Journal of Marketing Behavior > Vol 3 > Issue 4

Referral Programs and Customer Value: Insights from the Telecommunications Services Industry

Heike M. Wolters, University of Hamburg, Germany, Karen Gedenk, University of Hamburg, Germany,
Suggested Citation
Heike M. Wolters and Karen Gedenk (2019), "Referral Programs and Customer Value: Insights from the Telecommunications Services Industry", Journal of Marketing Behavior: Vol. 3: No. 4, pp 335-353.

Publication Date: 29 Jan 2019
© 2018 H. M. Wolters and K. Gedenk


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In this article:
Summary & Limitations
Appendix A: Measures
Appendix B: Descriptive Statistics
Appendix C: Robustness Check — Outliers
Appendix D: Robustness Check — Control for Acquisition Promotions
Appendix E: Robustness Check — Different Discount Rates
Appendix F: Robustness Check — Different Churn Measures
Appendix G: Robustness Check — Pareto/NBD Model for CLV


Schmitt et al. (2011) (SSV) compare contribution margin, churn, and customer value of bank customers acquired through a referral reward program to those of non-referred customers. This article replicates their study with a product that is less complex and risky. Consistent with SSV, referred customers churn less, but in contrast to SSV, they exhibit smaller contribution margins than non-referred customers. New customers referred via email have a lower customer value than non-referred new customers.