Effect of loyalty program structure and benefits on customers' perceived status

Jing Jing Bu, Bao Long Ma*, Hai Jiao Shi, Shu Yuan Su

*Corresponding author for this work

    Research output: Contribution to journalArticlepeer-review

    Abstract

    The effect of loyalty program structure and benefits on customers' perceived status was studied, the method of experimental design was used to collect customer perceived data and compare different loyalty program structures, on the basis of previous research about loyalty program structure and benefits. The results reveal that a three-tier program is more satisfying to all customers involved than a two-tier program, and the increasing of the scaling of the second tier will not affect the perceived status feeling of the top tier. At the same time, for the top customers of the loyalty program, soft benefits such as special treatment and special services can make them more superior relative to hard benefits such as providing reward and integral.

    Original languageEnglish
    Pages (from-to)105-107 and 116
    JournalBeijing Ligong Daxue Xuebao/Transaction of Beijing Institute of Technology
    Volume34
    Publication statusPublished - 1 Oct 2014

    Keywords

    • Customer benefits
    • Customer loyalty program
    • Program structure
    • Status perception

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