Analyzing Customer Value Using Conjoint Analysis: The Example of a Packaging Company
Tartu Working Paper No. 567
38 Pages Posted: 10 Dec 2006
Date Written: December 4, 2006
The fulfillment of customers' wishes in a profitable way requires that companies understand which aspects of their product and service are most valued by the customer. Conjoint analysis is considered to be one of the best methods for achieving this purpose. Conjoint analysis consists of generating and conducting specific experiments among customers with the purpose of modeling their purchasing decision. This article will give an overview of the method and apply it to an Estonian packaging company. As a result of the empirical study the author is able to estimate the value creation models of 34 respondents (customers) both on a group and individual basis.
Keywords: customer value, conjoint analysis, market research methods
JEL Classification: M39, C52
Suggested Citation: Suggested Citation