Conference article

Conjoint analysis has been widely used to find consumers’ preference and direction of improvement in new product development. It can also be used in product service system development and marketing as long as attributes and attribute levels are carefully selected. This study focuses on consumers’ preference and willingness to pay (WTP) of product service system taking photovoltaic system as an example. Leasing is considered as a type of product service that consumers could choose. In addition; consumers’ concerns on several uncertainties are measured in order to find the effect of uncertainty on preference of different lease times. The results show that the concern of uncertainties on government subsidy; electricity price; reliability; and rise of new generation solar power system would significantly affect the additional willingness-to-pay for shorter lease time. The relation between gap of WTP between lease times and uncertainty scores that measure consumers’ concern are presented. Cluster analysis is used to find two groups with high and low concern of uncertainty. People with higher concern on uncertainty tend to pay more for adopting PSS with shorter lease time.

Conjoint analysis; Lease time; Photovoltaic System; Uncertainty