1 6-1 McGraw-Hill/Irwin © 2003 The McGraw-Hill Companies, Inc., All Rights Reserved.

2 6-2 CHAPTER SIX ANALYTICAL ATTRIBUTE APPROACHES: INTRODUCTION AND PERCEPTUAL MAPPING

3 6-3 What are Analytical Attribute Techniques? Basic idea: products are made up of attributes - - a future product change must involve one or more of these attributes. Three types of attributes: features, functions, benefits. Theoretical sequence: feature permits a function which provides a benefit.

4 6-4 Gap Analysis Determinant gap map (produced from managerial input/judgment on products) AR perceptual gap map (based on attribute ratings by customers) OS perceptual map (based on overall similarities ratings by customers)

5 6-5 A Determinant Gap Map Figure 6.2

Options.... X Ideal Attributes Respondents A Data Cube Figure 6.3

7 6-7 Rate each brand you are familiar with on each of the following: Disagree Agree 1. Attractive design Stylish Comfortable to wear Fashionable I feel good when I wear it Is ideal for swimming Looks like a designer label Easy to swim in In style Great appearance Comfortable to swim in This is a desirable label Gives me the look I like I like the colors it comes in Is functional for swimming Obtaining Customer Perceptions Figure 6.4

8 6-8 Snake Plot of Perceptions (Three Brands) Aqualine Islands Sunflare Attributes Ratings Figure 6.5

9 6-9 Data Reduction Using Multivariate Analysis Factor Analysis –Reduces the original number of attributes to a smaller number of factors, each containing a set of attributes that “hang together” Cluster Analysis –Reduces the original number of respondents to a smaller number of clusters based on their benefits sought, as revealed by their “ideal brand”

No. of Factors Percent Variance Explained The Scree Selecting the Appropriate Number of Factors Figure 6.6

Factor Loading Matrix Figure 6.7

Sample calculation of factor scores: From the snake plot, the mean ratings of Aqualine on Attributes 1 through 15 are 2.15, 2.40, 3.48, …, Multiply each of these mean ratings by the corresponding coefficient in the factor score coefficient matrix to get Aqualine’s factor scores. For example, on Factor 1, Aqualine’s score is (2.15 x 0.145) + (2.40 x 0.146) + (3.48 x ) + … + (3.77 x ) = Similarly, its score on Factor 2 can be calculated as All other brands’ factor scores are calculated the same way. Factor Scores Matrix Figure 6.8

Aqualine Islands Splash Molokai Sunflare Gap 1 Gap 2 Fashion Comfort The AR Perceptual Map Figure

Dissimilarity Matrix Figure 6.10

Aqualine Islands Splash Molokai Sunflare Comfort Fashion The OS Perceptual Map Figure 6.11

Source: Adapted from Robert J. Dolan, Managing the New Product Development Process: Cases and Notes (Reading, MA: Addison-Wesley, 1993), p Comparing AR and OS Methods Figure 6.12

Failures of Gap Analysis Input comes from questions on how brands differ (nuances ignored) Brands considered as sets of attributes; totalities, interrelationships overlooked; also creations requiring a conceptual leap Analysis and mapping may be history by the time data are gathered and analyzed Acceptance of findings by persons turned off by mathematical calculations?