Advanced Research

Running MNL Utility Estimation on Conjoint Response Data

Updated

Surveti fits aggregate multinomial-logit utilities to your conjoint data automatically — here's what it runs and how to read the fit stats.

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Overview

Surveti fits aggregate multinomial-logit (MNL) utilities to your conjoint data automatically — no button to press, no export to a stats package. This article explains what it runs and how to read the fit statistics.

Step-by-step

  1. Field the conjoint question — respondents complete their choice tasks.

  2. Open the Results tab and scroll to the conjoint question card. The aggregate logit utilities panel

  3. Read the fit line — under AGGREGATE LOGIT UTILITIES you get n=104 · tasks=624 · pseudo-R² 0.21 · converged.

  4. Check convergence first — if it doesn't say converged, don't interpret the numbers.

What the fit stats mean

Stat Meaning
n Respondents included in the fit
tasks Answered choice tasks used (the real sample size for estimation)
pseudo-R² McFadden's R² — model fit; 0.2–0.4 is generally considered a good fit for choice models
converged The estimator found a stable solution

How the model works

Each task is treated as a conditional-logit choice among the cards actually shown (plus "none" when the design offers it). Attributes are effects-coded, so utilities are zero-centered within each attribute by construction. Estimation is penalized maximum likelihood via Newton–Raphson with a small ridge, which keeps it stable even when a level is always chosen.

Tips

Tip: Don't read McFadden's pseudo-R² like an OLS R². 0.21 is a respectable choice-model fit — it is not "only 21% explained". Values above ~0.4 are excellent.

Note: This is an aggregate fit — one set of utilities for the whole sample, honestly labeled "aggregate logit utilities". It is not hierarchical Bayes (individual-level utilities), which is a planned follow-up. Aggregate utilities can hide real segment differences: crosstab your key questions to check whether segments actually differ.

Put it to work in Surveti.

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