The Role of Loyalty Scheme In Selling Directly to the Customer Research Paper

The Role of Loyalty Scheme In Selling Directly to the Customer - Research Paper Example 3. Identifying the other marketing tools that can be used as alternatives of loyalty schemes and comparing the effectiveness of them. Answers of the three major research questions are likely to meet the above mentioned objectives to a great extent. The entire research process including the search for literature and collection of primary data will be carried out keeping these three questions and objectives in mind. Literature Review Literature review will be the backbone of this research. It will be containing the theoretical aspects of the subject. The focus of this section will be on the main theories behind the emergence of loyalty programs. The literature regarding the history and background of several of such programs will be properly identified and explained in this section. The section will also include the description regarding the way in which consumer behavior is influenced by the loyalty schemes. A preliminary study shows that the loyalty schemes have been very effective du ring the last two-three years especially during the period of recession (Marketing Clout, 2010). They have helped the organizations in retaining their key customers and thereby improving the brand equity. Over the past decade retail industry in UK has become more competitive. Major players now, look for innovative strategies regarding relationship marketing for increasing their sales and maintaining the existing customer base (Stone, M. et al. 2003). Loyalty schemes are actually the result of intense competition among the retailers. This research will try to find out the theoretical aspect behind such outcomes. Furthermore, many consider loyalty schemes as the tool of direct marketing or relationship marketing. Literature... Literature review will be the backbone of this research. It will be containing the theoretical aspects of the subject. The focus of this section will be on the main theories behind the emergence of loyalty programs. The literature regarding the history and background of several of such programs will be properly identified and explained in this section. The section will also include the description regarding the way in which consumer behavior is influenced by the loyalty schemes. The author of the paper declares that the relationship between the brand image and loyalty schemes will be explained in the literature review section. The data required regarding the literature will be collected from various secondary sources like books, journal articles and research papers that are prepared in the past. Both physical and online libraries will be used for accessing these sources. Considering the nature of the data, qualitative analysis will be conducted. This research proposal is developed with the objective of providing a clear overview regarding the actual research that will be carried out very soon. Three major research questions along with the objectives are properly defined in this proposal. The literature searching process in the actual research will involve secondary research. Literatures regarding loyalty schemes and related aspects of marketing and branding will be mainly searched from various books and journals. Focus group interview will be conducted for gathering the primary data.