The Paradox of Points [electronic resource] : Theoretical Foundation and Empirical Evidence of Medium Magnitude Effects in Loyalty Programs /
Köcher, Sören.author.
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 his doctorate at the Department of Marketing, TU Dortmund University under the guidance of Prof. Dr. Hartmut H. Holzmüller.
Description based upon print version of record.
Foreword; Acknowledgements; Table of Contents; List of Figures; List of Tables; A Introduction; 1 Motivation and Purpose; 2 Structure of the Thesis; B Conceptual Basis and Literature Review; 1 Loyalty Programs; 1.1 Definition; 1.2 Key Elements of Loyalty Programs; 2 Consumer Decision Fields in a Loyalty Program Membership; 2.1 Participation Decisions; 2.2 Redemption Decisions; 2.3 Purchase Decisions; 2.4 Reward Decisions; 2.5 Synthesis; 3 Medium Magnitude Effects; 3.1 Definition; 3.2 Related Phenomena ; C Theoretical Background and Hypotheses Development; 1 Theoretical Background
1.1 Theory of Rational Choice1.2 Descriptive Theories of Choice; 2 Hypotheses Development; 2.1 The Impact of Medium Magnitude on Participation and Redemption Decisions; 2.2 The Impact of Medium Magnitude on Purchase and Reward Decisions; 2.3 Empirical Approach; D Empirical Examination of Medium Magnitude Effects; 1 The Impact of Medium Magnitude on Participation Decisions; 1.1 Study 1; 1.2 Study 2; 1.3 Study 3 ; 1.4 Discussion; 2 The Impact of Medium Magnitude on Redemption Decisions; 2.1 Study 4; 2.2 Study 5 ; 2.3 Study 6 ; 2.4 Discussion
3 The Impact of Medium Magnitude on Purchase Decisions3.1 Study 7 ; 3.2 Study 8 ; 3.3 Study 9 ; 3.4 Discussion; 4 The Impact of Medium Magnitude on Reward Decisions; 4.1 Study 10 ; 4.2 Study 11; 4.3 Study 12 ; 4.4 Discussion; E Conclusions; 1 Summary of Findings; 2 Theoretical Implications; 3 Managerial Implications; 3.1 Influencing Participation and Redemption Decisions; 3.2 Influencing Purchase and Reward Decisions; 3.3 Additional Fields of Application; 4 Limitations and Future Research Directions; References; Cited Websites
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 his doctorate at the Department of Marketing, TU Dortmund University under the guidance of Prof. Dr. Hartmut H. Holzmüller.
Marketing.
Behavioral economics.
Marketing.
Behavioral/Experimental Economics.