Designing successful temporary loyalty programs: An exploratory study on retailer and country differences

Retailers increasingly adopt temporary loyalty programs (TLPs), in which consumers have limited time, often less than half a year, to save stamps and redeem highly discounted rewards. These programs often run alongside the retailers’ permanent loyalty programs in an attempt to increase customer engagement. Despite the growing popularity of TLPs, the literature on the topic remains limited. We address this gap by looking at the redemption rate, the industry’s primary success indicator, of almost 900 TLPs across a broad set of grocery retailers in 45 countries. We study the effects of four key design characteristics (the duration of the program, the discount offered, the spending requirement before an award can be redeemed, and the reward depth) on the redemption rate, and explore how these effects vary across a broad range of retailer and country characteristics. In doing so, we control for both a retailer’s potential self-selection into running a TLP and the potential endogeneity of the subsequent design choices. We derive a set of actionable results on how to design successful TLPs and show that high redemption rates are not only beneficial for the program operator and reward manufacturer, but also translate into higher sales and profit for the retailer.     

An exploratory analysis of the determinants of cooperative advertising participation rates

The paper offers an exploratory empirical investigation of the determinants of cooperative advertising participation rates. Using data for 2,286 brands, we examine the relationship of participation rates to national advertising expenditures by brand. We also consider how participation rates vary with average manufacturers’ margins by industry, average retail margins by category, and additional category-level variables. Reflecting the discrete nature of the dependent variable, the analysis employs discrete choice estimation techniques instead of OLS regression. The results reveal a significant quadratic relationship between advertising and participation rates. We interpret this and other significant findings in the context of existing work.     

An adaptive nonlinear approach for estimation of consumer satisfaction and loyalty in mobile phone sector of India

To facilitate business growth assessment of customer׳s, satisfaction and loyalty levels in mobile sector are two important issues which need in-depth investigation. These two levels of customers are nonlinearly related to their corresponding attributes. The past studies have mostly assumed linear relation and have mostly used regression based models for estimation of these levels and the results are not encouraging. To overcome this limitation, the present study has developed simple nonlinear models for accurate estimation of these two parameters using their related key factors and results obtained are shown to be much better. This paper has also observed the positive effect of satisfaction on the loyalty estimation of customers. Employing the proposed nonlinear adaptive models, the service provider can also predict the satisfaction and loyalty levels of each of its customers which help the organization to determine the number of possible future churners.     

品牌忠诚度驱动模型的研究与应用

由于企业的营销思路和消费者的心理存在较大的差异,导致营销活动没有达到预期的效果,引入品牌忠诚度驱动模型的目的是为企业提供一种对消费者行为进行全面诊断的结构性框架,以此来研究消费者是如何看待品牌而品牌又是如何打动消费者的,帮助企业在提高消费者忠诚度和争夺最有价值的消费者等方面制定策略。     

The influence of customer loyalty on small island economies: an empirical and exploratory study

There is growing consensus that companies' long-term success is reliant on building and sustaining strong customer relationships. This study explores the antecedents of loyalty in business to business (B2Bs) using Guernsey's telecommunication industry as a case study. It examines how these influence customer loyalty orientation and factors that help service providers improve loyalty rates. Extant literature pays little attention to the antecedents of loyalty in small island economies. Prior research focuses on cultural, environmental and macro-economic issues. Drawing on Dick and Basu's (Customer loyalty: Toward an integrated conceptual framework. Journal of the Academy of Marketing Science, 22(Spring), 99–113, 1994) loyalty model, this research explores loyalty antecedents that are cognisant of distinct market conditions that can impact customer loyalty within the telecommunications sector of a small island economy. It seeks to advance understanding of loyalty in B2B relationships in this context and identify factors that contribute towards converting passively loyal customers to being actively loyal customers.     

An exploratory study of organizational politics in Kuwait

Because politics is a way of life in organizations, organizational politics has been studied by several scholars over the past 40 years. Few studies, though, have examined organizational politics outside of the United States and Europe. This study is a further step toward closing that gap. In particular, we (1) examined the applicability of the Perceptions of Organizational Politics Scale (POPS) instrument in Kuwait, (2) examined the perceived existence of organizational politics in a public organization in Kuwait, and (3) sought to determine if perceptions of organizational politics seemed to be influenced by the same variables in Kuwait as in Western societies. The study found that the perception of organizational politics is relatively strong and that the POPS instrument was applicable in the Kuwaiti culture and could lead to an expanded understanding of organizational politics. The gender of the respondents, their tenure, and their current positions had some influence on perceptions of organizational politics. © 2011 Wiley Periodicals, Inc.     

An exploratory study of the management of product replacement

The process of product replacement is a surprisingly neglected area of innovation. Its existence as an important corporate activity is known through prior research and anecdotal evidence. This study was designed to shed some light on the replacement activities which are conducted by large companies in Britain and America. The findings revealed a number of different approaches to product replacement and suggested that related activities can be understood (and measured) by seven distinct dimensions.     

An exploratory study of emotional attributes in radio commercials

Certain advertising attributes can trigger emotional responses and advertisements employ such features in order to stimulate audiences in a pleasurable way. This study of radio commercials tried to isolate some of the attributes in advertising that elicit an emotional response, specifically happiness. The results show that variances in some commercial attributes can, indeed, predict variances in subjective emotional experience.     

Store loyalty: its impact on retail revenue. An empirical study of purchasing behaviour in the UK

In this paper, we present some significant empirical findings about store loyalty and consumer spending in the United Kingdom across five retail sectors. Our findings are presented at two levels: Firstly, we compared loyalty levels across retail sectors in the UK and identified that home improvement stores generate the lowest levels of consumer loyalty. Secondly, by disaggregating the data by loyalty types, we found that, while loyal shoppers tend to have smaller monthly budgets than switchers, they spend double the amount in their “first choice” store. All our results highlight the importance of developing a corporate approach to managing customer loyalty in retailing.     

The moderating role of switching barriers on customer loyalty in the life insurance industry

In recent service management literature, researchers have incorporated switching barriers as an important potential influential factor on customer loyalty and found that the impact of customer satisfaction on customer loyalty might vary under different switching barrier conditions. However, switching barriers and their importance in the life insurance service contexts have received little in-depth attention. This study aims to examine the impact of switching barriers as a potential moderator on the complex interrelationships among the antecedents and consequences of customer satisfaction in the life insurance service context. The main findings of this study show that the switching barriers do have a moderating effect and play a crucial role in winning customer loyalty.     

The influence of brand personality and relative brand identification on brand loyalty in the European mobile phone market

This study investigates the influence of brand personality on consumer loyalty and the moderating role of relative brand identification for multiple brands in the same product category. Survey data were collected from 1,651 respondents in the United Kingdom, France, and Germany. Results indicate that dimensions of brand personality that are positively associated with consumer brand loyalty vary across brands in the mobile phone category. Furthermore, relative brand identification not only positively affects consumer loyalty, it also moderates the relationship between brand personality and consumer loyalty. Copyright © 2015 ASAC. Published by John Wiley & Sons, Ltd.     

An empirical study of the effects of Guanxi investment on customer loyalty in Chinese market

The purpose of this study is to examine the relationship among Guanxi investment, affective commitment and customer loyalty. A customer win-back model is proposed, including Guanxi investment strategies, customer perceptions (price sensitivity, trust and affection), affective commitment and customer 1oyalty(i.e., true loyalty, latent loyalty, spurious loyalty, non loyalty). The fieldwork was conducted in the hotel industry in China (N=1074). Results show that Guanxi investment strategy has significant effects on customer’s loyalty. This study hence contributes to the literature on customer win-back strategy and provides useful suggestions for managers in charge of customer relationship management.     

Bargaining with the gringos: An exploratory study of negotiations between Mexican and U.S. firms

This study examines the nature of negotiations between Mexican and U.S. business people. It was learned that U.S. negotiators tend to be more structured, less flexible, more direct, more focused on the specific terms of the agreement, and possibly more assertive than their Mexican counterparts. Factor analysis revealed five factors related to the success of negotiations between Mexican and U.S. business people: attributes of communication, knowledge, good faith in arranging countertrades, delivery requirements, and personal relationships. Communication problems appear to have a more important impact on successful negotiations than do the technical or financial aspects of the negotiation. Contexting and reciprocity are related themes that need to be given more attention if negotiations between Mexican and US. business people are to improve. © 1995 John Wiley & Sons, Inc.     

Drivers of customer likelihood to join grocery retail loyalty programs. An analysis of reward programs and loyalty cards

This paper aims to identify which personal features of customers may determine their likelihood to join a grocery retail loyalty program. We consider five aspects: price sensitivity, search for variety, shopping enjoyment, attitude toward loyalty schemes, and one personality trait: privacy concerns. Some of these variables have already been explored in the literature. Where our research breaks new ground is in establishing the difference between profiles of customers attracted by two of the most common types of loyalty programs currently used by grocery retail firms: a reward program and a loyalty card. The two kinds of program evidence differences in how they are managed, and we posit that the drivers of likelihood to take part in each are different. The study was carried out using logistic regression with a sample of 600 clients of a Spanish supermarket chain. Findings show that one particular type of customer is more likely to take part in these schemes: those displaying little shopping enjoyment, who are greatly concerned with privacy, and who show a favorable attitude toward loyalty programs in general. Furthermore, as expected, differences were observed between drivers of participation likelihood in reward programs and loyalty cards.     

A hybrid conjoint model for the identification of the UK supermarket choice determinants: an exploratory study

Supermarket competition has increased tremendously during recent years and the need for a deeper understanding of the key criteria for consumers' store patronage has never been greater. Against this background, the present study tries to identify and analyse the basic determinants that drive supermarket choice. This paper, which is primarily methodological, applies a large-scale hybrid conjoint experiment to a UK setting with the purpose of examining the relative impact of various supermarket attributes on the actual choice. The hybrid conjoint model deals with the problem of designing and analysing studies involving large numbers of attributes and/or attribute levels, and makes it possible to estimate individually based part-worth values, determines the most important supermarket choice criteria and yields useful implications for strategic retail management.     

An exploratory study of the personal value systems of city managers

Little attention has been given by researchers in organizational behavior to the study of public managers' values and how these values affect their managerial behavior. Therefore, the major objective of this study was to identify the personal value systems and value profiles of public managers, and to systematically examine and discuss the relationship between personal values and related organizational behavior including decision making. The significance of the findings for public policy is briefly discussed, and the need for future research is indicated.Sami M. Abbasi is Associate Professor of Management at Middle Tennessee State University. He has presented papers, appeared on panels, chaired sessions, and reviewed papers for both regional and national meetings of the American Institute for Decision Sciences and the Academy of Management. His research interests include strategy implementation, strategy-environment interaction, business-government relationships, and global management. Kenneth W. Hollman is Professor of Economics and Finance at Middle Tennessee State University. His publications have appeared in these journals: Journal of Small Business Management, Journal of Insurance Issues and Practices, CLU Journal, and CPCU Journal. Dr. Hollman holds the Martin Chair of Insurance.     

An exploratory study of the upper middle-class consumer attitudes towards counterfeiting in China

Although counterfeiting has been discussed in the literature, research focusing on the newly-emerged upper-middle class from emerging economies remains scarce. The aim of this exploratory study is to uncover the new upper-middle class consumers’ attitudes towards counterfeiting in China. Qualitative research method was adopted to provide richer and deep information on the research questions. Through semi-structured in-depth interviews with members of the Chinese upper-middle class in Beijing, this study reveals that upper-middle class consumers present a distinctive view in counterfeiting in that they believe counterfeiting not only causes grave welfare related consequences and loss of trust in the legal system, but also seriously interferes with the order of the market.     

Antecedents and outcomes of digital influencer endorsement: An exploratory study

The advertising and marketing literature have established that celebrity endorsements constitute an effective way to enhance attitudes toward brands and increase purchase intents. However, there are no relevant studies on digital influencers. This study addresses the research gap by examining the effect of digital influencers' attractiveness and the effect of the congruence between a digital influencer and a brand on consumer attitudes and purchase intentions. By applying structural equation modeling to a sample of 307 followers of digital influencers, a model was tested and group analysis was performed for two categories (“entertainment & video games” and “fashion & beauty”). The results show that both brand attitudes and purchase intentions are influenced by the digital influencer's attractiveness (which includes both likeability and familiarity) and by the congruence between the digital influencer and the brand. This study makes several contributions to both theory and practice, which are highlighted in this paper.