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Product, Price & Packaging

Conjoint analysis

In product development, your brand faces the constant challenge of understanding the wishes and needs of your target group and translating them into profitable products.

Conjoint analysis helps you to grasp the complexity of customer decisions in order to reveal product wishes and at the same time define the optimum price structure.

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Grafische Darstellung einer Conjoint-Analyse mit dem Ergebnis, das B besser geeignet ist.

Conjoint analyses for product research and price

Product research is the foundation for every successful market launch. A conjoint analysis enables us to understand the importance of individual product attributes from the customer's perspective. This enables you to recognise which features are decisive for the development and improvement of products.  

By evaluating different product combinations, we get a clear picture of which features have the greatest influence on the purchase decision.

Pricing is a decisive factor for market success. A conjoint analysis also helps here. We use this method to determine how much your customers are willing to pay and how prices relate to product features and perceived value. A conjoint analysis leads to a pricing strategy that is not only competitive but also profitable.

Understanding conjoint analysis: A practical example

Imagine you are a smartphone manufacturer and want to understand which features your customers value the most. Is it the battery life, the camera quality or the design? With conjoint analysis, we can answer these questions.

Here's a simple example of the process: We present a group of smartphone users with different hypothetical smartphone models. Each model has a combination of features - some have a better camera, others have a longer battery life, and still others stand out for their design. Users are asked to rate these models or choose which one they would be most likely to buy.

By analysing the responses, we can determine what value consumers place on each feature. Perhaps the consensus is that users are willing to pay more for a better camera, but they are more flexible when it comes to design. These insights allow you to design a smartphone that is offered with the preferred features at a price that reflects the value customers place on those features.