The study examined the main effect of the reward channel and reward time of customer loyalty programs for on-offline shopping channels; in addition, it investigated the interaction effect of the reward channels and merchandise as well as the interacti...
The study examined the main effect of the reward channel and reward time of customer loyalty programs for on-offline shopping channels; in addition, it investigated the interaction effect of the reward channels and merchandise as well as the interaction effect of the reward time and merchandise. An online apparel shopping web experiment was conducted with a 2 (reward channel: online channel reward vs. offline chang-nel reward) ×2 (reward time: immediate vs. delayed) ×2 (merchandise: online channel product vs. offline channel products) between-subject factorial design. An online shopping channel was considered the core-shopping channel and a department store was considered the cross-shopping channel. Loyalty program value, core-channel loyalty and cross-channel loyalty were measured as dependent variables. A total of 845 shoppers (who had experiences in shopping in both channels) participated in the experiment. The results of the study revealed (1) the main effect of the reward channel on loyalty program value, core-channel loyalty and cross-channel loyalty [online>offline channel rewards], (2) the main effect of reward time on loyalty program value, core-channel loyalty and cross-channel loyalty [immediate>delayed reward], and (3) the interaction effect of the reward channel and merchandise on loyalty program value, core-channel loyalty, and cross-channel loyalty. (4) Finally the study found that loyalty program value affected cross-channel loyalty indirectly through core-channel loyalty. This study suggested diverse theoretical and managerial implications for multi-channel retailers.