Do Loyalty Cards Enhance Loyalty in the Pharmaceutical Sector?

Abstract

ABSTRACTThis article aims to analyze the influence of the “Portuguese Pharmacies card” (PP card) on the pharmacies' customers' behavior. It also intends to examine whether marketing stimuli influence consumers' buying behavior with regard to non-prescription medicines/health and wellness products/pharmaceutical services (NP/HW/PS) and to understand if the consumer social-demographic characteristics influence purchase decisions and customers' loyalty. The investigation is based on the results obtained through an online survey. Exploratory descriptive analysis, based on a sample of 385 customers, is used to empirically verify the hypothesis under study. The marketing stimuli considered in this research include four communication tools: advertising, sales promotions, word of mouth, and the sales force. We conclude that all marketing stimuli can influence impulse buying behavior referred to NP/HW/PS. However, the older the respondents, the lower the influence of these stimuli, except for the relationship with the pharmacist, which will only tend to diminish its importance with increasing income or academic qualifications. Also, men appear to be more permeable to the influence of advertising and sales promotions. The influence of satisfaction on purchases volume of NP/HW/PS stands out, while trust shows no relevant relationship with impulse buying. We conclude that the Portuguese Pharmacies card indeed contributes to customer loyalty in the establishments where it is present. In order to meet customer expectations, a loyalty program should be adjusted over time, seeking to stimulate satisfaction with and reliance on this program.