Conjoint analysis

What it is.

Conjoint Analysis allows respondents' preference in a product category to be broken down into tradeoffs among its individual attributes. In practice, respondents are invited to select or rank some product profiles (cards) simulating possible offers. Conjoint Analysis indirectly calculate the weight of importance of each product category attributes in % (Efficacy, Tolerance, Pharmaceutical form, Price, Related services, etc.) and the perceived value (utility) of each level of attributes (90% efficacy, 80% efficacy, etc.). Conjoint analysis also calculates potential market shares (called share of preference) in any possible scenarios allowed by the set of attributes and related levels. Today Choice Based Conjoint is the most used conjoint analysis approach for many reasons (better mimic a buying or prescription behaviour , offer more flexibilities and can be administered on-line). However Standard Conjoint Analysis should be used when the weights of attributes and levels' values are required at the individual level.

What it is used for.

Conjoint analysis is used to study price sensitivity (in Pricing Study), to simulate market response to new or modified offerings (new pharmaceutical form, enhanced efficacy or tolerance, etc.). Conjoint analysis can also simply analyse your product perceived strengths and weaknesses as compared to competition. Combined to Cluster Analysis, Standard Conjoint Analysis is used to perform Needs Based Segmentation study.