Mobile Phone Technology and Its Impact on Consumer Emotions, Satisfaction & Retention: A Case Study of Mix Radio Service
This research was focused on the exploration of the influence of mobile technology on customer retention within a telecommunications service context. It sought to determine the relationship if any between mobile self-service technology on consumption emotions, consumer satisfaction and repeat purchase or usage. The work contributes towards the extension of the retention and customer journey model by(J. Curran, Varki, & Rosen, 2010) by proposing a filter of mobile application a form of self –service technology (SST) in the relationship between emotions, satisfaction and retention. The study was carried out utilising an application with mass appeal called mix radio as a case study. A version of the Consumption Emotion Set (CES) was utilised for the research (Richins, 1997). The research findings confirmed the theoretical expectations that consumer satisfaction can be positively or negatively affected by stimulation of positive or negative emotions because of technology.
It validates the assumption that technology is an indispensable part of the consumer journey. This could in turn impact considerably on the propensity for repeat purchase. This also extends the current application of Richins’ Model to the telecommunications space and makes a strong case for investment in m-Commerce particularly the design and implementation of the user experience as a key trigger for retention and profitability which are essential. This study provides a basis for organisation to plan the optimisation of customer lifetime value recognising the invaluable role mobile technology self-service options play in ensuring long term business sustainability.
Figure 1: Emotions Appraisal Systems Process
Figure 3: Decision Making Model
Figure 4: Richins Consumption Emotions Set
Figure 5: Conceptual: Technology filter of the Consumer Behaviour Model
Figure 6: Customer Experience Model
Figure7: Diagram of the Mix Radio Service
Figure 10: List Validated Descriptor
Figure 12: Respondents Profile
Figure 13 Emotional Variables Descriptive Analysis
Figure 14: Descriptive Analysis: Smartphone Technology, Apps, Consumer Satisfaction & Retention
Figure15: Table of Summary Research Findings
OS Operating System
IOS iPhone Operation System
AI Artificial Intelligence
IoT Internet of things
SST Self-Service Technology
MSST Mobile Self-Service Technology
The acquisition of new consumers especially in mature markets is costly compared to the cost of retention(Livne, Simpson, & Talmor, 2011). This is even more so due to increased competition, dilution of differentiation and the ever-increasing cost of marketing (Mooradian & Olver, 1997). In addition to cost, the evolution of technology has played a crucial role in changing business models and expanding the reach of businesses (James Curran & Meuter, 2007). Despite the increased use of technology,(White & Yu, 2005) suggest consumer satisfaction is crucial to repeat purchase.
The increase in smartphone and tablet penetration rates to 22% by end of 2013 representing a 1.3billion growth in smartphones in four years, highlights changing consumer touch points (Heggestuen, 2013). Apple and Android continue to dominate the mobile space with 12.3% and 83.60% share respectively (IDC & Gartner, 2016). Per (Hilton, Hughes, Little, & Marandi, 2011) the increase in volumes and decreased margins, makes self-service technology a viable option for firm to do business going forward. Works by (Allen, Machleit, & Kleine, 1992) suggest consumers are influenced by emotions especially during post purchase evaluation. (Oh, 1999) suggest this could also impact consumer service perception, satisfaction levels and the propensity for repeat purchase.
This study aims to extend the country retention and customer journey models to reflect the impact of technology. It proposes to extend the model by the introduction of technology as a part of the model and establish the influence of technology on consumers and organisational profitability.
The Mix Radio service was used a research case study while (J. M. Curran, Meuter, & Surprenant, 2003) model, was applied as a framework for the research which aligned with expectations that technology has considerable impact on emotions, satisfaction and the retention rate within organisations.
Several studies have sought to establish a link between emotions, satisfaction and repeat purchase. Works by (J. Curran et al., 2010) and (P. Williams, 2014)have established that negative consumer emotions have strong negative impact on consumer satisfaction while positive consumer emotions have positive impact on consumer satisfaction. (Achar, So, Agrawal, & Duhachek, 2016) also posit that these emotions and subsequent impact on satisfaction also influence consumer post purchase behaviours. None of the existing models however extends to include the impact of mobile applications technology on retention.
(Emotions, 2000), however suggests that while the impact of emotions on satisfaction levels and repeat purchase is known, the weight of the impact still basks in obscurity.
The uncertainty around impact makes it difficult to model positive or negative emotions within the consumer satisfaction and repeat purchase process. It is posited that decision making could be greatly influenced by motivation and affective processes amongst other things (Bandyopadhyay, Pammi, & Srinivasan, 2013). Understanding this link is of importance to marketers in addition to insight into consumption emotions due to its influence on decisions(Achar et al., 2016).
Despite the established role of emotions in purchase decisions, understanding how the evolution of technology has influenced the consumer decision making process especially due to the increasing penetration of usage of mobile devices is yet to be thoroughly investigated. Understanding how technology especially mobile applications as self-service tools influence positive and negative emotions while the consumer purchase process is important for ensuring consumer retention, long term sustainability and profitability. This research aims to provide answers to this challenges by establishing clear impact of mobile apps on emotions and customer journey model.
This research was focused on the exploration of the role mobile technology plays in influencing consumption emotions, consumer satisfaction and retention. This study brings to fore proof of the role of technology in influencing consumption emotions and its subsequent impact on repeat purchase intentions. An exploration of literature explores the evolution of technology and its role in today’s business landscape. It also reviews various bodies of works that provide basis for linking consumption emotions, satisfaction and intention for repeat purchase.
The need to explore technology as part of the model is also explored. While a better understanding of technology is required as it continues to evolve to increasing levels of intelligence, a model has been developed to explore how current technology and the pervasive mobile devices / apps is related to emotions, consumer satisfaction and retention. The study explores this relationship with some hypothesised constructs based on literature and these were tested during this study such as the work by(J. M. Curran et al., 2003).
This study would aim to answer the following questions:
The questions would aim to understand the role of the ease of use and build in interactivity of the applications help increase the usage of technology and the levels of satisfaction the consumer experiences for using the service. In addition, it would explore the factors that make technology easy to adopt in enabling a feeling of satisfaction for the consumer while exploring what kind of emotion is at play because of adopting and being able to effectively use the technology to the point of satisfaction.
The research would be aimed at delivering against the following objectives:
The following hypothesis were constructed and tested to fulfil the research objectives:
Works by (Hennig-Thurau, 2004) assert the influence employees have on service satisfaction. The emergence of smartphones and tablets as a customer touch point makes it vital to understand especially for businesses where it is the only channel for business. The study by (Cunningham, Young, & Gerlach, 2009) provides evidence of difference traditional channels and online channels.
It estimated by (eMarketer, 2014) and (Radicati, 2014) that over the growth of devices used would increase from about 7billion in 2014 to 12 billion by 2018 globally making it one of the largest customer touch points and self-service platforms going forward. This research aims to extend the model posited by Curran et al (2003), by incorporation of mobile Apps as a self-service channel while establishing its relationship to consumer satisfaction and retention. Understanding this relationship within this lost cost channel would immensely help business profitability and hence long-term business sustainability.
With recent estimates by Juniper Research suggesting that the value of m-commerce transactions could increase from $1.5 trillion in 2013 to about $3.2 trillion globally by 2017 its importance in any business cannot be ignored (Fraud practice, 2013). The value of mobile technology especially m-Commerce driven by mobile apps may be vital as a key influencer for retention and increased revenue given its forecasted growth as a channel for businesses.
The mediating effect of mobile applications as self –service channel on consumption emotions, satisfaction and retention was investigated using Mix radio as a case study.
The application ensures access to a cross cultural database of respondents enabling representative to be collected and analysed. A quantitative research methodology was utilised. Data gathered was analysed using inferential and descriptive statistics.
The methodology aligns with the works of(Hon, 2005),(Marshall & Jonker, 2011) and (education-portal.com, 2014) for researching outcomes based on various influences.
A questionnaire based survey instrument was used for data gathering. The questionnaire was modelled referencing the work of (Richins, 1997), while the framework by (Westbrook & Oliver, 1991) guided the satisfaction and retention rates using the Likert scale for measurement. The research population consisted of smartphone users and consumers who currently use the Mix Radio service within the United Kingdom and Nigeria. A sample size of 100 users in London, Hampshire, Newbury and Lagos was utilised for the study. A questionnaire pilot test with 10 respondents consisting of known users of the service in London was used. Questionnaire was refined based on the output from the pilot and expert validation from research mentor. The Cronbach Alpha was also used as a test of validity as suggested by (Peterson, 2013).
In conducting this study, it was assumed that the(Richins, 1997)model adaptation based on the outcome of the pilot provided the best list of emotions that could be elicited within the telecommunication space. In addition, it was the researchers’ assumption that the provision of anonymity within the process of data entry on the part of respondents provided the motivation for consumers to be honest in their evaluation enabling a true representation of emotions and hence satisfaction levels and retention rates for the Mobile Self-Service Technology (MSST) and service offering.
Due to the Omni- channel approach to data collection a return rate of 30% across all channel was assumed as optimal due to variation of return rates within channels. It was assumed that dispersion of the survey tool would exceed the target 100 due to referrals from primary respondents(Texas, 2008). Validation was tied to expert review and pilot testing to ensure final data sets were adequate for analysis. The study context was constrained to telecommunications sector with the case study set within a service provided by an OEM. Although applications can be utilised for other services, this has been limited to an entertainment service within the telecommunications space to enable access to respondents and data.
The United Kingdom and Nigeria have been utilised for data collection as representation of a mature and high growth market, the mitigating effect of culture has not been explored as an additional factor in its interaction with technology and its role in everyday life. Other factors that influence learning and its impact on self-efficacy technology was also not explored.
Below are definitions utilised during this study.
Consumption Emotions: This refers to the emotion elicited or triggered using the service via the channel of a mobile self-service technology (MSST).
Mobile Self- Service Technology: This is the mobile application used to access or use a specific service in this case the Mixed Radio service or other mobile applications.
Consumer Satisfaction: This references the feeling of positive emotional response to the service levels from the use of the application.
Retention: This refers to the continuous usage of the service or intention to continue usage. Indication of repeat purchase has been used a proxy for the determination of retention within the context of this research.
Technology: This refers to mobile technology such as hardware, software and applied services. It also includes user experiences within the smartphone that makes the totality of the experience. Experience enablers such as operator billing or mobile billing services provided by third parties are included.
The dissertation includes six chapters. The first chapter provides an overview the problem this study sought to explore. It gives insight into the research problems, the purpose and significance of the study and how the study would be carried out. The second chapter is an exploration of literature to provide a theoretical basis for the study. The third chapter details the elements of the research itself including population sample, method of data collection.
It also details the validity and reliability for the survey instrument and the methods of analysis. In addition, the measurement criteria of the variables are outlined.
The fourth chapter contents and analysis off the data collected. The fifth chapter outlines the outcome of the data analysis and the implication. The concluding chapter includes a recommendation of further extension of the work from the researches point of view and the conclusion to the study. Other possible areas of research to further take this body of work forward have been indicated.
The objective of this chapter is to provide a theoretical basis for this study by reviewing conceptual frameworks. The literature provides a snapshot of bodies of work exploring the concepts of consumer satisfaction, emotions and retention. Current thinking on technology as a part of the customer purchase matrix is extended to include mobile apps/ technology.
This review provides the rationale and exploration of mobile technology as a part of the consumer retention model. The research crucially posits a new model which incorporates mobile apps as a part of the consumer retention model and as a key trigger within the decision-making process.
Emotions as a concept is well researched. It’s a vital part of everyday life and has been
attributed by some researchers as a crucial part of the evolution process(Emmons & McCullough, 2003). It said to be the lens through which we see life, make decision and what makes us human and difference(Nesse & Ellsworth, 2009). Its individual and could vary from one person to the other even when the situations are the same. It’s a vital component how satisfied customers are with the product or service and it’s a vital metric for businesses to ensure retention(White & Yu, 2005) . It’s important to businesses according (H. J. Lee & Kang, 2013) lies in the fact that it a strong indicator of customer intentions, response to the brand , product or service , satisfaction and repeat purchase intentions .
Like most complex phenomena, it is suggested that there is no one definition that completely captures the essence of this concept. While the subject has been researched extensively, the view and definition defers based on the paradigm being explored by the researcher. Concepts such as basic emotions (Laros & Steenkamp, 2005), dimensional view of emotions (Westbrook & Oliver, 1991) are some of the viewpoints taken in a bid to define the subject. However, it has been agreed by scholars that is a multi-component phenomena involving an emotion elicitation triggers and a multi-emotional response (Achar et al., 2016).
Randolph & Ellsworth in their work on Evolution, Emotions, and Emotional Disorders referencing works by (Carroll E. Izard, 2007) suggests that the definition of emotions illustrates elements of physiology , experiences , facial expressions and would be skewed towards one element or the other . It is posited that emotions are ways of behaviour, are influenced by evolution, cognitive, motivational in nature and could be said to be suggestive responses in a bid to adopt to the various situations .Emotion determines how we perceive our world, organise our memory, and make important decisions(Brosch, Scherer, Grandjean, & Sander, 2013)
Works by (Sander, Grandjean, & Scherer, 2005) suggest however that emotions compromises of various elements and proposed a definition that attempted to synthetize the various elements of this complex phenomena . They hypothesized that emotions could be defined as an ‘’episode of interrelated, synchronized changes in the states of all or most of the five organismic subsystems in response to the evaluation of an external or internal stimulus event as relevant to major concerns of the organism’’
This work has been extended with (Lindebaum & Jordan, 2012) suggesting that emotions could be negative or positive in nature which could be a response to perception of a situation or experience .
An exploration of the various types of emotions is based on an understanding of how these emotions emerge(Carroll E Izard, 2010). The thesis put forward by (Sander et al., 2005) suggest differentiated emotions are a result of reaction to a salient event. Hence, how the event is appraised or evaluated could significantly influence the emotional response or outcome. It is also posited that several elements such as cultural values, group pressures, individuality can significantly alter the outcome (Ellsworth & Scherer, 2001).
The effect of the appraisal process itself or recall of the experience it is theorised one of the key factor in determining the different discrete emotions. The figure below illustrates the appraisal process as theorised by (Sander et al., 2005). It important to note though that while appraisal, perception and non-cognitive processes could influence or trigger emotions, these in themselves cannot create emotions. Thus, emotion feelings can be activated and influenced by perceptual, appraisal, conceptual, and noncognitive processes (C E Izard, 1993), but cannot be created by them. One of the long running questions is how many exists and what are they (Keltner & Lerner, 2010)?
Source: Ellsworth, P. C., & Scherer, K. R. (2001). Appraisal Processes in Emotion: Theory, Methods, Research BT – Theory, Methods, Research. In Theory, Methods, Research (p. 496). Retrieved from http://books.google.com/books?id=Lk-htarMhL0C&pg=PA92&dq=Appraisal+Considered+as+a+Process+of+Multi+Level+Sequential+Checking&hl=&cd=1&source=gbs_api%5Cnpapers3://publication/uuid/C3BD3050-4F7F-4FEA-BC60-710B6AAB9109
As with the definition of emotions itself, the types of emotions have also been widely researched with scholars proffering various theories. Research by (Tracy & Randles, 2011) builds up the postulations of (Ortony & Turner, 1990) which suggested that at the core of emotions are a set called basic emotions . These set of emotions were further categorised into basic, primary and secondary by (Parrott, 2001). This theory of a core set called basic emotions aligns with (Plutchik, 2001, 2005) which highlighted a list of emotions which was categorised as being part of this range of basic emotions .
Source: Plutchik, R. (2005). Emotions and Life: Perspectives for Psychology, Biology, and Evolution. American Journal of Psychiatry. https://doi.org/10.1176/appi.ajp.162.2.409.
While the list of basic emotions may vary based on the author , (Fredrickson & Branigan, 2005) identified all emotions as being either positive or negative . Works by (Ellsworth & Scherer, 2001)clearly establish the impact of appraisals on emotions . The certainty, legitimacy of outcome, may be occasioned by the individual or triggered by an event (I. J. Roseman, 2013; Ira J. Roseman, 1991). The theory of appraisal suggests that a combination of 5 appraisal variants could result in a combination of 13 different emotions within a situation or event. Amongst the appraisal variants posited is the situational state or event state. Based on the works of (I. J. Roseman, 2013) , there are emotions linked or triggered by specific situations or events .
This aligns with (Phillips & Baumgartner, 2002; Richins, 2008) works which links emotions to specific events in this case the consumption of a product or service. It is suggested that consumption emotions are distinct from other types of emotions due to its less intense nature. It is posited that emotions resulting from the consumption of product or service are narrow in nature (Richins, 2008).
These emotions are classified as being crucial to consumers as products or services are purchased to meet needs and ensure the fulfilment of goals. The emotions derived from the consumption experience such as joy or excitement contribute towards the satisfaction of the consumer and is linked to the consumption. The positive emotions displayed influence brand loyalty while positive or negative emotions from the consumption could determine word of mouth and propensity for repeat purchase.(Phillips & Baumgartner, 2002; Yu & Dean, 2001).
Emotions have been established to broadly to be either positive or negative and could be as a result of several appraisals (I. J. Roseman, 2013). The broad categorisations of emotions aligns with earlier works by (Westbrook & Oliver, 1991) with suggested that emotions have both positive and negative dimensions . It is asserted that both dimensions are interlinked with either or both dimensions of emotions present within a consumption process. It is however posited that consumption emotion is difficult to measure due to the variation and nature of the consumption experience.(Richins, 1997)
Having established emotions are linked to appraisals and specific events such as purchases , (Achar et al., 2016) suggested that emotions influence decision making. It is posited that the stimuli from emotions go through the process of cognitive appraisals are impact of consumer decision making. This aligns with the works of (Lerner, Li, Valdesolo, & Kassam, 2015) which implies that emotions are strong influencers, of decision making either positively or negatively.
Other works by (Damasio, 2006) establishes the linkage between decisions and decisions linking awareness of feeling attached to options as being vital in the process of decision making . This evaluation process is vital in consumer behaviour and is a key driver for consumption and the arousal of emotions are vital for decisions (Reddy, Rosenwein, Author, Plamper, & Stearns, 2010).
Emotions is said to be a filter by which decision are processed (Plummer et al., 2007) hence it asserts a significant amount of influence over the outcome of the process which invariably links to elements such as purchase and satisfaction. The positive affect needs
to be translated into the post purchase phase to ensure the right effects occur during cognitive dissonance. Consumption emotion is vital in its influence on satisfaction and the potential to generate repeat purchase or loyalty(Fraering & Minor, 2013).
Source: Plummer, J., Cook, B., Diforio, D., Schachter, B., Sokolyanskaya, I., & Korde, T. (2007). Measures of Engagement Volume II. ARF, II, 64. Retrieved from http://gandrllc.com/reprints/Measures_of_Engagement_Vol_II_Final_Paper.pdf
In addition to the identification of the role of emotions in decision making, it is asserted that consumer purchase certain product or services due to specific features , attributes , a match to needs or motivations(Seva, Duh, & Helander, 2007) which is linked to the product or service design.
Emotions per (J. Williams, 2009) influences consumption patterns . It is further posited that that emotions could be branded as either hedonic or could require a self-asserted process to be manifest. It is posited that an evaluation of the temporal frame of the emotion determines how important it is to the consumer. Hence it is argued by (C. Mogilner, Kamvar, & Aaker, 2011) that purchases made by consumers are made to reinforce or increase happiness . Hence it is suggested that consumers would focus on happiness for further experiences and it could be state of excitement or arousal when something is expected. The intensity of the arousal either high or low determines the type of product or service purchased.
With emotions being a vital part of everyday life and decision making it important to understand not just what dimensions of emotion exist but how to measure it (Plutchik, 2005; Trampe, Quoidbach, & Taquet, 2015). Various methodologies have been posited for measuring emotions. Verbal and non-verbal cues are asserted by (Desmet & Desmet, 2003) as a means of measurement . The nonverbal elements can be measured by tools which aim to quantify the expressive or physiological components of emotion.
The complexity of emotions such as multiple emotions at play at the same time makes measuring instruments inadequate as its difficult untangling the cluster of emotions.
Works by (Shi et al., 2007) Galvanic Skin Response (GSR) which measures arousal or stress fell short of identifying specific emotions. However since consumption emotions are specific to products or service experience, the Consumer Emotions Set ( CES) model proposed by (Richins, 1997, 2008) includes a range that enables measurement consumption emotions.
While this body of work creates a good base for measurement within this research, it’s vital to tailor the range to be reflective of the product or service eliciting the emotions.
Source: Richins, M. L. (1997). Measuring Emotions in the Consumption Experience. Journal of Consumer Research, 24(2), 127–146. https://doi.org/10.1086/209499
As consumer continue to evolve, so does the interaction with the environment and the way of dealing with everyday tasks evolve. Various advancement in technology such as the advent of ATMs (Automated teller machines) which changed the banking landscape forever , other technology advancement have profound effect on other aspects of life or commerce (Gammon, 2009).
Since the creation of the Global System for Mobile communication (GSM), evolution of the internet and series of improvements in mobile technology, consumer behaviour has continued to evolve (Karimi, 2013). This aligns with the works of (Constantinides & Fountain, 2008) which suggests that elements such as online communities, search engines, increased penetration of the internet, social media , content and global interaction online provides a new dimension to consumer behaviour which keeps evolving .
Technology continues to evolve not just as means to get more done but is posited by (Lawson, 2010) to be an extension of the human . Hence its central not only as a tool but as an intricately linked part of the consumer decision making process. Making it important as a part of the purchase cycle. Hence an understanding of how this translates to consumer behaviour, customer’s interaction online via various channels is vital to provide the right experiences and to find ways of enhancing them(Zhang, Agarwal, & Lucas, 2011).
It is posited that the internet environment through which purchase decisions are made via
pcs, tablets, mobile devices influence the purchase decision. Understanding behavioural models are vital in understanding how the environment of the interaction impacts on decision making or purchase decisions (Karimi, 2013)
While works by (Kotler & Keller, 2016) suggest that consumer decision process takes place across four stages , the context of the purchase is also considered a critical part of the process (Jeddi, 2013). It is therefore suggested by this researcher that the consumer behaviour model posited by (Jeddi, 2013) should have technology as a part of it , across the entire process.
This is based on the premise that technology modifies the various stimuli both internal and external thereby altering expectation and type of products and services that meets consumer needs.
Source (Adopted from): Jeddi, S. (2013). Consumer behaviour and Consumer buying decision process. International Journal of Business and Behavioural Sciences, 3(5), 20–23.
All purchases or decision making processes are however not the same. The increase in complexity of the purchase impacts on the complexity of the decision-making process and conflict the consumer experiences with each option. This is linked to the associated risk for each decision or purchase and the attributes of each of the alternatives
(Kotler & Keller, 2016).
The relationship between the consumer and the supplier according to (Flint, Blocker, & Boutin, 2011) is becoming more relational , deeper and complex. As the degree of collaboration increases, the insight to customer value increases. However, the customer value perception continues to evolve with supplier aiming to mitigate the constant changes with anticipatory model of customer value.
It asserted that there is a strong correlation between being able to anticipate where consumers place value with satisfaction levels and loyalty. Recent work by (Zorfas & Leemon, 2015) however suggest that the customer value can be maximised by deep emotional connection , move beyond satisfaction by tapping into the core motivations and unspoken emotional needs of the customer . The customer experience has been identified as a critical part of ensuring customer satisfaction (Verhoef et al., 2009). It is also asserted that previous customer experiences become a filter for evaluation of new customer experiences. Various elements make the totality of the customer experience.
Elements such as social environment, service interface, retail atmosphere, price, omni channel experience, brand, other factors such as culture, location influence the appraisal of the experience, the type of emotion that is elicited and invariable the perception of that experience. This would determine to a large extent the effect on motivational factors, emotional needs and the level of happiness or otherwise the consumer derives(Jüttner, Schaffner, Windler, & Maklan, 2013; Cassie Mogilner, Aaker, & Kamvar, 2012).
Source: Verhoef, P. C., Lemon, K. N., Parasuraman, A., Roggeveen, A., Tsiros, M., & Schlesinger, L. A. (2009). Customer Experience Creation: Determinants, Dynamics and Management Strategies. Journal of Retailing, 85(1), 31–41. https://doi.org/10.1016/j.jretai.2008.11.001
Consumer experience is not only vital in eliciting emotions but it’s part of the elements evaluated by the consumer in determining the degree of satisfaction or dissatisfaction with the service or product.
The role of emotions in the process of decision making has been established with this element via in evaluation and the degree of satisfaction or dissatisfaction a consumer may perceive to experience(Phillips & Baumgartner, 2002).Several theories have been put forward to enable an understanding of the mechanism by which consumers judge satisfaction.
It is implied from various studies that consumer satisfaction theories can be broadly categorised as falling into three main groups: Expectancy disconfirmation, Equity, and Attribution(Adee Athiyaman, 2004).
While various theories of satisfaction have pros and cons, the core of the satisfaction process is a comparison between the expected performance of the product and service and the actual performance experienced. (Erevelles & Leavitt, 1992) . It is therefore asserted that consumer have prior standard for evaluation which per (Morgeson, Mithas, Keiningham, & Aksoy, 2011) influences the level of quality perception of the experience , product or service.
It is asserted that slight reduction in the quality perception would then lead to assimilation while a significant dip in perceived quality leads to a contrast, causing the perceived dip in performance to appear even larger.
This aligns with earlier works by (Szymanski & Henard, 2001) which links satisfaction to an appraisal of the purchase or experience .The concept of satisfaction is however attributed to contain some elements of complexity as it suggested it extends beyond just cognitive evaluation as it involves emotions filter via various appraisal index.(Bloemer & Kasper, 1995; Westbrook & Oliver, 1991). The concept of consumer is also said to be a continuum per (Westbrook & Oliver, 1991)ranging from unfavourable to favourable i.e. dissatisfied to satisfied.
Consumer satisfaction is how not a precise science due to its subjective nature. Satisfaction would be and is impacted by elements such as emotions, customer needs, products services features / attribute, the location of the experience, perception of service quality(Dominici & Guzzo, 2010), culture, customer value and customer expectations. Other elements such as employee, effectiveness and design of delivery channels(Hoyer & Stokburger-Sauer, 2012). could impact on the evaluation of the totality of the experience and the satisfaction or dissatisfaction of the consumer(Milfelner, Snoj, & Korda, 2011).
While the impact of factors such as emotions has been clearly established in literature, with evolution of man and technology extending humanity(Lawson, 2010), its impact in the equation of consumer satisfaction cannot be overlooked . Infact it is posited by this researcher that technology could be the singular most significant factor in evoking consumer satisfaction in today’s world as its now embedded in the consumption process.
In addition to be being an extension of humanity(Lawson, 2010), technology is also a tactic to reach new markets and service market segments that were impossible to serve previously using traditional business models(Kelly, Lawlor, & Mulvey, 2010). Hence it could be asserted that technology, humanity and enterprise in today’s world are intricately linked.
It provides a means of drive business efficiencies but also increases the freedom of choice for the consumer making it an appraisal filter for consumer experiences .(Sander et al., 2005)
In addition, with the ability to serve new segments and markets, the changing demographics globally which a shift to younger population and with over 3.6 billion people(Project, 2016) globally now online, the increased penetration of technology makes it an essential part of consumer experiences in several parts of the world. Alongside the increase in internet penetration is is the growth of mobile devices and self-service platform through these devices in the form of mobile apps. These have become the singular fastest growing channel for commerce in today’s business landscape. By learning to adopt to technology, due to acceptance of the risk and assessment of the attendant benefits, the role of technology continues to expand within the consumption and decision making matrix(Meuter, Ostrom, Roundtree, & Bitner, 2000).
The increase in internet penetration has been in tandem with the accelerated growth of mobile technology. According to (Statista, 2015) , there is an evolving shift in the volume of transactions with mobile payments volume valued at $163.1 billion with a forecast of $721.4 billion for 2017. The growth in mobile transaction comes as mobile technology becomes more accessible while at the same time increasing in capabilities.
The increase in accessibility is also aiding the scalability of m-Commerce capabilities while reduction the cost of implementation across the business landscape. The shift in volume mix across the Omni-channel journeys is causing a decline in physical retail presence and blurring lines between physical and online presence (Brynjolfsson, Hu, & Rahman, 2013). Increased logistics has also increased the rate of competition by opening consumers up to several new options that were previously out of reach within some markets.
As adoption increases and the mobile becomes even more pervasive, it is posited that it assumes a significant role in the expression of emotions increasing the affective nature of the relationship between the mobiles and the consumer. Hence it would determine the context within which consumer give meaning to experiences (Seva et al., 2007)due to the emotional cue inherence or attributed to the devices themselves. It is further suggested that the effect of mobile goes beyond just triggering emotions but determining the level of satisfaction derived and indeed the outcome of the consumers experience (Ulu & Smith, 2006).
Works by (Jan & Abdullah, 2014) assert that certain factors are important for technology to translate into consumer satisfaction . The study shows there is a mediating effect of these critical success factors on trust with trust being an important factor in influencing consumer satisfaction. A critical element is the fact that these devices are capable of being as private as desired either via basic levels of protection such as passwords or new additions such as finger print technology or facial recognition. Various encryption technologies and security features such as those provided by firms like Black Phone ensure consumer rights are protected further amplifying the role of trust within the equation. The element of privacy is in itself considered as being valuable by the consumer(Wagner DeCew, 1997) .
Smartphones like all other technologies work based on series of connected elements.
The physical element of the device is called the hardware while the element that enables this hardware work is called the operating system. While several other operating systems exist, or are included in certain devices, the Android OS by Google and IOS by Apple are the two predominant globally. Until recently Windows was in the running, however with Microsoft putting an end to its mobile division, the windows OS at least on mobile seems to have come to a logical end. Each of these OS however carry out tasks based on applications or apps which enable various tasks to be carried out. These apps are vital as critical touch points within the m-Commerce space with an estimate of $669bn revenue by 2018 forecasted via the channel by (Statista, 2015).
As an enabler within smartphones, apps have continued to grow in terms of numbers and downloads. Per (Statista, 2013) mobile app download should grow from 2.52bilion globally to in 2009 to about 268.69 billion in 2017. This implies that consumers now have a means of carrying out tasks which is available 24 hours a day and resides in the consumers’ pocket. The convenience and the low cost per acquisition model of this channel makes it attractive to companies as a channel of trade(Campbell & Frei, 2010).As suggested by (Meuter et al., 2000), self-service technologies such as mobile devices and apps are evolving the way consumers interact with service providers or organisation offering various products . Not only does the change affect satisfaction it has implication on repeat purchase intentions.
Self-service technologies are themselves described as technology interfaces that enable consumers access products or services within direct involvement of service employees.
These could be via platforms such as web self-service, interactive voice response (IVR), self-check-out, kiosk and apps. The increased penetration of apps, organisations from multi-national to small businesses have taken advantage of the trend to reach consumers.
The Mix radio service is one of such services utilising this trend to reach consumers with a music streaming service.
Originally the brain child of Nokia which was launched in 2011, the decline in the CD sales saw this service step in to provide personalised music service, enabling users to have their own radio station that plans and knows what music users want to hear. With footprints in over 31 countries such as UK, China and the US, the selection of music provided was designed to reflect the users’ location. Its customisation such as ability to play hundreds of mixes without a paid subscription helps it quickly ramp us users and in 2014, it was purchased by Line corporation following the divestment of part of the Nokia mobile business on its acquisition by Microsoft.
Source: http://pocketnow.com/2013/11/26/nokia-mixradio-is-the-best
Understanding how the constant flux of consumer behaviour as technology continues to evolve(Chiu, Wang, Fang, & Huang, 2014) is a vital part of today’s business strategy.
The share size, value and volume of transactions on the m-Commerce platform makes a strong case to understand how technology impacts on the propensity of consumers to repeat their purchase from the same vendor. The loyalty of the customer is vital for the survival of any business. It is posited that certain factors drive the intention for repeat purchase.
It is hypothesised by (Chiu et al., 2014) that hedonic and utilitarian values affect intentions for repeat purchase . Risk adversely affect desire for repeat purchase and influences both values. While utilitarian values are triggered by the service or product offering, information and value as opposed to the hedonic which are more experience based such as fun.
By ensuring that both values are balanced within the consumer experience, it is argued that repeat purchase could be positively influenced.
Works by(Brey, 2000) established the vital role of technology as an extension of humanity and hence a part of the consumer . This inclusion into the definition of the totality of the consumer, implies its influence on emotions which are a critical element in determining satisfaction levels and the outcome of the experience or purchase. It is suggested that technology could therefore trigger positive or negative emotions which impact on satisfaction.
It is posited that consumers link knowing, feeling and acting. Consumers actively match expectation of experience with the reality of the experience. This process could lead to consumers being satisfied or dissatisfied with product or service purchased.
This forms the basis of the value perception of the purchase and influences the decision to repeat the purchase or not(Awa & Nwuche, 2010)It is suggested per the Festinger theory of cognitive dissonance that consumers aim to harmonise divergent cognitions. Emotional response is an important element of this stage in the process as it has implications on decision making (Achar et al., 2016; Angie, Connelly, Waples, & Kligyte, 2011). The conceptual model below by the researcher, overlays mobile apps, experience appraisal (Sander et al., 2005), evaluation and reinforcement of positive emotions as part of the loop that determines the propensity for retention with the churn being the outcome where the evaluation process is perceived as negative .
As per (Angie et al., 2011), emotions play a significant role in eliciting satisfaction or dissatisfaction which once evaluated based on its utility, the customer would aim to reinforce or experience the joy of that purchase or decide not to do so. Hence while the response during the process is vital which is the totality of the customer experience, it is asserted that post purchase evaluation is also derived from the utilitarian values and hedonic values derived in the process. The emotions (Dahl, n.d.)felt post-purchase will influence the decision to restart the loop which aligns with the proposed model by the researcher .
Per (Chiu et al., 2014) repeat purchase would therefore be impacted by the perceived risk, the product features , value perception and ease of access . The more the consumer associates positive emotional outcomes with the purchase vis a visa evaluation of pre-set expectation and the intention behind the purchase, the consumer is likely to repeat the purchase.
Repeat purchase translates to retention and brand loyalty which (Hallowell, 2013) posits is directly linked to the level satisfaction derived by the consumer within the experience.
This study explored the impact of mobile apps as an element of mobile phone technology on consumption emotion utilising apps as self-service channel.
In exploring this, the effect on consumer satisfaction and repeat purchase a critical element of retention was studied using the Mixed Radio Service as a case study.
Per (Creswell, 2007) the methodology employed within this research falls under the categorisation of mixed research. Although it does not contain extensive rich contextual information from respondents, it does include a few short sentences and brief comments(Morse, 1994) , the presence of close ended information , yes or no questions which is characteristic of quantitative data qualifies this research in many ways to be classified as a mixed method research .
The research instrument deployed was a questionnaire which was validated via a pilot and expert review by the researcher’s supervisor. Respondents for the pilot validation were drawn from Vodafone and Microsoft employees and a few smartphone users.
The instrument was adjusted based to reflect initial findings to ensure accurate representation of descriptive analysis. While the table over leaf presents an overview of the various elements of the research, it in no way aims to over simplify the overall process.
| Stage | Details |
| Measurement Development | Creation of research instrument for test and review of |
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