Combining conjoint analysis with Kano model to optimize product varieties of smart phones: A VIKOR perspective

This article proposes a hybrid framework to incorporate customer preferences and customer perceptions into the decision-making process of product configuration and alternative evaluation. In particular, a three-phase approach is suggested: (1) customer preferences are captured and then the entire market can be partitioned accordingly, (2) Conjoint analysis is employed to extract customer utilities of core attributes and Kano model is utilized to elicit customer perceptions of optional attributes, (3) With the aid of VIKOR (VlseKriterijumska Optimizacija I Kompromisno Resenje) ranking, product varieties are systematically assessed based on maximizing overall customer satisfaction. More importantly, a real case study demonstrates the following merits: (1) recognizing key product features to form the ad hoc segments, (2) helping product planners better predict customers desires and configure attractive alternatives for acquiring new opportunities, and (3) offering a systematic way to prioritize product varieties of smart phones with respect to the identified segments.