The Paradox of Points Theoretical Foundation and Empirical Evidence of Medium Magnitude Effects in Loyalty Programs

In his research, Sören Köcher provides valuable insights on the paradoxical effects of the magnitude of a loyalty program medium—i.e. the sheer number of points, miles, or stamps credited for every purchase and required for reward redemption—on the central consumer decisions in loyalty program membe...

Full description

Bibliographic Details
Main Author: Köcher, Sören
Format: eBook
Language:English
Published: Wiesbaden Springer Fachmedien Wiesbaden 2015, 2015
Edition:1st ed. 2015
Series:Applied Marketing Science / Angewandte Marketingforschung
Subjects:
Online Access:
Collection: Springer eBooks 2005- - Collection details see MPG.ReNa
Description
Summary:In his research, Sören Köcher provides valuable insights on the paradoxical effects of the magnitude of a loyalty program medium—i.e. the sheer number of points, miles, or stamps credited for every purchase and required for reward redemption—on the central consumer decisions in loyalty program memberships. In sum, the results of twelve empirical studies reveal that high magnitude currencies improve the attractiveness of medium collection but entail reluctant medium spending behavior. These findings provide important implications for a more efficient usage of loyalty programs in business practices. In addition, this dissertation discovers a violation of one of the most fundamental assumptions of rational choice theory and thus contributes to a better understanding of when and why people deviate from rational decision-making. Contents Conceptual background and literature review on loyalty programs Rational and descriptive theories of choice Empirical examination of medium magnitude effects on the central consumer decision fields in loyalty program memberships Target Groups Academics and students in the fields of marketing, consumer behavior, and customer relationship management Practitioners concerned with designing and managing loyalty programs The Author Dr. Sören Köcher received hisdoctorate at the Department of Marketing, TU Dortmund University under the guidance of Prof. Dr. Hartmut H. Holzmüller
Physical Description:XIX, 163 p. 27 illus online resource
ISBN:9783658095437