Title

An Exploratory Analysis Of Social Commonalities And Subjective Discounts

Keywords

Commercial friendships; Consumer behaviour; Consumer culture theory; Customer relationship management; Group nepotism theory; Retail discounts; Subjective discounts

Abstract

Purpose: This article seeks to illustrate how social commonalities between employees and their customers often result in customers believing that they are entitled to discounts in retail settings. Design/methodology/approach: This study employs survey methodology to reveal the extent to which various social commonalities between customers and service providers encourage customers to believe that they are entitled to financial discounts. Findings: The findings show that commonalities may cause customers to adhere to narcissism - that is, many customers may expect discounts even when they know that employees may jeopardize their jobs by providing them. Research limitations/implications: Customer relationships dramatically change with commonalities, as customers believe that social relationships propel them to "best customer status" and that they are entitled to discounts. Practical implications: Customers who become increasingly connected with employees expect relational benefits that usually require time to develop. Retailers that encourage their employees to develop social media bonds with their customers must realize that customers desire to be financially rewarded for maintaining these linkages. Originality/value: This work reveals that customers who maintain social commonalities with employees expect to receive some type of financial benefit from doing so. © Emerald Group Publishing Limited.

Publication Date

7-1-2013

Publication Title

International Journal of Retail and Distribution Management

Volume

41

Issue

9

Number of Pages

671-687

Document Type

Article

Personal Identifier

scopus

DOI Link

https://doi.org/10.1108/IJRDM-03-2012-0032

Socpus ID

84880822073 (Scopus)

Source API URL

https://api.elsevier.com/content/abstract/scopus_id/84880822073

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