Non-linear pricing effects in conjoint analysis

被引:1
作者
Liu, YiChun Miriam [1 ]
Brazell, Jeff D. [2 ]
Allenby, Greg M. [3 ]
机构
[1] Towson Univ, Coll Business & Econ, Towson, MD 21252 USA
[2] Univ Utah, David Eccles Sch Business, Salt Lake City, UT USA
[3] Ohio State Univ, Fisher Coll Business, Columbus, OH USA
来源
QME-QUANTITATIVE MARKETING AND ECONOMICS | 2022年 / 20卷 / 04期
关键词
Willingness to pay; Willingness to buy; Behavioral decision theory; PRODUCT DESIGN; COMPLEX PRODUCTS; HETEROGENEITY; OPTIMIZATION; PREFERENCE; VALUATION;
D O I
10.1007/s11129-022-09256-3
中图分类号
F [经济];
学科分类号
02 ;
摘要
The application of conjoint analysis to new product development is challenged in studies of complex products that simultaneously examine the major drivers of a purchase decision and the composition of product components. Demands on data increase as more product features are included in an analysis, and at some point it becomes necessary to study the components separately. This paper presents evidence of a non-linear pricing effect that complicates the analysis of large conjoint studies when multiple conjoint exercises are integrated, or bridged into a single analysis. Our model is illustrated with data from the automotive industry showing that option packages are under-valued without accounting for the non-linear effects of price.
引用
收藏
页码:397 / 430
页数:34
相关论文
共 35 条
  • [1] Valuation of Patented Product Features
    Allenby, Greg M.
    Brazell, Jeff
    Howell, John R.
    Rossi, Peter E.
    [J]. JOURNAL OF LAW & ECONOMICS, 2014, 57 (03) : 629 - 663
  • [2] Economic valuation of product features
    Allenby, Greg M.
    Brazell, Jeff D.
    Howell, John R.
    Rossi, Peter E.
    [J]. QME-QUANTITATIVE MARKETING AND ECONOMICS, 2014, 12 (04): : 421 - 456
  • [3] Genetic algorithms for product design
    Balakrishnan, PV
    Jacob, VS
    [J]. MANAGEMENT SCIENCE, 1996, 42 (08) : 1105 - 1117
  • [4] The no-choice option and dual response choice designs
    Brazell, Jeff D.
    Diener, Christopher G.
    Karniouchina, Ekaterina
    Moore, William L.
    Severin, Valerie
    Uldry, Pierre-Francois
    [J]. MARKETING LETTERS, 2006, 17 (04) : 255 - 268
  • [5] Conjoint optimization: An exact branch-and-bound algorithm for the share-of-choice problem
    Camm, JD
    Cochran, JJ
    Curry, DJ
    Kaman, S
    [J]. MANAGEMENT SCIENCE, 2006, 52 (03) : 435 - 447
  • [6] The predictive power of Internet-based product concept testing using visual depiction and animation
    Dahan, E
    Srinivasan, V
    [J]. JOURNAL OF PRODUCT INNOVATION MANAGEMENT, 2000, 17 (02) : 99 - 109
  • [7] The Generalized Multinomial Logit Model: Accounting for Scale and Coefficient Heterogeneity
    Fiebig, Denzil G.
    Keane, Michael P.
    Louviere, Jordan
    Wasi, Nada
    [J]. MARKETING SCIENCE, 2010, 29 (03) : 393 - 421
  • [8] A GENERAL-APPROACH TO PRODUCT DESIGN OPTIMIZATION VIA CONJOINT-ANALYSIS
    GREEN, PE
    CARROLL, JD
    GOLDBERG, SM
    [J]. JOURNAL OF MARKETING, 1981, 45 (03) : 17 - 37
  • [9] The Strategic Implications of Scale in Choice-Based Conjoint Analysis
    Hauser, John R.
    Eggers, Felix
    Selove, Matthew
    [J]. MARKETING SCIENCE, 2019, 38 (06) : 1059 - 1081
  • [10] Johnson R.M., 1987, Sawtooth Software Conference Proceedings, P253