Data Solutions

Product design using conjoint analysis

New product development and design is a major undertaking, even for well-established and experienced companies. Marketing teams rely heavily on customers’ opinions to understand which product features lead to success. But to what extent are customers aware of the features that drive their decisions? As Henry Ford put it, “If I had asked people what they wanted, they would have said faster horses.”

Why use Conjoint Analysis?

When applied to an online panel, conjoint analysis is a powerful research tool for addressing this problem. By asking participants to choose from different product profiles, carefully designed to properly mix features, conjoint analysis assigns a realistic preference score (utility) for each feature and participant.

Key benefits 

Conjoint Analysis offers several benefits over traditional research methods:

  • It realistically measures how features impact decision-making by asking about products, rather than separate features.
  • In its most successful modality (Choice Based Conjoint or CBC), it gathers information from respondents by comparing products instead of asking about them directly. Comparison is the natural way in which we (humans) make decisions.
  • It allows to estimate elasticity, price sensitivity and brand valuation.

Afterwards, utilities can be used to simulate market scenarios with new potential products by means of an automated tool (our market share simulator).

Discover how a new kind of online panel delivers better quality data and cost effectiveness.

How can we help you? 

At Netquest, we offer an integral conjoint service (experimental design, survey programming, sampling, analysis and simulator creation) for professional researchers.

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Designing products with the help of Conjoint Analysis

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