NDLI: Evaluating the impact of a loyalty program: A case study in automobile industry

Content Provider	IEEE Xplore Digital Library
Author	Kwang-Jae Kim Hyun-Jin Kim Ryeok-Hwan Kwon
Copyright Year	2010
Description	Author affiliation: Department of Industrial and Management Engineering, Pohang University of Science and Technology, 790-784, Republic of Korea (Kwang-Jae Kim; Hyun-Jin Kim; Ryeok-Hwan Kwon)
Abstract	In recent years, there has been a rise in popularity of loyalty programs in various industries including airlines, retailers, and financial institutions. Loyalty programs typically provide customers with loyalty incentives such as points redeemable for discounts or prizes. However, there has been some debate on whether loyalty programs have significant impacts on increasing customer loyalty. In this talk, we present a case study which evaluates the impact of a loyalty program of an automobile manufacturer. The company's loyalty program, launched about three years ago, provides various leisure-related services as well as automobile maintenance services. The purpose of the case study is to investigate whether the loyalty program has an impact on enhancing its customer loyalty; and if so, identify the service items having important effects. An empirical study is conducted involving an on-line survey using its loyalty program members. Structural equation modeling (SEM) is used in building and analyzing quantitative models among service items, customer perception and satisfaction dimensions, and customer loyalty measures. The outcome of this study can be used in devising a strategy for improving the company's loyalty program.
Starting Page	1
Ending Page	5
File Size	254550
Page Count	5
File Format	PDF
ISBN	9781424464852
e-ISBN	9781424464876
DOI	10.1109/ICSSSM.2010.5530253
Language	English
Publisher	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Publisher Date	2010-06-28
Publisher Place	Japan
Access Restriction	Subscribed
Rights Holder	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Subject Keyword	Automobile manufacture Costs Buildings Structural Equation Modeling Inspection Financial management Customer Loyalty Equations Automotive engineering Technology management Numerical analysis Engineering management Automobile Industry Loyalty Program
Content Type	Text
Resource Type	Article

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