• The Journal of Small Business Innovation
• /
• v.20 no.1
• /
• pp.35-46
• /
• 2017

The purpose of this study is to obtain the implications for establishing a marketing strategy for retailers by analyzing whether the consumer's preference for products (food) is influenced by on-line, off-line, and omni-channel preferences. The research model consisted of the effects of consumers' food selection characteristics on business preference and omni channel preference. The results of analysis based on 477 questionnaires are summarized as follows. First, food purchasing characteristics that utilize the seven characteristics of (1) freshness of food, (2) taste, (3) quality and safety, (4) tasting, (5) food function and information, (6) country of origin, and (7) brand loyalty, has various effects on types of business preference, omni-channel preference. The adopted hypotheses were selected in order of brand loyalty (5 times), freshness (3 times), tasting (3 times), and origin (1 time). The selective attributes on foods are: (1) what kind of brand, (2) how good the freshness is, (3) tasting. (4) The country of origin is to be compressed. Actually consumers seem to utilize only the core selective factors that are appropriate to the characteristics of the distribution channel rather than all of them in the shopping of the food, and there is three characteristics on Convenience Store and only one or two factors in the other types of business. Second, in the analysis of the omni-channel preference analysis, food selection characteristics has been shown to have a limited effect, which is attributed to the fact that the consumer has not yet understood the concept of omni channel. Third, the results of this study suggest that there is a need to reflect the selection characteristics of foods that have diverse influences by business type in the marketing strategies. Because consumers make reasonable consumption to use both on-line and off-line simultaneously, consumers who use Omni Channel focus on quality and safety of food, identify products through tasting, pursue brands that can trust anywhere. Customers who pursue rationality will have a high preference for using Omni Channel. Product choice characteristic has significant effect on omni-channel preference. For a few years, omni-channel strategy of retailers meets with a difficulty. This study make a first attempt to study omni-channel preference changing retailing paradigm.

• Journal of Information Technology Applications and Management
• /
• v.23 no.2
• /
• pp.239-261
• /
• 2016

Wide use of smart and high performing mobile device makes consumers use diverse distribution channels, composed of online and offline channel. Smart companies are trying to deploy omni channel. In order to successfully integrate these diverse channels, it is necessary to understand consumers' preference of channel choice. Thus, this study was focused on the influencing factors of channel preference such as price sensitivity, consumer innovativeness, time pressure, and need-for-touch. And this study compared these influencing factors between Korea and China, and drew meaningful message for e-commerce companies and offline distribution companies.

• Journal of Service Research and Studies
• /
• v.8 no.3
• /
• pp.97-114
• /
• 2018

This study was intended to empirically examine the influence that the omni-channel brand experience would have on omni-channel brand relationship formation and achievements. All hypotheses were adopted, except for 1 hypothesis(Hypothesis 5), among 12 hypotheses. Specific results were as below: First, omni-channel brand experience had a positive(+) influence on brand trust(Hypothesis 1), brand identification(Hypothesis 2), and consumer-brand relationship(Hypothesis 3) as a whole. The brand trust had a positive(+) influence on brand identification(Hypothesis 4), but did not have statistically significant influence on consumer-brand relationship(Hypothesis 5). Meanwhile, brand identification had a positive(+) influence on consumer-brand relationship(Hypothesis 6). Second, consumer-brand relationship had a positive(+) influence on re-purchase intention(Hypothesis 7), word-of-mouth intention(Hypothesis 8), and brand extension acceptability(Hypothesis 9) as a whole. Finally, omni-channel brand showed the following relationship with and achievements. re-purchase intention had a positive(+) influence on both word-of-mouth intention(Hypothesis 10) and brand extension acceptability(Hypothesis 11) while word-of-mouth intention had a positive(+) influence on brand extension acceptability. The results of this study may provide theoretical and practical implications for marketing managers' understanding and strategy planning in connection with consumer experience and relationship formation promoted recently by omni-channel brands of distribution companies.

• Journal of the Korean Society of Clothing and Textiles
• /
• v.42 no.6
• /
• pp.909-923
• /
• 2018

Online retailers' offline channel expansion is rapidly growing as an important consumer incentive strategy, despite the enormous initial costs of establishing a store. This study focuses on the offline channel operation of online shopping malls, and examines the effects and influencing factors of the channel expansion strategy from a consumer perspective. In-depth interviews were conducted with ten customers in their 20s and 30s who had visited online retailers' stores or purchased products. Major issues were extracted based on the framework of a channel effect mechanism proposed by Cao and Li (2015). Subsequently, it was found that existing online retailers could enhance brand image and perception by expanding their channels to offline stores. It was also emphasized that the consumer trust on the quality of the product in offline stores is a key variable, and it has a significant influence on consumer's continuous purchase and revisit intention. This study showed that borderless channel integration was the most important task when expanding channels of online retailers. So it will be necessary to strive for an omni-channel strategy so that channel integration can be strategically executed and consumers can interact regardless of channels.

• Journal of Distribution Science
• /
• v.16 no.10
• /
• pp.5-21
• /
• 2018

Purpose - This case study reviews the development history of Lotte Shopping, which has played a key role in modernizing Korea's retail industry. Research design, data, and methodology - Lotte Shopping's expansion to various channel types has been reviewed from the perspective of the resource-based view of strategy. The opening of Lotte Department Store in 1979 signaled the beginning of the modernized distribution system in Korea. Lotte Shopping expanded its business domains to various types of retail channels, such as discount stores, online shopping malls, TV home shopping, convenience stores, supermarkets, home appliances specialty stores and health & beauty stores. Results - Lotte Shopping has been able to maintain high level of customer satisfaction with leading merchandising skills. It has developed mutually beneficial relationship with the partner firms. It has also been a leading firm in implementing corporate social responsibility activities and environment-friendly management. Lotte Shopping has applied advanced information and communication technology to provide customized goods/services. Conclusions - This study summarizes the business environment and new challenges Lotte Shopping faces currently. Lotte Shopping is trying to reinforce the omni-channel strategy, which can create synergy among various distribution channels based on its core competences.

• Korean Management Science Review
• /
• v.33 no.4
• /
• pp.77-89
• /
• 2016

Due to recent proliferation of the mobile shopping channels, customers increasingly tend to purchase using online channel while experiencing physical products in offline shops. This phenomenon requires traditional offline retailers to consider integrating online channels. In this study, we propose strategic options for the traditional offline retailers regarding the online channel integration, and provide corresponding decision models to maximize the expected profits. We also investigate how the strategic options vary with the product characteristics, by categorizing the products based on inventory cost, demand uncertainty, and fitness to the online channels. By analyzing numerical examples we illustrate how the best online channel integration strategy should be differentiated depending on the product categories.

• The Research Journal of the Costume Culture
• /
• v.27 no.2
• /
• pp.98-108
• /
• 2019

With the expansion of various distribution channels in online and offline stores, TV, and mobile, consumers now have more information search and retail selection channels to choose from than ever before. Major retailers now use multi- and omni-channel strategies. This study focused on cross-channel consumption, which involves the use of different information search and purchase channels. Using cross-channel consumption, consumers can search for information online and then make purchases offline and vice versa. The purpose of this study was to examine the relationship between channel strategies and other consumer variables, and the study also assessed the effect of product type. To conduct this empirical study, the researchers developed a consumer questionnaire concerning three consumer channel strategies-on-on, cross, and off-off-and four product categories-clothing, cosmetics, books, and electronics. The results indicated that gender and marital status did not influence consumer channel strategies, but that age did have a significant influence. The analysis showed that consumers in their 40s preferred the cross channel strategy, perceiving it to be effective, satisfactory, and rewarding. Compared to other products, clothing products showed higher levels of cross channel strategies. Consumers indicated that they prefer searching for information online and then purchasing clothing offline. Overall, clothing products generated higher levels of channel satisfaction and channel switch intentions. Cross-channel clothing shoppers reported effective information retrieval times but longer delivery times.

• Journal of Distribution Science
• /
• v.16 no.12
• /
• pp.57-68
• /
• 2018

Purpose - The development of technologies lead the volume of sale on online market increase but an off-line shopping center is still a core component in the omni-channel strategy. It is generally thought that high-level retailtainment on brick and mortar store affects purchase intentions positively, but some previous studies dispute that and have reported that retailtainment does not affect purchase intentions. So we have studied the additional factors' effect - the nature of purchase and utility - with retailtainment. Research design, data, and methodology - There are 8 treatment groups which were assigned by the method of retailtainment (high vs. low), nature of purchase (essential vs. non-essential), and utility (acquisition vs. transaction). A total of 240 subjects (office workers = 163, 68%; undergraduates = 77, 32%; average age = 30s; female = 39%) were divided into groups and exposed to one of the eight scenarios. Participant's purchase intention was the dependent, and ANOVA and L-matrix were used to analyze for main and interactive effects between factors. Results - First, the main effect and interactive effect between retailtainment and the nature of purchase are significant. We also found that the contrast between essential and non-essential at low-level retailtainment is higher than that of high-level retailtainment. Second, in the case of retailtainment and utility, transaction utility under high-level retailtainment affects purchase intentions positively. Third, between the nature of the purchase and utility, the main effect of the nature of purchase and the interactive effect is significant, but the main effect of utility is not significant. In the case of non-essential goods, the purchase intention was high when transaction utility was provided but in the case of essential goods, acquisition utility increased purchase intentions. Finally, when transaction utility is given, purchase intentions of essential goods increase under low retailtainment, and the purchase intentions of non-essential goods increase under high retailtainment. Conclusions - When customers buy essential goods, discounts decrease purchase intentions. During the season for bargain sales, purchase intentions increase when retailtainment of essential goods is low, and retailtainment of non-essential goods is high.

• The Korean Journal of Franchise Management
• /
• v.13 no.1
• /
• pp.35-46
• /
• 2022

Purpose: With the rapid changes in the technical development and the trend of consumption trend, the convenience store industry is facing an unprecedented competitive situation in the consumption environment where the boundary between online and offline is broken due to the stagnation of offline distribution channels and the spread of online shopping. The biggest innovation strategy of the major convenience store brands in recent years are introducing the O2O (Online to Offline) platform and presenting new products and services beyond the boundaries of online and offline to transform themselves into Omni Channel stores. The study is designed to analyze the effect of innovativeness of convenience store as a stimulus in O2O platform which customers perceive on store loyalty, the final response to external stimuli, through customer engagement with convenience store brands. Specifically, the innovativeness of convenience stores was divided into types of core activities in corporate marketing and focused on innovations in services, products(proposals), promotions and experiences. Research design, data, and methodology: Various hypotheses have been developed to achieve this research purpose. The data were collected from 1,128 questionnaires the age between 15 and 60 who had experience using retail store apps and delivery apps and were analyzed using SPSS 22.0 and SmartPLS 3.3.7 program. Measurement model analysis was carried out to assess convergent and discriminant validity. Also, common method bias was tested using the values of VIF (variance inflation factor). The hypotheses were tested using structural equation modeling with SmartPLS 3.3.7 program. Results: First, service innovation has a positive effect on cognitive engagement. Second, product, promotion and experience innovation have a positive effect on cognitive and affective engagement. Third, cognitive influences affective engagement. Finally, both cognitive and affective engagement affect store loyalty, but affective engagement has a stronger effect on store loyalty than cognitive engagement. Conclusions: All four types of innovation and cognitive engagement have a positive effect on emotional engagement, which has a stronger effect on store loyalty than cognitive engagement. Thus, while innovation can build loyalty through emotional engagement, innovation strategies must be designed and pursued with caution in terms of impact through cognitive engagement may not achieve the planned goals.

• Journal of Venture Innovation
• /
• v.6 no.4
• /
• pp.23-40
• /
• 2023

This study examines the customer value factors affecting the intention to continue using the mobile app of department stores, which are traditional offline retailers, in the retail industry that is rapidly digitalizing and becoming mobile. This study clarifies multidimensional customer value in three dimensions; functional, convenience, and social. Functional value refers to the integrated channel, and consistent customer experience provided between channels in the omnichannel retail environment, while convenience value is the convenience of saving time and effort save while customers use a mobile app. Social value refers to the improvement of social approval or social self-concept occurring due to the use of products or services related to green marketing within the mobile app of the department store. The influence of each on the dependent variable, the mobile app's continuous use intention, was analyzed by using the three dimensions of customer value as independent variables. Data was collected from customers who have a history of using the mobile app of Shinsegae Department Store in Korea, and a confirmatory analysis was conducted using Smart PLS 4.0. The analysis results showed that all three dimensions of customer value; functional value, convenience value, and social value, had a positive (+) influence on customers' intention to continue using the mobile app, and the influence of functional value had the greatest impact. As functional value appears to be the most important influencing factor due to the omnichannel retail trend by advancement of technology, it suggests that it is important for department stores, and offline retailers, to provide integrated channels. This provides insights into the direction of customer-centered strategy formulation for activating department store mobile apps and suggests basic analytical data for customized services and marketing activities that department stores can effectively meet the changing expectations and demands of customers through new mobile channels rather than existing offline channels.