INVESTIGATING THE EFFECT OF A BRAND FACTOR IN PRODUCT DESIGN BASED ON A DATA-DRIVEN APPROACH USING ONLINE REVIEWS

Seyoung Park, Harrison Kim

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

Recently, online user-generated data has emerged as a valuable source for consumer product research. However, most studies have neglected the brand effect, although it is a significant factor in conventional market research. This paper demonstrates the importance of brands in data-driven design using online reviews. Specifically, the study utilizes game theory and suggests a game setting representing market competition. Elements of the game are determined based on online data analysis. The proposed approach consists of three stages. The first stage divides online customers into different segments and analyzes them to extract the feature importance of each brand in each segment. The importance is based on the term frequency of each feature, and it becomes the customer's partial utility for each feature. The second stage defines the specification of product candidates and calculates their costs. This study refers to real market datasets (Bill of Materials) available online. At this point, the game is all set. The final stage finds the Nash Equilibrium of the designed game and compares the optimal strategy for a product portfolio with and without brand consideration. The suggested approach was tested on smartphone reviews from Amazon. The result shows that the lack of brand consideration leads a company to choose a non-optimal product strategy, illustrating the significance of the brand factor.

Original languageEnglish (US)
Title of host publication49th Design Automation Conference (DAC)
PublisherAmerican Society of Mechanical Engineers (ASME)
ISBN (Electronic)9780791887301
DOIs
StatePublished - 2023
Externally publishedYes
EventASME 2023 International Design Engineering Technical Conferences and Computers and Information in Engineering Conference, IDETC-CIE 2023 - Boston, United States
Duration: Aug 20 2023Aug 23 2023

Publication series

NameProceedings of the ASME Design Engineering Technical Conference
Volume3A

Conference

ConferenceASME 2023 International Design Engineering Technical Conferences and Computers and Information in Engineering Conference, IDETC-CIE 2023
Country/TerritoryUnited States
CityBoston
Period8/20/238/23/23

ASJC Scopus subject areas

  • Mechanical Engineering
  • Computer Graphics and Computer-Aided Design
  • Computer Science Applications
  • Modeling and Simulation

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