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Conjoint Analysis-What It Is? by Richard Conard





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Conjoint Analysis-What It Is? by
Article Posted: 04/03/2017
Article Views: 524
Articles Written: 1235
Word Count: 455
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Conjoint Analysis-What It Is?


 
Internet,Internet Marketing
This term can be defined as a strategy that is used to determine the preferences of various product features. It is also used to learn how a price change is able to affect the demand for goods and services and to determine the chances for a new product to be readily accepted when introduced to a market.

Conjoint analysis eliminates the concept of directly asking respondents to a survey about their preferences pertaining to different products, or asking what do they find most important in a product. It uses a more realistic approach of getting the respondents to review several product profiles.

Products profiles can be shown in a number of ways, but the Choice-Based Conjoint survey technique otherwise known as CBC is the one that’s being used by most people today. With this technique as it was in the early 1970s, it showed respondents one product at a time before asking them to choose. Nowadays the technology the survey has been improved to show products in pairs or having a view timer set between each one.

Participants of a conjoint analysis survey normally complete between 11 and 33 conjoint questions in any given sitting. By using first stage design principles of balance and independence, the questions are fashioned in a particular manner. By altering the features that are presented to the participants and observing their respective responses, analysts can apply various formulae to determine what is most desired in a product and how that will impact selection.

Another aspect of a Choice-Based Conjoint survey involves the use of conjoint market simulators, which allow research personnel to test several what-if scenarios. These help researchers to identify specific products that are competing against each other and predict the shares of preference based on each respondent’s estimated part-worth score. These simulators can go a step further in identifying which product is the so-called “best” instead of asking them to speak on how good a particular product is.

Mobile devices, face to face interviews and the internet are the most popular mediums used to conduct thousands of conjoint analysis studies throughout the year. Several organizations use the results of this survey to fine tune various marketing strategies including new product designs, product reposition, line extensions, etc. It additionally helps companies to reduce the cost development and research respectively.

Based on the amount of money in a budget that is allocated to development and research, it can be challenging to come to a conclusion about which conjoint method is best for you and your company Nevertheless, they are many options available so it’s down to what a company is able to afford based on financial constraints and expected results.

Related Articles - conjoint analysis, cbc, cbc conjoint, decrete choice experiment, dce, web-based conjoint, choice-based conjoint survey, conjoint excel, conjoint simul,

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