The Effect of Satisfied and Dissatisfied Customer

of pleasure or disappointment resulting from comparing one product display in relation to expectations.

E. The Effect of Satisfied and Dissatisfied Customer

Many company often neglected the customer satisfaction, their orientation is only to sell as many products and services as they can, in order to get higher profit. In fact, good customer satisfaction has an effect on the profitability of nearly every business. Gitomer 1998 in Meng Elliot 2009, p.59 stated the cost of gaining a new customer is ten times greater than the costs of keeping a satisfied customer. Irawan 2002, p.9 believes that satisfied customers are a good mouth to mouth recommendation and promotion, while unsatisfied customers will spread their bad experiences to others. To illustrate the situation, when customer receive good service and satisfied with the company, each will typically tell nine to ten people, but if they are not satisfied, they will also tell their bad experiences to fifteen to twenty people. For that reason, we can not afford to let our customers dissatisfied and tell to other. However, once customers have been delighted, their expectations are raised. They will be dissatisfied if the service levels return to the previous level and it will definitely take more effort to delight them in the future. Customer expectations are influenced by several factors Zeithaml, Bitner, Gremler 2009: 23 1. Informal recommendations. Word of mouth communications, customers tend to have a higher expectation of a specific that has been recommended to them by family or friends. 2. Formal recommendations Recommendations of agents found in certain publications 3. Personal need. Each customer has different needs for each service. Therefore, this need also influences customers to judge the quality of the service, and whether or not it has satisfied their needs. 4. Past experience. Customers with different past experiences with that specific service type seem to have different expectations of the service. 5. Price. The price to be paid for a service determines, in the customer’s mind, the level of quality to be demanded. 6. All elements of promotional mix. These elements convey a message to the customer that has an influence on expectation. 7. Good corporate image. It is very important asset because it positively shapes the expectations of the customers. 24 8. External communication. The influence of messages sent out by service providers plays an important role on customer expectations. Customers will expect the service to be in keeping with the messages.

F. Measuring Customer Satisfaction