Essay on Case Study

Words: 1768
Pages: 8

Selected Answer Guide: CASE STUDY

CASE 2-3 CAMRY goes interactive to attract black women

Q1) There are three types of reference group influence – informational, normative, and identification. Assuming Bianca is a representative for the group consisting of successful, urban, professional African-American women, which type(s) of group influence do you see operating in this campaign?

Informational influence is a potential since a member of the target group is implicitly saying, “You are like me and I like this car, so you will too”.

Normative influence is not really being utilized in this campaign. There is no threat of punishment or promise of a reward by the group for compliance (buying the Camry).

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Consumer comfort is “a psychological state wherein a customer’s anxiety concerning a service has been eased, and he or she enjoys peace of mind and is calm and worry free concerning service encounters with [a specific] provider.” Service employees likely play a strong role in developing comfort given the high-contact nature of many services. • Brand loyalty may also arise through performance so far above expected that it delights the customer. Such superior performance can be related to the product, the firm itself, or, as mentioned earlier, the manner in which the firm responds to a complaint or a customer problem. Delight has been demonstrated for high involvement services as well as for more mundane customer Web site visits.

Based on this, it should be clear that the Rewards Club is really a program that could encourage repeat purchases but not loyalty.

Q2) Beyond earning $$ for purchases, can you think of other aspects that could be added to their program that would enhance loyalty?

Some experts distinguish between “hard” benefits such as points and money and “soft” benefits such as special service treatment and so on. Students should be encouraged to think along the “soft” benefits dimension. Better, more, personalized customization, personalized shopping assistants (which they now have implemented), and so on.

CASE 6-1 children’s online privacy