arXiv AI By Oded Netzer, Rajan Sambandam

Synthetic Data in Marketing Research: How to Evaluate and When to Trust

Read the original on arXiv AI →

The paper discusses the use of synthetic data in marketing research, arguing that the key question is not whether synthetic respondents work, but when they do. It categorizes synthetic data into three types—ungrounded LLM responses, segment-level personas, and individual-level digital twins—and maps each to the decisions they can support. The authors also propose a taxonomy of accuracy measures, highlight the forgotten question problem, and introduce an ex‑ante answerability diagnostic based on R² to improve twin-human correlation.

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arXiv:2606. 04592v1 Announce Type: cross Abstract: LLM-based digital twins promise to scale and accelerate market research, but most published twins are either coarse persona bots conditioned on a few demographic questions or detailed individual-level twins built on purpose-collected surveys and interview transcripts.

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