• Asia Marketing Journal
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• v.14 no.2
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• pp.39-63
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• 2012

Previous studies of reward programs have generally focused on designing the best programs for consumers and suggested that consumers' perception of the value of reward programs can vary according to the type of reward program (e.g., hedonic vs. utilitarian and direct vs. indirect) and its timing (e.g., immediate vs. delayed). These studies have typically assumed that consumers' preference for reward programs has a positive effect on brand loyalty. However, Dowling and Uncles (1997) pointed out that this preference does not necessarily foster brand loyalty. In this regard, the present study verifies this assumption by examining the effects of consumers' perception of the value of reward programs on their brand loyalty. Although reward programs are widely used by online shopping malls, most studies have examined the conditions under which consumers are most likely to value loyalty programs in the context of offline shopping. In the context of online shopping, however, consumers' preferences may have little effect on their brand loyalty because they have more opportunities for comparing diverse reward programs offered by many online shopping malls. That is, in online shopping, finding attractive reward programs may require little effort on the part of consumers, who are likely to switch to other online shopping malls. Accordingly, this study empirically examines whether consumers' perception of the value of reward programs influences their brand loyalty in the context of online shopping. Meanwhile, consumers seek utilitarian and/or hedonic value from their online shopping activity(Jones et al., 2006; Barbin et al., 1994). They visit online shopping malls to buy something necessary (utilitarian value) and/or enjoy the process of shopping itself (hedonic value). In this sense, reward programs may reinforce utilitarian as well as hedonic value, and their effect may vary according to the type of reward (utilitarian vs. hedonic). According to Chaudhuri and Holbrook (2001), consumers' perception of the value of a brand can influence their brand loyalty through brand trust and affect. Utilitarian value influences brand loyalty through brand trust, whereas hedonic value influences it through brand affect. This indicates that the effect of this perception on brand trust or affect may be moderated by the type of reward program. Specifically, this perception may have a greater effect on brand trust for utilitarian reward programs than for hedonic ones, whereas the opposite may be true for brand affect. Given the above discussion, the present study is conducted with three objectives in order to provide practical implications for online shopping malls to strategically use reward program for establishing profitable relationship with customers. First, the present study examines whether reward programs can be an effective marketing tool for increasing brand loyalty in the context of online shopping. Second, it investigates the paths through which consumers' perception of the value of reward programs influences their brand loyalty. Third, it analyzes the effects of this perception on brand trust and affect by considering the type of reward program as a moderator. This study suggests and empirically analyzes a new research model for examining how consumers' perception of the value of reward programs influences their brand loyalty in the context of online shopping. The model postulates the following 10 hypotheses about the structural relationships between five constructs: (H1) Consumers' perception of the value of reward programs has a positive effect on their program loyalty; (H2) Program loyalty has a positive effect on brand loyalty; (H3) Consumers' perception of the value of reward programs has a positive effect on their brand trust; (H4) Consumers' perception of the value of reward programs has a positive effect on their brand affect; (H5) Brand trust has a positive effect on program loyalty; (H6) Brand affect has a positive effect on program loyalty; (H7) Brand trust has a positive effect on brand loyalty; (H8) Brand affect has a positive effect on brand loyalty; (H9) Consumers' perception of the value of reward programs is more likely to influence their brand trust for utilitarian reward programs than for hedonic ones; and (H10) Consumers' perception of the value of reward programs is more likely to influence their brand affect for hedonic reward programs than for utilitarian ones. To test the hypotheses, we considered a sample of 220 undergraduate students in Korea (male:113). We randomly assigned these participants to one of two groups based on the type of reward program (utilitarian: transportation card, hedonic: movie ticket). We instructed the participants to imagine that they were offered these reward programs while visiting an online shopping mall. We then asked them to answer some questions about their perception of the value of the reward programs, program loyalty, brand loyalty, brand trust, and brand affect, in that order. We also asked some questions about their demographic backgrounds and then debriefed them. We employed the structural equation modeling (SEM) method with AMOS 18.0. The results provide support for some hypotheses (H1, H3, H4, H7, H8, and H9) while providing no support for others (H2, H5, H6, H10) (see Figure 1). Noteworthy is that the path proposed by previous studies, "value perception → program loyalty → brand loyalty," was not significant in the context of online shopping, whereas this study's proposed path, "value perception → brand trust/brand affect → brand loyalty," was significant. In addition, the results indicate that the type of reward program moderated the relationship between consumers' value perception and brand trust but not the relationship between their value perception and brand affect. These results have some important implications. First, this study is one of the first to examine how consumers' perception of the value of reward programs influences their brand loyalty in the context of online shopping. In particular, the results indicate that the proposed path, "value perception → brand trust/brand affect → brand loyalty," can better explain the effects of reward programs on brand loyalty than existing paths. Furthermore, these results suggest that online shopping malls should place greater emphasis on the type of reward program when devising reward programs. To foster brand loyalty, they should reinforce the type of shopping value that consumers emphasize by providing them with appropriate reward programs. If consumers prefer utilitarian value to hedonic value, then online shopping malls should offer utilitarian reward programs and vice versa.

• Journal of the Ergonomics Society of Korea
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• v.31 no.1
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• pp.33-40
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• 2012

Objective: Service industry has become the most important industry among various economic activities, as the percentage of service related industry in advanced nations is over 60% of their GDP and the percentage of service industry in South Korea, a traditional manufacturing nation, now takes up over 60% of the entire economy. Background: Such industry paradigm shift has changed consumers from those that simply purchased products into groups of people that evaluate the companies that manufacture products, thereby further intensifying competition among companies and increasing the importance of integrated communication between companies and consumers. However, the excessive existence of sub-identities that have been developed for integrated management of the existing corporate identities, as well as the undifferentiated general management strategies by companies are creating confusion not only for consumers but also for various corporate interest parties. In addition, service identity strategy has become the most important strategy than any other sub-identity strategies in forming corporate identity at the increased importance of corporate service in the era of service industry. However, the current domestic circumstance is that the concept of service identity has not been well established through specific related studies. Method: Accordingly, the existing academic and field studies on the corporate identity(CI), brand identity(BI) and product identity(PI) used for the communication with consumers were reviewed in this study to establish and summarize the concept of service identity(SI) that appeared at the service economization. Results: The purpose is to examine the kind of change that could be brought about by SI for the corporate integrated identity strategy developed through the existing corporate, brand & product image in order to present a new direct in corporate identity strategy according to the industry paradigm shift through a SI centered new corporate identity framework. Conclusion: For preparing the new era of service industry, the corporate integrated identity strategy must be integrate with concept of service identity and which is essential to differential from other companies. Application: The proposed concept and framework of service identity on this paper will help to understand and clearly define why service identity is important factor of the new idea of corporate identities.

• Proceedings of the Korean Society for Quality Management Conference
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• 2007.04a
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• pp.76-82
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• 2007

Upon the basis at the end of March 2005, we have the 38.91 million cellular phone subscribers over the country and the total diffusion rate of the cellular phone is reached up to 76.1%. At this moment, it can be said the most people use it since the demand is still going on. Turning to the operation company, this is serviced by the SK Telecom, LG Telecom, and KTF, and there are at least 7 manufactures producing it including Samsung, LG, KTF ever, Motorola, SKY, Pantac and Curitel, Most users periodically change the service vendor to the others for buying new model or changing the service vendor. It is understood the customer's action occurred by the differences of the brand cognition. In this study, along with some parameters including the difference of the vendor's brand cognition, difference of satisfaction (mobile telecommunication, product), and the possibility to buy the product again, I am going to find out the relationship between the satisfaction of the provider's service

• Journal of Korean Society for Quality Management
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• v.31 no.2
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• pp.143-164
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• 2003

In this paper, we use and apply statistical tools to planning marketing strategy in advanced markets. New comers with low brand awareness in advanced markets can not attain high profit easily and need more effective strategic approach. In this paper, an effective and practical procedure is proposed to plan marketing strategies to satisfy the customer and increase the market share in advanced markets. The procedure consists of 5 steps : market survey, determining target brand, evaluation of brand attributes, gap analysis to determine the goal, and correlation analysis for effective improvement method. A case study is studied in the European market for electric appliances, between a Korean company and other companies. Various statistical tools are used to analyze the phenomena and some important conclusions are derived for effective marketing.

• Journal of the Korean Society of Costume
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• v.50 no.6
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• pp.177-188
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• 2000

In viewpoint of visual merchandising, display is recognized as important means of expressing fashion as well as essential factor of stimulating customers' interest in purchase. However, visual merchandising Is relatively new area and the number of specialized display personnels are limited Therefore, the purpose of this study was to investigate the practice of display in domestic fashion industry. For this study the display personnels working in 51 fashion brands were interviewed. The result was analyzed by using frequency count and percentage. It was found that few human resources were undertaking display work in various and abundant stores with relatively frequent display replacement. And main part of display work was performed outside office hours which brought out extension of working tome. Comparatively more budget assigned for ladies 'brand than mens' brand, youngsters 'than middle-ages' and obtaining display-related information was belong done mostly via domestic documentary sources and market researches. In general, optimistic attitudes were significantly shown by the interviewees that the importance of display is increasingly recognized, in the domestic fashion industry and therefore the prospect of display found to be expected as prosperous.

• International Journal of Costume and Fashion
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• v.15 no.2
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• pp.1-17
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• 2015

This paper examines the contemporary relationship between fashion brands and celebrities. Noting the historic role of celebrities in fashion and their current prevalence in the industry, the paper moves beyond discussion of the motives and effectiveness of celebrity endorsement, and instead explores its nature and practice in the fashion sector. The paper proposes a new definition of celebrity endorsement in fashion, offers a classification of celebrities involved in fashion brand endorsement, and presents a typology examining the contemporary means by which a fashion brand may collaborate with celebrities. The typology is defined in context of the nature, length and cost to the brand of the relationship between it and the celebrity. The methodology uses secondary sources and qualitative primary research in an exploratory agenda in order to propose conclusions and suggest ideas for further research.

• Journal of the Korea Furniture Society
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• v.21 no.3
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• pp.229-236
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• 2010

Wood material is positive with the concept of eco-friendly materials. Wood toy preference of foreign brands is also a real problem. Therefore, in this domestic situation on Toys Brand Development, there are many problems yet to be solved. At First, a wood material for toys requires the development of more sophisticated and precision materials. Second, new content, product development and training program development of the toys are needed. Characters and content development time and effort should be invested. In present, Korean brand development of wood toy with educational effects is very important issues as the use of wood to match the low carbon & green growth.

• The Research Journal of the Costume Culture
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• v.17 no.4
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• pp.691-708
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• 2009

The purpose of this study was to find the methodology of design plan that could raise the brand power by looking around the driving force of the design innovation through the case study of Louis Vuitton which has been evaluated to be successful in brand revolution by designer Marc Jacobs. Research methods were theoretical studies looking for various analysis and valuations about Louis Vuitton's design innovation and analysis about articles in International Herald Tribune and New York Times. Driving force of Louis Vuitton's design innovation could be summarized as designer's creativity and full supports for designers, establishment of BI by strategic cooperation between design and marketing parts, active design plans by collaboration with modern artists, existence of Logo as a symbol of brand, business mind pursuing adventures and dreams, and directors' artistic sensitivity and supports for culture and art.

• Proceedings of the IEEK Conference
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• 2007.07a
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• pp.163-164
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• 2007

Consumer needs becomes various in a mature mobile telecommunication market, while service differentiation is hard to achieve. The competition among telecommunication service providers is getting fierce in order to maintain and obtain customers. Moreover, HSDPA caused the intense marketing activity for the move to the next generation customers. Under these circumstances, brand equity can be a key to a long-term competitive edge for mobile phone service providers. In this study, we identified the factors influencing mobile telecommunication brand equity, and its influence on the HSDPA service subscription behavior.

• Proceedings of the Korean Society for Quality Management Conference
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• 2006.04a
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• pp.114-119
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• 2006

Brand placement, or product placement(PPL) is one of alternative promotion means of the traditional advertising communication type, and its effectiveness is getting begger because of the increase of movies, video media, and TV networks. The product placement is a new type of advertising communication means that pays the price in the movies definitely. This study is a research on the effect of the product placement on the consumption behavior and brand image.