Consumer Behavior (B)
Spring 2025, Week 6
Purchase
Consumption – usage of the
acquired product
Users vs Non-Users
• Size of the market -> attractiveness
• Conversion
• When? Now or Later?
• Where?
• How?
• How much?
• How does is feel?
Consumption
Consumption. When?
• Simultaneously with purchase or later
• Encouraging consumption (Champaign case)
• Time of the day (esp. food)
• Season
Consumption. Food
Consumption. Where?
• Situation shapes behavior
• Inside or outside? (snacks, beer case)
Consumption. Where?
Consumption. How?
• Rice – ingredient, side dish
• New ways of usage
• Usage expansion advertising
Consumption. Unusual ways of usage?
Consumption. How?
• Coca-Cola as a Cleaning Agent
• Food for Skincare
• Baby Shampoo as Makeup Brush Cleaner
• Tea Bags for Eye Puffiness
Consumption. How?
• Baking Soda Household Cleaning & Deodorizing
→
• Vaseline: Industrial Lubricant Skincare & Beauty Industry
→
• Febreze: Odor Eliminator Fabric Freshener & Home Fragrance
→
• Play-Doh: Wallpaper Cleaner Toy Market
→
Consumption occasions
Consumption occasions
• Gift (to whom?)
• Solo consumption (evening escape,
office break)
• Visiting friends / relatives
• At work with colleagues
• Family teatime
• Holiday tradition
• Romantic gesture
Consumption. How much?
• How can influence how much (glass shape)
• Supply influences quantity
• Estimating future needs
• Usage volume segmentation: heavy users, moderate users, light users (16% of
users per 88% of consumption). CLV?
• Overestimation of consumption
• Ways of increasing: enhance the frequency (ads, modify product), more per
occasion (larger pack, variety); visibility and convenience
• More or less?
How Companies Use Scarcity &
Exclusivity to Boost Consumption
Consumption. How did it feel?
• Positive / negative
• Confirm / disconfirm expectations
• Expectations shape perception
Consumption. Norms and Rituals
• Norms – informal rules that govern consumption behavior
• Rituals – expressive, symbolic activity constructed of multiple behaviors that
occur in a fixed, episodic sequence that tend to be repeated over time
Consumption. Norms and Rituals
Consumption. Norms and Rituals
https://www.linkedin.com/pulse/branding-power-rituals-uzoma-ukah/
Monday Recap
Compulsive Consumption
• A response to an uncontrollable drive or
desire to obtain, use, or experience a
feeling, substance, or activity that leads an
individual to repetitively engage in a
behavior that will ultimately cause harm to
the individual and possibly others
Compulsive consumption:
Personal Responsibility vs.
Marketer Responsibility
Studying consumption: ethnography
• Ethnography involves describing and understanding
consumer behavior by interviewing and observing
consumers in real-world situations
https://www.youtube.com/watch?v=FBIdwhrnIZw
https://medium.com/@tasha.estey/the-art-science-of-ethnographic-
marketing-research-49e703234c00
• Satisfaction / dissatisfaction
Post-consumption
evaluation
Satisfaction Index
• The American Customer Satisfaction (ACSI): Quarter 4, 2024
Importance of Satisfaction
It Influences Repeat Buying
• Positive post-consumption evaluations are essential for retaining
customers (unless you have a monopoly)
• The likelihood that customers will remain loyal depends on their level
of satisfaction
• However, customer satisfaction does not guarantee loyalty
Satisfaction ≠ Loyalty?
Importance of Satisfaction
Dissatisfaction Can Lead to Complaints and
Lawsuits
Importance of Satisfaction
Satisfaction Affects Consumers’ Price Sensitivity
Importance of Satisfaction
It Ultimately Affects
Shareholder Value
Over the long term, what is the stock return for
companies with higher levels and greater improvements
in customer satisfaction, relative to competition? ACSI
researchers analyzed this using ACSI scores and stock
prices of those companies from 2006 through the first
month of 2025. The cumulative return over this time
period was 2,265% for the leading ACSI companies vs.
605% for the S&P 500.
Importance of Satisfaction
It Shapes Word-of-Mouth
• Consumers often communicate with others about their consumption
experiences
• People who are moderately satisfied don’t talk about products as much
as those who are either extremely satisfied or extremely dissatisfied
• A negative experience spreads 2x faster than a positive one
• Social media amplifies WOM by over 50% compared to in-person
conversations
• Most people trust WOM more than any advertisement.
Satisfaction -> Promotion
• Net Promoter Score (NPS) is a widely used metric that measures
customer loyalty and predicts future business growth.
• It is derived from one primary question: “How likely are you to
recommend our product or service to a friend or colleague?”
• Based on their responses, customers are grouped into three
categories:
○ Promoters (9–10): Highly satisfied and loyal; likely to recommend.
○ Passives (7–8): Moderately satisfied but unenthusiastic.
○ Detractors (0–6): Unsatisfied or unhappy; may spread negative word-of-mouth.
○ https://hbr.org/2003/12/the-one-number-you-need-to-grow
Satisfaction -> Promotion
What shapes satisfaction?
Product
performance
Consumption
feelings
Expectations
What shapes satisfaction?
Satisfaction depends on a comparison of pre-purchase expectations to
actual outcomes
• Negative disconfirmation: when product delivers less than expected -
> regret, rage
• Positive disconfirmation: when product delivers more than expected
• Confirmation: product matches expectations
Setting Expectations
Too high -
disappointment
Too low – failing to
attract customers
Shaping Expectations
• Cross-modal correspondence (two or more senses contribute to the
perception of the same object)
• Ads (visual metaphors, verbal information, product demo)
• Package (shapes, colors, design, pictures)
• Product appearance (color, shape)
• Price
Too strong Rich and full-bodied Mild aroma
Weaker blend
Shaping Expectations
• https://www.youtube.com/watch?v=_D6vrJbkTgM – Danissimo
• https://www.youtube.com/watch?v=0_bx8bnCoiU - Sony
Q&A

Consumer Motivation.- Chapters 8-consumer behavior

  • 2.
  • 3.
  • 5.
    Consumption – usageof the acquired product
  • 6.
    Users vs Non-Users •Size of the market -> attractiveness • Conversion
  • 7.
    • When? Nowor Later? • Where? • How? • How much? • How does is feel? Consumption
  • 8.
    Consumption. When? • Simultaneouslywith purchase or later • Encouraging consumption (Champaign case) • Time of the day (esp. food) • Season
  • 9.
  • 10.
    Consumption. Where? • Situationshapes behavior • Inside or outside? (snacks, beer case)
  • 11.
  • 12.
    Consumption. How? • Rice– ingredient, side dish • New ways of usage • Usage expansion advertising
  • 13.
  • 14.
    Consumption. How? • Coca-Colaas a Cleaning Agent • Food for Skincare • Baby Shampoo as Makeup Brush Cleaner • Tea Bags for Eye Puffiness
  • 15.
    Consumption. How? • BakingSoda Household Cleaning & Deodorizing → • Vaseline: Industrial Lubricant Skincare & Beauty Industry → • Febreze: Odor Eliminator Fabric Freshener & Home Fragrance → • Play-Doh: Wallpaper Cleaner Toy Market →
  • 16.
  • 17.
    Consumption occasions • Gift(to whom?) • Solo consumption (evening escape, office break) • Visiting friends / relatives • At work with colleagues • Family teatime • Holiday tradition • Romantic gesture
  • 21.
    Consumption. How much? •How can influence how much (glass shape) • Supply influences quantity • Estimating future needs • Usage volume segmentation: heavy users, moderate users, light users (16% of users per 88% of consumption). CLV? • Overestimation of consumption • Ways of increasing: enhance the frequency (ads, modify product), more per occasion (larger pack, variety); visibility and convenience • More or less?
  • 22.
    How Companies UseScarcity & Exclusivity to Boost Consumption
  • 23.
    Consumption. How didit feel? • Positive / negative • Confirm / disconfirm expectations • Expectations shape perception
  • 24.
    Consumption. Norms andRituals • Norms – informal rules that govern consumption behavior • Rituals – expressive, symbolic activity constructed of multiple behaviors that occur in a fixed, episodic sequence that tend to be repeated over time
  • 25.
  • 26.
    Consumption. Norms andRituals https://www.linkedin.com/pulse/branding-power-rituals-uzoma-ukah/
  • 27.
  • 28.
    Compulsive Consumption • Aresponse to an uncontrollable drive or desire to obtain, use, or experience a feeling, substance, or activity that leads an individual to repetitively engage in a behavior that will ultimately cause harm to the individual and possibly others
  • 29.
  • 30.
    Studying consumption: ethnography •Ethnography involves describing and understanding consumer behavior by interviewing and observing consumers in real-world situations https://www.youtube.com/watch?v=FBIdwhrnIZw https://medium.com/@tasha.estey/the-art-science-of-ethnographic- marketing-research-49e703234c00
  • 31.
    • Satisfaction /dissatisfaction Post-consumption evaluation
  • 32.
    Satisfaction Index • TheAmerican Customer Satisfaction (ACSI): Quarter 4, 2024
  • 33.
    Importance of Satisfaction ItInfluences Repeat Buying • Positive post-consumption evaluations are essential for retaining customers (unless you have a monopoly) • The likelihood that customers will remain loyal depends on their level of satisfaction • However, customer satisfaction does not guarantee loyalty
  • 34.
  • 35.
    Importance of Satisfaction DissatisfactionCan Lead to Complaints and Lawsuits
  • 36.
    Importance of Satisfaction SatisfactionAffects Consumers’ Price Sensitivity
  • 37.
    Importance of Satisfaction ItUltimately Affects Shareholder Value Over the long term, what is the stock return for companies with higher levels and greater improvements in customer satisfaction, relative to competition? ACSI researchers analyzed this using ACSI scores and stock prices of those companies from 2006 through the first month of 2025. The cumulative return over this time period was 2,265% for the leading ACSI companies vs. 605% for the S&P 500.
  • 38.
    Importance of Satisfaction ItShapes Word-of-Mouth • Consumers often communicate with others about their consumption experiences • People who are moderately satisfied don’t talk about products as much as those who are either extremely satisfied or extremely dissatisfied • A negative experience spreads 2x faster than a positive one • Social media amplifies WOM by over 50% compared to in-person conversations • Most people trust WOM more than any advertisement.
  • 39.
    Satisfaction -> Promotion •Net Promoter Score (NPS) is a widely used metric that measures customer loyalty and predicts future business growth. • It is derived from one primary question: “How likely are you to recommend our product or service to a friend or colleague?” • Based on their responses, customers are grouped into three categories: ○ Promoters (9–10): Highly satisfied and loyal; likely to recommend. ○ Passives (7–8): Moderately satisfied but unenthusiastic. ○ Detractors (0–6): Unsatisfied or unhappy; may spread negative word-of-mouth. ○ https://hbr.org/2003/12/the-one-number-you-need-to-grow
  • 40.
  • 41.
  • 42.
    What shapes satisfaction? Satisfactiondepends on a comparison of pre-purchase expectations to actual outcomes • Negative disconfirmation: when product delivers less than expected - > regret, rage • Positive disconfirmation: when product delivers more than expected • Confirmation: product matches expectations
  • 43.
    Setting Expectations Too high- disappointment Too low – failing to attract customers
  • 46.
    Shaping Expectations • Cross-modalcorrespondence (two or more senses contribute to the perception of the same object) • Ads (visual metaphors, verbal information, product demo) • Package (shapes, colors, design, pictures) • Product appearance (color, shape) • Price
  • 50.
    Too strong Richand full-bodied Mild aroma Weaker blend
  • 52.
    Shaping Expectations • https://www.youtube.com/watch?v=_D6vrJbkTgM– Danissimo • https://www.youtube.com/watch?v=0_bx8bnCoiU - Sony
  • 53.