• The Journal of Information Systems
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• v.19 no.3
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• pp.13-34
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• 2010

As consumers participate in sharing their experiences, they become a powerful information source in online shopping malls. Previous studies have investigated information service in the company-created information perspective and trust in the company perspective. This study extends the perspective of company-consumers to consumers-consumer perspective in information satisfaction and trust. Also, this study suggests loyalty as voluntary behaviors and adds helping behavior to the loyalty. Our results show that information satisfactions influence trust in the information sources such as company and consumers. Moreover, trust in company and trust in consumers influence loyalty differently. While trust in company influences recommending stronger than trust in consumers, trust in consumers influence helping and repurchasing stronger than trust in company.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 2005.05a
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• pp.1083-1088
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• 2005

통신서비스의 QoS에 대한 관심이 증가하면서 서비스품질보증협약(SLA)의 중요성도 증대하고 있다. 통신사업자는 기업 사용자들의 QoS에 대한 요구수준을 만족시켜 주기 위해서 SLA의 제공을 확대하고 있으나, 여전히 통신사업자의 입장에서 SLA의 제공 내용을 설계하는 경향이 있다. SLA의 제공을 통해 달성하고자 하는 목적이 기업 사용자들의 통신서비스에 대한 서비스품질의 개선과 이를 통한 로열티 개선에 있다고 하면 이와 같은 접근과 시도는 앞으로 개선되어야 할 것으로 판단된다. 이와 같은 문제점을 극복하기 위해서 SLA의 제공과 관련, 기업 사용자에 대한 설문조사를 통해 요구사항과 개선방향을 파악해 보는 것은 현재 시점에서 SLA 제공 과정에서 적절한 시도라고 판단된다. 이에 본 논문에서는 SLA 제공과정에서 통신사업자가 고려해야 하는 사항에 대해 주로 서비스품질보증항목 (SLO), 측정(Measurement), 보상(Penalty) 등 SLA의 주요 구성요소 와 차세대 네트워크의 구축에 따라 향후 추가적으로 요구될 수 있는 요소들에 대해 점검해 보고자 한다. 이를 통해 QoS 보장에 대한 가장 유용한 도구로서의 SLA 제공의 활용성과 극대화를 기대해 본다.

• Asia-Pacific Journal of Business
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• v.8 no.2
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• pp.75-94
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• 2017

This study aims to develop a conceptual framework linking antecedents and consequences of online platform experience in the context of hospitality businesses. In doing so, an introduction to online platform experience in the hospitality industry was made, and environmental stimuli, that is, enablers of online platform experience were identified: information, entertainment and relation. Additionally, the theoretical review attempted to explain how customers are likely to be engaged in, and to be loyal to, the hospitality organizations' provisions in the context of online platforms. When presenting the theoretical model, a Stimulus-Organism-Response paradigm was employed to propose the hypotheses predicting positive online platform experience, which seems to derive from internally provoked cognition and affection within individuals, leading to behavioral consequences. This model is expected to be applicable to the online context, where hospitality businesses tend to adopt the concept of gamification and to implement associated loyalty programs. Finally, theoretical and practical implications, along with potential avenues of future research, were discussed.

• Journal of Distribution Research
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• v.17 no.2
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• pp.1-28
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• 2012

I. Introduction : The purpose of this study is to test empirically hypothetical causality among constructs used in previous studies to build the model of relational market behavior on customers' participation and consumer-brand relationship after introducing theories of relationship marketing, loyalty program, consumer-brand relationship, customers' participation in service marketing as previous studies with regard to relational market behavior, which Bagozzi(1995) and Peterson(1995) commented on constructs and definition suggested by Sheth and Parvatiyar (1995). For this purpose, loyalty program by the service provider, customers' participation and consumer-brand relationship as preceding variables explain relational market behavior defined by Sheth and Parvatiyar(1995). This study proposes that loyalty program as a tool of relationship marketing will be effective in that consumers' participation in marketing relationship results in a narrow range of choice(Sheth and Parvatiyar, 1995) because consumers think that their participation motive result in benefits(Peterson, 1995). Also, it is proposed that the quality of consumer-brand relationship explain the performance of relationship as well as the intermediary effect because the loyalty program could be evaluated based on relationship with customers. We reviewed the variables with regard to performance of relationship based on relation maintain in marketing literature, and then tested our hypotheses related to several performance variables including loyalty and intention of relation maintain based on the previous studies and constructs(Bendapudi and Berry, 1997 ; Bettencourt, 1997 ; Palmatier, Dant, Grewal and Evans, 2006 ; You Jae Yi and Soo Jin Lee, 2006). II. Study Model : Analyses about hypothetical causality were proceeded. The marketing effect of loyalty program on relational market behavior was empirically tested in study regarding a service provider. The research model in according to the path hypotheses (loyalty program ${\rightarrow}$ customers' participation ${\rightarrow}$ consumer-brand relationship ${\rightarrow}$ relational market behavior and loyalty program ${\rightarrow}$ consumer-brand relationship, and loyalty program ${\rightarrow}$ relational market behavior and customers' participation ${\rightarrow}$ consumer-brand relationship, and customers' participation ${\rightarrow}$ relational market behavior) proceeded as an activity for customer relation management was suggested. The main purpose of study is to see if relational market behavior could be brought as a result of developing relationship between consumers and a corporate into being stronger and more valuable when a corporate or a service provider try aggressively to build the relationship with customers (Bettencourt, 1997; Palmatier, Dant, Grewal and Evans, 2006; Sheth and Parvatiyar, 1995). III. Conclusion : The results of research into the membership fitness club, one of service areas with high level of customer participation (Bitner, Faranda, Hubbert and Zeithaml, 1997; Chase, 1978; Kelley, Donnelly, Jr. and Skinner, 1990) are as follows: First, causalities in according to path hypotheses were tested, after the preceding variables affecting relational market behavior and conceptual frame were suggested. In study, all hypotheses were supported as expected. This result confirms the proposition suggested by Sheth and Parvatiyar(1995), who claimed that intention of consumer and corporate to participate in marketing relationship brings high level of marketing productivity. Also, as a corporate or a service provider try aggressively to build relationship with customers, the relationship between consumers and a corporate can be developed into stronger and more valuable one (Bettencourt, 1997; Palmatier, Dant, Grewal and Evans, 2006). This finding supports the logic of relationship marketing. Second, because the question regarding the path hypothesis of consumer-brand relationship ${\rightarrow}$ relational market behavior are still at issue, the further analyses were conducted. In particular, there existed the mediating effects of consumer-brand relationship toward relational market behavior. Also, multiple regressions were conducted to see if which one strongly influences relational market behavior among specific question items with regard to consumer-brand relationship. As a result, the influence between items composing consumer-brand relationship and ones composing relational market behavior was different. Among items composing consumer-brand relationship, intimacy was an influence of sustaining relationship, word of mouth, and recommendation, intimacy and interdependence were influences of loyalty, intimacy and self-connection were influences of tolerance and advice. Notably, commitment among items measuring consumer-brand relationship had the negative influence with relational market behavior. This means that bringing relational market behavior is not consumer-brand relationship without personal commitment, but effort to build customer relationship like intimacy, interdependence, and self-connection. This finding confirms the results of Breivik and Thorbjornsen(2008). They reported that six variables composing the quality of consumer-brand relationship have higher explanation in regression model directly affecting performance of consumer-brand relationship. As a result of empirical analysis, among the constructs with regard to consumer-brand relationship, intimacy(B=0.512), interdependence(B=0.196), and quality of partner(B=0.153) had the effects on relation maintain. On the contrary, self-connection, love and passion, and commitment had little effect and did not show the statistical significance(p<0.05). On the other hand, intimacy(B=0.668) and interdependence(B=0.181) had the high regression estimates on word of mouth and recommendation. Regarding the effect on loyalty, explanation level of the model was high(R2=0.515), intimacy(0.538), interdependence(0.223), and quality of partner(0.177) showed the statistical significance(p<0.05). Furthermore, intimacy(0.441) had the strong effect as well as self-connection(0.201) and interdependence (0.163) had the effect on tolerance and forgive. And these three variables showed effects even on advice and suggestion, intimacy(0.373), self-connection(0.270), interdependence (0.155) respectively. Third, in study with regard to the positive effect(loyalty program ${\rightarrow}$ customers' participation, loyalty program ${\rightarrow}$ consumer-brand relationship, loyalty program ${\rightarrow}$ relational market behavior, customers' participation ${\rightarrow}$ consumer-brand relationship, customers' participation ${\rightarrow}$ relational market behavior, consumer-brand relationship ${\rightarrow}$ relational market behavior), the path hypothesis of customers' participation ${\rightarrow}$ consumer-brand relationship, was supported. The fact that path hypothesis of customers' participation ${\rightarrow}$ consumer-brand relationship was supported confirms assertion by Bitner(1995), Fournier(1994), Sheth and Parvatiyar(1995) about consumer relationship to participate in marketing relationship.

• Journal of Intelligence and Information Systems
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• v.26 no.4
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• pp.111-126
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• 2020

Most industries have recently become aware of the importance of customer lifetime value as they are exposed to a competitive environment. As a result, preventing customers from churn is becoming a more important business issue than securing new customers. This is because maintaining churn customers is far more economical than securing new customers, and in fact, the acquisition cost of new customers is known to be five to six times higher than the maintenance cost of churn customers. Also, Companies that effectively prevent customer churn and improve customer retention rates are known to have a positive effect on not only increasing the company's profitability but also improving its brand image by improving customer satisfaction. Predicting customer churn, which had been conducted as a sub-research area for CRM, has recently become more important as a big data-based performance marketing theme due to the development of business machine learning technology. Until now, research on customer churn prediction has been carried out actively in such sectors as the mobile telecommunication industry, the financial industry, the distribution industry, and the game industry, which are highly competitive and urgent to manage churn. In addition, These churn prediction studies were focused on improving the performance of the churn prediction model itself, such as simply comparing the performance of various models, exploring features that are effective in forecasting departures, or developing new ensemble techniques, and were limited in terms of practical utilization because most studies considered the entire customer group as a group and developed a predictive model. As such, the main purpose of the existing related research was to improve the performance of the predictive model itself, and there was a relatively lack of research to improve the overall customer churn prediction process. In fact, customers in the business have different behavior characteristics due to heterogeneous transaction patterns, and the resulting churn rate is different, so it is unreasonable to assume the entire customer as a single customer group. Therefore, it is desirable to segment customers according to customer classification criteria, such as loyalty, and to operate an appropriate churn prediction model individually, in order to carry out effective customer churn predictions in heterogeneous industries. Of course, in some studies, there are studies in which customers are subdivided using clustering techniques and applied a churn prediction model for individual customer groups. Although this process of predicting churn can produce better predictions than a single predict model for the entire customer population, there is still room for improvement in that clustering is a mechanical, exploratory grouping technique that calculates distances based on inputs and does not reflect the strategic intent of an entity such as loyalties. This study proposes a segment-based customer departure prediction process (CCP/2DL: Customer Churn Prediction based on Two-Dimensional Loyalty segmentation) based on two-dimensional customer loyalty, assuming that successful customer churn management can be better done through improvements in the overall process than through the performance of the model itself. CCP/2DL is a series of churn prediction processes that segment two-way, quantitative and qualitative loyalty-based customer, conduct secondary grouping of customer segments according to churn patterns, and then independently apply heterogeneous churn prediction models for each churn pattern group. Performance comparisons were performed with the most commonly applied the General churn prediction process and the Clustering-based churn prediction process to assess the relative excellence of the proposed churn prediction process. The General churn prediction process used in this study refers to the process of predicting a single group of customers simply intended to be predicted as a machine learning model, using the most commonly used churn predicting method. And the Clustering-based churn prediction process is a method of first using clustering techniques to segment customers and implement a churn prediction model for each individual group. In cooperation with a global NGO, the proposed CCP/2DL performance showed better performance than other methodologies for predicting churn. This churn prediction process is not only effective in predicting churn, but can also be a strategic basis for obtaining a variety of customer observations and carrying out other related performance marketing activities.

• Asia Marketing Journal
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• v.7 no.2
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• pp.47-69
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• 2005

With the explosive growth of mobile products industry, tons of newer versions of products are putting on the market. From the marketer's perspective, understanding consumers' replacement purchases, especially the replacement timing, is essential to product planning and selling. This study presents an approach to finding out factors influencing the timing of buyers' replacement purchases of cell phones, using duration analysis; a hazard function specification is applied to describe consumers' replacement timing decision. Based on the data collected from a mobile telecommunication company, five categories of factors have been inspected. These are consumer's innovative service usage, data service usage, voice service usage, participation in loyalty programs, and the demographic characteristics. The results of the study are as follows. Firstly, the positive coefficient of 'the number of related services used' suggests that the consumers who have more usage knowledge tend to replace faster. Secondly, customers participating in the membership service are positively associated with early replacement purchases. Lastly, younger customers(vs. older) and male(vs. female) customers turned out to replace cell phones earlier.

• Science of Emotion and Sensibility
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• v.19 no.2
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• pp.79-88
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• 2016

Modern society is living in material affluence after the Industrial Revolution. Meanwhile, consumer needs, in conformity with product diversification, are also being diversified. Modern consumers, unlike those of the past, are trending towards individual consumption that satisfies emotion and values instead of simple goal-oriented consumption. A model case is that of Starbucks. Starbucks has grown into the global coffee franchise it is today through emotional marketing that sells an atmosphere that is unique to Starbucks, consisting of store decorations, store music, employee service, and charming coffee aromas that are identical in every store anywhere in the world. Because this method is marketing that stimulates human emotion, it is assigned to and appeals to human senses and sensitivity. In other words, the charm of emotion marketing is that it draws out consumer emotion, produces positive reactions towards products, and leads to consumption. The utilization of emotions for products or service differentiates brand image and is becoming a key method in reinforcing brand royalty. In particular, more importance is being placed on customer service to strongly impress consumers. Intangible service is becoming the best way to impress customers.

• Journal of the Korean Operations Research and Management Science Society
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• v.39 no.3
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• pp.63-82
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• 2014

The main objective of this research is to investigate whether the RFM (recency-frequency-monetary value) information of a customer's redemption behavior of loyalty points can improve the prediction of future value of the customer. The conventional measurement of customer value has been primarily based on purchase transactions behavior although a customer's future behavior can be also influenced by other interactions between the customer and the firm such as redemption of rewards in a loyalty program. We theorize why a customer's redemption behavior can influence her future purchases and thereby the customer's total value based on operant learning theory, goal gradient hypothesis, and lock-in effect. Using a dataset from a major book store in Korea spanning three years between 2008 and 2010, we analyze both purchase transactions and redemption records of over 10,000 customers. The results show that the redemption-based RFM information does improve the prediction accuracy of the customer's future purchases. Based on this result, we also propose an improved estimate of customer lifetime value (CLV) by combining purchase transactions and loyalty points redemption data. Managerial implications will be also discussed for firms managing loyalty programs to maximize the total value customers.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.38 no.1
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• pp.188-198
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• 2015

Both employee satisfaction and loyalty play an important role in increasing the business performances of organizations in the service industry. However, the influence of TQM practices on employee satisfaction and employee loyalty has not been examined in the ICT service supply chain. This study aimed to investigate the impact of five total quality management (TQM) practices on employee satisfaction and employee loyalty in Korean ICT customer service and retail distribution organizations. Based on an empirical study of 578 respondents in a Korean ICT service company, the study examined the hypothesized relationships among TQM practices, employee satisfaction, and employee loyalty. Using structural equations modeling, it is found that TQM practices are significantly related to employee satisfaction, whereas the latter in turn influences employee loyalty. The results of analysis suggest that the ICT customer service and retail distribution organizations should concentrate on enhancing employee satisfaction of their TQM practices and creating a people-satisfied job environment.

• Journal of Navigation and Port Research
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• v.30 no.1 s.107
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• pp.85-90
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• 2006

RFID(Radio Frequency IDentification) is appearing by point technology by Ubiquitous environment of new paradigm and Logistics' application But, RFID chip of this is high price and short bandwidth, low power and interference etc. can become technological problem This is getting into obstacle in common use. Reader and tag, Embedded software etc.. that are accomplishing standardization are imported paying most expensive royalty. This paper deals with a RFID cognition system that use PDA under ubiquitous environment to apply to Logistics system A RFID cognition system processes input/output of fundamental information attaching a tag onto products. And a RFID cognition system supports quick, correct and sqfe synthetic Logistics managerial system through construction of database. This can minimize logistics costs and improve the quality of customer service. A RFID cognition system has advantage that can widen range of application to area that cognition system of existent fixing style can not do. Also, it can expect economical effect through inexpensive system construction.