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Muhammad Ali Jinnah University, Karachi

Post Purchase Evaluation of Shampoo

Consumer Behavior
Section A

Dated: 19th November 2008

Submitted to:
Mr. Farhan Bukhari

Submitted by:

Muhammad Nabeel Siddiqui


SP07-bb-0070
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Acknowledgement

Perfection was the watchword we had in our mind when we started working on this
project. However, people generally agree that man can only strive to approach excellence
but never actually achieve it. Exquisite perfection is rather a trait of God, and by his
grace, we have tried very hard to make this report an excellent one.

We would like to thank Mr. Farhan Bukhari for his assistance, guidance & instructions;
he gave to us in the friendliest manner through out this report, which could not have been
successful without his dedicated attention & guidance.

We tried out our best to collect appropriate information for the completion of this report.
We are grateful to our teacher for providing us such a practical oriented chance to explore
new dimensions and enable us to understand the latest world business situations.

Once again, we are thankful to all the people who have been involved in the completion
of this report directly or indirectly. This report is a combined effort of all the members of
our group, namely

Acknowledgement -2-
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Table of Contents

ACKNOWLEDGEMENT .................................................................................................. 2
EXECUTIVE SUMMARY ................................................................................................ 4
INTRODUCTION .............................................................................................................. 5
POSTPURCHASE BEHAVIOUR ................................................................................... 10
POSTPURCHASE EVALUATION ................................................................................. 12
DECISION CONFIRMATION.............................................................................................. 14
EXPERIENCE EVALUATION ............................................................................................. 14
CONSUMER SATISFACTION/DISSATISFACTION ................................................... 15
POSSIBLE OUTCOMES ................................................................................................. 17
CONCLUSION ................................................................................................................. 18
SURVEY ANALYSIS ...................................................................................................... 19
SURVEY ANALYSIS CONCLUSION ........................................................................... 24
QUESTIONNAIRE ON POST PURCHASE EVALUATION OF SHAMPOOS ........... 25

Table of Contents -3-


Muhammad Ali Jinnah University, Karachi Consumer Behavior

EXECUTIVE SUMMARY
As consumers use products, particularly during a trail purchase, they evaluate its
performance in light of their own expectations. There are three possible outcomes of
these evaluations that are actual performance matches expectations, leading to a neutral
felling. Secondly performance exceeds expectations causing what is known as positive
disconfirmation of expectations which leads towards satisfaction. Third one is
performance is below expectations causing negative disconfirmation of expectations and
satisfaction are closely linked that is consumer tend to judge their experience against their
expectations when performing a post purchase evaluation.

An important component of post purchase evaluation is the reduction of any uncertainty


or doubt that the consumer might have had about the selection. As part of their purchase
analysis, consumer try to reassure themselves that their choice was a wise one and they
attempt to reduce post purchase cognition dissonance. They do this by adopting one of
the following strategies. They may rationalize the decision as being wise they may seek
advertisements that support their choice and avoid those of competitive brands. The
degree of post purchase analysis that consumers undertake depends on the importance of
the product decision and the experience required in using the product. When product will
live up to expectation it usually will be repurchased by the customer.

The objective of this study is to determine the extent of post purchase behavior amongst
students. In order to accomplish the objectives of the study, we made a self-administered
questionnaire to cater our objective.

We decided to take up shampoo as a product category as the gathering of data on such a


topic wouldnt only be easy for us but also would be accurate enough for we are
accompanied by our colleagues amongst whom such a product category is quite famous
and substantially importance.

A shampoo, whenever applied, leaves an imprint upon the attitude of the consumer and
freshens him/her to be prepared for what is in store for the being during the day.

The questionnaire developed is to enhance the knowledge pertaining to the importance of


a shampoo in a youngsters life. We believe that our efforts wont end up all in vain.

Abstract -4-
Muhammad Ali Jinnah University, Karachi Consumer Behavior

INTRODUCTION

Once customers or prospects are motivated to satisfy their needs and wants, the purchase
process begins. Based on certain standards they have established in their own minds, they
evaluate various alternative products or services. If none of the alternatives meets their
evaluation criteria, they may experience cognitive dissonance in the form of post
purchase doubt and concern or anxiety about the wisdom of the purchase. This is known
as post purchase dissonance/cognitive dissonance. It is most likely to occur among
individuals with a tendency to experience anxiety, after an irrevocable purchase, when
the purchase was important to the consumer, and when it involved a difficult choice
between two or more alternatives. An important role of marketers is to help people cope
with dissonance by reinforcing the wisdom of their purchase decision.

Today, customer are more pertinent than ever because customers are far less loyal to
brands and sellers than in the past, because buyers are more inclined to look for the best
deal, especially in the case of poor after-the-sale follow-up. More and more buyers favor
building a relationship with sellers.

Introduction -5-
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Buying Behavior

Consumer decision making would vary with the type of buying decision. You would
agree that decision to buy toothpaste, a tennis racket; personal computer and a car are all
different.

There are 4 types of buying behavior based on the degree of buyer involvement and the
degree of difference between buyers: -

High Involvement Low Involvement

Significance Difference Complex Variety seeking


Between the Brands Buying
buying
Behavior behavior
Few Difference Dissonance Habitual
Between the Brands
reducing buying
Buying Behavior
behavior

Complex buying behavior: - This type of buying behavior is involved when the
product is expensive, bought infrequently. E.g.: Automobile
The consumer will spend lot of time in discussing and planning about the purchase of
such a product.

Dissonance reducing buying behavior: - This type of buying behavior is involved


when purchase is expensive, infrequent and risky but there is not much difference
between the various brands. E.g.: you are planning to buy a DDA flat in a particular
locality. You would agree that all the flats are similar in size and construction. Once
you decide to buy a particular flat you will be more concerned that you should not
have any problem after buying it. Let us assume you wanted to buy a flat and you
have not noticed a dustbin close to it. Now when you come to know about dustbin
you would not have buys that flat.

Post Purchase Behavior -6-


Muhammad Ali Jinnah University, Karachi Consumer Behavior

Habitual buying behavior: - This type of buying behavior is for the product, which
have low involvement and the absence of significant difference between the brands.
These products are frequently purchased. E.g.: When you want to buy product like
salt you dont even think when you go to store whatever brand is available you would
have pick it up.

Variety seeking buying behavior: - This type of buying behavior is involved when
low involvement is there but there are significant differences between the brand.
E.g.: Think about cookies, you may want to change the cookies that you had last time
not because they were bad but you want to change the taste.

FIVE STAGE MODEL OF CONSUMER BUYING PROCESS

NEED IDENTIFICATION: the buying process starts when the buyer recognizes a
problem or need, this need could be because of internal or external stimulation.

INTERNAL STIMULATION: say when we are hungry we may want to eat something.

EXTERNAL STIMULATION: say when we are passing through a bakery shop you
smell the freshly baked biscuits based on this you may want to buy, to consume biscuits.

INFORMATION SEARCH: Once the need has been identified the consumer would
look for more information about the product. This information he may get from personal
sources {family friends, neighbors, etc.} or commercial sources {advertising, sales
person, dealers, displays}

EVALUATON OF ALTERNATIVES: Now that consumer has got information of the


product and the companies that are selling their product. He would to evaluate the various
alternatives that he has, various products will have different attributes on which they
would be evaluated. For e.g.: cameras, picture sharpness, camera speed, camera size and
price

PURCHASE DECISION: As the consumer has evaluated various alternatives, he would


then purchase the product. This is the final act that the consumer performs after
evaluating all the alternatives.

POST PURCHASE BEHAVIOUR: Once the consumers have purchased the product,
he would either satisfied or dissatisfied. If the consumer is satisfied, he will tell his
friends about the same and as such a better word of mouth is spread of the product. But
in case the consumer is dissatisfied he will tell to all his friends and associates about the
dissatisfaction that he had after using or consuming the given product.

Post Purchase Behavior -7-


Muhammad Ali Jinnah University, Karachi Consumer Behavior

Post Purchase Behavior -8-


Muhammad Ali Jinnah University, Karachi Consumer Behavior

Post Purchase Behavior -9-


Muhammad Ali Jinnah University, Karachi Consumer Behavior

POSTPURCHASE BEHAVIOUR

After purchasing the product, the buyer will experience some level of satisfaction or
dissatisfaction. Marketers must monitor post purchase satisfaction, post purchase actions
and cognitive dissonance. The buyers satisfaction or dissatisfaction will influence future
behavior. A satisfied buyer will purchase the product again and recommend it to others.
Dissatisfied buyers will respond differently. They may stop using the product, return it, or
take some form of public action.

When people recognize inconsistency between their values or opinions and their
behavior, they tend to feel an inner tension or anxiety called cognitive dissonance (post
purchase doubt). For example, suppose a consumer spends half his monthly salary on a
new high-tech stereo system. If he stops to think how much he has spent, he will probably
feel dissonance. After important decisions, they may feel a little insecure about whether
the sacrifice is worth it. Such feelings are called buyers remorse or post purchase
dissonance.

The probability of a consumer experiencing post purchase dissonance, as well as the


magnitude of such dissonance, is a function of the following.

ion. The easier it is to alter the


decision, the less likely the consumer is to experience dissonance.

The importance of the decision to the consumer. The more important the decision, the
more likely dissonance will result.

among the alternatives. The more difficult it is to select from


among the alternatives, the more likely the experience and magnitude of dissonance.
Decision difficulty is a function of the number of alternatives considered, the number of
relevant attributes associated with each alternative, and the extent to which each
alternative offers attributes not available with the other alternatives.

The individuals tendency to experience anxiety. Some individuals have a higher


tendency to experience anxiety than do others. The higher the tendency to experience
anxiety, the more likely the individual will experience post purchase dissonance.

The intensity of the anxiety will be greater when any of the following conditions exist:

Post Purchase Behavior - 10 -


Muhammad Ali Jinnah University, Karachi Consumer Behavior

The decision is an important one psychologically or financially, or both.

There are a number of forgone alternatives.

The forgone alternatives have many favorable features.

The decision process does not end with the purchase - not for the buyer at least! A
product, once purchased, yields certain levels of satisfaction and dissatisfaction. Purchase
satisfaction comes from receiving benefits expected, or greater than expected, from a
product. If buyers experiences from the use of a product exceed expectations, they are
satisfied, but if experiences are below expectations, customers are dissatisfied.

Post Purchase Behavior - 11 -


Muhammad Ali Jinnah University, Karachi Consumer Behavior

POSTPURCHASE EVALUATION

When the product has been purchased, consumers formally or informally evaluate the
outcome of the purchase. In particular, they consider whether they are satisfied with the
experience of making the purchase and with the good or service they bought. A consumer
who repeatedly has favorable experiences may develop loyalty to the brand purchased.
Also, consumers may tell their family, friends, and acquaintances about their experiences
with buying and using products. Cognitive dissonance/post purchase dissonance may
result because of the difficulty or even impossibility of fully considering every possible
alternative course of action.

Consumers use a product, particularly during a trial purchase; they evaluate its
performance in light of their own expectations. There are three possible outcomes of
these evaluations i.e. actual performance matches expectations, leading to a neutral
feeling; performance exceeds expectations, causing what is known as positive
disconfirmation of expectations (which leads to satisfaction); and performance is below
expectations, causing negative disconfirmation of expectations and dissatisfaction. For
each of these three outcomes, consumers expectations and satisfaction are closely
linked; that is, consumers tend to judge their experience against their expectations when
performing a post purchase evaluation.
Post-buying assessment involves a customers evaluation of the performance of the
product or service, in relation to the criteria, once it has been bought, i.e. it is the
customers perception of the outcome of the consumption process. The post-buying phase
involves different forms of psychological processes that customers can experience after
buying something. After buying something, the customer discovers something about a
product or service, stores this new knowledge in long-term memory, modifies relevant
attitudes, and is ready for the next decision process with an improved base of knowledge.

An important component of post purchase evaluation is the reduction of any uncertainty


or doubt that the consumer might have had about the selection. As part of their post
purchase analysis, consumers try to reassure themselves that their choice was a wise one;
that is they attempt to reduce post purchase cognitive dissonance.

Post Purchase Evaluation - 12 -


Muhammad Ali Jinnah University, Karachi Consumer Behavior

The Purchase Evaluation Process

Post Purchase Evaluation - 13 -


Muhammad Ali Jinnah University, Karachi Consumer Behavior

Decision Confirmation

After a customer makes an important choice decision, he or she experiences an intense


need to confirm the wisdom of that decision. The flip side is that he or she wants to avoid
the disconfirmation. One of the processes that occur at this stage is cognitive dissonance
(Schiffman and Kanuk, 2000: 220).

A Model of Consumer Post acquisition Process

Experience Evaluation

Following purchase, the product or service is actually consumed. Marketers need to know
whether customers consume it routinely or while consciously evaluating it. This depends
on the level of enduring involvement in the product or service and the determination of
the preference that caused this purchase.

Post Purchase Evaluation - 14 -


Muhammad Ali Jinnah University, Karachi Consumer Behavior

Consumer Satisfaction/Dissatisfaction
Customer satisfaction is the key outcome of the marketing process. It is an end in itself,
but it is also the source of word-of-mouth recommendations and thus can stimulate
further purchases. There is considerable evidence to suggest that buying service
represents a major risk to the consumer, and this makes word-of-mouth recommendation
very valuable. But how is this satisfaction created? Several approaches have been
suggested, but perhaps the simplest and most powerful is the formation of a consumer
satisfaction/dissatisfaction model.

Dissatisfaction can be defined as an unpleasant level of consumption-related fulfillment.


Although this definition makes sense, keep in mind that factors that contribute to higher
levels of satisfaction may sometimes differ from those that contribute to higher levels of
dissatisfaction.

A positive assessment of the purchase decision results in post-buying satisfaction.


Satisfaction occurs when the outcome, which may be a product, brand or store, and the
conditions surrounding its purchase, are matched with the customers expectations. The
perceived quality determines satisfaction, rather than vice versa. During shopping,
customers reach their final choices with quite different decision goals in mind. some
customers goals could be choice oriented (deciding on which alternative to buy from a
set of choices), the goal of others may be value oriented (evaluating each alternative with
the aim of obtaining good value for money), and the goal of a third category may be
anticipated satisfaction (where customers assess the likely satisfaction with each
alternative before making the final choice).
Satisfaction refers to the buyers state of being adequately rewarded in a buying situation
for the sacrifice he or she has made. Adequacy of satisfaction is a result of matching
actual past purchase and consumption experience with the expected reward from the
brand in terms of its anticipated potential to satisfy the consumers motives. Satisfaction
is a kind of stepping away from an experience and evaluating it. One could have a
pleasurable experience that caused dissatisfaction because even through pleasurable, it
wasnt as pleasurable as it was supposed or expected to be. So satisfaction/dissatisfaction
is not an emotion, it is the evaluation of an emotion.

Providing a quality product or service is all about meeting or exceeding customer


expectations. Where expectations are met then the customer is satisfied. If expectations
are not met then the customer experiences dissatisfaction. This logic is even more
applicable to service provision where there are fewer tangibles. The customer has certain
expectations of the level of service that they will receive based, perhaps, on advertising,
past experiences or hearsay. When the customers actually consume the service, they will
consciously or unconsciously, evaluate the performance of the company against their
expectations. If their expectations and evaluations do not match then there will be a gap
leading to satisfaction or dissatisfaction depending on the direction and extent of the gap.
Dissatisfaction, so the theory goes, will lead to a perception of poor quality and vice
versa.

Consumer Satisfaction/Dissatisfaction - 15 -
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Whether or not they actively evaluate a product during product use or consumption, users
do experience the usage outcome. This outcome is characterized as satisfaction or
dissatisfaction.

In the experience of satisfaction or dissatisfaction, consumers have three possible


responses: exit, voice, or loyalty.

Consumer Satisfaction/Dissatisfaction - 16 -
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Possible Outcomes

When consumers experience dissatisfaction, they may exhibit unfavorable word-of-


mouth communication, that is, they tell others about their problem. Consumers may also
not repurchase the brand. Another course of action is to complain. Following the
complaint, negative word-of-mouth is less likely, and repatronage more likely, if the
complaint is successfully redressed. If the complaint is not successfully redressed, the
negative word-of-mouth might in fact be further intensified beyond what it would have
been had the consumer not made the complaint in the first place. Research has found that
consumer complaints may actually be good for marketers-complainers care enough to
complain. Non-complainers simply walk out, taking their patronage to a competitor.

The third response is, of course, loyalty. Consumer loyalty means the consumer buys the
same brand repeatedly. It is reasonable to assume that loyal consumers are more likely to
be satisfied. However the converse is not necessarily true, as some researchers have
found that not all satisfied consumers are loyal. Some consumers will still exhibit a
switching behavior despite being satisfied with the current brand.

Post purchase evaluation focuses on whether customers have received good value.
Customers may consider the benefits received by purchasing against the costs of making
the purchase. When the benefits significantly compensate the costs, customers perceive
high value and are satisfied. The more satisfied customers are, the more likely they will
become loyal to the brand and the seller, and the more likely the seller is to establish a
long-term relationship with the customer. In other words, customer value and satisfaction
influence future buying decisions.

A key feature of the post purchase evaluation is cognitive dissonance. During the post
purchase period, the consumer may enjoy the satisfaction of the purchase and thereby
receive reinforcement for the decision. Or the purchase may turn out to be unsatisfactory
for some reason. In either case, feedback from the post purchase evaluation updates the
consumers mental files, affecting perceptions of the brand and similar purchase
decisions in the future.

Exit, Voice, or Loyalty - 17 -


Muhammad Ali Jinnah University, Karachi Consumer Behavior

Conclusion

Marketers should focus on the needs of the consumers and their satisfaction. Today is the
era of global advancement, and technological advancement has paved new ways of doing
things. Hence, it should be kept in mind regarding the trade or business. Consumer
satisfaction is itself an asset. It hold tremendous importance in itself. More the degree of
satisfaction of consumer is, more are the links of further strengthening the business lines.
Marketers should also reinforce the buyers attitudes about the product at all times, even
after the sale has been made. Companies should form and focus on the effective research
patterns to continuously evaluate the consumer behavior and then align their strategies
accordingly.

Conclusion - 18 -
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Survey Analysis

Question # 1

35
30
25
20
15 Number of people

10
5
0
Male Female

Question # 2

45
40
35
30
25
20 Number of people
15
10
5
0
12 to 17 18 to 25 25 to 35

Survey Analysis - 19 -
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Question # 3

14

12

10

6 Number of people
4

0
P S D H & HE GF PP O
S

Question # 4

18
16
14
12
10
8 Number of people
6
4
2
0
2/day 1/day 1/ 2day 1/ 3day

Survey Analysis - 20 -
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Question # 5

12

10

6
Number of people
4

0
DDH RHF TO VWH D O

Question # 6

18
16
14
12
10
8 Number of people
6
4
2
0
L&S DF L S JC

Question # 7

Survey Analysis - 21 -
Muhammad Ali Jinnah University, Karachi Consumer Behavior

25

20

15

Number of people
10

0
E G S A

Question # 8

90
80
70
60
50
40 Number of people
30
20
10
0
HC IM NRC TSB

Question # 9

Survey Analysis - 22 -
Muhammad Ali Jinnah University, Karachi Consumer Behavior

45
40
35
30
25
20 Number of people
15
10
5
0
Yes LaL HB

Survey Analysis - 23 -
Muhammad Ali Jinnah University, Karachi Consumer Behavior

Survey Analysis Conclusion

This survey helped us in evaluating the true essence behind the importance of a shampoo
in the life of an individual, especially pertaining to our age.

We did a random sample, 31 male and 19 female individuals solved the survey
questionnaire out of which 42 individuals were from the 18 to 25 years age group. The
results that we received were astonishing.

Most of the people who filled up our questionnaire used either Sunsilk, Head n Shoulders
or some international brand. Sunsilk and Head n Shoulders were found to be of more use
as both the brands catered different issues pertaining to hair.

Most of the shampoo users use shampoo once a day or once in three days, pertaining to
the genre of their hair. People with hair that are sensitive to chemicals used in the
shampoo consume once in three days whereas people whose hair lose the essence and
bounce and life use it once a day which is generally at the beginning of the day when a
person feels the need to be fresh and energetic.

The basic problems faced by individuals are dry and damaged hair and regular hair-fall.
Once these individuals actually use their favorite product, they feel relieved from the
problems that they are encountering. In fact, these issues actually lead to the purchase of
the product. Therefore, the motivation behind the purchase of the product is actually the
results they want to feel. Their experience is quite satisfactory and even urges them to re-
purchase the product again, irrespective of the fact that a number of people are not
regular customers of one single brand.

This result is actually driven by the fact that these users use the shampoo till the very last
drop. All users of a shampoo require solution for their problems and nothing else, be it
lack of shine, life or dandruff issue.

Survey Analysis Conclusion - 24 -


Muhammad Ali Jinnah University, Karachi Consumer Behavior

Questionnaire on Post Purchase Evaluation of Shampoos

1- Whats your Gender?


O Male O Female

2- Which age group do you fall in?


O 1217 O 18-25 O 25-35

3- Which Shampoo do you use?


O Pantene O Sunsilk O Dove O Head n Shoulders
O Herbal Essences O Garnier Fructis O Pert Plus
O Others (specify) ________

4- How often do you use your shampoo?


O Twice a day O Once a day O Once in two days
O One in three days

5- Are there any problems that you face regarding your hair?
O Dry and damaged hair O Regular hair-fall O Too Oily
O Very weak hair O Dandruff O Others

6- How do you find your hair after usage?


O Long and strong O Dandruff free O Lively
O Shiny O Just clean

7- How would you rate your experience?


O Excellent O Good O Satisfactory O Average

8- What are the chances that you would purchase the same shampoo again?
O High Chances O I might think to
O I am not a regular customer of one single brand
O I will try something better next time

9- Do you use the product completely?


O Yes, till the last drop
O Not really, I leave a little
O I usually use half of the bottle

10- What are your suggestions for the shampoo that you would love to use?

_____________________________________________________________________
_____________________________________________________________________
____________________.

Questionnaire - 25 -