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Product Reward Discounting on Variance of Time
Blekinge Institute of Technology, School of Management.
2011 (English)Independent thesis Advanced level (degree of Master (One Year))Student thesis
Abstract [en]

Naturally individuals prefer to receive the rewards after purchasing a certain amount of products or services. Customer rewards program is an effective tool for the company to increase the customer loyalty. Luxury and necessity products can be offered as rewards under the product reward program. The main purpose of this study is to find out how individuals discount luxury rewards over necessity rewards in differences of time length. In this research empirical data has been collected from the students living in student apartments through the survey questionnaire. The respondents were given five time variances such as today, 1 month, 3 months, 6 months and 1 year to present their preferences between luxury and necessity products of equal value. After collecting and analyzing the survey data it was found that majority of the respondents prefers the necessity rewards in shorter period of time whereas in the longer delay they prefer the luxury rewards. Hence individuals discount luxury rewards over the necessity rewards of equal value in the variance of time.

Place, publisher, year, edition, pages
2011. , 53 p.
Keyword [en]
Customer Loyalty, Customer Reward Program, Immediate Reward, Delayed Reward, Discounting, Luxury Reward, Necessity Reward.
National Category
Business Administration
Identifiers
URN: urn:nbn:se:bth-3403Local ID: oai:bth.se:arkivexCC35893AC2420347C12578360007F5CFOAI: oai:DiVA.org:bth-3403DiVA: diva2:830709
Uppsok
Social and Behavioural Science, Law
Supervisors
Available from: 2015-04-22 Created: 2011-02-13 Last updated: 2015-06-30Bibliographically approved

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CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf