A cruise line example illustrates how to use discrete choice to determine marginal value in this piece published in Quirk’s Marketing Research Review, How to Price an Island.
Unlike a poll or a survey, predictions are able to be made over large numbers of scenarios within a context, to the order of many trillions of possible scenarios. Choice Modeling is believed to be the most accurate and general purpose tool currently available for making behavioral predictions about human decision making and is regarded as the most suitable method for estimating consumers’ willingness to pay for quality improvements in multiple dimensions.