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Developing explicit customer preference models using fuzzy regression with nonlinear structure
Huimin Jiang1, Xianhui Wu1, Farzad Sabetzadeh2
1School of Business, Macau University of Science and Technology, Macau, China.
Abstract:
In online sales platforms, product design attributes influence consumer preferences, and consumer preferences also have a significant impact on future product design optimization and iteration. Online review data are the most intuitive feedback from consumers on products. Using the value of online review information to explore consumer preferences is the key to optimize the products, improve consumer satisfaction and meet consumer requirements. Therefore, the study of consumer preferences based on online reviews is of great importance. However, in previous research on consumer preferences based on online reviews, few studies have modeled consumer preferences. The models often suffer from the nonlinear structure and the fuzzy coefficients, making it challenging to build explicit models. Therefore, this study adopts a fuzzy regression approach with a nonlinear structure to model consumer preferences based on online reviews to provide reference and insight for subsequent studies. First, smartwatches were selected as the research object, and the sentiment scores of product reviews under different topics were obtained by text mining on the product online data. Second, a polynomial structure between product attributes and consumer preferences was generated to investigate the association between them further. Afterward, based on the existing polynomial structure, the fuzzy coefficients of each item in the structure were determined by the fuzzy regression approach. Finally, the mean relative error and mean systematic confidence of the fuzzy regression with nonlinear structure method were numerically calculated and compared with fuzzy least squares regression, fuzzy regression, adaptive neuro fuzzy inference system (ANFIS) and K-means-based ANFIS, and it was found that the proposed method was relatively more effective in modeling consumer preferences.
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