Cardagin: Local Mobile Rewards

14 Pages Posted: 30 May 2017

See all articles by Rajkumar Venkatesan

Rajkumar Venkatesan

University of Virginia - Darden School of Business

Kelly Ateya

affiliation not provided to SSRN

Adam Harr

affiliation not provided to SSRN

Abstract

Cardagin, a new start-up in the increasingly competitive space of consumer/merchant apps for smartphones, is reaching an inflection point: decisions it makes at this stage can determine whether it becomes a national presence or an also-ran. The CEO needs to demonstrate the value of Cardagin's service to retailers and consumers in compelling ways. The case provides students an opportunity to analyze a new digital venture, explore expansion options, and evaluate the challenges in working with many small businesses, each with its own idiosyncrasies.

Excerpt

UVA-M-0825

Rev. Jun. 3, 2014

Cardagin: Local Mobile Rewards

When you visit your favorite restaurant, the manager sometimes offers you a free dessert. The restaurant manager could provide such recognition for about 100 of their best customers, but what about the next 1,000 who are also regulars?

—Rob Masri

On a still-nippy February afternoon, Rob Masri, CEO of Cardagin, a mobile marketing network based in Charlottesville, Virginia, scanned his iPhone app as he entered Eppie's, a local restaurant. Through the Cardagin app, Eppie's, an early member of the Cardagin network, could track a user's visits and offer personalized coupons on the spot. That day, Masri was able to redeem a 90% discount for our lunch, over which he spoke passionately about Cardagin's fast progress, the decisions facing him, and the broader trends in mobile marketing.

. . .

Keywords: network effects, merchant, coupon, mobile, redemption, loyalty

Suggested Citation

Venkatesan, Rajkumar and Ateya, Kelly and Harr, Adam, Cardagin: Local Mobile Rewards. Darden Case No. UVA-M-0825, Available at SSRN: https://ssrn.com/abstract=2974698 or http://dx.doi.org/10.2139/ssrn.2974698

Rajkumar Venkatesan (Contact Author)

University of Virginia - Darden School of Business ( email )

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

HOME PAGE: http://www.darden.virginia.edu/html/direc_detail.aspx?styleid=2&id=5808

Kelly Ateya

affiliation not provided to SSRN

No Address Available

Adam Harr

affiliation not provided to SSRN

No Address Available

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