• Title/Summary/Keyword: Retail Buying

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Global Changing of Consumer Behavior to Retail Distribution due to Pandemic of COVID-19: A Systematic Review

  • TIMOTIUS, Elkana;OCTAVIUS, Gilbert Sterling
    • Journal of Distribution Science
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    • v.19 no.11
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    • pp.69-80
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    • 2021
  • Purpose: Consumers have unique behaviors that are classified based on their interests and considerations before buying. They are predicted will change due to the pandemic of COVID-19. This study provides insights for retailers about the dynamic of consumer behavior before and during the pandemic, including future predictions. Research design, data and methodology: The Preferred Reporting Items for Systematic Review and Meta-Analysis (PRISMA) statement was applied in this study. Seven studies that were selected from five databases meet the criteria for cohort and cross-sectional analyses of gender, age, store types, and environmental concerns. Results: Consumer's gender and age contribute to consumer behavior change. Both offline and online stores can be integrated as omnichannel rather than substitute each other. Product distribution and consumer budget need to be reevaluated by retailers, while internet security is the most essential factor when developing their online transactions. Conclusions: COVID-19 pandemic has a significant impact on changing consumer behavior in most countries. Retailers are encouraged to adapt to the changes by modifying their business model with technology. However, it is still speculated and cannot be generalized due to different cultural and contextual factors. Future studies are always needed to synchronize along with the transition of consumers' behavior.

Evaluating Conversion Rate from Advertising in Social Media using Big Data Clustering

  • Alyoubi, Khaled H.;Alotaibi, Fahd S.
    • International Journal of Computer Science & Network Security
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    • v.21 no.7
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    • pp.305-316
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    • 2021
  • The objective is to recognize the better opportunities from targeted reveal advertising, to show a banner ad to the consumer of online who is most expected to obtain a preferred action like signing up for a newsletter or buying a product. Discovering the most excellent commercial impression, it means the chance to exhibit an advertisement to a consumer needs the capability to calculate the probability that the consumer who perceives the advertisement on the users browser will acquire an accomplishment, that is the consumer will convert. On the other hand, conversion possibility assessment is a demanding process since there is tremendous data growth across different information dimensions and the adaptation event occurs infrequently. Retailers and manufacturers extensively employ the retail services from internet as part of a multichannel distribution and promotion strategy. The rate at which web site visitors transfer to consumers is low for online retail, out coming in high customer acquisition expenses. Approximately 96 percent of web site users concluded exclusive of no shopper purchase[1].This category of conversion rate is collected from the advertising of social media sites and pages that dataset must be estimating and assessing with the concept of big data clustering, which is used to group the particular age group of people along with their behavior. This makes to identify the proper consumer of the production which leads to improve the profitability of the concern.

The Study on Women's Responses to Discounting claims and Complaining Behavior in Clothing Products (여성의 의류제품 할인구메에 대한 반응과 불평헹동 연구)

  • Yun, Hye-Kyoung;Kim, Eun-Young
    • Korean Journal of Human Ecology
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    • v.9 no.4
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    • pp.491-503
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    • 2000
  • The purpose of this study is to investigate the purchase behavior, response, and complaining behavior for discounting claims in clothing products. The subjects are composed of 360 female consumers. Data were collected through questionnaire. Descriptive analysis was used for analysis of this study. The findings of this study were as follows: First, female consumer used department store for buying discount apparel products the most. The percentage of buying casual or sports wear for discounting was the most. Most consumers purchased clothing products when discounting at 20-40 percentages. Second, even if, consumers tended to distrust discounting claims, they were satisfied with discount apparel products. Especially, they were satisfied with price, design, color, and size, while they were dissatisfied with sewing and fabric in discount products. Third, most consumer knew the knowledge of consumer rights, but most dissatisfied consumers did not assert positive consumer's right. Therefore, marketer should increase the accessibility of their complaint receiving mechanism for dissatisfied consumers in retail environment.

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Analyzing Factors Influencing Purchasing Behavior of PB Eggs: Focusing on Eggs from Large Distribution Companies (계란식품PB 구매에 미치는 소비자 요인 분석:대형유통업체 계란상품을)

  • Kim, Jong-Jin;Shim, Kyu-Yeol;Kim, Mi-Song;Youn, Myoung-Kil
    • Journal of Distribution Science
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    • v.11 no.10
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    • pp.107-116
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    • 2013
  • Purpose - Eggs are nutritionally complete and one of the most popular natural foods. Moreover, the poultry industry is one of the important food industries. However, early industrialization of the poultry industry on its own did not lead to further development compared to other livestock industries. In this study, we investigate what factors influence consumers' behavior and how consumers' understanding of retail business affects their propensity to consume. This study is different from other studies as it analyzes how the brand names of manufacturers and distribution companies affect the purchasing characteristics or actual purchase behavior of consumers in order to suggest how these manufacturers and distribution companies can increase their competitiveness. Research design, data, methodology - This study conducted a survey of 250 randomly selected egg purchasers in discount stores from January to April 2013. Consumers' purchase tendencies were calculated through frequency analysis. This result was then utilized using cluster analysis to draw a conclusion about which purchase tendency influenced consumers buying three different brands of eggs or whether this tendency really affected consumers. As a result, the outcomes of Hypotheses 2 and 3 were not clear so we drew a conclusion with our analysis of Hypothesis 1. Results - While the outcomes of Hypotheses 2 and 3 did not clearly indicate whether purchasing tendencies affected consumers when buying eggs, our analysis of Hypothesis 1 indicated that consumers were affected by the quality of the eggs rather than exterior factors such as the brand name. Thus, we concluded that it is important to promote the excellence of the quality of the eggs. Usually firms buy eggs from farms and repackage them in order to sell them. In this sense, if consumers were aware of this egg production process, and eggs were fairly distributed to retailers, large retail PB businesses would also be able to enhance their competitiveness. Conclusions - The brand, packaging, retail outlet, and other external features influenced the purchase of eggs to a certain degree, while shelf life, grade of the eggs, cleanliness, and other intrinsic characteristics had more influence. In particular, shelf life was the most important factor influencing purchase. Consumers were influenced not only by intrinsic characteristics of the eggs but also by large-scale producers' brands. Consumers relied upon the brand despite reduced competition because they found it difficult to identify shelf life and/or cleanliness. Small businesses and/or large-scale retailers can remain competitive by maintaining the freshness and cleanliness of the eggs. Further studies need to investigate areas in which consumers' cognition of the product is poor and/or the purchase inclination with regard to less developed industries such as eggs. In this study, the greatest problem was that consumers did not consume in accordance with the current situation as consumers have preferred fresh and clean eggs for a long time compared to purchase decisions based on external brands and/or packaging.

Lessons from Haitai Distribution Inc's experience in Korea

  • Cho, Young-Sang
    • Journal of Distribution Science
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    • v.9 no.3
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    • pp.25-36
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    • 2011
  • Owing to the rapid growth of hypermarket/discount store formats since 1996, Korean retailing has suddenly attracted the significant attention from researchers. Before the emergence of large scale retailers such as E-Mart, Lotte Mart and Tesco Korea, there were the two retail formats who led the Korean retailing in the modern retailing history: department store and supermarket formats. Nevertheless, there has been little literature concerned about the two retail formats as a case study, while some authors have paid their attention to hypermarket/discount store formats. In addition, when mentioning the development process of retailing history, it is less likely that authors have made an effort to illustrate supermarket retailing history. In order to regard supermarket retailing as part of the Korean retailing, it is interesting to look at a representative supermarket retailer, Haitai, who was one of the subsidiaries of Haitai chaebol. Based on supermarket retailing, the company which was established as a joint venture in 1974 led a supermarket retailing in the Korean modernised retailing history. Before analysing whether Haitai failed or not, the definition of failure should be illustrated. With regard to the term, failure, in the academic world, authors have interchangeably used the following terms: failure, divestment, closure, organisational restructuring, and exit. To collect research data as a case study, the author adopted an in-depth interview method. The research is based on research interviews with 13 ex-staff who left after Haitai went bankruptcy, from store management department to merchandise department. By investigating Haitai's experiences through field interviews, the research found that Haitai restructured organisational decision-making process at the early stage when companies started to modernise organisational charts, benchmarking sophisticated retailing knowledge through the strategic alliance with a Japanese retailer. In respect of buying system, the company established firmly buying functions by adopting central buying system, and further, outstandingly allocated considerable marketing resources to the development of retailer brands with the dedicated team of retailer brand development. In the grocery retailing, abandoning a 'no-frill' packaging concept, the introduction of retailer brand packaging equal to, or better than national brand packaging design, encouraged other retailers to change their retailer brand development strategies. In product sourcing ways, Haitai organised for the first time the overseas sourcing team with the aim of improving the profit margins of foreign products and providing exotic products for customers, followed by other retailers. Regarding distribution system, the company introduced the innovative idea which delivered products ordered by stores directly to each store withboth its own vehicles and its own warehouse in which could deal with dry foods, chilly foods, frozen food, and non-foods, and even, process produce. In addition, Haitai developed many promotional methods to attract more customers like 'the guarantee of the lowest price', and expanded its own business to US in 1996, although withdrew, because of bankruptcy in 1997. Together with POS introduction in 1994, Haitai made a significant contribution to the development of the Korean retailing, influencing other retailers in many aspects. As a case study, the study has provided a number of lessons from Haitai's experiences for academicians and practitioners, suggesting that its history should be involved in the Korean modernised retailing.

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A Study on the Unmanned convenience Store Operation System from the Viewpoint of Visual Merchandising (비주얼 머천다이징 관점에서의 무인 편의점 운영시스템에 관한 연구)

  • Seo, Jung-Hwa;Yang, Hoe-Chang;Park, Chul-Ju;Youn, Myoung-Kil
    • The Journal of Industrial Distribution & Business
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    • v.9 no.12
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    • pp.45-53
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    • 2018
  • Purpose - The purpose of the study was to investigate operation system of current convenience store and competing retail store and to find out development of unattended convenience store. Operators can save labor cost and solve labor seeking when opening shop under suitable environment and commerce area, and assure of employee's safety. Customers are allowed to select commodity comfortably without disclosure of face and to shorten standby time at simple store opening, buying and paying and to produce convenient living environment by financing, delivery and goods control. This study examined effect and problems of operation of existing and unattended convenience store from point of view of visual merchandising to find out model of unattended convenience store and to strengthen competitiveness of convenience store business. Research design, data, and methodology - Research procedure of accomplishment of goal of the study was: The study investigated state of distribution business, and role and definition of VMD. First, VMD played an important role of promotion and competitiveness of unattended convenience stores. Second, the author investigated research and cases of unattended convenience stores 14 months, that is to say, from August 15, 2017 to October 15, 2018. Third, the author investigated on-the-spot three of common convenience stores, three of unattended convenience stores and three of retailers one month, that is to say, June 1, 2018 to July 1, 2018. The subject was convenience stores and retailers selling similar type of products at Seoul and metropolitan area. Results - Layout, selling place, brand identity, goods assortment, authentication system, product information cognition and control, buying and payment system, security system, salesmen, promotion and other services should be improved from point of view of merchandising. Structure, furniture, lighting, voice, façade, VP, PP, IP and POP should be developed. Conclusions - Unattended convenience stores saved operating cost and lessened labor and gave visitors convenience and comfortable shopping and made use of resources effectively. Further studies with quantitative analysis shall find out strategic conditions for promotion of unattended convenience stores.

Retail Fashion Buyers' Utilization of Information Source in Dongdaemum Market (동대문 시장을 이용하는 리테일 바이어의 경력 및 소속업체 연매출에 따른 정보원 활용)

  • Kim, Jihye;Chung, Sung-Jee
    • Journal of the Korea Fashion and Costume Design Association
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    • v.16 no.1
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    • pp.41-52
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    • 2014
  • The purposes of this study were to explore differences in utilization of information sources depending on the length of buyers' career and annual sales volume of stores where buyers work for. The questionnaire was prepared by the researcher and was answered by 200 buyers who purchase their items from Dondaemun market. The researcher analyzed the data using both ANOVA and Tukey's test as a post-hoc test. The conclusion of this study is summarized below. First, there were significant differences in utilization of information sources among buyer groups depending on the length of buyers' career. The buyers with more than 10 years career showed more effective utilization of information source such as resident buying offices, manufacturers, trade publications, trade associations, fashion reports, celebrities, window shopping, professional magazines, and advice from others. Second, there were significant differences in utilization of information sources among buyer groups depending on annual sales volume of the stores where the buyers work for. The buyer who work for the store with its annual sales volume in excess of 2 billion won showed more effective utilization of information source such as trade association, professional magazines, sales record, want slips, advertising results, sales trends, customer surveys, sales meetings, customer advisory panel, in-store merchandising bureau and advice from other experienced buyers. However, buyers of the store with its annual sales volume lower than 100 million won showed different pattern utilization of information sources such as vendors, trade publication, celebrities and advice from others.

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Analyzing fashion item purchase patterns and channel transition patterns using association rules and brand loyalty in big data (빅데이터의 연관규칙과 브랜드 충성도를 활용한 패션품목 구매패턴과 구매채널 전환패턴 분석)

  • Ki Yong Kwon
    • The Research Journal of the Costume Culture
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    • v.32 no.2
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    • pp.199-214
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    • 2024
  • Until now, research on consumers' purchasing behavior has primarily focused on psychological aspects or depended on consumer surveys. However, there may be a gap between consumers' self-reported perceptions and their observable actions. In response, this study aimed to investigate consumer purchasing behavior utilizing a big data approach. To this end, this study investigated the purchasing patterns of fashion items, both online and in retail stores, from a data-driven perspective. We also investigated whether individual consumers switched between online websites and retail establishments for making purchases. Data on 516,474 purchases were obtained from fashion companies. We used association rule analysis and K-means clustering to identify purchase patterns that were influenced by customer loyalty. Furthermore, sequential pattern analysis was applied to investigate the usage patterns of online and offline channels by consumers. The results showed that high-loyalty consumers mainly purchased infrequently bought items in the brand line, as well as high-priced items, and that these purchase patterns were similar both online and in stores. In contrast, the low-loyalty group showed different purchasing behaviors for online versus in-store purchases. In physical environments, the low-loyalty consumers tended to purchase less popular or more expensive items from the brand line, whereas in online environments, their purchases centered around items with relatively high sales volumes. Finally, we found that both high and low loyalty groups exclusively used a single preferred channel, either online or in-store. The findings help companies better understand consumer purchase patterns and build future marketing strategies around items with high brand centrality.

An Exploratory Study on Channel Equity of Electronic Goods (가전제품 소비자의 Channel Equity에 관한 탐색적 연구)

  • Suh, Yong-Gu;Lee, Eun-Kyung
    • Journal of Global Scholars of Marketing Science
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    • v.18 no.3
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    • pp.1-25
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    • 2008
  • Ⅰ. Introduction Retailers in the 21st century are being told that future retailers are those who can execute seamless multi-channel access. The reason is that retailers should be where shoppers want them, when they want them anytime, anywhere and in multiple formats. Multi-channel access is considered one of the top 10 trends of all business in the next decade (Patricia T. Warrington, et al., 2007) And most firms use both direct and indirect channels in their markets. Given this trend, we need to evaluate a channel equity more systematically than before as this issue is expected to get more attention to consumers as well as to brand managers. Consumers are becoming very much confused concerning the choice of place where they shop for durable goods as there are at least 6-7 retail options. On the other hand, manufacturers have to deal with category killers, their dealers network, Internet shopping malls, and other avenue of distribution channels and they hope their retail channel behave like extensions of their own companies. They would like their products to be foremost in the retailer's mind-the first to be proposed and effectively communicated to potential customers. To enable this hope to come reality, they should know each channel's advantages and disadvantages from consumer perspectives. In addition, customer satisfaction is the key determinant of retail customer loyalty. However, there are only a few researches regarding the effects of shopping satisfaction and perceptions on consumers' channel choices and channels. The purpose of this study was to assess Korean consumers' channel choice and satisfaction towards channels they prefer to use in the case of electronic goods shopping. Korean electronic goods retail market is one of good example of multi-channel shopping environments. As the Korea retail market has been undergoing significant structural changes since it had opened to global retailers in 1996, new formats such as hypermarkets, Internet shopping malls and category killers have arrived for the last decade. Korean electronic goods shoppers have seven major channels : (1)category killers (2) hypermarket (3) manufacturer dealer shop (4) Internet shopping malls (5) department store (6) TV home-shopping (7) speciality shopping arcade. Korean retail sector has been modernized with amazing speed for the last decade. Overall summary of major retail channels is as follows: Hypermarket has been number 1 retailer type in sales volume from 2003 ; non-store retailing has been number 2 from 2007 ; department store is now number 3 ; small scale category killers are growing rapidly in the area of electronics and office products in particular. We try to evaluate each channel's equity using a consumer survey. The survey was done by telephone interview with 1000 housewife who lives nationwide. Sampling was done according to 2005 national census and average interview time was 10 to 15 minutes. Ⅱ. Research Summary We have found that seven major retail channels compete with each other within Korean consumers' minds in terms of price and service. Each channel seem to have its unique selling points. Department stores were perceived as the best electronic goods shopping destinations due to after service. Internet shopping malls were perceived as the convenient channel owing to price checking. Category killers and hypermarkets were more attractive in both price merits and location conveniences. On the other hand, manufacturers dealer networks were pulling customers mainly by location and after service. Category killers and hypermarkets were most beloved retail channel for Korean consumers. However category killers compete mainly with department stores and shopping arcades while hypermarkets tend to compete with Internet and TV home shopping channels. Regarding channel satisfaction, the top 3 channels were service-driven retailers: department stores (4.27); dealer shop (4.21); and Internet shopping malls (4.21). Speciality shopping arcade(3.98) were the least satisfied channels among Korean consumers. Ⅲ. Implications We try to identify the whole picture of multi-channel retail shopping environments and its implications in the context of Korean electronic goods. From manufacturers' perspectives, multi-channel may cause channel conflicts. Furthermore, inter-channel competition draws much more attention as hypermarkets and category killers have grown rapidly in recent years. At the same time, from consumers' perspectives, 'buy where' is becoming an important buying decision as it would decide the level of shopping satisfaction. We need to develop the concept of 'channel equity' to manage multi-channel distribution effectively. Firms should measure and monitor their prime channel equity in regular basis to maximize their channel potentials. Prototype channel equity positioning map has been developed as follows. We expect more studies to develop the concept of 'channel equity' in the future.

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Womenswear Collections based on Italian Fashion Market Trends-utilizing 1990's demographics data- (이태리 패션시장 트렌드 분석을 통한 여성복 컬렉션 기획-1990년대 통계자료를 중심으로-)

  • 김유경
    • Journal of the Korean Society of Costume
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    • v.38
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    • pp.193-211
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    • 1998
  • Without a solid marketing system in placed, the fashion industry cannot flourish on out-standing design or technology alone. Even though the significance of collecting and analyzing information, merchandising, and retail distribution is recognized, these functions are not firmly rooted or prevalent in our industry. In contrast, Italy which possesses similar demographic traits such as the lack of natural resources and other physical factors has succeed-ed in globalizing its fashion market by responding swiftly and exercising flexiblity to its constantly changing consumer demand. This in turn has earned Italy the competitive edge in the global fashion arena. Italy's unique management skills and operation know-how, along with successful market strategies come into play in bringing competitiveness to Italy's fashion market. Firstly, smaller companies with ability to adopt swiftly to the ever changing market. Secondly, fashion friendly social environment. Thirdly, niche marketing through highly specialized system and differentiation. Fourthly, timeless innovation through intense corporate competition. Lastly, establishment of foundations to support the industry through diverse networking. The alone building blocks have formed a basis for erecting an unparalleled market with a reputation for excellence in design and quality in the global fashion world. This study has examined how Italy's fashion industry has evolved from an underdeveloped textile business into a cutting edge fashion in-dustry. Italy's unique business processes and practices were studied to come up with a collection and merchandising ideas in a niche market. By selecting this venue we are able to continuously grow and develop in a market with diverse consumer needs. To analyze the Italian fashion market, data from 3 institutions were utilized, namely, CIT-ER which has provided consumer trends and sales analysis, SITA,a data service provided statistics from the textile and apparel businesses, and NBI has also furnished valuable data. Italian consumer preference, buying behavior, consumer profile, retail channels and other related data from the above institutions has formed a backbone for market segmentation and target markets, and as a result, we were able to zero in on the type of consumer, produce, pricing and retail channels for our womenswear. Going forward the direction is to elevate product image and pretige, and create syn-ergy between related industries, and at the same note, in order to develop internationally recognized brands such as Max Mara and Benetton. Certain elements such as the specialization of the fashion industry, alon-g with fashion-related data base and systems support, and most importantly experts with acute fashion sense and capacity to analyze pertinent data are in need. I firmly believe that we can achieve Italy's level in the fashion market with support from the government and unrelenting effort within the industry itself, and hope that this report can prove to be useful.

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