The effectiveness of stamp cards as a short-term promotional tool in eliciting customer loyalty by Three Tea Stores in Metro Manila

• Main Authors: Cuna, Patricia Ann C., Gabriel, Claudine Abbie S., Lee, Kilyong, Sanico, Darcy Rose V.
• Format: text
• Language: English
• Published: Animo Repository 2012
• Subjects: Business Administration, Management, and Operations
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/17867
• Institution: De La Salle University

This study aimed to know the effectiveness of the use of short-term promotions such as stamp cards utilized by teas stores around Metro Manila in establishing customer loyalty. Since these tea stores have been implementing the use of stamp cards in their stores, the group then decided to test its effectivity through a survey conducted among the tea stores 86 customers. In analyzing the data gathered from the survey, the group used Weinstein's Customer Value and Retention Model as the basis of its operational framework. As what was stated in the framework, Customer Attraction (represented by the tea attributes which the customers deem as important) leads to Customer Satisfaction (represented by their satisfaction rating on those important tea attributes) and will later on translate to Customer Loyalty (based on the customer's willingness to repurchase the product). Upon analysis of the data gathered, the results showed that 98.8% of these customers are satisfied with the tea that they are buying and, all of them had stated also that they would buy from the same tea store. Having established that these customers are satisfied and are also having their repeat purchases, the first hypothesis is accepted, since there is a strong relationship exhibited between customer satisfaction and customer loyalty. For the second hypothesis, the group wanted to test whether stamp cards elicit customer loyalty by accelerating repeat purchases. The data gathered by the group from the customers survey responses and the interview and records given by the tea store operation managers showed that the acceleration was only observed until the first reward was claimed in both Summer Snow and Teagen. For Sharetea, on the other hand, acceleration was not observed.