Journal of Marketing Behavior > Vol 3 > Issue 4

Referral Programs and Customer Value: Insights from the Telecommunications Services Industry

Heike M. Wolters, University of Hamburg, Germany, heike.wolters@uni-hamburg.de , Karen Gedenk, University of Hamburg, Germany, karen.gedenk@uni-hamburg.de
 
Suggested Citation
Heike M. Wolters and Karen Gedenk (2019), "Referral Programs and Customer Value: Insights from the Telecommunications Services Industry", Journal of Marketing Behavior: Vol. 3: No. 4, pp 335-353. http://dx.doi.org/10.1561/107.00000054

Publication Date: 29 Jan 2019
© 2018 H. M. Wolters and K. Gedenk
 
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In this article:
Procedure 
Results 
Summary & Limitations 
Appendix A: Measures 
Appendix B: Descriptive Statistics 
Appendix C: Robustness Check — Outliers 
Appendix D: Robustness Check — Control for Acquisition Promotions 
Appendix E: Robustness Check — Different Discount Rates 
Appendix F: Robustness Check — Different Churn Measures 
Appendix G: Robustness Check — Pareto/NBD Model for CLV 
References 

Abstract

Schmitt et al. (2011) (SSV) compare contribution margin, churn, and customer value of bank customers acquired through a referral reward program to those of non-referred customers. This article replicates their study with a product that is less complex and risky. Consistent with SSV, referred customers churn less, but in contrast to SSV, they exhibit smaller contribution margins than non-referred customers. New customers referred via email have a lower customer value than non-referred new customers.

DOI:10.1561/107.00000054