Chapter 4
Chapter Spotlights
Product and service consumption
Ritual, sacred, profane and compulsive
consumption
Customer satisfaction and dissatisfaction Purchase-associated cognitive dissonance Post-purchase behavior
Product and Service
Consumption
Consumption is the possession and/or use of
goods and services and the benefits they deliver
Consumption situation
Physical context: time and place of consumption Social context: the presence of others
Consumption episode: the set of items belonging to
the same event and occurring in temporal proximity
Consumption system: a bundle of goods and services
Types of Consumption
Situations
Extensive marketer control
Marketers are present during consumption
and can both watch and influence how it plays out (e.g., services).
Limited marketer control
Marketers can easily see and may be able to
influence the consumption situation of goods and services that are usually consumed close to the place of purchase (e.g., outdoor
vendors).
Ritual Consumption
Rituals are patterns of behavior tied to
events that we consider important in
our lives:
They have some special symbolic meaning
They occur in a fixed or predictable manner
They are repeated with some regularity
Ritual consumption is the consumption
Sacred and Profane
Consumption
Sacred consumption is related to special
events that are out of the ordinary (e.g., holidays, rites of passage, religious
events)
Profane consumption is related to events
that are a part of everyday life.
Sacralization occurs when objects, places,
people, and events are transformed from the profane to the sacred.
Desacralization refers to the loss of
Compulsive Consumption
It refers to a response to an
uncontrollable drive or desire to obtain, use, or experience a feeling, substance, or activity that leads the individual to repetitively engage in behavior that will ultimately cause harm to the individual and/or others.
Possible causes may include family history of
Satisfaction Versus
Dissatisfaction
The level of satisfaction or dissatisfaction we
experience depends upon how well the product’s performance meets our expectations
A finite time period of possession is necessary to
determine satisfaction
Satisfaction is not easily measured because:
It means different things to different people The level of satisfaction can change over time
Satisfaction can change when consumer needs and
preferences change
Satisfaction includes a social dimension (the experience
Expectation and
Satisfaction
Product experiences can be classified into three types based on the degree to which consumer expectations are fulfilled (confirmation) or not (expectancy disconfirmation):
Simple confirmation: the purchase performs as
expected (satisfaction)
Positive disconfirmation: when performance is better
than expected (much higher satisfaction)
Negative disconfirmation: when the purchase falls
short of expectations (dissatisfaction)
If the negative disparity is wide it may lead to the
Categories of Satisfactory
Performance
Ideal: when a purchase performs as or
better than expected
Equitable: if it is adequate to the cost
and effort the consumer made to obtain the product
Expected: although the purchase works
Relationship between
Performance and
Satisfaction
Aspects of performance related tosatisfaction:
Objective performance is product-related and
depends on whether the product meets all
functional expectations (e.g., whether a watch keeps good time, car mpg, game software
works).
Affective performance is consumer-related and
depends on whether the purchase meets the emotional (benefits) expectations of the buyer (e.g., whether listening to a Pearl Jam CD
Closing the Gap between
Expectation and
Performance
Marketers must understand consumerexpectations and the extent to which purchases satisfy them.
Marketers must match product benefits to
consumer needs:
Needs of target market and the benefits of
the product must be a good fit.
Communication must clearly describe both
the product’s benefits and the way it is to be used
Do not raise consumer expectations beyond
Purchase-Associated
Cognitive Dissonance
It occurs at “time of commitment”.
It is the feeling of uncertainty
about whether the right choice is
being made.
There is no finite time of
Factors that Affect
Cognitive Dissonance
Importance of the purchase
decision
Consumer’s tendency toward
anxiety
Finality of the purchase decision
Reducing Dissonance
What consumers do:
Try to find ways to reinforce the desirability of the
choice made
Try to make the “losing” choices look weaker
Try to lessen the importance of the choice decision
than they had originally thought
What marketers must do:
Match their products with the appropriate target
consumers
Offer clear communication, return policies,
warranties, in-store demonstrations
Post-Purchase Behavior
It’s as important as understanding what
causes consumers to buy.
It deals with actual rather than potential
customers
It has an impact on future sales.
Information learned can be used to
improve products and services,
Positive Post-purchase
Behavior
Customer loyalty: a feeling of “commitment”
on the part of the consumer to a product,
brand, marketer, or outlet that results in high levels of repeat purchase or outlet visit
Loyalty develops over time through positive
market experiences
Loyalty phases:
Cognitive (based on beliefs only)
Affective (like, based on repeated satisfying use)
Conative (behavioral intention loyalty)
Brand Loyalty
Fairly high levels of loyalty are evident
with products that are geared to personal tastes (e.g., toothpaste,
shampoo, bath soap) or when there are a few dominant brands (e.g., camera film).
Levels of loyalty are lower among
Multiple brand loyalty
Product benefits loyalty
Product form loyalty
Factors Influencing Brand
Loyalty
Number of brands available
Frequency of purchase
Perceived differences among
brands
Level of involvement
Level of perceived risk
Characteristics of Brand
Loyal Consumers
They tend to be self-confident
They feel capable of making good
brand choices
They tend to perceive quite high
levels of risk involved in product
purchase
Negative Post-Purchase
Behavior
Passive: lack of repeat purchase or
recommendations to other consumers
Active: potentially damaging to the
reputation and future sales of the product
Types of negative post-purchase behavior:
Negative word-of-mouth
Rumor
Complaint behavior (no action, private action,
Marketer Actions to
Reduce Dissatisfaction
Build realistic expectations
Demonstrate or explain product
use
Stand behind the product
Encourage customer feedback
Periodically make contact with
Product Disposition
It is the process of reselling, recycling,
trashing, repairing, trading and the like
associated with the physical product,
packaging, and its promotional
Product Disposition
Role of the consumer
Recycle, donate, repair, pass on to others, conserve
resources, consider “efficiency ratings” of products including autos, recycle with fee (battery, oil), reuse shopping containers, etc.
Role of the marketer
See CBITE 4-3 (pg. 122)
Use more (easily) recyclable materials Encourage and support recycling
