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Before starting out, you need to know where the land mines are.
A term "conjoint" is said to be derived from two words: "considered jointly." Whether or not this is actually true, it illustrates the fundamental idea behind this technique. In conjoint analysis, researchers describe products or services by sets of attribute values or levels and then measure respondents' purchase interest. Thus, a respondent might be shown a red Ford pickup with a V-8 engine priced at $20,000. He or she must "consider jointly" all the attributes describing that pickup when deciding whether or not to purchase the vehicle.
The primary purpose of conjoint analysis is to model human behavior, usually purchase behavior. By measuring purchase interest in a "complete" product or service, conjoint analysis captures the essential dilemma of market choice: The perfect product is seldom available, but lesser alternatives are. By forcing respondents to trade off competing values and needs, conjoint analysis uncovers purchase motivations respondents may be unwilling to admit to and may not even realize they have.
Conjoint analysis addresses big issues with specific answers. As a result, when it fails, it often fails spectacularly. Nonsense conclusions such as "doubling price will double sales" don't sit well with experienced marketers. Study disasters contribute not only to the poor reputation of conjoint analysis within some organizations, but also to the reputation of the marketing research department in general.
Conjoint failures are generally the result of researchers who fail to properly design their conjoint studies or correctly interpret the output. Powerful, user-friendly software gives us opportunities to make mistakes we may not even be aware of.
WHAT'S YOUR TECHNIQUE?
Conjoint analysis is a growing family of techniques broken into three branches: ratings-based conjoint, choice-based conjoint, and hybrid techniques. I don't include self-explicated scaling as a standalone conjoint technique because it doesn't force respondents to make trade-offs.
The first step in doing conjoint analysis right is to pick the most appropriate method for your particular objectives and circumstances. In principle, the right technique will be the one that most closely mimics your marketplace dynamics. In practice, that will most often be choice-based conjoint, which offers respondents a series of choice sets-generally two to five alternative products. Respondents can pick any of the available...
