What is it like to consume?
What are the consumers’ experiences
Do we really understand how they want to use products? To solve problems?
What does today’s consumer want?
How will we study the consumer to understand consumption?
Surveys
Cameras in home
Interviews in home
Focus groups
Laboratory
Experiments
Consumption Experiences
Sacred and Profane Consumption
Making products “sacred” - having a special significance
Rituals: repetitive and symbolic behaviors
Pilgrimage: journey to a particular site, e.g.. a return to a
favorite vacation spot
Quintessence: the product is exactly what it should be
Collecting: objects which are part of a set
Some websites of collections - why do people collect what they do?
Do they “USE” the products that they collect? How do they USE
them?
Consumption Norms and Rituals
Consumption norms: informal rules that govern our consumption behavior
Consumption rituals: a type of expressive, symbolic activity constructed of multiple behaviors that occur in a fixed, episodic sequence, and that tend to be repeated over time
Holiday rituals (gift giving, parties)
Compulsive Consumption
Are there any products you “have” to get?
Some consumers become compulsive, and are addicted to the shopping
process
Inappropriate addictions: gambling, overeating
Inappropriate misuses: anorexia, bulimia
A key to compulsive consumption is that the focus is on the interaction
between the shopper and the salesperson – the product might not ever be
used at all
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 of others
may add or subtract from our own satisfaction)
How Rewarding or Punishing Was the Experience?
Positive reinforcement: when consumer receives positive outcome from
product usage
Negative reinforcement: when consumption helps person avoid negative
outcome
Punishment: when consumption leads to negative outcome
Did It Confirm or Disconfirm Expectations?
Consumption can meet, exceed, or fall short of expectations
If consumers expect something to be easy and it isn’t, that affects
evaluation of product
What Determines Satisfaction?
Companies Influence Expectations
Advertising
Brand names (Mercedes)
Packaging (Godiva)
Price (High vs. Low)
Expectations Can Influence Post-consumption Evaluations
In ambiguous situations, post-consumption evaluations are susceptible
to initial expectations In unambiguous situations, they
are less influenced by expectations
What Happens after the Purchase?
Are consumers ever dissatisfied? Do they complain?
Does the product match consumer expectations?
What can the marketer do to keep you as a customer?
E.g.. What are your expectations if you decide to remodel your home?
E.g.. what are your expectations as a consumer of the MBA program?
What can RU do to keep you as an MBA student? as a satisfied graduate?
Customer Satisfaction is the Key to Retention
It is harder to gain a new customer than to retain an old one
Do we know enough about the consumer’s experience to make a change
when one is needed?
Will the consumer give us feedback
Would you recommend this product to a friend?
Expectations
Equitable performance: worth the cost and effort to purchase
and use
Ideal performance: what is hoped for
Expected performance: what it is likely to be
Three forms of CS/D judgment:
positive disconfirmation: better than expected
simple confirmation: performance meets expectations
negative disconfirmation: worse than expected
Complaints
Do you complain when you are dissatisfied?
What forms do complaints take:
voice - seeking redress from the seller
private - negative WOM
third-party - taking legal action
The majority never complain!!! Why not?
Build in Early Monitoring
First, do you really know what is important to your customers?
Encourage customers to give you feedback
Try to reward them
Try to make it easy for them
Have you built realistic expectations?
Divestment
What happens when the consumer is finished with the item?
What types of disposal alternatives are there?
Throw it away
Give it to a friend
Sell it
Give it to a charity
How does the consumer determine which option to select
Product Disposition as Donations
You donate items like clothing, accessories, books, toys and other
household goods to Goodwill. Your donation is tax deductible by law.
Donated items are processed for resale by Goodwill employees, many
of whom are gaining on-the-job training through our Retail Skills Training
Program.
Your donation is resold in one of Goodwill's area retail stores. A
bargain savvy shopper is now reaping the rewards of owning your quality
goods.
Revenue from the sale of your donations fund Goodwill's employment
training programs that prepare individuals with disabilities and disadvantages
for competitive employment.
The impact of recycling on product purchases
Environmentally sensitive consumers are known to purchase products
that are available in recyclable containers.
The NRC-Nike Reuse-a-Shoe Partnership
The program accepts all brands of athletic shoes, as long as they don’t
contain any metal (e.g., eyelets or cleats). Once you reach the 5,000 pair
minimum, Nike will arrange for shipping and will recycle the shoes into
Nike Grind. This unique ground-up material is then used to resurface athletic
fields, courts, tracks and playgrounds. Since the program began in 1993,
some 15 million pairs of shoes have been recycled.