Academy of Marketing Studies Journal (Print ISSN: 1095-6298; Online ISSN: 1528-2678)


Attributes Affecting Member Engagement in Loyalty Programs: An Empirical Study

Author(s): Rajamani K, Ajith Kumar S, Prateeba Devi J and Ayyanar P

Companies often implement LPs in an effort to foster client loyalty and increase revenue. While effective at attracting fresh participants to the LP, they generally fall short when it comes to retaining those members. To that end, this article will define "LP engagement," discuss possible metrics for it, and explain how it connects to the engagement of organizations. Recent research has demonstrated that traditional measures of LP engagement, such as customer card usage or point redemption, significantly understate the true level of LP engagement. The author identifies four observable actions as indicators of LP participation: app use, point accumulation, point redemption, and benefit receipt. Members of the loyalty program are the only ones to be counted if we want a true headcount. All 318 carpenters in our survey regularly use adhesives and are participants in customer loyalty programs. A structural equation model (SEM) was used to determine a connection between the variables under consideration. Factors such as app usage, redemptions, and benefits were found to affect LP Engagement. User frequency is the sole variable that can change LP satisfaction. Moreover, LP Satisfaction has an impact on LP Engagement.

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