Search results

This paper investigates why bancassurance coexists with alternative insurance distribution channels in the long run, considering the bank channel is known to involve lower costs than traditional distribution systems. It tests the product-quality hypothesis that maintains that the higher costs of some distribution systems represent expenses associated with producing higher product quality, greater service intensity and/or skills to solve principal-agent conflicts.

An analysis is conducted on firms operating in the life segment of the Spanish insurance industry over an eight-year sample period. First, the author estimates cost efficiency and profit inefficiency using data envelopment analysis. Cost efficiency enables one to evaluate if the use of the banking channel increases cost efficiency. Profit inefficiency is addressed to identify the existence/absence of product-quality differences. The performance implications of using bancassurance are analyzed by applying Heckman's two-stage random-effects regression model.

The results support the product-quality arguments. The use of banking channel was found to increase cost efficiency. However, the distribution channel/s utilized did not affect profit inefficiency.

A regulatory environment that supports the development of bancassurance enables this and alternative distribution channels to be sorted into market niches, where each system enjoys comparative advantages in order to minimize insurer costs and maximize insurer revenues. There is no single optimal insurance distribution system.

This is the first study to investigate why bancassurance coexists with alternative insurance distribution channels.

Consumers are increasingly combining distribution channels, thus displaying so-called omni-channel behavior, both to complete a given purchase and between purchases. The authors make a distinction between omni-channel customers, who make use of distribution services in both channels and omni-channel users, who make partial use of the distribution services of one channel to support purchases in another. This paper aims to identify the omni-channel behavior among the customers of a global fast fashion retailer dealing in a wide range of apparel and clothing accessories.

Using a multinomial logit model, the authors perform a customer segmentation based on observed omni-channel behavior, considering the explanatory roles of demographics, distribution service features and customer service policies across the different retail channels.

The authors observe that the key retail channel features for explaining omni-channel customer behavior are product accessibility, both in store and online; the assurance that goods purchased online will satisfy the customer’s needs and expectations; and the option to return goods found unsatisfactory.

The results clearly show that the nature of the visits and purchases made by customers is determined by various components of the companýs customer service policy, which can, therefore, be used to guide the retailer’s segmentation strategy.

Future lines of research should explore the economic implications of this customer segmentation. The price perception data emerging from our findings suggest a greater sensitivity to prices in the mono-channel segment, which might be worth exploring in future research.

Future lines of research should explore the economic implications of this customer segmentation. The price perception data emerging from our findings suggest a greater sensitivity to prices in the mono-channel segment which might be worth exploring in future research.

Los consumidores combinan canales de distribución en el denominado comportamiento omni-canal cada vez en mayor medida, tanto para completar una misma compra como entre distintas compras. Distinguimos entre clientes omni-canal, que hacen uso de los servicios de distribución de ambos canales, y usuarios omni-canal, que hacen solo un uso parcial de los servicios de distribución de un canal para apoyar las compras en el otro canal. En este trabajo identificamos este comportamiento omni-canal entre los clientes de una empresa global del sector de la moda que vende un amplio rango de productos de ropa y complementos.

Mediante un modelo logit multinomial, realizamos una segmentación de los clientes en base a su comportamiento omnicanal. En esta segmentación, consideramos el papel explicativo, no solo de las características de los individuos, sino también el de los servicios de distribución y las políticas en cada canal.

Obtenemos cómo el acceso al producto, tanto en el establecimiento como a la página web, la garantía de que el producto comprado online tendrá las características esperadas y las facilidades para devolver el producto adquirido online si no cumple las expectativas, son rasgos clave de los canales que explican el comportamiento omnicanal de los clientes.

Nuestros resultados muestran claramente que diferentes aspectos de la oferta de servicios y de políticas de la empresa determinan las compras y las visitas y estos aspectos pueden ser utilizados para guiar la estrategia de segmentación del detallista.

En este trabajo contribuimos a la literatura sobre el marketing omnicanal presentando un modelo de segmentación, basado en los servicios de distribución ofertados por los minoristas, para las empresas que comercializan productos a través de distintos canales. Aportamos una distinción conceptual entre usuarios de un canal y compradores que tiene un amplio rango de aplicación.

Es necesario proseguir con las líneas futuras de investigación para investigar las implicaciones financieras de esta segmentación. La percepción de los precios que se detecta en nuestros resultados puede sugerir una sensibilidad mayor a los precios en el segmento mono-canal lo que puede ser una línea interesante a contrastar en investigaciones futuras.

Omni-canal, Moda rápida, Trabajo de investigación, Segmentación, Servicios de distribución, Comercio electrónico

Trabajo de investigación

Despite the abundance of small-scale farms in the USA and their importance for both rural economic development and food availability, the extensive research on small business management and entrepreneurship has mostly neglected the agricultural context, leaving many of these farms' business challenges unexplored. The authors focus on informing a specific decision faced by small farm managers: selling directly to consumers (i.e. farmer's markets) versus selling through aggregators. By collecting historical data and a series of interviews with industry experts, the authors employ simulation methodology to offer a framework that advises how small-scale farmers can allocate their product across these two channels to increase revenue in a given season. The results, which are relevant for operations management, small business management and entrepreneurship literature, can help small-scale farmers improve their performance and compete against their larger counterparts.

The authors rely on historical and interview data from key industry players (an aggregator and a small farm manager) to design a simulation analysis that determines which factors influence season-long farm revenue performance under varying strategies of channel allocation and commodity production.

The model suggests that farm managers should plan to evenly split their production between the two distribution channels, but if an even split is not possible, they should plan to keep a larger percentage in the nonaggregator (farmers' market/direct) channel. Further, the authors find that farmers can benefit significantly from a strong aggregator channel customer base, which suggests that farmers should promote and advertise the aggregator channel even if they only use it for a limited amount of their product.

The authors integrate small business management and operations management literature to study a widely understudied context and present practical implications for the performance of small-scale farms.

The purpose of this paper is to examine the transformation of the perspective applied to distribution structures in the late 1900s. This change implied that the previous focus on channel management by a channel captain was abandoned because of changes in the business reality. This perspective was replaced by models and concepts featuring collaboration and joint coordination between actors and relationships embedded in networks.

Changes of perspectives on phenomena are assumed to occur through the dynamic interplay between business reality, the conceptualisation of this reality and the managerial recommendations derived from this conceptualisation. The study is based on a thorough longitudinal literature review.

Shifts of perspectives occur when there is an increasing mismatch between the current business reality and mainstream conceptualisations. In this transformation, new constructs are required to illustrate new aspects of the business reality, exemplified in the study by interaction and networks. Some established concepts lose their significance, illustrated by the channel captain. Others may be re-interpreted, as is the case with the power concept. The study also shows that “forgotten” conceptualisations can be re-wakened, exemplified by the view of distribution structures as network constellations. In turn, these changes in the conceptualisation of distribution impact the managerial recommendations.

To the best of the author’s knowledge, there are no previous studies analysing how the perspective on a certain phenomenon changes through the dynamic interplay between business reality, conceptualisations and managerial recommendations.

The purpose of this paper is to increase the understanding of how warehouse operations and design are affected by the move toward integrated omni-channels.

A structured literature review is conducted to identify and categorize themes in multi- and omni-channel logistics, and to discuss how aspects related to these themes impact and pose contingencies for warehouse operations and design.

The review revealed a lack of focus on warehouse operations and design in multi- and omni-channels. Instead, most articles published in scientific journals discuss changes in consumer demand and implications for the network level, concerning aspects such as the organization and management of material and information flows, inventory management, resources, actors and relationships. Ten themes in omni-channel logistics were identified and grouped into two categories: the value proposition and channel management; and the physical distribution network design. The themes and related aspects have implications for warehousing, and by combining these with general warehousing knowledge, the authors derive a comprehensive and structured agenda is derived to guide future research on omni-channel warehousing.

This paper outlines a research agenda, including detailed research questions, for advancing the theory on warehouse operations and design in omni-channels.

The agenda can inspire practitioners in their work to understand the upcoming challenges and address relevant issues in omni-channel warehousing, taking into consideration its interdependence with value proposition, channel management and network decisions.

This is the first comprehensive review focusing on and synthesizing available literature on omni-channel warehousing. This topic has until now received limited coverage but is of increasing importance to scholars in the field.

While remanufactured products represent an increasingly researched phenomenon in the literature, not much is known about consumers' understanding and acceptance of such products. This study explores this issue in the context of the theory of perceived risk (TPR), investigating return policy leniency and distribution channel choice as potential factors to foster remanufactured products' sales.

This research utilizes an experimental design composed of a pre-test and a scenario-based main experiment to explore how return policy leniency might mitigate consumers' perceived risk and how their related purchase intention differs across two types of retail distribution channel structures (i.e. brick-and-mortar vs. online).

The investigation into the efficacy of return policy leniency within two retail distribution channel settings (i.e. brick-and-mortar vs. online) illustrates that providing a lenient return policy is an effective “cue” in increasing consumer purchase intention for remanufactured products. While prior literature has established that consumers value return policy leniency for new products, the authors provide empirical evidence that this preference also applies to remanufactured products. Notably, that return policy preference holds true in both channel settings (i.e. brick-and-mortar vs. online) under consideration. Additionally, and contrary to the authors’ predictions, consumers perceived remanufactured products sold via both channel settings as equally risky, thus highlighting that both are appropriate distribution channels for remanufactured products. Finally, while research on new products provides some initial guidance on consumer perceptions of quality and risk, the study provides empirical evidence into the difference of perceived risk with regard to new versus remanufactured products.

By employing the TPR, this research explored the role played by two supply chain management related factors (returns policy and channel structure) in reducing consumer's perceived risk and increasing purchase intention. In doing so, this study answers the call for more consumer-based supply chain management research in a controlled experimental research setting.

The purpose of this paper is to explore the current trends, implications and challenges of information systems (IS) related to omni-channel logistics.

An exploratory survey study is conducted with 23 Swedish retail companies transforming to omni-channel logistics. The study investigates the retailers’ current situations regarding logistics IS as well as their perceptions of the future development.

From the perspective of leading Swedish retailers, omni-channel requirements drive the implementation of new IS to support effective and efficient material handling across the network and in the respective nodes. The shifting roles and increase in the number of handlings nodes will require flexible IS platforms that can support multiple flows and integrated inventory. The major increase in the implementation of new, critical functionalities is related to real-time, multi-criteria decision making on order allocation to different handling nodes. More advanced IS functionality is also required in material-handling nodes to support the increased degree of automation and continuous improvements with the aim to shorten order-to-delivery lead times. A number of challenges are identified that must be addressed during the transformation to omni-channel logistics, especially related to the growing complexity and decentralization of networks, tougher lead-time requirements and larger product assortments.

To support further theory development, 11 propositions related to trends and a schematic framework conceptualizing implications and challenges are submitted for testing in future research.

The study highlights several aspects related to logistics IS that are important for practitioners to consider as they undergo the transition to omni-channels. It provides insights into IS functionalities that are likely to grow in use and criticality for supporting material handling and inventory management in increasingly complex and decentralized networks. In particular, the authors stress the need to implement functionality that works across previously separated handling nodes and decision areas. Managers can also use the propositions to reflect on what the near future holds and as input for their own scenario analyses.

Previous research has primarily focused on technology that supports the front-end customer experience. This study is original in that it explores the trends, implications and challenges for logistics IS in omni-channels – an area that has not been explored in detail previously. It also studies both perceived and expected changes over time related to the transformation toward omni-channel logistics.