• Asia Marketing Journal
• /
• v.19 no.3
• /
• pp.45-74
• /
• 2017

The current research proposes to fill a research gap by testing how reward uncertainty, different types of motivation, as well as individual risk-taking attitude affect consumers' promotion participation. Being offered with an uncertain reward, relative to individuals with extrinsic motivation, individuals with intrinsic motivation will have greater intention to participate in marketing promotion. In contrast, being offered with a certain reward, relative to individuals with intrinsic motivation, individuals with extrinsic motivation will have greater intention to participate in marketing promotion. This effect arises only among consumers having a low level of risk-taking attitude. For consumers having a high level of risk-taking attitude, their participation intention shows no significant difference between the two motivation type groups, under both certain and uncertain reward conditions. With an understanding of how consumer's response heterogeneously to promotions involving rewards, marketers can better understand not only how to use this promotional tactic more effectively, but also how to better allocate their budget for promotions.

• The Journal of the Korea Contents Association
• /
• v.17 no.4
• /
• pp.108-118
• /
• 2017

This study focuses on an effectiveness of socially recommended advertising on social network sites (SNSs) and investigates the impact of three critical factors on SNS advertising effectiveness - reward type for advertising recommenders' intention, product type on advertisements, and tie strength. A $2{\times}2$ factorial design was used to test the interaction effects between the two variables, reward type and product type on advertisements, moderated by tie strength. The results indicate that when participants observe socially recommended advertising, hedonic product ads with non-monetary reward shows the most effectiveness, and reward type and product type are also effective. In the combination of reward type and product type, we have confirmed the regulating factor influencing the effectiveness of social advertising according to the tie strength between the recommenders and the consumers. Strong-tie recommenders have more influence on the effectiveness of the social advertising than weak-tie recommenders. Based on these results, theoretical and practical implications were provided to refine marketing environments on SNSs.

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

• The Journal of the Korea Contents Association
• /
• v.16 no.9
• /
• pp.638-648
• /
• 2016

The current study investigated the impact of interaction between self-esteem and reward type on the effects of an international relief campaign. Self-esteem refers to how worthy a person feels about the self. Reward is differentiated by intrinsic or extrinsic type. An experimental research was conducted with 184 subjects by self-esteem ${\times}$ reward type. This research was progressed with two stages. At the first stage, questionnaires relative to participants' self-esteem and past experiences were distributed. At the second stage, the participants rated their responses after exposure to the campaign. Individuals with higher self-esteem showed more favorable message attitudes towards intrinsic reward type, yet those with lower self-esteem did not show a significant difference. Analyses for behavioral intention did not produce any significant result.

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

• Knowledge Management Research
• /
• v.7 no.2
• /
• pp.69-96
• /
• 2006

The purpose of this study is to find success factors of knowledge management in Korean firms, confirm them empirically, and verify their relative importance in terms of company size and industry type. The major studies on the knowledge management were deliberately selected and interpretively analyzed to find the success factors of Korean firms. As a result of the analysis, five success factors(top management's will, evaluation reward, organizational culture, knowledge management system, organizational structure) have been found. The empirical researches to make certain whether the above five factors derived are actually true or not have been separately performed by using questionnaire method. Based on the data collected, it is found that all five factors are significant. The degree of relative importance among the success factors of knowledge management in Korean firms has been found as: (i)top management's will, (ii)organizational culture, (iii)evaluation-reward, (iv)knowledge management system, (v)organizational structure. In company size, large firm's degree of relative importance among the success factors are: (i)top management's will, (ii)organizational culture, (iii)evaluation-reward, (iv)knowledge management system, (v) organizational structure. And medium-small firm's degree of relative importance among the success factors of knowledge management in Korean firms has been found as: (i)top management's will, (ii)organizational culture, (iii) evaluation-reward, (iv)knowledge management system, (v)organizational structure. Finally, in type of industry, manufactural firm's degree of relative importance among the success factors of knowledge management in Korean firms has been found as: (i)top management's will, (ii)organizational culture, (iii)evaluation-reward, (iv)knowledge management system, (v)organizational structure. And non-manufactural firm's degree of relative importance among the success factors of knowledge management in Korean firms are: (i)top management's will, (ii)organizational culture, (iii)evaluation-reward, (iv)knowledge management system, (v)organizational structure.

• Journal of the Korean Operations Research and Management Science Society
• /
• v.38 no.1
• /
• pp.103-121
• /
• 2013

Since American Airlines's mileage program emerged in market, loyalty programs have gained popularity. Many companies have generated many kinds of reward cards in order to induce precious consumers. As a result, reward cards are very important in consumer goods market and become diversified. In spite of its importance, little is known about how these cards influence consumer's perception. The prior research has not focused on reward card types and psychological variables. Accordingly this research intends to investigate psychological variables such as transaction coupling and sunk cost perception. According to the theory of regulatory focus, promotion focus consumers would point to gain-nongain frame work, but prevention focus consumers would point to loss-nonloss frame work. The paper proved the effect of reward card types and regulatory focus on transaction coupling and sunk cost perception. Based on the results from 2(type of card : visible vs invisible) ${\times}$ 2(regulatory focus: promotion vs prevention) between-subjects factorial design experiments, we found that consumer's transaction coupling and sunk cost perception of visible reward card are better recognized than invisible reward card. In addition, the results show that there is a significant interaction effect between the type of reward card and regulatory focus. Specifically promotion focused consumers tend to reveal better perception than prevention focused consumers in use of invisible cards. However, prevention focused consumers tend to show better perception than promotion focused consumers in use of visible cards. These findings will contribute to significant academic development and practically useful help to marketing managers.

• Journal of Digital Convergence
• /
• v.18 no.2
• /
• pp.455-462
• /
• 2020

The purpose of this study was to investigate the effect of behavior type of dance art instructors in elementary dance education on class satisfaction focused on mediations of flow and perceived competence between commanding and positive reward types. A total of 453 questionnaires were analyzed for this study. For the analysis of the data, SPSS 18.0 version was used and double mediation model operating in serial, proposed by Hayes and a bootstrapping method were used. First, instructor's commanding type and positive reward type were statistically positive effect on class satisfaction. Second, the indirect effect of instructor's commanding type, and positive reward type on class satisfaction through the flow was statistically positive significant. Third, the indirect effect of instructor's commanding type, and reward type on class satisfaction through the perceived competence was statistically not significant. Lastly, the indirect effect of instructor's commanding type, and positive reward type on class satisfaction through the flow and perceived competence was statistically positive significant.

• Culinary science and hospitality research
• /
• v.15 no.4
• /
• pp.313-330
• /
• 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.

• Journal of Distribution Science
• /
• v.18 no.3
• /
• pp.43-51
• /
• 2020

Purpose: This study demonstrated and analyzed the role of distributive justice and procedural justice in explaining the organizational effectiveness of flight attendant. In addition, analyzing the role of the airline type in the coordination between reward justice and organizational effectiveness. Research design, data and methodology: An abstract is the impact relationship between the reward justice and organizational effectiveness of flight attendant and the adjustment effect of the airline type was reviewed. To examine these research models, samples were collected from 281flight attendants during Nov, 2019. Results: Reward justice has a positive effect on organizational effectiveness, and the types of airlines have a meaningful adjustment effect in terms of the effect of reward justice on organizational effectiveness. Conclusions: Procedural justice and distributive justice have positive influence on two sub factors of organizational effectiveness of the flight attendant. It suggests that the standards, procedures and processes of compensation must be fair, the degree of effort, the stress or the tension of the flight attendant should be considering, and it is necessary for the airline to respect the personality of the flight attendant and provide them with accurate compensation information in a timely manner. This will increase the awareness of reward.