Welcome visitor you can log in or create an account

800.275.2827

Consumer Insights. Market Innovation.

blog-page

when not to use conjointAt the beginning of my research career I grew accustomed to clients asking us for proposals using a methodology that they had pre-selected. In many cases, the client would send us the specs of the entire job, (this many completes, that length of survey) and just ask us for pricing. While this is certainly an efficient way for a client to compare bids across vendors, it didn’t allow for any discussion as to the appropriateness of the method being proposed.  
Today most research clients are looking for their research suppliers to be more actively involved in formulating the research plan. That said, we are often asked to bid on a “conjoint study.”  Our clients who’ve commissioned conjoint work in the past are usually knowledgeable about when a conjoint is appropriate, but sometimes there is a better method out there. And sometimes the product simply isn’t at the right place in the development “chain” to warrant conjoint.
Conjoint, for the uninitiated, is a useful research tool in product development. It is a choice-based method that allows participants to make choices between different products based on the product’s make-up. Each product comprises various features and levels within those features. What keeps respondents from choosing only products made up of the “best” features and levels is some type of constraint – usually price.   
We look to conjoint to help determine an optimal or ideal product scenario, to help price a product given its features, or to suggest whether a client could charge a premium or require a discount.  It has a wide range of uses, but it isn’t always a good fit:  

  1.  When the features haven’t been defined yet. One problem product developers face is having to “operationalize” something that the market hasn’t seen yet. You need to be able to describe a feature, what its benefits are, and its associated levels in layman’s terms. We can’t recommend conjoint if the features are still amorphous.   
  2. When there are a multitude of features with many levels or complex relationships between the features. The respondent needs to be able to absorb and understand the make-up of the products in order to choose between them. If the product is so complex that it requires varying levels of a lot of different features, it’s probably too taxing for the respondents (and may tax the design and resulting analysis as well). Conjoint could be the answer – but the task may need to be broken up into pieces.   
  3. When there are a limited number of features with few levels. In this case, Conjoint may be overkill. A simple monadic concept test or price laddering exercise may suffice.   
  4. When pricing is important, but you have absolutely no idea what the price will be. Conjoint works best when the product’s price levels range from slightly below how you want to price it to slightly above how you want to price it.  If your range is huge, respondents will gravitate toward the lower priced product scenarios and you won’t get much data on the higher end. It may also confuse respondents that similar products would be available at such large price differences.
Hits: 6002 0 Comments

When working with clients on parameters for a conjoint design, there is often an assumption that the design includes a current product configuration, or base case. This base case provides a benchmark against which new configurations can be compared.  
Having a benchmark can be both useful and comforting when analyzing the conjoint results. Replicating a base case allows us to reference important metrics that are known for that product (for example, market share, CPU, revenue, etc.). As we configure new products and compare their appeal to our base case, we can gain insight into how these key metrics might be impacted.
Aside from establishing a benchmark, having a base case is also critical if there is concern about cannibalization.  If the expectation for the new product is that it will compete in the market with a current configuration it is critical to understand what impact the new product will have on the current landscape.
However, allowing for a base case in the conjoint design is not always warranted. As products become more dissimilar from current offerings it can become difficult to include a base case. Trying to integrate the components of a current and new product that don’t share many characteristics can lead to conjoint parameters that are too complex to administer, or create apples to oranges comparisons. It is not wrong to leave out a base case as long as it is understood there will be no benchmark comparison.
One hybrid solution to consider is to allow for a set choice that reads something like “None of these, prefer the PRODUCTS currently available”. This is similar to a typical “none” option in the conjoint but provides a bit more information; specifically, that they would not leave the category but are not interested in the new, very different product configuration. Of course this solution would not be appropriate in all instances but does provide a good compromise.
Ultimately, the extent to which “real products” are modeled with a conjoint study’s parameters is a function of the specific information needs and the complexity of the design. Most of the time we want to include that dose of “reality” in our design but don’t be afraid to leave it behind if warranted.

conjoint analysis design

Hits: 3793 0 Comments
TRC is proud to announce that it was voted as one of the top 50 most innovative firms on the market research supplier side. We’re big believers in trying to advance the business of research and we’re excited to see that the GRIT study recognized that. 
 
Our philosophy is to engage respondents using a combination of advanced techniques and better interfaces. Asking respondents what they want or why without context leads to results that over state real preferences (consumers after all want “everything”) and often miss what is driving those decisions (Behavioral Economics tells us that we often don’t know why we buy what we buy).
 
Through the use of off the shelf tools like Max-Diff or the entire family of conjoint methods, we can better engage respondents AND gather much more actionable data. Through these tools and some of our own innovations like Bracket™ we can efficiently understand real preference and use analytics to tell us what is driving them.  
 
Our ongoing long-terms partnerships with top academics at universities throughout the country also help us stay innovative. By collaborating with them we are able to drive new innovations that better unlock what drives consumers. 
 
The GRIT study tracks which supplier firms are perceived as most innovative within the global market research industry. It’s a brand tracker using the attribute of ‘innovation’ as the key metric. The answers are gathered on an unaided basis. The survey essentially asks to list top 3 (need to check) research companies respondents consider innovative, then asks to rank them from least to most innovative and finally asks for explanation why they think they are innovative. Given the unaided nature of the study, it is quite an achievement for a firm like TRC to make the same list as firms hundreds of times our size.  
 
Again, we’re excited to be recognized and hope you’ll be able to experience the innovative benefits we offer for yourself.
Recent comment in this post - Show all comments
  • Andre
    Andre says #
    Congrats to TRC, The greatest group of people I've ever worked with and for. Well deserved !!!!!
Hits: 4262 1 Comment

My friend and I don’t share the same definition of what it means to be on-time. I don’t necessarily subscribe to the “early is on-time, on-time is late, late is unacceptable” theory, but I do try to arrive at or before an agreed upon time. She thinks there is wiggle room surrounding any appointment time – 5 or 10 minutes – and doesn’t seem concerned that I’ve been waiting for her to arrive. The good news is, if I’m running behind schedule, it doesn’t bother her that I arrive late. But if I’m going to be 5 to 10 minutes late, I’ll notify her. She would never think to do the same – because in her mind she’s on-time.

Perhaps I have too strict a definition of what it means to be on-time. Is 5 minutes considered late to everyone or just to me? We surveyed TRC’s online consumer panel to get an answer.

We used 5 minutes as our test case. If an appointment time is at 9:00 and actual arrival is 9:05, do you consider yourself on-time or late (or early)? To make things interesting, we asked about a variety of scenarios, since it’s possible that definitions may change based on the social situation.

If your boss calls an urgent meeting and you arrive 5 minutes past the start time, 2/3 of our participants consider that to be “late”.  When I saw that, at first I felt vindicated. But then I realized that if 2/3 are saying they’re late, that means 1/3 say it’s okay – 5 minutes is on-time or even early. Then I looked at the rest of the scenarios: 2/3 consider 5 minutes as “late” for babysitting or for a weekly religious service. If you show up 5 minutes after your reservation time at a restaurant, only 57% consider that to be late. And if you’re meeting a friend for casual dinner (no reservations), only 47% -- less than half of the adults we surveyed -- believe that 5 minutes off-schedule is actually “late”. What’s this world coming to?

being late infographics TRC

...

Check out the infographic below to see how others learned another language.

Presenting data in an infographic format is like speaking another language. People who didn't understand you before, now can. All of a sudden, they can so clearly see the data points you had been trying to communicate. And just like learning a new language, converting data into infographics  can be daunting - yet the benefits are endless. Mainly, they open up new perspectives. At TRC we can help you overcome this hurdle. We produce infographics as part of our project deliverables.

learning language conjoint analysis

 

Hits: 3592 0 Comments

Want to know more?

Give us a few details so we can discuss possible solutions.

Please provide your Name.
Please provide a valid Email.
Please provide your Phone.
Please provide your Comments.
Enter code below : Enter code below :
Please Enter Correct Captcha code
Our Phone Number is 1-800-275-2827
 Find TRC on facebook  Follow us on twitter  Find TRC on LinkedIn

Our Clients