Consumer Relationships: Behavioral Outcomes, Complaining, Loyalty, and Switching Costs - P, Study notes of Consumer Behaviour

This chapter from the marketing textbook 'babin/harris: marketing', focuses on consumer relationships. It covers the behavioral outcomes of consumption, why consumers complain and the impact on marketing firms, the concept of switching costs, the components of true consumer loyalty, and the role of value in shaping loyalty. The text also discusses handling service complaints effectively and the importance of positive and negative word-of-mouth.

Typology: Study notes

2010/2011

Uploaded on 11/30/2011

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Chapter 15
Consumer Relationships
Chapter 15
Consumer Relationships
BABIN / HARRIS
BABIN / HARRIS
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Chapter 15

Consumer Relationships

Chapter 15

Consumer Relationships

BABIN / HARRISBABIN / HARRIS

15- 2

Learning Outcomes

List and define the behavioral outcomes of consumption. Understand why consumers complain and know the ramifications of complaining behavior for a marketing firm. Use the concept of switching costs to understand why consumers do or do not repeat purchase behavior. Describe each component of true consumer loyalty. Understand the role that value plays in shaping loyalty and building consumer relationships.

LO^1

LO^2

LO^3

LO^4

LO^5

15- 4

LO^1 Exhibit 15.1: A More Detailed Look at Postconsumption Reactions

LO^2

Understand why consumers complain and know the behavior for a marketing firm.^ ramifications of complaining

Understand why consumers complain and know the behavior for a marketing firm.^ ramifications of complaining

15- 7

Exhibit 15.2: The Complainer versus the Noncomplainer and Negative

LO Word-of-Mouth

2

15- 8

Handling Service Complaints

Effectively

  • • (^) Thank the guest for providing the information.Ask questions to clarify the issue.
  • • (^) Apologize sincerely.Show empathy for the customer’s situation.
  • (^) Explain the corrective action that will take place.
  • (^) Follow up with the customer after the corrective action.

LO^2

LO^3

Use the concept of switching costs to understand why consumers do or do not repeat purchase behavior.

Use the concept of switching costs to understand why consumers do or do not repeat purchase behavior.

© 2009 South-Western, a division of Cengage Learning. 15- 11

Switching Behavior

Refers to the times when a

consumer chooses a

competing choice, rather

than the previously

purchased choice, on the

next purchase occasion.

Refers to the times when a

consumer chooses a

competing choice, rather

than the previously

purchased choice, on the

next purchase occasion.

LO^3

15- 13

Relational Switching Costs

A loyal Dunkin’ Donuts customer who changes to Krispy Kreme faces a switching cost of unfamiliarity with the doughnut selection.

15- 14

LO^3 Exhibit 15.3: Factors Contributing to Switching Costs

15- 16

Breaking Up Is Hard to Do!

Businesses often try to build in switching costs to their products as a way of making it more difficult for competitors to compete successfully for business.

15- 17

Customer Commitment

A strong feeling of

attachment, dedication, and

sense of identification with a

brand.

A strong feeling of

attachment, dedication, and

sense of identification with a

brand.

LO^4

15- 19

LO^4 Exhibit 15.8 Value Types and Loyalty

LO^5

Understand the role that value plays in shaping loyalty and building consumer relationships.

Understand the role that value plays in shaping loyalty and building consumer relationships.