The primary aim of this paper is to address the question of how the membership of a multi-vendor loyalty program influences the consumers’ online purchase behavior and process. The issue is approached by applying it to the appropriate case of Payback, Germany’s largest and most popular multi-vendor loyalty program.
To do so, I conducted open-ended interviews with informants that were experienced both concerning online purchasing as well as dealing with the loyalty program. The data analysis thereby revealed how the respective loyalty program exerts influence on the online consumers’ behavior within different phases of their purchase process. During the second stage of the analysis two prototypic extended purchase processes were established which depend on the characteristics and typology of the online consumers. These findings enlarge the comprehension about the effectiveness of such programs and extend prior research on consumers’ online decision making. It is further shown that for an operator of a multi-vendor loyalty program it is crucial to create an understanding about the motives as well as the way its members use the program differently. Through this knowledge the operator can provide better and more suitable incentives adapted for different types of program members and can thus improve the customer approach. Thereby, the effectiveness of a multi-vendor loyalty program can be influenced and increased even before the actual purchase process takes place.
The paper is organized as follows: First, I will give a brief overview over the past research on multi-vendor loyalty programs and will show that the existing literature has to be extended to fully understand the effectiveness of such programs. To investigate the way consumers integrate the loyalty program within their online purchase process and thus to illustrate the divergence compared to the standard process of non-members, prior studies on consumers’ online purchase behavior are reviewed. Subsequently, the rationale and the setting of the study are described and empirical results are presented and further explained. The paper concludes with theoretical and practical contributions as well as the study limitations.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- Literature Review
- Methods
- Empirical Setting and Theoretical Sample
- Procedure
- Data Analysis
- Results
- Payback's Influence on Consumers' Purchase Behavior and Decisions
- Prototypic Extended Online Purchase Processes
- Discussion
- Theoretical Contributions
- Practical Contributions
- Study Limitations and Generalizability
- References
- Appendix
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This paper aims to examine the impact of multi-vendor loyalty programs on online consumers' purchase behavior and decision-making processes, specifically focusing on the Payback program, Germany's largest multi-vendor loyalty program. By analyzing data from interviews with experienced online shoppers and Payback users, the study investigates how the program influences consumers' online shopping journey in different phases.
- The influence of multi-vendor loyalty programs on consumers' online purchase behavior and decisions
- The impact of Payback on consumer decision-making processes in the online environment
- The development of prototypical extended online purchase processes based on consumer characteristics and typology
- The effectiveness of multi-vendor loyalty programs in attracting new customers and influencing purchase intention
- The role of incentives and program design in maximizing the effectiveness of multi-vendor loyalty programs
Zusammenfassung der Kapitel (Chapter Summaries)
- Introduction: This chapter provides a brief overview of the growing importance of customer relationship management in online businesses and the increasing use of loyalty programs in this context. It highlights the emergence of multi-vendor loyalty programs and their potential for generating strategic benefits, such as acquiring new customers and leveraging spillover effects. The chapter outlines the research gap and the need for a deeper understanding of how multi-vendor loyalty programs influence consumers' online purchase processes.
- Literature Review: This chapter examines existing research on multi-vendor loyalty programs, highlighting divergent findings regarding their effectiveness. It explores arguments for and against their ability to foster customer loyalty and discusses the importance of understanding the program's influence on consumer behavior and decision-making, beyond its intrinsic properties.
Schlüsselwörter (Keywords)
This paper focuses on the key concepts of multi-vendor loyalty programs, online purchase behavior, consumer decision-making, and the influence of the Payback program on these aspects. The research emphasizes the importance of understanding consumer motives and usage patterns to improve program effectiveness and optimize customer engagement.
- Arbeit zitieren
- M.Sc. Vanessa Ostertag (Autor:in), 2014, The impact of multi-vendor loyalty programs on the consumers' online purchase process, München, GRIN Verlag, https://www.grin.com/document/450749
