Conjoint analysis is used to gauge consumers’ preferences across a range of attributes belonging to a product or proposition.
What are the aims of Conjoint Analysis?
This market research technique helps a business focus their energies on the aspects of a brand, product, service etc. that have most appeal to customers. This can help brands both in terms of making tweaks to their existing offer and identifying combinations of features that would amount to a new, appealing proposition.
How is Conjoint Analysis undertaken?
Conjoint analysis is always a quantitative process and typically involves a fairly large-scale sample, especially if sub-groups within the whole need to be considered. There are several forms of conjoint analysis – the chosen one being dependent on the research objectives.
2-attribute trade-off analysis is a traditional type of conjoint study and involves asking respondents to say which of two sets of attributes they prefer. The sets shown are rotated across the sample so that the relevant appeal/importance of all attributes can be assessed. This approach is criticised for being boring for respondents to complete and unrepresentative of the choices customers make in real life.
Adaptive conjoint analysis presents choices to respondents based on their preferences. This allows questionnaires to be shorter without any loss of accuracy in the outputs.
Choice-based conjoint helps establish which combination of features and levels to offer. It presents respondents with 3-5 concepts; each depicted in terms of key features/levels, and repeatedly asks them to select their preferred option or none.
What’s an example of Conjoint Analysis?
We used Conjoint Analysis to estimate the impact of introducing a fee for Click & Collect services at a major department store. We were able to identify the spend threshold at which the service had to be offered for free if major declines in satisfaction and usage were to be avoided.
What is Conjoint Analysis?