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Does Customer Relationship Management for VIP Customers Affect Repurchase and Positive WOM in Premium Hotels?  

Shim, Byung-Hui (고려대학교 경영학과)
Kim, Min-Cheol (고려대학교 경영학과)
Ko, Jae-Yong (고려대학교 경영학과)
Kim, Sang-Yong (고려대학교 경영학과)
Publication Information
Journal of the Korean Operations Research and Management Science Society / v.36, no.4, 2011 , pp. 185-206 More about this Journal
Abstract
"Does CRM benefit affect repurchase or WOM? What is difference between VIP customers and non-VIP customers on CRM benefit?" is the interesting issue on premium industry such as a hotel business. This study examines how social benefit, psychological benefits, economic benefits and customization benefits affect repurchase and positive WOM in premium hotel. Only three of the four benefits showed significant results in repurchase and positive WOM. Also interactions between customer type and benefits were different in repurchase and WOM. The results figure out that VIP customers depend on psychological benefits and customization benefits on repurchase, whereas VIP customers depend on only social benefit on WOM. This finding suggests that hotels need to develop VIP program and approach differently to increase the repurchase volume or positive WOM effect.
Keywords
CRM Benefit(Social Benefit, Psychological Benefit, Economic Benefit, Customization Benefit); VIP Marketing; Hotel Service Marketing; Repurchase; WOM;
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