• Title/Summary/Keyword: customer participation strategy

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A Study on Digital Transformation Competitive Strategy of Accommodation Reservation Service Industry: A Case Study (디지털전환 기반의 숙박예약 서비스 경쟁우위전략: 사례연구)

  • Chin, HeeSoo;Lee, DongWon
    • Journal of Korea Society of Industrial Information Systems
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    • v.27 no.1
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    • pp.93-109
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    • 2022
  • Today, digital transformation in providing service value to companies that combine service and technology is becoming a necessity. In the transition period of digital transformation, various factors such as data, artificial intelligence technology, and partnerships can become competitive factors. In particular, digital transformation, which combines information and services with customers, creates a new business model that changes the entire industry and is presented as core competitiveness that creates customer value. From these aspects, the purpose of this case study is to derive competitive advantages on digital transformation using the case of company S. First, the study analyzes the same type of industry based on the case of app service. Second, this study presents preference factors in the operational process to enhance competitiveness by expanding user participation in accommodation reservation services. In addition, the customer service value model provides through the analysis of the five competitive factors in the operational process. This study elaborates the implications of the customer service value creation model in terms of new opportunities and challenges in digital transformation as a new customer service strategy.

Managing Customer's Usage Behavior in a Multi-vendor Loyalty Program

  • Koo, Kay-Ryung;Woo, Won-Seok
    • Journal of Distribution Science
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    • v.13 no.5
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    • pp.5-14
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    • 2015
  • Purpose - Loyalty programs enable retailers to maintain longer and better customer relationships. In successful services, customers actively use and value these programs. As the proximity to the goal (goal gradient) might signal active participation, this study empirically examines customer's goal gradient behavior in a multi-vendor loyalty program. We also consider the effect of customer's accrual diversity on goal gradients, which is a differentiating feature in a multi-vendor loyalty program, and is further examined. Research Design, Data, and Methodology - The data consists of6,646 OK Cashbag members' individual transaction records from 2006 to 2009. The goal gradient hypothesis was tested as an increase in both the speed and the amount of accumulated award points. Result - The findings suggest that the goal gradient is also observed in a multi-vendor loyalty program, occurring more strongly among members with high accrual diversity. Conclusions - The results indicate that customers with high accrual diversity attend strongly to goal gradients in multi-vendor loyalty programs; hence, it is important for such program managers to better inform members about affiliated partners.

Case Study on Using Gamification as an Effective Marketing Strategy (효과적 마케팅 전략으로서 게이미피케이션 활용 사례 연구)

  • Doo, Kyungil
    • Journal of Digital Convergence
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    • v.18 no.2
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    • pp.395-401
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    • 2020
  • With the popularization of smartphones and the development of digital technologies, new concepts that maximize interactive communication have begun to appear in marketing strategies. One of them is the gamification marketing strategy that combines games with marketing that induces customer interest and voluntary participation. Gamification is a compound word of 'game' and '-fication', and marketing cases using game formats are being implemented in various fields. Therefore, this study will identify the implications of the usage of gamification that has become a trend, and analyze the gamification techniques and factors shown in various cases to suggest the direction of gamification as an effective marketing strategy. Companies are actively using gamification in their marketing strategies in a variety of forms and apply gamification techniques such as challenge, competition, accomplishment, reward, and relationship. As a result of the case analysis, important factors commonly identified in the gamification techniques used in marketing are 'Accomplishment' and 'Rreward'. Using various products and benefits obtained through solving a given mission or task as game elements, it was found to be an effective strategy to induce consumers' interest and participation and to promote consumption by encouraging consumers' immersion.

An Exploratory Study on the Balanced Scorecard Model of Social Enterprise

  • Lee, Yoeng-Taak;Moon, Jae-Young
    • International Journal of Quality Innovation
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    • v.9 no.2
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    • pp.11-30
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    • 2008
  • The purpose of this study is to develop BSC model of social enterprise. Performance analysis tool of BSC have been brought over from the business world, designed and created from the perspectives of profit-based businesses. The BSC is a strategic performance measurement and management tool designed for the private sector acting as a communication/information and learning system, to measure 'where we are now' and 'where to aim for next'. It prescribes a plan for translating 'vision' and 'strategy' into concrete action across four perspectives at different stages, depending on the business. These perspectives are 'financial', 'customer', 'internal processes' and 'learning and growth', each of which is connected by cause-and-effect relationships that reflect the firm's strategy. Social aims of social enterprise are to accomplish desired outcomes which are to employ vulnerable people and to provide social services. The measurement factors of financial perspective are stable funding, efficiency of budgeting, stakeholders' financial supports, and trade profit. The measurement factors of customer perspective are government, social service users, employees, local communities, sup plier, social activity company, and partnership with external organizations. The measurement factors of internal process perspective are organizational culture, organizational structure/management, internal/external communication, quality of products and services, information sharing. The measurement factors of learning and growth perspective are training and development, management participation, knowledge sharing, leadership of CEO and manager, and learning culture.

Relationship among Social Exchange Point of View and Customer Citizenship behavior in the Festival Participants' Perception -Focused on the Boryeong Mud Festival- (축제참가자가 지각하는 사회교환관점과 고객시민행동 간의 관계 -보령머드축제를 중심으로-)

  • You, Do-Jae;Jeon, Jeong-Ah;Song, Min-Su
    • The Journal of the Korea Contents Association
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    • v.12 no.2
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    • pp.208-221
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    • 2012
  • The purpose of this study is to investigate the antecedent variables of customer citizenship behavior selected by a social exchange point of view on the Boryeong Mud Festival. Of all the questionnaires collected, 239 were included in the analysis which was performed using SPSS. Date analysis method used to frequency analysis, factor analysis, reliability analysis and canonical correlation analysis. As the results of the canonical correlation analysis between the customer citizenship behavior and the social exchange point of view, there was a significant relationship between the attributes of customer citizenship behavior - loyalty, cooperation, Participation and social exchange point of view - customer satisfaction, customer confidence, perceived support of customers, justice perception. Therefore, marketing practitioner should recognize the importance of customer's perception in the service circumstance and make a managerial effort to offer the best service to customer. The result of this paper may help local festival planner and marketers for festival marketing strategy.

An Exploratory Study on the Factors Affecting the Success and Utilization of Reestablished Knowledge Management Systems in a Customer Center: Case of K Life Insurance (고객센터 지식관리시스템 재구축 성공과 활용에 영향을 미치는 요인에 관한 탐색적 연구: K 보험사 사례를 중심으로)

  • Hong, Byung Sun;Koh, Joon;Cheong, Ki Ju
    • Knowledge Management Research
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    • v.17 no.3
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    • pp.93-116
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    • 2016
  • Knowledge, as a source of firm's competitive edges, has been drawing attention, while numerous enterprises are investing huge amount of assets to foster the right environments for executing knowledge management (KM). As a practical way of such KM, knowledge management systems (KMS) support the creation, diffusion, and utilization of knowledge, which are the tools for practicing such management style. Recently, the customer centers which make the closest contact with the customers are being concerned about the establishment of KMS. Considering the characteristics of real-time problem solving in customer centers during the consultation with the customers, the importance of KMS is paramount to the centers. This study analyzes major factors influencing the success and utilization of the customer center KMS's reestablishment, as an exploratory case study of the reestablishment of KMS in the customer center of K insurance company. First, the characteristic differences between the customer center's KMS and the traditional KMS are discussed, and the triangulation technique is applied to secure objectivity of this case study's findings. Major results of the case study state that, for the success of KMS and improvement of utilization, the followings should be considered preferentially: excellent system quality (accessibility, user convenience, easy searching, speed/menus); high information quality (accuracy, usefulness, timeliness, task-relevance, diversity, degree of specification); appropriate operation strategy and process for the utilization of system (education, training opportunity, appropriate personnel, speed and procedure of approval, compensation/evaluation); and change management via the support from the CEO's level (concern and participation of CEO, will to propel the project, investment, advertisement, etc.). This study provides practical suggestions with respect to factors which should be more carefully dealt with, since still many customer centers have hard time establishing and operating KMS due to lack of previous studies.

A Case study of Promotion through the Communication Contents of Facebook for Fashion Brands - Focused on Empathy and Participation based on the Communication Contents - (패션 브랜드의 페이스북 커뮤니케이션을 통한 프로모션 사례연구 - 공감, 참여적 요소를 중심으로 -)

  • Choi, Eun-Young
    • Journal of the Korean Society of Costume
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    • v.62 no.1
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    • pp.137-151
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    • 2012
  • The purpose of this study was to examine how recently fashion brands tried to design Facebook contents for their promotion strategies, and how to encourage customer's empathy and participation for communication content. For this study, 17 domestic and foreign fashion brand facebook contents were analyzed. The results of the study were as follows. First, fashion brands provided product information through various methods such as the Facebook fan styling pictures contest which attracted voluntary participation from fans, an emotional product introduction video with effective storytelling techniques, and pictures and videos of a new season collection that were always viewable and able to be evaluated. Secondly, Facebook contents of brand promotion that contributed to the brand image and loyalty formation were identified. Fashion brands encouraged their fans to be involved in socially-oriented marketing and brand community. Moreover, telling the story of the brand history and brand management enhanced brand involvement of fans. Finally, fashion brands communicated actively with their fans providing information that aroused their interest. They gave tips on how to improve the quality of life, provided useful applications that offered various benefits in everyday life. Based on this result, implications of Facebook contents management as a promotion strategy were further discussed.

Impacts of Relative Advantage of Fast Food Restaurant's O2O Service and Consumer Involvement on Consumer Engagement, and Store Loyalty: Focused on MZ Generationsin Untact Consumption Era

  • LEE, Young-Eun;LEE, Yong-Ki
    • The Korean Journal of Franchise Management
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    • v.11 no.2
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    • pp.41-51
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    • 2020
  • Purpose: Fast food franchise companies are trying a variety of innovative services to increase their competitiveness in response to changes in population composition in the fast food market and rapid changes in consumption trends due to technological development. From this point of view, franchise companies that have focused on offline store operations are providing O2O (offline to online) service as a core service for customer convenience. This new attempt is a strategy to increase loyalty by applying an interaction method based on understanding the characteristics of new generation consumers. However, existing studies are focused on the relationship between O2O service and acceptance, so very little is known about how O2O service affects customer loyalty. Therefore, this study examines the impacts of customer involvement and relative advantages of fast food O2O service on customer brand engagement (cognitive and affective engagement) and store loyalty for MZ(Millennials - Z) generations. Research design, data, and methodology: In order to achieve the purposes of this research, several hypotheses were developed. The data were collected from 247 questionnaires in their 16-30s and were analyzed using SPSS 22.0 and SmartPLS 3.0 program. Measurement model analysis was carried out to assess convergent and discriminant validity. Also, common method bias was tested using the values of VIF (variance inflation factor). The hypotheses was tested using structural equation modeling. Result: First, involvement has a positive effect on cognitive and affective engagement. Second, relative advantages have has a positive effect on cognitive and affective engagement. Third, cognitive influences affective engagement. Finally, both cognitive and affective engagement affect store loyalty, but affective engagement has a stronger effect on store loyalty than cognitive engagement. Conclusions: In the process of consumer-brand interaction, it was confirmed that store loyalty was influenced by cognitive and affective engagement sequentially. However, the results show that affective engagement has a relatively stronger on store loyalty than cognitive engagement. Therefore, it is necessary to establish an O2O service strategy to maintain long-term loyal customers by inducing cognitive participation with high-involved consumer, as well as affective interaction, in order to obtain new customers and increase customer loyalty.

Evolution of Relationship Marketing in the New Reality: Focused on the Pervasiveness of Digital New Media and the Enlargement of Customer Participation (21세기 새로운 현실에서 Relationship Marketing의 진화: 디지털 뉴미디어 환경의 보편화와 고객 참여의 고도화를 중심으로)

  • Lim, Jong Won;Cho, Ho Hyeon;Lee, Jeong Hoon
    • Asia Marketing Journal
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    • v.13 no.4
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    • pp.105-137
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    • 2012
  • After relationship marketing emerged as a new approach in the marketing field in the 1980s, it has been widely studied in the United States, Europe and Asia. Rapid environmental changes and global competition has made it inevitable for companies to consider their relationships with the environment more closely. Under these circumstances, relationship marketing has held a position as a pivotal paradigm in the field of strategy as well as in marketing. In addition, relationship marketing has overcome the limitations of a traditional marketing research while providing richer implications in company's marketing activities. The paradigm shift to relationship marketing has brought fundamental changes in a marketing point of view. First, in philosophical aspects, unlike past research which focused solely on customer satisfaction, organizational relationship parameters which focuses on trust and commitment has become key elements of successful relationship marketing while shifts in thoughts naturally take place from adaptive marketing to strategic marketing. Second, in structural aspects, the relational mechanism of governance such as network structure with a variety of relational partners has emerged as a new marketing organization from the previous simple structure focusing on the micro-economic, marketbased trading between seller and customer. Third, in behavioral aspects, it proposed the strategic course of the action of gaining an advantage over the competition on the individual firm level by focusing on building long-term relationships and considering partnership with the components in the entire marketing system, rather than with one-time transaction-centric action between a seller and a customer. Fourth, in the aspects of marketing performance, marketing performance was sought through the long-term and cooperative relationship with various stakeholders, including customers in the marketing system, focusing on the overall competitive advantage based on relationship rather than individual performance of individual companies' marketing activities, such as market share and customer satisfaction. However, studies of relationship marketing were mostly centered in interorganizational relationships focusing on the relational structure and properties of commercial sector in the marketing system. Paradoxically, the circumstance of the consumer's side that must be considered is evolving again in relationship marketing. In structural aspects, a community, as the new relationship governance structure in the digital environment, and in behavioral aspects, the changing role of consumer participation demanding big changes in the digital environment engaged in the marketing system. The possibility of building a relationship marketing community for common value creation is presented in terms of organization of consumers with the focus on changing marketing environment and marketing system according to the new realities of the 21st century- the popularity of digital environments and the diffusion of customer participation. Therefore, future research of relationship marketing must seek for a truly integrated model including all of the existing structure and properties of the research oriented relationship from both the commercial and consumer sector.

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Local-Generator-Based Virtual Power Plant Operation Algorithm Considering Operation Time

  • Park, Sung-Won;Park, Yong-Gi;Son, Sung-Yong
    • Journal of Electrical Engineering and Technology
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    • v.12 no.6
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    • pp.2127-2137
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    • 2017
  • A virtual power plant (VPP) is a system that virtually integrates power resources based on the VPP participating customer (VPC) unit and operates as a power plant. When VPP operators manage resources to maximize their benefits, load reduction instructions may focus on more responsive VPCs, or those producing high profitability, by using VPC resources with high operation efficiency. VPCs may thus encounter imbalance problems during operation. This imbalance in operation time would bring more participation for some VPCs, causing potential degradation of their resources. Such an operation strategy would be not preferable for VPP operators in managing the relationship with VPCs. This issue impedes both continual VPC participation and economical and reliable VPP operation in the long term. An operation algorithm is therefore proposed that considers the operation time of VPC generators for mandatory reduction of power resource consumption. The algorithm is based on constraints of daily and annual operation times when VPP operators of local generators perform capacity-market power transactions. The algorithm maximizes the operator benefit through VPP operations. The algorithm implements a penalty parameter for imbalances in operation times spent by VPC generators in fulfilling their obligations. An evaluation was conducted on VPP operational effects by applying the algorithm to the Korean power market.