Takes a look at the worldwide trend toward loyalty marketing and highlights the reasons for this emphasis on loyalty. Asserts that building customer loyalty is a business…
Abstract
Takes a look at the worldwide trend toward loyalty marketing and highlights the reasons for this emphasis on loyalty. Asserts that building customer loyalty is a business strategy, not just a marketing program and that all businesses should seek to boost loyalty and maximize share of customer. Explores the various approaches to structuring customer loyalty strategies. Uses some real‐world examples to illustrate different approaches. Provides a consistent framework for developing a loyalty strategy and program. Offers insight to reduce the amount of time required to develop a loyalty strategy and touches on ways to help marketers avoid some classic mistakes. Maintains that the pursuit of customer loyalty is a perpetual one ‐ more of a journey than a destination.
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Terry Mulhern and Dennis Duffy
Customer loyalty programs have become increasingly popular in a variety of industries. Marketers use loyalty‐building strategies to help improve customer retention and boost share…
Abstract
Customer loyalty programs have become increasingly popular in a variety of industries. Marketers use loyalty‐building strategies to help improve customer retention and boost share of customer. One of the industries in which loyalty programs have been used frequently is retailing. When a customer walks out the door of a retail establishment, the marketer can never be sure that the customer will ever come back. In this case study we will examine how Things Remembered, a national retailer, did all the right things to implement a successful loyalty program and how they avoided many of the mistakes that cause a program to fail.
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The paper aims to describe the application of direct selling, the process of selling a consumer product or service from one person to another, in an environment that is not a…
Abstract
Purpose
The paper aims to describe the application of direct selling, the process of selling a consumer product or service from one person to another, in an environment that is not a permanent retail location.
Design/methodology/approach
The paper explores the application of direct selling from the perspective of companies that have built their business around direct selling and those who are evolving into direct selling. The paper focuses the examination on three companies participating in the direct selling category: The Longaberger Company, The Pampered Chef and The Tupperware Corporation.
Findings
The paper finds that direct selling is an increasingly important component of the marketing mix for many traditional, successful companies and presents some keys to success.
Originality/value
Successful direct selling companies in the future will help to maximize growth and optimize customer loyalty at all levels.
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Multi‐channel marketing in the retail environment involves the integration of marketing activities in retail stores, with catalogs and with online marketing. The online component…
Abstract
Multi‐channel marketing in the retail environment involves the integration of marketing activities in retail stores, with catalogs and with online marketing. The online component of this is critical to the success of the overall effort and it is becoming more powerful, sophisticated and measurable. This case study chronicles the use of multi‐channel marketing by REI, a 66‐year‐old purveyor of specialty outdoor gear and apparel. The case study shares the essential components of multi‐channel marketing used by REI and how the various components work together.
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The purpose of this paper is to examine the methods used by marketers over the past years to develop loyalty among customers. Furthermore, the paper considers the shortcomings of…
Abstract
Purpose
The purpose of this paper is to examine the methods used by marketers over the past years to develop loyalty among customers. Furthermore, the paper considers the shortcomings of these methods and certain societal and technological changes that have further impacted on the potential effectiveness of these methods in the future.
Design/methodology/approach
The author uses his experience working with hundreds of marketers around the world developing, managing, analyzing, measuring and improving customer loyalty strategies and tactics. The author combines these experiences with analysis of certain dynamics in the marketplace that have changed the way marketers must interact with customers. Finally, the author has combined this experience and analysis to formulate a point of view about the impact on marketing strategies in the future.
Findings
Many of the past efforts used by marketers to develop customer loyalty have been ineffective because they have been based on tactics used in the airline industry. These shortcomings will become greater in the future unless marketers change their ways. Corporate scandals have eroded the trust that customers have in marketers and, therefore, marketing efforts must be more genuine and easily understood or customers will react skeptically. Concerns about privacy and identity theft have heightened concerns among customers and made them more wary and, therefore, less willing to openly share information and engage in a relationship with a brand unless there appear to be genuine value and behavior by the company that engender trust and faith.
Practical implications
Marketers must step back and make absolutely certain that their efforts are based on customer needs and desires and do more to enhance customer trust than to erode it. Marketing strategies and programs must be believable. One of the most important components of customer relationships moving forward will be the development of trust that further enhances the customers' willingness to interact with certain brands and companies.
Originality/value
There is a great deal of talk in the marketplace about customer relationships. This paper seeks to bring the dialogue down to earth and incorporate the customer's point of view rather than just the theoretical marketing point of view. This paper suggests that marketers should work harder and work smarter to be sure that their programs are worthwhile to customers.
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This article seeks to explore the inner workings of affiliate marketing.
Abstract
Purpose
This article seeks to explore the inner workings of affiliate marketing.
Design/methodology/approach
Defines the affiliate marketing marketplace including some of the participants and explores the characteristics of a successful long‐term relationship.
Findings
The key to successful affiliate marketing lies in the construction of a win‐win relationship between the advertiser and the affiliate. Affiliate marketing is likely to become the principal mainstream marketing strategy for e‐commerce businesses in the future.
Originality/value
Looks at the inner workings of affiliate marketing, defines the affiliate marketing marketplace including some of the participants and explores the characteristics of a successful long‐term relationship.
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The development of customer loyalty is a strategic objective for most companies. There are many different terms used in business today to describe the process of building customer…
Abstract
The development of customer loyalty is a strategic objective for most companies. There are many different terms used in business today to describe the process of building customer loyalty. This article describes the benefits of building customer loyalty and explores the essential strategic considerations for companies contemplating the development of loyalty initiatives. It also establishes the relationship between how brands are built today and how customer relationships are cultivated in a manner that leads to loyalty.
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Chronicles the launch of a new e‐commerce business. Reviews the implications and considerations of such a venture and documents the critical lessons learned. Concludes that the…
Abstract
Chronicles the launch of a new e‐commerce business. Reviews the implications and considerations of such a venture and documents the critical lessons learned. Concludes that the Internet provides an effective place for the development of a new business.
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Shawn T. Thelen, Earl D. Honeycutt and Thomas P. Murphy
The purpose of this paper is to determine if consumers exhibit a country of service origin preference and to understand what service quality attributes consumers perceive to be…
Abstract
Purpose
The purpose of this paper is to determine if consumers exhibit a country of service origin preference and to understand what service quality attributes consumers perceive to be most important when receiving services that originate from abroad.
Design/methodology/approach
Respondents rated their perception of service quality, measured through an expanded version of the SERVQUAL scale considered appropriate for offshore service encounters, for various countries popular for providing offshore services to the USA. Countries, selected from the A.T. Kearney Offshore Location Attractiveness Index, represented various regions of the world, economic development, cultural distance, and near/offshore locations.
Findings
Results, from both regional and national studies, indicate that US citizens possess a country of service origin (COSO) hierarchy based on perceived service quality. Communication, security, and reliability are the most important service quality attributes for consumers when receiving an off‐shored service. Significant differences were identified among countries for each of these service quality attributes.
Practical implications
The findings suggest that firms need to be aware of consumer attitudes and perceptions about countries considered attractive for offshoring. The most preferred countries to consumers for services offshoring are not necessarily the ones with the highest skilled labor, lowest cost, or geographic closeness to the home country.
Originality/value
The paper extends the concept of country of origin (COO) to services and expands the current knowledge base of consumer opinions about services offshoring.
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James W. Grosch, Karen G. Duffy and Paul V. Olczak
Although ethnicity and gender play a significant role in many types of social interaction, little research exists on their importance in mediation. An analysis of community…
Abstract
Although ethnicity and gender play a significant role in many types of social interaction, little research exists on their importance in mediation. An analysis of community mediation cases (N = 27,852) from New York state demonstrated that, consistent with predictions from criminal justice research, Whites were underrepresented in mediation relative to Blacks and Hispanics, and that females were more likely to participate in mediation as claimants than men. Both ethnicity and gender were related to the type of dispute, degree of violence, intimacy between disputants, source of referral, and mediation outcome. Additional analysis, taking into account source of referral, education, and income level of the claimant, did not fully account for the observed ethnic or gender differences. Results are discussed in terms of reasons why ethnic and gender differences exist in mediation, limitations of demographic data, and areas for future research.