Reward the inductor or inductee? The effect of the inductee's altruism on a shopping guide platform

PurposeThis study highlights the effect of an inductee's altruism on referral reward programs (RRPs) on an online shopping guide platform to determine the optimal RRP and referral reward allocation under a Cashback and Referral RRP.Design/methodology/approachThe authors consider a Stackelberg game with a platform, seller, inductor and inductee, where the inductee's altruism plays a vital role in determining the optimal RRP in equilibrium.FindingsThe authors show that the conditions under which it is optimal to reward the inductor only or reward both inductor and inductee are equal or unequal depending on the degree of the inductee's altruism. Suppose the platform is unable to dynamically decide the commission fee. In that case, the platform may not always be involved in RRPs and will gradually reduce the rewards for inductees as the altruism increases.Research limitations/implicationsThis study focuses on a free-to-consumers model where sellers pay membership fees. Thus, this study has limitations regarding other pricing schemes such as a model in which consumers pay a fee while sellers do not or a model in which both types of users pay fees.Practical implicationsThis analytical work can help platforms optimize referral reward strategies and referral reward allocation considering the influence of an inductee's altruism.Originality/valueIn a Cashback and Referral RRP on a shopping guide platform, the authors provide applicable conditions for the platform to involve in the RRPs when rewarding an equal bonus for the inductor and inductee first. Further, the authors show the optimal referral reward strategy and referral reward allocation when giving the different bonuses to the inductor and inductee.

An Analysis of “Buy X, Get One Free” Reward Programs

Redemption hurdles, such as finite expiration terms and redemption thresholds, are common for customer reward programs. In “An Analysis of ‘Buy X, Get One Free’ Reward Programs,” Yan Liu, Yacheng Sun, and Dan Zhang study the economic rationale behind redemption hurdles and how they should be optimally set. They show analytically that redemption hurdles can be used as a price-discriminating vehicle that increases firm profitability. Redemption hurdles can facilitate the firm’s price discrimination on consumers whose valuations may vary over time. Redemption threshold alone cannot ensure profitability, unless it is coupled with a finite expiration term or a positive transaction utility from the rewarded free product. Optimal design of redemption hurdles is not straightforward, and the interdependence between the two types of redemption hurdles and the price is nontrivial. Optimally set redemption hurdles may not only increase firm profitability but also, increase the welfare of consumers who purchase frequently.

A fresh look at whistleblower rewards

Research on whistleblowing has increased significantly in the last decades, and so has the number of laws governing whistleblowing. Whereas the EU recently enacted a Directive (Directive 2019/1937) protecting whistleblowers, the US has gone one step further long ago, not only protecting them but also offering substantial monetary rewards for their information. More countries are now adopting reward programs, while numerous recent instances of corporate wrongdoing suggest that the central promise of these programs: increasing detection and deterrence of wrongdoing, is highly needed not only in the US. These developments warrant a review on the optimal design of these programs, based on experience and available evidence, to obtain optimal deterrence and avoid policy mistakes. In this paper, we review the evidence for the effectiveness of the US whistleblower reward programs and consider some recent novelties. We also consider objections against these programs and local factors in the US that likely contribute to their success. Finally, we voice some concerns over the EU Directive’s ability to achieve its policy objective of enhancing enforcement of Union law. We find that the evidence for the effectiveness of reward programs is significant, and that common concerns about these programs have not materialized. Whereas much of the prior literature has focused on their viability and effectiveness, further research would do well in focusing on how to effectively design these programs, what has driven their success, and what local national characteristics could hamper their effectiveness outside the US.

Happiness at Work Through Recognition and Reward Programs

Happiness has been explored from different perspectives—moods, attitudes, emotions, and/or feelings of wellness—and its study has been extended to work experiences. This chapter is framed within the theoretical review of happiness, and happiness at work and its management, by means of recognition and reward programs that are proposed by the theorists to increase happiness, which influence greater company productivity. This chapter shows cases of Colombian and American companies, whose recognition and rewarding practices are aligned with the researcher´s postulates. Among research findings, recognition programs in Colombian companies are more oriented towards a friendly laboral environment and time incentives; whereas American companies focus on incentives based on of money and working from home.

Referral Reward Size and New Customer Profitability

In referral reward programs, larger rewards increase the number of referred new customers but decrease the profitability of these customers.

Pengaruh Kompensasi dan Disiplin Kerja Terhadap Kinerja Dosen Melalui Kepuasan Kerja

ABSTRACT The purpose of this study is to determine the effect of compensation on job satisfaction, to determine the effect of work discipline on job satisfaction, to determine the effect of compensation and work discipline on job satisfaction, to determine the effect of compensation and work discipline on lecturer performance through job satisfaction. This type of research is causal (cause and effect. The population and sample in this study were permanent lecturers of LP3M Superior Polytechnic as many as 52 people. Furthermore, the sampling technique used quota sampling. Then the data collection technique used questionnaires with a Likert scale. The results showed that partially and simultaneously compensation and work discipline had a positive and significant effect on job satisfaction of lecturers. Furthermore, for the indirect effect shows that the compensation and work discipline variables have a positive and significant effect on the performance of lecturers through job satisfaction. The implication in this study shows that the compensation given is expected based on the performance of lecturers in the three-tridarma of higher education. Furthermore, work discipline shows that reward programs for outstanding lecturers are able to increase job satisfaction and have an impact on lecturer performance ABSTRAK Tujuan dalam penelitian ini yaitu untuk mengetahui pengaruh kompenasi terhadap kepuasan kerja, untuk mengetahui pengaruh disiplin kerja terhadap kepuasan kerja, untuk mengetahui pengaruh kompensasi dan disiplin kerja terhadap kepuasan kerja, untuk mengetahui pengaruh kompensasi dan disiplin kerja terhadap kinerja dosen melalui kepuasan kerja. Jenis penelitian ini yaitu kausal (sebab-akibat. Populasi dan sampel dalam penelitian ini merupakan dosen tetap Politeknik Unggul LP3M sebanyak 52 orang. Selanjutnya teknik penarik sampel menggunakan kuota sampling. Kemudian teknik pengumpulan data menggunkan kusioner dengan skala likert. Hasil penelitian menununjukkan bahwa secara parsial dan simultan kompensasi dan disiplin kerja berpengaruh positif dan signifikan terhadap kepuasan kerja dosen. Selanjutnya untuk pengaruh tidak langsung menununjukkan bahwa variabel kompensasi dan disiplin kerja berpengaruh positif dan signifikan terhadap kinerja dosen melalui kepuasan kerja. Implikasi dalam penelitian ini menunjukkan bahwa kompenasi yang diberikan diharapkan berdasarkan kinerja dosen dalan tridarma perguruan tinggi. Selanjutnya disiplin kerja menunjukkan bahwa program reward kepda dosen yang berprestasi mampu meningkatkan kepuasan kerja serta berdampak pada kinerja dosen.

To toy or not to toy in supermarket instant reward programs

PurposeThis industry viewpoint paper provides a comprehensive overview and critical viewpoint on the use of collectable toy premiums via instant reward programs (IRP) within the retail industry as a marketing tool.Design/methodology/approachThis paper draws upon the uses of a “free” collectable toy premium promotion with a fixed purchase spend (via an IRP) in the supermarket industry as a marketing instrument to increase customer basket spend and repeat visits. Reflections on the recent use of toy premiums by Australian supermarket retailers are also utilised to highlight the ingredients for a successful promotion but also the controversies associated with such promotions.FindingsOne of the key findings suggest that the role of toy premiums is a successful marketing tool by retailers to increase customer total basket spending. However, notable points of caution regarding offering IRPs incorporating collectable toy premiums promotions are established, including environmental concerns and the social, ethical dilemma as to whether these promotions are indirectly targeted at children rather than adult consumers.Practical implicationsThe findings have important implications for retailers to attract customer attention, increased market spend and repeat purchases through a desired collectable premium promotion (via an IRP).Originality/valueThis is the first paper to critically review the usage of collectable toy premiums within the supermarket retail industry.