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Chapter 15

Consumer Decision Making II:


The Outcomes

Consumer Behaviour
Canadian Edition
Schiffman/Kanuk/Das

Copyright © 2006
Pearson Education Canada Inc.
Types of Purchases

Trial Repeat
Purchases Purchases

Long-Term
Commitment
Purchases

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Purchase Behaviour

 Brand choice
 Store choice
– Store-first or brand-first?
 Payment option choice

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Store-first decisions
 When evoked set consists of stores rather
than brand when he/she thinks of a product
category
 Store-first decisions require:
– Distribution in all relevant stores
– Good point-of-purchase and in-store promotions
– Good shelf space
– Co-operative advertising programs
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Outlet Factors and Purchase
 Retail store image
– Pricing strategies and store image
– Product assortment and store image
 Retail environment
– Store layout
– In-store stimuli
 In-store decisions

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In-store Decisions

 Generally planned
– Product category decided on prior to entering
the store
 Substitute purchases
– Brands substituted in store due to promotions
 Totally unplanned
– Impulse purchases

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Gifting Behaviour

 Gifting is an act of symbolic


communication, with explicit and implicit
meanings ranging from congratulations and
love, to regret, obligation, and dominance.

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Gifting Subdivisions

Inter-group Inter-category
Gifting Gifting

Intra-group Interpersonal
Gifting Gifting

Intra-personal
Gifting

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Consumption Process

 Products have special meaning and


memories
 Brand loyalty
– Defined in many ways

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Consumers Are Less Loyal - Why?

 Abundance of  Commoditization
choice  Insecurity

 Availability of  Time scarcity

information
 Entitlement

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Customer Satisfaction and
Dissatisfaction
 Dissatisfaction occurs when there is a gap
between expected and actual performance

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Types of Performance
Expectations
 Instrumental performance
– The way a product actually functions
 Symbolic performance
– Style appearance and overall aesthetics of a
product
 Affective performance
– How owning the product makes you feel

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Relationship Marketing

 Marketing aimed at creating strong, lasting


relationships with a core group of customers
by making them feel good about the
company and by giving them some kind of
personal connection with the business.

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Purchase, Post-purchase
Processes and Marketing
Strategy
 Encourage trial
 Encourage purchase and repeat purchase
 Increase brand loyalty
 Make efforts to increase customer satisfaction and
decrease dissatisfaction
 Create symbolic meanings for products
 Check if consumers make store-first or brand first
decisions; market accordingly
 Develop good relationship management strategies
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Outcomes of Post-purchase
Evaluation
 Actual Performance Matches Expectations
– Neutral Feeling
 Actual Performance Exceeds Expectations
– Positive Disconfirmation of Expectations
 Performance is Below Expectations
– Negative Disconfirmation of Expectations

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