Over the past two decades, the counterfeiting industry has cost U.S. manufacturers over $200 billion. In this study, we extend current research on consumers' willingness to purchase counterfeit products by demonstrating that consumers' need to build their self-concept via selfbrand connection directly impact consumers' willingness to purchase counterfeits and these effects are moderated by value consciousness and openness to experience. As a result, our findings move beyond simple assessments of the impact of demographics and social norms to provide a deeper understanding of why and when consumers purchase counterfeit goods. The findings provide new insights that luxury brand managers could leverage to proactively combat counterfeiting and begin curtailing their losses due to the sale of fake goods.
Despite substantial investments in loyalty programs, hospitality industry managers and marketers are given little evidence regarding the loyalty programs' overall effectiveness in driving consumer spending. This study of an airline's loyalty program demonstrates the importance of brand power and the influence of customer characteristics on the value the loyalty program has on share of wallet. While loyalty programs in their current form do provide some brand building benefits, their effect on share of wallet is significantly stronger for price-seeking customers who are prone to brand switching. In contrast, the loyalty program has no direct effect on share of wallet for brand-loyal customers. The study also demonstrates the power of high-equity brands, which enjoy differentially higher gains from their loyalty programs than low-equity brands can experience. Thus, this airline's loyalty program does provide some benefit, but perhaps not in the way the company wishes. The industry should consider their customers' permanent characteristics (i.e., their level of loyalty or willingness to switch brands) and revise these programs to ensure that they continue to deliver value to a firm's best customers rather than just attracting brand switching customers.
Service innovation positions an organization to create and deliver anticipatory service that exceeds member expectations and ultimately strengthens relationships. However, service innovation remains one of the most under-researched topics in hospitality. This study begins to fill that gap by exploring the strategies and factors that drive service innovation in the private club industry. Drawing insights from approximately 700 critical incidents reported by private club general managers/chief operating officers, we examined the common strategies and factors that assist clubs in developing and launching new services and products. Moreover, we also categorize pressing issues in the industry that are ripe for future innovation. The findings may have implications not only for the club industry but also for the hospitality industry in general.
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