Revisiting Internet Access Pricing for Loyal Customers: the Long-Term Interaction Case

Author(s):  
Tuan Trinh ◽  
Laszlo Gyarmati
Author(s):  
Trinh Anh Tuan

In this paper, we investigate the impacts of user behaviour – user loyalty in particular – on pricing strategies of Internet Service Providers (ISPs) for a profitable yet sustainable Internet access marketplace. First, we propose a realistic user loyalty model, the price difference dependent loyalty model, which is based on empirical evidences from ISPs in different countries in the world. Next, we apply the loyalty model in gametheoretical analyses where optimal Internet access pricing strategies are expressed. Finally, we present the impacts of user loyalty on the prices and profits of ISPs in different scenarios based on simulation results


The main purpose of this chapter is to analyze the categories of brand equity assets through the prism of radical transparency. The results reveal that the brand equity requires investment and disappears over time if not maintained consistently with the selected business model and the company's values. The chapter is dedicated to systemize the theoretical and practical findings over the brand equity elements. Brand loyalty is the first element of the brand equity model. The benefits for the company which uses the radical transparency practices can be simply synthesized into one big advantage - satisfied and loyal customers who generate stable revenues and profits for the company in the long term. Radical transparency has a major impact on stimulating brand awareness as a factor that is particularly important in the sense that the brand must first enter into the considerations set. The company should be ready and open for cooperation with all interested parties and provide positive feedback whenever necessary. This enhances the perceived quality of the brand and the trust. The application of the radical transparency concept in the overall operation of the company enables the creation of a special set of brand associations that create long-lasting relationships with consumers, mixed with positive emotional mix that seals the success in the long term.


Author(s):  
Kenneth R. Walsh

Norwel Equipment Co. Limited Partnership (L.P.) is a Louisiana business retailer of construction equipment specializing in John Deere heavy-equipment and has secured exclusive John Deere rights for most of the State of Louisiana. Founded in 1972, Norwel is the sixth largest John Deere construction equipment dealer in the United States. This case illustrates business and technology issues facing Norwel. In mid-1999, the October 1st deadline for John Deeres requirement to communicate by e-mail was approaching and the response time of the Norwels primary computers system, an AS/400, was increasing to the point where users were not satisfied with performance. Also users were requesting new computing services such as e-mail, document sharing, and Internet access. For example, the Parts Operations Manger suggested selling parts online and the Manager of the Used Equipment Division suggest supporting the sales staff through Internet connections. Managing Partner, Richard Hevey decided an upgrade to the networks and a connection to the Internet were needed. He is faced with both short-term and long-term decisions about Norwels infrastructure.


2020 ◽  
Vol 12 (1) ◽  
pp. 41-53 ◽  
Author(s):  
Eunjo Lee ◽  
Boram Kim ◽  
Sungwook Kang ◽  
Byungsoo Kang ◽  
Yoonjae Jang ◽  
...  

2016 ◽  
Vol 18 (1) ◽  
Author(s):  
Nader S. Safa ◽  
Rossouw Von Solms

Background: Electronic loyalty (e-loyalty) has become important in the context of electronic commerce (e-commerce) in recent years. Loyal customers bring long-term revenue to companies and are known to be a valuable asset to them. However, firms lose their customers in a competitive environment on the Internet because of a lack of trust, satisfaction and loyalty.Objectives: This study explains how e-loyalty, e-trust and e-satisfaction form in e-commerce with a focus on customer purchase intention formation.Method: A conceptual framework was formed based upon the literature review. Data were collected from e-customers of online firms in South Africa. After data clarification, confirmatory factor analysis was conducted. The structural equation modelling was applied to test the hypotheses. IBM SPSS AMOS 20 was used for this purpose.Results: Firstly, convenience, customer benefit and enjoyment affect customer satisfaction in e-commerce. In other words, when customers do business activities easily with enjoyment and take benefit, they are satisfied and they will purchase again in future. Secondly, our study demonstrated that customer perception of security, clear shopping process and reliable payment system have a positive relationship with e-trust. Finally, e-satisfaction and e-trust have a positive and strong relationship with e-loyalty formation in e-commerce.Conclusion: The results of the study shed light on important issues relating to e-loyalty formation from a new perspective. Online companies are interested in launching e-loyalty programmes because of the long-term benefits that come from loyal customers. To remain competitive, e-commerce companies should constantly work at enhancing customer trust, satisfaction and loyalty.Keywords: E-commerce; customer satisfaction; trust; loyalty


Author(s):  
Shailesh Pandita ◽  
Sushil Kumar Mehta

Customers are considered to be the most important aspect of the business. Survival of the business in terms of the profitability and sustainability depends upon its customers. For the Long and profitable survival of the business it is important to create the value for the customer and to cater their needs. It is very important for the company to attract the potential customers and retain the existing ones because it is the customers who create the demand of the products or services in the market. It is very important for any business to create the value for its customers to increase their satisfaction level with respect to product and organization. Satisfied customers have a higher probability of repeat purchases and long term relationship with the business which ultimately creates the customer loyalty. In the current Competitive business scenario customer loyalty is considered one of the important intangible assets of the business for the formulation of any business strategy. In such environment loyal customers can provide a competitive advantage for any business for the long survival. The aim of this study is to find the relationship between Customer Perceived Value, communication and customer loyalty in rural retailing.


2020 ◽  
Vol 12 (12) ◽  
pp. 61
Author(s):  
Hisham J. Bardesi

The purpose of this study is to examine and assess the impact of the Internet on economic growth in Saudi Arabia. Various studies show that there is a relationship between the growth rate of GDP and the Internet, as estimated by Internet user numbers. In this paper, the ordinary least squares (OLS) model is utilized to study the economic impact of Internet Access from 1994 to 2018, which has had a profound effect on the market structure of many sectors and Saudi’s global macroeconomic performance. The study constructs a model to investigate any significant impact of the Internet on the Saudi economy. Finally, this paper suggests that an understanding of the role of the Internet is essential for policymakers who plan to promote new forms of economic growth in the future. To take a long-term view implies working on technologies that could improve the economy and people’s lives by creating a technological ecosystem in and around Saudi Arabia, along with other major economies.


2011 ◽  
Vol 7 (1-2) ◽  
Author(s):  
Gilda Olinto ◽  
Suely Fragoso

The evolution of internet access and use in Brazil in the direction of social inclusiveness and to guarantee uses that promote individual and community development is the focus of the present paper. Previous evidence on the subject initially presented indicates the prevalence of contrasting aspects: some outstanding positive initiatives and results towards democratization of the internet, as well as the maintenance of great digital inequalities. New evidence on the evolution of internet access and use is also discussed herein, based on analyses of longitudinal data obtained from the Brazilian Census Bureau’s Annual Survey (IBGE/PNAD, 2005, 2008). After describing aspects of increase in access to the internet, we focus on the evolution of different types of everyday life internet uses, particularly those that might contribute to individual and community development. How accesses and uses are gradually incorporating the less privileged sectors of the Brazilian adult population is also considered in the analyses. The results obtained reinforce the previous contrasting evidences: outstanding growth in access and in diversified uses are observed - suggesting intensive appropriation of internet technology and resources by the population - as well as the persistence of great inequalities. These circumstances indicate that the digital divide in Brazil is still a great challenge to be faced through comprehensive and long-term policies and initiatives.


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