Customer Experience

Question 1

What is the marketing concept?

Answer 1

Fulfilling the needs of customers in the market and making them as satisfied as possible

Question 2

According to Oliver, Zeithaml et al., when are customers satisfied?

Answer 2

When the expected performance of a product = perceived performance

Question 3

What are the 3 forms of confirmation when regarding customer satisfaction?

Answer 3

1) Negative disconfirmation -> when reality falls short of expectation
2) Confirmation -> when reality matches expectations
3) Positive disconfirmation -> when reality exceeds expectations

Question 4

What are expectations of a product formed based on?

Answer 4

Personal needs, communication expectations and previous experiences

Question 5

How can firms manage consumer satisfactions?

Answer 5

1) Reduce expectations

2) Increase perceived performance

Question 6

How can firms reduce expectations and what is the danger of doing that?

Answer 6

They can reduce the performance demands on the product -> set them at a level that you are happy with when you promote the product

The danger is that if you reduce the performance too low, then you will reduce interest in your product

Question 7

How can firms increase the perceived performance of their product?

Answer 7

Increase performance
Reduce price
Increase store experiences
Promote your performance that way

Question 8

How can expectations differ across a market and why does that happen?

Answer 8

Different market segments will have different expectations, so expectations across a market will differ

Question 9

What can firms do to deal with the differing expectations?

Answer 9

Make different promises to different groups in accordance with their specific expectations

Question 10

What does the Kano Model state that different people have?

Answer 10

Different attitudes, which will affect their levels of satisfaction

Question 11

What 3 attributes does the Kano model highlight in a product?

Answer 11

1) Basic needs -> high performance leads to normal satisfaction, low performance leads to high dissatisfaction
2) Performance attributes -> if they are present and to a high standard then satisfaction will be good, if they are not present then satisfaction will be low
3) Delight attributes -> these are not expected, so if not present will not affect satisfaction, but if they are present and at a good quality they will significantly increase consumer satisfaction

Question 12

How does the Kano model help businesses?

Answer 12

It highlights what attributes to focus on e.g. meet basic needs to a high quality first, then reach a certain level of performance before focusing on delight attributes

Focus on the attributes that where adding performance will see satisfaction increase a lot, rather than increasing performance on attributes that will see satisfaction increases decrease over time (diminishing returns)

Question 13

For Kano model diagram?

Answer 13

Check notes

Question 14

What do customer journey maps show businesses?

Answer 14

Show the story of a customer’s experience from initial touchpoint through to the long-term relationship

The maps can also be used to focus on a specific part of the journey

Question 15

What can customer journey maps help businesses to identify?

Answer 15

The consumer’s greater motivation

Question 16

Why do we want to achieve consumer satisfaction?

Answer 16

Customer satisfaction -> customer loyalty -> financial success

Question 17

What does customer loyalty lead to?

Answer 17

Repeat purchases and also in some cases cross-purchasing (when they buy goods in different areas of the the store)

Question 18

What is ultimate loyalty?

Answer 18

When a consumer recommends your brand/company to others

Question 19

What do trends show that customer loyalty leads to?

Answer 19

Leads to more future performance as loyal customers buy more and require less advertisement -> they can also recommend you to others and are often willing to pay higher prices for the products

Question 20

What is the Net Promoter Score?

Answer 20

It is a measure of customer loyalty, where consumers attribute a number from 1-10 on how likely they are to recommend your products to others

Question 21

What do certain scores say about the consumers and how it the end score calculated?

Answer 21

Those who put 9-10 are promoters of your company, whereas those who put 0-6 subtract from your loyalty

The end score is worked out by subtracting the percentage of people who scored 0-6 from the percentage who scored 9-10 -> scores range from -100 to 100

Question 22

What is the problem with the Net Promoter Score?

Answer 22

People who may be loyal may still put a low score because they simply don’t talk about your product or recommend it to others -> this could be because the consumption of that product is a sensitive matter

Means that your score may suggest loyalty is lower than it is