
Forrest V. MorgesonMichigan State University | MSU · Department of Marketing
Forrest V. Morgeson
Ph.D.
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58
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Introduction
Forrest V. Morgeson III is Associate Professor in the Department of Marketing, Broad College of Business, Michigan State University. Dr. Morgeson teaches marketing research methods and marketing management courses to graduate and MBA students. Dr. Morgeson’s past position was Director of Research at the American Customer Satisfaction Index (ACSI) in Ann Arbor, Michigan. As Director of Research, Dr. Morgeson managed ACSI’s academic research and team of researchers.
Additional affiliations
June 2002 - November 2009
Publications
Publications (58)
We systematically review the literature on customer satisfaction, partitioning the literature into three generations of thought and focus, with the most recent, third generation, heavily emphasizing international business phenomena. Following a brief, stage-setting review of the first two generations – which address, respectively, the psychological...
Unlabelled:
Do stronger relationships with customers (customer-company relationships [CCR]) help firms better weather economic crises? To answer this question, we examine firm performance during the stock market crashes associated with the two most severe economic crises of the last 15 years-the protracted Great Recession crisis (2008-2009) and th...
Firms spend substantial resources responding to customer complaints, and the marketing profession has a long history of supporting that enterprise to promote customer loyalty. The authors question whether this response is always warranted or whether its effectiveness instead depends on economic, industry, customer–firm, product/service, and custome...
We examine how local product market shocks impact investors' willingness to own and trade the underlying stock. Using US airlines as our test setting, we exploit plausibly exogenous variation in flight routes. We find that active traders increase their ownership by 10.6% in response to a one standard deviation increase in the airline's local market...
This paper highlights the importance of innovation in driving economic growth, noting that traditional measures of innovation have focused mainly on manufacturing-related metrics like patents and R&D activities. It addresses the need for new measures that better reflect innovation in service-dominant economies. Specifically, the study highlights na...
A variety of entities are increasingly concerned with sustainability (e.g., customers, firms), and these entities will often increase their sustainability actions if there is a performance and/or quality-of-life incentive to do so. But such a simplistic portrayal of sustainability leaves out the boundaries of what firms would opt to do given certai...
The global imperative has increased in recent years for international firms to respond to major threats such as unintended environmental, social, and economic problems arising from ecological destruction, population growth, and economic activity. To respond to this confluence that has created an emerging existential crisis, we identify that a globa...
This article provides a sample of survey data collected by the American Customer Satisfaction Index (ACSI). Using online sampling and stratified interviewing techniques of actual customers of predominantly large market-share (“large cap”) companies, the ACSI annually collects data from some 400,000 consumers residing across the United States for mo...
As companies face tightening budgets, many may be considering trimming their workforce. But of course, outright layoffs are expensive and risky. That’s why some have turned to a subtler strategy: quiet firing, or intentionally creating a hostile work environment that encourages people to leave “voluntarily.” The authors’ new research sheds light on...
While the U.S. federal government has adopted myriad initiatives mandating collection of citizen evaluations of its services, scant research exists into how prior biases such as those arising from political partisanship affect these performance metrics. In this study, we examine a multi-year sample asking U.S. citizens about their experiences with...
We capture the theoretical and practical essence of the thoughts by Key, Clark, Ferrell, Stewart, and Pitt (AMS Review, 2020) on marketing’s value propositions by creating an integrative satisfaction-focused exit-voice-loyalty theory. The potpourri of thoughts by Key et al. (2020) in this issue of AMS Review–centered mainly on marketing’s value pro...
Customers’ perceptions of value have improved enormously over the years, more so than for any of the other drivers of customer satisfaction. Given this fact, we focus on the feasibility—for both individual companies and the economy—of a continued focus on the value proposition as the primary driver of customer satisfaction. We discuss the pros and...
Because of its tremendous brand recognition, this chapter is titled “ACSI” (American Customer Satisfaction Index) as an alternate way of saying customer satisfaction. The ACSI score has become synonymous with the metric to measure customer satisfaction—the central, most critical metric for understanding the customer experience and the health of the...
The world is becoming increasingly more global, interconnected, and, by population, significantly larger. An increase in worldwide population of billions of people in the last decades means more potential customers for small, medium, and large companies in the dynamic international marketplace. More customers also mean more diversity in what compan...
Learning to love your angry customers—what? Most companies view customer complaints as a negative, perhaps as an annoying part of their business that needs additional resources to attend to and fix. But companies that handle complaints well actually create stronger customer loyalty. And those companies that take complaints to heart, when warranted...
Viewed from the lens of the American Customer Satisfaction Index (ACSI), customer satisfaction is a strategic company asset that should be optimized, not maximized, and certainly not ignored. Companies do not thrive only by delivering on increasingly higher customer satisfaction. They thrive by managing the optimization of customer satisfaction. Co...
Customer loyalty has increased substantially to the brands customers opt to engage with over the years. Interestingly, contrary to warnings by many businesspeople, we find that Millennials are among the most loyal customers across generational cohorts, behind only the dwindling Silent Generation. Striving for loyalty across generational cohorts is...
What do customers demand in their experiences with companies? Our focus in this chapter is on what many have claimed to be the sky-rocketing expectations in the modern economy. We dive into the wisdom of the popular imperative for businesses to aim to “always exceed customer expectations,” and what future trends in customer expectations will look l...
We began the book by positioning customer satisfaction as a strategic company asset, but it can only be a strategic asset if it is connected to a company’s financial performance. Thankfully, we can unequivocally conclude that the link between customer satisfaction and a company’s financial performance is very strong. To justify this, we go a bit te...
How have customer perceptions of the quality of products and services developed over the years? Core to this discussion are two perspectives on what constitutes “quality”—reliability and customizability—and why the latter dominates the former as a predictor of customer satisfaction in today’s economy. The chapter tackles the prospects for continuin...
With major retailers closing brick-and-mortar stores every month and the continued shift to online shopping, there is a major push to strengthen customer loyalty by improving the customer experience. The two most important qualities that consumers look for are convenience and efficiency. Finally a source is available that will give retailers and co...
Information technology (IT) plays a vital role in customer relationship management (CRM), because CRM processes include the collection and analysis of customer information, firms use technology tools to interact with customers, and IT created the conditions under which firms can offshore CRM processes. Customers have negative perceptions toward off...
The millennial generation is emerging as a powerful economic force across all economic segments, including lodging. With millennials being the largest generation of consumers, it is important to understand their satisfaction in important areas across two hotel segments as defined by price. We drew the data from the highly regarded American Customer...
Retailers seek to utilize both online and offline purchase channels strategically to satisfy customers and thrive in the marketplace. Unfortunately, current multichannel research is deficient in answering what drives customers’ satisfaction, and consequently their loyalty, differently when customers purchase online versus at a physical store. This...
Driven by the growing importance of the digital provision of government services (e-government), recent research has sought to develop and test conceptual models of citizen satisfaction and trust with these services. Yet, there remains little agreement on how to optimally model these relationships with regards to the somewhat divergent goals of exp...
Sorescu and Sorescu (2016) and Bharadwaj and Mitra (2016) have made a number of insightful observations and suggestions for future research regarding stock returns on customer satisfaction. They have also provided a series of assessments of a study by Fornell, Morgeson, and Hult (2016) that focus on abnormal returns on customer satisfaction. Buildi...
The ability of a firm’s managers to understand how its customers view the firm’s offerings and the drivers of those customer perceptions is fundamental in determining the success of marketing efforts. We investigate the extent to which managers’ perceptions of the levels and drivers of their customers’ satisfaction and loyalty align with that of th...
A debate about whether firms with superior customer satisfaction earn superior stock returns has been persistent in the literature. Using 15 years of audited returns, the authors find convincing empirical evidence that stock returns on customer satisfaction do beat the market. The recorded cumulative returns were 518% over the years studied (2000-2...
This study examines the relationship between customer satisfaction, loyalty intention, and shareholder value at the firm and individual customer levels. The authors also explore industry differences by using a multilevel and random-effects approach in which individual customer scores are nested within firm-level data and the estimated Interrelation...
As firms attempt revenue growth through expansion into international markets, research on the potentially differential nature of consumer perceptions across national markets has become increasingly important. The authors advance the customer satisfaction literature by comparing customer perceptions in the wireless services industry across the natio...
The generally accepted view among managers and researchers is that the greater the severity of a service failure, the greater the resulting impact on customer satisfaction and business outcomes, such as lost customers and revenue. The research used to defend this viewpoint, however, does not typically address the severity of service failures, like...
Citizen Satisfaction investigates the topic of satisfaction with government services from a variety of perspectives, using case studies and empirical results from satisfaction studies at the federal level.
In the last chapter we examined the “why” question, outlining a series of purposes and objectives underpinning the practice of citizen satisfaction measurement. In this chapter and the next, we turn to the “how” question (or more accurately, questions) and examine some techniques and methods utilized in citizen satisfaction measurement, ultimately...
To this point in the book, we have focused primarily on the theory, concepts, and methods central to citizen satisfaction measurement. Moreover, in the last chapter we built on these topics and reviewed some reasonably simple, straightforward techniques for interpreting satisfaction data with organizational and process improvements as our primary g...
In the last chapter, we examined several statistical techniques— including one robust and preferable method, in our estimation, known as structural equation modeling—for analyzing citizen satisfaction data. Using these techniques, we illustrated how satisfaction data, once collected, can be analyzed with the goal of creating action-oriented output,...
In this chapter, we begin by examining a series of global changes and challenges that, in our estimation, significantly increase the importance of citizen satisfaction measurement (and of performance measurement in general) as a vital tool for governments seeking to most efficiently allocate scarce resources, and for improving citizens’ satisfactio...
In the last chapter, we reviewed a number of important steps in a citizen satisfaction measurement project: agency and population-of-measurement selection, the identification of drivers and outcomes to measure within a survey alongside the satisfaction concept, various perspectives on how the satisfaction concept can be operationalized, questionnai...
Government performance measurement is not a new phenomenon. Basic measures of government performance have existed for decades, and some for even longer. Nevertheless, over the last 20 years or so governments at all levels have become almost fixated on systematic and scientific measures of performance. The inspiration for this focus has come in part...
The last chapter closed with a discussion of the shifting focus toward external measures of government performance in an era where both consumer and citizen power has grown alongside increased access to information and knowledge of alternatives. Following a brief restatement of common (but persistent) challenges to the very foundations of citizen s...
Many multinational corporations have implemented cross-national satisfaction measurement programs for tracking and benchmarking the satisfaction of their customers across their various markets. These companies measure satisfaction with the goal of maximizing customer loyalty and the financial benefits associated with loyalty. However, existing rese...
Recent research on citizen satisfaction with government services has examined the expectancy-disconfirmation model (EDM), a model suggesting that satisfaction judgments are formed through a cognitive process relating prior expectations to perceived performance and the confirmation or disconfirmation of expectations relative to performance. The resu...
Do they all perform alike?
What drives citizen satisfaction and trust with US federal government agencies? Are these determinants constant across agencies, or do they differ? In this article, we examine elements of citizen perceived performance as determinants of satisfaction and trust in federal agencies using a multi-year, cross-sectional, multi-...
Do the same website qualities determine end-user satisfaction - and through satisfaction, consumer loyalty - across the e-government and e-business domains, or do these different groups of consumers seek different things? This question is an important one, as considerable pressure is currently being placed on e-government to improve by better emula...
What drives citizen satisfaction and trust with US federal government agencies? Are these determinants constant across agencies, or do they differ? In this article, we examine elements of citizen perceived performance as determinants of satisfaction and trust in federal agencies using a multi-year, cross-sectional, multi-agency sample of respondent...
The emergence and rapid spread of electronic government in the United States over the past decade, as well as across much of the globe, has created a need for better, more robust methods of measuring this system's performance. In this chapter we discuss several issues surrounding performance measurement of e-government websites. We outline two type...
A growing body of research focuses on the relationship between e-government, the relatively new mode of citizen-to-government contact founded in information and communications technologies, and citizen trust in government. For many, including both academics and policy makers, e-government is seen as a potentially transformational medium, a mode of...
According to Jacobson and Mizik [Jacobson, R., N. Mizik. 2009. The financial markets and customer satisfaction: Reexamining possible financial market mispricing of customer satisfaction. (5) 810–819], excess stock portfolio returns for firms with strong customer satisfaction are small and statistically insignificant, and if there is any above-marke...
This paper examines the federal government's success in implementing and providing high-quality service through e-government, something that has received very little attention. We define quality from the perspective of the end users of federal agency Web sites, as measured through customer survey data. Using data from the American Customer Satisfac...
Do investments in customer satisfaction lead to excess returns? If so, are these returns associated with higher stock market risk? The empirical evidence presented in this article suggests that the answer to the first question is yes, but equally remarkable, the answer to the second question is no, suggesting that satisfied customers are economic a...
Do investments in customer satisfaction lead to excess returns? If so, are these returns associated with higher stock market risk? The empirical evidence presented in this article suggests that the answer to the first question is yes, but equally remarkable, the answer to the second question is no, suggesting that satisfied customers are economic a...
Beginning in the advent of the modern discipline of public administration, and in some ways considerably earlier, one of the questions most troubling political thinkers and political scientists has been: Holding both as values, how can we reconcile the tension between bureaucracy and democracy? This question, addressing what is often termed the "bu...