Loyalty program and customer retention of bank credit cards - an logistic regression analysis based on questionnaires

To Chinese credit card issuers, Loyalty rewards programs have become increasingly important especially. This paper studies the Loyalty Program Membership and service experiences for customer retention of credit cards by logistic regression methods based on the data collected by 5 Likert questionnaires. The findings point out that customers make repatronage decisions for the credit card service on the basis of their prior repatronage intentions or behavior; members in loyalty programs are generally less sensitive to losses in the dimensions of billing aspects; and so on. Implications for banks are recommended to improve customer retention. Further implications for research are also discussed.