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Article
Publication date: 19 July 2013

Christian Barrot, Jan U. Becker and Jannik Meyners

This study seeks to examine the effect of pricing as a marketing instrument to stimulate word‐of‐mouth (WOM) by comparing the influence of two pricing strategies (i.e. a…

Abstract

Purpose

This study seeks to examine the effect of pricing as a marketing instrument to stimulate word‐of‐mouth (WOM) by comparing the influence of two pricing strategies (i.e. a low‐complexity vs a network‐effects tariff) on the referral behaviour.

Design/methodology/approach

Using customer data from a German mobile network operator (including information on customer characteristics, referral behaviour, and service usage), the authors develop a logit model.

Findings

Surprisingly, the results indicate that it is the low‐complexity tariff that increases the likelihood of referrals and leads to an overall higher referral activity. Despite the lower referral activity, however, the network‐effects tariff generates higher revenues.

Research limitations/implications

The results show that companies can use pricing schemes to influence referral behaviour and strongly indicate the need of further research on manageable tools to stimulate word‐of‐mouth marketing.

Practical implications

The findings show not only that pricing has an impact on customers' referral behaviour but also that it is the low‐complexity tariffs that trigger referrals. Furthermore, the results underline the importance of considering the monetary value of referrals.

Originality/value

In contrast with many previously conducted studies on customer referrals, the paper explicitly analyses the impact of pricing on referral behaviour and empirically shows that firms are able to actively manage WOM among customers.

Content available
Article
Publication date: 20 February 2007

Robert Vallée

Abstract

Details

Kybernetes, vol. 36 no. 1
Type: Research Article
ISSN: 0368-492X

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Article
Publication date: 1 August 2005

Jérôme Bindé

The paper aims to explore five lines of enquiry and action that mainly appeal to freedom and knowledge: developing forms of activity that put an emphasis on free

Abstract

Purpose

The paper aims to explore five lines of enquiry and action that mainly appeal to freedom and knowledge: developing forms of activity that put an emphasis on free commitment, such as NGOs, for example; fostering the building of creative knowledge‐based societies; designing a new social contract founded on the right to lifelong learning for all; underpinning globalization by a future‐oriented ethic; combining the necessity to work with the dignity to which citizens are entitled.

Design/methodology/approach

Drawing conclusions from recent trends in global economy as well as writings by economists, sociologists and philosophers from different countries, the paper argues that the social role and our conceptions of work have entered a time of crisis.

Findings

Once widely acknowledged as a central social and economic fact and a driving ethical value, work seems to lose some of its importance as a human activity in a world that is more and more global and technological. But, work being instrumental in defining not only what one does but also what one is, it cannot be discarded so casually. How can work be reinvented as a value and how are organizations such as Unesco to cope with an issue that pertains to human rights?

Originality/value

This conceptual paper focuses on work both as an economical fact and a social value.

Details

Foresight, vol. 7 no. 4
Type: Research Article
ISSN: 1463-6689

Keywords

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Article
Publication date: 1 November 2018

Guida Helal, Wilson Ozuem and Geoff Lancaster

A phenomenon that has revolutionized society is the technological millennial approach to communication. Social media has matured into a prime channel for regular…

Abstract

Purpose

A phenomenon that has revolutionized society is the technological millennial approach to communication. Social media has matured into a prime channel for regular interactions and development of brand–customer relationships that enrich a social identity. The purpose of this paper is to investigate how this affects business communications.

Design/methodology/approach

The study utilized a social constructivist perspective, adopting an inductive and embedded case study strategy.

Findings

Drawing on the social identity theory, this paper examines how evolving social media platforms have impacted on brand perceptions in the fashion apparel and accessories industries. Fashion brands’ online presence provide a platform for customers to supplement social identity based on associations with brands, and ultimately this can shape brand perceptions among customers through promised functional and symbolic benefits.

Research limitations/implications

The paper investigates a specialized marketing activity in the UK. A broader internationally based study would add strength to these findings.

Practical implications

The paper focuses on theoretical and managerial implications and proffers significant roles that social media and identity may play in keeping up with the design and development of marketing communications programs.

Social implications

Multinational corporations have embraced internet technologies and social media in adopting platforms that their brands can use to contribute content to followers.

Originality/value

In total, 30 potential participants, drawn from diverse backgrounds, were contacted via social networking sites, e-mails and telephone. In total, 22 agreed to participate and their mean age was 26. An open-ended questionnaire allowed for elaboration, providing appropriate responses for a second interviewing phase. Four industry professionals were recruited through the researchers’ personal networks to participate in in-depth interviews that sought to investigate the significance of social media as a marketing tool from an industry perspective.

Details

International Journal of Retail & Distribution Management, vol. 46 no. 10
Type: Research Article
ISSN: 0959-0552

Keywords

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