Estimating Multiple Ideal Points from Context Dependent Survey Data

W. Desarbo, S. ATALAY, D. LeBaron, S. Blanchard

Journal of Consumer Research

June 2008, vol. 35, n°1, pp.142-153

Departments: Marketing

Previous research in marketing and consumer research has shown that consumers/ households often possess multiple ideal points in a given product/service category. In such cases, traditional segmentation and positioning models that estimate a single ideal point per individual/segment may render an inaccurate portrayal of the true underlying utility functions of such consumers/segments and the resulting market structure. We propose a new clusterwise multiple-ideal-point spatial methodology that estimates multiple ideal points at the market segment level while simultaneously determining the market segments' composition of consumers, as well as the corresponding joint space