Author(s)

Hui Zhao, Wensheng Yang

Corresponding Author

Hui Zhao

ABSTRACT

When the company has the perfect information about customer loyalty, it can make accurate coupon promotions for consumers. Based on the premise consumer brand loyalty information, we establish a coupon placement model of two competing companies to explore the competitive effect of coupon promotion and the reasonable delivery mode of coupons. We have found that the promotion of coupons always lead to increased price competition. However, the competitive effect also affects market share, thereby benefiting companies with increased market share. Consumer brand loyalty represents the level of premium that consumers are willing to pay. Therefore, cultivating consumers' brand loyalty and accurate coupon promotion strategies are of great significance to enterprises.

KEYWORDS

E-Coupon, Consumer Brand Loyalty, Enterprise