Measuring Brand Value in Healthcare

Using a Choice Based Conjoint and Interactive Simulation to Quantify Brand Value

Project Objective:

MDRG independently completed a simulation using data obtained through a choice-based conjoint to measure, quantify and compare the brand value of several different medical institutions: MD Anderson, Mayo Clinic, Sloan Kettering and a regional cancer center.

Specific objectives included:

  • Measure key metrics (awareness, top of mind associations, consideration and preference) and priority segments
  • Understand what matters as consumers consider healthcare options
  • Quantify the value of the brand

Research Methodology:

MDRG conducted a survey using a choice-based conjoint. The survey was completed by 336 respondents, who were screened to ensure they were 35 years or older, had a household income of $75k or more and had private health insurance or Medicare.

The choice-based conjoint tested the following attributes:
1. Hospital/Brand
2. Percentage of Cost Covered by Insurance (60%, 70%, 80%, 90%)
3. Travel accommodations (hospital pays for hotel, hotel not covered by hospital) 

Data obtained from this survey was filtered through an interactive simulation to quantify brand value.

Results and Recommendations:

Based on the data gathered in the survey, two segments were identified: Brand Enthusiasts and Price Sensitive. Brand Enthusiasts are willing to pay more to obtain what they see as the most valuable brand. The Price Sensitive segment, evidently, is unwilling to spend as much.

MDRG used the data collected from these two segments in a simulation to quantify brand value. Simulation results indicated that MD Anderson had a greater brand value amongst both Brand Enthusiasts and Price Sensitive respondents.
MDRG’s research also indicated that Brand Enthusiasts were willing to pay more to access MD Anderson, suggesting that MD Anderson would benefit most from targeting this specific segment. Read more about this study here.

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