• Title/Summary/Keyword: Retail channel

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Optimal Forecasting for Sales at Convenience Stores in Korea Using a Seasonal ARIMA-Intervention Model (계절형 ARIMA-Intervention 모형을 이용한 한국 편의점 최적 매출예측)

  • Jeong, Dong-Bin
    • Journal of Distribution Science
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    • v.14 no.11
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    • pp.83-90
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    • 2016
  • Purpose - During the last two years, convenient stores (CS) are emerging as one of the most fast-growing retail trades in Korea. The goal of this work is to forecast and to analyze sales at CS using ARIMA-Intervention model (IM) and exponential smoothing method (ESM), together with sales at supermarkets in South Korea. Considering that two retail trades above are homogeneous and comparable in size and purchasing items on off-line distribution channel, individual behavior and characteristic can be detected and also relative superiority of future growth can be forecasted. In particular, the rapid growth of sales at CS is regarded as an everlasting external event, or step intervention, so that IM with season variation can be examined. At the same time, Winters ESM can be investigated as an alternative to seasonal ARIMA-IM, on the assumption that the underlying series shows exponentially decreasing weights over time. In case of sales at supermarkets, the marked intervention could not be found over the underlying periods, so that only Winters ESM is considered. Research Design, Data, and Methodology - The dataset of this research is obtained from Korean Statistical Information Service (1/2010~7/2016) and Survey of Service Trend of Korea Statistics Administration. This work is exploited time series analyses such as IM, ESM and model-fitting statistics by using TSPLOT, TSMODEL, EXSMOOTH, ARIMA and MODELFIT procedures in SPSS 23.0. Results - By applying seasonal ARIMA-Intervention model to sales at CS, the steep and persisting increase can be expected over the next one year. On the other hand, we expect the rate of sales growth of supermarkets to be lagging and tied up constantly in the next 2016 year. Conclusions - Based on 2017 one-year sales forecasts for CS and supermarkets, we can yield the useful information for the development of CS and also for all retail trades. Future study is needed to analyze sales of popular items individually such as tobacco, banana milk, soju and so on and to get segmented results. Furthermore, we can expand sales forecasts to other retail trades such as department stores, hypermarkets, non-store retailing, so that comprehensive diagnostics can be delivered in the future.

A Study on Consumer's Response Depending on Congruent . Incongruent Shopping Situation -Focusing on the comparison of online shopping mall and off-line department store- (조화ㆍ부조화 쇼핑상황에서의 소비자 반응에 관한 연구 -온라인 인터넷쇼핑몰과 오프라인 백화점의 비교를 중심으로-)

  • 김원겸;김형순;박주영
    • Journal of Distribution Research
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    • v.8 no.2
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    • pp.1-18
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    • 2003
  • This study has tried an integrated approach toward consumer response difference between the online internet shopping mall and the off-line department store focusing on the moderating role of shopping value according to shopping situation. This study has analyzed consumer behavior differences between online and off-line channel formats in one framework and identified differences in consumer behaviors between the two channel formats. Managerial implications of this paper include measuring the effects of the integration of online and off-line channel and developing multichannel strategy. This paper suggests marketers to develop channel strategies based on customer segmentation criteria reflecting different consumer shopping value between online and off-line channel formats rather than developing strategies based only on the conventional marketing mix.

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Developing the Strategies of Redesigning the Role of Retail Stores Using Cluster Analysis: The Case of Mongolian Retail Company (클러스터링을 통한 유통매장의 역할 재설계 전략 수립: 몽골유통사를 대상으로)

  • Tsatsral Telmentugs;KwangSup Shin
    • The Journal of Bigdata
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    • v.8 no.1
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    • pp.131-156
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    • 2023
  • The traditional retail industry significantly changed over the past decade due to the mobile and online technologies. This change has been accompanied by a shift in consumer behavior regarding purchasing patterns. Despite the rise of online shopping, there are still specific categories of products, such as "Processed food" in Mongolia, for which traditional shopping remains the preferred purchase method. To prepare for the inevitable future of retail businesses, firms need to closely analyze the performance of their offline stores to plan their further actions in a new multi-channel environment. Retailers must integrate diverse channels into their operations to stay relevant and adjust to the shifting market. In this research, we have analyzed the performance data such as sales, profit, and amount of sales of offline stores by using clustering approach. From the clustering, we have found the several distinct insights by comparing the circumstances and performance of retail stores. For the certain retail stores, we have proposed three different strategies: a fulfillment hub store between online and offline channels, an experience store to elongate customers' time on the premises, and a merge between two non-related channels that could complement each other to increase traffic based on the store characteristics. With the proposed strategies, it may enhance the user experience and profit at the same time.

Qualitative Study: The Development of Music Business Distribution Channels to Attract Potential Customers

  • Jeong-Eun PARK
    • Journal of Distribution Science
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    • v.21 no.6
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    • pp.13-20
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    • 2023
  • Purpose: This research explores the development of music business distribution channels to attract potential customers based on the current and prior literature. As a result, the research will provide solutions for practitioners in the music distribution channel how they create effective channel in new industry phase which has experienced significant changes due to technological advancement and consumer behavior. Research design, data, and methodology: To obtain textual data in the literature storage, the author conducted content analysis. Even though there are numerous textual resources, selecting only high-quality text data that is only peer-reviewed journal articles and books consistently indicate a high degree of reliability and validity to keep the advantage form content analysis approach. Results: The present study figured out that there are five strategies to attract potential consumers in the music distribution channel, such as (1) 'Marketing Mix', (2) 'Streaming Platforms and Online Music Stores', (3) 'Brick and Mortar Stores and Concerts, and Events', (4) 'Platforms Exclusives and Limited-Edition Merchandise', and 'Partnerships and collaborations. Conclusions: In sum, the practitioners need to consider include building relationships with the fans, studying and understanding their target market, utilizing multiple available distribution channels, embracing new technologies, and analyzing the effectiveness of the adopted distribution channels.

A Study on the Consumers' Perceptions and Behavioral Characteristics toward Fashion Products in Omni-channel Retailing (옴니채널 리테일링에서 패션 제품 소비자의 인식 및 행동 특성 탐구)

  • Kim, Yunjeong;Lee, Yuri
    • Journal of the Korean Society of Clothing and Textiles
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    • v.41 no.1
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    • pp.170-183
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    • 2017
  • The rapid growth of digital consumption has significantly changed the shopping behavior of consumers. The consumption paradigm is changing; subsequently, an omni-channel has been introduced that empowers consumers to interact with firms through a myriad of touch points in multiple channels. This study is to understand the perceptions and behavioral characteristics of consumers in the purchase process (e.g., information search and purchase phase). A qualitative method was adopted for this study and data were collected through semi-structured in-depth interviews with 15 omni-channel consumers. The results of this study were as follows. At the information search stage, consistency was the most important consideration for consumers who also wanted to retain channel-specific benefits. Consumers also searched for differentiated information among distribution channels. At the purchase stage, participants choose a shopping channel according to shopping values. They utilized newly introduced services (e.g., "online purchase, offline pick-up", FinTech) that combine retail channels. Our findings provide significance in managing omni-channel services. First, it is recommended that fashion retailers provide seamlessly integrated experience to consumer and adopt a consumer-centered channel choice strategy. Second, fashion retailers must maintain a constant attitude toward shopping experience to fashion, such as shopping enjoyment and exclusiveness.

Product Presentation Strategies for Cable Television Home Shopping Channels

  • Kim Dong Hun
    • Journal of Distribution Research
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    • v.1 no.1
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    • pp.223-237
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    • 1996
  • The emergence of the cable television era has spawned the introduction of many new television programming formats such as all-news channels, movie channels, channels catering to cultural events, channels for women, and many others. One of the new programming formats that is expected to have interesting implications for marketing is the home shopping channel. As we have observed in other countries, this new form of distribution may potentially have a major impact on the traditional retail industry. This paper presents a model of home shopping channel viewing behavior. This model is then used to formulate optimal product presentation strategies that may aid managers in the design of home shopping programs. Specifically, by formulating a profit-maximization problem based on tile model, we derive the optimal length of product presentations and explore its properperties through simulating various situations. The discussion of these properties provide insights about making strategic decisions regarding product presentations.

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An Exploratory Study of QR Code Utilization for Retailers' Multichannel Strategy (소매업체의 멀티채널 전략을 위한 QR코드 활용의 탐색적 연구)

  • Yoon, Namhee;Kim, Eun Young
    • Fashion & Textile Research Journal
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    • v.16 no.5
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    • pp.730-744
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    • 2014
  • With advances in QR code, mobile is becoming one of important channels in the fashion retail industries. This study attempts to understand the importance of QR code utilization in creating multi-channel business model. Study objectives are to classify types of multi-channel retailing by QR code utilization and to explore the role of QR code technology in strategic marketing elements for types of multichannel retailer. As an exploratory approach, a total of 78 news articles regarding QR code issues were reviewed and analyzed by focusing on 48retailers seleted in this study. The results found seven dimensions of QR code marketing strategies: abundant product information, additional information contents, transaction accessibility, connectedness to channels, location based service, loyalty program and multimedia advertising. Based a combination of channels and level of mobile apps' activation, multichannel retailers utilizing QR code technology were classified into four types; bricks-click-active mobile model, bricks-click-inactive mobile model, bricks-click model, and click-active mobile model. There were differences of using QR code marketing strategies among multichannel models. According to results, for bricks-and-mortar retailers, QR code was critical to integrate shopping experience with merchandise or sales promotions across channels. In addition, for non-store retailers, the QR code utilization was successful in expanding mobile channels, which can promote retail sales by a two-way interaction with customers via the mobile apps.

Channel Innovation through Online Transaction processing System in Floral Wholesale Distribution: FLOMARKET Case (화훼도매 온라인 거래처리 시스템을 통한 유통경로 개선방안 연구: (주)플로마켓 사례)

  • Lee, Seungchang;Ahn, Sunghyuck
    • Journal of Distribution Science
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    • v.8 no.1
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    • pp.21-33
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    • 2010
  • The ICT(information & communication technology) led to a dramatic change of floral distribution service, a phase of competition between wholesales and retail stores, and distribution channels in floral industry. It was expected that a role of the intermediaries in this industry would have reduced due to the improvement of transaction process by ICT. However, the ICT made to overcome a regional limit of the floral retail distribution service leading to an increase in sales and enlargement of the stores. And even it made possible to bring out another type of intermediaries such as private associations. This case study focuses on what kinds of efforts the floral wholesale distributors have made to enable a distribution process more smoothly between the wholesale distributors and retail stores through the information system, and what the failure factors in adopting the information system have been. This paper is also to examine how the wholesale distributors have changed themselves to gain dominant positions in distribution channels. As a result of the study, it was found that the intermediaries mostly failed in successfully achieving the distribution channel innovation through the information system because of several main reasons. FLOMARKET Inc. tried to innovate a distribution channel to obtain high quality goods through consolidating a wholesale distribution market in that segregated both floral joint market from free markets. after implementing the information system with consideration of the failure factors, FLOMARKET Inc. was able to minimize goods in stock and make a major purchase of various goods. In addition, it made a possible pre-ordering process and an exact calculation of purchasing goods so they could provide their products with market price in real time, which helped for the company to gain credits from their customers. Also, FLOMARKET Inc. established the information system which well suited to its business stage in order to deal with a rapidly changing distribution environment. It's so obvious that the transaction processing system of FLOMARKET Inc. definitely helped to share information among traders more seamlessly and smoothly in realtime, standardize goods, and make a transaction process clearer. Besides, the transaction information helped the wholesale distributors and retail stores to make more strategic decisions in their business because through the system they enabled to gather the marketing intelligence information more easily and convenient. If we understand that the floral distribution market is characterized by the low IT- based industry, it's worth to examine a case study proving that the information system actually increases the productivity of the transaction process in the floral industry.

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Retail-Store Type Digital Signage Solution Development And Usability Test Using Android Mini PC (안드로이드 미니PC를 이용한 Retail-Store형 디지털사이니지 솔루션 개발 및 사용성 테스트)

  • Lim, Jungtaek;Shin, Dong-Hee
    • The Journal of the Korea Contents Association
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    • v.15 no.4
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    • pp.29-44
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    • 2015
  • Digital Signage, a way of advertising or delivering information to viewers through digital displays, has expanded from being just an advertising channel in public places. Recently, it has become widely prevalent in restaurants and retail stores. Despite its wide expansion, digital signage is limited to specific usages and services and the devices it uses are also quite expensive. This study introduces a stick-type digital signage product that operates on Android OS, which addresses all the weaknesses of digital signage with much more reasonable pricing and stable operation. For stability, performance tests were executed on the hardware and applications. The results for hardware performance were extremely promising, as each scenario's maximum performance results, measured by Load Runner programs, reached target indexes. Also, as a result of the usability test, all participants, including non-digital signage system users (novices), were able to easily learn all the tasks. As a result of user satisfaction survey, positive responses were exhibited for ease of learning and usability (LEU), helpfulness and problem solving capabilities (HPSC), affective aspect and multimedia properties (AAMP), commands and minimal memory load (CMML), and control and efficiency (CE).

Personalize the Brick'n Mortar

  • Kim, Chan-Young;Melski, Adam;Caus, Thorsten;Christmann, Stefan;Thoroe, Lars;Schumann, Matthias
    • 한국경영정보학회:학술대회논문집
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    • 2008.06a
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    • pp.1088-1095
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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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