Article ID: | iaor19992157 |
Country: | United Kingdom |
Volume: | 49 |
Issue: | 10 |
Start Page Number: | 1034 |
End Page Number: | 1043 |
Publication Date: | Oct 1998 |
Journal: | Journal of the Operational Research Society |
Authors: | Zufryden F., Drze X. |
Keywords: | marketing, programming: integer |
The authors have developed a methodology that takes advantages of the World Wide Web to analyse and develop optimal new product designs. This paper describes the methodology and illustrates its application to a case study involving the design of an actual Web site where music CDs are sold. The proposed methodology has the following features: (a) it is based on a design inspired by conjoint analysis; (b) it involves unobstrusive electronic measurement of the actual behavior of Web users who remain undisturbed by experimental factors; and (c) it utilises an integer programming approach to seek optimal Web site configurations. The methodology uses limited dependent variable methods to develop response models that provide the basis for the development of objective functions for an optimisation model. The optimisation model can consider either single or multiple objective functions by using a Pareto optimum approach.