The Seven-Step Process to Implementation of a Conjoint Study

Conjoint analysis is an advanced technique that brands have adapted to stimulate competition, provide better products and also to model products in order to create and meet demands. The methods used in programming conjoint analysis include Matrix Table question and MaxDiff variation.

The main aim of market researchers using combined analysis is to identify utilities; the things that influence people to make trade-offs and make choice of specific products among a variety that appear to have many characteristics or attributes. To implement a conjoint research, there are seven typical steps that researchers go though:

Problem identification. Here one has to discern the dimensions and the attributes, and decide on the number of levels to be created on each of the attributes selected.

Develop a study protocol. This step involves finding the necessary contacts, doing a sample study also basic follow-up protocols. At this point also all preparations concerning the survey and other materials that will be used are done.

Questionnaire development and data collection and survey presetting. Here you intently go over your plan, for as many times as you can so that you completely understand it and are comfortable with the approach, instruments and methodology.

Data collection.-Here you use the conjoint data collection method that allures to you the most.

Data processing, estimation of part-worth and calculation of utility function. This is the stage where you do all the complex things (for non-mathematicians) involved in this study. These calculations are all done on the basis of individual respondents.

Segmentation Analysis- Here you study the similarities in the part-worth functions to realize the probable market segments and try to relate them with other background data. This process is equally complex and requires the expertise of statistical analysts.

Building and running the choice simulator. After having a set of product configurations all representing the competitive profiles, you then input the profiles along with other variables, into the consumer choice simulator. After running the simulators and models you get the projections that were the basis of the conjoint research.

Conjoint research is time saving and also saves on money. It is a smart decision for any business that wants to get ahead in competition in their niche market.