New model of choice behaviour applied worldwide

Possible later regret determines the choices that consumers make. Based on this insight, Dutch researcher Caspar Chorus developed a model that predicts choice behaviour. His model will now become part of the world’s most popular econometric software package that is used, for example, by marketing agencies to map consumer behaviour.

What should the price of a new games console be for it to gain the desired market share? How do you ensure that car drivers want to trade in their petrol car for a more sustainable model? Thousands of companies, marketing agencies and government agencies throughout the world will soon be able to predict the behaviour of their consumers better thanks to the research of transport & logistics expert Chorus.

Existing models assume that people make choices based on the consideration: what is the most useful? The model of Chorus assumes that when they make choices, consumers try to minimise the risk of later regret. This regret model has regularly proven to be more reliable than the utility model.

Car choice
'In Australia my model is being used to map which type of sustainable car consumers prefer', says Chorus. 'I have used the model myself to determine at which kilometre price drivers leave their cars and switch to public transport. That is important information for reducing traffic jams.'

Meanwhile many fellow researchers have adopted the model of Chorus. 'A growing number of leading research groups within my field are using the model.'

Chorus carried out his research with a Veni grant from the Netherlands Organisation for Scientific Research (NWO). The Veni grant of 250,000 euros is intended for researchers who have recently gained their PhDs and counts as an important step in a scientific career. It is one of the most prestigious grants for young, talented researchers. Chorus is an associate professor at Delft University of Technology.

Provided by NWO