a subscription of €5 per month. Below you see a simplified overview of the outcome. This is the kind of insight you would normally hire a market research agency for.
| Country | Price verdict | Affordable for | Advice |
|---|---|---|---|
| 🇳🇱 Netherlands | ✅ Acceptable | ~90% of the population | No adjustment needed |
| 🇩🇪 Germany | ✅ Acceptable | ~88% of the population | No adjustment needed |
| 🇵🇱 Poland | ⚠️ On the high side | ~65% of the population | Consider a lower entry price |
| 🇮🇳 India | ❌ Relatively expensive | ~30% of the population | Local pricing recommended |
| 🇺🇸 United States | ✅ Acceptable | ~92% of the population | Possibly even raise it |
| 🇧🇷 Brazil | ⚠️ On the high side | ~50% of the population | Consider a freemium model |
| 🇯🇵 Japan | ✅ Acceptable | ~85% of the population | No adjustment needed |
* This is an illustrative example based on AI analysis. Use it as a starting point, not as a definitive benchmark.
See the pattern? With a single prompt you already know for which markets your price works and where you should consider adjustments. That gives direction. Direction gives focus. Focus produces growth.
Why this matters for your growth strategy
AI is increasingly being used by business owners who want to make decisions faster and smarter. Not because AI knows everything, but because it can turn enormous amounts of data into usable insight. The Big Mac Index is a perfect example: publicly available economic data, combined with a good prompt, delivers actionable information within 30 seconds.
This fits exactly with how JKC looks at AI: not as hype, but as a tool. We do not believe in AI as a replacement for human thinking. We do believe in it as an amplifier. Whether you want to sharpen your digital strategy or solve concrete marketing challenges, AI helps you reach the answer faster.
The key points at a glance
- The Big Mac Index is an accessible but effective instrument for comparing purchasing power between countries.
- The same price can be a no-brainer in one country and a barrier nobody crosses in another.
- With a good AI prompt you can check your pricing strategy per country in under a minute.
- The outcome gives you concrete leads: adjust, keep, or develop a local variant.
- Doing business internationally without a price analysis is like driving down the highway with your eyes closed.
Want to go further than the Big Mac?
The Big Mac Index is a fantastic starting point, but it is not the final destination. If you are serious about doing business internationally, more parameters come into play: local competition, distribution costs, tax rules and how prices are culturally perceived in terms of value. In some markets a higher price actually works better, because it raises trust and the perception of quality.
But analyses like this start with a solid data layer. And building that data layer, both in terms of your website and your marketing strategy, is exactly what JKC does. From Eindhoven, Rotterdam and now Atlanta as well.
Curious how we approach that? Take a look at our solutions or read how we work for other business owners in our cases.
Frequently asked questions about the Big Mac Index and pricing strategy
What exactly is the Big Mac Index?
The Big Mac Index is a measure developed by The Economist to make purchasing power parity between countries visible. Because a Big Mac is made the same way everywhere in the world, its price reflects the local income level. For business owners it is an accessible way to understand whether a price is realistic internationally.
Can I really base my pricing strategy on a hamburger?
Not on its own, no. The Big Mac Index is a starting point, not a final verdict. Local competition, tax structures and cultural price perception play a role too. But as a first test of whether your price is anywhere near what a market can handle, it works surprisingly well. Certainly in combination with a targeted AI analysis.
Which AI tool is best for this analysis?
ChatGPT and Claude are both well suited to the prompt in this blog. Both tools have access to basic economic data and reason well about purchasing power parity. Use the prompt as described, fill in your own product and price point, and compare the results. A second opinion from a second tool is always smart.
When should I actually adjust my price per country?
If the AI analysis indicates that less than 60% of the population can pay your price without difficulty, that is a signal to think about a local variant, a lower entry rate or a freemium model. Above 75%, your price is usually solid. Anything in between calls for a deliberate choice.
