Post purchase Dissonance The doubt anxiety after making a difficult purchasing decision o Results from having to give up desirable alternatives Increases when o Monetary value is high o Degree of similarity between items selected and rejected increases 2nd guessing o Importance of the decision is high Can be reduced through o Pre purchase actions avoid making the decision or use decision rules and research to make the most educated one o Post purchase actions reverse the decision to a better one change perception of the decision or look for external support for the decision to make yourself feel better Satisfaction the extent to which product service meets expectations o Leads to positive WOM o Can lead to brand loyalty and commitment Expectancy confirmation model o If low performance confirms low expectations then you get neither satisfaction or dissatisfaction o Performance expectations you get a negative affect If you get satisfaction If you also get satisfaction and maybe even delight You are able to measure through o Repeat purchase and brand loyalty o A complaint and suggestions system o Customer satisfaction surveys o Lost customer analysis literally helps companies figure out why they lost the business of a customer to improve for the future Sometimes consumers do not respond to dissatisfaction Most times however they take action o Switch brands product providers o Return the product o Voice a response to the company complain take customer survey etc o Negative WOM can go viral as has been the case with iPod United BofA etc o Third party response reach out to the BBB Most dissatisfied customers do no complain should firms encourage voicing complaints Brand loyalty a biased behavioral response toward a brand expressed over time o Resistant to marketing tactics of competitors o More receptive to line extensions and new products being introduced More willing to give them a shot o Provide positive WOM o More likely to forgive an occasional failure o Don t often care about price of products Brand loyalty develops through superior or distinctive performances through the brand reinforcing a sense of self concept and worth and consumer finding comfort and convenience with the service provider Lifestyle A pattern of consumption reflecting how one spends time and money o Affected by current circumstances past experiences and innate characteristics Self concept the thoughts and feelings in regard to oneself as an object o Having a grasp on your self concept is critical in understanding the consumption choices that you make o Differs among various cultures and priorities but in general it is split into two dimensions actual vs ideal and private vs public Attributes intelligence friendliness honesty athleticism Social roles spouse parent friend coworker athlete Values and motivations interpersonal relationships environment money Possessions brands and experiences help to define yourself and therefore what product you buy is an extension of yourself and a representation of yourself o The things we own all us to extend the image that we have of ourselves o You generally make purchases to match the grouping of attributes that you see yourself having or desire to be seen as also ties in with brand personality humanizing a brand based on its characteristics and which social group it fits into Self brand image congruency you select brands with images personalities that match your self concept to reflect who you are to people Demographic and socioeconomic variables that affect purchases include o Regional differences temperature cultural norms o Gender male or female products o Household structure basic consumption unit any occupied unit regardless of the relationship among inhabitants o Income social class what you buy reflects what class you are in and how much Middle class consumes the majority of the population followed by working Demographics show who buys the product Psychographics shows why they buy them o Must understand the motivations for product usage o Consumers are grouped in three categories of variables AIO helps to determine consumer motivations Figure out preferences w i these categories by administering surveys money you have class Activities Interests Opinions o Product specific typologies try to profile light medium and heavy users o General typologies identify 5 8 segments not specific to any one product or service VALS survey helps companies to tailor their products to appeal to consumers who are most likely to purchase them o Measures consumers motivations and available resources to group them into a type of consumer based on these preferences Geodemographics are a combination of socioeconomic and geographic data Science of profiling people based on where they live Situational Influences o Time Situational influences are factors that are particular to a time and place beyond characteristics of the consumer and stimulus things that can t necessarily be controlled Time poverty having a high disposable income due to being well employed but as a result having little free time to use this money Polychronic activity essentially saving time by multitasking Some products and services are believed appropriate for certain times and not for others Temporal construal how do people s thought processes about events differ from when they re occurring in the near or distant future Near focus is on cost and feasibility how is this going to get done Distant focus is on the benefits why should you do this o Mood Temporary feeling states not necessarily specific to an event or object Evaluations and judgments are often swayed by the mood you re in ignoring Generally make opinions based on prior experiences or education when in a rationality positive mood Mood maintenance happy mood makers are reluctant to gamble Mood enhancement o Physical environment turn a purchase occasion into an experience Enhance consumers sensory emotional and intellectual experiences Atmospherics technique to design a display to evoke certain emotions from buyers Victoria secret tries to create a sexy and feminine atmosphere Specific elements consistency with brand image Transition zone helps slow shoppers down o Entrance of a store helps transition a shopper to a buyer Aisle layout helps move shoppers around the store and navigate Window displays clues as to what s inside the store Crowding generally produces negative outcomes Sales staff can enhance or detract from the experience depending on their attitude