Tuesday, March 25, 2008

MK299- Response to Max Kalehoff's Blog

According to Max Kalehoff's blog, "Ignorant Customers Happier With Their Choices" customers are happier with their purchases if they don't know much about the product they are purchasing. He calls this the Blissful Ignorance Effect. Customers want to be happy with their purchase since they just spent money, so the customer will "engage in whatever distortion is needed to justify the purchase." I never thought about this theory before, but I think it makes sense. If I know too much about the product I'm purchasing, I will have high expectations. If the product does not meet up to my expectations I will be mad that I spent that money.

In regards to the entertainment business- if a person wants to go to a movie that had a lot of hype, they will suck it up and pay the expensive theater prices. If the movie does not meet their expectations the customer may be mad they wasted their money. Another example of this thery would be if a person waiting on line at a supermarket may grab a magazine that catches their attention. That person may spend $4 on a tabloid because they didn't think much about it therefore no need to justify their purchase.

In conclusion, if a customer doesn't have an emotional attachment to a product, they will be a happier customer.

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