This paper examines how Cincom Systems, a B2B enterprise software company, manages customer frustration and post-purchase dissonance through a combination of information technologies and relationship-based strategies. The paper describes Cincom's reliance on Six Sigma methodologies to capture the Voice of the Customer, its use of alert-based telecommunications networks, password-protected support portals, remote diagnostic tools, and escalation paths to ensure high customer satisfaction. It also explores how post-purchase dissonance is addressed through personal accountability, face-to-face engagement, and application performance monitoring. Together, these strategies support Cincom's annuity-based business model and contribute to a reported 99% contract renewal rate.
This paper demonstrates applied case analysis: taking established business and marketing concepts (Six Sigma, Voice of the Customer, post-purchase dissonance) and systematically tracing how a single organization operationalizes them. Rather than defining the theories in isolation, the author uses them as lenses to evaluate actual company practices, which is characteristic of strong undergraduate business writing.
The paper opens by establishing Cincom's annuity-based revenue model to explain why customer satisfaction is strategically critical. It then moves through two major analytical sections — one on proactive frustration minimization through tiered support technologies, and one on reactive post-purchase dissonance management through personal accountability and monitoring. A brief conclusion synthesizes the dual-track approach. The structure mirrors a cause-and-effect logic: business model → satisfaction imperative → technology and relationship solutions.
The key to Cincom's profitability is to get customers on maintenance contracts and keep them satisfied for years — many for decades — turning annual contract renewals into a reliable annuity revenue stream. This strategy works extremely well because the continual revenue from renewals and contract extensions funds new market and product development. Critical to this entire business model, however, is ensuring a high level of customer satisfaction. As a result, Cincom uses a variety of technologies for minimizing and alleviating customer frustration and post-purchase dissonance.
The internal culture of Cincom Systems is heavily focused on measuring performance and continual quality and process improvement. As a result, the company relies on Six Sigma methodologies to continually bring the Voice of the Customer into each process area, including the escalation of customer service calls. There are knowledge bases, password-protected portals with updates and downloadable fixes, and secured Facebook groups where customers can share their fixes and experiences. Cincom Support Directors moderate these forums and provide support when needed.
All of these electronic support channels are, however, secondary to the approach Cincom takes with its enterprise customers, many of whom spend an average of $200,000 or more per software application. The company maintains its service directors on a 24/7 paging and mobile alert system that is networked globally. For their largest customers, including certain sectors of the U.S. government, if a server goes down or a major problem arises with a given system, the network immediately alerts Cincom support managers. Cincom has segmented its support services so that the largest and most profitable customers receive immediate, personalized support from director-level staff. These service directors have the authority to ship software updates immediately if necessary and can obtain approvals for contract modifications very rapidly.
The use of alert-based technologies in conjunction with an internal network of telecommunications systems — routing the most urgent calls to the best-suited product directors — has resulted in Cincom achieving a 99% contract renewal rate. For accounts that have not purchased this level of service, Cincom relies on its own Socrates constraint engine technology to deliver patches and product fixes electronically, based on remote analysis of the customer's problem. This remote diagnostics capability, which the customer can activate at any time, is also a significant contributor to the high renewal rate. Additionally, there are escalation paths through customer service to resolve problems, as well as a direct hotline for all customers to the General Manager of each Cincom division when issues remain unresolved through normal channels.
Cincom's use of technologies for minimizing and alleviating customer frustration and for addressing post-purchase dissonance relies on a combination of technologies and relationship-based strategies. Cincom's end goal is to be a trusted advisor to its clients, and the combination of online technologies, telecommunications networks, and monitoring tools provides the information necessary to enable greater levels of customer service and support.
You’re 70% through this paper. Sign up to read the remaining 1 section.
Sign Up Now — Instant Access Already a member? Log inAlways verify citation format against your institution’s current style guide requirements.