2018-04-20T08:35:55Z

2018-04-20

Default License

Reward programs

Retail market

Market Research on Loyalty Programs in the Greek retail market.

e.konstantinou@ihu.edu.gr

Consumer satisfaction

Customer relations

Consumer behavior

free

School of Economics, Business Administration and Legal Studies, MSc in Management

Customer loyalty isn’t what it used to be. Consumers, nowadays, have many options and they can shift to a competitor once they experience poor customer service from a firm. Customer retention is the key in boosting ROI and profitability and in sustaining healthy businesses. One of the most effective marketing tools in achieving that are customer loyalty programs. The objective of this study is to identify the existing practices regarding loyalty programs in the Greek retail market along with customers’ and management’s opinions towards their current status in order to have a holistic view of them. A comparative analysis across companies from different industries regarding their reward programs showed no significant differences among them. Furthermore, a sample of 311 individuals gave their feedback about loyalty programs and 84,2% of them declared that they participate in at least one loyalty program. Additionally, managers stated that reward programs are very important to the development of firms and they are linked to company’s strategy. The results from the study showed that reward programs are on the rise and are becoming increasingly popular and are especially crucial to retail business success.

Mavragani, Eleni

IHU

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