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The purpose of this study is to present and explain a new customer segmentation approach inspired by failure mode and effect analysis (FMEA) which can help classify customers into more accurate segments.

The present study offers a look at the three most commonly used approaches to assessing customer loyalty:net promoter score, loyalty ladder and loyalty matrix. A survey on the quality of restaurant services compares the results of categorizing customers according to these three most frequently used approaches.

A new way of categorizing customers through loyalty priority number (LPN) is proposed. LPN was designed as a major segmentation criterion consisting of customer loyalty rate, frequency of purchase of products or services and value of purchases. Using the proposed approach allows to categorize customers into four more comprehensive groups: random, bronze, silver and gold – according to their loyalty and value to the organization.

Survey will bring a more accurate way of categorizing customers even in those sectors where transaction data are not available. More accurate customer categorization will enable organizations to use targeting tools more effectively and improve product positioning.

The most commonly used categorization approaches such as net promoter score, loyalty ladder or loyalty matrix offer relatively general information about customer groups. The present study combines the benefits of these approaches with the principles of FMEA. The case study not only made it possible to offer a view of the real application of the proposed approach but also made it possible to make a uniform comparison of the accuracy of customer categorization.

This research investigated inertia in a financial‐services context, with particular focus on the reasons for consumers’ dissatisfaction and inert behaviour, and studied customers’ complaining behaviours and past and future inertia. The study utilised a two‐part methodology, including both qualitative and quantitative research. A total of 20 in‐depth interviews provided the preliminary data required for developing a questionnaire that was subsequently completed by 410 respondents. Determinants of dissatisfaction included the number and size of account fees, whilst determinants of inertia were the perception of similarity between financial institutions and the complexity, costs and time inherent in switching. Factors differentiating future inertia and future active customers included the type of account, length of time the account had been held, membership of a number of financial institutions, income and level of consideration given to changing financial institution.

E‐Business channels are presenting novel opportunities for small vineyards to target new online market segments, to communicate directly with the customer and side‐step the main wine distributors who have traditionally blocked access to substantially wider markets. In the UK, where the majority of wine producers is heavily reliant on direct sales, understanding the role that eBusiness channels can play in the buyer behaviour process could be critical for building effective customer relationships and sales. This paper investigates how competitive advantage can be achieved through B2C channels.

The purpose of this paper is to analyze the influence of job satisfaction on hostage employee loyalty in Isfahan Province Gas Company (IPGC).

The statistical population of this study included the formal recruited employees of IPGC out of which, 212 employees have been selected using a stratified random sampling method. A questionnaire has been developed and used for data collection regarding job satisfaction and employee loyalty. In this study along with the other studies of the authors, employees of IPGC were classified into four different categories on the basis of loyalty matrix, and the majority (78 percent) of them were located in the hostage category. Structural equation modeling has been used for data analysis.

The findings imply that job satisfaction does not have a significant influence on the loyalty of hostage employees.

Organizations are encouraged to identify the individual and organizational factors and obstacles, take necessary measures to increase job satisfaction and maintain the level of employee loyalty and gradually shift them from the hostage category to the apostle category, which results in an increased number of loyal and satisfied employees.

This study indicates how the application of the concepts of loyalty matrix, particularly its hostage category, can be expanded in the field of organizational behavior management.

This study presents the applicability of a model-based approach for loyalty program forecasting using smartphone app in the digital strategy of the retail industry.

The authors develop a dynamic model with the cyclical structure of customer segments through customer experience. They use time-series data on the number of members of the loyalty program, “Seven Mile Program” and confirm the validity of the approximate calculation of customer segment share, customer segment sales share and aggregate sales performance. The authors present three medium-term forecast scenarios after the launch of a smartphone payment service linked with the loyalty program.

The sum of the two customer segment shares for forecasting (the sum of the quasi-excellent and excellent customer ratios) is about 30% in each scenario, consistent with an essential customer loyalty (true loyalty) share obtained in the existing empirical study.

Digital strategy in the retail industry should focus more on estimating and forecasting average amounts of customer segments and the number of aggregated customers through the digitalization on the customer side than on individual customer journeys and responses.

Multi-scenario evaluation through simulation of dynamic models from a systemic view can be used for decision-making in retailing digital strategies.

This study builds a model that integrates the cyclicality of customer segment transition through customer experiences into a loyalty matrix framework, which is a method that has previously been used in the hospitality industry.

Few published empirical studies have examined the design, implementation, and monitoring of customer relationship management (CRM) programmes at a practical level. The article develops a single embedded case study on Dagbladet Børsen (http://www.borsen.dk), the largest publisher of business‐related materials in Scandinavia. The article first introduces the reader to the philosophy behind CRM. Following that, it considers key areas of a four‐year long CRM programme and offer insights into the procedure that has been developed by SJP (http://www.sjp.dk), the consulting firm that was brought in to assist. The procedure is organized around eight areas: commitment of senior management, situation report, analysis, strategy formulation, implementation, management development, employee involvement, and evaluation of loyalty‐building processes. Over the four‐year long CRM programme, Dagbladet Børsen increased its newspaper circulation by 40 per cent and advertising revenue by 50 per cent, while total revenue more than doubled.

The purpose of this paper is to analyse money laundering and financing terrorism risks of present customer loyalty programs. We try to identify the current state of money laundering and financing of terrorism (ML/FT) risks and detect the vulnerabilities that may be present in loyalty schemes that tend to obtain wider payment functionality.

The paper draws upon the risk matrix developed by the Financial Action Task Force experts for the new payment methods. Each risk factor is analysed against the features of the customer loyalty programs, and the aggregated risks are also reviewed within three stages of money laundering.

The analysis shows that despite the obvious evolution of payment functionality of the customer loyalty awards, businesses have already put in place relevant risk-mitigation measures that support the hypothesis that business practices can effectively mitigate ML/FT risks even without precise regulation. Yet, the paper shows some potential vulnerabilities that are to be monitored in order to prevent the system from abuse by the criminals.

The paper shows that loyalty awards share certain characteristics of the centralized private currencies. Hence, researchers are encouraged to look more closely into the potential ML/FT risks posed by the private currencies as well.

The paper provides an insight into money laundering and terrorist financing risks that can be relevant for the non-financial products which demonstrate some payment functionality.

The paper is one of the first research of the loyalty awards as a quasi-payment tool in the context of the anti-money laundering and combating financing of terrorism (AML/CFT) regime.

The current study aims to systematically review the existing literature, identify the main determinants that impact individuals’ perceptions, attitude, intention and behavior and meta-analytically evaluate their respective strength. Moreover, this study examines the specific mechanism through which more distal factors, such as trust, risk, experience and enjoyment influence individuals’ decision in the context of online auction markets. Finally, the moderating effects of contextual and methodological factors that could potentially influence the relationships are explored. During the past two decades, a large number of empirical studies examined the factors that hinder or foster individuals’ initial and continued acceptance of online auction marketplaces.

Based on the effect sizes reported, 91 studies, including 95 independent samples (N = 36.788), the current study utilizes bivariate meta-analysis, meta-analytic structural equation modeling and weighted least squares regression moderator analysis to examine the nature of the identified relationships, the mechanisms through which they operate and the boundary conditions under which they do or do not hold.

The results show that trust and experience explain individuals’ initial usage intention, while risk and experience explain actual usage behavior, indicating that these variables are viable extensions to the technology acceptance model in the context of online auction marketplaces. The results also demonstrate that, once individuals participate in online auction markets, trust and enjoyment are important predictors of satisfaction, which, in turn, is the strongest determinant of loyalty intention. Furthermore, the results demonstrate that cultural context acts as moderator and, to some degree, explains the mixed empirical findings in prior research.

This study contributes to the existing literature by identifying the main determinants and their average direct and indirect effect on the individuals’ decisions in online auction marketplaces. The findings provide critical insights into the complex network of relationships which impact individuals’ perceptions, attitude, intention and behavior to initially and continuously use online auction marketplaces. Furthermore, the result contributes to the existing research by examining the effect of contextual and methodological boundary conditions – moderating factors that are difficult to test in primary studies.

This paper examines the relationship between brand associations (anything in the consumer's mind linked to a specific team brand) and brand loyalty in US professional sport. To study the relationship between 13 brand association dimensions and brand loyalty, a survey of professional sport consumers was completed (N = 929). Results of multiple regression analysis revealed positive relationships between fan identification, escape, nostalgia, and product delivery, and brand loyalty. Negative relationships were found between tradition, star players, and peer group acceptance, and brand loyalty.

In 1999, Shoemaker and Lewis declared customer loyalty as “the future of hospitality marketing”. This paper aims to evaluate the state of research and practice in hotel loyalty and reward programs in the subsequent 15 years to determine if the tenets set forth have occurred. The loyalty circle provides a conceptual framework within which to evaluate progress and trends in hotel loyalty marketing.

Three approaches were used: a comprehensive review of hotel loyalty and reward program literature from 2000 to 2015, a classification and analysis of program benefits for major hotel companies and in-depth interviews with industry professionals.

The literature shows a progression from process-focused research to a greater emphasis on brand relationships. Communication is neglected compared to the other loyalty circle components. Reward programs still depend largely on financial benefits but have added greater flexibility and customization of rewards.

The literature search was limited to hotels and did not consider other hospitality segments. The sample of interviews was small and may not represent the opinions of all loyalty professionals.

The findings have practical implications for developing more effective loyalty programs and theoretical implications for expanding research horizons.

Shoemaker and Lewis (1999) was a landmark article that led to a period of prolific research on hospitality loyalty. During that time, loyalty programs were progressing and permeating the industry. This study applies the loyalty circle to provide a framework within which to evaluate both research and practice in hotel loyalty marketing.