Conjoint Analysis Marketing
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Conjoint Analysis Marketing
Conjoint Analysis is used as a marketing research tool that helps determine how people valuate different features that make up different products and services.
The objective of this type of analysis is that the persons who are participants in the research need to choose between different attributes or options, which will later be valued and rated. This will then reveal the most important factors which people value in a product or a service.
“The objective of conjoint analysis is to determine what combination of a limited number of attributes is most influential on respondent choice or decision making”
Ways of being administered:
Choice Exercise (person chooses from alternatives)
Constant Sum Allocation Exercise
Ranking Exercise
Rating Exercise
It is important that there are no many attributes because then it will be an overload of information which will affect the validity of the experiments.
“Conjoint Analysis originated in Mathematical Psychology, developed by marketing professor Paul Green at the University of Pennsylvania”
Now a days it is used in many social sciences, like product management and operations research. It is commonly used to test how customers accept new products, how they like advertisements and in service design.
“..also referred to as multiattribute compositional modeling, discrete choice modeling or stated preference research”
Coinjoint Analysis is really interesting for those looking to gain a marketing advantage over the original models of analysis.
Bibliography
Ramirez, Jose Manuel (2009). “Measuring Preferences: from Conjoint Analysis to Integrated Conjoint Experiments”. Journal of Quantitative Methods for Economics and Business Administration 9: 28-43