As Asian economies have grown rapidly, Asia has become a new leading market of the luxury goods industry. This paper used conjoint analysis (CA) for the optimal design of a luxury brand outlet mall to maximize the customer lifetime value (CLV). This approach complements a simple CA by considering CLV. The proposed approach is then applied to designing a suburban luxury brand outlet mall in Korea, a new concept to Korea. The results indicate that the optimal design for the outlet mall is the medieval European-style mall, with the linkage to Natural Tourism, which consists of the restaurants with delicious food and the stores with similar ratio between masstige and luxury brands.
All Science Journal Classification (ASJC) codes
- General Engineering
- Computer Science Applications
- Artificial Intelligence