Transcript Postpurchase Dissonance

CHAPTER
18
Postpurchase
Processes,
Customer
Satisfaction,
and Customer
Commitment
McGraw-Hill/Irwin
Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.
PART IV: CONSUMER DECISION PROCESS
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Learning Objectives
L01
Describe the various postpurchase processes engaged in
by consumers
L02
Define and discuss postpurchase dissonance
L03
Discuss the issues surrounding product use and nonuse
and their importance to marketers
L04
Summarize disposition options and their relevance to
marketers and public policy
L05
Explain the determinants and outcomes of satisfaction
and dissatisfaction
L06
Describe the relationship between satisfaction, repeat
purchase, and customer commitment
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Consumer Behavior In The News…
Can emotional attachment sell brands?
 What are the top 5 brands in terms of consumer
emotional attachment?




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 What is the relationship with emotional
attachment, loyalty, and repeat purchase?
Source: J. Pollack, “Tech Tops in Creating Emotional Connection,” Advertising Age, October 17, 2011, p. 38.
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Consumer Behavior In The News…
Can emotional attachment sell brands?
 What are the top 5 brands in terms of consumer
emotional attachment?

iPod

iPhone
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GoogleSearch
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Disney Parks

Google
 Emotional attachment is important because it
increases loyalty and purchase frequency.
Source: J. Pollack, “Tech Tops in Creating Emotional Connection,” Advertising Age, October 17, 2011, p. 38.
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Postpurchase Consumer Behavior
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Postpurchase Dissonance
Postpurchase Dissonance occurs when a consumer has
doubts or anxiety regarding the wisdom of a purchase
made and is a function of the following:
• The degree of commitment or irrevocability of the decision
• The importance of the decision to the consumer
• The difficulty of choosing among the alternatives
• The individual’s tendency to experience anxiety
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Postpurchase Dissonance
After the purchase is made, the consumer may utilize one
or more of the following to reduce dissonance:
 Increase the desirability of the brand purchased
 Decrease the desirability of rejected alternatives
 Decrease the importance of the purchase decision
 Reverse the purchase decision (return before use)
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Postpurchase Dissonance
Consumption guilt - when
guilt feelings are aroused by
the product/service use.
Marketers need to focus on
validating the consumption
for “high guilt” products.
Indulging in chocolate for some can
cause consumption guilt
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Applications in Consumer Behavior
Arm & Hammer’s
“countless uses for
under a $1” campaign
is a classic example of
use innovativeness!
Courtesy Church & Dwight Co., Inc..
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Product Use and Nonuse
Product Use
Retailers can frequently take advantage of the fact that
the use of one product may require or suggest the use of
other products, e.g., dresses and shoes.
Retailers can promote such items
• jointly
• display them together, or
• train sales personnel to make
relevant complementary sales
Displaying complementary
products together
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Product Use and Nonuse
Product Use
Stringent product liability laws have made firms
responsible for harm caused by products not only
when the product is used as specified by the
manufacturer, but
in any reasonably foreseeable use of the
products.
When marketers discover confusion about proper use,
they should engage in communications to increase the
chances of proper use.
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Disposition
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Disposition
Product Disposition and Marketing Strategy
Marketers must be aware of the disposition factors that
ultimately affect consumer purchase decisions.
Helping consumers with the disposition of a used product
can help the consumer through this process (e.g.,
developing products, packages and programs that
encourage proper disposition).
Best Buy’s “Buy Back Program”
Viewer discretion due to language content
YouTube Spotlight
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Purchase Evaluation and Customer
Satisfaction
The Evaluation Process
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Purchase Evaluation and Customer
Satisfaction
The Evaluation Process
Determinants of Satisfaction and Dissatisfaction
Instrumental performance relates to the physical functioning of
the product.
Symbolic performance relates to aesthetic or imageenhancement performance.
Affective performance is the emotional response that owning or
using the product or outlet provides
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Dissatisfaction Process
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Dissatisfaction Responses
Marketing Strategy and Dissatisfied Consumers
Firms need to satisfy consumer expectations by
1. Creating reasonable expectations through promotional
efforts, and
2. Maintaining consistent quality so the reasonable
expectations are fulfilled.
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Dissatisfaction Responses
Marketing Strategy and Dissatisfied Consumers
When a consumer is dissatisfied, the most favorable
consequence is for the person to communicate this
dissatisfaction to the firm but to no one else.
Unfortunately, many individuals do not communicate their
dissatisfaction to the firm involved.
Companies often make it difficult to complain or are
unresponsive to complaints.
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Customer Satisfaction, Repeat
Purchases, and Customer Commitment
Creating Committed Customers
Is Increasingly the Focus of Marketing Strategy
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Customer Satisfaction, Repeat
Purchases, and Customer Commitment
Repeat purchasers continue to buy the same brand
though they do not have an emotional attachment to it.
Switching costs are the costs of finding, evaluating, and
adopting another solution.
Brand loyalty involves commitment to the brand – it is a
biased behavioral response expressed over time.
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Customer Satisfaction, Repeat
Purchases, and Customer Commitment
Do you know your Net Promoter Score?
Net Promoter Score (NPS) is an indirect word-of-mouth
(WOM) measure of true attitudinal loyalty.
There are three categories of consumers:
1. Promoters
2. Passively satisfied
3. Detractors
NPS = Promoters minus Detractors
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Customer Satisfaction, Repeat
Purchases, and Customer Commitment
Repeat Purchasers, Committed Customers, and Profits
A churn is a turnover in a firm’s customer base.
Reducing churn is a major objective of many firms today.
It typically costs more to obtain a new customer than to
retain an existing one, and new customers generally are
not as profitable as longer-term customers!
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Customer Satisfaction, Repeat
Purchases, and Customer Commitment
Sources of Increased Customer Profitability over Time
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Customer Satisfaction, Repeat
Purchases, and Customer Commitment
Repeat Purchasers, Committed Customers, and
Marketing Strategy
Developing a marketing strategy for a particular segment includes
identifying specific objectives to be pursued, such as
1. Attracting new users to the product category
2. Capturing competitors’ current customers
3. Encouraging current customers to use more
4. Encouraging current customers to become repeat
purchasers
5. Encouraging current customers to become committed
customers
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Customer Satisfaction, Repeat
Purchases, and Customer Commitment
Customer Satisfaction Outcomes
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Customer Satisfaction, Repeat
Purchases, and Customer Commitment
Relationship Marketing
Five key elements to Relationship marketing:
1. Developing a core service or product around which to build a
customer relationship
2. Customizing the relationship to the individual customer
3. Augmenting the core service or product with extra benefits
4. Pricing in a manner to encourage loyalty
5. Marketing to employees so that they will perform well for
customers
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Video Application
The following Video Clip demonstrates
how the Geek Squad provides great
customer service!
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