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To help further our understanding of how keymethodological issues in conjoint analysis influence outcomes, a choice‐based conjoint study measuring consumer preferences for pre‐packed apple selection packs was conducted. The role of stimuli presentation format was considered by comparing the performance of physical prototype stimuli and realistic pictorial representations. This indicated no substantial differences in the choice decisions made using the two presentation formats and suggested that photographic images may be used instead of prototype stimuli. A second issue pertained to the need for training and warm‐up exercises prior to the actual conjoint choice task. While this indicated some differences in choice strategies, a significant improvement in internal validity of choice decisions made with and without training was not achieved. One possible explanation for this finding may be that respondents made choices between apple products, a product category for which decision strategies are likely to be stable and well‐developed.

This paper investigates how respondents to conjoint experiments process information and choose among product profiles, and how this varies with their knowledge about the product. Models for estimating conjoint attribute weights are almost exclusively based on principles of compensatory decision making. The paper aims to explore to what extent and in what way these basic principles of conjoint modelling are violated.

Data were obtained from a verbal protocol study where 18 undergraduate students each performed a total of 28 stated choice tasks while “thinking aloud”.

Results show that cognitive operations consistent with compensatory decision rules constitute a majority of the total number of operations performed across tasks and respondents. However, few respondents exhibited a consistent use of compensatory‐type processes throughout their choice sets. Results suggest that individual preferences interact with characteristics of the choice sets to instigate changes in information processing. It also appears that complete strategies are seldom used. Finally, respondents' knowledge about the product influences the cognitive operations that respondents use in solving conjoint tasks.

Results are based on responses from 18 undergraduate students, which makes generalizations hard.

One implication of this work is that one should apply a more flexible model framework to allow detecting the existence of non‐compensatory strategies.

This paper is one of few which aim to implement findings in behavvioral decision research within the context of conjoint analysis.

As an alternative to hiring financial specialists or investment consultants, robo-advisors offer financially automated investment services. This study aims to investigate how robo-advisors' service attributes, risk attitude and financial self-efficacy influence customers' choice preferences of adopting robo-advisors.

Two hundred fifty-one online surveys were used to collect data, and choice-based conjoint analysis was conducted.

Results show that increasing annual fees negatively impact customers' choice preferences. Promotion, general investment education and additional human assistance have a positive impact. Furthermore, risk-seeking and risk-averse customers require more human assistance than risk-neutral customer and customers with high levels of financial self-efficacy prefer more general investment education and additional human assistance than those with lower levels. In addition, customers in the older age group prefer promotion, general investment education and additional human assistance, while wealthy customers prefer lower annual fees, higher general investment education and more additional human assistance compared to middle-class and low-income groups.

This study contributes to robo-advisor providers to provide appropriate service attributes for each customer group.

The purpose of this paper is to investigate the influence of price attribute framing and factors such as urgency and perceived price fairness on customer willingness to pay (WTP) in automated retail settings.

The authors conducted two sets of quasi-experimental scenarios surrounding vending-machine purchase decisions. The first set was analyzed with MANOVA, the second set with choice-based conjoint (CBC) analysis.

When prices are framed positively (as a discount), customer WTP is higher at high published price levels than it is for unframed or negatively framed prices. The effect on WTP holds whether the reference price range is broad (few large increments) or narrow (numerous small increments). In the CBC scenarios, immediate availability of the product was most influential on choice, followed by price and brand effects. These findings held under conditions invoking both urgency and price fairness. Providing an explanation for higher prices increases perceived price fairness.

Further study might assess the presence or absence of interaction effects in the conjoint scenarios.

Managers should consider transparency in dynamic pricing, particularly when the price change is outside the control of the firm. The conjoint scenario results also offer evidence that dynamic pricing will not impact other marketing-mix decisions for fast-moving consumer goods (FMCG) dramatically (availability at point of purchase and presence in the consumer consideration set remain strong influences on choice).

Understanding these effects on WTP could help managers manage perceptions of unfairness and optimize WTP.

A theoretical contribution from this study is that the immediate loss/gain consideration under theories of decision making under uncertainty outweigh considerations such as scarcity urgency or perceived unfairness. Use of conjoint analysis in WTP research, study of dynamic pricing in FMCG setting.

The purpose of this paper is to determine the rate difference required to persuade Islamic banking customers to switch to conventional banks.

A choice-based conjoint analysis survey was administered to 300 UAE Islamic banking customers. Customer utilities for Islamic and conventional banks, products and prices were developed to test hypotheses while a market simulation estimated the impact of rate changes on choice shares.

Overall, Muslim customers of Islamic banks strongly preferred Islamic banks and products. However, 43 percent were willing to switch to conventional banks to obtain better rates. Indeed, the share choosing conventional banks rose from 25 percent when rates were the same to 68 percent when conventional products offered 2 percent better rates.

This research requires replication and extension in appropriate contexts such as Malaysia and Indonesia. Moreover, the existence of price sensitivity tiers implies underlying benefit segments that should be studied.

As so many Islamic banking customers would switch to conventional banks for better rates, it seems that conventional banks compete with Islamic banks for most clients. Islamic banks should price accordingly.

This is the first study to quantify the loyalty of Islamic banking customers in terms of price and, consequently, the first to demonstrate the existence of price sensitivity tiers. It is also the first in this field to apply conjoint analysis and market modeling.

The purpose of this research is to test for price threshold effects in the demand for high-involvement services for small businesses.

The authors use a stated preference choice-based conjoint study of small business telecommunications demand. Using survey data, individual-level parameter estimates for a demand model are achieved via the Hierarchical Bayes method of estimation.

For demand for small business telecommunications services, the authors find very strong positive impacts of nine-ending and zero-ending prices on the demand for a common bundle of telecommunications services (wired telephone service, broadband internet, and cellular telephone service), even at prices so high a shift in the left-most digit does not occur.

The advertising, brand, or product manager or statistician who assumes threshold effects are not extant in high-involvement service demand may find conventional demand estimation methods lead to erroneous conclusions and less effective pricing strategies.

In the statistical literature on price-ending effects on product demand, most products for which demand is modelled are low-involvement consumer products priced at less than ten monetary units per unit of product. There is a lacuna in this price-ending effects literature regarding small businesses and high-involvement services offered at three-digit prices via monthly subscription. This research indicates that testing for threshold effects should be de rigeur in the methodology of demand estimation for telecommunications or other high-involvement services.

This study aims to investigate age and gender differences in young consumers’ attribute preferences that underlie their choice decisions. This research proposes and finds that attribute preferences are moderated by age but not gender. Understanding how children at different ages evaluate a product’s attributes is essential to new children’s product development.

Hierarchical Bayesian choice-based conjoint analysis was used to assess attribute importance via a series of choice tasks among children and adults. Adults completed the study by survey, whereas children were interviewed and led through the choice tasks.

This research finds that the preference structure for a product’s attributes differs systematically based on the age of children. Younger children chose based on perceptually salient attributes of a product, whereas older children chose based on cognitively salient attributes. When children’s attribute preferences are compared to adults, older children value attributes more similarly to adults than younger children. While gender differences were proposed and found, further analysis indicated that these differences were driven by adults in the sample and that no gender differences existed in the children’s age categories.

This study is the first to study children’s preference structure in complex choices with different ages preferring different attributes. By using conjoint analysis, this research is able to understand children’s underlying decision process, as utility scores are obtained providing a level of precision for understanding the underlying process of children’s choices that other studies have not used.

Consumer responses to corporate social responsibility (CSR) initiatives when compared to consumer responses to corporate abilities (CA) have been elusory. Relevant empirical research on the subject shows unclear results. The objective of this research is to examine key antecedents to consumer social responses (CnSR), in particular, the comparative effects of CSR initiatives and CA in the consumer purchasing behavior.

A choice‐based conjoint model was applied to quota consumer samples from two disparate countries (USA and Peru) in the shoe industry.

The results demonstrate that some CSR initiatives, such as companies' environmental commitments, along with some CA, such as product quality, significantly explain the nature of consumer responses and a trade‐off effect on consumers' willingness to pay for a product. The differences between the two countries, and those expected for gender and age, strengthen the relationships tested.

Implications for CSR policies, limitations of the findings, and considerations for future research supplement the contribution.

Trade‐off measures between traditional product features, that depend on CA, and CSR product features, that depend on CSR initiatives, are used to show why consumers prefer CSR products to other products.

The purpose of this paper is to identify the preferred communication channels to foster energy conservation behaviour among office building users. Energy demand from the commercial sector in Malaysia is, at 33.2 per cent, the highest after the industry sector, at 45.1 per cent. The country’s progress in actively practising energy conservation is lacking, despite various energy conservation programmes having been launched in recent years. A large amount of energy is wasted by users’ poor energy conservation behaviour. To market voluntary energy conservation behaviour, the delivery of energy conservation messages using the appropriate communication channels remains an important strategy.

This paper involves two-stage data collection. The communication categories associated with a set of channels identified from expert interview serve as the basis for the second stage of empirical data gathering using conjoint analysis. A choice-based conjoint analysis assisted by Sawtooth Software is used to analyse the 525 usable empirical data gathered from a final questionnaire survey among the office building users in Malaysia.

This paper has identified five communication categories associated with a total of 19 channels. The mass media is acknowledged as the most preferred communication channel among office building users in the marketing of energy conservation behaviour, while the least preferred channel to communicate energy conservation information is audio-visual media.

This study contributes to existing literature with a novel case in Malaysia office building by identifying the preferred combination of communication channels in fostering energy conservation behaviour. The findings could benefit the building managers in marketing energy conservation behaviour among office building users to effectively achieve the desired change for sustainable development.