• Journal of the Korean Operations Research and Management Science Society
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• v.38 no.1
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• pp.103-121
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• 2013

Since American Airlines's mileage program emerged in market, loyalty programs have gained popularity. Many companies have generated many kinds of reward cards in order to induce precious consumers. As a result, reward cards are very important in consumer goods market and become diversified. In spite of its importance, little is known about how these cards influence consumer's perception. The prior research has not focused on reward card types and psychological variables. Accordingly this research intends to investigate psychological variables such as transaction coupling and sunk cost perception. According to the theory of regulatory focus, promotion focus consumers would point to gain-nongain frame work, but prevention focus consumers would point to loss-nonloss frame work. The paper proved the effect of reward card types and regulatory focus on transaction coupling and sunk cost perception. Based on the results from 2(type of card : visible vs invisible) ${\times}$ 2(regulatory focus: promotion vs prevention) between-subjects factorial design experiments, we found that consumer's transaction coupling and sunk cost perception of visible reward card are better recognized than invisible reward card. In addition, the results show that there is a significant interaction effect between the type of reward card and regulatory focus. Specifically promotion focused consumers tend to reveal better perception than prevention focused consumers in use of invisible cards. However, prevention focused consumers tend to show better perception than promotion focused consumers in use of visible cards. These findings will contribute to significant academic development and practically useful help to marketing managers.

• Journal of the Korean Operations Research and Management Science Society
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• v.34 no.1
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• pp.1-10
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• 2009

Consumers earn a number of points for every purchase and then they can exchange a specified number of points for a desired reward in a typical loyalty program. The immediate payoff of their effort given as points is not the real reward they actually care about. It is merely an instrument (or medium) which has no value in itself. In a real world, consumers frequently choose the option with a bigger medium even though the economic value of the option is not changed by the medium. We call it 'medium effect.' In this study we explored if the size of medium affects consumers' preferences. For this we controlled the reward options with three types of medium (small, medium, big) and measured the magnitude of preference difference among the three types of reward options. In addition, we manipulated comparability of reward options with wine and gas discount coupon. We confirmed that choosing one of two wines was easier than that of the two gas coupons. 123 respondents were allocated into three experimental groups. In three experimental grounds, the ratios of the focused reward option's medium to the compared reward option's medium were different. For example, the focused reward option has 10 million points whereas the compared reward option has 10 million points for 1 million won purchase amount in the first group. Then each respondent was asked to choose one of two loyalty programs (focused program vs. compared program) in two different conditions (comparability between reward options. easiness vs. difficulty). To compare the medium effects among the experiment conditions we used chi-squares tests. The empirical results show consumer preference increases and then decreases as reward mile-ages/points given according to purchase amount increase. Additionally, they let us know that comparability of alter natives affects change of consumer preference by reward mileages/points.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 2008.10a
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• pp.179-190
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• 2008

Consumers earn a number of points for every purchase and then they can exchange a specified number of points for a desired reward in a typical loyalty program. The immediate payoff of their effort given as points is not the real reward they actually care about. It is merely an instrument (or medium) which has no value in itself. In a real world, consumers frequently choose the option with a bigger medium even though the economic value of the option is not changed by the medium. We call it 'medium effect'. In this study we explored if the size of medium affects on consumers' preferences. For this we controlled the reward options with three types of medium (small, medium, big) and measured the magnitude of preference difference among the three types of reward options. In addition, we manipulated comparability of reward options with wine and gas discount coupon. We confirmed that choosing one of two wines was easier than that of the two gas coupons. 164 respondents were allocated into three experimental groups and one control group. In three experimental groups, the ratios of the focused reward option's medium to the compared reward option's medium were different. For example, the focused reward option has 10 million points whereas the compared reward option has 10 million points for 1 million won purchase amount in the first group. Then each respondent was asked to choose one of two loyalty programs (focused program vs. compared program) in two different conditions (comparability between reward options: easiness vs. difficulty). To compare the medium effects among the experiment conditions we used chi-squares tests. The empirical results show the medium effect increases and then decreases as the ratio of reward mileages/points to purchase amount increases. Additionally, they let us know that comparability of alternatives affects on the medium effects depending on the ratio of reward mileages/points to purchase amount.

• Asia Marketing Journal
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• v.19 no.3
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• pp.45-74
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• 2017

The current research proposes to fill a research gap by testing how reward uncertainty, different types of motivation, as well as individual risk-taking attitude affect consumers' promotion participation. Being offered with an uncertain reward, relative to individuals with extrinsic motivation, individuals with intrinsic motivation will have greater intention to participate in marketing promotion. In contrast, being offered with a certain reward, relative to individuals with intrinsic motivation, individuals with extrinsic motivation will have greater intention to participate in marketing promotion. This effect arises only among consumers having a low level of risk-taking attitude. For consumers having a high level of risk-taking attitude, their participation intention shows no significant difference between the two motivation type groups, under both certain and uncertain reward conditions. With an understanding of how consumer's response heterogeneously to promotions involving rewards, marketers can better understand not only how to use this promotional tactic more effectively, but also how to better allocate their budget for promotions.

• Journal of the Korean Chemical Society
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• v.47 no.6
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• pp.625-632
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• 2003

In this study, the effects of two types of reward methods in cooperative learning were investigated upon students' achievement, learning motivation, perceptions of learning environment and perceptions of reward methods. Seventh graders (N=61) were selected from a co-ed middle school in Seoul, and were taught about 'three states of matter', 'motion of molecules' and 'change of state and thermal energy' for 14 class hours. Reward methods were classified into task-oriented reward and performance-oriented reward. The results revealed that high-level students performed better in the task-oriented reward group, and low-level students performed better in the performance-reward group for the 'application' subcategory of the achievement test. The scores of attention and relevance in learning motivation and task orientation, involvement, and order and organization in perceptions of learning environment test were significantly higher in the task-oriented reward group than those in the performance-oriented reward group.

• Fashion & Textile Research Journal
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• v.13 no.2
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• pp.242-252
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• 2011

The purpose of the study was to investigate customer loyalty programs of diverse types of retailers. As offline retailers, department store and discount store retailers were examined, and as nonstore retailers, online store and TV home shopping retailers were investigated. Types of customer loyalty programs were analyzed based on Dowling and Uncles'(1997) loyalty program framework which included two schemes, types of reward(direct versus indirect rewards) and timing of reward(immediate versus delayed rewards). The study found that different types of retailers utilized different types of loyalty programs: Department store used all the type of rewards, discount store focused on direct/immediate rewards, online store retailers used direct/delayed rewards and/or direct/immediate rewards, and TV home shopping retailers focused on direct/delayed rewards. The study provided diverse managerial and academic implications.

• Journal of Institute of Control, Robotics and Systems
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• v.9 no.7
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• pp.527-535
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• 2003

A behavior-based control and learning architecture is proposed, where reinforcement learning is applied to learn proper associations between stimulus and response by using two types of memory called as short Term Memory and Long Term Memory. In particular, to solve delayed-reward problem, a knowledge-propagation (KP) method is proposed, where well-designed or well-trained S-R(stimulus-response) associations for low-level sensors are utilized to learn new S-R associations for high-level sensors, in case that those S-R associations require the same objective such as obstacle avoidance. To show the validity of our proposed KP method, comparative experiments are performed for the cases that (ⅰ) only a delayed reward is used, (ⅱ) some of S-R pairs are preprogrammed, (ⅲ) immediate reward is possible, and (ⅳ) the proposed KP method is applied.

• Journal of Distribution Science
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• v.18 no.3
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• pp.43-51
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• 2020

Purpose: This study demonstrated and analyzed the role of distributive justice and procedural justice in explaining the organizational effectiveness of flight attendant. In addition, analyzing the role of the airline type in the coordination between reward justice and organizational effectiveness. Research design, data and methodology: An abstract is the impact relationship between the reward justice and organizational effectiveness of flight attendant and the adjustment effect of the airline type was reviewed. To examine these research models, samples were collected from 281flight attendants during Nov, 2019. Results: Reward justice has a positive effect on organizational effectiveness, and the types of airlines have a meaningful adjustment effect in terms of the effect of reward justice on organizational effectiveness. Conclusions: Procedural justice and distributive justice have positive influence on two sub factors of organizational effectiveness of the flight attendant. It suggests that the standards, procedures and processes of compensation must be fair, the degree of effort, the stress or the tension of the flight attendant should be considering, and it is necessary for the airline to respect the personality of the flight attendant and provide them with accurate compensation information in a timely manner. This will increase the awareness of reward.

• Journal of radiological science and technology
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• v.30 no.3
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• pp.271-280
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• 2007

The objectives of this study were to identify the types of work values of radiological technology students and to verify the characteristics of them. The population of this study was the radiological technology students from 7 colleges randomly chosen in the whole country. data collected from 791 subjects were used. Types of work values were identified through the factor analysis and t-test between variables was used to determine the characteristics of the students. The research instrument used in this study was the Maryland Work Value Inventory(MWVI) designed by Meitus, R. The findings of this study were as follows ; 1. The types of work values of radiological technology students can be classified into 6 categories ; social contribution, achievement, capability, work interest, social status, economic reward. 2. Social contribution, achievement, capablity and work interest were classified as 'internal work values', while social status and economic reward as 'external work values'. 3. Work values of the radiological technology students were economic reward, social status, achievement, capablity, work interest, social contribution in order. 4. External work values of the radiological technology students got higher grade than internal work values.

• Proceedings of the Korean Operations and Management Science Society Conference
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• 1996.04a
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• pp.438-441
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• 1996

The objective of this study is to select reward measure of improved business results. Grain sharing is defined as a compensation system that is designed to provide for variable compensation and to support an employee involvement process by rewarding the members of a group or organization for improvements in organizational performance. Gains, as measured by a predetermined formula, are shared with all eligible employees, typically through the payment of cash bonuses. Generally sales, profit, value-added, cost reduction portion and otherthings have been used as gains, otherwise improved business results, without any proof which is correlated to productivity improvement. This paper suggests which business result is fit reward measure for each business types and sizes.