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In cooperation with a German online retail bank, the aim of this paper is to investigate how the bank should price a new fee-only financial advisory service. Two types of pricing plans differ in terms of their strategies for determining monthly prices: a fixed monthly price that is identical for all clients (i.e. a flat pricing plan) or a monthly price that varies as a function of each client's assets under management (i.e. a volume pricing plan).

With a discrete choice experiment, this article studies client preferences for the two types of plans. To ensure that the respondents understood the financial consequences of their decisions, a price calculator was embedded into the discrete choice experiment to enable the respondents to determine their individual monthly prices based on their assets under management.

Methodologically, the price calculator is useful for simplifying mathematically complex decisions, and it provides additional valuable information for analysis. Substantively, the results show that clients perceive both types of pricing plans as equally attractive; however, the service provider's revenues would increase by up to 12 per cent if it uses the volume pricing plan.

This research extends the stream of literature on the measurement of pricing plan preferences and offers guidance for service industries, such as telecommunications, cloud computing services, insurances, or transportation. It extends the use of discrete choice experiments to study client preferences for different pricing plans and also integrates a decision aid, i.e. a price calculator, in the experiment to assist clients in comparing alternatives more effectively.

Ticket sales are an essential source of income for football clubs and federations. Analyzing the determinants of fans' willingness-to-pay for tickets is therefore an important exercise. By knowing the match- and fan-related characteristics that influence how much a fan wants to pay for a ticket, as well as to what extent, football clubs and federations can modify their ticket offering and targeting in order to optimize this revenue stream.

Using a detailed discrete choice experiment, based on McFadden's random utility theory, this paper formulates a Bayesian hierarchical multinomial logit model. Such models are very common in the discrete choice modeling literature. The analysis identifies to what extent match and personal attributes influence fans' willingness-to-pay for games of the Belgian men's and women's football national teams.

The results show that the strength of the opponent, the type of competition, the location of the seats in the stadium, the day and kick-off time of the match and the ticket price exert an influence on the choice of the respondent. Fans are attracted most by competitive games against strong opponents. They prefer to sit along the sideline, and they have clear preferences for specific kick-off days and times. The authors also find substantial variation between socio-demographic groups, defined in terms of factors such as age, gender and family composition.

The authors use the results to estimate the willingness-to-pay for match tickets for different socio-demographic groups. Their findings are useful for football clubs and federations interested in optimizing the prices of their match tickets.

To the best of the authors' knowledge, no stated preference methods, such as discrete choice analysis, have been used to analyze the willingness-to-pay of sports fans. The advantage of discrete choice analysis is that options and variations in tickets that are not yet available in practice can be studied, allowing football organizations to increase revenues from new ticketing instruments.

The author presents new estimates of the probability weighting functions found in rank-dependent theories of choice under risk. These estimates are unusual in two senses. First, they are free of functional form assumptions about both utility and weighting functions, and they are entirely based on binary discrete choices and not on matching or valuation tasks, though they depend on assumptions concerning the nature of probabilistic choice under risk. Second, estimated weighting functions contradict widely held priors of an inverse-s shape with fixed point well in the interior of the (0,1) interval: Instead the author usually finds populations dominated by “optimists” who uniformly overweight best outcomes in risky options. The choice pairs used here mostly do not provoke similarity-based simplifications. In a third experiment, the author shows that the presence of choice pairs that provoke similarity-based computational shortcuts does indeed flatten estimated probability weighting functions.

Patients and health professionals often make decisions which involve a choice between discrete alternatives. This chapter reviews the econometric methods which have been developed for modelling discrete choices and their application in the health economics literature. We start by reviewing the multinomial and mixed logit models and then consider issues such as scale heterogeneity, estimation in willingness to pay space and attribute non-attendance.

This study aims to examine decision factors for global sourcing, differentiated into transcontinental and continental sourcing to obtain insight into locational aspects of sourcing decisions and global trends. This study analyzed various country perceptions to reveal their influence on sourcing decisions. The country of origin (COO) theory explains why certain country perceptions and images influence purchasing experts in their selection of suppliers.

This study used a two-study approach. In Study 1, the authors conducted discrete choice card experiments with 71 purchasing experts located in Europe and the USA to examine the importance of essential decision factors for global sourcing. Given the clear evidence that location is a factor in sourcing decisions, in Study 2 the authors investigated purchasers’ perceptions and images of countries, adding country ranking experiments on various perceived characteristics such as quality, price and technology.

Study 1 provides evidence that the purchasers’ personal relationship with the supplier plays a decisive role in the supplier selection process. While product quality and location impact sourcing decisions, the attraction of the buying company and cultural barriers are less significant. Interestingly, however, these factors seem as important as price to respondents. This implies that a strong relationship with suppliers and good quality products are essential aspects of a reliable and robust supply chain in the post-COVID-19 era. Examining the locational aspect in detail, Study 2 linked the choice card experiments with country ranking experiments. In this study, the authors found that purchasing experts consider that transcontinental countries such as Japan and China offer significant advantages in terms of price and technology. China has enhanced its quality, which is recognizable in the country ranking experiments. Therefore, decisions on global sourcing are not just based on such high-impact factors as price and availability; country perceptions are also influential. Additionally, the significance of the locational aspect could be linked to certain country images of transcontinental suppliers, as the COO theory describes.

The new approach divides global sourcing into transcontinental and European sourcing to evaluate special decision factors and link these factors to the locational aspect of sourcing decisions. To deepen the clear evidence for the locational aspect and investigate the possible influence of country perceptions, the authors applied the COO theory. This approach enabled authors to show the strong influence of country perception on purchasing departments, which is represented by the locational effect. Hence, the success of transcontinental countries relies not only on factors such as their availability but also on the purchasers’ positive perceptions of these countries in terms of technology and price.

This paper reviews the current literature on theoretical and methodological issues in discrete choice experiments, which have been widely used in non-market value analysis, such as elicitation of residents' attitudes toward recreation or biodiversity conservation of forests.

We review the literature, and attribute the possible biases in choice experiments to theoretical and empirical aspects. Particularly, we introduce regret minimization as an alternative to random utility theory and sheds light on incentive compatibility, status quo, attributes non-attendance, cognitive load, experimental design, survey methods, estimation strategies and other issues.

The practitioners should pay attention to many issues when carrying out choice experiments in order to avoid possible biases. Many alternatives in theoretical foundations, experimental designs, estimation strategies and even explanations should be taken into account in practice in order to obtain robust results.

The paper summarizes the recent developments in methodological and empirical issues of choice experiments and points out the pitfalls and future directions both theoretically and empirically.

This paper aims to examine rural tourism preferences as an alternative niche market to mass tourism destinations. The analysis discusses the differences in perceptions and willingness to pay (WTP) for various packages of rural tourism activities in Gran Canaria Island among residents and non-residents.

The analysis is based on a convenience sample of potential young customers who are familiar with outdoor recreational activities in nature. This study considers a discrete choice experiment that includes the type of accommodation as well as four types of rural tourism activities: active, passive, cultural and aquatic. The degree of preference for the considered attributes is obtained from the estimation of different discrete choice models.

Results reveal that the inclusion of the investigated attributes in holiday packages increases tourists’ utility, which motivates the promotion of rural tourism for young residents and non-residents. The most significant differences in perceptions of attributes between residents and non-residents were found in the activities of diving/snorkelling and stargazing, as well as the type of accommodation and package price.

This study will contribute to a better understanding of an alternative tourism market which will help key stakeholders in the tourism sector to better serve this important segment of the industry and to encourage more sustainable tourism in the future.

To the best of the authors' knowledge, this is the first study evaluating the WTP for rural tourism packages as a more sustainable alternative in mass tourism destinations and taking into account resident vs non-resident perceptions.

本文将乡村旅游偏好视为大众旅游目的地的替代利基市场。该分析讨论了居民和非居民对大加那利岛各种乡村旅游活动的看法和支付意愿的差异。

该分析基于熟悉户外休闲活动的潜在年轻客户的便利样本。该研究考虑了一个离散选择实验, 包括住宿类型以及四种类型的乡村旅游活动：积极、消极、文化和水上活动。所考虑属性的偏好程度是从不同离散选择模型的估计中获得的。

结果表明, 度假套餐中包含调查的属性增加了游客的效用, 从而促进了年轻居民和非居民的乡村旅游。在潜水/浮潜和观星活动, 以及住宿类型和套餐价格方面, 居民和非居民对属性的认知差异最显着。

据作者所知, 这是第一项评估农村旅游套餐的支付意愿作为大众旅游目的地更可持续的替代方案的研究, 并考虑了居民与非居民的看法。

该研究将有助于更好地了解替代旅游市场, 这将有助于旅游业的主要利益相关者更好地服务于该行业的这一重要部分, 并鼓励未来更可持续的旅游业。

Este trabajo examina las preferencias del turismo rural como nicho de mercado alternativo a los destinos turísticos de masas. El análisis discute las diferencias en las percepciones y la disposición a pagar por varios paquetes de actividades de turismo rural en la isla de Gran Canaria entre residentes y no residentes.

El análisis se basa en una muestra de conveniencia de potenciales clientes jóvenes que están familiarizados con las actividades recreativas al aire libre en la naturaleza. El estudio considera un experimento de elección discreta que incluye el tipo de alojamiento, así como cuatro tipos de actividades de turismo rural: activo, pasivo, cultural y acuático. El grado de preferencia por los atributos considerados se obtiene a partir de la estimación de diferentes modelos de elección discreta.

Los resultados revelan que la inclusión de los atributos investigados en los paquetes vacacionales aumenta la utilidad de los turistas, lo que motiva la promoción del turismo rural para jóvenes residentes y no residentes. Las diferencias más significativas en las percepciones de los atributos entre residentes y no residentes se encontraron en las actividades de buceo/snorkel y observación de estrellas, así como en el tipo de alojamiento y el precio del paquete.

Hasta donde los autores saben, este es el primer estudio que evalúa la disposición a pagar por paquetes de turismo rural como una alternativa más sostenible en destinos de turismo masivo y que tiene en cuenta las percepciones de los residentes frente a los no residentes.

El estudio contribuirá a una mejor comprensión de un mercado turístico alternativo que ayudará a los principales agentes del sector turístico a atender mejor este importante segmento de la industria y a fomentar un turismo más sostenible en el futuro.

The purpose of this paper is to survey climate change impacts on winter sport tourists' activity and destination choice, to estimate shifts in customer demand and to provide recommendations and decision support for destination management.

A total of 540 skiers from Vienna, Austria were surveyed with a standardized online questionnaire. The survey also contained a discrete choice experiment a stated preference method which forces respondents into trade‐off behavior between various possible combinations of destination profiles.

The results show a strong preference for destination attributes promising sufficient (natural) snow conditions. In winters that lack snow, resorts in high destinations gain importance and travel distances lose some relevance. A large proportion of skiers would forgo skiing if it becomes more expensive. Snow independent substitutes are accepted as a short time compensation but not for the whole winter holiday. When asked to trade off additional costs and additional travel distances for a snow secure destination, the majority of winter sport tourists are willing to incur some additional cost but the majority reach thresholds at about 10 percent additional cost and 2h additional driving.

The survey shows, that a discrete choice experiment is a suitable method to cover the complexity of activity and destination choice. Therefore it is an unique individual‐oriented approach to consider customer demand and to evaluate the success of offer setting in tourism management. The sequential presentation of three related choice sets is a novel contribution in the field of choice experiments, and appears to be well suited to simulate climate change‐related effects.

Operatic events are an important sector of the performing arts industry and are currently facing the challenges of decreasing demand and price-based competition from other sectors of the performing arts industry. It is posited that adding value and ensuring satisfaction may enhance consumer loyalty, and therefore, the likelihood of sales and continued subscriptions may be increased. The purpose of this paper is to examine bundling as a marketing management technique for opera companies and hypothesises that offering attractive “package deals” that bundle various benefits with the seat ticket may increase participation and loyalty.

A discrete choice experiment with opera patrons is used to evaluate the application of bundling to improve increased demand and loyalty.

It is concluded that offering bundles creates a greater likelihood of customer satisfaction and favourable behavioural intentions, which may lead to increased loyalty. Participants expressed strong support for value-added elements. Such package deals included a variety of elements: opportunity for a visit backstage to meet the cast, informative introductions to operas and facilitated parking options. Consumers’ level of overall willingness to purchase a bundle was altered based on the attributes that made up that bundle. The findings of this research confirm that the theory of bundling can be applied to arts marketing and provides support for the development of bundling strategies to enhance opera attendance.

It is recognised that the research needs to be tested in different countries in order to know the extent to which the findings of this study can be generalised. Additionally, future research could use other statistical methods such as regression and structural equation modelling to holistically model behaviour. Finally, as well as testing customer-stated intentions, the model also needs to be tested with actual patronage behaviour following the development and application of bundling strategies. Future research could also consider how bundling and other aspects relating to opera attendance could be used as part of the branding strategy associated with opera attendance; in particular how to develop, increase and maintain loyalty and therefore brand resonance in opera attendees.

The findings have useful implications for event organisers and policymakers and suggest bundling strategies that could be utilised. It is has been found that loyalty can be enhanced by adding value and ensuring satisfaction, and therefore, increase the likelihood of sales and repeat purchase.

Opera represents a significant cultural heritage and is a valuable component of the performing arts, both historically and currently. Opera is a form of art whose survival is threatened by an increasingly diminished audience whose average age is steadily increasing. This decrease in audience attendance has led to radical changes in the management and marketing of opera houses, where theaters have moved increasingly towards a business-oriented model where improved branding and bundling strategies can be utilised.

This makes a theoretical contribution by advancing performing arts research and furthering the notion that bundling can increase the likelihood of opera attendance, satisfaction, ongoing loyalty, and also addresses a managerial need of an arts marketing organisation.

The purpose of this paper is to introduce the concept of robust design in retail service literature.

Using a Taguchi design comprising of inner L₈ (2⁷) and outer 2² arrays, a discrete choice task was designed for 233 students respond to. Signal‐to‐noise (S/N) ratio was used to test design robustness.

Negative effects of uncontrollable design factors on service choice were minimized through the use of inner and outer Taguchi arrays. The single composite measure of consumer choice called S/N ratio accounted both for mean and variance of choice probabilities.

Use of student sample was a major limitation. Also, the interaction between design factors was not tested as it required the use of more complicated designs.

This method can be used to improve design robustness by minimizing the impact of uncontrollable noise factors. Use of S/N ratio can help to select the design that simultaneously maximized the choice probabilities and minimized performance variation.

The paper makes important methodological and operational contributions to the retail service design literature. First, the concept of controllable and uncontrollable factors in choice‐based designs is introduced. Second, the use of S/N ratio as a single, composite measure of design robustness was incorporated. Operationally, this study highlights the impact of less‐studied concepts of wayfinding and customer incompatibility on satisfaction of retail customers.