• Title/Summary/Keyword: Customer Willingness

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A Study on Sales Enhancement Strategy Based on Menu Engineering and Analysis of Willingness to Pay - Korean Restaurants of First Class Hotels in Cheju - (메뉴 엔지니어링 기법과 고객 지불 의사 분석을 통한 판매 활성화 전략 - 제주지역 특급호텔 한식당을 중심으로 -)

  • Choi, Kwang-Soo
    • Culinary science and hospitality research
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    • v.12 no.1 s.28
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    • pp.1-21
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    • 2006
  • The purpose of this paper was to revise menu management in Korean restaurants of first class hotels in Cheju. This study was conducted to examine and analyze menu mixes using menu engineering and surveys of customer willingness to pay for price adjusting. The results were as follows. Those restaurants in this study need menu re-engineering and price adjustment for sales enhancement. And this paper suggested some recommendations. They have to develop new menu focusing on customer value based menu management. Furthermore, customer behavior analysis must be applied to menu engineering and new menu development.

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Examining the Effect of Online Switching Cost on Customers' Willingness to Pay More

  • Kim, Hee-Woong;Gupta, Sumeet;Lee, So-Hyun
    • Asia pacific journal of information systems
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    • v.23 no.1
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    • pp.21-43
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    • 2013
  • Internet vendors are gradually realizing the importance of "locking-in" online customers in order to ensure profitability. Erection of switching barriers increases customers'lock-in and in turn may result in their willingness to pay price-premium for the same service. However, raising customer lock-in online is difficult because search costs are very low. Therefore, this study examines the effect of switching barriers (customer satisfaction, perceived value and relative advantage) on switching costs and the effect of switching costs on customer's willingness to pay more. Since switching costs and consequent relationships may depend upon the type of product therefore the research model in this study is examined for both search products and experience products. Data is collected through an online survey from two websites (one each for search product and experience product). The empirical results show the key role of switching costs in customers' willingness to pay more and the relationships among the four constructs. The theoretical and practical implications of this study are also discussed.

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Customer Willingness to Use Smart Grid Services in Home (스마트 그리드 서비스에 대한 고객 수용도 분석)

  • Kim, Young-Myoung;Lee, Young-Woo
    • The Journal of Korean Institute of Communications and Information Sciences
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    • v.35 no.9B
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    • pp.1399-1406
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    • 2010
  • Customers can monitor electricity use in real time in smart grid(ICT is grafted onto current grid), so various beneficial services can be provided to customer. We did a qualitative survey, HV(Home Visit) and FGD(Focus Group Discussion), in order to derive customer's cognition of using electricity in home and values that customers consider significantly and a quantitative survey in order to know willingness to use. Customers consider electricity indispensible for using home appliances, want to use safely far from electromagnetic waves, short circuit and electronic shock. Also, customers want to save energy conveniently with no stress. Customers want 'a function', 'information', 'motivation' for energy saving, and 'electromagnetic waves cutting', 'to prevent electronic shock', 'to prevent short circuit' for safe electricity use. In this study, we derived 4 services - energy monitoring, standby power cutting, remote control, energy consulting - based on customer values and unmet needs, which is connected to home network that customers can monitor total and each appliance's electricity usage in real time and control home appliances. The willingness to use of services is over 60% and especially energy monitoring and standby power cutting service have high willingness to use rate, about 80%.

A Study on the Relation among MBTI Personality Types, Job Satisfaction, Customer Orientation, and Willingness to Change Job (MBTI 성격유형, 직무만족, 고객지향성 및 이직의도 간의 관계에 관한 연구 - 영남지역 H사 보험설계사를 대상으로 -)

  • Kang, Min-Jeong;Park, Ju-Sik
    • Management & Information Systems Review
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    • v.36 no.5
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    • pp.151-173
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    • 2017
  • This study examined the relation between MBTI personality types and job satisfaction, job satisfaction's effect on the customer orientation and willingness to change job and MBTI personality types's moderating effect on the relation among job satisfaction customer orientation, willingness to change job. Research results are as following. First, MBTI personality types didn't influence job satisfaction significantly. Second, job satisfaction affected customer orientation positively and willingness to change job negatively. Finally, MBTI personality type's moderating effect was analysed using Psychological Function and Attitude Index. Moderation effect of Psychological Function was significant only on the relation between job satisfaction and customer orientation. Moderation effect of Attitude Index was significant both on the relation between job satisfaction and customer orientation and the relation between job satisfaction and willingness to change job. These results of current study can be useful to recruit, organize, educate life planners based on the personality types of MBTI. And the applicability of MBTI test will increase by using these results.

A Study on the Customer-based Pricing Approach for Railway Fare of Express Train

  • KIM, Gyu-Bae;KANG, Sung-Wook
    • East Asian Journal of Business Economics (EAJBE)
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    • v.9 no.4
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    • pp.93-102
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    • 2021
  • Purpose - Among the various pricing approaches used to set fares for express trains, this study explores a method of utilizing a customer-based pricing approach. The purpose of this study is to figure out how to apply the customer-based pricing approach to fares of new railway services using express trains. Research design, data, and methodology - This study was conducted through a literature review and case studies. In the literature review, we examined three approaches, focusing on the customer-based pricing approach and its application. In the case studies, we show how a customer-based pricing approach can be applied to determining the fares for railway services. Result - Some studies have used a customer-based pricing approach to set railway service rates, adapting the concepts of customer-based pricing such as demand, elasticity, value and willingness to pay. When setting fares of new railway services, it is recommended to use the customer-based approach in conjunction with other pricing approaches. Conclusion - This study demonstrates that a customer-based pricing approach is a promising tool in making decisions on railway fares. By applying a customer-based pricing approach to fares for new railway services using express trains, railway operators can utilize new service rates and increase the profitability of the railway business.

ASP 매출 변화에 관한 동태적 분석: SD 기법을 활용한 버전 차별화 전략을 중심으로

  • Kim, Sang-Jun;Lee, Jin-Su;Lee, Sang-Geun
    • 한국경영정보학회:학술대회논문집
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    • 2008.06a
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    • pp.454-471
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    • 2008
  • This study suggests the dynamic pricing model which reveals the organic relationship between ASP (Application Service Provider) price and the related factors, using system dynamics methodology. Basically, we applied the law of supply and demand for analyzing price changes. Then, we deducted ASP price, focusing on fixed cost and variable cost. We also researched the customer's buying behavior according to version differentiation policy. In the version policy, we set up the proposition about customer's satisfaction and willingness-to-pay, using option system. As a result, this research designed the simulation model which analyzes the changes of the sales according to version differentiations and customer's willingness-to-pay. Through this research, we can find effective version differentiation strategies. This paper also found that the larger the number of package, the greater the demand and customer's willingness-to-pay. The increase of the number of package causes the increase of the sales. The increase of the sale is not exactly relative to the number of package. Drawing S-curve, the sales was increased. This dynamic pricing model suggests the ground that the ASP price changes based on the existing version differentiation theory and the demand of customers can affect the changes of the sales. We expect that this model suggests a clear standard of ASP pricing by combining real cases.

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Netflix in Indonesia: Influential Factors on Customer Engagement among Millennials' Subscribers

  • AUDITYA, Annisa;HIDAYAT, Z.
    • Journal of Distribution Science
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    • v.19 no.1
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    • pp.89-103
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    • 2021
  • Purpose: This study is to explore how Netflix Customers' Engagement was influenced by Instagram Content, Perceived Price, Exclusivity, and Motivation in the context of Media Streaming and the role of Willingness to Subscribe as the mediating variable. This study underlines millennial's willingness to engage and the form of engagement. Research design, data, and methodology: The data for this research were collected from 100 Netflix's Millennials subscribers who follow @netflixid Instagram. All the results were analyzed and verified using SEM-PLS. Results: Research findings indicated that Willingness to Subscribe, Exclusivity, Motivation, and Instagram Content positively influenced Customer Engagement among Netflix millennials' subscribers. In contrast, Perceived Price had a negative effect on Customer Engagement. Conclusions: As a consequence, the exclusivity that Netflix offers to its audience by a recommendation algorithm has been proven to increase the engagement. This study also disclosed that the most definite form of positive engagement shown by Netflix millennials' subscribers is a behavioral aspect, where they positively recommend Netflix (word of mouth). The study findings can be a reference for the media streaming industry in their efforts to strengthen the engagement with their customers, especially the millennials, and provide knowledge about consumer behavior in digital technology.

Customer satisfaction on the nursing services;A relationship among the expectation and the perceived performance and the willingness of reuse of patients on the nursing services (간호서비스에 대한 고객만족에 관한 연구;환자의 기대와 성과지각 및 병원 재이용의사 간의 관계)

  • Jung, Won-Suk;Yoon, Sook-Hee
    • Journal of Korean Academy of Nursing Administration
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    • v.9 no.1
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    • pp.31-40
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    • 2003
  • Purposes : The purpose of this study is to analyze the correlation among Expectations, Performance-Perception, Willingness of reuse of hospital. Methods : The subjects of this study were 120 patients who were admitted in the hospitals over 1 week in Pusan. The data was collected by self-reporting questionnaires from Oct. 16th, to Nov. 5th, 2001. The data were analysed by SPSS/PC package using frequency, percentage, mean, standard deviation, Pearson's correlation coefficient. Results : The results were as follows; 1) The mean score of Expectation was 3 and over. The highest item was 'equal treatment' and the lowest was 'safety in transaction'. 2) The mean score of Performance-Perception was 4 and under. The highest item was 'nurse' attractive appearance' and the lowest was 'equal treatment', 'kindness and etiquette'. 3) The mean score of Willingness of reuse was 3.11. 4) There was a statistical significance of the difference between Expectations and Performance-Perception. The highest difference item was 'equal treatment', and then the lowest difference item was 'working environment arrangement/order'. 5) There were statistically significant positive correlation among Expectations, Performance-Perception, and Willingness of reuse. The highest correlation was 0.89 between Performance-Perception and Willingness of reuse. Conclusions : Nursing managers have to develop nurse training programs for improving of patient's performance perception on nursing service.

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The Effect of the Gap between College Students' Perception of the Importance of Coffee Shops and Their Satisfaction after Patronizing Coffee Shops on Their Purchasing Behavior (대전원교학생대가배점중요성적감지화타문광고가배점지후적만의도지간적차거대타문구매행위적영향(大专院校学生对咖啡店重要性的感知和他们光顾咖啡店之后的满意度之间的差距对他们购买行为的影响))

  • Lee, Won-Ok
    • Journal of Global Scholars of Marketing Science
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    • v.19 no.4
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    • pp.1-10
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    • 2009
  • The purpose of this study was to categorize the gap between coffee shop 'importance' (as perceived by customers before patronizing the coffee shop) and 'satisfaction' (perception of customers after patronizing the coffee shop) as positive or negative and to analyze the effect of these gaps on purchasing behavior. To do this, I used the gap between importance and satisfaction regarding the choice of a coffee shop as the explanatory variable and performed an empirical analysis of the direction and size of the effect of the gap on purchasing behavior (overall satisfaction, willingness-to-revisit) by applying the Ordered Probit Model (OPM). A previous study that used IPA to evaluate the effects of gaps estimated the direction and size of a quadrant but failed to analyze the effect of gaps on customers. In this study, I evaluated the effects of positive and negative gaps on customer satisfaction and willingness-to-revisit. Using OPM, I quantified the effect of positive and negative gaps on overall customer satisfaction and willingness-to-revisit. Per-head expenditure, frequency of visits, and coffee-purchasing place had the most positive effects on overall customer satisfaction. Frequency of visits, followed by per-head expenditure and then coffee-purchasing place, had the most positive impact on willingness-to-visit. Thus per-head expenditure and frequency of visits had the greatest positive effects on overall satisfaction and willingness-to-revisit. This finding implies that the higher the actual satisfaction (gap) of customers who spend KRW5,000 or more once or more per week at coffee shops is, the higher their overall satisfaction and willingness-to-revisit are. Despite the fact that economical efficiency had a significant effect on overall satisfaction and willingness-to-revisit, college and university students still use coffee shops and are willing to spend KRW5,000 because they do not only purchase coffee as a product itself, but use the coffee shop for other activities, such as working, meeting friends, or relaxing. College and university students also access the Internet in coffee shops via personal laptops, watch movies, and study; thus, coffee shops should provide their customers with the appropriate facilities and services. The fact that a positive gap for coffee shop brand had a positive effect on willingness-to-revisit implies that the higher the level of customer satisfaction, the greater the willingness-to-revisit. A negative gap for this factor, on the other hand, implies that the lower the level of customer satisfaction, the lower the willingness-to-revisit. Thus, the brand factor has a comparatively greater effect on satisfaction than the other factors evaluated in this study. Given that the domestic coffee culture is becoming more upscale and college/university students are sensitive to this trend, students are attentive to brands. In most upscale coffee shops in Korea, the outer wall is built out of glass that can be opened, the interiors are exotic with an open kitchen. These upscale coffee shops function as landmarks and match the taste of college/university students. Coffee shops in Korea have become a cultural brand. To make customers feel that coffee shops are upscale, good quality establishments and measures to provide better services in terms of brand factor should be instituted. The intensified competition among coffee shop brands in Korea as a result of the booming industry indicates that provision of additional services is needed to differentiate competitors. These customers can also use a scanner free of charge. Another strategy that can be used to boost brands could be to provide and operate a seminar room for seminars and group study. If coffee shops adopt these types of strategies, college/university students would be more likely to consider the expenses they incur worthwhile and, subsequently, they would be more likely to be satisfied with the brands of these coffee shops, with an associated increase in their willingness-to-revisit. Gender and study year had the most negative effects on overall satisfaction and willingness-to-revisit. Female students were more likely to be satisfied and be willing to return than male students, and third and fourth-year students were more likely to be satisfied and willing-to-return than first or second-year students. Students who drink coffee, read books, and use laptops alone at coffee shops are easily noticeable. High-grade students tend to visit coffee shops alone in order to use their time efficiently for self-development and to find jobs. The economical efficiency factor had the greatest effect on overall satisfaction and willingness-to-revisit in terms of a positive gap. The higher the actual satisfaction (gap) of students with the price of the coffee, the greater their overall satisfaction and willingness-to-revisit. Economical efficiency with a negative gap had a negative effect on willingness-to-revisit, which implies that a less negative gap will result in a greater willingness-to-revisit. Amid worsening market conditions, coffee shops located around colleges/universities are using strategies, such as a point or membership card, strategic alliances with credit-card companies, development of a set menu or seasonal menu, and free coffee-shot services to increase their competitive edge. Product power also had a negative effect in terms of a negative gap, which indicates that a higher negative gap will result in a lower willingness-to-revisit. Because there are many more customers that enjoy coffee in this decade, as compared to previous decades, the new generation of customers, namely college/university students, want various menu items in addition to coffee, and coffee shops should, therefore, add side menu items, such as waffles, rice cakes, cakes, sandwiches, and salads. For example, Starbucks Korea is making efforts to enhance product power by selling rice cakes flavored in strawberry, wormwood, and pumpkin, and providing coffee or cream free of charge. In summary, coffee shops should focus on increasing their economical efficiency, brand, and product power to enhance the satisfaction of college/university students. Because shops adjacent to colleges or universities enjoy a locational advantage, providing differentiated services in terms of economical efficiency, brand, and product power, is likely to increase customer satisfaction and return visits. Coffee shop brands should, therefore, be innovative and embrace change to meet their customers' desires. Because this study only targeted college/university students in Seoul, comparative studies targeting diverse regions and age groups are required to generalize the findings and recommendations of this study.

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Determinants of Mass Customization Adoption in the Apparel Industry: Retail Managers' and Young Consumers' Point of View (의류매장 매니저와 20대 소비자의 매스커스터마이제이션 도입 결정요인)

  • Kim, Su-Yeon;Fiorito, Susan S.;Koh, Ae-Ran
    • Journal of the Korean Society of Clothing and Textiles
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    • v.33 no.6
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    • pp.968-979
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    • 2009
  • The purpose of this study was to examine the relationship between the willingness to adopt mass customization and four proposed characteristics: organizational, individual, technological, and environmental. Retail managers' and consumers' point of view was separately examined to distinguish their characteristics and willingness to adopt mass customization. The sample of this study consisted of 66 managers and 274 consumers in their twenties. The researcher obtained seven findings from the hypotheses testing. The determinants of mass customization adoption were managers' technology and environmental characteristics, and consumers' individual, technology, and environmental characteristics. The most influential variables for the willingness to adopt mass customization were technology characteristics and retailer's customer relationship management process, where customer satisfaction and customer relationships are the top priority in an organization.