IDEAS home Printed from https://ideas.repec.org/a/spr/pharme/v40y2022i10d10.1007_s40273-022-01178-y.html
   My bibliography  Save this article

Current Practices for Accounting for Preference Heterogeneity in Health-Related Discrete Choice Experiments: A Systematic Review

Author

Listed:
  • Suzana Karim

    (University of South Florida)

  • Benjamin M. Craig

    (University of South Florida)

  • Caroline Vass

    (RTI Health Solutions
    The University of Manchester)

  • Catharina G. M. Groothuis-Oudshoorn

    (University of Twente)

Abstract

Background Accounting for preference heterogeneity is a growing analytical practice in health-related discrete choice experiments (DCEs). As heterogeneity may be examined from different stakeholder perspectives with different methods, identifying the breadth of these methodological approaches and understanding the differences are major steps to provide guidance on good research practices. Objectives Our objective was to systematically summarize current practices that account for preference heterogeneity based on the published DCEs related to healthcare. Methods This systematic review is part of the project led by the Professional Society for Health Economics and Outcomes Research (ISPOR) health preference research special interest group. The systematic review conducted systematic searches on the PubMed, OVID, and Web of Science databases, as well as on two recently published reviews, to identify articles. The review included health-related DCE articles published between 1 January 2000 and 30 March 2020. All the included articles also presented evidence on preference heterogeneity analysis based on either explained or unexplained factors or both. Results Overall, 342 of the 2202 (16%) articles met the inclusion/exclusion criteria for extraction. The trend showed that analyses of preference heterogeneity increased substantially after 2010 and that such analyses mainly examined heterogeneity due to observable or unobservable factors in individual characteristics. Heterogeneity through observable differences (i.e., explained heterogeneity) is identified among 131 (40%) of the 342 articles and included one or more interactions between an attribute variable and an observable characteristic of the respondent. To capture unobserved heterogeneity (i.e., unexplained heterogeneity), the studies largely estimated either a mixed logit (n = 205, 60%) or a latent-class logit (n = 112, 32.7%) model. Few studies (n = 38, 11%) explored scale heterogeneity or heteroskedasticity. Conclusions Providing preference heterogeneity evidence in health-related DCEs has been found as an increasingly used practice among researchers. In recent studies, controlling for unexplained preference heterogeneity has been seen as a common practice rather than explained ones (e.g., interactions), yet a lack of providing methodological details has been observed in many studies that might impact the quality of analysis. As heterogeneity can be assessed from different stakeholder perspectives with different methods, researchers should become more technically pronounced to increase confidence in the results and improve the ability of decision makers to act on the preference evidence.

Suggested Citation

  • Suzana Karim & Benjamin M. Craig & Caroline Vass & Catharina G. M. Groothuis-Oudshoorn, 2022. "Current Practices for Accounting for Preference Heterogeneity in Health-Related Discrete Choice Experiments: A Systematic Review," PharmacoEconomics, Springer, vol. 40(10), pages 943-956, October.
  • Handle: RePEc:spr:pharme:v:40:y:2022:i:10:d:10.1007_s40273-022-01178-y
    DOI: 10.1007/s40273-022-01178-y
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40273-022-01178-y
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s40273-022-01178-y?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Huber, Joel & Train, Kenneth, 2000. "On the Similarity of Classical and Bayesian Estimates of Individual Mean Partworths," Department of Economics, Working Paper Series qt7zm4f51b, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
    2. Sergio Colombo & Nick Hanley & Jordan Louviere, 2009. "Modeling preference heterogeneity in stated choice data: an analysis for public goods generated by agriculture," Agricultural Economics, International Association of Agricultural Economists, vol. 40(3), pages 307-322, May.
    3. Huber, Joel & Train, Kenneth, 2000. "On the Similarity of Classical and Bayesian Estimates of Individual Mean Partworths," Department of Economics, Working Paper Series qt7zm4f51b, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
    4. Kjaer, Trine & Gyrd-Hansen, Dorte, 2008. "Preference heterogeneity and choice of cardiac rehabilitation program: Results from a discrete choice experiment," Health Policy, Elsevier, vol. 85(1), pages 124-132, January.
    5. Hensher,David A. & Rose,John M. & Greene,William H., 2015. "Applied Choice Analysis," Cambridge Books, Cambridge University Press, number 9781107465923, September.
    6. Negrín, Miguel A. & Pinilla, Jaime & León, Carmelo J., 2008. "Willingness to pay for alternative policies for patients with Alzheimer’s Disease," Health Economics, Policy and Law, Cambridge University Press, vol. 3(3), pages 257-275, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tagliafierro, C. & Boeri, M. & Longo, A. & Hutchinson, W.G., 2016. "Stated preference methods and landscape ecology indicators: An example of transdisciplinarity in landscape economic valuation," Ecological Economics, Elsevier, vol. 127(C), pages 11-22.
    2. Kassie, Girma T. & Zeleke, Fresenbet & Birhanu, Mulugeta Y. & Scarpa, Riccardo, 2020. "Reminder Nudge, Attribute Nonattendance, and Willingness to Pay in a Discrete Choice Experiment," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304208, Agricultural and Applied Economics Association.
    3. Kathleen Jacobs & Jacob Hörisch, 2022. "The importance of product lifetime labelling for purchase decisions: Strategic implications for corporate sustainability based on a conjoint analysis in Germany," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1275-1291, May.
    4. Regier, Dean A. & Ryan, Mandy & Phimister, Euan & Marra, Carlo A., 2009. "Bayesian and classical estimation of mixed logit: An application to genetic testing," Journal of Health Economics, Elsevier, vol. 28(3), pages 598-610, May.
    5. James Agarwal & Wayne DeSarbo & Naresh K. Malhotra & Vithala Rao, 2015. "An Interdisciplinary Review of Research in Conjoint Analysis: Recent Developments and Directions for Future Research," Customer Needs and Solutions, Springer;Institute for Sustainable Innovation and Growth (iSIG), vol. 2(1), pages 19-40, March.
    6. Villas-Boas, Sofia B & Taylor, Rebecca & Krovetz, Hannah, 2016. "Willingness to Pay for Low Water Footprint Food Choices During Drought," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt9vh3x180, Department of Agricultural & Resource Economics, UC Berkeley.
    7. Barber, Brad M. & Morse, Adair & Yasuda, Ayako, 2021. "Impact investing," Journal of Financial Economics, Elsevier, vol. 139(1), pages 162-185.
    8. Kim, Junghun & Seung, Hyunchan & Lee, Jongsu & Ahn, Joongha, 2020. "Asymmetric preference and loss aversion for electric vehicles: The reference-dependent choice model capturing different preference directions," Energy Economics, Elsevier, vol. 86(C).
    9. Szabó, Andrea & Pham, Vinh, 2022. "Net neutrality and consumer demand in the video on-demand market," Information Economics and Policy, Elsevier, vol. 61(C).
    10. Daniele Pacifico, 2012. "Fitting nonparametric mixed logit models via expectation-maximization algorithm," Stata Journal, StataCorp LP, vol. 12(2), pages 284-298, June.
    11. Rick L. Andrews & Andrew Ainslie & Imran S. Currim, 2008. "On the Recoverability of Choice Behaviors with Random Coefficients Choice Models in the Context of Limited Data and Unobserved Effects," Management Science, INFORMS, vol. 54(1), pages 83-99, January.
    12. Nakamura, Akihiro, 2015. "Mobile and fixed broadband access services substitution in Japan considering new broadband features," Telecommunications Policy, Elsevier, vol. 39(2), pages 140-154.
    13. Byun, Hyunsuk & Shin, Jungwoo & Lee, Chul-Yong, 2018. "Using a discrete choice experiment to predict the penetration possibility of environmentally friendly vehicles," Energy, Elsevier, vol. 144(C), pages 312-321.
    14. Woo, JongRoul & Choi, Jae Young & Shin, Jungwoo & Lee, Jongsu, 2014. "The effect of new media on consumer media usage: An empirical study in South Korea," Technological Forecasting and Social Change, Elsevier, vol. 89(C), pages 3-11.
    15. Kaenzig, Josef & Heinzle, Stefanie Lena & Wüstenhagen, Rolf, 2013. "Whatever the customer wants, the customer gets? Exploring the gap between consumer preferences and default electricity products in Germany," Energy Policy, Elsevier, vol. 53(C), pages 311-322.
    16. John V. Colias & Stella Park & Elizabeth Horn, 2021. "Optimizing B2B product offers with machine learning, mixed logit, and nonlinear programming," Journal of Marketing Analytics, Palgrave Macmillan, vol. 9(3), pages 157-172, September.
    17. Grammatikopoulou, Ioanna & Pouta, Eija & Artell, Janne, 2019. "Heterogeneity and attribute non-attendance in preferences for peatland conservation," Forest Policy and Economics, Elsevier, vol. 104(C), pages 45-55.
    18. Mueller, Milton L. & Park, Yuri & Lee, Jongsu & Kim, Tai-Yoo, 2006. "Digital identity: How users value the attributes of online identifiers," Information Economics and Policy, Elsevier, vol. 18(4), pages 405-422, November.
    19. Hong il Yoo, 2012. "The perceived unreliability of rank-ordered data: an econometric origin and implications," Discussion Papers 2012-46, School of Economics, The University of New South Wales.
    20. Shin, Jungwoo & Park, Yuri & Lee, Daeho, 2018. "Who will be smart home users? An analysis of adoption and diffusion of smart homes," Technological Forecasting and Social Change, Elsevier, vol. 134(C), pages 246-253.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:pharme:v:40:y:2022:i:10:d:10.1007_s40273-022-01178-y. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.