Summaries of prescribed articles of previous years for Economic and Consumer Psychology - UL

How can studying evolutionary needs inform us about consumer behavior?

Understanding evolutionary needs can provide insight into consumer preferences and decision processes. The decisions made by modern consumers are strongly connected to the same motivations that drove our ancestor´s choices about every day decisions. How different people allocate their limited resources in different circumstances can inform us about which needs they prioritize.

What is the evolutionary perspective?

An evolutionary perspective believes that all living organisms evolved to behave in ways that give those organisms an evolutionary advantage. This implies that modern humans have psychological mechanisms that help them to process information and make decisions in ways that have enabled our ancestors to survive, thrive, and replicate. Cognition, motivation, and behavior are all intertwined and part of an adaptive system designed to solve recurrent ancestral problems. 

What is the difference between proximate and ultimate motives?

A distinction needs to be made between proximate and ultimate motives when looking at the function and causes of behavior. Proximate motives relate to up-close and immediately present influences (to what people are currently feeling and thinking). They only tell part of the story, but don´t address the deeper question of why. Ultimate explanations focus on its evolutionary function. For example, eating a pizza tastes good and relieves hunger (proximate motive), but also salty and fatty foods help us survive (ultimate motive). Proximate and ultimate motives can be closely connected, but most of the time the connection is not that clear. Even though we are not always aware of our ultimate motives, the evolutionary perspective implies that there are always proximate and ultimate causes for our behavior.

What is the Fundamental Motives Framework?

The Fundamental Motives Framework maintains that humans have inherited psychological adaptations for solving a set of specific ancestral social challenges. These fundamental challenges are evading physical harm, avoiding disease, making friends, attaining status, acquiring a mate, keeping that mate, and caring for family. These challenges are considered fundamental because of the important implications they have had for reproductive fitness and human evolution. Each challenge is qualitatively different. A good solution to one of the challenges may be incompatible with the solution of another problem. Humans possess different psychological systems for managing the different evolutionary challenges.

Which three tenets of the framework can be identified?

The implications of fundamental motives for consumption and choice can be summarized in these three tenets:

• A fundamental motive can be activated by external (our environment) or internal (our biology) cues. For example, the mate acquisition system can be activated by the physical presence of a suitable partner (external), or by hormonal fluctuations (internal).
• The currently active fundamental motive shapes preferences. For example, when the self-protection system is activated it can motivate us to conform to the norm and stick with the group, but when the mate-acquisition system is activated we may want to stand out from the group and be different.
• The currently active motive guides decision processes. Fundamental motives can alter preferences, but also decision-making processes (how we go about maximizing our preferences).

What are the fundamental motives, their triggers, and examples of behavioral tendencies?

What is the evolutionary motive of self-protection?

The motive of self-protection pertains to evade physical danger to remain safe. Cues that can trigger this system are angry faces or expressions, darkness and loud noises, and interacting with threatening people. The activation of this system may lead to behaviors such as increased aversion to losses, increased tendency to conform and preference for the status quo, and decreased risk-seeking.

What is the evolutionary motive of disease avoidance?

This motive refers to avoid infections and staying healthy. People have evolved a psychological behavioral immune system that helps avoid infection through our behaviors. Cues that can trigger the disease-avoidance system are coughing, sneezing, bad smells, dirtiness, and interacting with sick people. It can cause people to become more introverted, to avoid used and second-hand products, and to seek clean products, and eat familiar foods.

What is the evolutionary motive of affiliation?

This motive is about forming and maintaining cooperative alliances. In order to survive successfully people needed to form coalitions and get along with other people. Having friends provides a natural insurance against starvation and difficult times. Cues that can activate this system are social rejection, loneliness, and concerns about fairness. It can cause people to be susceptible to gossip, and to seek reviews from others.

What is the evolutionary motive of status?

The evolutionary motive of status points to gaining and maintaining respect and prestige. Cues that can trigger this system are threats of competition and success, prestigious people, and interacting with rivals. When this system is activated it causes people to want to acquire products that signal prestige and status, and increase their prosocial choices. Another route to achieving status is through dominance and an activated status motive can increase aggressive behavior. However, status in groups can also be enhanced through self-sacrifice and can lead to behaviors of competitive altruism.

What is the evolutionary motive of mate acquisition?

This motive pertains to acquiring a desirable romantic partner. Cues that can trigger this system are images or products of desirable members of the opposite sex, romantic stories, and interactions with potential mates. When this system is activated it can cause increased male impulsivity, risk-taking, conspicuous consumption, and increased public altruism by females (it leads people to want to be noticed).

What is the evolutionary motive of mate retention?

This motive refers to fostering a long-term mating bond. This system can be activated by anniversaries, reminiscing old times, and interacting with the spouse. It may cause people to buy gifts for their partners, and for men and women to pay attention to other men´s and women´s statuses. It involves behaviors designed to maintain current relationships, as well as behaviors to manage threats of potential romantic competitors.

What is the evolutionary motive of kin care?

This motive causes people to want to invest in and care for family and kin. It can be triggered by vulnerable babies and children, suffering family members, and interactions with family members. It causes people to have increased trust in others, and also increases nurturance.

Which key factors influence people´s motives?

All humans possess the same evolutionary motives, but the strengths of the motives differ across individuals. The factors that influence the strengths of the motives are:

• Life stage. People go through three stages in life, namely the somatic growth stage (from birth to puberty), the mating stage (from puberty until parenthood), and the parenting stage (parenthood and grand-parenthood). Different motivational systems start working at different life stages, because each life stage is associated with solving different evolutionary challenges.
• Biological sex. Many behavioral sex differences are rooted in the biological sex differences of minimum parental investment, as females are required to invest more biologically than males.
• Individual differences in life history strategy. Life history strategies vary on a fast-slow continuum. Fast and slow strategists systematically differ in their psychological orientations and the activation of specific fundamental motives may produce different responses for the individuals. Fast strategists start puberty earlier, have sex earlier, and have more sexual partners. Slow strategists start puberty later, have sex later, and have fewer sexual partners.
• Culture. Preferences and behavior are a product of the interaction of evolved psychological mechanisms and requisite cultural inputs. Culture may influence the threshold at which the fundamental motives will be activated and also in what way.

What is brand placement?

Brand placement can be defined as the paid inclusion of branded products or brand identifiers, through audio and/or visual means, within mass media programming. It is mostly used to familiarize people with brands and motivate them to buy the products. Brand placement is perceived as an effective mechanism for reaching audiences and can be seen in for example movies, primetime TV programs, video games, and novels. The role of brand placement has shifted from being a background prop to being an intrinsic part of the movie.

What are the advantages of brand placement?

• It overcomes the problem of zapping. People are unlikely to change the channel or leave the room when a brand appears in a movie, whereas in a commercial it is very likely that they do.
• It involves an implicit endorsement by the celebrity that is using the brand, which may have a slight influence on people´s attitude towards the brand.
• It has a longer life span than normal advertisements.
• Audiences like brand placements, because they improve the realism of the movies and TV series.
• It allows advertisers to target very specific audiences, as the characteristics of the public that views the movie are well understood.

What does research say about the effectiveness of brand placement?

Generally research has shown that memory is improved for a brand that is placed within a movie, compared with the same brand that is not placed within a movie. However, some of the results varied, and researchers also started looking at the factors that moderate the effect of brand placement on brand memory.

What is the difference between high plot placement and low plot placement?

High plot placement refers to the brand placement that plays a major role in the story line or contributes to a character. Low plot placement refers to background placement. The recognition rate for products with high plot visual placement is higher than recognition for products of low plot visual placement.

What is a situation model?

What viewers do cognitively with brand placement depends among other things on the implications of the information for comprehending the movie. Comprehension involves the construction of situation models. A situation model is a dynamic mental representation of a specific story or episode that has specific temporal and spatial constraints.

What is the landscape model?

The landscape model is a specific model of how situation models are constructed during comprehension. It focuses on how the audience processes the different levels of brand placement. Greater levels of semantic activation of a particular concept result in greater explicit memory for that concept. It assumes that not all the information that is activated in memory is activated at the same level. Because of limited attentional resources, information that is central to the scene is activated at the highest level. Concepts that are necessary for the scene to make sense (such as enablers) are at the next level of activation. Then follow other objects that are visually salient (such as objects used by the character, but not central to the story), and finally other information within the scene and background information. The greater the activation of the brand while viewing the movie, the greater the likelihood that it will be part of the situation model and will be remembered.

What is the importance of implicit memory?

Most previous research has used explicit measures of memory, such as recall or recognition. Explicit memory happens when people intentionally and consciously try to remember. Implicit memory effects occur without intentional conscious recollection. Brands are often part of the background in a scene and do not receive the same level of processing as brands in the foreground. Research has indicated that implicit memory seems to survive longer than explicit memory and may influence purchase decisions.

What does the current research conclude about the landscape model?

• Participants recognized the brand more when the brand was used by the main character or when the brand was integral to the story, more so than when the brand was featured in the background. There was however no difference in recognition memory between where the brand was used by the character and the condition in which it was related to the unfolding of the story.
• The mere presence of the brand in the movie improved participants´ implicit memory for the products. Implicit memory is not influenced by how the memory items are originally processed, unlike explicit memory that is driven by semantic processing. It shows that explicit and implicit measures of memory are sensitive to different influences of brand placements on memory.
• Participants who saw the target brand in the movie were more likely to choose that brand compared to the participants who did not see the brand in the movie. The levels of brand placements within the movie did not influence participants´ implicit choice behavior. Brand placement influenced the choice behavior also after controlling for participants´ brand evaluation.
• If the purpose of brand placement is to gain recognition of the brand, the best method is to have the brand be used by the main character or play a role in the unfolding story. Placing the brand in the movie is adequate for increasing viewers´ familiarity with the brand, regardless of the level of placement.

Why is co-creation important for consumers?

Consumers are increasingly acting as co-creators of products, rather than just passive recipients. A few reasons for this preference can be identified:

• Functional fit. By customizing a product it is more likely to meet the needs of the consumer.
• People like having products that are unique to them.
• People enjoy being part of the design process.

What is the IKEA-effect?

The IKEA-effect refers to people´s willingness to pay more for self-made products than for identical ones made by others. Research has shown that people tend to overvalue their own creations, even for products that are not customized, unique, or fun to build.

How does self-assembly or products contribute to the consumers´ identity?

People have a desire to signal a competent identity to themselves and others. Assisting in the production of products fulfill that need, by letting people control and shape their environments and displaying those creations to demonstrate competence. Especially when people´s feelings of competence have been threatened will they derive utility from self-assembly. Humans also have a fundamental need for effectance. Effectance refers to the ability to successfully produce desired outcomes in one´s environment. One way of accomplishing effectance is by affecting and controlling objects and possessions. In this way, consumers actively use products to signal their identities to others.

What is the self-affirmation theory and how does it relate to the IKEA-effect?

Self-affirmation theory focuses on how people adapt to information or experiences that threaten their self-concept. It argues that people strive to keep a positive view of the self, and that when they affirm one important value to the self they temporarily reduce the weight of another value. If the IKEA-effect is driven by the ability of self-made products to signal a valued identity, this effect should be reduced/eliminated if people are first allowed to affirm the self. On the other hand, if people´s sense of competence are threatened, it should increase the value they derive from self-creation and increase their motivation to participate in self-assembly.

What is the importance of the type of product being self-assembled?

With regards to competence, a distinction needs to be made between personal feelings of pride and the desire to show off a creation to others. The type of product created can say a lot about which component of competence is at work. Some products are meant to be displayed (like watches, or clothes), whereas others can be for personal use and won´t be seen by others (like a cupboard in the bedroom).

What are the main conclusions with regards to feelings of competence and self-assembly of products?

• The competence associated with self-created products mediates the increase in value for such products relative to products created by others. This plays a critical part in the IKEA-effect.
• Affirming consumers´ sense of self caused self-assembly of products to be less rewarding, whereas threatening consumers´ feelings of competence increased their motivation to self-assemble products in order to restore their feelings of competence.
• Competence is both a mediator and a moderator in creating consumer interest in self-assembly and also for those efforts to be rewarding.

What are the implications of this new information?

These results can be used by marketers to maximize customer satisfaction, but also by individuals to manage their life satisfaction. For marketers, it can be good to try and involve customers in the assembly of the products because it makes the customers feel competent and happy. The risk is that customers may attribute successful assembly to their own efforts, but assembly failures to the company. With regards to individuals´ life satisfaction, feelings of productivity serve as an important goal for many people.

What is the endowment effect?

The endowment effect refers to the finding that people expect more compensation to give up a product or a service that they own, than they would be willing to pay to acquire the same product or service if they did not own it. Some factors can be identified that contribute to the endowment effect, namely high involvement goods, high quality good, and attractive goods. To visualize the endowment effect a distinction is made between the selling-price and the buying-price. The selling-price is the price that the person who owns the good would want to be willing to sell it. The buying-price is the price that the person who does not own the good is willing to pay in order to acquire it.

What problems does previous research have when investigating the endowment effect?

Previous studies have problems with the ecological validity. Some of the studies used goods that were not particularly meaningful to the participants. Other studies used within-participant designs, meaning that participants were both buyer and seller. These issues are addressed by using a between-participant design and by using a meaningful good (student housing). The current study looks at whether there is an endowment effect immediately after housing selection (comparing students who were given their first choice with students who were denied their first choice), and what the effect is of experience and knowledge on the endowment effect. 

What is the effect of ownership on the endowment effect?

Previous research indicates that experience enhances the endowment effect. The valuation of goods increased with the duration of the ownership. The endowment effect was mediated by participants´ feelings of ownership. The feelings of ownership were enhanced by physical possession of the good. With regards to the current experiment and student housing, the expectation is that experiencing the first choice for a while will increase the value that the sellers place on the good and that the price will rise compared to the price that they initially wanted. With regards to the buyers, it is expected that if they have a negative experience in their second-choice student housing, they will be willing to pay more for the first-choice housing, whereas if they have a positive experience in their second-choice housing, they will reduce the price they are willing to pay for the first-choice housing.

What are the main conclusions in the research of Nash and Rosenthal?

The results show a significant endowment effect at both times (right after the housing lottery, and again after two months of living in the assigned housing). The selling-price exceeded the buying-price at both times. Also, the selling-price increased over time, whereas the buying-price did not change. This can be explained by loss aversion and how it induces a reluctance to sell something (especially after having owned the good). The experience of owning the good and the familiarity it creates, impacts the aversion to loss. It creates a tendency to increase its value over the initial valuation. Contributing to the variability of possession attachment in individuals are individual attachment styles.

In what way does the type of good/service cause differences in the endowment effect?

Some goods, like the student housing, do not have a real market and a real value. When students are then asked to assign value with no limitation, they tend to overstate their selling-price and understate the buying-price, increasing the disparity. The endowment effect should thus be bigger for non-market goods. On the other hand, when the product being sold/bought has many affordable substitutes, the values of the selling-price and the buying-price are closer to each other. A final distinction can be made between hedonic goods and utilitarian goods. Hedonic goods are those whose consumption is focused on gratification. Utilitarian goods are those with a consumption focused on function. The endowment effect appears to be greater when it concerns hedonic goods.

How has the credibility of online reviews become a new area of scientific research?

Before the internet people used to use traditional word-of-mouth forms of communication and product reviews. But thanks to the internet consumer reviews go far beyond the local community and people can globally access online reviews. Online reviews have become an essential source of product-related information. Online customer reviews can shape customers´ attitudes and affect their purchase decisions. But with all the different reviews online, it is more difficult to judge the credibility of reviews. Credibility is defined as the believability or the characteristic that makes people believe and trust someone or something. Reviews with high credibility positively impact the degree to which uses adopt information. 

What is the elaboration likelihood model?

The elaboration likelihood model (ELM) is a theory of informational influence. It provides a theoretical framework for understanding how people process messages that are intended to be persuasive. The ELM distinguishes two routes by which persuasive messages are processed:

• The central route. This route involves a high level of elaboration. When someone processes a message through this route, they carefully consider the issues presented in the message and evaluate the merits of the arguments. They will use further cognitive processing and use more effort to evaluate the message.
• The peripheral route. This route entails a low level of elaboration and it requires less cognitive work. People use simple heuristic cues or informational indicators to assess the believability of a message.

People tend to evaluate messages on both these routes. The degree of elaboration through both of these routes depend on peoples´ ability and motivation.

Which variables affect the message´s influence?

Variables related to the message, the source, and the recipient affect the influence of a message. There are many message-related and source-related variables, such as argument quality, review consistency, source credibility, and review sidedness. These variables take on either central or peripheral cues to evaluate consumer reviews. Four of these variables are discussed in more detail:

• Argument quality refers to the person´s subjective perception of the arguments in the persuasive message as strong and cogent on the one hand versus weak and specious on the other. A review with a stronger argument should be perceived as more credible.
• Review consistency refers to the extent to which information in a review is consistent with information in other reviews. People are more likely to accept a viewpoint that is consistent with other reviews, and more likely to be skeptical towards a viewpoint that is different from other reviews.
• Source credibility refers to a person´s perception of the credibility of a message source, while not being concerned with the message itself. A review from a reputable source will be perceived to be more credible than one from a less reputable source.
•  Review sidedness sees if a review is one- or two sided. A one-sided review contains either a positive or a negative comment. A two-sided review contains both positive and negative comments. A two-sided review is generally perceived as more credible than a one-sided review.

What role do the expertise and motivation of the recipient play?

How much the above-mentioned variables are able to exert influence depend on the involvement and expertise of the recipient. The expertise refers to the recipient´s prior knowledge about the issue, while the involvement refers to the personal relevance of the issue. People with expertise have the knowledge and ability to evaluate a message, and people with high involvement are engaged and motivated enough to understand a message. For them, central cues play a bigger role in their judgement and they are more likely to judge a message based on argument quality. When a person is not able or motivated to consider a message, peripheral cues play a bigger role in shaping judgement.

How can the elaboration likelihood model help investigate the credibility of online reviews?

The elaboration likelihood model can help us understand how consumers use various characteristics of online reviews to assess the credibility of individual reviews. It can help answer the questions of what the predominant central and/or peripheral variables are that are being used for credibility judgement, and how those variables function for readers at different levels of motivation and ability. The answers to these questions can help marketers to design better websites and reputation systems that enhance their credibility while increasing review quality.

Using ELM as a theoretical basis, what are the roles of different review cues in the evaluation of online customer reviews?

• Argument quality is the most influential factor in the evaluation of online consumer reviews. The influence of argument quality did not significantly vary across different levels of expertise and involvement.
• People who were involved and knowledgeable relied more on central cues (such as argument quality), but people who were not involved or knowledgeable did not rely more on peripheral cues (such as source credibility).
• Consumers tend to rely more on source credibility and review consistency in the evaluation of online reviews when their expertise level is low, but their involvement is high.
• People with a high expertise level perceived two-sided reviews more favorably. A possible explanation for that is that two-sided reviews are useful for people who are able to judge the validity of the information. A knowledgeable person is able to judge the significance of the pros and cons in a review and make their decision independently. A person with little knowledge about the product may prefer a one-sided review from a credible source, as they would find a two-sided review ambiguous.

How can these results be used by marketers?

Review websites that provide effective means that facilitate the identification and evaluation of credible reviews can attract more users. People trust a review more when it provides supportive evidence and explanations. Online consumer review providers should encourage and help reviewers to provide better reviews, for example by providing them with a review template and encouraging them to add details such as time and location and photographs. The providers can also prioritize reviews according to the quality of the review and/or the rating of the reviewers. That way they provide a more focused and targeted approach to their reputation management and highlight the reviews that are likely to have a bigger impact on user decisions.

What are gender stereotypes?

Stereotypes are beliefs about a social category. They can become problematic when they lead to expectations about one social category over another, or when they restrict opportunities for one social category over another. With regards to gender, women have generally been presented in more decorative and family oriented roles, and less in professional roles. Men were generally shown as more independent, authoritarian, and professional, with little regard to their age and physical appearance.

What social changes have caused changes in gender stereotypes in advertising?

Three societal changes have led to changes in the gender stereotypes that were being used in advertising. The first is the rise of feminism in the 1960s. It challenged equal opportunities for men and women and caused a gradual change in occupational opportunities and domestic structures. The second societal change is characterized by changes in the labor force, bringing about significant variation in both male and female roles. Finally, the changing role structure in the family has created significant variations in the female role. Because of these changes in society, women were less and less portrayed in an inferior manner relative to their potential and capabilities.

What is the mirror versus de mold debate?

The mirror versus the mold debate concerns the disagreement about the role and social nature of advertising when it comes to stereotypes within advertising. The ´mirror´ point of view states that advertising reflect values that exist and are dominant in society. Advertising functions as a magnified lens simply amplifying a social phenomenon. They consider the impact of advertising as insignificant. The ´mold´ point of view believes that peoples´ perception of social reality is shaped by the media. Advertising is viewed as having a large impact. People are believed to incorporate stereotypes that are presented by the media into their own system of values, ideas, and beliefs about life. More realistic is to view this argument as existing on a continuum. Advertising is a system of visual representation that both reflects and contributes to culture.

What does the research between 2010-2016 say about gender stereotypes in advertising?

Recent research shows that:

• Gender stereotyping in advertising still exists and is prevalent in many countries around the world, especially for woman. Occupational status still showed the highest degree of stereotyping, despite the education, occupation, and status changes earned by women in the last years.
• Stereotyping seems to differ for public versus private TV channels. On public channels, stereotyping was higher for variables like role and location and occupation status. On private channels, stereotyping relates more to role behavior and physical characteristics.
• While stereotyping exists in advertising, consumer´s perceptions about it may be less serious than expected due to the use of humor. Gender role portrayals are less serious if they are used as sources of humor. Male stereotypes are more prevalent in humorous ads, whereas female stereotypes are more prevalent in non-humorous ads.
• Chinese advertising depicts males in more occupational and recreational roles, whereas women were depicted in more decorative roles. Another research interviewing Chinese advertising professionals revealed that the professionals believe they are simply reflecting Chinese culture (the ´mirror´).
• Advertising professionals are more tolerant of the stereotypical depictions of men and women than are consumers.

How is the European Union trying to reduce gender stereotypes?

The EU received more and more complaints by consumers which caused them to review how marketing and advertising affects equality between men and women. They have updated their ethical guidelines on gender portrayals and approved anti-discrimination laws in several EU countries. They are also following recommendations from a scientific study that showed that less restrictive literacy programs and awards for positive advertising are more effective at reducing gender stereotyping, as opposed to increased legislation and regulation.

How has the portrayal of men in advertising changed?

Examining perceptions of how gender portrayal impacts men and women, it became clear than men are also affected by their stereotype and that they wished for more research on the negative impact of their gender stereotype. Research into the gender stereotype of men in advertising only shows minor changes in the last few years, with an increased portrayal or men as fathers, and some male characters used to portray society´s changing views of men and women´s roles. 

What should future scientific research be focused on?

A few areas can be identified that are in need of scientific research:

• Most of the current research has been done on advertising in printed media and television advertising. Future research should find a way to examine advertising in digital formats, native advertising, and social media platforms.
• Future research should examine the stereotypes of the LGBT consumers in advertising.
• Recent advertising has focused on empowered women, also called femvertising. The goal of these messages are to celebrate women rather than objectifying them. However, the fear is that some companies are using femvertising to increase sales and lack authenticity.

What is online public complaining?

Online public complaining is a phenomenon defined as the act of using the internet to publicly complain about firms. Unlike private complaining, when customers complain directly to the firm, public complaining involves alerting the public about a failed service. Customers usually start online public complaining after their private complaints have not been addressed by the firms. There now exist many third-party organizations that offer online environments where customers can post their bad experiences. Also many user-generated content websites have areas for complaining. Online public complaining is a new and growing threat that needs managers’ attention.

What are the desire for revenge and the desire for avoidance (as characteristics of online public complaining)?

The desire for revenge and the desire for avoidance reflect the presence of a customer grudge or lack of forgiveness. They both reflect the customers’ inability to let go, but cause different customer behaviors. A desire for revenge is defined as customers’ need to punish and cause harm to the firm that has caused damaged to them. This leads to behaviors such as private complaining, public complaining, and negative word of mouth. A desire for avoidance is defined as customers’ need to withdraw themselves from any interactions with the firm. This leads to behavior that reduces support for the firm.

How does time affect the desires for revenge?

The desire for revenge is expected to decrease over time. Revenge is associated with many psychological resources and cognitions that are hard to maintain over time. The negative cognitions and retaliatory behaviors become too costly to maintain. Also, retaliatory actions require energy to plot and pursue, while there are no material gains.

How does time affect the desire for avoidance?

The desire for avoidance is expected to increase over time. After the online complaints, people may try to keep interacting with the firm to find a solution. But after time passes and no solution has been found, they will have been able to find another firm (as commercial relationships are replaceable) and they will be even more unwilling to use the services of that firm again. They will increasingly turn towards avoidance, which is less costly than revenge.

Do online complainers hold a grudge against firms over time?

Managers need to know if online complainers reduce their retaliation over time by themselves. In case online complainers persist, they may need to act to stop them. Complainers hold a grudge against firms as long as they maintain a desire for revenge and/or  desire to avoid any form of interactions with the firms. Research has shown that feelings of revenge tend to decrease over time, but feelings of avoidance may not. These feelings of avoidance may sustain complainers’ grudges.

How does a strong relationship affect the evolution of consumers’ grudge?

Research indicates that relationship strength may amplify customers’ negative responses in service contexts. Given the profitability of strong-relationship customers, it is important for firms to know whether the best customers also hold the strongest grudges. Relationship quality is defined as a second-order construct that consists of trust, commitment, and social benefits. Compared with customers who have weaker relationships, the desire for revenge of strong-relationship customers should be maintained over a longer period, and their desire for avoidance should increase more rapidly.

Why are the reactions of strong-relationship customers stronger?

Customers who perceive a high level of relationship quality are more likely to take offense if they are the victims of a service failure, even more so when they have asked for help during that period. Strong-relationship customers tend to feel more betrayed after an unfair service and it is harder for them to forget about that and let it go. Initial research indicates that the negative responses of strong-relationship customers were amplified when  service interaction was perceived as a transgression of the relational norm, when a service recovery was viewed as unfair, and when customers had sufficient time and cognitive capacity to assess the performance failure.

Can firms attenuate a love-becomes-hate effect by offering a recovery after the online complaint?

Studies have shown that the relational orientation of strong-relationship customers makes them more amenable to recovery efforts. Firms may be able to attenuate the love-becomes-hate effect by offering an apology and compensation after the complaint. This could reduce the desire of the customer for revenge. The current research however does show that a post-complaint recovery did not have any effect on the desire for avoidance.

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