Richard L. Oliver’s research while affiliated with Vanderbilt University and other places

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Publications (22)


Should We Delight the Customer?
  • Article

December 2000

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3,358 Reads

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738 Citations

Journal of the Academy of Marketing Science

Roland T. Rust

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Richard L. Oliver

Critics have suggested that delighting the customer “raises the bar” of customer expectations, making it more difficult to satisfy the customer in the next purchase cycle and hurting the firm in the long run. The authors explore this issue by using a mathematical model of delight, based on assumptions gathered from the customer satisfaction literature. Although delighting the customer heightens repurchase expectations and makes satisfying the customer more difficult in the future, and the delighting firm is injured by raised customer expectations, the (nondelighting) competition is hurt worse through customer attrition to the delighting firm. If customers forget delighting incidents to some degree from occasion to occasion, the delighting firm suffers if it is in a position to take customers from the competition. If taking customers from the competition is difficult, the delighting firm actually benefits from customer forgetting, because the same delighting experience can be repeated again, with the same effect.


Whence Consumer Loyalty?

October 1999

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496 Reads

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5,254 Citations

Journal of Marketing

Both practitioners and academics understand that consumer loyalty and satisfaction are linked inextricably. They also understand that this relation is asymmetric. Although loyal consumers are most typically satisfied, satisfaction does not universally translate into loyalty. To explain the satisfaction–loyalty conundrum, the author investigates what aspect of the consumer satisfaction response has implications for loyalty and what portion of the loyalty response is due to this satisfaction component. The analysis concludes that satisfaction is a necessary step in loyalty formation but becomes less significant as loyalty begins to set through other mechanisms. These mechanisms, omitted from consideration in current models, include the roles of personal determinism (“fortitude”) and social bonding at the institutional and personal level. When these additional factors are brought into account, ultimate loyalty emerges as a combination of perceived product superiority, personal fortitude, social bonding, and their synergistic effects. As each fails to be attained or is unattainable by individual firms that serve consumer markets, the potential for loyalty erodes. A disquieting conclusion from this analysis is that loyalty cannot be achieved or pursued as a reasonable goal by many providers because of the nature of the product category or consumer disinterest. For some firms, satisfaction is the only feasible goal for which they should strive; thus, satisfaction remains a worthy pursuit among the consumer marketing community. The disparity between the pursuit of satisfaction versus loyalty, as well as the fundamental content of the loyalty response, poses several investigative directions for the next wave of postconsumption research.


Expectation Processes in Satisfaction Formation: A Field Study

February 1999

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171 Reads

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318 Citations

Journal of Service Research

Expectations of a novel restaurant dining experience were manipulated in a controlled field setting to test for the role and persistence of expectation and expectation-related effects within the expectancy disconfirmation and performance model. In an effort to ensure external validity, preconsumption expectations were manipulated via real-appearing reviews, actual service experience was recorded through protocol methods, and postconsumption perceptions were measured in the immediate postusage period. Results showed that the expectation manipulation and the expectations thereby created had an immediate but declining effect over the consumption period, that expectations acted as forward assimilation agents for performance, that retrospective expectations were partially influenced by performance observations in the manner of backward assimilation, that expectation-initiated performance comparisons (disconfirmation) and performance judgments were important satisfaction influences, and that the expectancy disconfirmation model is dimension-specific with regard to operation of its components. These findings shed insight into the operation of expectations, performance, and disconfirmation in service environments and illustrate some effects of consumption tracking.


Whence Consumer Loyalty?

January 1999

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3,600 Reads

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7,956 Citations

Journal of Marketing

Both practitioners and academics understand that consumer loyalty and satisfaction are linked inextricably. They also understand that this relation is asymmetric. Although loyal consumers are most typically satisfied, satisfaction does not universally translate into loyalty. To explain the satisfaction-loyalty conundrum, the author investigates what aspect of the consumer satisfaction response has implications for loyalty and what portion of the loyalty response is due to this satisfaction component. The analysis concludes that satisfaction is a necessary step in loyalty formation but becomes less significant as loyalty begins to set through other mechanisms. These mechanisms, omitted from consideration in current models, include the roles of personal determinism ("fortitude") and social bonding at the institutional and personal level. When these additional factors are brought into account, ultimate loyalty emerges as a combination of perceived product superiority, personal fortitude, social bonding, and their synergistic effects. As each fails to be attained or is unattainable by individual firms that serve consumer markets, the potential for loyalty erodes. A disquieting conclusion from this analysis is that loyalty cannot be achieved or pursued as a reasonable goal by many providers because of the nature of the product category or consumer disinterest. For some firms, satisfaction is the only feasible float for which they should strive; thus, satisfaction remains a worthy pursuit among the consumer marketing community. The disparity between the pursuit of satisfaction versus loyalty, as well as the fundamental content of the loyalty response, poses several investigative directions for the next wave of postconsumption research.


Customer Delight: Foundations, Findings, and Managerial Insight

September 1997

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728 Reads

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1,804 Citations

Journal of Retailing

Many business practitioners have addressed the importance of delighting the customer as an extension of providing basic satisfaction. Yet the concept of customer delight has not been given a clear behavioral foundation, and the antecedents and consequences of customer delight, when manifest in specific service contexts, have not been empirically explored. This paper attempts to provide a first step toward establishing a behavioral basis for customer delight, empirically testing its hypothesised antecedents and consequences, and exploring the resulting implications. Based on data from two service fields, structural equation results support the proposition that unexpected high levels of satisfaction or performance initiate an arousal ⇒ pleasure (positive affect) ⇒ delight sequence. Mixed support is found for the hypothesis that delight is a combined result of pleasure and arousal. Satisfaction, acting in parallel with delight, was strongly related to pleasure and disconfirmation and had a clear effect on behavioral intention; the effect of delight on intention, however, appears to be moderated by the service context. Managerial implications include the consideration of whether delight is a reasonable and meaningful consumer expression in particular service contexts, the necessity of focusing on surprising levels of satisfaction or performance when attempting to produce delighting consumption experiences, and potentially separate strategies for inducing satisfaction and delight.


Affect in Dyadic Negotiation: A Model and Propositions

February 1996

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569 Reads

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263 Citations

Organizational Behavior and Human Decision Processes

The topic of affect has been described as an important, but underexplored area of the social psychology of negotiation. In this paper we seek to advance thinking about affective processes in two-party negotiation through an integration and conceptual extension of existing research. We briefly review conceptualizations and operationalizations of affect, and highlight findings relevant to the social-cognitive underpinnings of negotiation. A dynamic model of affect in two-party negotiation analyzes the role of moods and emotions that bargainers bring to and evolve within the negotiation encounter. The model illustrates how affect states influence (and in some cases are influenced by) one's decision to negotiate, selection of an opponent, formulation of expectations and offers, choice of tactics used within bargaining, economic and social-cognitive outcomes, and proclivity to comply with settlement terms. We develop specific research propositions that describe these influences and discuss their implications for broader questions about the role of affect in bargaining.


Attribute need fulfillment in product usage satisfaction

January 1995

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84 Reads

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59 Citations

Psychology & Marketing

A deprivation model analog of the effect of first-level (attribute-specific) and second-level (product-related) need fulfillment on satisfaction with a pharmaceutical information publication was tested under actual usage conditions. A sample of 156 pharmacists participated in a three-phase study where information needs and current need fulfillment were measured in phase 1. Product usage over a one-month interval followed in phase 2. In the final phase of the study, attribute performance, first- and second-level need fulfillment, and satisfaction with the product were measured. Analysis suggested that first-level need fulfillment was positively related to attribute performance, negatively related to the degree to which the need was previously fulfilled, and unrelated to level of overall need. Product-level need fulfillment was a function of attribute-level fulfillment, and satisfaction was related to product-level fulfillment and attribute performance. A test for curvilinear trend in the fulfillment-satisfaction association was significant, suggesting that diminishing increments to satisfaction occur in the region of overfulfillment. Some improvement in the parameters occurred when this was incorporated in the model. Implications of the findings are discussed. © 1995 John Wiley & Sons, Inc.


The Relationships among Consumer Satisfaction, Involvement, and Product Performance: A Catastrophe Theory Application

January 1995

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205 Reads

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120 Citations

Systems Research and Behavioral Science

Attempts to model consumer satisfaction/dissatisfaction (CS/D) responses rely on linear assumptions regarding the effect of various causes (e.g., attribute performance, expectancy discontinuation) on the consumer's reaction to a product or service. This assumption has been pervasive in the CS/D literature despite observations in the trade that consumers are sticky in their preferences or „dispreferences” for products. We present and operationalize a model which relaxes the linearity assumption and allows for lagged and threshold effects of performance increments on CS/D responses in product involvement. Our approach uses the cusp catastrophe model, which has been shown to be robust in a number of contexts, but has had only limited use in the marketing literature. We apply a catastrophe model to data on consumers' use of an appetite suppressant and show that, under high involvement conditions for this product, consumers do not shift preferences over a range of reported performance (e.g., weight loss). The catastrophe model is also shown to be superior to a linear (i.e., OLS) model of the same data.


An Empirical Test of the Consequences of Behavior- and Outcome-Based Sales Control Systems

October 1994

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144 Reads

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695 Citations

Journal of Marketing

In a previous volume of this journal, the authors presented a behavior versus outcome sales control continuum based on methods of monitoring, directing, evaluating, and compensating the salesperson's efforts and results. They empirically test their propositions about how control system perceptions influence salespeople on a diverse sample of sales representatives. They find that the predicted effects of control philosophy on affective and motivational states are generally supported whereas the effects on sales strategies or performance outcomes are not. Organizational culture differences are also observed.


An Empirical Test of the Consequences of Behavior-and Outcome-Based Sales Control Systems

October 1994

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27 Reads

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245 Citations

Journal of Marketing

In a previous volume of this journal, the authors presented a behavior versus outcome sales control continuum based on methods of monitoring, directing, evaluating, and compensating the salesperson's efforts and results. They empirically test their propositions about how control system perceptions influence salespeople on a diverse sample of sales representatives. They find that the predicted effects of control philosophy on affective and motivational states are generally supported whereas the effects on sales strategies or performance outcomes are not. Organizational culture differences are also observed.


Citations (22)


... Brand loyalty means consumers' consistent preference and purchasing behavior to a particular brand in their purchasing decisions [2]. It not only relies on the quality of the product itself but is also closely related to factors such as consumers' emotional attachment and their experience [3]. ...

Reference:

What Makes Loyalty Programme Work: The Effectiveness of the Battle Pass System in Chinese MOBA Game in the Perspective of Consumer Perception
Whence Consumer Loyalty?
  • Citing Article
  • October 1999

Journal of Marketing

... This gap in the sales control literature is addressed in the current study by extending outcome controls beyond those associated with revenue generation. Consistent with our model, scholars have examined sales outcome controls as antecedents to autonomous motivation (Mallin and Pullins, 2009;Miao et al., 2007;Miao and Evans, 2013) to predict job satisfaction (Miao and Evans, 2012;Challagalla and Shervani, 1996) and sales performance (Oliver and Anderson, 1994;Cravens et al., 2004;. However, in an inside sales organization, sales and phone operational results have substantial oversight (Sleep et al., 2020) and are tracked, measured and reported daily. ...

An Empirical Test of the Consequences of Behavior-and Outcome-Based Sales Control Systems
  • Citing Article
  • October 1994

Journal of Marketing

... Reliability was assessed through Cronbach's alpha and composite reliability metrics. A Cronbach's alpha score exceeding 0.7 reflects adequate construct reliability [37], [38]. Similarly, composite reliability (CR) values above 0.70 and average variance extracted (AVE) values over 0.5 are deemed satisfactory [39]. ...

A Catastrophe Model for Developing Service Satisfaction Strategies
  • Citing Article
  • July 1992

Journal of Marketing

... Previous studies highlight the role of outcome-based compensation for salespeople's motivation and subsequent behavior (e.g. Hohenberg and Homburg 2016;Oliver and Anderson 1994). As such, outcome-based compensation relates to a salesperson's instrumentality because it captures the salesperson's belief that being successful in maximizing profit through defensive behavior will improve the financial compensation he or she receives. ...

An Empirical Test of the Consequences of Behavior- and Outcome-Based Sales Control Systems
  • Citing Article
  • October 1994

Journal of Marketing

... Intention to use is defined as a specific desire to continue relationship with a service provider. Attitudinal measures have an advantage over behavioural measures (actual or repeat patronage) in that they can provide understanding of the factors associated with the development and modification of patronage [33]. ...

A Catastrophe Model for Developing Service Satisfaction Strategies
  • Citing Article
  • July 1992

Journal of Marketing

... In the next step, participants saw a picture of an online advertisement for a loan from their (fictitious) bank ("ABC Bank"), from which they subsequently aimed to obtain their loan (see Web Appendix A2). Following common practice to prime customer evaluations of a service encounter (Hamer et al., 1999;Oliver and Burke, 1999), we asked participants to imagine that they had been satisfied with the bank's services before the travel loan application. ...

Expectation Processes in Satisfaction Formation: A Field Study
  • Citing Article
  • February 1999

Journal of Service Research

... Experiences range from ordinary (common, frequent activities) to extraordinary (uncommon, rare events) (Skandalis et al., 2019). The multi-dimensional nature of customer experience extends beyond rational considerations to include cognitive, emotional, physical, sensory, and social dimensions (Oliver & Westbrook, 1993). ...

Profiles of Consumer Emotions and Satisfaction in Ownership and Usage
  • Citing Article
  • Full-text available
  • January 1993

... Following this, respondents were asked to complete measures of "expected satisfaction" and "need for more information." The measure for satisfaction (Oliver, 1992) contained the items, "I would be satisfied by it," "I would be pleased by it," and "I would be happy with it." The measure of desire for more information (Phelps et al., 2001) was comprised of the items, "I would need to look up more information," "I would need to spend more time researching this product," and "I would need to know more about this product." ...

An Investigation of the Attribute Basis of Emotion and Related Affects in Consumption: Suggestions for a Stage-Specific Satisfaction Framework
  • Citing Article
  • January 1992

Advances in consumer research. Association for Consumer Research (U.S.)

... The success of any new technology, such as mobile payment services, relies heavily on customer perception and satisfaction during a service encounter. Therefore, the adoption of mobile payment services occurs only when customers have a positive perception and are satisfied with their usage of these services (Oliver, 1994). Customer satisfaction refers to the extent to which expectations are met and the quality of services provided by mobile phone service providers. ...

Conceptual Issues in the Structural Analysis of Consumption Emotion, Satisfaction, and Quality: Evidence in a Service Setting
  • Citing Article
  • January 1994

Advances in consumer research. Association for Consumer Research (U.S.)