• Journal of Intelligence and Information Systems
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• v.22 no.1
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• pp.19-41
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• 2016

Recently, the proliferation of mobile devices such as smartphones and tablet personal computers and the development of information communication technologies (ICT) have led to a big trend of a shift from single-channel shopping to multi-channel shopping. With the emergence of a "smart" group of consumers who want to shop in more reasonable and convenient ways, the boundaries apparently dividing online and offline shopping have collapsed and blurred more than ever before. Thus, there is now fierce competition between online and offline channels. Ever since the emergence of online shopping, a major type of multi-channel shopping has been "showrooming," where consumers visit offline stores to examine products before buying them online. However, because of the growing use of smart devices and the counterattack of offline retailers represented by omni-channel marketing strategies, one of the latest huge trends of shopping is "webrooming," where consumers visit online stores to examine products before buying them offline. This has become a threat to online retailers. In this situation, although it is very important to examine the influencing factors for switching from online shopping to webrooming, most prior studies have mainly focused on a single- or multi-channel shopping pattern. Therefore, this study thoroughly investigated the influencing factors on customers switching from online shopping to webrooming in terms of both the "search" and "purchase" processes through the application of a push-pull-mooring (PPM) framework. In order to test the research model, 280 individual samples were gathered from undergraduate and graduate students who had actual experience with webrooming. The results of the structural equation model (SEM) test revealed that the "pull" effect is strongest on the webrooming intention rather than the "push" or "mooring" effects. This proves a significant relationship between "attractiveness of webrooming" and "webrooming intention." In addition, the results showed that both the "perceived risk of online search" and "perceived risk of online purchase" significantly affect "distrust of online shopping." Similarly, both "perceived benefit of multi-channel search" and "perceived benefit of offline purchase" were found to have significant effects on "attractiveness of webrooming" were also found. Furthermore, the results indicated that "online purchase habit" is the only influencing factor that leads to "online shopping lock-in." The theoretical implications of the study are as follows. First, by examining the multi-channel shopping phenomenon from the perspective of "shopping switching" from online shopping to webrooming, this study complements the limits of the "channel switching" perspective, represented by multi-channel freeriding studies that merely focused on customers' channel switching behaviors from one to another. While extant studies with a channel switching perspective have focused on only one type of multi-channel shopping, where consumers just move from one particular channel to different channels, a study with a shopping switching perspective has the advantage of comprehensively investigating how consumers choose and navigate among diverse types of single- or multi-channel shopping alternatives. In this study, only limited shopping switching behavior from online shopping to webrooming was examined; however, the results should explain various phenomena in a more comprehensive manner from the perspective of shopping switching. Second, this study extends the scope of application of the push-pull-mooring framework, which is quite commonly used in marketing research to explain consumers' product switching behaviors. Through the application of this framework, it is hoped that more diverse shopping switching behaviors can be examined in future research. This study can serve a stepping stone for future studies. One of the most important practical implications of the study is that it may help single- and multi-channel retailers develop more specific customer strategies by revealing the influencing factors of webrooming intention from online shopping. For example, online single-channel retailers can ease the distrust of online shopping to prevent consumers from churning by reducing the perceived risk in terms of online search and purchase. On the other hand, offline retailers can develop specific strategies to increase the attractiveness of webrooming by letting customers perceive the benefits of multi-channel search or offline purchase. Although this study focused only on customers switching from online shopping to webrooming, the results can be expanded to various types of shopping switching behaviors embedded in single- and multi-channel shopping environments, such as showrooming and mobile shopping.

• Journal of the Korean Society of Costume
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• v.67 no.1
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• pp.40-55
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• 2017

The current new distribution environment provides the consumers to shop at anytime and any places by using mobile appliances. So, the companies which run the offline-store increase the contact point with the consumer by launching not only online-store but also the mobile application (app). Moreover, they are trying to operate the Omni-channel shopping environment. In order for this research to draw the direction of 'the Omni-Channel Strategy', which is about the changed distribution environment of the domestic fashion enterprise, the following steps were performed. First of all, the term related to 'Omni-Channel' is defined. And then, Example of the 'Omni-Channel' strategy and 'O2O' business in the domestic distributior were researched. Lastly, present condition of the 'Omni-Channel' strategy case of the domestic fashion industry was researched. At the result, the online-stores usually have several brands which can not represent their identities. It is suggested that each online-store according to each brand has their own characteristic identity. And The Omni-Channel strategy of the domestic fashion enterprise that is needed the connection point connecting the on-line and off-line. It is able to allure the customer to the off-line-store.

• The Journal of Information Systems
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• v.26 no.3
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• pp.295-312
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• 2017

Purpose Consumption behaviors of consumers have changed with the widespread use of the Internet and smart phones, and accordingly online marketing activities are becoming ever more prevalent. Yet, the domestic food-service industry has yet to offer an Omni-Channel order system that encompasses a online, offline, and mobile interface. Also, a multilingual menu ordering service for foreign tourists is not yet available. Therefore, if an order service system accessible online and offline which could provide multi-language services were implemented, the satisfaction of the service provider and domestic and foreign customers would be maximized. Design/methodology/approach By designing an electronic menu based on open an OS and providing electronic menus in offline stores, we have completed the design of a linked order system which would be available everywhere (online, offline, and mobile). The CMS was developed to integrate these three mediums and the entire operator was designed to receive basic information and statistical information about the merchants, or store operators. Also, a multilingual term dictionary containing menu information for foreign tourists was made into a database so that foreign tourists who are having difficulty in communication can use it more easily. Findings We have made it possible for customers to use the order service without distinction between online, offline, and mobile platforms, and have proved that it is a more efficient and convenient service for customers as well as operators. Nevertheless, as an initial model, the implemented system has limitations on the execution of the payment support method in the electronic menu board and in the management division of the CMS. In case of commercialization, it is necessary to make an alliance of efforts to attract initial franchises. Through further supplementation, we expect the online and offline connection-types martservice system will maximize the satisfaction of both operators and customers alike.

• Journal of Korean Institute of Industrial Engineers
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• v.28 no.4
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• pp.379-389
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• 2002

In this paper, we study the competition between two kinds of suppliers, a bricks and mortars(B&M) and a clicks and mortars(C&M). Using the circular spatial market model, we derive and analyze the Nash and Stackelberg equilibria as a function of offline market share and efficiency of online channel of the C&M supplier. The result can be summarized as follows: (1) Stackelberg equilibrium is always superior to the Nash equilibrium, (2) Under certain conditions, the price of online channel can be higher than that of offline channel, (3) It is impossible for the C&M supplier to encroach on all of the B&M supplier's market, (4) In some cases, the C&M supplier has incentive to lower the efficiency of its online channel for more profit.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.37 no.4
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• pp.145-153
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• 2014

In this paper, we study the bargaining strategy of a manufacturer who sells a product through the online and offline distribution channels. To do this, we derive and analyze the equilibrium solutions for both simultaneous and sequential bargaining games. The result shows that the optimal bargaining strategy heavily depends on the size of the online distribution channel's loyal customers and the difference between the retail prices of the online and the offline distribution channels. It is also shown that, in some cases, the online distribution channel has incentive to downsize its loyal customers and its retail price for a better bargaining outcome.

• Asia Marketing Journal
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• v.21 no.2
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• pp.99-115
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• 2019

Branding strategy is important in the hyper-competitive luxury industry. In digitalized market environments, it is critical for luxury brands to transfer their established brand equity from the offline market to the online market. The purpose of this study is to examine the causal relationships between offline brand equity (i.e., brand awareness, brand image, and perceived quality)toward online consumer responses, including satisfaction and loyalty, in the context of luxury brands. In addition, this study investigates the moderating effects of offline brand trust on the relationship between offline brand equity and online satisfaction and loyalty. Data was collected via online surveys. For empirical validation of the proposed hypotheses, a structural equation modeling technique was employed. The results show that offline luxury brand awareness, brand image, and perceived quality have a positive effect on consumers' online satisfaction. Also, offline brand image has a positive effect on online consumer loyalty. The results indicate that there is a significant moderating effect of offline brand trust on the relationship between brand image and e-loyalty. The results of the present study provide implications for luxury brand managers and retailers to develop effective online sales strategies.

• International Area Studies Review
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• v.21 no.2
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• pp.121-141
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• 2017

The world whitening cosmetics market is fast being taken in 'complex functional cosmetics' including complex function. And highly functional cosmetics market that call cosmeceutical market is growing up with highly functional cosmetics market. In addition, natural cosmetics market including whitening function is growing up in the world in complex functional cosmetics. Distribution channel of the world functional cosmetics is digital communication through beauty and digital. Global companies are adding relationship in new space between customer and brand. So worldwide change phenomenon of whitening cosmetics distribution channel will suggest importance that it should be able to communication with customer in non-traditional space. Domestic whitening cosmetics market is decreasing to reference compound annual growth rate -3.61%. While complex type market is increasing to annual growth rate 33.28%. Since 2008, domestic whitening cosmetics market was changed in distribution channel of center of traditional door-to-door sales. Especially, online channel is about 1/6 level of offline, but since 2014, year-on-year increase rate of online showed 27.1%. In the future, it is anticipated that ratio of online sales is above offline. Whitening cosmetics distribution is being changed, and online channel is growing up, so domestic companies will need tragedy targeting new whitening cosmetics distribution channel and traditional offline channel at the same time. If new company go into whitening cosmetics market, the new company will have to consider natural cosmetics in complex functional cosmetics than whitening cosmetics market. To secure domestic competitiveness whitening cosmetics market, securing differentiation of brand or pursuing change of distribution channel, and we need to seek a method that company and customer can forge communication in new space.

• Journal of the Korea Safety Management & Science
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• v.19 no.2
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• pp.173-180
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• 2017

Omni-channel strategy is an innovative paradigm for integrated information distribution of inventory, sales, operations, marketing, delivery, pickups and returns in supply chain management. Recently the distribution strategy faces new challenges with the advent of mobile distribution channels. Social media with countless apps imposes additional stress on supply chain operations. Due to these changes, distribution network in supply chain is changing naturally and rapidly from multi-channel to omnni-channel platform. Recently numerous domestic distributors establish and adapt this new supply chain optimization tool as a part of seamless flow of movements of goods from one channel to other channels. The objective of this paper is to present a preliminary findings on how omnni-channel affects the supply chain management. A survey is used to ascertain in the degree of omnni-channel implementation and statistical evidence is provided to test sets of hypothesis. The results of the questionnaire showed that consumers' purchasing styles differed by gender, age, purchase purpose, and product type. In particular, women consider purchasing experience in omni-channel to be important. As food and household goods can be conveniently shipped, consumers prefer online purchasing it. Conversely, consumers tend to favor omni-channel strategy in connection with offline experience in IT products.

• Asia pacific journal of information systems
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• v.16 no.3
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• pp.67-93
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• 2006

Some consumers prefer online and others prefer offline. What makes them prefer online or offline? There has been a lack of theoretical development to adequately explain consumers' channel switching behavior between traditional physical stores and new virtual stores. Through consumers' purchase decision processes, this study examined the reasons why consumers changed channels depending on purchase process stages. Consumer's purchase decision process could be divided into three stages: pre-purchase stage, purchase stage, and post-purchase stage. We used the intention of channel selection as a surrogate dependent variable of channel selection. And some constructs, that is, channel function, channel benefits, customer relationship benefits, and perceived behavioral control, were selected as independent variables. In buying look-and-feel products, it was identified that consumers preferred virtual stores to physical stores at pre-purchase stage. To put it concretely, all constructs except channel benefits were more influenced to consumers at virtual stores. This result implied that information searching function, which is a main function at pre-purchase stage, was better supported by virtual stores than physical stores. In purchase stage, consumers preferred physical stores to virtual stores. Specially, all constructs influenced much more to consumers at physical stores. This result implied that although escrow service and trusted third parties were introduced, consumers felt that financial risk, performance risk, social risk, etc. still remained highly online. Finally, consumers did not prefer any channel at post-purchase stage. But three independent variables, i.e. channel function, channel benefits, and customer relationship benefits, were significantly preferred at physical stores rather than virtual stores at post-purchase stage. So we concluded that physical stores were a little more preferred to virtual stores at post-purchase stage. Through this study, it was identified that most consumers might switch channels according to purchase process stages. So, first of all, sales representatives should decide that what benefits should be given them through virtual stores at the pre-purchase stage and through physical stores at the purchase and post-purchase stages, and then devise collaborative channel strategies.

• 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.