Factors affecting customer expectations

Factors affecting customer expectations

Factors shaping customer expectations

  • Personal needs: The individual needs of customers can shape their expectations. This typically includes their requirements for the product or service and their objectives. For instance, a customer might expect a gym to offer classes early in the morning if they wish to workout before work.

  • Past experiences: A customer’s previous experiences with a company or with similar products and services can significantly influence their expectations. Positive experiences may set a higher standard, while negative experiences might lower expectations.

  • Cultural background: Cultural factors also affect customer expectations. These include societal norms, values and traditions. For example, in some cultures, customers might expect a higher level of formality during service delivery.

  • Word of mouth: Customer expectations can be influenced by reviews or recommendations from friends, family, or online sources. If these are positive, customers may have higher expectations, whereas negative reviews can lower them.

How marketing affects customer expectations

  • Advertising and promotion: Advertisements and promotions set certain expectations in the minds of customers about the product or service, its features, and benefits. If these promises are not met, it can result in customer dissatisfaction.

  • Brand reputation: The reputation of a brand often sets customer expectations. A well-known brand with a reputation for quality will likely result in high customer expectations for its products and services.

  • Price: The pricing of a product or service can impact customer expectations. Higher priced items or services often create an expectation of superior quality or superior service.

  • Product presentation and service environment: How a product is presented or how a service environment looks can shape customer expectations. This includes the packaging of a product, the appearance of a store, or the aesthetic of a website.

How the wider environment influences customer expectations

  • Competitive offerings: The products or services offered by competitors can shape customer expectations. If a competitor offers better service or product features, this could raise the customer’s expectations.

  • Economic conditions: Current economic conditions can also impact customer expectations. In times of economic uncertainty, customers might expect more value for their money.

  • Legal and regulatory environment: Laws and regulations can also shape customer expectations. For example, if particular industry standards exist, customers may expect all companies in that industry to adhere to them.