The impact of loyalty programmes in a B-to-B context: Results of an experimental design

Abstract

Studies on the effects of customer loyalty programmes have produced ambiguous and mixed results, while researchers have not widely explored the impact of loyalty programmes in a B-to-B context. This study aims to contribute to our knowledge about the impact of loyalty programmes on the loyalty of customers in business markets. While most studies are based on cross-section data, panel data and Dirichlet models, we have used a powerful, classic before-and-after experimental design in a real-life setting. The data allowed for testing hypotheses on the loyalty effect and the selection effect of a loyalty programme that was introduced by a supplier of office products. The results indicate that a customer loyalty programme, even in a B-to-B setting, has a significant and positive effect on both behavioural and attitudinal loyalty. The findings suggest that participants in the programme change their purchase behaviour and that they feel more committed since joining. In addition, a selection effect was found, indicating that loyalty programmes attract customers who were more loyal, even before joining the programme.Journal of Targeting, Measurement and Analysis for Marketing (2008) 16, 274–284; doi:10.1057/jt.2008.21; published online 20 October 2008 [ABSTRACT FROM AUTHOR]