• Title/Summary/Keyword: Product loyalty

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Exploring the Mediating Effect of Conspicuous Consumption by Utilizing Mobile Phone Brands

  • KWON, Youngseo
    • Journal of Distribution Science
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    • v.18 no.3
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    • pp.15-24
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    • 2020
  • Purpose: The purpose of this study is to investigate the mediating effect of conspicuous brand usage between brand experience and brand loyalty in relational perspective, and to probe the difference between the positively experienced consumers and the negatives. Research design, data and methodology: Apple iPhone, Samsung Galaxy, and other brands were suggested as consideration set to be selected from 223 Amazon Mechanical Turk respondents, and they answered the structured survey of 33 questions made by Qualtrics with 5-point Likert scale. Structural Equations Model (SEM) was employed to test the hypothesized model, and RStudio and SPSS 18 were used to analyze the dataset. Results: It was confirmed that the more consumers have positive brand experience, the more they are loyal to brand. Conspicuous brand usage can be positively mediated, and consumers who experienced high conspicuous brand usage are more likely to be loyal to the brand. Conclusions: It is noteworthy to find the mediating effect of conspicuous brand usage, and the hidden mechanism between brand experience and brand loyalty. Managers can promote positive conspicuous brand usage when consumers get in touch with product and service channels. By providing impressive conspicuous brand experience, the brand loyalty of the band can be enhanced.

Analysis on the Diffusion and the Intention to Use among Technology Adopter Categories (수용자 집단별 혁신제품 확산 및 지속사용의도에 대한 영향)

  • Han, Sangyun;Bae, Sung Joo;Park, Se-Bum;Ma, Eunjung;Han, Hena
    • Journal of Information Technology Services
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    • v.13 no.3
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    • pp.25-50
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    • 2014
  • The purpose of this study is to examine factors affecting the diffusion and the intention to use, and how these factors differ among adopter categories. A survey was done to analyze the diffusion of smart-phone, the most popular and innovative product nowdays. We collected 197 survey questionnaires from smart-phone user and analyzed the data using SPSS 18.0 and Smart PLS 2.0. PLS (Partial Least Square) analysis was implemented before multiple group-innovator, early adopter, eraly majority- analysis which is categoriezed by Innovation Diffusion Model of Rogers (1995). The results show that firstly, in innovator group (n=63), the functional and the safety value have significantly positive effect on user satisfaction. In addition, we found that user satisfaction and the brand loyalty are significatly associated with the intention of use. Secondly, in early adopter group (n = 67), the design value has significantly positive effect on user satisfaction and it has significantly positive effect on brand loyalty. Finally, in early majority group (n = 67), the design value has significantly positive effect on the user satisfaction and it has stronger effect on the intention of use and brand loyalty. We conclude this paper with the implication of this study to both academia, business practice, and policy making.

Perceived values, price fairness, and behavioral intentions toward luxury fashion brands - A comparison of luxury, luxury-bargain, and non-luxury consumers -

  • Lim, Chae Mi
    • The Research Journal of the Costume Culture
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    • v.27 no.1
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    • pp.20-32
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    • 2019
  • This study examined whether and how consumers who seek a bargain in their shopping for luxury fashion brands differ from traditional luxury consumers or non-luxury consumers on their market-related attitudes. To do so, this study compared multi-dimensional perceived values, fairness price perceptions, satisfaction with purchase, brand loyalty, and future purchase intention among luxury consumers, luxury-bargain seekers, and non-luxury consumers. Data was obtained from online surveys and the market-related attitudes were compared using an ANOVA test. The comparion of three types of consumers revealed that luxury-bargain seekers and regular luxury consumers are distinct consumer markets. Overall, luxury consumers displayed high perceived values and brand loyalty and were fairly satisfied with the purchase at full-prices. On the other hand, luxury-bargain seekers showed significantly low perceived social value, perceived fairness toward the original price of the brands, and brand loyalty. They were satisfied with the bargain purchase but not likely to purchase the luxury at full-prices in the future. Understanding these distinct types of consumers and targeting them with different product and pricing strategies are important for luxury brands and retailers to expand luxury consumer base without diluting their brands' prestige image. Potential marketing strategies based on the findings of this study were suggested.

The Effects of Online Brand Community Members' Interactions on Values, Participation, and Brand Loyalty: The Mediating Effects of Virtual Interactivity

  • Yongsoo, HA;Alona J., GUBALANE
    • The Journal of Economics, Marketing and Management
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    • v.11 no.1
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    • pp.1-12
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    • 2023
  • Purpose: This study identified the effects of the three types of consumer interactions on the utilitarian and hedonic values experienced by community members, their degree of participation, and brand loyalty. In addition, the mediating effect of virtual interactivity between the interactions that occur within the online brand community and the value experienced by community members was also identified. Research design, data and methodology: An online survey was distributed, and the data gathered was analyzed using structural equations modeling. Results: Test results showed that product-information interaction has a positive effect on utilitarian value and interpersonal interaction has a positive effect on hedonic value. Human-computer interaction was found to have a negative effect on hedonic value and no significant effect on utilitarian value. Furthermore, it was revealed that among the three types of interactions, virtual interactivity had a mediating effect only in the relationship between human-computer interaction and hedonic value. Moreover, utilitarian values experienced by community members affected their level of participation which ultimately enhances brand loyalty. Hedonic value did not affect their level of participation within the online brand community. Conclusions: When marketers establish online brand community strategies, they must place elements that can directly help the use of brands and products.

Effects of Joining Coalition Loyalty Program : How the Brand affects Brand Loyalty Based on Brand Preference (브랜드 선호에 따라 제휴 로열티 프로그램 가입이 가맹점 브랜드 충성도에 미치는 영향)

  • Rhee, Jin-Hwa
    • Journal of Distribution Research
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    • v.17 no.1
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    • pp.87-115
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    • 2012
  • Introduction: In these days, a loyalty program is one of the most common marketing mechanisms (Lacey & Sneath, 2006; Nues & Dreze, 2006; Uncles et al., 20003). In recent years, Coalition Loyalty Program is more noticeable as one of progressed forms. In the past, loyalty program was operating independently by single product brand or single retail channel brand. Now, companies using Coalition Loyalty Program share their programs as one single service and companies to participate to this program continue to have benefits from their existing program as well as positive spillover effect from the other participating network companies. Instead of consumers to earn or spend points from single retail channel or brand, consumers will have more opportunities to utilize their points and be able to purchase other participating companies products. Issues that are related to form of loyalty programs are essentially connected with consumers' perceived view on convenience of using its program. This can be a problem for distribution companies' strategic marketing plan. Although Coalition Loyalty Program is popular corporate marketing strategy to most companies, only few researches have been published. However, compared to independent loyalty program, coalition loyalty program operated by third parties of partnership has following conditions: Companies cannot autonomously modify structures of program for individual companies' benefits, and there is no guarantee to operate and to participate its program continuously by signing a contract. Thus, it is important to conduct the study on how coalition loyalty program affects companies' success and its process as much as conducting the study on effects of independent program. This study will complement the lack of coalition loyalty program study. The purpose of this study is to find out how consumer loyalty affects affiliated brands, its cause and mechanism. The past study about loyalty program only provided the variation of performance analysis, but this study will specifically focus on causes of results. In order to do these, this study is designed and to verify three primary objects as following; First, based on opinions of Switching Barriers (Fornell, 1992; Ping, 1993; Jones, et at., 2000) about causes of loyalty of coalition brand, 'brand attractiveness' and 'brand switching cost' are antecedents and causes of change in 'brand loyalty' will be investigated. Second, influence of consumers' perception and attitude prior to joining coalition loyalty program, influence of program in retail brands, brand attractiveness and spillover effect of switching cost after joining coalition program will be verified. Finally, the study will apply 'prior brand preference' as a variable and will provide a relationship between effects of coalition loyalty program and prior preference level. Hypothesis Hypothesis 1. After joining coalition loyalty program, more preferred brand (compared to less preferred brand) will increase influence on brand attractiveness to brand loyalty. Hypothesis 2. After joining coalition loyalty program, less preferred brand (compared to more preferred brand) will increase influence on brand switching cost to brand loyalty. Hypothesis 3. (1)Brand attractiveness and (2)brand switching cost of more preferred brand (before joining the coalition loyalty program) will influence more positive effects from (1)program attractiveness and (2)program switching cost of coalition loyalty program (after joining) than less preferred brand. Hypothesis 4. After joining coalition loyalty program, (1)brand attractiveness and (2)brand switching cost of more preferred brand will receive more positive impacts from (1)program attractiveness and (2)program switching cost of coalition loyalty program than less preferred brand. Hypothesis 5. After joining coalition loyalty program, (1)brand attractiveness and (2)brand switching cost of more preferred brand will receive less impacts from (1)brand attractiveness and (2)brand switching cost of different brands (having different preference level), which joined simultaneously, than less preferred brand. Method : In order to validate hypotheses, this study will apply experimental method throughout virtual scenario of coalition loyalty program if consumers have used or available for the actual brands. The experiment is conducted twice to participants. In a first experiment, the study will provide six coalition brands which are already selected based on prior research. The survey asked each brand attractiveness, switching cost, and loyalty after they choose high preference brand and low preference brand. One hour break was provided prior to the second experiment. In a second experiment, virtual coalition loyalty program "SaveBag" was introduced to participants. Participants were informed that "SaveBag" will be new alliance with six coalition brands from the first experiment. Brand attractiveness and switching cost about coalition program were measured and brand attractiveness and switching cost of high preference brand and low preference brand were measured as same method of first experiment. Limitation and future research This study shows limitations of effects of coalition loyalty program by using virtual scenario instead of actual research. Thus, future study should compare and analyze CLP panel data to provide more in-depth information. In addition, this study only proved the effectiveness of coalition loyalty program. However, there are two types of loyalty program, which are Single and Coalition, and success of coalition loyalty program will be dependent on market brand power and prior customer attitude. Therefore, it will be interesting to compare effects of two programs in the future.

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The Influence of After-Sales Service Quality on Customer Satisfaction and Loyalty in Mobile Phone (휴대폰 애프터서비스 품질이 고객만족과 고객충성도에 미치는 영향)

  • Lee, Jae jun;Ryu, Ji-Hyun;Lee, Sae-Jae;Oh, Hyun-Seung;Cho, Jin-Hyung
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.40 no.4
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    • pp.87-95
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    • 2017
  • This study aims to configure what dimensions make up for smart phone after service quality, and how this service quality affects customer satisfaction and customer loyalty. Smart phone market is a market of the device leading the digital convergence as well as positioning itself as one of the national growth driving industry. To survive in this matured market, companies should have to respond actively to radical changes and customers needs in the so-called Smart Revolution environment. Lately, however, the smart phone market is prospected to move from growth phase to mature phase by the scholars. In order to proactively respond to the change in such market condition, companies need to provide absolute advantage in customer loyalty over their competitors by revolutionizing the after-sales service quality. Qualified A/S will lead to service satisfaction and achieve customer loyalty. The empirical analysis results obtained through A/S quality are as follows : First, human quality (attitude, expertise, problem-solvability), environment quality (handling agility, convenience, comfort), service policy quality (quality guarantee, additional service operation) are dimensions that make up for A/S quality. Second, A/S quality dimension showed a significant positive influence on service satisfaction and A/S satisfaction showed a positive influence on customer loyalty as well. Based on this empirical study, we propose some implications for A/S quality improvement. First, human quality dimension has relatively higher influence on A/S satisfaction in case of free A/S, so companies need to solve the product problem completely when consumer's first visit by continual employee education. Second, in case of paid A/S, the service policy quality-especially A/S Warranty period- has higher influence on A/S satisfaction.

The Effects of Perceived Value, Overall Satisfaction, and Loyalty by the Service Quality of the Local Exhibition: Focused on The Goyang International Flower Exhibition (지역박람회의 서비스품질이 지각된 가치, 전반적 만족 및 충성도에 미치는 영향 -2018 고양국제꽃박람회를 중심으로-)

  • Lee, Chan-Do
    • The Journal of the Korea Contents Association
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    • v.19 no.1
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    • pp.163-173
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    • 2019
  • The purpose of this study is to analyze the influence relationship of spectators' evaluation, perceived value, overall satisfaction, and loyalty on the service quality of Goyang International Flower Exhibition. As a result of analysis, first, it turned out that the higher the quality of the fair service, the higher the perceived value, overall satisfaction and loyalty. Especially, fair service quality showed a greater influence on overall satisfaction than on perceived value. Therefore, in order to improve the quality of the fair service, careful planning and operation of event content, accessibility, and convenience are required. Second, perceived value did not have a positive (+) effect on overall satisfaction, but it had a positive (+) effect on loyalty. The reason for this is that the spectators' evaluation of the perceived factors that can induce the interest of the flower product and the increase of the purchase, such as the quality problem of the product, the design problem, the exhibition and display problem, was low. Third, both perceived value and overall satisfaction had a positive (+) effect on loyalty, but the effect of overall satisfaction was greater than that of perceived value. Therefore, a strategy for enhancing the perceived value is required.

The Antecedents of Switching Cost and its Effect on Customer Loyalty in Digital Music Service Industry (온라인 음악서비스 산업에서 전환비용의 선행요인 및 전환비용이 고객충성도에 미치는 영향)

  • Kang, Sung-Min;Uhm, Gi-Heon
    • Asia pacific journal of information systems
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    • v.20 no.2
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    • pp.157-180
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    • 2010
  • Rapid development of information technology has generated a new industry and market. In particular, network technology such as the Internet and other computer networks made transaction activities switched from traditional offline commerce to e-commerce. Among them, digital content is bit-based object which is created and distributed through electronic environment. In particular, many entertainment contents such as the music, the movies, and the computer game softwares are main products. Although digital content commerce has high potential demand, it lacks the consideration about the factor related to maintaining existing customer such as customer loyalty and switching costs. There has been a number of research on customer loyalty and other factors affecting it in the traditional electronic commerce environment, but there is a lack of research which examines the characteristics of digital content. The study about the effect of switching costs on customer loyalty in digital content commerce is necessary because the customers of digital content commerce market are from those of other e-commerce market or traditional offline commerce market. In addition, customer loyalty and switching costs are important factors because they may build up greater customer retention. For that reason, this study focused on examining the relationships among switching costs, antecedents for switching costs, and customer loyalty in online digital music service industry. The study has three major purposes: (1) to find antecedents of switching costs on digital content commerce and examine effect of antecedents for switching costs; (2) to identify effect of switching costs on customer loyalty in digital content commerce and examine moderating effects of alternative attractiveness; (3) to identify the differences of antecedents for switching costs by contents transmission type(streaming service and downloading service). And, the online digital music service industry is selected in this study since there are many users and transactions incurring. To accomplish these purposes, a survey questionnaire was developed and distributed to 256 informants. Survey instrument was developed based on previous research and pre-established survey items. Total of 206 surveys are collected and used in the data analysis. Among the respondents, 56.8% is male and 43.2% is female. Also, 86 responses were streaming service user group and 120 responses were download service user group. These data was analyzed using regression analysis. Major findings of empirical analysis can be summarized as follows. First, switching costs have positive effect on customer loyalty in digital content commerce environment. Second, the influence of switching costs on customer loyalty increases under conditions of high alternative attractiveness. Third, DRM convenience and breadth of use have positive effect on switching costs. The findings imply that the digital content provider should pay more attention to switching costs in addition to customer satisfaction in order to attract customers. Also, increasing the convenience of DRM use by securing the convenience of user interface and expanding the support device and increasing the service use scope by providing diverse value-added service helps to create a switching barrier. The result of the study can become a practical use in marketing strategy for maintaining existing customer. In particular, switching barrier is very important under conditions of high competition in the online music service market. This study can be used as a basis for further studies about customer retention in digital content commerce.

A Study on Livestock Products Brand Loyalty of University Students (대학생의 축산물 브랜드 충성도에 관한 연구)

  • Kim, Seok-Eun;Kim, Kon-Joong
    • Journal of Animal Science and Technology
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    • v.51 no.5
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    • pp.433-440
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    • 2009
  • This study was conducted to investigate the experience of purchasing a specific livestock farm product brand, loyalty to a brand, reasons of loyalty, reasons of nonloyalty and intension of paying a premium for a preferred brand according to gender, occupation of parents, a place of residence and income of parents with 408 university students by using a questionnaire and to provide measures for development of livestock farm product brands satisfying both to producers and consumers. According to the results, only the students (25.7%, 105) had bought a specific livestock farm product brand and more female students (33.6%) had purchased a specific brand than male students (21.4%) (p<0.01). For loyalty to a brand, males were more loyal by recording 3.83 points, and students whose parents were farmer showed the highest or 4.17 points (p<0.05). As reasons of loyalty to a brand, female students answered quality (76.6%, 36) and a price (12.8%, 6) in that order and male students considered its name value as the most important reason (26.4%, 14) (p<0.05). In conclusion, experience of buying a livestock farm product brand was found to be a factor increasing university students‘ loyalty to a brand. Although quality and a price affected largely the purchase of a brand, a place to buy it and a price were major factors hindering the purchase.

The mediating effects of design values on the relationship between consumers' design evaluative elements and brand loyalty (소비자 관점에서의 디자인 평가요소와 브랜드 충성도 관계에 대한 디자인 가치의 매개효과)

  • Na, Kwang-Jin;Lee, Yong-Gyun;Yook, Hwa-Young
    • Science of Emotion and Sensibility
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    • v.13 no.3
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    • pp.511-522
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    • 2010
  • Product design is being recognized as an important source of sustainable competitive advantage. This research explores the effects of design evaluative elements on brand loyalty through design values. The results of this study are as follows. Firstly, most design evaluative elements have positive effects on design values. Aesthetic, unique, feminine, noble, and utilitarian elements of design evaluation influence three types of design values: rational, kinesthetic, and emotional. While unique design evaluative element does not have significant effects on rational and kinesthetic design values, it has significant affect on the emotional design value positively. Secondly, three types of design values have positive effects on attitudinal brand loyalty. In addition, emotional and kinesthetic design values have positive influences on behavioral brand loyalty. However, the emotional design value has an indirect effect on behavioral brand loyalty through attitudinal brand loyalty. Lastly, attitudinal brand loyalty has a significant influence on behavioral brand loyalty positively.

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