Applications of the Stochastic Multicriteria Acceptability Analysis Method for Consumer Preference Study

Author(s):  
Tadeusz Trzaskalik ◽  
Piotr Namieciński ◽  
Andrzej Bajdak ◽  
Slawomir Jarek

Introducing a new product to the market is a complex, costly and time-consuming process which requires research on consumer preferences. On the basis of information on the characteristics of the new product and its competitors, as well as on the competitors and their market shares, the company has to estimate future market shares and to determine the profile of potential consumers inclined to purchase the new product. The purpose of our paper is to present a method of consumer preference research when introducing a new product, using a multiple criteria method called Stochastic Multicriteria Acceptability Analysis (SMAA). To apply this method, no information requiring tedious research is needed. SMAA allows to obtain essential information on the potential market power of the new product already at an early stage of its preparation. Furthermore, the flexibility of the SMAA method allows to easily expand the scope of the analysis by including additional information and various techniques of the modeling of the consumer selection process.

Energies ◽  
2021 ◽  
Vol 14 (12) ◽  
pp. 3432
Author(s):  
McKenzie Thomas ◽  
Kimberly L. Jensen ◽  
Dayton M. Lambert ◽  
Burton C. English ◽  
Christopher D. Clark ◽  
...  

Biochar is a co-product of advanced biofuels production from feedstocks including food, agricultural, wood wastes, or dedicated energy crops. Markets for soil amendments using biochar are emerging, but little is known about consumer preferences and willingness to pay (WTP) for these products or the depth of the products’ market potential for this product. This research provides WTP estimates for potting mix amended with 25% biochar, conditioned on consumer demographics and attitudes about product information labeling. Data were collected with an online survey of 577 Tennessee home gardeners. WTP was elicited through a referendum contingent valuation. Consumer WTP for an 8.81 L bag of 25% biochar potting mix is $8.52; a premium of $3.53 over conventional potting mix. Demographics and attitudes toward biofuels and the environment influence WTP. Biochar amounts demanded are projected for the study area’s potential market. Optimal prices, profits, and market shares are estimated across different marginal costs of producing biochar potting mix.


Author(s):  
Christian E. Lopez B. ◽  
Xuan Zheng ◽  
Scarlett R. Miller

While creative ideas can lead to market success and payoff, they are also associated with high risks and uncertainties. One way to reduce these uncertainties is to provide decision makers with valuable information about the innovative potential and future success of an idea. Even though several metrics have been proposed in the literature to evaluate the creativity of early design-stage ideas, these metrics do not provide information about the future product success or market favorability of new product ideas. Hence, existing metrics fail to link the creativity of early-stage ideas to their future market favorability. In order to bridge this gap, the current work proposes a new metric to estimate early design-stage ideas’ favorability and analyzes its relationship with current creativity metrics. A data-mining driven method to assess the future favorability of new product ideas using customers’ reviews of current market products that shared similar features with the new ideas of interest is presented. The results suggest that the new product idea favorability is positively correlated with relative creativity metrics and existing product market favorability ratings. This method can be used to help designers gain a better insight into the creativity and market favorability potential of new product ideas in early design-stages via a systematic approach; hence, helping reduce the risks and uncertainties associated with early-phase ideas during the screening and selecting process.


Logistics ◽  
2021 ◽  
Vol 5 (3) ◽  
pp. 57
Author(s):  
Gabriele Iannaccone ◽  
Edoardo Marcucci ◽  
Valerio Gatta

Surges in e-commerce sales represent a huge challenge for urban freight transport. Parcel lockers constitute a valid solution for addressing the challenges home deliveries imply. In fact, eliminating courier–consumer contact (also relevant for health-related issues, as made evident by the COVID-19 pandemic) and delivering in fewer predefined places might help coping mechanisms for missed deliveries substantially. Furthermore, this option enables consolidated shipping and reduced delivery trip costs. This paper analyses and compares consumer preferences for alternative collection strategies. It investigates home delivery vs. parcel locker use and forecasts their future market shares. This is performed based on both customer socio-economic variables and the attributes characterising these alternative logistic fulfilment strategies. The case study considered tests upon a stated preference survey deployed in the city of Rome. The investigation specifically targeted young people (i.e., population under 30 years) since they represent early adopters. Discrete choice models allow both quantifying the monetary value of parcel lockers attributes (i.e., willingness to pay measures) and estimating the potential demand for this innovative delivery scheme. Results show that distance and accessibility are the main choice determinants. Furthermore, there is an overall high propensity to adopt parcel lockers. This research can support policymakers when implementing such solutions.


Author(s):  
Kentarou Ohshima ◽  
Hideki Aoyama

In recent years, aesthetic design is given increasing importance in the development of products industry with the growing maturity of product functions. The designer is required to reflect consumer needs in the aesthetic design while giving consideration to use and function. Effective techniques enabling design creation based on consumer preference and needs are indispensable. This study thus aims to construct a design support system which can identify various consumer needs and provide ideas to the designer at an early stage in the design process. In the identification of the consumer preferences, it is necessary to also expose vague consumer preferences. The design support system thus also aims to reduce burden on the consumers during consumer survey and expose consumer preference by using the genetic algorithm (a type of Interactive Evolutionary Computing) for the extraction of consumer preference. The authors also propose the use of rough sets and decision rules for analyzing the acquired consumer preference data specifically and effectively, and formulate consumer preference rules. Furthermore, the constructed system is able to generate multiple design solutions automatically by reflecting the consumer preference rules in design solutions created by the designer, and display the generated solutions to the designer.


2020 ◽  
Vol 122 (11) ◽  
pp. 3267-3282 ◽  
Author(s):  
Katrin Zander ◽  
Yvonne Feucht

PurposeCarp is a traditional aquaculture fish with decreasing relevance in European markets. Despite this, it is a protein source which could contribute to the worldwide protein supply. Traditional carp ponds are part of human cultural heritage with high relevance for biodiversity. But, market shares of carp are small compared to other seafood market, mainly due to low consumer demand. The aim of this research was to contribute to the discussion on how to increase demand for carp by testing the acceptance of selected preprocessed carp products.Design/methodology/approachA quantitative online survey was conducted in Germany and Poland with the aim of identifying consumers' attitudes towards carp and carp products. On this basis recommendations on how to best market carp products are developed.FindingsCarp is perceived to be a fish eaten primarily at Christmas and New Year's Eve and to be difficult to prepare. The analyses reveal that a potential for novel carp products does exist in Germany and in Poland. The wider introduction of a bonecut filet to the market, a better availability of carp products, and the avoidance of off-flavors are important prerequisites for higher market relevance of carp.Research limitations/implicationsIn this research consumer preferences were elicited “theoretically” by showing pictures of carp products and asking them for their preferences. In this regard, the results presented here state a general consumer interest and a potential for new carp products. Further research, integrating product tastings might give additional information on the likely success of new types of carp products.Practical implicationsIn order to let people know about the new products and at the same time to combat the sometimes existent bad image of carp, product tastings, also in combination with information regarding local origin and environmental/cultural impact, should be offered at the point of sale.Originality/valueCarp is a highly sustainable fish and offers a valuable protein source for human consumption. But, in its common ways of market presentation it is not highly appreciated by consumers. This paper demonstrates options of overcoming this situation.


2020 ◽  
Vol 20 (2) ◽  
pp. 152
Author(s):  
Raden Aswin Rahadi ◽  
Shanaya Ratu Shafira

Planning a careful market and good product strategy in launching new products is very important to help new company succeed in the market with knowing the consumer preference and cashflow projection. This research raises the issue of the importance of consumer preference to get optimal revenue on launching new product. This research was conducted at Soigne, a local brand accessory in Bandung. The purpose of this study is to determine how the company conducts feasibility study through consumer preferences for knowing the suitable price and products to launch in 2019. This study also analyses the sensitivity analysis to delimit the changes of financial conditions. According to the result of the research, there are recommendations that can be applied in Soigne to launch a suitable product to gain optimal revenue based on consumer preference. The best combination product to launch in Soigne is accessories product between earrings, bracelet, and necklace with neutral color, simple design, and price range between IDR 100,000.00 to IDR 250,000.00. Customer service, packaging design, materials and durability is other factor that important to provide by the company. For the optimal revenue, Soigne recommended to launch earrings with price IDR 149,000.00, bracelet with price IDR 169,000.00, and necklace with price IDR 189,000.00 in the next one year and increase 10% for the price in the next two and three years which are the best financial scenario of researcher projection. Keywords— Cashflow Projection; Consumer Preference; Feasibility Study; Launching New Product; and Sensitivity Analysis


2018 ◽  
Vol 64 (No. 12) ◽  
pp. 554-565 ◽  
Author(s):  
Lucio CECCHINI ◽  
Biancamaria TORQUATI ◽  
Massimo CHIORRI

In the last few decades, the interest of consumers towards sustainable agri-food products has been growing. This trend reflects changes in the consumption patterns, which have been deeply influenced by the increased sensitivity concerning social and environmental issues. In this sense, several studies, with different methodological approaches, have investigated consumers’ willingness to pay and its determinants for products with different sustainability labels. To systematise the obtained results, this paper offers a review of the studies that used experimental economics in studying consumer preferences for sustainable food and agricultural products. The 41 studies included in the review were selected on the basis of the pre-identified criterion according to the systematic review approach. Albeit discordant, the results show that a large share of consumers is willing to pay a premium price for products with eco-friendly and organic certifications. Animal welfare, ‘local’ production, or social certification appear to have a lower influence on consumer choice of purchasing. Additional information is able to modify consumer expectations and consequentially their willingness to pay, depending on the individual’s responsibility and awareness.


HortScience ◽  
2007 ◽  
Vol 42 (3) ◽  
pp. 574-580 ◽  
Author(s):  
Rebecca H. Wehry ◽  
Kathleen M. Kelley ◽  
Robert D. Berghage ◽  
James C. Sellmer

Two separate studies using intercept survey methodology were conducted to define the components of a state plant promotional program—Pennsylvania Gardener Selects (PGS)—based on consumer preference and appeal. The first study, conducted 6 and 7 Mar. 2003 at the Philadelphia Flower Show in Philadelphia, Pa., involved 243 Pennsylvanians. Objectives were to define current gardening-related shopping habits, sources of gardening information, motives and limitations for pursuing gardening, and history of purchasing other Pennsylvania products. Responses were analyzed using cluster analysis to identify consumer–gardener segments that would potentially purchase PGS plants. Three distinct consumer segments were generated: “Novice Gardeners” (consumers with limited experience in gardening), “Casual Gardeners” (consumers with limited confidence in their gardening knowledge), and “Avid Gardeners” (consumers who express great interest in gardening). “Avid Gardeners” exhibited a greater level of interest in purchasing plants evaluated for Pennsylvania (average response, 6.5; based on a scale of 1 to 7, where 1 is very unlikely and 7 is very likely), with 73% indicating that they had purchased Pennsylvania products; hence, they were a potential market for PGS plants. The second study, conducted 8 to 10 Mar. 2004 at the Philadelphia Flower Show involved 250 Pennsylvanians. Objectives for this study were to define consumer brand and product preferences, including container colors for the PGS program, plant tag style/color, and retail price (based on a scale of 1 to 7, where 1 is very unlikely to purchase and 7 is very likely to purchase), as well as brand attributes these consumers valued. Responses were analyzed using conjoint analysis. Participants awarded the highest utilities to the white container with a black-and-white PGS logo (0.1149), keystone-shaped tag with color image and PGS logo (0.1099), and a retail price of $1.98 (0.4751). Spearman's rho was used to identify relationships among existing and related brand attributes. Correlations between participants’ response to brand attributes, including locally grown, ideal for local conditions, quality assurance, and independent testing program, as well as plant guarantee and publication with gardening tips, suggest that promotional materials should emphasize and include these qualities. Results from these studies indicate that there is interest in a state plant promotional program for Pennsylvania. To use resources wisely, consumers classified as “Avid Gardeners” would be the most appropriate to target first. To attract consumer attention and encourage purchasing at a retail outlet, containers and plant tags should have distinctive colors, and brand attributes and resulting consumer benefits should be emphasized on promotional materials.


Author(s):  
Eunae Son ◽  
Song Soo Lim

Food made with gene-editing has received considerable attention in recent years because it is claimed to be a little different from traditional genetically modified breeding methods concerning safety. However, consumer acceptance of these novel foods and their potential market uptake remains to be answered. This study aims to assess differences in the acceptance of gene-edited and genetically modified foods in Korea. The choice-based conjoint analysis is adopted to estimate part-worth functions for the soybean oil attributes with 200 surveyed samples. The estimated part-worth values reveal how much each attribute affects consumers’ decision-making. Estimated results suggest that consumers tend to accept gene-editing more than genetically modified foods. The acceptance of novel technology is shown to correspond closely to the degree of consumers’ scientific knowledge, highlighting the importance of revealing relevant information regarding the technology. Results also show that country of origin is a significant food-specific attitudinal factor in shaping consumer preferences.


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