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Behavior-based price discrimination with retention offers

Rosa-Branca Esteves
2014 Information Economics and Policy  
Thus, ...rst period equilibrium price under BBPD with retention strategies is below its non-discrimination counterpart.  ...  This contrasts with ...rst period price above the non-discrimination level if BBPD is used and retention activity is forbidden.  ...  This form of price discrimination, termed behavior-based price discrimination (henceforth BBPD), sometimes also called price discrimination based on purchase history or dynamic pricing, is widely observed  ... 
doi:10.1016/j.infoecopol.2014.04.003 fatcat:ppnd236bqbhslnrk4gshjqhb4i

Price discrimination in service industries

Anja Lambrecht, Katja Seim, Naufel Vilcassim, Amar Cheema, Yuxin Chen, Gregory S. Crawford, Kartik Hosanagar, Raghuram Iyengar, Oded Koenigsberg, Robin Lee, Eugenio J. Miravete, Ozge Sahin
2012 Marketing letters  
Furthermore, consumers' uncertainty and learning introduces dynamics into their behavior over time and feedback effects can arise between price structures and both usage behavior and costs.  ...  As a consequence, price discrimination is common, typically involving nonlinear pricing or bundling.  ...  The authors develop a utility-based model of consumer usage and retention of a subscription service that allows the model parameters to vary with the type of pricing structure faced by the customer (pay-per-use  ... 
doi:10.1007/s11002-012-9187-0 fatcat:dav4v5qpsngbrpo7nixhh7ox74

When to "Fire" Customers: Customer Cost-Based Pricing

Jiwoong Shin, K. Sudhir, Dae-Hee Yoon
2012 Management science  
In this paper, we investigate how pricing strategies based on customer cost information affects a firm's customer acquisition and retention dynamics, and ultimately its profit, using a two-period monopoly  ...  Although past purchase and cost information helps firms to increase profits through differential prices for good and bad customers in the second period ("price discrimination effect"), it can hurt firms  ...  Hence, profits under customer cost-based price discrimination and the traditional purchase behavior-based price discrimination become different.  ... 
doi:10.1287/mnsc.1110.1453 fatcat:dhhbzfsymngwplwpava5iqeqsm

The Effect of Perceived Value on Customer Retention with Trust as Mediation Variable in Company X

Meliyana Prasetyo Tejo
2021 Jurnal Nusantara Aplikasi Manajemen Bisnis  
Managerial implications based on the results are creating more services and educate customer about service offer compared with competitors, improving service with implementing computerize system to decrease  ...  Analysis method for this research used Partial Least Square Structural Equation Modeling (SEM PLS) with smart PLS 3.0 program.  ...  Company X believed that with the value deliver to the customer, it led to customer retention. Several company values offered are attracting product, best price, and best service.  ... 
doi:10.29407/nusamba.v6i2.16205 fatcat:dsfl4v7l6fhzhm2c4mynxhcdou

Customer Equity: Measurement, Management and Research Opportunities

Julian Villanueva, Dominique M. Hanssens
2006 Foundations and Trends® in Marketing  
; and (ii) Should firms discriminate loyals with higher prices than those for switchers?  ...  In most industries firms discriminate against loyals offering coupons or even temporary price reductions, because consumers with low levels of loyalty are more likely to buy at a discount price.  ... 
doi:10.1561/1700000002 fatcat:7zh27js6z5e4lesu44o6qphd64

Exploring the Difference between Stayers and Switchers as Corporate Customers for Life Insurance Companies in Sindh

Falah-ud-Din Butt, Niaz Ahmed Bhutto, Minhoon Khan Laghari
2012 Asian Social Science  
This lays importance on understanding the factors that influence and drive customers' retention.  ...  with the service provided by their existing/current life insurance company.  ...  They are smarter, more price conscious, more demanding, less forgiving, and they are approached by many more competitors with equal or better offers.  ... 
doi:10.5539/ass.v8n6p233 fatcat:yocaqrxk7bgwlnbfteovslk6nu

The Effects of Customer Satisfaction, Relationship Commitment Dimensions, and Triggers on Customer Retention

Anders Gustafsson, Michael D. Johnson, Inger Roos
2005 Journal of Marketing  
The results have implications for both customer relationship managers and researchers who use satisfaction surveys to predict behavior.  ...  The results support consistent effects of customer satisfaction, calculative commitment, and prior churn on retention. Prior churn also moderates the satisfaction-retention relationship.  ...  If customer satisfaction is the primary driver of retention, a firm should improve product or service quality or offer better prices.  ... 
doi:10.1509/jmkg.2005.69.4.210 fatcat:2sgrqpqm7vatbouqys7ynz7wxi

Exploring the Mediated and Moderated Effects of Operator Service Quality on Customer Retention: Evidence from Taiwan's Mobile Market

Chun-Mei Chen
2017 Journal of Management Research  
Exploring the Mediated and Moderated Effects of Operator Service Quality on Customer Retention: Evidence from Taiwan's Mobile Market  ...  TWM firstly adopted a zero-dollar handset promotional offer to bundle with mobile phone numbers based on a flexible low-cost strategy.  ...  , service quality and competitive price programs offered by the mobile operators.  ... 
doi:10.5296/jmr.v9i4.11589 fatcat:7jtuuxtvpfgypagit2ltbeebe4

Exploring the Role of Healthy Green Spaces, Psychological Resilience, Attitude, Brand Attachment, and Price Reasonableness in Increasing Hotel Guest Retention

2019 International Journal of Environmental Research and Public Health  
feel that hotel price is reasonable.  ...  Our findings from the structural analysis indicated that green spaces as nature-based solution significantly influence psychological resilience.  ...  price from their preceding pricing encounter, price of similar offerings by competitors, or market prices).  ... 
doi:10.3390/ijerph17010133 pmid:31878113 pmcid:PMC6981477 fatcat:3rk5f7iutjcs5ck2qxsuybvbdu

Review of Fraud Detection and Churn Behavior Modeling Techniques

Ernest O Nonum
2018 Engineering Technology Open Access Journal  
In this paper, the authors present the review of past work that has been carried out by various researchers based on fraud detection and churn behavior modeling.  ...  Furthermore, customer churn is the focal concern of most companies which are active in industries with low switching cost.  ...  This model offers managers a new way to define customer retention strategies and helps them to understand why customers churn, rather than focusing only on who are going to churn.  ... 
doi:10.19080/etoaj.2018.02.555577 fatcat:s4kuxzgyg5gjxkmet6eqmoxu5y


Magdalena Hofman-Kohlmeyer
2016 CBU International Conference Proceedings  
The literature review offers some directives for managers which are useful in the preparation of rewarding programs and are also a source of valuable customer information that helps in building future  ...  Loyalty programs are a marketing strategy focused on offering benefits to achieve loyal customer retention.  ...  Collected data may be exploited for many reasons, like price discrimination, direct marketing, customer profiling and to promote products.  ... 
doi:10.12955/cbup.v4.762 fatcat:tkcex2dwtba7dfdkf5jgjjxssq

An Exploration of Initial Purchase Price Dispersion and Service-Subscription Duration

Seung Hwan (Shawn) Lee
2019 Sustainability  
However, there is scant literature on the influence of price dispersion on consumer behavior.  ...  Consumers paying a relatively high price compared with others with similar subscription beginning dates have shorter subscription durations, which raise a concern regarding use of individual customer's  ...  Here, the study suggests that when offering different prices for the same product, whether it is temporal price discrimination or price discrimination based on search cost, it is important to consider  ... 
doi:10.3390/su11092481 fatcat:42rvpczayjfm7do564i6cbm5dm

The Role of Price Perceptions in an Integrated Model of Behavioral Intentions

Sajeev Varki, Mark Colgate
2001 Journal of Service Research  
First, we develop a set of propositions about the role of price, based on theory from the combined literatures of services, product pricing, and behavioral de-cision theory.  ...  For example, a hotel could offer its peak-time guests a half-off offer valid for an off-season.  ... 
doi:10.1177/109467050133004 fatcat:76vlaftovfbsbgwu2x2arsuqme

When big data meets dataveillance: the hidden side of analytics

Sara Degli Esposti
2014 Surveillance & Society  
Data can be sold, matched with other data, mined, and used to make inferences about anything, from people's behavior to weather conditions.  ...  Dataveillance — which refers to the systematic monitoring of people or groups, by means of personal data systems in order to regulate or govern their behavior — sets the stage and reinforces the development  ...  Finally, 'in third-degree price discrimination, merchants assign differential prices to different consumer segments based on some observable group characteristics' (Acquisti 2008: 21) .  ... 
doi:10.24908/ss.v12i2.5113 fatcat:27wq6cwcobayljjxnwpnu65ggy

Drivers of buyer retention in e-commerce: The role of transaction characteristics and trust

Karina Anatasia Asmara Silitonga, Ridho Bramulya Ikhsan, A. Fakhrorazi
2020 Management Science Letters  
Questionnaire data collection came from buyers in the top six e-commerce in Indonesia with a purposive technique. We use PLS-based SEM analysis to answer hypotheses.  ...  E-sellers need to build buyer confidence in new transactions through a variety of transaction services so they can create retention behavior drivers.  ...  I prefer e-commerce sites that offer lower prices. j. Stay with e-commerce sites even though service costs are increasing. k. Reducing transactions with e-commerce sites b .  ... 
doi:10.5267/j.msl.2020.6.046 fatcat:hof5dulx2bfhbdtzujiikju4mi
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