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Article
Publication date: 23 March 2010

Alex Gofman, Howard R. Moskowitz and Tõnis Mets

This paper seeks to explore approaches to consumer‐driven optimization of package design utilizing a novel modified conjoint analysis approach. The approach allows for dynamic…

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Abstract

Purpose

This paper seeks to explore approaches to consumer‐driven optimization of package design utilizing a novel modified conjoint analysis approach. The approach allows for dynamic creation and testing of a large number of design prototypes with consumers and finds optimal solutions on an aggregated, segmented (pattern‐based latent mindset segmentation) and individual basis.

Design/methodology/approach

The approach extends the consumer insights‐driven process, Rule Developing Experimentation (RDE), introduced by the authors (AG and HM) and developed in cooperation with Wharton School of Business (University of Pennsylvania), to graphical concepts.

Findings

Disciplined experimentation based on individual permuted experimental designs produces more targeted package designs with higher appeal to the consumers. The proposed steps describe fast, parsimonious and actionable process of application of RDE to package optimization, which provides valuable input for designers about consumer preferences.

Practical implications

The paper demonstrates that consumer research could and should be a central part not only at the final stages of the package design but at the initial stage as well. The steps of fitting the research into the package design process are shown providing a parsimonious way to include consumers in the early stages of package design.

Originality/value

The approach could help the marketers efficiently create better packages that consumers like and which will help marketers to differentiate their respective products from the competition.

Details

Journal of Consumer Marketing, vol. 27 no. 2
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 3 August 2010

Alex Gofman, Howard R. Moskowitz, Marco Bevolo and Tõnis Mets

This paper aims to summarize the results of an empirical project to understand the perceptions of consumers of the future high end products in the USA. This project was a…

3249

Abstract

Purpose

This paper aims to summarize the results of an empirical project to understand the perceptions of consumers of the future high end products in the USA. This project was a precursor of a larger global project on the topic.

Design/methodology/approach

The approach utilizes the consumer insights‐driven process, rule‐developing experimentation (RDE), introduced by the senior authors and developed in cooperation with Wharton School of Business (University of Pennsylvania). The empirical part was conducted with qualified US consumers (middle‐ and upper‐middle class respondents). Based on a series of in‐depth qualitative interviews with global leaders of luxury and premium companies, star designers and thought leaders, five dimensions of high end offering were identified, with each dimension having a unique set of four factors (elements). The second part included a quantitative survey based on RDE (modified conjoint analysis) conducted in the USA with 373 qualified middle‐ and upper‐middle class respondents to discover the driving forces behind their perceptions of high end.

Findings

There are four distinct consumer mindsets towards future high end products. The segmentation is based on a disciplined experimentation afforded by RDE and produces a more targeted understanding of the consumer mind.

Practical implications

The paper provides insights of what might drive the consumer perception of high end products in the near future. The pattern‐based consumer mind‐set segmentation creates actionable directions for corporations in answering today's big question “How can brands migrate from being cost‐driven commodities to higher margins and profits?” The answer is in the high end.

Originality/value

The approach offered here could help designers and brand managers to efficiently create better products that consumers like and perceive as high end. This will result in higher margins and help marketers to differentiate their respective products from the competition.

Details

Journal of Consumer Marketing, vol. 27 no. 5
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 27 February 2009

Gillie Gabay, Howard R. Moskowitz, Jacqueline Beckley and Hollis Ashman

The purpose of this paper is to empirically test the consumer‐centered approach to brand management theorized by Rust, Zeithaml and Lemon in 2004 to assist companies in reducing…

7106

Abstract

Purpose

The purpose of this paper is to empirically test the consumer‐centered approach to brand management theorized by Rust, Zeithaml and Lemon in 2004 to assist companies in reducing the depreciation of brand equity.

Design/methodology/approach

Brand equity was operationalized in the context of conjoint measurement. In total, 5,364 respondents participated in interviews testing drivers of brand equity for six brands each in 28 food categories.

Findings

Data from the large‐scale study revealed that across categories brand value may not hold much beyond the name in the minds of consumers. It was found that mindset segmentation may be a basis for brand management. Messages that focused on product functionality were found to be stronger drivers of preference of one brand over another. Product features instead of brand names emerged as the primary source of value across segments.

Research limitations/implications

The study focused on brands in the food industry requiring the replication to additional industries.

Practical implications

It was found that brands did not hold much beyond their name. Companies holding strong brands will need to define product features in terms of their perceived functionality across consumer segments. Companies are to build and position brands around customer segments.

Originality/value

A cutting edge methodology to test mindset segmentation by combinations of product features as a new basis for brand management was used. In contrast to traditional brand management which is based on products, the paper bases brand management on consumer needs highlighting consumer equity rather than brand equity.

Details

Journal of Product & Brand Management, vol. 18 no. 1
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 17 April 2009

Alex Gofman, Howard R. Moskowitz and Tõnis Mets

Innovation cannot come without in‐depth understanding of the product and its consumer perception. This paper aims to show the approach for consumer‐centric re‐development…

1246

Abstract

Purpose

Innovation cannot come without in‐depth understanding of the product and its consumer perception. This paper aims to show the approach for consumer‐centric re‐development strategy, from design of the experiment to execution, analysis, modeling and strategies for implementation.

Design/methodology/approach

The approach described uses a relatively large‐scale experimental design of ingredients (12 variables) to vary sensory attributes and conduct sensitivity analysis with consumers.

Findings

The resulting product was a big marketing success for the producer. A disciplined experimentation based on statistically sound experimental designs produces much better food products with increased acceptability by consumers.

Practical implications

Statisticians have turned their attention to modeling the relations between physical variables and subjective consumer responses. The resulting products are optimized to meet sensory preferences of the consumers including varied sensory segmentation of the markets.

Originality/value

Using advanced multivariate experimental design for sensory optimization has proved many times its advantages although still not universally used. The approach could help the marketers and developers create better products that consumers like.

Details

Journal of Product & Brand Management, vol. 18 no. 2
Type: Research Article
ISSN: 1061-0421

Keywords

Article
Publication date: 30 October 2009

Sandy Guardiola, Gillie Gabay and Howard R. Moskowitz

The purpose of this paper is to gain an understanding of consumer preferences and mind‐set regarding the transition to using renewable energy.

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Abstract

Purpose

The purpose of this paper is to gain an understanding of consumer preferences and mind‐set regarding the transition to using renewable energy.

Design/methodology/approach

The approach taken is an experimental design of messaging (conjoint analysis).

Findings

The study uncovered different segments of individuals, with different mind‐sets, needing different types of messaging. Results show what marketing messages might best work to interest consumers in the transition to renewable energy. The study revealed two different mind‐set segments among respondents. The first segment comprised residents who preferred a gradual transition toward using 80 percent renewable energy, and 20 percent conventional energy, with no specific transition time span, and with no tax increases. The second segment comprised residents who preferred a five year, fixed‐time plan for the conversion to renewable energy sources (RES), along with service plans, and an accompanying “money back” guarantee.

Research limitations/implications

The study did not include the testing of pricing elements to the messaging about the transition to “green” process. Thus, insights concerning the interaction of financial concerns with mind‐sets in the transition to “green” are yet to be studied.

Practical implications

After identifying the segment to which each individual belongs, data permit the creation of a “typing tool” to identify segment membership, thus allowing more targeted and effective messaging when building awareness and demand for green power.

Originality/value

This is a pioneering study that looks at the “mind” of the customer, to investigate how different ideas and messaging drive the consumer's comfort level regarding the use of RES, and the future of their energy consumption and transitional needs. This is a multi‐disciplinary study incorporating public policy and marketing together with practical application.

Details

Humanomics, vol. 25 no. 4
Type: Research Article
ISSN: 0828-8666

Keywords

Article
Publication date: 26 June 2009

Alex Gofman, Howard R. Moskowitz and Tõnis Mets

This paper sets out to explore different approaches to optimizing web sites based on consumer preferences, introducing the most advanced form of landing page optimization…

3965

Abstract

Purpose

This paper sets out to explore different approaches to optimizing web sites based on consumer preferences, introducing the most advanced form of landing page optimization, multivariate landing page optimization, and its variations. The approach aims to allow for the testing of a large number of web page prototypes with consumers and find real optimal solutions on an aggregated, segmented and individual basis. The latter aims to paveing the road to individually optimized pages and one‐on‐one marketing in the near future.

Design/methodology/approach

The approach described employs a new variation of multivariate landing page optimization to improve customer experiences with web sites through optimal design of the landing pages. The approach uses consumer insights‐driven rule‐developing experimentation (RDE) introduced by the authors and developed in cooperation with Wharton School of Business.

Findings

A disciplined experimentation based on statistically sound experimental designs produces much better web page designs. The resulting web pages have increased consumer acceptability, improved conversion rates and general customer experience.

Practical implications

Consumer research should be a central part in planning how to optimize web site experiences. The steps of fitting it into the web design are shown. There are already several readily available tools for effecting this.

Originality/value

The approach could help marketers create better web sites that consumers like and which will help marketers to differentiate their respective web sites from their competitors.

Details

Journal of Consumer Marketing, vol. 26 no. 4
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 27 November 2007

Howard Moskowitz, Samuel Rabino, Alex Gofman and Daniel Moskowitz

The purpose of this study is to use an approach that helps the pharma industry develop and structure communications that provide buyers and sellers with a better procedure to…

Abstract

Purpose

The purpose of this study is to use an approach that helps the pharma industry develop and structure communications that provide buyers and sellers with a better procedure to drive decisions to buy/sell stocks. Messages related to pharmaceutical companies and their products were collected from many sources.

Design/methodology/approach

An experimental design was employed to evaluate communication concepts in a systematic way.

Findings

The most important finding was that the proclivity to buy/sell individual pharmaceutical stocks responds to varying sets of messages.

Research limitations/implications

The study only covers the pharmaceutical industry.

Practical implications

From a practical stand‐point, the methodology facilitates the design of informative messages for consumers and shareholders within the pharma industry.

Originality/value

The study is unique in that it presents a statistically grounded experimental design evaluating communications messages and personal values that are important for individuals who routinely sell or purchase stocks.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 1 no. 4
Type: Research Article
ISSN: 1750-6123

Keywords

Article
Publication date: 1 January 1981

Samuel Rabino and Howard Moskowitz

How does a company develop the optimal product while holding down development costs and shortening lead times for introduction? The authors have developed a scaling technique that…

Abstract

How does a company develop the optimal product while holding down development costs and shortening lead times for introduction? The authors have developed a scaling technique that does both.

Details

Journal of Business Strategy, vol. 1 no. 4
Type: Research Article
ISSN: 0275-6668

Article
Publication date: 4 May 2010

Gillie Gabay, Laurent Flores, Howard Moskowitz and Andrea Maier

The purpose of this paper is to demonstrate a concept‐response segmentation used to identify different customer “mind‐sets”. Based on this segmentation, in a merchandising…

1303

Abstract

Purpose

The purpose of this paper is to demonstrate a concept‐response segmentation used to identify different customer “mind‐sets”. Based on this segmentation, in a merchandising situation, one can interact with the customer to identify the segment to which the customer belongs and in turn offer the proper product and merchandising.

Design/methodology/approach

The study deals with the creation of new hair products, using both ideation by brand Delphi™ and by experimental design of ideas with conjoint measurement (IdeaMap.Net). It ends with the creation of a merchandising product for hair coloring based on concept segmentation. First the internet was used to facilitate the acquisition and prioritization of new ideas. Then the experimental design of ideas was used to identify which perform well in the body of test concepts.

Findings

Three segments were identified: Segment 1 (54 percent) wants easy to use, high technology, and reliable products. Segment 2 (25 percent) wants to give, and get information about themselves, with respect to hair coloring. Furthermore, they want to make information giving/getting a process, not simply a rapid 1‐2‐3 affair. Segment 3 (21 percent) wants results. They want information, primarily what the product will do for them, what it delivers.

Research limitations/implications

The innovative research deals with the creation of “new to the world” product ideas and the segmentation of respondents into different groups, based on their mind‐sets.

Practical implications

The segmentation results provide the manufacturer and the trade with an opportunity to fine‐tune the development of the new product and its merchandising. One of the recurring questions, however, is how to find these segments in the population? Data mining works by searching for assignment rules that put people into the segments based on a decision rule. The variables used by the decision rule come from external information about the respondent, which the respondent may have provided previously, or patterns of purchases that the individual may have made over time. The objective is to increase the chances of correctly classifying a new individual as a member of one of the three segments, and by so doing present the prospect with a better offer, whether an improved product or shopping experience.

Originality/value

The study deals with the creation of new hair products, using both ideation by brand Delphi™ and by experimental design of ideas with conjoint measurement (IdeaMap.Net). This is a discussion towards high tech in merchandising haircoloring products. It examines new opportunities for development.

Details

Journal of Consumer Marketing, vol. 27 no. 3
Type: Research Article
ISSN: 0736-3761

Keywords

Article
Publication date: 19 June 2007

Howard Moskowitz, Samuel Rabino and Jacqueline Beckley

The purpose of this paper is to show how consumer researchers have used experimental design of ideas to understand emotions.

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Abstract

Purpose

The purpose of this paper is to show how consumer researchers have used experimental design of ideas to understand emotions.

Design/methodology/approach

The approach was “quali‐quant,” mixing the insights of qualitative research with the numerical rigor of quantitative research. Consumers were presented with small, easy to understand test concepts created by experimental design to obtain their reactions. The paper looks at the impact of emotion‐language on acceptance, through individual‐level regression modeling.

Findings

Models were developed for each respondent. It was found that the emotion elements are not key drivers of interest in the product. The paper did, however, find individuals who were sensitive to some emotion elements, but not to others, leading to the conclusion that responses to emotion in concepts may emerge out of the interaction of individual respondents and the concept elements.

Research limitations/implications

The key limitation of this type of research is that it requires a specific internet‐based program (IdeaMap.Net) which does all the combinations, acquires the data, and then analyzes it.

Practical implications

The paper shows how to better understand the role of emotions in written concepts.

Originality/value

The paper presents a totally new treatment of emotion, by looking at emotion in terms of the stimulus and the respondent together. It shows that emotion is an emergent or new entity, not inherent in the predisposition of a group of individuals, nor in the nature of the stimulus.

Details

Qualitative Market Research: An International Journal, vol. 10 no. 3
Type: Research Article
ISSN: 1352-2752

Keywords

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