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Product Reward Discounting

Product Reward Discounting

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Customer rewards program is an effective tool for the company to increase the customer loyalty. Luxury and necessity products can be offered as rewards under the product reward program. The main purpose of this study is to find out how individuals discount luxury rewards over necessity rewards in differences of time length. After collecting and analyzing the survey data it was found that majority of the respondents prefers the necessity rewards in shorter period of time whereas in the longer delay they prefer the luxury rewards. Hence individuals discount luxury rewards over the necessity rewards of equal value in the variance of time.
Luxury vs. Necessity Products