• Journal of Distribution Science
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• v.18 no.5
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• pp.89-98
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• 2020

Purpose: The growth of online commerce is now becoming a major threat and a new opportunity for retailers. Existing offline retailers struggle to cope with new online retailers' threats by utilizing offline infrastructure. Besides, online retailers expand their online strengths to offline sales by opening their offline stores. Many retailers are paying close attention to the O2O business and the resulting changes. Thus, this research focuses on the O2O business model and process that retailers can adopt. Research design, data and methodology: Considering the features of products that retailers sell, this paper divides O2O business process with the following criteria: delivery lead-time and delivery area. And This research uses the business model canvas to define the features of O2O commerce business process. This paper also uses nine key elements in the business model canvas for analyzing the structure of O2O commerce business. Results: This paper suggests the delivery model of retailers respond to offline customer orders and summarizes the following results. (1) Considering characteristics such as logistics process, delivery area, and product type, we define the features of O2O business models: wide-area (warehouse) based O2O business model, regional area (store) based O2O business model and time-separated O2O business model. (2) This study checks the availability of the business model through the business cases of O2O business models. (3) This study also analyzes the O2O business model of domestic retail companies by the factors defined in the business model canvas. Conclusions: Retailers can adopt the O2O business process to fit their business requirements and strategy. The online retailers who deal with normal consumer products mainly have the wide-area based O2O business model. The wide-area based O2O business model can be suitable for retailers who manage inventory centrally. The time-separated O2O business model can be a good solution for fresh food retailers to operate the logistics process efficiently. And to shorten the delivery lead-time of fresh foods, the regional area based O2O business model can be fit to the retailer that utilizes its offline logistics or sales infrastructure. It may be much more important for retailers to share the inventory information with other branches and to change the role of offline stores.

• Journal of Intelligence and Information Systems
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• v.23 no.4
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• pp.77-110
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• 2017

Recently, the diversification and individualization of consumption patterns through the web and mobile devices based on the Internet have been rapid. As this happens, the efficient operation of the offline store, which is a traditional distribution channel, has become more important. In order to raise both the sales and profits of stores, stores need to supply and sell the most attractive products to consumers in a timely manner. However, there is a lack of research on which SKUs, out of many products, can increase sales probability and reduce inventory costs. In particular, if a company sells products through multiple in-store stores across multiple locations, it would be helpful to increase sales and profitability of stores if SKUs appealing to customers are recommended. In this study, the recommender system (recommender system such as collaborative filtering and hybrid filtering), which has been used for personalization recommendation, is suggested by SKU recommendation method of a store unit of a distribution company that handles a homogeneous brand through a plurality of sales stores by country and region. We calculated the similarity of each store by using the purchase data of each store's handling items, filtering the collaboration according to the sales history of each store by each SKU, and finally recommending the individual SKU to the store. In addition, the store is classified into four clusters through PCA (Principal Component Analysis) and cluster analysis (Clustering) using the store profile data. The recommendation system is implemented by the hybrid filtering method that applies the collaborative filtering in each cluster and measured the performance of both methods based on actual sales data. Most of the existing recommendation systems have been studied by recommending items such as movies and music to the users. In practice, industrial applications have also become popular. In the meantime, there has been little research on recommending SKUs for each store by applying these recommendation systems, which have been mainly dealt with in the field of personalization services, to the store units of distributors handling similar brands. If the recommendation method of the existing recommendation methodology was 'the individual field', this study expanded the scope of the store beyond the individual domain through a plurality of sales stores by country and region and dealt with the store unit of the distribution company handling the same brand SKU while suggesting a recommendation method. In addition, if the existing recommendation system is limited to online, it is recommended to apply the data mining technique to develop an algorithm suitable for expanding to the store area rather than expanding the utilization range offline and analyzing based on the existing individual. The significance of the results of this study is that the personalization recommendation algorithm is applied to a plurality of sales outlets handling the same brand. A meaningful result is derived and a concrete methodology that can be constructed and used as a system for actual companies is proposed. It is also meaningful that this is the first attempt to expand the research area of the academic field related to the existing recommendation system, which was focused on the personalization domain, to a sales store of a company handling the same brand. From 05 to 03 in 2014, the number of stores' sales volume of the top 100 SKUs are limited to 52 SKUs by collaborative filtering and the hybrid filtering method SKU recommended. We compared the performance of the two recommendation methods by totaling the sales results. The reason for comparing the two recommendation methods is that the recommendation method of this study is defined as the reference model in which offline collaborative filtering is applied to demonstrate higher performance than the existing recommendation method. The results of this model are compared with the Hybrid filtering method, which is a model that reflects the characteristics of the offline store view. The proposed method showed a higher performance than the existing recommendation method. The proposed method was proved by using actual sales data of large Korean apparel companies. In this study, we propose a method to extend the recommendation system of the individual level to the group level and to efficiently approach it. In addition to the theoretical framework, which is of great value.

• Journal of Advanced Information Technology and Convergence
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• v.9 no.2
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• pp.41-54
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• 2019

The cinema circuit is facing a digital, network, and mobile age, which expands non-theater accessibility to movies. Application platforms are situated as the most competitive business model that provide digital content such as games, music, books, and movies. Consumers can acquire content-related information not just offline, but online as well. Therefore, item information provided by application platforms is required. The information provided by application platforms consists of richly descriptive information such as storyline summary, consumer reviews, and related articles, while non-descriptive normative information covers data such as sales ranking, release date, genre, rental or purchase cost, domestic/foreign classification, consumer rating, number of consumer ratings, film rating, and so on. In this study, we surveyed and analyzed statistically the correlation between real-time sales ranking and other comparable non-descriptive information.

• Journal of Digital Convergence
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• v.16 no.10
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• pp.115-123
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• 2018

This study explores unified service experience to boost O2O services. Previous studies on service management and marketing only focused on customer experience in offline stores, while prior works on information systems looked only at the experience of services in mobile applications. In this vein, this study took into accounts the characteristics of offline stores and the benefits of their mobile applications. Moreover, the final dependent variable was share of wallet to measure customer's expenditure within the category. The theoretical model was tested based on 219 consumers who frequently visit Starbucks and use its mobile application. PLS method was applied to analysis the research model and hypotheses. The analysis results showed that customer satisfaction about offline store is not significantly related to share of wallet, while satisfaction about mobile application plays a significant role in enhancing share of wallet. Hedonic and social benefits were found to have significant effects on satisfaction about mobile application. The analysis results help establish service marketing and strategies to enhance the unified customer experience of O2O service.

• Fashion & Textile Research Journal
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• v.21 no.4
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• pp.401-411
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• 2019

Non-contact judgment and evaluation for products are increasingly needed along with a rapid environmental change in fashion that sows urgency in the need to implement services that allows users to judge and experience a tactile sense in a fashion product without actual contact. Technological development is required to provide users with syn-aesthetic experiences that integrate the visual, tactile and the auditory. There is also a need to conduct research to increase immersion that provides users with ICT-related experiences communicated through fashion images. The study analyzed demands for haptic communication technology by Korean users in immersive VR fashion product shopping. Accordingly, it defined haptic communication through literature research, investigated immersion in the VR environment and conducted in-depth interviews for haptic communication applicable to VR shopping. Findings show that hedonic reactions by fantasy, emotion and fun function are an important motive in selecting VR shopping. VR fashion product shopping steps were divided into 4: move to store, search in store, search of product and purchase based on offline store shopping experience. It defined the haptic communication by steps and analyzed the types of the haptic feedback to be implemented. The study results provide basic data for developing haptic communication technology that can enhance e a sense of the presence and immersion experiences that can help lay a groundwork for pilot studies on the convergence of the virtual and the real.

• 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.

• Information Systems Review
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• v.19 no.4
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• pp.27-42
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• 2017

With the rapid development in network, graphic technology, and digital technology, content industry is emerging as an important industry for new cultural development and economic development. The development in digital content technology has remarkably expanded the generation and distribution of contents, thereby creating new value and extending into a large distribution market. However, the ease of distribution and duplication, which characterizes digital technology, has increased the circulation of illegal contents due to illegal copying, theft, and alteration. The damage caused by this illegal content is severe. Currently, a copyright protection system targeting online sites is available. By contrast, no system has been established for offline companies that sell offline genuine content, which compete with online companies. The demand for content of overseas tourists is increasing due to the Korean wave craze. Nevertheless, many offline content providers have lost competitiveness due to illegal content distribution with online companies. In this study, we analyzed the case and status of similar copyright certification systems in Korea and overseas through previous research and studied a system to certify the offline genuine contents business. In addition to the case analysis, we focused on interviews obtained through in-depth interviews with the copyright stakeholders. We also developed a certification framework by establishing the certification domain, certification direction, and incentive of the certification system for offline businesses with genuine content. Selected certification direction is ethical, open, inward, store, and rigid (post evaluation). This study aimed to increase awareness among consumers about the use of genuine content and establish a transparent trading order in a healthy content market.

• Journal of the Korean Society of Clothing and Textiles
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• v.44 no.4
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• pp.676-690
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• 2020

This study proposes a research model that examines the impact of perceived technological innovativeness on curiosity and fun, which influence revisit and word-of-mouth intentions for an augmented reality store. Data was collected from 189 female consumers in their 20s and 30s living in the Seoul metropolitan area using a convenient sampling method. The results of the study were summarized as follows. First, perceived technological innovativeness was found to have positive effects on curiosity and fun. Second, curiosity had a positive relationship with fun. Third, curiosity had positive effects on revisit and word-of-mouth intention toward the augmented reality store, while fun had no effect on revisit and word-of-mouth intention. Fourth, curiosity mediated the relationship between perceived technological innovativeness and revisit intention, and between perceived technological innovativeness and word-of-mouth intention. The introduction of innovative technology in the offline store leads to a positive response through curiosity rather than fun; therefore, it is suggested that fashion companies develop and utilize augmented reality content that stimulates more curiosity.

• Journal of Digital Convergence
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• v.19 no.6
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• pp.343-353
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• 2021

The beauty industry of China POP-UP store service, has entered the peak development period. This paper takes China Estee Lauder POP-UP store as an example, based on the user experience of interactive marketing mode in Beauty POP-UP store under the new retailing model. The paper aims to establish a system interaction design process integrating online and offline to help enterprises complete the sustainable development of marketing services. To achieve this goal, this study uses questionnaires to investigate the key elements of user experience, customer journey map to determine the user pain points, and completes the design of the new system process. This process can provide designers with a new perspective through experimental verification, with high timeliness and practicability. It also promotes the collaborative optimisation and upgrading of physical retail and online retail and provides theoretical support and practical basis for other enterprises.

• The Journal of Korea Institute of Information, Electronics, and Communication Technology
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• v.10 no.2
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• pp.125-132
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• 2017

O2O service contribute to sales increment by marketing of offline store using online. In particular, O2O business allowed various services by smart-phone due to rapid increase of mobile device use and various services depend on customer's location. This O2O service play major roll in real purchase making of offline store. In smart-phone apps. development for O2O service, recent an Object-oriented Analysis and Design Method, that is, UML is more useful method than Structured Analysis and Design Method. Therefore in this paper, Software analysis and design method which is smart-pone app. for O2O restaurant service is presented. Also it shows that this analysis/design method is very useful for the Restaurant O2O Commercial System production.