On the impact of loyalty cards on store loyalty: Does the customers’ satisfaction with the reward scheme matter?

Penilaian Kesan Manfaat Program Kesetiaan dalam Hubungan Kepuasan-Kesetiaan: Bukti Empirikal di Malaysia

“…However, in terms of program satisfaction to loyalty (program and store), our fi ndings are consistent with that of previous researchers who studied program satisfaction and program loyalty (Omar et al 2011b;Omar, Che Wel, Abd Aziz & Alam 2013) as well as those researchers who found the association between satisfaction and store loyalty (Demoulin & Zidda 2008;Omar et al 2007). In examining the infl uence of program loyalty toward store loyalty, it was found that program loyalty has the most signifi cant impact on store loyalty.…”

“…It is diffi cult for a retailer to achieve loyalty without customers having some degree of satisfaction (Vinod 2011). Indeed, past studies of loyalty programs had reported a positive association between program satisfaction and loyalty (Demoulin & Zidda 2008;Omar et al 2007). Demoulin & Zidda (2008) examined the extent of customers' satisfaction toward loyalty program and how this affects the effectiveness of loyalty program in the food retail industry.…”

“…Indeed, past studies of loyalty programs had reported a positive association between program satisfaction and loyalty (Demoulin & Zidda 2008;Omar et al 2007). Demoulin & Zidda (2008) examined the extent of customers' satisfaction toward loyalty program and how this affects the effectiveness of loyalty program in the food retail industry. They found that when members are satisfi ed with the rewards the program generated, they are more loyal and less sensitive to price.…”

Loyalty Programs: Generalizations on Their Adoption, Effectiveness and Design

“…Similar increases in SOW emerged for grocery retailers (Leenheer et al, 2007) and insurance companies (Verhoef, 2003). Attitudinal loyalty and the perceived attractiveness of the LP help amplify this effect (Demoulin and Zidda, 2008;Kim et al, 2009;Wirtz et al, 2007). Still, the sharpest spike in purchase frequency and volume occurs within a few months of the LP introduction (Liu, 2007;Meyer-Waarden and Benavent, 2009).…”

“…In contrast, if customers are prone to relationship building, LP participation may boost their emotional benefits, giving them a sense of gratitude, belonging, elevated status, prestige, or recognition (Daams et al, 2008;Dholakia, 2006;Drèze and Nunes, 2009;Evanschitzky and Wunderlich, 2006;Gruen, 1994;Lacey et al, 2007;Kim et al, 2009;Mimouni-Chaabane and Volle, 2010;Palmatier et al, 2009;Rosenbaum et al, 2005). A firm can increase attitudinal loyalty by enhancing the perceived attractiveness of the LP and its rewards (Demoulin and Zidda, 2008;Furinto et al, 2009;Keh and Lee, 2006;Steyn et al, 2010;Wirtz et al, 2007). Attitudinally loyal members will likely forgive minor service failures (Bolton et al, 2000), but are inclined to give feedback and be more critical in their evaluation or more sensitive to big service failures (Lacey, 2009;Smith et al, 2003;von Wangenheim and Bayón, 2007).…”