Customer loyalty and customer loyalty programs

  title={Customer loyalty and customer loyalty programs},
  author={Mark D. Uncles and Grahame R. Dowling and Kathy Hammond},
  journal={Journal of Consumer Marketing},
Customer loyalty presents a paradox. Many see it as primarily an attitude‐based phenomenon that can be influenced significantly by customer relationship management initiatives such as the increasingly popular loyalty and affinity programs. However, empirical research shows that loyalty in competitive repeat‐purchase markets is shaped more by the passive acceptance of brands than by strongly‐held attitudes about them. From this perspective, the demand‐enhancing potential of loyalty programs is… 

Figures from this paper

Impact of loyalty programs on relationship benefits and customer loyalty: A customer perspective
In recent years, loyalty program as an important means of relationship marketing, has been highly concerned by scholars and enterprises. However, there are many problems when execute the loyalty
Levels of customer loyalty and perceptions of loyalty programme benefits : a South African retail example
Organisations use loyalty programmes to stimulate customer loyalty, and consumers presumably join these programmes to obtain a number of benefits or rewards arising from their membership. While
Consequences of customer loyalty to the loyalty program and to the company
Gaining customer loyalty is an important goal of marketing, and loyalty programs are intended to help in reaching it. Research on loyalty programs suggests that customers differentiate between
Loyalty (Brand Loyalty)
Loyalty is a desired marketing outcome for products ranging from fast-moving consumer goods, services, durables, and ideas products such as political parties and social behaviors. Evidence has shown
Designing competitive loyalty programs: How types of program affect customer equity
Loyalty programs are one of the most popular marketing strategies developed by firms across a broad range of industries. Despite the prevalence of these programs, there is only a limited amount of
Customer Loyalty and Lifetime Value: An Empirical Investigation of Consumer Packaged Goods
It is traditionally accepted that customer loyalty is critical for a firm's profitability. Recent research, however, questions the effects of customer loyalty on profitability. In light of this
Loyalty programs benefits and customer loyalty: The mediating role of customer satisfaction
The purpose of this study was to develop an original framework to explore the direct effect of customer loyalty programs benefits on customer loyalty and to discuss the mediating role of customer.
An Integrated Model in Customer Loyalty Context: Relationship Quality and Relationship Marketing View
The concept of customer loyalty has received much consideration and attention from both academics and practitioners in different industries. In increasingly competitive markets, being able to build
Customer Loyalty: Do Brands Still Matter?
The conventional wisdom holds that consumers’ brand loyalty is a function of their perceived brand performance. However, recent studies have shown that loyalty may be affected by non-performance


Implications of loyalty program membership and service experiences for customer retention and value
Companies that offer loyalty reward programs believe that their programs have a long-run positive effect on customer evaluations and behavior. However, if loyalty rewards programs increase
Do Customer Loyalty Programs Really Work
A company that initiates a customer loyalty program usually wants to retain existing customers, maintain sales levels and profits, increase the potential value of existing customers, and encourage
Loyalty programs and their impact on repeat-purchase loyalty patterns
Customer Relationship Management: In B2C Markets, Often Less is More
Customer Relationship Management (CRM) is premised on the belief that developing a relationship with customers is the best way to gain their loyalty. It is argued that loyal customers are more
Are Loyalty Schemes a Manifestation of Relationship Marketing
Despite a shared complexity of definition, the concepts of relationship marketing (RM) and loyalty marketing have several common components : the use of information technology, customer knowledge,
The mismanagement of customer loyalty.
The authors suggest an alternative approach, based on well-established "event-history modeling" techniques, that more accurately predicts future buying probabilities, so marketers can correctly identify which customers belong in which category and market accordingly.
Customer Clubs and Loyalty Programmes: A Practical Guide
One of the most effective protections against competition is long-term customer loyalty. This book presents a step-by-step guide which argues that the key to customer loyalty lies in the right mix of
The loyalty ripple effect Appreciating the full value of customers
The influence of loyal customers can reach far beyond their proximate impact on the company. This impact is analogous to the ripple caused by a pebble tossed into a still pond. In this article we
The loyalty ripple effect
The influence of loyal customers can reach far beyond their proximate impact on the company. This impact is analogous to the ripple caused by a pebble tossed into a still pond. In this article we
Building Brand Community
A brand community from a customer-experiential perspective is a fabric of relationships in which the customer is situated. Crucial relationships include those between the customer and the brand,