• The Journal of Asian Finance, Economics and Business
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• v.9 no.6
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• pp.195-206
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• 2022

The purpose of this paper is to examine how loyalty programs designed by retail stores affect customer retention. The present study is one of the few empirical studies finding the role of different loyalty programs that help to build customer retention. The study also seeks to explore the moderation role of customer perceived value between intrinsic motivation - customer retention and extrinsic motivation - customer retention. The researchers employed a quantitative research design to collect data from the 350 respondents who purchased goods from the retail chain/departmental stores in Bangladesh. The collected data are then analyzed using structural equation modeling. The result of their findings indicated that the size of the organizational reward has a positive effect on intrinsic and extrinsic motivation; further extrinsic motivation has a significant relation to customer retention. Surprisingly, no support was found for the positive impact of intrinsic motivation on customer retention. Customer perceived value (CPV) is critical as a moderator in building client retention, which improves the positive association between extrinsic motivation and customer retention. CPV, on the other hand, was found to mitigate the negative link between intrinsic motivation and client retention.

• 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 the Korean Society of Clothing and Textiles
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• v.27 no.9_10
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• pp.1060-1071
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• 2003

This study was intended to identify customer's response to CRM of fashion business.488 questionnaires were distributed to male and female respondents aged 16 to 55, and then analyzed by descriptive statistics, oneway-ANOVA, chi-square test, and factor analysis. As a result of customer information management, respondents evaluated taste, interest and demographic informations as most valuable. But they did not value personal and credit information. For CRM concept, 4 factors were determined: continuous care and suggestion, particular service to important customer, customer management program development, and customer convenience consideration. For CRM activity, 3 factors were determined: customization, information offering, and programmed service strategies. Respondents were having positive attitude toward CRM concept and activity of fashion business. Among customer loyalty programs, they affected by immediate and direct programs most. The preference of customer contact methods was differentiated by sex and age groups. Males and teenagers preferred e-mail, and females preferred catalog and telephone connection.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.6
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• pp.159-173
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• 2022

This study examines the impact of CSR and its authenticity on customer loyalty through the brand image in the chain coffee shop industry. Using qualitative and quantitative methods, 601 survey questionnaires were distributed, of which 491 were analyzed. The results show that CSR has a positive impact on brand image and customer loyalty. In addition, authenticity does not moderate the impact of CSR on brand image and loyalty, as it is difficult for customers to verify the authenticity of CSR action programs. This study emphasizes the importance of CSR action programs and authenticity for businesses to sustainably enhance their distinctive brand image and customer loyalty. Therefore, for sustainable development in the future, managers of coffee shop chains need to focus on the following issues. First, the most important thing is the right awareness of businesses regarding CSR and CSR authenticity. Third, businesses should strengthen the transparency of CSR action programs in various media so that consumers can easily verify authenticity, to increase brand image and improve customer loyalty.

• Journal of the Korean Society of Clothing and Textiles
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• v.37 no.4
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• pp.467-481
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• 2013

The study examined the main effect of the reward channel and reward time of customer loyalty programs for on-offline shopping channels; in addition, it investigated the interaction effect of the reward channels and merchandise as well as the interaction effect of the reward time and merchandise. An online apparel shopping web experiment was conducted with a 2 (reward channel: online channel reward vs. offline channel reward) ${\times}2$ (reward time: immediate vs. delayed) ${\times}2$ (merchandise: online channel product vs. offline channel products) between-subject factorial design. An online shopping channel was considered the core-shopping channel and a department store was considered the cross-shopping channel. Loyalty program value, core-channel loyalty and cross-channel loyalty were measured as dependent variables. A total of 845 shoppers (who had experiences in shopping in both channels) participated in the experiment. The results of the study revealed (1) the main effect of the reward channel on loyalty program value, core-channel loyalty and cross-channel loyalty [online>offline channel rewards], (2) the main effect of reward time on loyalty program value, core-channel loyalty and cross-channel loyalty [immediate>delayed reward], and (3) the interaction effect of the reward channel and merchandise on loyalty program value, core-channel loyalty, and cross-channel loyalty. (4) Finally the study found that loyalty program value affected cross-channel loyalty indirectly through core-channel loyalty. This study suggested diverse theoretical and managerial implications for multi-channel retailers.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.11
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• pp.297-305
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• 2021

The study aims to investigate loyalty rewards programs on customers' satisfaction in Jordanian banks, and to investigate the statistical differences in loyalty rewards programs and customers' satisfaction according to demographics such as age, sex, education level, duration of engagement with bank, and the type of bank. The study is based on the data obtained from the sample. The questionnaire is the tool for collecting data from the respondents. The study materials include website resources, regular books, journals, and articles. The study population consists customers in the banking sector. The figures indicate that number of actual customers reaches 2.06 million. The sample size requirement is 386 items. Customers are split between traditional and Islamic banks, with 231 and 155 customers respectively. The stratified random sampling technique and the structural equations modeling methodology were used. The results show moderated impact of the loyalty rewards programs on customers' satisfaction. The results show statistical differences in the loyalty rewards programs and customers' satisfaction according to the engagement period with the bank only. The findings suggest better managing the loyalty programs and developing one credit card for all banks in Jordan.

• Journal of Korean Society for Quality Management
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• v.52 no.1
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• pp.57-75
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• 2024

Purpose: The purpose of this study is to recognize the importance of a cooperative relationship in which parents of early childhood education institutions share responsibility and authority, and to suggest ways to establish efficient management strategies. Methods: The survey was conducted through online responses using Google surveys and SNS. The collected data was collected using SPSS 22.0 and Smart PLS 4.0 statistical programs. Results: Among the 13 hypotheses, only expertise in educational service quality was confirmed to have no effect on customer trust. The verification results of 11 mediation effects confirmed that customer satisfaction does not mediate the relationship between non-verbal communication and customer loyalty, and that customer trust does not mediate the relationship between expertise and verbal communication on customer loyalty. Conclusion: We presented basic data for establishing a marketing strategy that can improve the quality of services of infant and toddler education institutions and increase management performance.

• International Journal of Human Ecology
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• v.6 no.1
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• pp.41-59
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• 2005

In this paper, the e-grocery sector of the U.S. is used as an illustrative example of how to assess consumers' demands for customer relationship management and to investigate whether these demands coincide with effective Customer Relationship Management (CRM) strategies suggested by academic researchers and provided by practitioners. Surveys evaluating the perceived importance of CRM items were administered accordingly. The findings show that, overall, consumers' did not differ considerably to the experts. The results of descriptive analyses showed that academicians had a more closely in-lined view with consumers than did practitioners. Although not statistically significant, practitioners perceived loyalty programs to be more important than did consumers or academicians. This might suggest that loyalty programs are primarily serving as a way of data mining, and are thus failing to provide benefits to consumers. Overall, items related to technology deployment were perceived to be more important by practitioners than consumers or academicians.

• Journal of the Korean Operations Research and Management Science Society
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• v.37 no.2
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• pp.89-111
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• 2012

Coalition loyalty programs, loyalty cash-back programs that enable their members to accrue and redeem points at a wide-range of affiliated outlets, are emerging. In a coalition loyalty program, unlike in a single-brand loyalty program, points accrued from one outlet can be redeemed in other outlets which even may be of other brands than the very one where the points were from. However, in spite of such systematic characteristic of coalition loyalty programs, there is only little research on the effect of the program. The present study is aimed at examining the difference between the effects of a coalition and a single-brand loyalty program in terms of acquisition and retention of customers and tries to provide strategic implications for a firm to run a loyalty program. We classify purchase conditions into two types-acquisition vs. retention. Then we compare the effects of a coalition and a single-brand loyalty program on the purchase intention, under both the acquisition and the retention conditions. The result shows that the effect of the coalition loyalty program is stronger than that of the single-brand loyalty program under the acquisition condition. On the other hands, the single-brand loyalty program is more effective than the coalition loyalty program under the retention condition, at least for the minor brand.

• Korean Management Science Review
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• v.23 no.1
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• pp.115-133
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• 2006

From early 1999 years, the mobile telecommunication companies have introduced the mobile telecommunication membership program to attract more customers. However, the severe competition in the mobile telecommunication market has made the mobile telecommunication membership program to be faced with the matured mobile telecommunication market and the mobile number portability. Wain focus of this study is to find what are the core elements of service qualify of the mobile telecommunication membership program. To achieve research objective, we conceptualized the service quality of mobile telecommunication membership program. We also derived hypotheses regarding the relationships between service quality of the program, customer satisfaction, and customer loyalty and examined it by using the empirical research methodology. We suggest new marketing strategies of the mobile telecommunication membership program which can be applied to improve the corporate competitiveness.