2 Learning Objectives~ Ch. 10 To understand:Post-decision dissonance & regretConsumer learning from experienceWays consumers judge satisfaction & dissatisfaction with decisionVarious strategies & levels of complexity for disposal of something
4 Post-Decision Dissonance & Regret Loss of confidence in decision ofAcquisitionConsumptionDispositionDissonance—Anxiety when MAO high & more than one alternative is attractiveRegretUnfavorable comparisonConsumer anticipation
11 Satisfaction/Dissatisfaction Based on Thoughts DisconfirmationExpectationsPerformanceObjectiveSubjectiveSimple confirmation & satisfactionNegative disconfirmation & dissatisfaction
12 Attribution Theory Causality/blame/explanations Factors Stability FocusControllabilityValue-Added
13 Equity Theory Inputs Versus Outputs Consumer Seller Fairness in Exchange
14 Satisfaction/Dissatisfaction Based on Feelings Post-decision feelingsCopingMisprediction about emotionsAffective forecasting (misforcasting)
15 Responses to Dissatisfaction Take no actionDiscontinue purchasingComplain or return itemNegative WOMNegative e-WOMWhat was the last negative e-WOM you left for a business and what motivated that?
16 Complainers Tendencies Younger Higher Income Less Brand Loyal Cultural DifferencesTypesPassivesVoicersIratesActivists
17 Satisfaction & Consumer Relationships 65% to 85% of customers who defect to competitors say they were “satisfied” or “very satisfied”Customer retention is key—Develop long-term relationshipsFor instance USAA is a leader in customer satisfaction, and in turn, retention
18 How to Retain Customers Care about your customers—2/3 of customers defect because they feel company does not care about themHave empathyRemember customers between sales—send promo on birthdays, etc.Build trusting relationships—expertise, reliability, concernMonitor service delivery processBe there when needed—Service & repairProvide extra effort—Beyond call of dutyWhat is something special a company did for you lately?
19 Options for Post-Acquisition Disposition Give AwayTradeRecycleSellUse UpThrow AwayAbandonDestroy“…action taken toward possessions.” Temporary or InvoluntaryTemporary or Permanent
20 Disposing of Meaningful Objects Think of something meaningful that you disposed of (sold, gave away, recycled, etc.)Physical DetachmentEmotional Detachment
21 Recycling BehaviorIt is interesting to wonder why some consumers recycle, and others do notThis is a context where attitudes & behaviors may misalignRecycling behaviors depend on:MotivationAbilityOpportunity
23 Sidi offers a money-back guarantee if the consumer is not satisfied with the bicycling shoes. A warranty or money-back guarantee can reduce consumers’ feelings of dissonance after a purchase.Sara Ecclesine, Veltec Sports, Inc.