The cross-buying effect in a multi-vendor loyalty program in Korea

  • Seung Min Lee
  • Sang Yong Kim
  • Shijin Yoo
  • Tae Ho SongEmail author
Original Article


This study investigates the factors weakening the relationship between a customer’s cross-buying and firm sales in a multi-vendor loyalty program (MVLP) in Korea. The findings indicate that cross-buying has a positive impact on purchase frequency, transaction size, and further cross-buying in the subsequent periods. However, this impact is attenuated when customers are inclined to deal proneness or spending limit. The findings give academics and managers the opportunity to reconsider the conventional assumptions about cross-buying. Instead of emphasizing cross-selling for random customers, firms must identify customers whose cross-buying behavior affects firm performance positively. This study has managerial implications for MVLP operators for the effective acquisition and retention of participating vendors.


Cross-buying Multi-vendor loyalty program Deal proneness Spending limit Brand dispersion index Korea 



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Copyright information

© Springer Nature Limited 2019

Authors and Affiliations

  • Seung Min Lee
    • 1
  • Sang Yong Kim
    • 2
  • Shijin Yoo
    • 3
  • Tae Ho Song
    • 4
    Email author
  1. 1.Institute for Business Research and Education, Korea UniversitySeoulRepublic of Korea
  2. 2.Korea University Business SchoolSeoulRepublic of Korea
  3. 3.Korea University Business SchoolSeoulRepublic of Korea
  4. 4.School of BusinessPusan National UniversityBusanRepublic of Korea

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