• Management & Information Systems Review
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• v.30 no.3
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• pp.133-151
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• 2011

This study investigates the moderating effect of customer type(deal prone/promotion insensitives) on the relationship between perceived values on the reward program of tele-communication firms and customer satisfaction. To test moderating effect, Difference test for distinct parameters in Amos 18.0 program was used. Results show that there is no the moderating effect of customer variable. But both kind of perceived values(utilitarian value and hedonic value) have a significant effect on customer satisfaction. For all customer, utilitarian reward has influenced on the customer satisfaction more than hedonic reward. And for utilitarian reward, promotion insensitives customer has influenced on the customer satisfaction more than deal prone customer.

• Asia Marketing Journal
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• v.7 no.2
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• pp.123-139
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• 2005

Until now, There are many studies of reward program effect about retaining current customers. But main goal of this study is acquiring new customer in competitive environment. We also reveal strategic framework for maximizing acquisition of new customer. For increasing customer loyalty of non-use brand, we'd better to give Out My Own reward non-user immediately and for increasing customer loyalty of use brand we'd better to give In My own Brand user accumulatively. Implication of the results for markets and future research are discussed

• 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 the Korea Contents Association
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• v.11 no.8
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• pp.321-330
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• 2011

This study focuses on the moderating effect of sex role on the relationship between perceived values on the reward program of tele-communication firms and customer satisfaction. To test moderating effect, Difference test for distinct parameters in Amos 18.0 program was used. Results show that both kind of perceived values(utilitarian value and hedonic value) have a significant effect on customer satisfaction. And the moderating effect of sex variable was verified. For male, hedonic value has influenced on the customer satisfaction more than utilitarian value. And for female, reversely, utilitarian value has influenced on the customer satisfaction more than female value.

• 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.

• Korean Management Science Review
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• v.27 no.3
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• pp.149-160
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• 2010

This paper focuses on frequent flyer programs (FFPs), which have long been used by most airlines as a powerful marketing tool. Since the preference for FFPs reward services and the customer perceived values of mileage points differ among FFPs members, airlines should design a customer-oriented reward service based on customer preference to motivate the use of mileage points. The intention for using mileage points is affected by various kinds of attributes such as reword items, consuming mileage points for rewards and time of usage. In this paper, we focus on evaluating customer perceived values of attributes of FFPs reward services. A conjoint analysis model is applied to get the preference value of each attribute. Some empirical experiments are conducted in relation to Korean customers. From the empirical survey, the preference values of attributes are evaluated for different scenarios with respect to the number of mileage points. With the preference values of attributes, we can find several implications for airlines regarding the development of various FFPs strategies.

• Culinary science and hospitality research
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• v.13 no.4
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• pp.80-91
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• 2007

The purpose of the study is to investigate how customer reward programs that are provided strategically to develop customer favors are assessed by customers, if they affect customer loyalty and what effect using membership card(how many possess and use it) takes. The findings from the study can be summarized as follows. Firstly, customer loyalty showed high when shared value and convenient value are felt for preference and referring effect and when shared value and allied value were felt for revisit. Secondly, when the number of cards in possession was a lot, high customer loyalty existed. Thirdly, when the number of cards in use was a lot, the customer loyalty was high. The customer's awareness of values, e.g. economic, shared, use, convenience and allied values, put a very meaningful positive effect on loyalty, i.e. preference, referring effect and revisit. The more the number of food service provider's' membership cards in use and in possession was, the higher customer loyalty was. This implies that continued development of business partners and quality control are critical for various benefits and shared value of the customer reward pro-grams and service upgrade.

• 한국체육학회지인문사회과학편
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• v.54 no.2
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• pp.285-297
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• 2015

This study aimed to research customer reward program factors of ski resorts in Korea through surveying the expert panel side and the customer side. This study conducted survey for 28 practicians that have been working for the department of customer reception of 6 different ski resorts all over the country and 7 faculties quited well-known in the academic circles. Delphi technique has been used to conduct survey customer reward program factors of the supplier side till the 3rd survey as the final. Based on this survey, an interview and a questionnaire survey have been used to conduct survey customer reward program factors that have been aware by the 50 customers, who have visited the ski resorts in 2014, and compared those two surveys above. In order to process the data, descriptive statistic analysis and Kendall W test have been utilized PASWWIN Ver. 18.0. The results were as follows: discount factor 8 articles, promotion factor 10 articles, package factor 5 articles, and convenience factor 6 articles have been produced as a good result.

• Asia Marketing Journal
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• v.13 no.3
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• pp.25-53
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• 2011

This study probes the effect of loyalty program on the customer retention based on the real transaction data(n=2,892) acquired from education service industry. We try to figure out the outcomes of reward program through more than 1 year-long data gathered and analyzed according to quasi-experimental design(i.e., before and after design). We adopt this kinds of research scheme in regard that previous studies measured the effect of loyalty program by dividing the customers into two group(i.e., members vs. non-members) after the firms or stores had started the program. We believe that it might not avoid the self-selection bias. The research questions of this study could be explained such as: First, most research said that the loyalty programs could increase the customer loyalty and contribute to the sustainable growth of company. But there are little confirmation that this promotional tool could be justified in terms of financial perspective. Thus, we are interested in both the retention rate and financial outcomes caused by the introduction of loyalty programs. Second, reward programs target mainly current customer. Especially CRM(customer relationship management) said that it is more profitable for company to build positive relationship with current customer instead of pursuing new customer. And it claims that reward program is excellent means to achieve this goal. For this purpose, we check in this study whether there is a interaction effect between loyalty program and customer type in retaining customer. Third, it is said that dis-satisfied customers are more likely to leave the company than satisfied customers. While, Bolton, Kannan and Bramlett(2000) claimed that reward program could contribute to minimize the effect of negative service by building emotional link with customer, it is not empirically confirmed. This point of view explained that the loyalty programs might work as exit barrier to current customer. Thus, this study tries to identify whether there is a interaction effect between loyalty program and service experience in keeping customer. To achieve this purpose, this study adopt both Kaplan-Meier survival analysis and Cox proportional hazard model. The research outcomes show that the average retention period is 179 days before introducing loyalty program but it is increased to 227 days after reward is given to the customers. Since this difference is statistically significant, it could be said that H1 is supported. In addition, the contribution margin coming from increased transaction period is bigger than the cost for administering loyalty programs. To address other research questions, we probe the interaction effect between loyalty program and other factors(i.e., customer type and service experience) affecting it. The analysis of Cox proportional hazard model said that the current customer is more likely to engage in building relationship with company compared to new customer. In addition, retention rate of satisfied customer is significantly increased in relation to dis-satisfied customer. Interestingly, the transaction period of dis-satisfied customer is notably increased after introducing loyalty programs. Thus, it could be said that H2, H3, and H4 are also supported. In summary, we found that the loyalty programs have values as a promotional tool in forming positive relationship with customer and building exit barrier.

• Journal of the Korean Society of Clothing and Textiles
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• v.33 no.2
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• pp.331-342
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• 2009

The purposes of this study were to provide the apparel companies with a effective marketing strategy by identifying the present condition of loyalty programs and designing the type of reward and the timing of reward, and to investigate the effects of loyalty programs on customers' satisfaction and loyalty. The experimental study was conducted to examine the relationship between loyalty programs and performances. The experiment, which adopted a scenario methodology, was a 2(type of rewards)${\times}$2(timing of rewards) between subjects factorial design. The sample was based on 362 college students. The data analysis was completed on the basis of SPSS 12.0 package, using descriptive analysis, frequency, factor analysis, Cronbach's a, ANOVA, and regression analysis. The following results were found in this research. First the respondent's recognition of reward(benefit, reserve fund, experience) was not relatively high. Second, the interaction effect of type of rewards and timing of rewards on the loyalty programs' satisfaction(p<.01) and customer loyalty(p<.001) was significant, but that on customer satisfaction was not significant. Finally, loyalty programs' satisfaction positively affected customer satisfaction and loyalty. The implications of the research and directions for future researchers were discussed.