Dr Arne Floh is Senior Lecturer in Marketing at Surrey Business School, University of Surrey. He joined the Marketing and Retail Management Group in January 2012. Previously, Arne worked as an Assistant Professor in Marketing at the Vienna University of Economics and Business (WU Vienna). From 2006 - 2008 he worked as a Visiting Scholar at Goizueta Business School/Emory University in Atlanta.
Arne's research interests include all questions of marketing science and methodology, relationship marketing (e.g. Word-of-Mouth, Customer Loyalty, and Customer Value), and electronic marketing. His research has been published in the Psychology & Marketing, Journal of Business Research, Journal of Marketing Management, International Journal of Marketing (formerly dermarkt), Australasian Marketing Journal, Journal of Electronic Commerce Research, International Journal of Electronic Business, Journal of International Technology and Information Management, Journal of Mobile Communications and the Proceedings of various IS and Marketing academic conferences.
Currently, Arne serves as an Editor-in-Chief of the International Journal of Marketing (formerly dermarkt). He is Leader of the MSc Marketing Management Programme. He teaches Applied Marketing Research and Digital Marketing & Social Media and supervises Master dissertations.
In his spare time, Arne likes to play with his kids. He is a passionate football player and likes Austrian Wine.
• Relationship Marketing (including word-of-mouth, customer satisfaction, value, loyalty and profitability)• Electronic Marketing & Social Media• Marketing Science & Methodology (e.g. Meta-Analysis)
Programme Leader MSc Marketing Management
Marketing Analytics (UG) - Module Leader
Applied Marketing Research (PG) - Module Leader
Digital Marketing & Social Media (PG) - Module Leader
Introduction to Marketing Analytics (PG)
Marketing Theory (PhD)
Departmental Media Officer
Area Editor Marketing - Management Decisions
University roles and responsibilities
- Deputy Head of Department
Social media offers a myriad of opportunities for entrepreneurial marketing strategies that leverage the power of communities, especially when they are combined with traditional approaches such as celebrity endorsement. The reach, frequency, and speed of communication on social media offer the ideal leverage for the drivers of entrepreneurial marketing. However, the rapid rate of change may threaten the effects of investments in entrepreneurial marketing on social media and they might become only short-lived. Employing structural equation modeling, we test the long-term effect of Facebook-based celebrity endorsement on purchase intention among 234 members of a Facebook fan community in a two-wave longitudinal design. We argue that this relationship is mediated by a sponsor's brand image and moderated by brand differentiation. This study is the first to investigate the long-term effects of entrepreneurial marketing on social media. We present the contributions and implications of our findings as they affect research and practice.
Retailers have always worked to establish close relationships with customers through the retail marketing mix. Thus, the literature has a long tradition of testing the effects of various instruments on retail patronage. This meta-study synthesizes prior research into one comprehensive framework. We use 14,895 effect sizes reported by more than 239,000 shoppers from 41 countries extracted from 350 independent samples, to test the impact of 24 marketing-mix instruments on retail patronage. Specifically, we investigate the direct and indirect effects of these instruments on store satisfaction, word of mouth, patronage intention, and behavior. Product and brand management related instruments display the strongest effects on most outcome variables, whereas price, communication, service and incentive management instruments display effects on selected outcomes. Distribution management turns out to be of secondary importance. However, the effectiveness of these instruments depends on the specific shopping context (food/non-food, shopping frequency, single store/agglomeration, hedonic/utilitarian), the retail environment (gross domestic product, country innovativeness, retail sales share, retail employment, Internet era), and the employed method (participant type, study design, data source). Specifically, we reveal most differences for hedonic shopping environments and developed countries. Also, the store’s advertising and atmosphere have gained importance in the Internet era, while purchase incentives, in-store orientation, and store location have lost relevance. This study contributes to a synoptic understanding of the comparable effectiveness of retail marketing instruments on retail patronage. It offers insights into the effectiveness of marketing-mix instruments and provides guidance on whether and when to invest in them. It also presents an agenda for future research on marketing-mix instruments.
Through the customer’s eyes, wireless telecommunications are a typical example of a so-called consumption system, comprising a product and a service domain. People consume an entity in which multiple value perceptions from both subsystems (wireless service and cell phone) are gained and affect attitudes, intentions and future behaviour within and across the subsystems. Value perceptions are gained along the dimensions of functionality, economic aspects, emotions and social facets, regarding both service and product. Some of those value perceptions spill over, from product to service and vice versa, while others do not. Those that spill over affect value perceptions and loyalty intentions in the other subsystem. These results provide the basis for deriving practical implications for the marketing management of firms operating in such a consumption system. Given the presence of spill-over effects, both parties involved are advised to revise their marketing activities accordingly
This study tests the asymmetric effect of user-generated, open-ended online reviews on online shopping behaviour (intention-to-buy, intention-to-recommend, and willingness-to-pay). Three online experiments involving manipulating the valence intensity of online reviews for hotels, books, and running shoes (overall customer sample of n=818) provide empirical support for the proposed relationship. The valence intensity of online reviews moderates the effect of online reviews on purchase intentions. In other words, a significant change in online shopping behaviour was found for positive medium and strong reviews, but not for negative ones. Based on these findings, managers should encourage customers to share their positive consumption-related experiences by offering strong arguments that will convince other customers.
The talk provides insights into the oldest and arguably one of the most relevant questions in retail as well as marketing: Why do people shop where they do? More specifically a meta-analysis will characterise and summarise the body of knowledge on the antecedents of retail patronage behaviour. The research questions whether we as retail/marketing researchers have become more like advanced journalists constantly trying to find new and sexy but not necessarily relevant topics (for the sake of getting published) rather than working on traditional and still under explored highly relevant issues.
Most of the empirical studies in relationship marketing are based on the assumption that the quality of relationships has a positive effect on their duration and profitability. Unfortunately, none of the papers found in the literature discuss or define what a relationship is or should be. This research note examines conceptually the nature of relationships and their quality. A theoretical framework for measuring the quality of relationships called Business Relationship Closeness (BRCI) is provided.
This study extends a stimulus-organism-response (S-O-R) model to include impulse-buying behavior, which plays a vital role in electronic shopping but has not gained much attention in e-commerce research. Grounding our research in environmental psychology, we test the effects of virtual atmospheric cues on online impulse-buying behavior and spending, via a consumer survey. The study applies elaborated mediating variables (shopping enjoyment and impulsiveness) to develop a structural model linking three categories of atmospheric cues of an electronic store (content, design, and navigation) to approach behavior variables (impulse-buying behavior and expenditure). The results support the validity of the S-O-R model in the context of online impulse-buying behavior and show a significant positive effect of two dimensions of virtual atmospheric cues (design and navigation)
Driving sustainable development through new products or services is especially important for small and medium-sized enterprises (SMEs) as they have a vital role to play in managing limited environmental and social resources. Unfortunately, there remains considerable uncertainty as to how SMEs will discover, develop and realise sustainability-related opportunities in their organisations. Thus, the purpose of this article is to address this gap by analysing how this qualitative change process associated with a shift to sustainable development actually unfolds in SMEs. To do so it examines small and medium-sized wineries in Austria. Based on the results of a Delphi study, a multi-layer process model that differentiates between unfreezing, changing and refreezing processes is developed. The framework shows that the unfreezing of the status quo is mainly accomplished by the business owner’s attitude towards sustainability. In the course of the changing process, change related to the adoption of greener business practices follows a hierarchical order, starting with business activity (the first layer). Then, four dimensions of capital resources (the second layer) must be revised in order to implement the change successfully. After that, relevant stakeholders (the third layer) must be integrated into this iterative learning process. Finally, in the course of refreezing, change is embedded in the organisation by the ongoing commitment of the business owner and future sustainable expansion strategies. The developed framework may serve as a guideline for small and medium-sized wineries, but also for a broader set of SMEs implementing sustainable organisational change in the future.
Stores in retail and other service agglomerations, such as high streets and shopping malls, compete with each other for customers yet they may also cooperate with each other in relation to operational and marketing matters within the agglomeration in which they are located. The aim of this paper is to investigate the impact of both competition and cooperation, i.e. coopetition, on agglomeration and store performance. Drawing on the network debate, this paper develops a conceptual model and tests it in three distinctive agglomerations, each in an urban setting, namely first- and second-order high streets as well as an inner-city retail and service cluster. A total of 277 store managers served as key informants in our survey. Variance-based structural equation modelling reveals that both competition and cooperation improve agglomeration performance directly. Despite competition having a negative direct effect on stores’ performance, the overall effect is insignificant. Cooperation affects store performance positively but only indirectly. The contribution of this paper is to reveal and substantiate the complex nature and benefits of the effects of the coopetition of stores located within agglomerations. More widely it underlines the importance of managers of agglomerations understanding the differing effects of competition and cooperation and using this understanding in their management decision making.
This paper investigates the competitive relationship between dominant urban agglomeration formats (traditional “evolved” town centres and “created” shopping malls) and the drivers of competiveness in the form of key agglomeration resources (accessibility, parking condition, tenant mix, atmosphere). Based on a consumer survey (n, 2,161) across three distinctive European capital cities, co-variance based structural equation modelling reveals remarkably limited differences between formats in terms of the investigated drivers of competitiveness. Positive relationships of patronage towards both formats in all cities and the significant difference in why respondents patronise them suggest a partly complementary existence of the two types of agglomeration. We explain this apparent complementarity through the theory of adaptive resilience that has seen evolved agglomeration formats develop to provide a differentiated offer and consumer attraction compared to enclosed malls.
At first sight the Internet is the ideal medium for carrying out banking activities due to its cost savings potential and speed of information transmission. From a technological and cost-driven standpoint it may seem quite logical for banks to shift as many banking activities online as possible. At the same time, the question of how to foster customer loyalty arises when the relationship between the bank and the user becomes a virtual one. This paper investigates the importance of antecedents of online loyalty such as trust, quality of the Web site, quality of the service and overall satisfaction. Rather than investigating which factors drive customers to use online banking instead of offline banking, this paper addresses the problem of how to keep customers online and loyal to a specific supplier. A survey among more than 2,000 customers of an Austrian online bank was conducted and a structural equation modeling approach was used to gain important insights into how customer retention in the online banking business can be ensured. Satisfaction and trust were identified as important antecedents of loyalty. Additionally, the moderating role of consumer characteristics (gender, age, involvement, perceived risk and technophobia) was supported by the data.
Multiple facets of perceived value perceptions drive loyalty intentions. However, this value-loyalty link is not uniform for all customers. In fact, the present study identifies three different segments that are internally consistent and stable across different service industries, using two data sets: the wireless telecommunication industry (sample size 1,122) and the financial services industry (sample size 982). Comparing the results of a single-class solution with finite mixture results confirms the existence of unobserved customer segments. The three segments found are characterized as “rationalists”, “functionalists” and “value maximizers”. These results point the way for value-based segmentation in loyalty initiatives and reflect the importance of a multidimensional conceptualization of perceived value, comprising cognitive and affective components. The present results substantiate the fact that assuming a homogeneous value-loyalty link provides a misleading view of the market. The paper derives implications for marketing research and practice in terms of segmentation, positioning, loyalty programs and strategic alliances.