2007 Annual International CHRIE Conference & Exposition
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Despite the emerging market for LORCs, investigations into the consumer satisfaction in LORCs are scant
or non-existent. A review of the extant literature revealed only one published study investigating overall consumer
satisfaction with retirement communities (Stimson, McCrea, & Star, 2002a). Stimson et al. (2002a) found that 92%
of those living in retirement communities reported that their communities had met or exceeded their expectations.
Related, they asked respondents to rank the top three factors underlying their resident satisfaction with their
retirement village life. However, this study was deductive by design, and asked for responses based upon researcher-
inspired categories. Another study (Graham & Tuffin, 2004) examined aspects of customer satisfaction with
retirement community living but focused on only three facets: companionship, privacy, and security. Hence, to our
knowledge, there is no published research that comprehensively and inductively identifies the facets of consumer
satisfaction with retirement communities. Related consumer satisfaction research has been limited to satisfaction
with nursing home care (e.g. Applebaum, Straker, & Geron, 2000) or satisfaction with aged care services delivered
into the home (e.g. Braun & Karel, 2002).
Hence, while the Stimson et al. (2002a) study gives us some initial understanding of the level of
satisfaction that residents of retirement communities enjoy, there appears to be scant knowledge of the
comprehensive types or facets of satisfaction. Identifying the types of customer satisfaction is a necessary first step
in the measurement and management of this critical aspect of consumer behavior. This will allow for the
development of a reliable and valid quantitative measure of retirement community resident satisfaction (RCRS).
Related, once a reliable and valid measure of RCRS is developed, further research can examine both the antecedents
(i.e. which individual variables lead to customer satisfaction) and consequences of RCRS (i.e. positive word-of-
mouth advertising, intentions to re-purchase, etc.).
The next section will discuss the scope and process of the qualitative enquiry that was utilized for this
investigation. Rynes and Barber (1990) have suggested to researchers that they should make more use of qualitative,
descriptive research as a prelude to survey research as a means of becoming better informed about the topic under
investigation. This is especially recommended when the research stream is relatively new (Rynes, Bretz, & Gerhart,
1991). Accordingly, using qualitative methods seems to be the appropriate avenue for determining the various types
of retirement village resident satisfaction. This will allow the respondents to tell in their own words, what causes
them to be happy or unhappy, satisfied or dissatisfied, with living in their retirement community. This study used
focus groups allowing the appropriate “actors” to “determine” the relevant satisfiers/dissatisfiers via induction. By
using inductive research to illuminate the factors, subsequent consumer satisfaction researchers can be more
confident that they are descriptive of actual content and process, and have what Rynes et al. (1991) refer to as
“contextual fidelity” or meaningfulness within the consumer’s environmental context (p. 490).
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