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1 – 5 of 5Monica Cortiñas, Raquel Chocarro and Margarita Elorz
Consumers are increasingly combining distribution channels, thus displaying so-called omni-channel behavior, both to complete a given purchase and between purchases. The authors…
Abstract
Purpose
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.
Design/methodology/approach
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.
Findings
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.
Practical implications
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.
Originality/value
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 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.
Propósito
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.
Diseño/metodología/enfoque
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.
Resultados
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.
Implicaciones prácticas
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.
Originalidad/valor
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.
Líneas futuras
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.
Palabras clave
Omni-canal, Moda rápida, Trabajo de investigación, Segmentación, Servicios de distribución, Comercio electrónico
Tipo de artículo
Trabajo de investigación
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Keywords
Edoardo Fornari, Daniele Fornari, Sebastiano Grandi, Mario Menegatti and Charles F. Hofacker
The purpose of this paper is to investigate the topic of multi-channel retailing. Specifically, the research intends to determine if and to what extent the opening of physical…
Abstract
Purpose
The purpose of this paper is to investigate the topic of multi-channel retailing. Specifically, the research intends to determine if and to what extent the opening of physical stores by a former web-only retailer reduces or extends overall retail sales, and whether such effects tend to change over time. Empirical analysis focuses on data elaboration from a retailer who has passed from the initial mono-channel model (pure online), to a multi-channel one with the opening of stores.
Design/methodology/approach
Through the analysis of an internal data set of a leading consumer electronics retailer applying Probit and Logit estimation techniques, the authors extract information about actual customers’ purchases (or rather retail sales) in three newly opened stores and about online purchases (through an e-commerce web site managed by the same retailer with the same store brand) by people living in the new store service areas before and after the openings.
Findings
The paper shows that, for the single customer, the probability of purchasing online is reduced by the store opening in the short term, but tends to increase in the long term. Besides, results indicate that long-term synergy between the two channels depends mainly on indirect influence due to the mere presence of the store brand in the area rather than on the direct experience of shopping in the store.
Research limitations/implications
The study highlights that channel portfolio enlargement from mono- to multi-channel retailing tends to activate a sort of life cycle; while in the early phase of store addition web sales tend to be cannibalized because the two channels are perceived as “substitutes” for each other, in the long run migration turns into a synergy effect; different channels tend to interact with and reinforce each other as customer touch points of the same retailer, in an omni-channel perspective.
Originality/value
The paper herein presents various original elements concerning types of available data (actual sales rather than consumers’ intentions/perceptions and individual level data rather than aggregate level ones), estimation technique used (binary choice model) and research hypotheses (distinguishing between “direct” and “indirect” synergy effects in multi-channel retailing).
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Dragan Stojković, Aleksa Dokić, Bozidar Vlacic and Susana Costa e Silva
Newly established intersections between offline and online channels create room for enhancing inter-channel synergies. The nature and structure of emerging markets only further…
Abstract
Purpose
Newly established intersections between offline and online channels create room for enhancing inter-channel synergies. The nature and structure of emerging markets only further emphasize the need to expand existing knowledge. Consequently, this study investigates inter-channel synergy creation during offline–online retail integration in emerging markets.
Design/methodology/approach
Data collected from 97 companies in Serbia that incorporated online channels into their offline retailing businesses were analyzed using the structural equation modeling method.
Findings
The results show that retailers who have undergone click-to-brick integration in the emerging markets struggle to leverage physical presence for inter-channel synergy creation through digital channels. Essentially, retailers integrating clicks into bricks in emerging markets are less likely to achieve immediate omni-channel synergy, resorting to a multi-iterative transition process.
Originality/value
This research synthesizes knowledge on inter-channel synergy creation in an omni-channel context, as well as existing findings regarding inter-channel integration. This paper presents the first comprehensive study on inter-channel synergy creation during click-to-brick integration in emerging retail markets. Moreover, this study outlines challenges facing retailers seeking channel synergy during click-to-brick integration. The study results have theoretical and practical implications regarding inter-channel synergy creation in the multi-channel environment of emerging markets.
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Isabelle Collin-Lachaud, Guillaume Do Vale, Jonathan Reynolds and Richard Cuthbertson
Digitalization and multi-channel strategy have appeared as recurrent themes in retailing for years, yet some major international as well as domestic mass retailers have chosen to…
Abstract
Purpose
Digitalization and multi-channel strategy have appeared as recurrent themes in retailing for years, yet some major international as well as domestic mass retailers have chosen to retain a single, physical channel focus for customer transactions. These retailers, despite the digital mindset preoccupying the retailing sector, have chosen to rely fully, or predominantly, on their stores to generate revenues. A number of questions arise from this approach. This paper aims to understand the rationale for marketing and strategic practices which appear to go against the dominant, strongly digitally oriented, discourses and practices in the field of retailing. Why do some retailers choose not to add a digital transactional channel? Are there defensible reasons for this choice? Can such a strategy successfully create value?
Design/methodology/approach
This research is based on a qualitative, multiple case study of the strategies adopted by Primark (fashion) and Aldi (food), two major retailers that retain a largely single-channel transaction focus, in France and the UK.
Findings
This research suggests that some retailers may still be able to succeed by maintaining a single-transactional physical channel to avoid a cost trap which extensive moves towards digitalization of transactions might mean for them. In such circumstances, refusing to adopt a digital value proposition may be a means of preserving the success of their original business model.
Originality/value
Despite the weight of academic and practitioner discourses on the urge to undertake digital transformation, this work provides a comprehensive illustration of the rationale for sticking to a single physical channel to preserve the profitability of a traditional store-based business model.
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