Successful referral behavior in referral reward programs

2019 ◽  
Vol 30 (1) ◽  
pp. 48-74 ◽  
Author(s):  
Jochen Wirtz ◽  
Chris Tang ◽  
Dominik Georgi
Keyword(s):  
Latent Class ◽  
Experimental Studies ◽  
Past Research ◽  
Customer Relationship ◽  
Content Type ◽  
Simultaneous Testing ◽  
Data Capturing ◽  
Reward Programs ◽  
And Gender ◽  
Referral Behavior

PurposeReferral reward programs (RRPs) incentivize existing customers (inductors) to refer new customers (inductees). The effectiveness of RRPs is not well understood as previous studies either focused on referral intent and/or ignored inductee responses. However, an RRP is only effective if inductors recommend and inductees respond with buying the service. The purpose of this paper is to examine the drivers of existing customers’ successful referral behavior.Design/methodology/approachThis study combines a bank’s customer relationship management (CRM) data which were used to identify successful inductors and non-inductors. Then, observed behavioral and customer background data from the CRM database (including successful referrals, deposits in euros, number of products held, relationship duration, income, age, and gender) were combined with survey data capturing attitudinal variables (i.e. perceived relationship quality, reward attractiveness, referral metaperception, opportunism, and involvement). This approach allowed for the simultaneous testing of all hypothesized drivers of successful referral behavior.FindingsMetaperception (i.e. the process by which individuals determine the impressions other might form of them and their behavior) was the strongest and most significant driver of successful RRP participation, followed by attractiveness of the reward. That is, inductors recommended successfully when they believed that their incentivized referral did not look bad (or even looked good) and incentives were perceived as attractive. This finding is important as metaperception so far has only been examined in theoretical and experimental studies with intent as dependent variables. Second, latent class analysis (LCA) revealed that there were two segments of inductors of which one was opportunistic. Opportunism as a driver of referral behavior has not been shown in past research using more traditional analyses, whereas LCA uncovered it as a driver for one-third of all respondents.Practical implicationsThe findings offer managers a better understanding of the key determinants of successful referral behavior with important RRP design implications that counter frequent practice (e.g. designing RRPs with high face value but then reducing its usefulness through terms and conditions). Furthermore, managers may consider segment-specific reward structures to improve the effectiveness of their RRPs.Originality/valueThis study is the first to examine inductor determinants of successful referral behavior and identify inductor segments.

The adoption of customer relationship management (CRM) technology in SMEs

2013 ◽  
Vol 20 (4) ◽  
pp. 824-848 ◽  
Author(s):  
ThuyUyen H. Nguyen ◽  
Teresa S. Waring
Keyword(s):  
Technology Adoption ◽  
Southern California ◽  
Employee Involvement ◽  
Customer Relationship ◽  
Market Position ◽  
Content Type ◽  
Industry Sector ◽  
Innovation And Technology ◽  
And Gender ◽  
Employee Characteristics

Purpose – The aim of this paper is to use an innovation decision process to examine CRM technology adoption in small to medium-sized enterprises and its intrinsic link to the nature of the organisation and the individuals within it. Design/methodology/approach – A survey was administered to SMEs in Southern California to measure the organisational characteristics, specifically management characteristics, employee characteristics, IT resources and firm characteristics. The perception of CRM, decision to adopt CRM, and extent of CRM implementation were also measured. Previously validated instruments were used where required. The data were analysed using multivariate and logistic regression. Findings – The results indicate that management's innovativeness affects the firm's perception of CRM systems, but age, education and gender do not. The decision to implement a CRM system is influenced by management's perception of CRM, employee involvement, the firm's size, its perceived market position, but not the industry sector. However, the number and types of CRM features implemented are affected by management's perception of CRM, employee involvement, the firm's size, the industry sector, but not its perceived market position. Research limitations/implications – This study is specific to Southern California and the sample size is relatively small, although sufficient for this analysis. The study should be replicated in more diverse geographic settings with a larger sample. Practical implications – The study provides evidence of the need for management to be supportive of innovation and technology, to evaluate the available resources (IT knowledge, skills, infrastructure) within the organisation, to recognise the importance of employees' contributions, and to be aware of the features appropriate to their company's size and industry sector before undertaking CRM technology adoption. Originality/value – The findings from this study extend the understanding of CRM adoption in SMEs and help in building a greater understanding of the factors associated with such adoption. It will be of great value to owners/managers in SMEs who are considering adopting CRM.

Segmenting consumer reactions to social network marketing

2014 ◽  
Vol 48 (3/4) ◽  
pp. 432-452 ◽  
Author(s):  
Colin Campbell ◽  
Carla Ferraro ◽  
Sean Sands
Keyword(s):  
Social Networks ◽  
Social Network ◽  
Information Search ◽  
Purchase Intention ◽  
Latent Class ◽  
Network Marketing ◽  
Content Type ◽  
Brand Engagement ◽  
And Gender ◽  
Demographic Covariates

Purpose – The purpose of this paper is to understand how consumers may be segmented with respect to their reactions to social network marketing. Design/methodology/approach – Consumers are segmented on the basis of attitudes toward social network marketing and the association among psychological, economic, and socio-demographic covariates are explored using data from 883 consumers and latent-class analysis. Findings – A total of five segments are identified – Passive, Talkers, Hesitant, Active, and Averse – along with significant covariates, such as information search, convenience, entertainment, age and gender that predict membership. Research limitations/implications – Evidence was found of two segments that are highly impacted by social network marketing in terms of brand engagement, purchase intention and WOM referral intention. The most engaged – the Active – representing approximately 10 percent, is most open to interacting with brands in social networks, likely to make a purchase as a result of the campaign, and likely to spread WOM. The second group – Talkers – representing 28 percent, is also high on all outcomes, but not impacted as greatly in terms of purchase intentions. Practical implications – There is a sizable share of the market (38 percent) that can be positively impacted through social network marketing. This paper reinforces that it is problematic to collapse all users of social networks. Originality/value – The paper offers a more nuanced understanding of how consumers engage with social media by focusing on how consumers engage with social network marketing and by employing three segmentation bases: brand engagement, purchase intention, and WOM.

scholarly journals A fresh look at self-employment, stress and health: accounting for self-selection, time and gender

2020 ◽  
Vol 26 (5) ◽  
pp. 1133-1177 ◽  
Author(s):  
Ute Stephan ◽  
Jun Li ◽  
Jingjing Qu
Keyword(s):  
Mental Health ◽  
Allostatic Load ◽  
Past Research ◽  
Related Strain ◽  
Content Type ◽  
Work Related ◽  
Self Employment ◽  
Self Selection ◽  
Paid Employment ◽  
And Gender

PurposePast research on self-employment and health yielded conflicting findings. Integrating predictions from the Stressor-Strain Outcome model, research on challenge stressors and allostatic load, we predict that physical and mental health are affected by self-employment in distinct ways which play out over different time horizons. We also test whether the health impacts of self-employment are due to enhanced stress (work-related strain) and differ for man and women.Design/methodology/approachWe apply non-parametric propensity score matching in combination with a difference-in-difference approach and longitudinal cohort data to examine self-selection and the causal relationship between self-employment and health. We focus on those that transit into self-employment from paid employment (opportunity self-employment) and analyze strain and health over four years relative to individuals in paid employment.FindingsThose with poorer mental health are more likely to self-select into self-employment. After entering self-employment, individuals experience a short-term uplift in mental health due to lower work-related strain, especially for self-employed men. In the longer-term (four years) the mental health of the self-employed drops back to pre-self-employment levels. We find no effect of self-employment on physical health.Practical implicationsOur research helps to understand the nonpecuniary benefits of self-employment and suggests that we should not advocate self-employment as a “healthy” career.Originality/valueThis article advances research on self-employment and health. Grounded in stress theories it offers new insights relating to self-selection, the temporality of effects, the mediating role of work-related strain, and gender that collectively help to explain why past research yielded conflicting findings.

Hashtags and handshakes: consumer motives and platform use in brand-consumer interactions

2016 ◽  
Vol 33 (2) ◽  
pp. 135-144 ◽  
Author(s):  
Mitchell Hamilton ◽  
Velitchka D. Kaltcheva ◽  
Andrew J. Rohm
Keyword(s):  
Social Media ◽  
Mixture Models ◽  
Customer Service ◽  
Latent Class ◽  
Product Information ◽  
Past Research ◽  
Complex Data ◽  
Current Increase ◽  
Content Type ◽  
Consumer Interactions

Purpose – The current increase in social media activity related to brand–consumer interactions is progressively influencing the manner in which brands and their customers communicate. Whereas this attention to social media is warranted, researchers and brand managers must also recognize that consumers connect and engage with brands across other communication platforms as well. Accordingly, this study aims to examine brand–consumer interactions taking place across social, online and physical platforms, as well as consumer motives for initiating these brand interactions across various platforms. Design/methodology/approach – A mixed-method approach integrating quantitative and qualitative data was used. We administered a written diary to 102 individuals over a two-month period, in which study participants recorded their motivations and platform use in their interactions with a brand. We evaluated latent-class mixture models for complex data and multi-level latent-class mixture models to identify classes of interactions based on participants’ motivations and platform use as well as customer segments based on the identified motives-by-platform classes. Findings – The findings reveal ten categories of motives for interacting with brands, including promotions and incentives, timely information, product information, engagement, browsing, purchase, customer service, branded content, entertainment, and personalization/exclusivity. Furthermore, six motives-by-platform interaction classes are identified. The findings suggest three consumer segments differentiated by their motives-by-platform profiles. Research limitations/implications – This study adds to past research investigating the motives behind brand–consumer interactions in social media by investigating both social media and non-social media-related interactions, and offering a typology of interaction profiles that considers interaction motives and platform preferences. Practical implications – This study illustrates that consumers are driven to interact with brands based upon the ten motive categories. These motives, in turn, are associated with different platform uses. Thus, it is important for brands to adopt ambidexterity across multiple communication platforms. Originality/value – This research adds to the understanding of brand–consumer interactions conducted on online and offline communication platforms.

scholarly journals The role of integrated offline/online social activity and social identification in Facebook citizenship behaviour formation

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zeeshan Ahmed Bhatti ◽  
Ghulam Ali Arain ◽  
Hina Mahboob Yasin ◽  
Muhammad Asif Khan ◽  
Muhammad Shakaib Akram
Keyword(s):  
Social Identity ◽  
Social Identity Theory ◽  
Identity Theory ◽  
Theoretical Perspective ◽  
Social Groups ◽  
Social Activity ◽  
Past Research ◽  
Social Identification ◽  
Content Type ◽  
Activity Integration

PurposeDrawing on social identity theory and prosocial behaviour research, this study explores how people's integration of their offline and online social activities through Facebook cultivates their Facebook citizenship behaviour (FCB). It also offers further insight into the underlying mechanism of offline and online social activity integration - FCB relation by investigating people's social identification with their offline and online social groups as possible mediators.Design/methodology/approachBased on social identity theory (SIT) literature, community citizenship behaviour and offline-online social activity integration through Facebook, we developed a conceptual model, which was empirically tested using data from 308 Facebook usersFindingsThe results confirm that the participants' offline-online social activity integration via Facebook is positively linked to their FCB. Further, the integration of offline and online social activity through Facebook positively affects how a person identifies with their offline and online social groups, which in turn causes them to display FCB. In addition, offline/online social identification mediates the integration – FCB relation.Practical implicationsIn practice, it is interesting to see people's tendency towards altruistic behaviours within groups they like to associate themselves with. Those who share their Facebook network with their offline friends can use such network to seek help and support.Originality/valueFrom a theoretical perspective, unlike past research, this study examines how individuals' offline-online social activity integration via Facebook helps them associate with groups. In addition, this study investigates social identification from an offline and online perspective.

Touring for peace: the role of dual-narrative tours in creating transnational activists

2019 ◽  
Vol 5 (2) ◽  
pp. 200-218 ◽  
Author(s):  
Emily Maureen Schneider
Keyword(s):  
Attitude Change ◽  
Past Research ◽  
Host Population ◽  
Contact Hypothesis ◽  
Racial Groups ◽  
Content Type ◽  
Governmental Organizations ◽  
Non Governmental Organizations ◽  
Peace And Justice

Purpose Scholarship on the contact hypothesis and peacebuilding suggests that contact with marginalized ethnic and racial groups may reduce prejudice and improve opportunities for conflict resolution. Through a study of dual-narrative tours to Israel/Palestine, the purpose of this paper is to address two areas of the debate surrounding this approach to social change. First, past research on the effectiveness of contact-based tourism as a method to change attitudes is inconclusive. Travel to a foreign country has been shown to both improve and worsen tourists’ perceptions of a host population. Second, few scholars have attempted to link contact-based changes in attitudes to activism. Design/methodology/approach Through an analysis of 218 post-tour surveys, this study examines the role of dual-narrative tours in sparking attitude change that may facilitate involvement in peace and justice activism. Surveys were collected from the leading “dual-narrative” tour company in the region, MEJDI. Dual-narrative tours uniquely expose mainstream tourists in Israel/Palestine to Palestinian perspectives that are typically absent from the majority of tours to the region. This case study of dual-narrative tours therefore provides a unique opportunity to address the self-selecting bias, as identified by contact hypothesis and tourism scholars, in order to understand the potential impacts of exposure to marginalized narratives. Findings The findings of this study suggest that while these tours tend to engender increased support for Palestinians over Israelis, their most salient function appears to be the cultivation of empathy for “both sides” of the conflict. Similarly, dual-narrative tours often prompt visitors to understand the conflict to be more complex than they previously thought. In terms of activism, tourists tend to prioritize education-based initiatives in their plans for post-tour political engagement. In addition, a large number of participants articulated commitments to support joint Israeli–Palestinian non-governmental organizations and to try to influence US foreign policy to be more equitable. Originality/value These findings complicate debates within the scholarship on peacebuilding as well as within movements for social justice in Israel/Palestine. While programs that equate Israeli and Palestinian perspectives are often criticized for reinforcing the status quo, dual-narrative tours appear to facilitate nuance and universalism while also shifting tourists toward greater identification with an oppressed population. Together, these findings shed light on the ability of tourism to facilitate positive attitude change about a previously stigmatized racial/ethnic group, as well as the power of contact and exposure to marginalized narratives to inspire peace and justice activism.

Family dynamics and gender perspective influencing copreneurship practices

2018 ◽  
Vol 26 (1) ◽  
pp. 14-33 ◽  
Author(s):  
Mário Franco ◽  
Patricia Piceti
Keyword(s):  
Gender Roles ◽  
Empirical Evidence ◽  
Family Dynamics ◽  
Family Firms ◽  
Business Management ◽  
Business Success ◽  
Business Practices ◽  
Content Type ◽  
The Family ◽  
And Gender

Purpose The purpose of this paper is to understand the family dynamics factors and gender roles influencing the functioning of copreneurial business practices, to propose a conceptual framework based on these factors/roles. Design/methodology/approach For this purpose, a qualitative approach was adopted, through the analysis of seven businesses created by copreneurial couples in an emerging economy – Brazil. Data were obtained from an open interview with each member of the selected couples who are in charge of firm management. Findings The empirical evidence obtained shows that the most important factors for successful copreneurial family businesses are professionalization, dividing the couple’s tasks and business management. Trust, communication, flexibility and common goals are other essential relational-based factors for the good functioning of this type of family business and stability in the personal relationship. Practical implications It is clear that professionalization and the separation of positions and functions are fundamental for a balance between business management and the couple’s marital life. When couples are in harmony and considering factors such as trust, communication and flexibility (relational-based factors), the firm’s life-cycle and business success become real and more effective. Originality/value From the family dynamics factors and gender roles, this study focused on one of the most important and integrated family firm relationships, copreneurial couples. As there is little research on the heterogeneity of family firms runs specifically by copreneurial couples, this study is particularly important and innovative in the context of a developing economy, such as Brazil. Based on empirical evidence, this study was proposed an integrative and holistic framework that shows the functioning of copreneurial businesses practices.

“Mind the gap”: to succeed in marketing politics, think of social media innovation

2019 ◽  
Vol 36 (6) ◽  
pp. 806-817
Author(s):  
Patrick Amfo Anim ◽  
Frederick Okyere Asiedu ◽  
Matilda Adams ◽  
George Acheampong ◽  
Ernestina Boakye
Keyword(s):  
Social Media ◽  
Factor Analysis ◽  
Political Participation ◽  
Political Efficacy ◽  
Customer Relationship ◽  
Political Marketing ◽  
Content Type ◽  
Young Voters ◽  
Mediating Role ◽  
The Relationship

Purpose This paper aims to explore the relationships between political marketing via social media and young voters’ political participation in Ghana. Additionally, this study examines the mediating role political efficacy plays in enhancing the relationship. Design/methodology/approach With a positivist mindset, and adopting the survey strategy, data gathered from the questionnaire administered from the sampled 320 young voters (18-29 years) in Greater Accra were quantitatively analyzed. An exploratory factor analysis (EFA), confirmatory factor analysis (CFA) and structural equation modeling (SEM) were used to assess and confirm the proposed scales validity and the relationships of the research model. Findings The study revealed that a political party or candidate’s ability to achieve political participation from Ghanaian young voters’ is dependent on how effective they build customer relationship or gaining visibility through social media. In addition, the study showed that political efficacy mediates the relationship between customer relationship building or gaining visibility through social media and political participation among Ghana young voters. Thus, young voters in Ghana must see themselves to have a say in the affairs of political parties through the political messages they gather from social media platforms to enhance their political participation activities. Practical implications The results of this paper will enable political marketers and politicians not only in Ghana but across the globe, to better understand how social media as a communication tool could be used to positively influence users’ political participation. Originality/value Considering the uniqueness of this study in a Ghanaian context, this paper is the first of its kind to use the social capital theory in examining the mediating role political efficacy plays in enhancing the relationship between political marketing on social media and young voters’ political participation.

Management of competition among sellers and its performance implications for business-to-business electronic platforms

2015 ◽  
Vol 6 (2) ◽  
pp. 199-222 ◽  
Author(s):  
Xiaoling Li ◽  
Xingyao Ren ◽  
Xu Zheng
Keyword(s):  
Longitudinal Research ◽  
Time Windows ◽  
Customer Relationship ◽  
Effective Control ◽  
Marketing Tactics ◽  
Long Term Effects ◽  
Content Type ◽  
Short And Long Term ◽  
Term Performance

Purpose – This paper aimed to analyze the short- and long-term effects of the breadth and depth of seller competition on the performance of platform companies, and investigated the underlying mechanisms of customers’ two-sided marketing tactics on the structure of the competition between sellers. Design/methodology/approach – A longitudinal research design was adopted by gathering daily market objective data on e-commerce platforms for 250 days, and the dynamic evolution effects was analyzed by using a vector autoregression model which compared the differences between the short- and long-term effectiveness of different customer relationship management (CRM) strategies. Findings – The breadth of competition amongst sellers improves the performance of platforms, whilst the depth of competition among sellers has a positive effect on the short-term performance. However, it has a negative effect on the long-term performance of their platforms. In both the short and long terms, advertising tactics that attract new buyers contribute more to increases in the breadth of seller competition than those that attract existing buyers do. Subsidies for new sellers decrease the depth of seller competition more than those for old sellers. Research limitations/implications – Further research could be undertaken to investigate the validity of marketing tactics other than advertising tactics, and thus expand the time windows of the available data. Practical implications – It is imperative for platform companies to implement effective control over seller competition to balance the interests of the sellers and of themselves. Originality/value – The dyadic paradigm of CRM research has been extended by considering the perspective of the electronic platform company, how the tactics of exploitation and exploration of two-sided customers impact upon seller competitive structures have been delved into and why new customers have a unique value to platform companies has been identified.

Entrepreneurship in regions: differentiated impacts of the socio cultural and gender types

2015 ◽  
Vol 28 (1) ◽  
pp. 45-76 ◽  
Author(s):  
Claudio Mancilla ◽  
José Ernesto Amorós
Keyword(s):  
Negative Impact ◽  
Positive Impact ◽  
Fear Of Failure ◽  
Content Type ◽  
Reference Models ◽  
Cultural Aspects ◽  
And Gender ◽  
The Individual ◽  
Practical Implications ◽  
Secondary City

Purpose The purpose of this paper is to study the differentiated impact of factors that influence the propensity to entrepreneur in a sample of people in Chile. A distinction is made between individuals that live in primary cities and secondary cities. The differentiating factors are socio‐cultural aspects (reference models – positive examples of entrepreneurs – and perception of social fear of failure) and the gender of the individual. Design/methodology/approach For the research data from the survey used in Chile by the Global Entrepreneurship Monitor for the years 2010 and 2011 were used. A logit model was used to determine the differentiated impact of the analysed factors and interactions were done using the method proposed by Corneliâen and Sonderhof (2009). Findings These showed that the fact that an individual lives in a secondary city decreases his entrepreneurship probability. The positive impact that the reference models have is weaker in women. Contrary to what was expected, the negative impact of the fear of failure perception is weaker in women. Practical implications These results have the implications to suggest focused public policies and differentiations that consider the socio‐cultural, territorial (focused in cities) and gender aspects. Originality/value The research contributes by giving empirical evidence of the existence of the negative impact of living in a secondary city and of differentiated effects of socio‐cultural factors from the gender perspective.

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