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Linear Price Coding For Percental Attribute Levels


in my recent study the price attribute has four levels (0%; 5%; 10%; 15%).
Based on the real price input by the respondent, the system then calculates his four price values shown in the CBC.

Now my question refers to the linear coding of the price attribute in CBC-HB. I know that single-digit values should be used but struggle with defining those in my scenario.

Can someone please point me in the right direction and maybe give a hint regarding the interpretation of the results?

Thank you very much in advance!
asked Mar 15, 2020 by Philipp (235 points)

1 Answer

0 votes

Are you modeling the utility of the % or of the monetary amount?  I assume you're calculating the monetary amount because it's a different base you're multiplying by the percentages which gives different monetary amounts for different respondents - is this correct?

Assuming so, take for example when 15% equals $6:  are you trying to find the utility of 15% or of $6?
answered Mar 17, 2020 by Keith Chrzan Platinum Sawtooth Software, Inc. (115,150 points)
Hello Keith,

I'd like to find the utility of the percental values/increments. (15% in your example)