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The Role of Metaperception on the Effectiveness of Referral Reward Programs
Abstract
It is generally believed that referral reward programs (RRPs) work because recommendations from friends or relatives are perceived as impartial and trustworthy in analogy to what happens with word-of-mouth recommendations. To understand how an incentivized recommendation affects recommendation behavior, we conducted qualitative interviews and two experiments. We show that recommendation behavior is driven by the givers perception (i.e., their metaperception) of how they will be viewed by the receivers. Metaperception, in turn, is affected negatively by the presence of an incentive, and positively affected by the tie strength between the giver and the receiver. Our findings show that RRPs can have a positive, neutral, and negative effect on recommendation behavior depending on the relative strengths of the negative indirect effect of incentive on recommendation behavior via metaperception, and the positive effect of the perceived attractiveness of the incentive on recommendation behavior.
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“However, referral rewards can hinder recommenders ' perceptions relative to their beliefs about how recommendations are viewed by others (Wirtz et al. 2013).”
From Unintended reward costs: the effectiveness of customer referral reward programs for innovative products and services (2019) · cites this paper as Wirtz et al. 2013
In the citing paper
“On the other hand, rewards may prevent referrals with raising social impression concerns (Wirtz and Chew, 2002; Ryu and Feick, 2007; Wirtz et al., 2013, 2019; Orsingher and Wirtz, 2018).”
From Reward Design for Customer Referral Programs: Reward–Product Congruence Effect and Gender Difference (2021) · cites this paper as Wirtz et al., 2013
In the citing paper
“It is generally accepted in related research that a large reward has a positive effect on referral likelihood due to perceived attractiveness (Ryu and Feick, 2007; Wirtz et al., 2013, 2019; Zhang et al., 2019; Wolters et al., 2020).”
From Reward Design for Customer Referral Programs: Reward–Product Congruence Effect and Gender Difference (2021) · cites this paper as Wirtz et al., 2013
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“…shown that, in offline environments, metaperception acts as a key mediating variable that explains how an extrinsic reward (i.e. an incentive) is internally processed by the recommendation giver and subsequently shapes recommendation behavior (Orsingher andWirtz, 2018; Wirtz et al., 2013a; 2018).”
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“That is, prospective referrers may feel uncomfortable, conflicted, guilty, and other negative emotions, which we dub the “psychological barrier” (see also Aggarwal 2004; Grayson 2007; McGraw, Tetlock, and Kristel 2003; Tuk et al. 2009; Verlegh et al. 2013; Wirtz et al. 2013) that deters them from referring.”
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“Some academics have questioned the value of incentive referral campaigns (e.g., Trusov et al., 2009; Van den Bulte, 2010; see also Schmitt et al., 2011), particularly because rewarded referrals can be driven by motives of self-interest (Wirtz et al., 2013).”
BackgroundThe effect of tokenized rewards on customer loyalty programs
Boukis, A. (2024) · Annals of Tourism Research · doi:10.1016/j.annals.2024.103851 · Cited by 23
Viswanathan, V., Tillmanns, S., Krafft, M., & Asselmann, D. (2018) · Journal of the Academy of Marketing Science · doi:10.1007/s11747-018-0603-8 · Cited by 30
Can Friends Also Become Customers? The Impact of Employee Referral Programs on Referral Likelihood
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“Arguably, participants may have been concerned that their friends would learn that they had received a reward from their firm and that this reward would reflect unfavorably on them (Wirtz et al. 2013; Xiao, Tang, and Wirtz 2011).”
BackgroundMethodResultInfluentialShare experiences: receiving word of mouth and its effect on relationships with donors
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“Another five-item scale tested in the context of referral rewards was adapted from Marsden and Campbell (1984) and Wirtz et al. (2013) to measure tie strength (e.g. ‘I have a close relationship with this person’).”
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“Past studies have examined moderating effects in regression models through interaction variables (Mittal and Kamakura 2001; Bell and Luddington 2006; Wirtz et al. 2013).”
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“Furthermore, there are several studies on the motivation of WOM recommendations [1] as well as studies of costs [1, 3].”
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“This phenomenon of opportunistic behavior in referral programs has already been discussed in the literature (Jin & Huang, 2014; Tuk et al., 2009; Verlegh et al., 2013; Wirtz et al., 2013).”
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“A pilot study ( N = 120, M age = 29.71, SD age = 8.59, 65.0% female) was conducted to test the perceived realism of these three scenarios using the three-item scale developed by Wirtz et al. (2013).”
InfluentialThe role of risk preference in referral reward programs
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Henseler, J., Ringle, C. M., Roldán, J. L., & Cepeda, G. (2015) · University of Twente Research Information · doi:10.3990/2.319 · Cited by 3
Effects of Social Connectedness on the Sharing of Employee-Created Content
Zhang, X., & Chen, M. (2022) · Frontiers in Psychology · doi:10.3389/fpsyg.2022.782304 · Cited by 2
“In practice, many firms often offer various promotional content to attract consumer participation and enhance sales, such as discounts (Wirtz et al., 2013), cash payments (Exley, 2018), and vouchers (Ryu and Feick, 2007), but if the firm cannot accurately target the promotional content to the…”
BackgroundThe influence of reward qualifying conditions on participation in online referral programs
Zhang, J., Lu, Q., Zhang, L., & Harness, D. (2025) · Journal of Retailing and Consumer Services · doi:10.1016/j.jretconser.2025.104689 · Cited by 2
Wang, Y., Luo, J., & Wang, X. C. (2026) · Asia Pacific Journal of Management · doi:10.1007/s10490-025-10093-7 · Cited by 2
The effect of referral tasks on customers’ referral likelihood on social platforms
Ma, S., Xie, Q., Wang, J., & Jingjing, D. (2024) · Nankai Business Review International · doi:10.1108/nbri-03-2023-0027 · Cited by 2
Guo, Q. (2024) · Journal of theoretical and applied electronic commerce research · doi:10.3390/jtaer19020056 · Cited by 3
“Meta-perceptions are social inferences [14] of how consumers are viewed/judged by others when accepting a CRFC [14–19].”
BackgroundChen, C., Zhang, D., Zhu, L., & Zhang, F. (2025) · Business Ethics the Environment & Responsibility · doi:10.1111/beer.12849 · Cited by 3
Klopfer, L., & Steul‐Fischer, M. (2020) · Zeitschrift für die gesamte Versicherungswissenschaft · doi:10.1007/s12297-020-00466-w · Cited by 2
“Digitale Technologien und das Internet haben zu einer Verlagerung der Weiterempfehlungsprogramme in die Online-Welt geführt und deren Verbreitung beschleunigt (Wirtz et al. 2013).”
BackgroundInfluentialCan Reward Uncertainty Encourage Social Referrals? Evidence from a Large-Scale Field Experiment
Li, A. T., Belo, R., & Li, T. (2026) · Management Science · doi:10.1287/mnsc.2024.05685 · Cited by 2
Liu, H., Wang, T., Xiao, Y., & Pan, G. (2025) · Journal of Retailing and Consumer Services · doi:10.1016/j.jretconser.2025.104686 · Cited by 1
When are Referral Reward Programs Effective: A Perspective of Regulatory Fit Theory
Huifan, L., Qiuying, Z., & Hua-rui, C. (2014) · International Conference on Service Sciences · doi:10.1109/icss.2014.17 · Cited by 1
Kuester, M., & Benkenstein, M. (2014) · Springer eBooks · doi:10.1007/978-3-658-08090-7_8 · Cited by 1
Zou, F., & Zhou, Y. (2023) · Kybernetes · doi:10.1108/k-09-2022-1280 · Cited by 1
Wolf, L., Klopfer, L., Steul‐Fischer, M., & Reinsperger, M. (2024) · Journal of Consumer Behaviour · doi:10.1002/cb.2397 · Cited by 1
Influential Factors In Consumer's Adoption Of Innovative Products
Kalantari, M. (2018) · Human Biology · Cited by 1
Engaging with the engaged – Issues around the topic of customer engagement
Harris, D. A. (2013) · UpSpace Institutional Repository (University of Pretoria)
Metadata
- Authors
- Wirtz, J., Orsingher, C., Chew, P., & Tambyah, S. K.
- Affiliations
- National University of Singapore (SG)
- University of Bologna (IT)
- Singapore University of Social Sciences (SG)
- Corresponding author
- Orsingher, Chiara
- Venue
- Journal of Service Research
- Publisher
- SAGE Publications
- Published
- 2012-11-02
- Volume
- 16
- Issue
- 1
- Pages
- 82-98
- ISSN
- 1094-6705 (ISSN-L)
- 1552-7379
- OpenAlex
- W2137607454
- Cited by
- 119
- References
- 85
- Citations by year
- 2026: 8 · 2025: 9 · 2024: 14 · 2023: 10 · 2022: 9 · 2021: 10 · 2020: 13 · 2019: 8 · 2018: 10 · 2017: 8 · 2016: 4 · 2015: 5 · 2014: 7 · 2013: 4
- FWCI
- 16.88
- Type
- journal article
- Language
- en
- Open access
- closed
- Locations
- Journal of Service Research (publishedVersion)
- National University of Singapore (submittedVersion)
- Archivio istituzionale della ricerca (Alma Mater Studiorum Università di Bologna) (submittedVersion)
- Topics
- Social Sciences › Business, Management and Accounting › Marketing › Digital Marketing and Social Media
- Social Sciences › Business, Management and Accounting › Marketing › Customer Service Quality and Loyalty
- Social Sciences › Business, Management and Accounting › Marketing › Marketing and Advertising Strategies
- Keywords
- referral reward programs, metaperception, recommendation behavior, word of mouth, incentives, tie strength, trust
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