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User preferences and willingness to pay for in-vehicle assistance

Author

Listed:
  • A. Cristina Mihale-Wilson

    (Goethe University Frankfurt)

  • Jan Zibuschka

    (Robert Bosch GmbH)

  • Oliver Hinz

    (Goethe University Frankfurt)

Abstract

As consumers’ demand for interconnectivity and infotainment grows continuously, car manufacturers face the challenge of developing more sophisticated, user appealing and economically viable in-vehicle infotainment assistants while staying within the boundaries of their limited resources. Based on the results extracted from an empirical study with 278 participants from Germany, this contribution supports car manufacturers to tackle this challenge by providing concrete guidance on optimal feature design, pricing, as well as initial market segmentation. Regarding the optimal feature design, we note that delivering continuously available and flawless systems with a speech input interface should be the top priority when developing such vehicular assistance. Further, we suggest that the in-vehicle infotainment assistants should be either reactive (i.e., react only to driver’s instruction) or independently proactive (i.e., exert full control without engaging the driver in decisions), but not semi-automatic (i.e., assistant issues recommendations and then follows the driver’s instructions).

Suggested Citation

  • A. Cristina Mihale-Wilson & Jan Zibuschka & Oliver Hinz, 2019. "User preferences and willingness to pay for in-vehicle assistance," Electronic Markets, Springer;IIM University of St. Gallen, vol. 29(1), pages 37-53, March.
    • Handle: RePEc:spr:elmark:v:29:y:2019:i:1:d:10.1007_s12525-019-00330-5
    DOI: 10.1007/s12525-019-00330-5
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    References listed on IDEAS

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    1. Gensler, Sonja & Hinz, Oliver & Skiera, Bernd & Theysohn, Sven, 2012. "Willingness-to-pay estimation with choice-based conjoint analysis: Addressing extreme response behavior with individually adapted designs," European Journal of Operational Research, Elsevier, vol. 219(2), pages 368-378.
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    4. Steenkamp, Jan-Benedict E M & Gielens, Katrijn, 2003. "Consumer and Market Drivers of the Trial Probability of New Consumer Packaged Goods," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 30(3), pages 368-384, December.
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    Cited by:

    1. Rainer Alt & Haluk Demirkan & Jan Fabian Ehmke & Anne Moen & Alfred Winter, 2019. "Smart services: The move to customer orientation," Electronic Markets, Springer;IIM University of St. Gallen, vol. 29(1), pages 1-6, March.
    2. Thomas Schulz & Markus Böhm & Heiko Gewald & Helmut Krcmar, 2021. "Smart mobility – an analysis of potential customers’ preference structures," Electronic Markets, Springer;IIM University of St. Gallen, vol. 31(1), pages 105-124, March.
    3. K. Valerie Carl & Cristina Mihale-Wilson & Jan Zibuschka & Oliver Hinz, 2024. "A consumer perspective on Corporate Digital Responsibility: an empirical evaluation of consumer preferences," Journal of Business Economics, Springer, vol. 94(7), pages 979-1024, October.
    4. Frank Ebbers & Jan Zibuschka & Christian Zimmermann & Oliver Hinz, 2021. "User preferences for privacy features in digital assistants," Electronic Markets, Springer;IIM University of St. Gallen, vol. 31(2), pages 411-426, June.
    5. Alexander Maedche & Christine Legner & Alexander Benlian & Benedikt Berger & Henner Gimpel & Thomas Hess & Oliver Hinz & Stefan Morana & Matthias Söllner, 2019. "AI-Based Digital Assistants," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 61(4), pages 535-544, August.

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    More about this item

    Keywords

    User preferences; WTP; In-vehicle intelligent personal assistant; Choice-based conjoint analysis;
    All these keywords.

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • M39 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Other

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