I would like to calculate the WTP of my CBC participants for 5 products with certain attribute levels. I know, that the calculation is controversial, but I want to try it.

It’s about wines and I have the attributes price (with levels: 2, 5, 8, 11, 14, 17, and 20 €), quality in points (with levels: 76, 81, 86, 91, 96) and grape (with levels: A, B, C, D, E).

I got how I can calculate the price value of an utility point:

The range between my price levels is 18€ and e.g. the utility range for respondent 1 for price is 166,21. Hence, I get approximately 0,10€ per utility point for this respondent.

But how can I calculate the WTP for this respondent for a wine with 76 quality points and grape A, for example? I read other questions about WTP estimation in the forum, but it was mainly about calculating a monetary value for the change from one attribute to another. And as I said, I want to calculate the WTP for 5 products with fixed attribute levels.

Is it possible to multiply the €-value per utility point (0,10€) with the respective utility values of the levels (76 quality points and grape A) and sum them up?

So if 76 quality points have an utility of -58,68 and the grape A 2,47 it would be: -58,68 x 0,10€ + 2,47 x 0,10€ = -5,62€

Thank you for your help in advance.

Best regards,

Mary

Yes, I wanted to calculate the WTP at the respondent level.

I thought that I could use quality level 76 and grape A as base or reference product and calculate the WTP for the other 4 combinations for each respondent. But that won’t work because the respondents differ in that their lowest utility is assigned to different levels, right?

Sorry, what is the share equalization method for calculating WTP? Can I calculate the WTP for the different products at the respondent level with it?

Thanks in advance.

Mary