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MS3536 Lecture 10 Shopping, buying, evaluating and disposing Solomon et al Ch 9.

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1 MS3536 Lecture 10 Shopping, buying, evaluating and disposing Solomon et al Ch 9

2 Outline Purchase and post-purchase issues Antecedent states Shopping motives and orientations Impulse shopping Post-purchase evaluation Product disposal

3 Issues related to purchase and post- purchase Solomon et al (2006) p.300

4 Antecedent states; Situational effects Mood  Pleasure and arousal  Positive or negative reactions Consumption situations  Factors beyond the individual and product  Behavioural factors (e.g. entertaining friends)  Perceptual factors (e.g. feeling down or pressed for time)

5 Cues can include: decor, smells and even temperature of a consumer’s surroundings. the presence or absence of other consumers. the type of consumer patronising a store. temporal factors, e.g. time to make purchases. Social and physical surroundings A consumer’s physical and social environment can make a big difference in motivating product purchase and evaluation.

6 Arnold and Reynolds shopping motives (2003) Adventure shopping - to seek stimulation, adventure, and feelings of being in a different world. Social shopping - for enjoyment of shopping with friends and family, socialising while shopping and bonding with others. Gratification shopping - for stress relief, to alleviate a negative mood and as a special treat to oneself. Idea shopping - for keeping up with trends and new fashions and to seek new products and innovations. Role shopping - for getting enjoyment as a consequence of shopping for others. Value shopping (reflecting shopping for sales, looking for discounts, and hunting for bargains).

7 Shopping orientation The economic shopper The personalised shopper The ethical shopper The apathetic shopper The recreational shopper

8 Impulse buying A sudden but powerful and persistent urge to buy a product offering immediately with diminished regard to the consequences of buying the offering (Rook, 1987) As per Rook (1987), it is relatively extraordinary, exciting, emotional rather than rational and is likely to be perceived as bad rather than good

9 Four Styles of Impulse Buying Accelerator Impulse Driven by a desire to stock up for a future need Compensatory Impulse Occurs when a consumer feels down and low in self esteem and uses purchase as a reward Breakthrough Impulse To resolve some sort of emotional conflict Blind Impulse Buying with no apparent impulse Bayley & Nancarrow (1998)

10 Four Forms of Impulse Buying Pure Impulse Buying Sudden grounds of novelty or escapism Reminder Impulse Buying The item is suddenly remembered as a wanted item Suggestion Impulse Buying Consumer goes through a rapid evaluation Planned Impulse Buying Where the customer intends to buy but the what question is not decided prior to the shopping trip Stern (1962)

11 Airport Impulse Buying EffectIllustration The holiday effectConsumer is going on holiday with high levels of excitement and more disposable income is at hard than normal The family effectConsumers think of buying gifts for family and friends The guilt effectBusiness travellers buying for spouse and children to compensate for loss of family time due to business travel The reward effectConsumers’ self indulgence The occasion effectEaster, Christmas, Mother’s Day, Birthday, etc. The exclusivity effectOnly being able to buy certain products in specific travel related environments, e.g. airport The effect of forgettingForgetting to bring an item such as an umbrella The effect of confusionInformation overload causing impulse buying The effect of disposingWanting to get rid of some foreign currency

12 Post-purchase Customer satisfaction: Satisfaction is “an attitude-like feeling of a customer towards a product or service after it has been used”. Satisfaction is an important concept both for academics and managers It is considered as the essence of success and focus of becoming a market oriented firm

13 Antecedents of Customer Satisfaction 1 Disconfirmation paradigm Disconfirmation is the difference between pre-purchase expectations (belief about anticipated performance) and post-purchase beliefs (how well the product actually performed) Positive disconfirmation When perceived performance exceeds customer satisfaction (customer feels satisfied) Negative disconfirmation When perceived performance falls short of expectations (customer feels dissatisfied)

14 Antecedents of Customer Satisfaction 2 Equity “A fairness, rightness or deservingness judgement that consumers make in reference to what others receive” (Oliver, 1997) Consumers feel satisfied when they perceive fair (i.e. equitable) treatment Attributions Customers feel satisfied when they attribute favourable outcomes to themselves and negative to others (Oliver, 1993)

15 Consequences of Customer Satisfaction Complaining behaviour This allows consumers to get rid of their anger and frustration Consumers are likely to complain when: 1. They attribute blame to someone else 2.When they experience a strong dissatisfying experience 3.When there are greater chances of redress 4. When consumers have the right level of ability and motivation to complain (e.g. time, monetary, word of mouth)

16 Cognitive Dissonance A kind of psychological tension resulting from perceived inconsistencies in cognitions (Festinger, 1957)

17 Dissonance Reducing Strategies in Smoking 1. Change one’s behaviourStop smoking Change to smoking cigar or pipe 2. Distort the dissonant behaviour Refuse to accept cancer connection 3. Minimise the importance of the issue To say there is more chance of death in a car crash 4. Ignore dissonant information and seek consonant information Seek social support

18 Unethical Reassurance from Marketers Overcoming dissonance: healthy woman smoke (seeking social support) and it’s good for you! Using positive cognitions.

19 Comparative Advertising

20 Reassurance

21 Product disposal occurs when: the products have fulfilled their designated functions. the products no longer fit with the consumer’s view of themselves. Product disposal Recycling is becoming more important as consumers’ environmental awareness increases. Lateral cycling occurs when objects are bought and sold second-hand.

22 Consumers’ disposal options Figure 9.8 Source: Adapted from Jacob Jacoby, Carol K. Berning and Thomas F. Dietvorst, ‘What about disposition?’, Journal of Marketing 41 (April 1977): 23.

23 Required reading…. Bayley, G. and Nancarrow, C. (1998) “Impulse purchasing: A qualitative investigation of the phenomenon”, Qualitative Market Research, Vol.1, No.2, pp Crawford, G. and Melwar, T.C. (2003) “The importance of impulse purchasing behaviour in the international airport environment”, Journal of Consumer Behaviour, Vol.3, No.1, pp

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