Tammo Bijmolt wins Best Paper Award for paper on the effects of loyalty programs

Prof. dr. Tammo Bijmolt of the department of Marketing of our Faculty, together with Valentyna Melnyk of Massey University (New Zealand), has won the best paper award of the European Journal of Marketing of 2015, with the article “The effects of introducing and terminating loyalty programs” .

Companies spend a lot of money on Loyalty Programs, while the effects of introducing and terminating loyalty programs on consumer loyalty are largely unclear. Valentyna Melnyk and Tammo Bijmolt analyzed a dataset of 9.783 consumers and 24 different programs in The Netherlands. They found that loyalty program introduction has a substantial impact on customer behavior. However, they also showed that terminating a loyalty program can lower customer purchases considerably. In addition, they showed that non-monetary rewards (e.g. offering services or special events) for loyal customers work better than monetary rewards (e.g. discounts).  

European Journal of Marketing

The paper “The effects of introducing and terminating loyalty programs” was selected because of its high quality, and is made freely available for one year.