Bytes & Bodies: Balancing Product Quality, System Efficiency, and Personal Privacy in a Digital Customer Twin-Based Demand Management Approach

This study investigates the trade-offs customers make between product quality, system efficiency, and personal privacy in adopting a digital customer twin-based demand management approach. By using a conjoint analysis methodology, embedded in a laboratory experiment, participants are exposed to a smartphone-based measurement system for apparel sizing. Findings indicate that product quality is the most critical determinant for customer decision-making. Privacy concerns are particularly pronounced among customers preferring traditional shopping methods over digital ones. The study not only provides new insights into customer priorities in digital commerce but also advocates for a shift towards more effectiveness-driven supply chains. Furthermore, a new theoretical framework is proposed that matches customer demands and supply chain characteristics with customer integration through digital twins.