• Title/Summary/Keyword: Retail Channel

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The Impact of Omnichannel Shopping Experience and Channel Integration on Customer Retention: Empirical Evidence from China

  • WANG, Junbin;JIANG, Xinyu
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.2
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    • pp.229-242
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    • 2022
  • Creating a new retailing environment to meet the seamless experience requirements of consumers is a challenge for Omnichannel-related businesses. Based on the "appraisal-emotion-response" chain, the purpose of this research is to explore the psychological mechanism of omnichannel integration influencing customer retention and the moderating effect of customer showrooming experience. This research uses a structural equation model in partial least square software to analyze a two-stage survey (Study 1: n = 210; Study 2: n = 342) conducted in China. The results show that channel control experience has three dimensions: perceived channel attribute familiarity, channel type matching, and cross-channel access convenience; consistent interactive experience has two dimensions: information cross-channel consistency and cross-channel service support. Furthermore, both channel control experience and consistent interactive experience are favorable for customer retention through increased customer satisfaction (transactional and retailer satisfaction). Finally, customer showrooming experience positively moderates the relationship between consistent interactive experience and customer satisfaction. This research proposes a self-regulation process model to explain how omnichannel integration enhances consumers' experience, finally leading to consumer retention. The findings contribute to the omnichannel retail business literature and provide management implications for Asian retailers to implement an omnichannel business strategy.

Personalization of Brick-and-Mortar Retail Stores (오프라인 상점의 개인화)

  • Kim, Chan-Young;Cho, Yoon-Ho
    • Journal of Intelligence and Information Systems
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    • v.14 no.4
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    • pp.117-134
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    • 2008
  • The outpaced growth of online channel sales over the traditional retail sales is a result from superior shopping convenience that online stores offer to their customers. One major source of online shopping convenience is a personalized store that reduces customer's shopping time. Personalization of an online store is accomplished by using various in-store shopping behavior data that the Internet and Web Technology provides. Brick-and-mortar retailers have not been able to make this type of data available for their stores until now. However, RFID technology has now opened a new possibility to personalization of traditional retail stores. In this paper, we propose BRIMPS (BRIck-and-Mortar Personalization System) as a system that brick-and-mortar retailers may use to personalize their business and become more competitive against online retailers.

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Multi-Channel Behavior for Fashion Product Purchases and the Difference of Perceived Risk by Channel Type -The Case of College Men and Women- (패션 상품 구매 과정에서의 다중 경로 활용과 경로별 위험 지각 차이 -대학생 성별에 따른 비교-)

  • Chung, Ihn Hee
    • Journal of the Korean Society of Clothing and Textiles
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    • v.38 no.2
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    • pp.277-292
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    • 2014
  • This study investigated consumers' multi-channel behavior for fashion product purchases and compared perceived risks by channel type. A survey involving male and female college students was conducted in the Daegu and Gyungbuk area in December 2013. A total of 400 responses were analyzed using descriptive statistics, chi-square analysis, independent sample t-test, paired t-test, factor analysis, and reliability analysis. An internet shopping mall was the most frequently chosen retailer type for fashion product purchases and information searches. In addition, respondents also preferred independent branded stores, department stores, and non-branded stores. The number of retailer types for clothing item purchases ranged from 1 to 6 and the average was 3.06. The number of retailer types was significantly higher in women groups according to gender variables. Perceived risk had the highest evaluation score for internet shopping malls. Department stores were recognized as a reliable retailer type. The construct of perceived risk was shown as similar in off-line stores such as department stores, independent branded stores, and non-branded stores. Instead, the construct was differentiated from the case of internet shopping malls. Some insightful suggestions were suggested for future research and industrial marketing plans based on the results.

On eBay's Fee Structure from a Channel Coordination Perspective

  • Chen, Jen-Ming;Cheng, Hung-Liang;Chien, Mei-Chen
    • Industrial Engineering and Management Systems
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    • v.9 no.2
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    • pp.97-106
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    • 2010
  • Can eBay.com's fee structure coordinate the channel? It's a critical strategic problem in e-commerce operations and an interesting research hypothesis as well. eBay's fees include three parts: monthly subscription fee, insertion fee, and final value fee (i.e., a revenue sharing portion), which represent a generic form of revenue sharing fee structure between the retailer and the vendor in a supply chain. This research deals with such a channel consisting of a price-setting vendor who sells products through eBay's marketplace exclusively to the end customers. The up- and down-stream channel relationship is consignment-based revenue sharing. We use a game-theoretic approach with assumption of the retailer (i.e., eBay.com) being a Stackelberg-leader and the vendor being a follower. The Stackelberg-leader decides on the terms of revenue sharing contract (i.e., fee structure), and the follower (vendor) decides on how many units to sell and the items' selling price. This study formulates several profit-maximization models by considering the effects of the retail price on the demand function. Under such settings, we show that eBay's fee structure can improve the channel efficiency; yet it cannot coordinate the channel optimally.

Retail Channel Inventory Management via In-Stock Ratio Measure (매장 내 제품가용성 지표를 활용한 유통재고 관리방안 제고)

  • Kim, Hyoungtae
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.36 no.1
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    • pp.96-102
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    • 2013
  • This paper makes a detailed comparison between two metrics designed for measuring customer's satisfaction in the retail industry. The first metric, which is called the customer service level, has not been widely used due to the intrinsic requirement on the parameter assumption(s) of the demand distribution. Unlike the customer service level metric the in stock ratio metric does not require any requirements on the demand distribution. And the in stock ratio metric is also very easy to understand the meaning. To develop the detailed planning activities for business with the in stock ratio metric on hand one should collect some information as following : 1) POS (Point of sales) data, 2) Inventory Data 3) Inventory Trend.

Impact of Channel Integration Quality on Customer Engagement in Omni-channel Retailing: The Moderating Effect of Consumer Empowerment (옴니채널 소매업 환경에서 채널 통합 품질이 고객 참여에 미치는 영향: 소비자 권한 부여의 조절 효과)

  • Yang, Yan;Ryu, Sungmin
    • Journal of Information Technology Services
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    • v.21 no.5
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    • pp.29-49
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    • 2022
  • Consumers are now no longer satisfied with using a single channel to shop and then desire a smooth and consistent purchasing experience across channels. By integrating different channels and services, an omni-channel strategy allows consumers to choose their preferred channel to complete their shopping tasks. Therefore, large retailers in China have recently been transforming into omni-channel retail formats to secure their competitive advantage. To better implement this strategy and optimize its effectiveness, it is important to understand how consumers respond to the quality of channel integration. Based on social exchange theory (SET), the main purposes of this study are to explore the impact of channel integration quality on consumer engagement in the Chinese omni-channel retailing environment and to further examine whether there is a moderating effect of consumer empowerment on this relationship. To test this research model, we collected data from 330 respondents by conducting an online questionnaire in China. The results indicated that the two dimensions of channel integration (breadth of channel-service choice and transparency of channel-service configuration) positively affected two dimensions of customer engagement (conscious attention and enthusiastic participation), respectively. The findings also show that consumer empowerment only positively moderates the relationship between breadth of channel service choice and conscious attention, whereas it negatively moderates the relationship between transparency of channel-service configuration and conscious attention/enthusiastic participation. Given these results, this study deepens our understanding of the impact of the quality of channel integration on customer engagement in the context of omni-channel retailing in China and sheds light on how retailers can attract consumers with different levels of empowerment.

Understanding Geographic Variation in Sales Performance through Offline and Online Channels (지역 특수성에 따른 오프라인·온라인 채널 성과의 이해)

  • Kim, Jeeyeon;Choi, Jeonghye;Chung, Yerim
    • Knowledge Management Research
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    • v.17 no.3
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    • pp.45-64
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    • 2016
  • As the digital retail environement becomes prevalent, consumers are given greater opportunities to make purchases across physical and digital boundaries. Prior research emphasizes that the attractiveness of the digital or online channel is relatively determined by spatial specifics of physical locations. The overall market trend combined with prior research suggests that understanding spatial specifics becomes a key to managing both offline and online sales performance together. In this study, we focus on geographic variation in sales performance through offline and online channels and aim to investigate the channel-level sales difference between central and subsidiary areas. To this end, we obtain sales data of skincare and makeup products from a leading cosmetic company. Next, we examine spatial autocorrelations in data and then employ the spatial error models to study the effects of spatial specifics. The empirical findings are as follows. First, there are significant differences in category-specific and channel-level sales between central and subsidiary areas. Second, Moran's I statistics demonstrate the spatial autocorrelations of each variable. Third, spatial error models outperform simple regression models with lower AIC values. Finally, spatial specifics play a greater role in understanding online sales in subsidiary areas whereas they exert greater influence on offline sales in central areas. We believe our study advances the related theory and knowledge of multi-channel retailing and also contributes practically to location-dependent multi-channel strategies and sales data analytics.

The Impact of the Manufacturer's E-business through Direct Internet Channel on the Incumbent Independent Physical Store and the Market (생산자의 직접경로인 전자상거래 도입이 전통적 독립중간상과 시장에 미치는 영향)

  • Yoo, Weon-Sang
    • Journal of the Korean Operations Research and Management Science Society
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    • v.34 no.3
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    • pp.165-177
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    • 2009
  • The purpose of this study is to investigate the impact of the Internet channel introduction on the channel composed of a monopoly manufacturer and an independent physical retailer. This study also examines what would be the best strategy for the Independent physical retailer to respond to the new internet channel entry. The game theoretic model consists of a monopolist manufacturer selling its product through a channel system including one independent physical store before the entry of an internet store. The audition of the internet store to this channel system results in a mixed channel comprised of two different types of channels. The new internet store is launched by the manufacturer. The results show that an Internet channel entry has the following impacts on the existing channel members. First, the manufacturer's internet channel introduction mitigates the double marginalization problem of the traditional channel. Second, the manufacturer could enhance Its channel power by introducing its own internet channel while it diminishes that of the incumbent independent physical retailer. Third, manufacturer's adding a new internet store leads to a higher demand. Finally, with its own internet direct channel, the manufacturer has an opportunity to practice price discrimination. The manufacture leaves only those with a strong preference for the physical store to be served by the Independent physical store. The results suggest that the independent physical store's best strategy to the entry of the manufacturer's Internet channel is to focus on the consumers who are highly loyal to the physical store while maintaining a high retail price.

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.

The Consumers' Perception of Rice Quality and Characteristics of Its Distribution Channel (쌀의 유통경로별 소비자들의 품질인식 및 특성에 관한 연구;대안적 농식품 네트워크 논의를 중심으로)

  • Chae, Jong-Hyun;Kim, Sung-Soo;Lee, Min-Soo
    • Journal of Agricultural Extension & Community Development
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    • v.14 no.1
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    • pp.197-230
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    • 2007
  • The objectives of this study were to identify the cause of consumers for purchasing foods from various distribution channels, and to compare with characteristics of consumers by each distribution channel. The distribution channels as the basis of comparison were four types namely, the consumer cooperatives / environment-friendly specialized stores, large retail discount stores, direct marketing and parents / relatives. The researcher developed a questionnaires, and a total of 190 questionnaires were collected and 186 of them were analyzed. The data were analyzed utilizing the SPSS-WIN 12.0K program and major statistical technique were mean, percentage, t-test, Chi-square test, ANOVA. There were differences in the quality perception, demographical characteristics, relationship with rural communities and personal experiences of the consumers according to the distribution channels.

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