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Chapter 10: Post-Decision Processes
1
CHAPTER 10
Post-Decision Processes
CHAPTER SUMMARY
This chapter examines some of the major processes that occur after a decision has
been made. Consumers sometimes develop post-decision dissonance—a feeling of
anxiety or uncertainty regarding a decision. Consumers are motivated to reduce
dissonance by collecting additional information that is used to upgrade the chosen
alternative and downgrade rejected ones. Post-decision regret is formed when the
consumer feels that the wrong purchase decision was made.
Consumers can learn from experience through a process of hypothesis testing in
which they attempt to either confirm or disconfirm expectations by actually engaging in
acquisition, consumption, or disposition. This learning process is influenced by:
motivation, prior knowledge/ability, ambiguity of the information, and opportunity. It is
also impacted by two types of biases-- the confirmation bias and overconfidence.
Marketers can use several strategies to influence the learning process, depending on
whether the offering is a top dog or an underdog.
Satisfaction is both a subjective feeling and a positive evaluation that a decision has
fulfilled a need or goal. Dissatisfaction occurs when there are negative feelings and an
evaluation that goals or needs have not been fulfilled. It is important for marketers to
keep consumers satisfied because losing customers can be very costly in the long
run.
Three major theories of satisfaction/dissatisfaction are (1) the disconfirmation
paradigm, which states that satisfaction occurs when performance disconfirms
expectations in a positive way and that dissatisfaction results from negative
disconfirmations; (2) attribution theory, which states that dissatisfaction results when
the cause of a problem is determined to be permanent, marketer-related, and under
volition; and (3) equity theory, which states that satisfaction results when the buyer
perceives fairness in the exchange. Three major ways that consumers can respond to
dissatisfaction are (1) complaining (2) responding to service recovery efforts, and (e)
engaging in negative word of mouth (WOM).
Customer satisfaction may not be enough to prevent defections to competitors’
brands. Customer-retention strategies attempt to build customer loyalty.
Finally, consumers can dispose of products in a variety of ways. This process has
important implications for marketing strategy and an understanding of consumer
behavior. Recycling, which is one form of disposition, is dependent on consumers’
motivation, ability, and opportunity to act.
CHAPTER LEARNING OBJECTIVES
At the end of this chapter, students will be able to:
Chapter 10: Post-Decision Processes
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a) When knowledge or ability is high, consumers are likely to have
well-defined beliefs and expectations and therefore will be unlikely
to generate new hypotheses.
3. Ambiguity of the Information Environment or Lack of Opportunity
a) Experience does not provide information that confirms or
disconfirms the hypothesis.
4. Processing Biases
a) Inhibit learning by making consumers avoid both negative and
highly diagnostic information
b) Types of processing biases
(1). Confirmation bias
(2). Overconfidence bias
5. Marketing Implications
a) Ambiguous information and processing biases often inhibit
consumer learning about products and services, which have
important strategic marketing implications.
b) Top-dog strategies occur when a product or service is the market
leader or has a strong share.
(1). Consumers will tend simply to confirm beliefs and
expectations, so consumers are less likely to learn new
information that will lead to brand switching.
c) Underdog strategies occur when lower-share brands have
everything to gain by encouraging consumer learning because new
information may lead to switching.
(1). Underdogs need to facilitate comparisons with the market
leader.
(2). Facilitating product trials is crucial.
III. How Do Consumers Make Satisfaction or Dissatisfaction Judgments?
A. Consumers evaluate the outcomes of their decisions.
1. If they feel their needs or goals have been met, they are satisfied.
2. If they have a negative evaluation, they will be dissatisfied.
3. Consumers can evaluate in terms of:
a) Utilitarian dimensions (how well the product/service functions)
b) Hedonic dimensions (how it makes one feel)
4. Levels of satisfaction can vary by involvement and over time.
5. Marketing Implications
a) Satisfied customers form the foundation of a successful business
because satisfaction leads to repeat purchase, brand loyalty, and
positive WOM.
B. Satisfaction/Dissatisfaction Based on Thoughts
1. Expectations and Performance: The Disconfirmation Paradigm
a) Disconfirmation occurs when there is a discrepancy between prior
expectations and actual performance. Disconfirmation may be
positive or negative.
b) Expectations are desired product/service outcomes.
c) Satisfaction Based on Expectations
Chapter 10: Post-Decision Processes
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a) Consumers experience positive and negative post-decision
feelings, independent of disconfirmation.
b) If consumers feel good using a product, they are more likely to be
satisfied.
c) Consumers who are dissatisfied with a purchase, consumption or
disposition decision may need to cope with feelings of stress that
dissatisfaction involves.
2. Mispredictions about Emotions
a) The difference between consumers’ affective forecasting and the
actual consumption experience can lead to dissatisfaction.
3. Marketing Implications
a) Marketers should use promotions to create positive feelings about
their brands.
b) Marketers can help consumers cope with stress by providing a
feedback mechanism and by making expert advice available.
IV. Responses to Dissatisfaction
A. Complaints
1. Indicate marketing-related problems that need attention
2. When complaints are likely to occur
a) When motivation, ability, and opportunity are high
b) When the level of dissatisfaction, severity of problem, or perception
of unfairness of the exchange increases
3. Complainer types
a) Passives are least likely to complain.
b) Voicers complain directly to retailer or service provider.
c) Irates spread negative WOM, stop patronage, and complain to the
provider.
d) Activists engage in all types of complaining, including to a third
party such as the media or government.
4. Marketing Implications
a) A large percentage of consumers do not complain, but it is in the
marketer’s best interest to be responsive when they do.
b) Sometimes complaining should be encouraged because problems
can be corrected and valued customers retained.
B. Responding to Service Recovery
1. If customers are dissatisfied, marketers need to find ways of making up
for this dissatisfaction to win back customers’ business.
2. Marketing Implications
(1) Consumers prefer service recovery efforts that correspond to
the type of failure experienced.
C. Responding to Negative Word of Mouth
1. Negative WOM is more likely to occur when the problem is severe,
consumers are unhappy with the company’s responsiveness, and
consumers perceive the company is at fault.
2. Negative WOM tends to be highly persuasive and very vivid, and
consumers place great emphasis on it when making decisions.
Chapter 10: Post-Decision Processes
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a product or service is permanent, marketer related, and under the marketer’s
5. What is the role of post-decision emotions in influencing satisfaction and
dissatisfaction?
Post-decision feelings are a part of the acquisition, usage, and disposal process.
6. Why is complaining important to marketers and how should complaints be
handled?
Marketers should make sure that customers’ feelings about buying and using
7. What influence can experienced emotions and mispredictions about emotions
have on consumer satisfaction or dissatisfaction?
The emotions consumers experience when using a product can definitely affect
8. What is customer retention and what are its marketing implications?
Customer retention is keeping (rather than acquiring a new customer). It entails keeping
Chapter 10: Post-Decision Processes
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the questionnaire to at least ten consumers. Summarize the responses, and answer the
following questions: (a) For each product category, which are the most frequently used
methods of disposition? (b) Which product categories are most alike in terms of
disposition patterns? Why? (c) Which product categories are most dissimilar in terms of
disposition patterns? Why?
6. Make an inventory of at least 30 of your possessions. For each, indicate when and how
you plan to dispose of it. Also, provide detailed reasons for this behavior. Then
summarize this information, and answer the following: (a) Which possessions will be the
easiest to dispose of, and why? (b) Which possessions will be the hardest to dispose of,
and why? (c) What are your most frequent disposition options, and why?
ADDITIONAL DISCUSSION QUESTIONS WITH SAMPLE ANSWERS
These discussion questions can be used as in-class activities or as thought questions that the
students consider while reading the chapter or to test their understanding of the material after
the reading and lecture are complete.
1. Define and discuss the four primary post-decision processes.
The first process a consumer may experience is post-decision dissonance: the anxiety a
consumer may feel after a purchase. Dissonance is greater when the purchase is more
2. What steps can a consumer take in response to dissatisfaction? What is likely to be the
outcome of each choice?
A consumer can choose to act or not. The majority of consumers (estimates are upwards
to 95 percent) do not complain. (a) Some will not act at all. (b) Others will not say
Chapter 10: Post-Decision Processes
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ADDITIONAL QUESTIONS
1. Is it possible to dissatisfy someone before they make a purchase? How? How can this
situation be avoided?
2. Explain what makes service situations (such as airlines, hotels, doctors, and restaurants)
different from tangible products with respect to how they might generate dissatisfaction.
Describe how dissatisfaction can be avoided or addressed in service situations (mention
ways that are different from when you are working with a physical good).
3. Consider each of the three ways consumers make dissatisfaction judgments. How could
each type of dissatisfaction emerge with respect to (1) a long-distance phone company,
(2) a computer hardware maker, or (3) a university?
4. Knowing that consumers might respond to dissatisfaction in predictable ways, how can
an organization prepare to address such responses?
5. Describe how the following “underdogs” would manage consumer learning: (a) Pepsi-
Cola, (b) Ford automobiles, and (c) Dell computers. Develop a similar explanation for
each of the following “top dogs”: (a) Crest toothpaste, (b) Budweiser beer, and (c)
Compaq computers.
6. Develop a diagram showing how satisfaction and dissatisfaction occur through the
disconfirmation paradigm by providing examples from your own experience.
7. Explain why marketers should or should not be concerned about negative word of mouth.
Provide a plan for dealing with negative word of mouth for an offering of your choosing.
8. Describe three situations in which marketers should be concerned about disposition.
Explain what can be done to address these concerns.
9. Discuss the factors that are making disposition an increasingly important issue for
marketers. Predict how these factors are likely to change in the future. Offer suggestions
for dealing appropriately with this situation.
EXPERIENTIAL EXERCISES AND CLASSROOM EXAMPLES
Students who learn more readily through visual and tactile stimuli will benefit from the
introduction of physical examples into the classroom.
1. “Spread the Word” Exercise
Have students visit the following consumer opinion and complaint Web sites to familiarize
This experiential exercise was contributed by Professor Sheri Bridges of Wake Forest University.
Chapter 10: Post-Decision Processes
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the class. Discuss the implications to consumers and companies of these and other Web
sites.
www.epinions.com
www.untied.com
www.allstateinsurancesucks.com
2. “From Trash to Treasures” Exercise
Tell students to visit the Web’s largest auction site, www.eBay.com, and find five
“recycled” items of interest to them (e.g., a 1998 Dallas Cowboys/Oakland Raiders ticket
3. Service Complaint/Compliment Letter
Ask students to consider their recent product/service purchase experiences. Have them
select one of these experiences that was very memorable––in other words, choose an
encounter with a product or service that definitely did not meet their expectations or
CLASSROOM GROUP ACTIVITY: SEPARATING SATISFACTION
FROM DISSATISFACTION: 15 MINUTES
I. Start Up
A. Purpose of the activity
1. This activity will give students an opportunity to apply the concepts of
satisfaction and dissatisfaction in a brief classroom exercise.
B. What the instructor will do
1. The instructor will divide people into small groups, assign them a product for
consideration, and be available to coach and help the groups as needed.
C. What the participants will do
1. The participants will work in small groups to brainstorm ideas for applying
concepts from the chapter to specific brands. After a period of small-group
discussion, they will make reports to the larger group.
D. Rules for this experience
1. Groups are to work separately from each other. Individuals should rely on their
knowledge from the book and may refer to their notes and the book as
necessary.
This experiential exercise was contributed by Professor Sheri Bridges of Wake Forest University.
Chapter 10: Post-Decision Processes
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II. Experience
A. Group up.
1. Have students form groups of no more than five. This exercise will work in
groups of any size; however, room restrictions that do not allow for moving
furniture may make group work more difficult.
B. Assign brands.
1. Each group should be assigned a single brand on which to focus.
a) Consider using local brands, including both products and services.
b) Consider using brands that are not the leaders in their categories (i.e., not
Coca-Cola or McDonald’s).
c) Consider bringing samples of the brands to the class for students to study
and review in their groups (e.g., a box of crackers, a candy bar, a cola
can).
C. Specific actions for groups
1. The groups are responsible for analyzing how the offering might lead to
dissatisfaction on the part of consumers. Then they are to discuss how the
organization could alleviate the likelihood of this occurring and be prepared in
case it does occur.
a) What might lead consumers to experience dissatisfaction with this
product?
b) How can the organization plan so that these sources of dissatisfaction
can be eliminated?
c) What would you propose be done to address consumer dissatisfaction
when it occurs for this brand?
2. Large-group discussions
a) First, have groups present their ideas about the first question, and then
proceed to discuss each of the subsequent questions.
b) If there are many groups, share the discussion among all groups, though
not all groups may answer all of the questions.
III. Debrief and Unveil Concepts
A. Discuss the activity itself.
1. The purpose of this discussion is to allow students to express what they felt
about the experience itself.
2. Ask students to describe their experiences of doing the activity.
a) Likes and dislikes about what just happened
b) How they felt during the experience
c) What is realistic, unrealistic about the exercise?
d) What will be different when they do this for their own brand?
B. Discuss the content of the experience.
1. The purpose of this discussion is to ensure that students “take away” important
learning points.
2. Ask students to describe the important points the experience teaches.
a) The role of dissatisfaction in the consumer experience
b) The organization’s responsibility to prevent dissatisfaction and address it
when it arises
3. Use the chalkboard to record student responses.
a) Write down their ideas as they are presented.
b) Concentrate on the principles being discussed rather than the examples
being used.
c) Help them to see the interrelationships among their responses.
IV. Execute
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A. Apply what has been learned.
1. Lead a discussion on how the concepts can be applied in organizations.
a) What barriers may be faced in applying the concepts from the exercise?
b) What can be done to help others understand the concepts when you use
them at work?
B. Transfer and use the knowledge.
1. Encourage students to make a record in their notes about how they will use the
ideas in the workplace.
2. Even if they do not have a specific job, how will they remember to use what
they have learned?
