- Title
- Do status levels in loyalty programmes change customers' willingness to pay?
- Creator
- Mathies, Christine; Gudergan, Siegfried P.
- Relation
- Journal of Revenue and Pricing Management Vol. 11, Issue 3, p. 274-288
- Publisher Link
- http://dx.doi.org/10.1057/rpm.2012.13
- Publisher
- Palgrave Macmillan
- Resource Type
- journal article
- Date
- 2012
- Description
- This article examines the effects of loyalty programme membership, promotion and demotion across different status levels on customer brand preferences and willingness to pay (WTP). The results of a study in the travel industry show that loyalty programme members express significantly higher brand preferences for their respective airline or hotel group than do non-members. Furthermore, consumers close to experiencing a change in their status level exhibit even stronger brand preferences, which extends to a greater WTP. The empirical findings illustrate how frequent traveller programmes affect purchase choices, especially if customers anticipate that they are about to lose or gain a higher status level.
- Subject
- loyalty programmes; customers; membership; travel industry
- Identifier
- http://hdl.handle.net/1959.13/1067103
- Identifier
- uon:18280
- Identifier
- ISSN:1476-6930
- Language
- eng
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