Christian Homburg, Nicole Koschate, & Wayne D.

Hoyer

The Role of Cognition and Affect in

the Formation of Customer
Satisfaction: A Dynamic Perspective
Despite the strong recognition that customer satisfaction should be viewed from a dynamic perspective, iittie is
known about how the satisfaction judgment deveiops over time. Therefore, this study provides a dynamic analysis
of the simultaneous influence of cognition and affect in the satisfaction formation process. The results of an
experimental study based on a real consumption experience indicate that the impact of cognition on the satisfaction
evaluation increases and the influence of affect decreases over time. Moreover, these effects are attenuated with
inconsistent performance experiences. Finally, the study shows that the variance in customer satisfaction jointly
explained by cognition and affect increases as experience accumulates.

T
he topic of customer satisfaction/dissatisfaction has
been of great interest to marketing and consumer
researchers for many years. This interest is driven in
part by the notion that customer satisfaction can have tong-
term benefits, including customer loyalty and increased
profitability (e.g., Anderson, Fomell, and Lehmann 1994;
Anderson, Fomell, and Rust 1997; Anderson and Sullivan
1993; Bearden and Teel 1983; Bolton and Drew 1991; For-
nell 1992; LaBarbera and Mazursky 1983; Oliver 1980;
Oliver and Swan 1989a, b; Rust, Moorman, and Dickson
2002; Rust and Zahorik 1993). Against this background, it
is important to understand the mechanism that leads to cus-
tomer satisfaction from both an academic and an applied
perspective.
Previous research has recognized that both cognition
and affect significantly predict satisfaction judgments. Cog-
nition has been studied mainly in terms of the disconfirma-
tion paradigm, which predicts satisfaction to be a function
of a comparison between expectations and performance
(e.g., Bearden and Teel 1983; LaBarbera and Mazursky
1983; Oliver 1980; Oliver and DeSarbo 1988). Other stud-
ies have recognized that the affect experienced during the
acquisition and consumption of the product or service (e.g.,
joy, happiness, disgust) can also have a significant influence
on satisfaction judgments (e.g., Mano and Oliver 1993;
Westbrook 1987; Westbrook and Oliver 1991). Oliver
Christian Homburg is Professor of Business Administration and Marketing
and Chairman of the Department of Marketing (e-mail: homburg@bwi.uni-
mannheim.de), and Nicole Koschate is Assistant Professor of Marketing
(e-maii: nicoie.koschate@bwi.uni-mannheim.de). University of Mannheim,
Germany. Wayne D. Hoyer is James L. Bayiess/Wiliiam S. Farish Fund
Chair for Free Enterprise and Chairman of the Department of Marketing,
McCombs School of Business, University of Texas at Austin (e-mail:
wayne.hoyer@mccombs.utexas.edu). The authors thank the Deutsche
Forschungsgemeinschaft, Sonderforschungsbereich 504, for financiai
support.
To read or conttibute to teader and authot dialogue on this atticle, visit
http://www,matketingpowet,com/jmblog.
(1997, p. 319) states that affect "coexists alongside various
cognitive judgments in producing satisfaction" and that it is
central to understanding customers' consumption experi-
ences. In addition, a key conclusion of Szymanski and
Henard's (2001) meta-analysis is that disconfirmation and,
to a lesser extent, affect are strongly related to satisfaction.
However, only a few studies have investigated cognitive
and affective antecedents of customer satisfaction simulta-
neously. For example, in studying affects that are provoked
by service failures. Smith and Bolton (2002) find that feel-
ings predict satisfaction levels, after accounting for cogni-
tive factors. Kempfs (1999) study finds that feelings (e.g.,
arousal, pleasure) are particularly important antecedents of
product evaluations of hedonic products, whereas brand
cognitions are not. The opposite is tme for functional prod-
ucts. Oliver (1993) examines the role of disconfirmation
and affective experiences and finds that both are critical to
the modeling of satisfaction judgments.
Although previous studies identify the key roles of cog-
nition and affect in influencing satisfaction, it is important
to acknowledge that previous work has largely been static
(i.e., cross-sectional) in nature. This represents a significant
research gap because it is well established that customer
satisfaction is a dynamic phenomenon. Even the classic
confirmation/disconfirmation paradigm, which has guided
much of the research in the area, recognizes that satisfaction
judgments can have an important influence on customer
expectations for subsequent consumption occasions (Oliver
1980). The dynamic nature of customer satisfaction is also
emphasized in the work by Bolton (1998), who proposes a
dynamic model of cumulative satisfaction. In a similar vein,
Bolton and Lemon (1999) stress the importance of a
dynamic perspective with their model of customer service
usage. Despite this strong recognition that customer satis-
faction should be viewed from a dynamic perspective, the
role of cognitive and affective influences has not been sys-
tematically studied in this manner.
The few studies that investigate the antecedents of cus-
tomer satisfaction from a dynamic perspective focus on the
cognitive component of customer satisfaction. For example.

© 2006, American Marketing Association Journal of t\/larketing

ISSN: 0022-2429 (print), 1547-7185 (eiectronic) 21 Voi. 70 (July 2006), 21-31
Mittal, Kumar, and Tsiros (1999) and Mittal, Katrichis, and
Kumar (2001) find that the weights given to an attribute in
determining satisfaction shift over time on the basis of their
salience. Slotegraaf and Inman (2004) show how satisfac-
tion with product attributes can decline over time (particu-
larly those that can be remedied and especially as customers
approach the end of their warranty period). Other dynamic
studies in this area focus on carryover effects of previous
satisfaction judgments to subsequent satisfaction evalua-
tions (Bolton and Drew 1991; Boulding et al. 1993; Mittal,
Kumar, and Tsiros 1999). Bolton (1998) proposes a
dynamic model in which the duration of customer relation-
ship depends on an anchoring and adjustment process in
which cumulative satisfaction serves as the anchor for sub-
sequent experiences. Nevertheless, to the best of our knowl-
edge, there is no study that investigates the effects of cogni-
tion and affect simultaneously over time.
Against this background, our study investigates cogni-
tion and affect simultaneously as drivers of customer satis-
faction in a dynamic context. The fundamental proposition
of our study is that the role of cognition and affect may
change over time. More specifically, we argue that affect
plays its strongest role at early stages of satisfaction devel-
opment because of a lack of knowledge about the product
or service. As experience accumulates, however, the impact
of cognition should increase. To study this proposition, we
examine customer satisfaction formation, beginning from a
point at which customers have no prior experience with the
product at all. In this respect, our study differs from previ-
ous work in this area, which essentially considers situations
in which customers have some prior experience with the
product or service. In addifion, we examine this process in
the context of moderately complex, utilitarian products.
' In addition, from a dynamic perspective, the evaluation
process that occurs during consumption serves as an input
into subsequent decision-making situations. In other words,
the nature of the feedback received has a strong influence
on the satisfaction judgment, and this affects future deci-
sions. Therefore, we build a case that the phenomenon
under study also depends on the level of consistency of the
consumpfion experience (i.e.. Is it consistently positive,
consistently negative, or inconsistent?). The importance of
the concept of feedback consistency has been established in
related areas, such as job performance (Alvero, Bucklin,
and Ausfin 2001; Stone and Stone 1985). To the best of our
knowledge, however, this concept has not been studied in
the customer satisfacfion literature.
Furthermore, previous research in social psychology
and marketing has indicated that attitudes and judgments
become more stable over time after multiple experiences
with the attitude object (Fazio 1986; Petty, Unnava, and
Strathman 1991; Smith and Swinyard 1983). On the basis
of this literature, we argue that over fime and with repeated
consumption experiences, satisfaction judgments should
also become more stable and that the ability of both cogni-
tive and affecfive factors to predict customer safisfacfion
should increase.
Thus, our research is in line with the frequent call for
longitudinal studies in markefing (e.g., Bolton 1998;
Foumier and Mick 1999; Szymanski and Henard 2001). In
22 / Journal of Marketing, July 2006
addition to the theoretical interest of this topic, it has practi-
cal relevance because it aids managers in understanding the
development of customer satisfacfion and what types of fac-
tors are most crifical at different stages in the process.
Development of Hypotheses
According to Oliver (1997), a safisfaction evaluation is a
specific type of attitude (i.e., postconsumption evaluafion).
Therefore, to develop our hypotheses on the customer safis-
faction formation process, we draw on research on attitudes.
Research in this area has found that newly formed atfitudes
are unstable and held with less certainty and therefore are
more difficult to predict (Eagly and Chaiken 1993). Cer-
tainty has been shown to increase as the quanfity of infor-
mation about the product increases (Berscheid et al. 1976;
Dover and Olson 1977; Farley, Katz, and Lehmann 1978).
Over repeated consumpfion experiences, customers gain
more information about the product, and therefore their
judgment certainty should increase (Fazio 1986; Smith and
Swinyard 1983). Thus, with repeated experience, the cogni-
tive and affective judgments underlying these attitudes
become associated with higher certainty (i.e., become
stronger and more stable) and should be better able to pre-
dict the satisfaction evaluation (Chandrashekaran et al.
2000). We hypothesize the following;
Hj: The variance in customer satisfaction jointly explained by
cognitive and affective factors increases as experience
accumulates.
As we mentioned previously, a key contribufion of this
article is its examinafion of whether the impact of cognifion
and eiffect on the satisfaction judgment changes over time.
In particular, we are interested in the early stages of the sat-
isfacfion formafion process (i.e., the first consumption
experiences with the product or service). Whenever cus-
tomers encounter a new product or service, there is typi-
cally litfie information to draw on from memory (i.e., no
affect- or cognition-based evaluations). Therefore, cus-
tomers are more likely to rely on their feelings because feel-
ings are often elicited immediately on exposure to a new
stimulus (Pham et al. 2001). In other words, affective
responses to stimuli are evoked much quicker than cogni-
five responses. Consistent with this view, several studies
have examined a feelings-based inference called the "how-
do-I-feel-about-it" heurisfic, whereby customers can make
satisfaction or dissatisfacfion judgments based on the
valence of their feelings (Gorn, Goldberg, and Basu 1993;
Pham 1998; Schwartz and Clore 1988).
This notion is also related to strategies outlined in the
affect infusion model (AIM; Forgas 1994, 1995), in which
affect infusion is highly likely to occur. Affect infusion
refers to the process in which affectively loaded information
influences and becomes part of the judgmental process,
entering the judge's constructive thought process and even-
tually coloring the judgmental outcome (Forgas 1995, p.
39). The AIM is a cognitively oriented approach for
describing the role of affect in judgment processes and thus
fits well with the decision context of the current study. The
AIM suggests that it is the constructive, generative nature of
most judgments that is critical for affect infusion to occur
(Fiedler 1991). Constructive processing involves the devel-
opment of a judgment or decision rule on the spot rather
than the reliance on a well-formed rule or judgment
(Bettman, Luce, and Payne 1998).
Applied to the current context, for the first consumption
experience, customers should have little information stored
in their memory on which to base a judgment, and therefore
they should rely on affective inputs. As the number of con-
sumption experiences increases, however, customers
acquire increasing amounts of information about the prod-
uct or service (i.e., through trial and other sources). When
making a satisfaction judgment on subsequent occasions,
customers can recall this prior infonnation to help them
make a satisfaction judgment. In support of this notion,
studies have found that previous satisfaction judgments
affect subsequent satisfaction evaluations (Bolton 1998;
Bolton and Drew 1991; Boulding et al. 1993; Mittal,
Kumar, and Tsiros 1999). This notion is consistent with the
direct access strategy of the AIM model, which involves the
strongly cued retrieval of a crystallized judgment from
memory, and is a robust process more resistant to affect
infusion.
Thus, we expect that affect has a greater impact on the
satisfaction judgment in the earlier stages of the satisfaction
development process when judgments require a higher
degree of constructive processing. In support of this notion.
Smith and Bolton (2002) fmd that affect is more likely to
predict transaction-specific customer satisfaction than
cumulative satisfaction (which would be based on several
consumption experiences). Thus, we offer the following
hypothesis:
H2: As experience accumulates, (a) the impact of affective
factors on customer satisfaction decreases, and (b) the
impact of cognitive factors on customer satisfaction
increases.
Further refining our theoretical reasoning, we propose
that the previously mentioned pattem of processing is con-
tingent on the consistency of the consumption experience
over time. Thus, we investigate the impact of consistent ver-
sus inconsistent performance experiences on the proposed
relationships in H2. A consistent experience would result
from performance feedback that is in the same direction for
each consumption occasion (i.e., all consumption experi-
ences are positive, or all are negative). This leads to the
building of a more reliable and diagnostic knowledge base
that can be used as a basis for evaluation on subsequent
occasions. In support of this notion, studies have found that
as consistency of information increases, attitude certainty
also increases (Heslin, Blake, and Rotton 1972; Kahneman
and Tversky 1973). Therefore, we expect that customers
switch in early stages from a more constructive processing
strategy to a direct access strategy.
Conversely, inconsistent experiences would generate
conflicting information, which would result in less reliable
and less diagnostic information stored in memory. There-
fore, customers would need to continue engaging in con-
structive information processing, which, as we mentioned
previously, involves the significant role of affective factors.
Cognition and Affect in the Formation of Customer Satisfaction / 23
Thus, we assume that the relative impact of affective factors
does not decrease as heavily as in the case of consistent
experiences.
H3: The suggested pattern (i.e., the impact of cognition
increases, whereas the impact of affect decreases) is more
pronounced in the case of consistent experiences than in
the case of inconsistent experiences.
A Longitudinal Experimental Study
Overview
To enhance the realism of the study, we placed the "cus-
tomers" in an actual consumption situation. Specifically, we
asked them to evaluate a newly created CD-ROM tutorial,
which could be used and purchased to provide academic
assistance in a difficult pricing class. We gave them three
sample chapters (trials) of the CD-ROM tutorial over time
in a computer-based format. After each trial, we asked them
to solve a pricing problem related to the sample chapter,
and then we gave them feedback on their performance. We
manipulated performance by varying the quality of the tuto-
rial and the feedback. After we provided the feedback, we
elicited responses to key measures.
Sample
Our sample consisted of 157 marketing students enrolled in
a graduate-level pricing class at a large German university.
Because students represent the target market for the CD-
ROM study guide, this sample is particularly relevant and
appropriate. Participants were aware that previous students
had experienced difficulties in this pricing class.
Research Design
The research design consisted of an 8 (levels of perfor-
mance) X 3 (trial) full factorial design. Performance was a
between-subjects factor, and trial was a within-subjects fac-
tor. To manipulate performance, we gave participants a
sample chapter and asked them to solve a related pricing
problem. In the high-performance condition, the content of
the CD-ROM sample chapter made it easy to understand
and to solve the pricing problem. This was accomplished by
providing the different steps necessary to complete the pric-
ing task successfully in a logical order. Furthermore, par-
ticipants in this condition received positive feedback that
the CD-ROM helped them solve the problem. Note that this
feedback was designed to ensure that participants focused
on the performance of the CD-ROM rather than on their
own performance.
In the low-performance condition, the content of the
CD-ROM chapter was not in logical order and therefore
was difficult to read. It also contained little information
related to the pricing problem. We also provided partici-
pants with negative feedback that the CD-ROM did not help
them solve the pricing problem. Again, the goal was to
focus participants on the performance with the CD-ROM
rather than on their own performance.
To examine the proposed dynamic relationships, we
manipulated perfonnance across three different trials. In
each trial, we presented participants with a different chapter
from the CD-ROM tutorial and then asked them to solve a
related pricing problem. Note that the three sample chapters
covered completely different pricing issues and did not
build on one another. Thus, leaming effects, in the sense
that knowledge gained in previous chapters could be helpful
for understanding subsequent chapters and pricing tasks,
were not present. In the high-performance condition, par-
ticipants received the high-performance manipulation on all
three trials. In the low-performance condition, participants
received the low-performance manipulation on all three tri-
als. These two conditions represent consistent performance
experiences. We then manipulated intermediate levels of
performance through high- and low-performance combina-
tions across the three trials. To represent inconsistent expe-
riences, we constructed two conditions with a performance
experience on each subsequent trial that was different from
the most recent one (H h and - + - ) . We outline the differ-
ent conditions in Table 1.
Experimental Procedure
Before the first trial, we gave participants the introductory
section, which described the purpose of the CD-ROM and
content. We told them that a CD-ROM study guide had
been developed to assist participants in solving difficult
pricing problems in the course. Furthermore, we informed
them that they would have the chance to test the CD-ROM
tutorial before deciding if they wanted to purchase it. We
then set up expectations about the CD-ROM tutorial and
held them constant across the experimental conditions. We
told participants that the CD-ROM tutorial contained 73
chapters, which would be similar to the ones they received
in the testing phase but would cover different pricing topics.
The introductory section of the CD-ROM tutorial informed
participants that the purpose of the study guide was to help
course participants understand difficult material in the class,
and it provided an overview of the content.
Participants then received one sample chapter of the
CD-ROM study guide (first trial), after which they solved a
problem related to the material. We manipulated perfor-
mance in the manner described previously. The measure-
ment of cognition and affect occurred immediately after
participants received the feedback from the performance
manipulation. We then asked intervening questions to dis-
TABLE 1
Overview of Experimental Conditions
Trial
Experimental
Condition
1 "Overall, how satisfied are you with the CD-ROM tuto-
2 rial?" We measured the items on an U-point Likert-type
3 scale. For the first two items, the scale ranged from
4
5 "strongly agree" to "strongly disagree," and for the third
6 item, it ranged from "very satisfied" to "very dissatisfied."
7 The intemal consistency of the satisfaction scale was excel-
8 lent across the three trials (first trial: Cronbach's a = .95;
Notes: + = high performance, and - = low performance.
24 / Journai of Marketing, July 2006
tract participants from the evaluation situation, after which
we measured customer satisfaction. After the first trial, par-
ticipants completed an intervening task. This involved read-
ing a newspaper article about a recent pricing problem in
practice and answering some open-ended questions about
the content of the article.
We conducted the second and third trials in a similar
manner. We told participants that they had the chance to get
more experience with the CD-ROM study guide. They then
received another sample chapter of the CD-ROM, solved a
pricing task, and received feedback. After we measured the
key variables, we distracted participants between the second
and the third trial with an intervening task similar to the one
described previously. After the third trial, participants com-
pleted a final set of general questions and provided demo-
graphic and classification infonnation.
Measurement of Variables
The key variables of interest were cognition and affect. We
measured cognition in terms of disconfirmation, which is
the key cognitive component in the confirmation/disconfir-
mation paradigm (Oliver 1980). We measured disconfirma-
tion with the following item, which parallels previous
approaches in measuring disconfirmation (Fomell et al.
1996): "The performance of the CD-ROM meets my expec-
tations." We evaluated the item on a seven-point Likert-type
scale anchored by "I totally disagree" (1) and "I totally
agree" (7).
We measured affect with three items. These items
included elation, delight, and joy, which have also been
measured in other studies examining affect (e.g., Holbrook
and Batra 1987; Oliver 1993; Westbrook 1987; Westbrook
and Oliver 1991). We asked participants how intensively
they experienced these types of affect on a seven-point
Likert-type scale.
In addition, we assessed affect and cognition with an
open-ended, verbal protocol measures. We asked partici-
pants to describe any feelings and/or thoughts they had
while using the tutorial. Responses were then coded into
affective and cognitive categories. Responses were coded as
affective if the statements related to any type of affect or
feelings; they were coded as cognitive if they related to the
content and functional performance of the tutorial.
Research assistants carried out the codings. In terms of
coder reliability, the coders agreed in 96% of the cases, and
they resolved disagreements through discussions.
The key dependent variable was customer satisfaction,
which we measured with the following three items: "All in
all, I am satisfied with the CD-ROM tutorial"; "The CD-
ROM tutorial compares to an ideal CD-ROM tutorial"; and
second trial: Cronbach's a - .97; and third trial: Cronbach's
a = .96). Thus, for further analyses, we calculated the satis-
faction scores as the means of the satisfaction scale items.
Finally, we collected several variables as possible
covariates. These included participants' age, gender,
income, degree to which the budget for studying material is
exhausted, perceived pressure to buy the CD-ROM tutorial,
price consciousness, value consciousness, and self-
confidence. Analyses indicate that the fixed effects of these
covariates are not significant.' Thus, we dropped them from
further analysis.
Results
Hi predicted that the variance in customer satisfaction
jointly explained by cognitive and affective factors
increases as experience accumulates. As participants gain
more experience with the CD-ROM tutorial across the three
trials, the satisfaction judgment becomes more cumulative.
To test H|, we estimated the following regression model for
each of the three trials:
(1) CS = bo + b | X CO + b2 X AF + r.
where CS is customer satisfaction, CO is the cognitive pre-
dictor, AF is the affective predictor, and r is the random
error.
We estimated the three regression models with the
maximum likelihood method using the procedure MIXED
in SAS 8.02.2 xhe results appear in Table 2. First, in each of
the three trials, there is a positive and statistically signifi-
cant relationship between the cognitive predictor and satis-
faction, and there is a positive and statistically significant
relation between the affective predictor and satisfaction.
Second, the results indicate that the R-square values sub-
stantially increase from the first (.645) to the third (.731)
trial. These results support Hj.
Our second analysis pertained to the changing role of
cognitive and affective factors over time. H2a predicted that
the impact of affective factors decreases as experience accu-
mulates, and H2b predicted that the role of cognitive factors
increases as experience accumulates. To conduct a test of
these hypotheses, we estimated the following regression
model with interaction effects:
(2) i = bo + b, X COi + b2 X AFi + b3 x time;
b4 X COj X timej + bj x AFj x timej + q.
where CS; is customer satisfaction, COj is cognition, and
AFj is affect at timej. The different points in time are repre-
'The individual significance levels were as follows: age: p -
.485; gender: p = .140; income: p = .825; degree to which the bud-
get for studying material is exhausted: p = .354; perceived pres-
sure to buy the CD-ROM tutorial: p = .563; price consciousness:
p = .223; value consciousness: p = .295; and self-confidence: p =
.103.
2We used full maximum likelihood estimation because the focus
of the analysis is on deviance tests and not on the random part
parameters, for which the restricted maximum likelihood method
is preferable (Singer and Willett 2003; Snijders and Bosker 1999).
Cognition and Affect in the Formation of Customer Satisfaction / 25
sented by the different trials (e.g., trial 1 = time 1). The ran-
dom error associated with timej is represented by rj.
In the testing of H2_ the coefficients of the two interac-
tion terms, b4 and bs, are of key interest. These interaction
terms are similar to slope-shift parameters (Mittal,
Katrichis, and Kumar 2001), which enable us to estimate
the differential slopes over time as experience accumulates.
A significant, positive coefficient for the interaction term
implies that the slope is higher for those who have more
experience with the CD-ROM. In other words, the corre-
sponding factor has a larger weight for customers who have
more experience with the CD-ROM than for those who
have less experience with it. On the basis of our theoretical
reasoning, we expect the coefficient b4 to be positive.
A negative coefficient for the interaction term implies
that the slope is lower for those who have more experience
with the CD-ROM. The corresponding factor has a smaller
weight for customers who have more experience with the
CD-ROM than for those who have less experience with it.
On the basis of our theoretical reasoning, we expect the
coefficient b^ to be negative. Furthermore, statistically non-
significant coefficients imply that the weight of the corre-
sponding factor is invariant to the experience a customer
has with the CD-ROM. We estimated the model with the
maximum likelihood method using the procedure MIXED
in SAS 8.02. The estimation results appear in Table 3.
The results indicate that there is an overall statistically
significant, positive relationship between cognition and sat-
isfaction (bl = 22.380, p < .001) and between affect and sat-
isfaction (b2 = 8.490, p < .001). In addition, there is a sig-
nificant, positive interaction between cognition and time
(b4 = 1.960, p < .05). This means that the impact of cogni-
tive factors on the satisfaction judgment increases over
time. Thus, there is support for H2a.
Furthermore, there is a significant, negative interaction
between affect and time (bs = -2.330, p < .05), supporting
the notion that the impact of affective factors on customer
satisfaction decreases over time. Thus, there is also support
for H2b. Taking these two findings together, the impact of
cognitive factors on the satisfaction judgment increases
over time, whereas the impact of affective factors decreases.
Further support for these hypotheses is provided by
examining the results for the verbal protocol measures. As
we mentioned previously, open-ended responses were
coded into affective and cognitive categories. Overall, there
were more cognitive statements than affective ones. We
expected this because the product category is cognitive in
nature. More important, however, the pattem of responses
over the trials was consistent with the hypotheses. Specifi-
cally, the largest number of emotional statements was made
in the first trial (23) and then decreased (14 in both the sec-
ond and the third trials). For cognitive statements related to
the content and functional performance, participants exhib-
ited an increasing trend. On the first trial, 74 such state-
ments were made, followed by 89 in the second trial and 90
in the third.
H3 proposed that an inconsistent performance experi-
ence would attenuate the increasing impact of cognitive fac-
tors and the decreasing impact of affective factors over time
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(compared with a consistent performance experience). To
test this hypothesis, we created two subgroups from the data
set. The first group had consistent satisfaction/performance
experiences (+ + + or ), whereas the second group had
completely inconsistent performance experiences (+ - + or
- + -)•
We then ran the regression model with interaction
effects described previously for each group separately. As
we show in Table 4, for the consistent performance experi-
ences, the impact of cognition increases slightly, and the
impact of affect decreases over time, as is evidenced by the
results for the interaction effects (b4 = .119, p < .06; h^ =
-.156, p < .05). In the case of inconsistent performance
experiences, however, neither of these interaction terms is
significant (see Table 4). In other words, in the case of
inconsistent performance experiences, there is neither a sig-
nificant increase of cognition over time nor a significant
decrease of affect over time in predicting customer satisfac-
tion. Thus, inconsistent performance experiences attenuate
these effects. These results support H3.
Discussion
The goal of this study was to examine the joint effects of
cognitive and affective factors on satisfaction judgments in
a dynamic setting. The results of our study show that
together, cognitive and affective factors explain the variance
in satisfaction judgments well and that the strength of asso-
ciation increases over time. More important, we found that
as the number of experiences increases over time, the influ-
ence of cognitive factors increases, whereas the influence of
affective factors decreases. However, this effect attenuates
with inconsistent consumption experiences. These findings
have several theoretical and managerial implications.

TABLE 3
Regression Results with Interaction Effects
- 2 log-likelihood 1566.9

Solution for Fixed Effects

Parameter Effect Estimate t-Value P
bo Intercept 6.072 103.200 .00
Cognition .773 22.380 .00
Affect .275 8.490 .00
Time -.248 -3.440 .00
Cognition x time .083 1.960 .05
Affect X time -.091 -2.330 .02

Solution for Residual Effect

Parameter Estimate Z Value P
1.630 15.350 .00

TABLE 4
Regression Results for Consistent and Inconsistent Performance Experience

Consistent Performance Inconsistent Performance

Experience Experience
- 2 log-likelihood 449.5 422.8

Solution for Fixed Effects Solution for Fixed Effects

Parameter Effect Estimate t-Value P Estimate t-Value P
bo Intercept 6.095 59.660 .00 6.268 48.320 .00
Cognition .742 14.610 .00 .833 10.450 .00
b2 Affect .335 6.600 .00 .249 8.490 .00
b3 Time -.197 -1.590 .12 -.119 3.220 .45
b4 Cognition x time .119 1.870 .06 .048 -.750 .62
bs Affect X time -.156 -2.500 .01 .111 1.200 .23

Solution for Residual Effect Solution for Residual Effect

Parameter Estimate Z Value P Estimate Z Value P
O2 1.419 15.350 .00 1.9844 15.350 .00

Cognition and Affect in the Formation of Customer Satisfaction / 27

Implications
Several implications follow from our study. Most important,
our study contributes to the existing literature on customer
satisfaction. First, we illustrate the importance of examining
customer satisfaction from a dynamic perspective. We show
that the antecedents leading to customer satisfaction vary
over time. As we mentioned previously, it is well recog-
nized that both cognition and affect have important influ-
ences on the satisfaction judgment. However, the key find-
ing of this study points to the differential roles of these
factors as experience accumulates. To the best of our
knowledge, this is the first study to examine the role of cog-
nition and affect simultaneously in a dynamic setting. Thus,
we provide a deeper integrative understanding of how cog-
nition and affect combine to form the customer satisfaction
judgment. Our findings show that these judgments are
based on different factors, depending on the amount of
experience that has been accumulated over time. Thus, cap-
turing satisfaction judgments at only one time may not pro-
vide a full picture of the underlying process.
Second, most studies in this area examine in a cross-
sectional manner the satisfaction judgment process after
customers already have some experience or knowledge with
the product or service. In the current study, we investigated
the customer satisfaction formation process beginning with
the very first consumption experience. This provides a
deeper insight into how the satisfaction judgment crystal-
lizes over time. In this context, we found that affective fac-
tors have their strongest role in the early stages. The cogni-
tive component maintains its importance and increases its
role over time.
Third, we examine the role of cognition and affect in
influencing satisfaction judgment processes. Our findings
suggest that affect is particularly important in the early
stages of the judgment formation process in which cus-
tomers have little knowledge or experience related to the
product. In other words, when a stimulus is new and unfa-
miliar, feelings appear to play a critical role in the construc-
tion of satisfaction judgments, consistent with the how-do-
I-feel-about-it heuristic (Gorn, Goldberg, and Basu 1993;
Pham 1998; Schwartz and Clore 1988). As experience accu-
mulates, however, the role of cognition becomes more
prominent. That is, a direct access strategy (Forgas 1994,
1995) can be employed in which evaluations from previous
trials (based on a more detailed evaluation of product attrib-
utes) can be recalled from memory.
Fourth, we provide insights into how the inconsistency
versus consistency of performance feedback can also affect
the customer satisfaction formation process. Specifically,
when experiences are inconsistent, the related judgments
are less stable and predictable. In this case, the changing
patterns of affect and cognition do not emerge. An implica-
tion of our findings is that affective factors are particularly
important and relevant when the judgments are based on lit-
tle information (i.e., they are newly formed) or when infor-
mation is inconsistent. In these cases, the cognitive infor-
mation has unstable predictive validity, so customers are
less likely to rely on this information. This finding empha-
sizes the importance of identifying how the pattern or
28 / Journal of iVIariceting, July 2006
nature of experiences can influence satisfaction judgments
as well as the importance of managing customer experi-
ences. If customers have inconsistent experiences, their
evaluations of the product/service will be less crystallized
and less stable. Thus, in an effort to improve customer satis-
faction and loyalty, it is critical to ensure that customer
experiences are positive and consistent.
Fifth, the findings provide further support for research
on attitude strength in an alternative context (Jaccard et al.
1995; Jacoby et al. 2002; Petty and Krosnick 1995). That is,
cognitive and affective factors were better able to predict
satisfaction evaluations as the number of trials increased,
particularly in the case of consistent experiences. This is in
line with the notion that newly formed attitudes are less sta-
ble and, therefore, less predictive of information processing
and behavior (Eagly and Chaiken 1993). As knowledge and
experience accumulates, the relationship between the cogni-
tive and affective factors and satisfaction is strengthened.
Sixth, our study also makes a methodological contribu-
tion by developing a procedure for studying these dynamic
effects in a tightly controlled, yet realistic setting. This
methodology could be employed to examine judgment for-
mation processes in various other product/service contexts
as well.
Finally, on a general level, our study suggests that it is
insightful to investigate marketing phenomena from a
dynamic perspective. As our study shows, judgment pat-
terns change over time.
Limitations and Avenues for Further Research
Several limitations of this study are worth mentioning. In
tum, these provide avenues for further research. First, the
study was based on a highly utilitarian product (i.e., a CD-
ROM tutorial). In general, the consumption of utilitarian
goods is highly cognitively driven and accomplishes a func-
tional or practical task (Strahilevitz and Myers 1998). This
may partially explain why the role of cognition (affect)
became stronger (weaker) over trials. In other words, as
customers gained experience in evaluating the utilitarian
benefits of the product, these cognitive factors gained
importance in infiuencing satisfaction. However, it is not
clear whether the same pattern would occur for highly
hedonic products/services. The consumption of hedonic
products/services is characterized by highly affective and
sensory experiences of sensual and/or aesthetic pleasure
(Dhar and Wertenbroch 2000; Hirschman and Holbrook
1982; Okada 2005). Thus, in such cases, the impact of
affect might not decline over time. It is possible that a direct
access strategy will still be employed as experience accu-
mulates (i.e., a recall of a previous crystallized evaluation
from memory), but this prior evaluation would be based
more on affective than on cognitive factors. In support of
this view, Kempf (1999) finds that for hedonic products in
particular, affective responses to the trial are powerful
antecedents of consumers' evaluations of a trial experience
and, subsequently, brand attitude. In addition, it might be
the case that the relative importance of cognitive versus
affective drivers of customer satisfaction varies across prod-
uct categories. It is plausible to assume that the relative
importance of cognitive factors is higher for utilitarian
products than for hedonic ones. These speculations, which
are beyond the scope of this article, show that a more
detailed investigation of affective and cognitive drivers of
customer satisfaction that accounts for different product
categories is a fruitful avenue for further research.
Second, in addition to the product category type, cus-
tomers' product involvement could also play an important
role in this context. Product involvement can be defmed as
the perceived personal relevance of a product and a cus-
tomer's inherent interest in a product (Wilkie 1994;
Zaichkowsky 1985). This study investigated the proposed
relationships in a high-involvement context. In these situa-
tions, customers usually employ a more analytical
information-processing strategy and exhibit increased cog-
nitive elaborations (Petty, Cacioppo, and Schumann 1983;
Wright 1973). Thus, they are likely to base their decisions
more on cognitive than on affective factors. Conversely, in
low-involvement situations, information processing is usu-
ally more holistic, and thus decisions might be influenced
more by affective factors. Apart from these effects, it might
be interesting to investigate whether and how these poten-
tial effects of customers' product involvement interact with
the product category type (hedonic and utilitarian). Thus,
studying the relevance of involvement in the context of
affective and cognitive drivers of customer satisfaction is
another interesting area for further research.
Third, in our empirical study, we measured only the
prevalence of positive affect and did not consider negative
affect. Because it has been shown that positive and negative
affect can have asymmetric effects on customers' judgments
and choices (Mittal, Ross, and Baldasare 1998), a promis-
ing avenue for further research might be to investigate posi-
tive and negative affect simultaneously. Prior research also
demonstrates that different types of (negative) emotions can
have opposing moderating effects (Garg, Inman, and Mittal
2005). Thus, additional research on the role of cognition
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