6 - Post Decision Pt I Flashcards
(29 cards)
Satisfaction
Attitude based on experience
2 models that drive satisfaction
Disconfirmation model
Attribution model
What does dissatisfaction result in for firms?
Complaint management
Disconfirmation model
Satisfaction as a result of consumer’s expectations vs actual experience. Often done through hook and surprise
Hook
Setting expectations for consumers and meeting the expectations
Surprise
Firms can exceed consumer expectations that are either low or absent on certain attributes
Surprise on airplane example
Unexpected upgrade, extra legroom, welcome drink, leather seats, food variety
Reasons to buy and for satisfaction
Hook = reason to buy + reason for satisfaction
Surprise = reason for high satisfaction
Why do surprises cause high satisfaction?
Positive disconfirmation is needed to exceed expectations and induce high satisfaction
Surprises can become stale due to multiple factors
More knowledge = higher expectations
Taking another firms POD = new POP
5 ways to use surprises
Stream of surprises
Creative surprises
Small surprises are good
Cheaper surprises are better for the firm
Easier to program surprises in digital products
Surprise examples
Video game - random rewards
Hotels - free food or amenities included
Road trip planners that surprise you with destinations
What are high satisfaction benefits for the firm? (short and long term)
Short term = repeat purchase
Long term = positive reviews, confirmation bias
High satisfaction leads to real loyalty
3 possible reasons/attributions consumers think when reacting to negative surprises (FSC)
Focus (who is responsible? Airline? weather?)
Stability (what is the frequency of this negative surprise?)
Control (What is being done? Has it fixed? Ignored?)
Dissatisfaction and word-of-mouth effect
Good experiences lead to avg 9 WOM shares
Negative experiences lead to avg 16 WOM shares
Now that customer-centricity is heavy, online reviews can reach millions
Complaints used by firms as opportunities
Firms can exceed the expectations for solutions to negative experiences, leading to high satisfaction + positive WOM
eg: ASRV full refund on pants
Negative publicity can help build brand awareness
If a firm can respond in satisfactory ways to negative publicity, they can reach a better position than they were in before
eg: Elon Musk responding to tesla criticism on twitter
Ignoring negative publicity can be harmful
Firms choosing to not speak out on negative publicity may see high dissatisfaction
eg: Pepsi not speaking on Ronaldo moving pepsi bottles
Progression of economic value
Commodities
Products (goods)
Services
Experience
Experience/services
The supplementary services around a core product/service that deliver an overall experience
eg: Starbucks reserve roastery is a coffee experience
Experience examples
Concerts
Escape room
Go-karting
Casino
How can firms design experiences to maximize customer delight?
Theme them
Restaurants = rainforest cafe, hard rock cafe
Stores = hersheys world, starbucks reserve
Festivals = music festival, food festival
2 dimensions that create 4 realms of experience
X = customer participation (passive/viewer - active/participant)
Y = customer connection (immersion/inside/ - absorption/outside)
Last Minute Immersion Phi Center experience realms
Active and immersive
