We estimate the joint impact of the frequency reward and customer tier components of a loyalty program on customer behavior and resultant sales. We provide an integrated analysis of a loyalty program incorporating customers' purchase and cash-in decisions, points pressure and rewarded behavior...

Experimental studies document that financial rewards discourage the performance of altruistic activities, because they destroy intrinsic altruistic motivations. We set up a randomized-controlled experiment, through a survey administered to 467 blood donors in an Italian town, and find that...

In this paper we explore the determinants of profitability for coalition loyalty programs. We consider a setting in which each of two firms competing in one market may form a coalition loyalty program with one of two firms in a different market. Firms in the same program jointly set the reward...

While single-brand reward programs encourage customers to remain loyal to that one brand, coalition programs encourage customers to be “promiscuous” by offering points redeemable across partner stores. Despite the benefits of this “open relationship” with customers, store managers face...

Frequent Flier Programs (FFPs) are said to impact airline consumer behaviour such that revenue of sponsoring airlines increases. Prior research relies on aggregate industry data to study FFPs. We examine the impact of FFPs on individual consumer behaviour in a quasi-natural experimental set-up...

Problem definition.Loyalty programs (LP) introduce a new currency---the points---through which customers transact with firms. Such points represent a promise for future service, and their monetary value thus counts as a liability on the issuing firms' balance sheets. Consequently, adjusting the...

Die vorliegende empirische Studie soll zeigen, wie sich Bonusprogramme, speziell Treueprogramme und Kundenkarten, auf das Einkaufsverhalten von Konsumenten im deutschen Lebensmitteleinzelhandel auswirken. Die Studie wurde von Bachelorstudenten des Studiengangs "Business Administration" der...