Authors: D. Muhammad Alshurideh
Addresses: Marketing Department, School of Business, The University of Jordan, Jordan; The College of Business Administration, University of Fujairah, UAE
Abstract: Retaining loyal customers and changing inactive ones to be active are major challenges that service organisations currently face. One serious question to which mobile phone service providers need to find a suitable answer is how to drive loyal customers' behaviours to become involved in different electronic loyalty schemes to promote repeat buying and extend customer-supplier relationships. To answer such questions, four electronic loyalty programs have been tested, namely electronic points, prepaid card discounts, free additional credit and free additional minutes and/or messages within the mobile phone service purchase setting. A quantitative approach employing a self-administered questionnaire has been used to collect the study data. Data was collected from 478 customers who participated in one of the mobile phone loyalty programs mentioned earlier. Structural equation modelling (SEM) statistical modelling was employed to test both the study model and the developed hypotheses. Generally, the study found that e-loyalty programs drive loyal customers' choices and repeat buying. Substantial information about testing the sub-hypotheses is explained in more detail in this article.
Keywords: loyalty programs; e-loyalty programs; customer retention; mobile phone; electronic points; mobile prepaid card; phone credits; mobile minutes; mobile messages.
International Journal of Electronic Customer Relationship Management, 2019 Vol.12 No.1, pp.40 - 57
Received: 27 Jun 2018
Accepted: 16 Dec 2018
Published online: 21 Mar 2019 *