• Title/Summary/Keyword: Customer Compensation Program

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Analysis of Reward and Royalty Programs Affecting Customer Satisfaction and Recommendations in the Purchase Process in Luxury Goods (명품 구매과정에서 고객만족과 추천의향에 영향을 미치는 보상 및 로열티 프로그램의 분석 - 고급 수입차 매장을 중심으로 -)

  • Choi, Soo Young;Park, Keun Young;Han, Hyun-Soo
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.41 no.4
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    • pp.146-159
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    • 2018
  • This study analyzed what premium features significantly affect customer satisfaction and their recommendation, and what factors significantly affect product attributes. In the process, first, the loyalty program and the customer compensation program were studied to determine the impact of the customer satisfaction and recommendation. The study analyzed that quality and design of product properties had significant effects on all factors, but the brand was not significantly affected. Second, while superiority, differentiation and scarcity of luxury items are significant to customer satisfaction but superiority is only significant in relation to recommendation intention. Third, the preceding study shows that the customer compensation program has a significant impact on sales growth, but the study found that it was not for imported luxury car customers. Fourth, if the royalties program is low in awareness, it has been analyzed that the scarcity and customer satisfaction relationships among luxury goods have been adjusted. On the contrary, if there is a high level of awareness, it is analyzed that there is a control effect customer satisfaction and differentiation among luxury brands. In the conclusion, in order to satisfy customers at the import luxury car market, the differentiation of luxury goods by standard index must be strengthened and the brand must be strengthened among the attributes of the product. In addition, by raising awareness of the royalties program, the relationship between differentiation and customer satisfaction can be enhanced.

The effects of service education and empowerment for sales person of fashion companies on customer orientation, job performance and job satisfaction (패션업체 판매원의 서비스교육과 임파워먼트가 직무만족, 고객지향성과 직무성과에 미치는 영향)

  • Choi, Jung Eun;Lee, Kyoung Mee;Hwang, Sun Jin
    • The Research Journal of the Costume Culture
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    • v.22 no.1
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    • pp.28-41
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    • 2014
  • The study focuses on verifying the effects of service education and empowerment on job satisfaction, job performance, and customer orientation. 290 salespeople working for fashion companies participated by completing a survey. The collected data was then analyzed with SPSS 16.0 and AMOS 7.0. Structural equation modeling was used to examine the goodness of fit. Looking at the results of this study, the service education of salespersons in fashion companies was shown to affect their level of satisfaction with their compensation, whereas empowerment affected their psychological satisfaction. These findings indicate that the service training and empowerment as experienced by salespersons working for fashion companies affect their customer orientation and job performance. Specifically, psychological satisfaction as part of the overall level of job satisfaction was found directly to affect their customer orientation, whereas their satisfaction with their compensation did not affect their customer orientation. Customer-orientation as influenced by service education and empowerment was revealed to have direct effect on job performance. The results of this study indicate that the service education of salesperson working for fashion companies and their level of empowerment create job satisfaction and customer orientation in these individuals. This study will be a valuable source of information for those who create salesperson empowerment programs and salesperson management strategies for fashion companies. Such programs and management strategies can facilitate efficient job performance by salespersons working for fashion companies and increase their level of job satisfaction.

The Public Service Charter in the Republic of Korea : A Development plan for Government innovation (행정서비스헌장제도의 발전과 정부혁신)

  • Kim, Guk-Hyeon
    • Journal of Digital Convergence
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    • v.4 no.1
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    • pp.55-71
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    • 2006
  • The Public Service Charter is one of the administrative reform programs introduced to promote customer oriented administration. It's main purpose is to achieve citizens' confidence in the government by satisfying them with elevated quality of the public services. This study focuses on analyzing current conditions and achievements of the Public Service Charter in the Republic of Korea and proposing it's development plan. Since it was introduced to Korea in 1998, the Public Service Charter has been disseminated and contributed to the spreading of the citizens' understandings of the government's initiatives for customer satisfaction plans. Still, it has several problems as follows; A lot of public servants and citizens lack in understandings of this program. CEOs don't have enough concern in it. Evaluation is not organically connected to performance management. The correction and compensation procedure are not well operated. To solve these problems, the government needs to set up an institutional foundation establishing a legal base, uplifting CFO' concerns, and building a department with full responsibility, and to promote employees and citizens' participation through education and PR. It's also important to enhance post management by efficient evaluation and performance management, substantial correction and compensation procedure.

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The Effect of E-SERVQUAL on e-Loyalty for Apparel Online Shopping (재망상복장구물중전자(在网上服装购物中电子)E-SERVQUAL 대전자충성도적영향(对电子忠诚度的影响))

  • Kim, Eun-Young;Jackson, Vanessa P.
    • Journal of Global Scholars of Marketing Science
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    • v.19 no.4
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    • pp.57-63
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    • 2009
  • With an exponential increase in electronic commerce (e-commerce), marketers are attempting to gain a competitive advantage by emphasizing service quality and post interaction service aspects, which leads to customer satisfaction or behavioral consequence. Particularly for apparel, service quality is one of the key determinants in encouraging customer e-loyalty, and hence the success of apparel retailing in the context of electronic commerce. Therefore, this study explores e-service quality (E-SERVQUAL) factors and their unique effects on e-loyalty for apparel online shopping based on Parasuraman et al' s (2005) framework. Specific objectives of this study are to identify underlying dimension of E-SERVQUAL, and analyze a structural model for examining the effect of E-SERVQUAL on e-loyalty for online apparel shopping. For the theoretical framework of service quality in the context of online shopping, literatures on traditional and electronic service quality factors were comparatively reviewed, and two aspects of core and recovery services were identified. This study hypothesized that E-SERVQUAL has an effect on e-loyalty; customer satisfaction has a positive effect on e-service loyalty for apparel online shopping; and customer satisfaction mediates in the effect of E-SERVQUAL on e-loyalty for apparel online shopping. A self-administered questionnaire was developed based on literatures. A total of 252 usable questionnaires were obtained from online consumers who had purchase experience with online shopping for apparel products and reside in standard metropolitan areas, in the United States. Factor analysis (e.g., exploratory, confirmatory) was conducted to assess the validity and reliability and the structural equation model including measurement and structural models was estimated via LISREL 8.8 program. Findings showed that the E-SERVQUAL of shopping websites for apparel consisted of five factors: Compensation, Fulfillment, Efficiency, System Availability, and Responsiveness. This supports Parasuraman (2005)'s E-S-QUAL encompassing two aspects of core service (e.g., fulfillment, efficiency, system availability) and recovery related service (e.g., compensation, responsiveness) in the context of apparel shopping online. In the structural equation model, there are five exogenous latent variables for e-SERVQUAL factors; and two endogenous latent variables (e.g., customer satisfaction, e-loyalty). For the measurement model, the factor loadings for each respective construct were statistically significant and were greater than .60 and internal consistency reliabilities ranged from .85 to .88. In the estimated structural model of the e-SERVEQUAL factors, the system availability was found to have direct and positive effect on e-loyalty, whereas efficiency had a negative effect on e-loyalty for apparel online shopping. However, fulfillment was not a significant predictor for explaining consequences of E-SERVQUAL for apparel online shopping. This finding implies that perceived service quality of system available was likely to increase customer satisfaction for apparel online shopping. However, it was not supported that e-loyalty was determined by service quality, because service quality has an indirect effect on e-loyalty (i.e., repurchase intention) by mediating effect of value or satisfaction in the context of online shopping for apparel. In addition, both compensation and responsiveness were found to have a significant impact on customer satisfaction, which influenced e-loyalty for apparel online shopping. Thus, there was significant indirect effect of compensation and responsiveness on e-loyalty. This suggests that the recovery-specific service factors play an important role in maximizing customer satisfaction levels and then maintaining customer loyalty to the online shopping site for apparel. The findings have both managerial and research implications. Fashion marketers can establish long-term relationship with their customers based on continuously measuring customer perceptions for recovery-related service quality, such as quick responses to problem and returns, and compensation for customers' problem after their purchases. In order to maintain e-loyalty, recovery services play an important role in the first choice websites for consumers to purchase clothing. Given that online consumers may shop anywhere, a marketing strategy for improving competitive advantages is to provide better service quality, maximize satisfaction, and turn to creating customers' e-loyalty for apparel online shopping. From a researcher's perspective, there are some limitations of this research that should be considered when interpreting its findings. For future research, findings provide a basis for the further study of this important topic along both theoretical and empirical dimensions. Based on the findings, more comprehensive models for predicting E-SERVQUAL's consequences can be developed and tested. For global fashion marketing, this study can expand to a cross-cultural approach into e-service quality for apparel by including multinational samples.

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The Effect of the Reward Program in Foodservice Homepages on Customer Trust, Commitment and Loyalty (외식업 홈페이지 고객 보상 프로그램이 신뢰와 몰입 및 고객 충성도에 미치는 영향)

  • Kim, Oak-Lan;Kim, Ji-Eung;Choi, Won-Sik
    • Culinary science and hospitality research
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    • v.15 no.4
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    • pp.313-330
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    • 2009
  • This study aimed at inquiring into the effect of the reward program in an online web homepage, which is most widely applied as a sales promotion tool for the foodservice industry, on customer trust, commitment and loyalty. The result is summarized as follows. The effect of the reward characteristics within a reward program on their trust and commitment showed that first, for the reward time, both compensation for delaying time and immediate time has a significantly positive effect on their trust and commitment, suggesting that the reward type as well as the reward time of a reward program is an important factor for improving their trust and commitment. In particular, indirect reward was a significant in raising their commitment or loyalty continuously, and for the reward attribute, economic reward was a significant attribute in building their trust.

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The influence of mileage program on brand loyalty of the apparel firm (의류업의 마일리지 제도가 브랜드 충성도에 미치는 영향)

  • 오경화;심혜연;홍병숙
    • Journal of the Korean Society of Clothing and Textiles
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    • v.27 no.3_4
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    • pp.384-394
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    • 2003
  • The purpose of this research is to provide the apparel companies with a successful business strategy by analyzing the concept, function and current status of mileage programs; and examining how customer's attitude, recognition, experience, compensation method of the mileage program in apparel companies affect its brand loyalty. In this research simple random sampling was performed. The sample pool was based on 494 people which included college students and employed men and women in their twenties and thirties living in Seoul and in the metropolitan area. The data analysis was completed on the basis of SPSS package, using frequency, percentage, mean, standard deviation, factor analysis, variation, Scheffe test, regression, t-test, and X/sup2/. The following results were found in this research: It is effective to maintain brand loyalty through continuous relationship with consumers as fierce competition increases in apparel companies. A mileage program is a win/win strategy that allows clothing companies to increase its sales and brand loyalty while consumers feel greater satisfaction.

An Empirical Study on the Influence of Internal Quality of Service on the Inside Customer Satisfaction, External Quality of Service and the External Customer Satisfaction (내부서비스품질이 내부고객만족과 외부서비스품질 및 외부고객만족에 미치는 영향에 관한 실증연구)

  • Jung, Kyung-Hee;Cho, Jai-Rip
    • Proceedings of the Korean Society for Quality Management Conference
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    • 2006.11a
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    • pp.287-293
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    • 2006
  • This study presented the following things; First, the principle of marketing should be applied in order to invite and keep able employees. Because the wants of employees are much different from person to person, the way of strategic marketing planning for internal customers should be done as it did for external customers. Second, the way of measuring in the result of implementing internal marketing and the way of standardizing service should be developed for the planning and implementation of effective internal marketing strategies. The compensation and reward to employees for the result of implementing internal marketing program should be done continuously.

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A Study on the Mediating Effect of Self-Efficacy in the Relationship between Self-leadership and Customer Orientation: Focusing on Airline Cabin Crew (셀프리더십과 고객지향성의 관계에서 자기효능감의 매개효과: 항공사 객실승무원 중심으로)

  • Kwon, Do-Hee;Lee, Seung-hae
    • Journal of Korean Society for Quality Management
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    • v.50 no.3
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    • pp.441-457
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    • 2022
  • Purpose: The purpose of this study is to analyze the effect of self-leadership on self-efficacy and customer orientation and to verify whether there is a mediating effect of self-efficy on the relationship between self-leadership and customer orientation. Methods: To verify these research problems, the subjects of this study were a total of 300 Korean cabin crew members working for domestic and foreign airlines who received distributed questionnaires and 247 copies wee analysed using the SPSS 20.0 program. Results: First, it can be seen that the self-leadership of airline cabin crew has a significant positive (+) effect on self-efficacy, indicating that self-leadership has a positive effect on the self-efficacy of the members of the organization. Second, it was found that self-efficacy had a positive (+) effect on the customer orientation of airline cabin crew, and it was analyzed that self-efficacy played a partial mediating role in the relationship between self-leadership and customer orientation. Third, it was found that self-leadership had a positive (+) effect on customer orientation, and it was proved that behavior-oriented strategy, constructive accident pattern, and natural compensation strategy, which are three sub-factors of self-leadership of cabin crew, have an influence on customer orientation. Conclusion: based on these findings, the theoretical and practical implications of this study and directions for future research were presented.

A Study on Efficiently Designing Customer Rewards Programs (고객 보상프로그램의 효율적 구성에 관한 연구)

  • Kim, Sang-Cheol
    • Journal of Distribution Science
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    • v.10 no.1
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    • pp.5-10
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    • 2012
  • Currently, the rewards programs offered by many companies to strengthen customer relationships have been working quite well. In addition, many companies' rewards programs, designed for stabilizing revenue, are recognized to be effective. However, these rewards programs are not significantly differentiated between companies and there are no accurate conclusions currently, which can be made about their effects. Because of this, a company with a customer rewards program may not comprehend the true level of active participation. In this environment some companies' rewards programs inadvertently hinder business profitability as a side effect while attempting to increase customer loyalty. In fact, airline and oil companies pass on the financial cost of their programs to the customer, and as a result, they have been criticized publicly. The result of this is that the corporations with bad rewards programs tend to get a bad image. In this study of stores' rewards programs, we centered our focus on the design of the program. The main problem in this study is to recognize the financial value of the rewards program and whether it can create a competitive edge for the companies despite the cost issues experienced by them. Customers receiving financial rewards for their business may be just as satisfied with a particular company or store versus those who are not, and the program, perhaps, does not form a distinctive competitive advantage. When the customer is deciding between competing companies to secure their product needs with, we wanted to figure out how much of an affect a valuable reward program had on their decision making. To evaluate this, we set the first hypothesis as, "based on the level of involvement of the customers, there is a difference between customers' preferences for rewards programs." In the results of Experiment 1 we saw that in a financial compensation program for high-involvement groups and low-involvement groups, significant differences appeared and Hypothesis 1 was partially supported. As for the second hypothesis that "customers will have different preferences between a financial rewards programs (SE) and a joint rewards programs (JE)," the analysis showed that the preference for JE was significantly higher than that for other programs. In addition, through Experiment 2, we were able to find meaningful results, which revealed that consumers have shown a significant difference in their preferences between SE and JE. The purpose of these experiments was to enable the designing of a rewards program by learning how to enhance service information distribution and strengthen customer relationships. From the results, there should be a great amount of value for future service-related endeavors and academic research programs. The research is significant, because the results can be found to have a positive effect on reward program designs however, it does have the following limitations. First, this study was performed using an experiment, and all experiments have limitations. Second, although there was an individual evaluation and a joint evaluation, setting a proper evaluation criteria was difficult. In this study, 1,000 Korean won (KRW) in the individual evaluation had a value of 2 points, and, in the joint evaluation, 1,000 KRW had a value of 1 point. There may have been alternative ways to differentiate the evaluations to obtain the proper results. In this study, since there was no funding, the experiments were performed orally however, this was complementary to the study. Third, the subjects who participated in this experiment were students. Conducting this study through experimentation was unavoidable for us, and future research should be conducted using an actual program with the target customers.

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Determining Dimensions of Job Satisfaction among Employees: Evidence from Commercial Bank Industries in Bangladesh

  • Md. Sayed, UDDIN;Md. Atikur, RAHAMAN;Wasib Bin, LATIF
    • The Journal of Asian Finance, Economics and Business
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    • v.10 no.2
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    • pp.195-201
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    • 2023
  • Since the banking industry relies so heavily on strong customer-staff interactions, measuring employee job satisfaction has become a critical problem. To achieve benefits for both individuals and organizations, it is crucial to foster and ensure employee job satisfaction. The main objective of this study is to determine the influencing factors of employees' job satisfaction in commercial banks in Bangladesh. This study focused on some significant factors such as employee empowerment, job security, management support, and attractive compensation in an organization. In terms of research purpose, non-probability convenience sampling has been used, and the study is quantitative in nature. For data collection purposes, an online survey questionnaire was prepared based on previously published articles. The targeted population was the bank employees of commercial banks in Bangladesh where the final sample size was n = 200. For analyzing the collected data, SPSS 26.0 version has been used to test the study model and the proposed hypotheses. This study also shows that employee empowerment, job security, management support, and attractive compensation have positive and significant effects on employees' job satisfaction at the workplace. Finally, this study has offered some extraordinary directions and implications for future research on commercial bank authorities in Bangladesh.