• Title/Summary/Keyword: Online Distribution Channel

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A Retail Strategy for the Prosperity of the Art Market within Online Distribution Channel

  • Soomin, HAN
    • Journal of Distribution Science
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    • v.21 no.3
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    • pp.113-121
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    • 2023
  • Purpose: Online distribution channel alludes to the many different digital channels utilized in marketing and distributing goods and services to end users. The present research aims to explore and provide various retail strategy for the success of the art market within online distribution channel. Research design, data and methodology: The current author has conducted and investigate the qualitative textual methodology to take a look at carefully the current and prior literature dataset to achieve the purpose of the present research so that the present author could obtain total 27 relevant prior studies. Results: According to the comprehensive literature investigation, this research has found that there are six kinds of retail strategy for the prosperity of the art market within online distribution channel as follows: (1) Blockchain Technology, (2) Artificial Intelligence (AI), (3) Virtual Reality (VR), (4) Online Market Places, (5) Social Media, and (6) Regulations. Conclusions: The results of this analysis of the relevant literature show that the art market industry needs to adjust to keep up with the quickly shifting landscape of the digital world. In addition, although these technologies can be helpful in addressing difficulties linked to authenticity and transparency, they cannot eliminate the hazards of fraud and misrepresentation.

The Effect of Online Distribution Channel's Review on Purchasing Behavior Change

  • Lee, Byeong-Cheol
    • Journal of Distribution Science
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    • v.16 no.4
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    • pp.21-34
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    • 2018
  • Purpose - The objective of this research is to a) examine the effects of online reviews, posted on online distribution channels, on the change of consumers' attitudes and booking intention by distinguishing three types of online review valence: positive, negative and neutral review valence, and b) to investigate the combined effect of the inclination of online review and perceived usefulness of reviews on consumers' attitude change. Research design, data, and methodology - An experimental design was used by creating a mimicked hotel company's website and online reviews extracted from several online distribution channels such as online travel agencies (OTAs). A total of 414 respondents were randomly assigned to a type of review valence. Results - The results showed that the valence of positive reviews has a significant effect on the positive change of attitude and booking intention. However, the effect of the valence of negative reviews on the change of booking intention was not statistically significant compared to that of the valence of neutral reviews. Conclusions - The results offer some insights into the effect of online reviews on consumers' decision making processes and have important managerial implications for companies that operate online distribution channels in terms of their online marketing and the distribution of service products.

A study on transferring the effects of brand reputation and level of service satisfaction of an offline channel company when it is expanding to an online distribution channel (온라인 유통채널 확장시 오프라인 채널의 브랜드 명성, 서비스 만족도의 이전 효과에 관한 연구)

  • Hwang, Hee-Joong;Lee, Sun-Mi
    • Journal of Distribution Science
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    • v.9 no.2
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    • pp.31-36
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    • 2011
  • I conducted empirical analyses of what happens when an offline channel expands to an online channel and whether the pre-existing offline channel's competitive assets (e.g. brand reputation and level of service satisfaction) can be linked to online channel preference. I found that an offline channel's brand reputation and level of service satisfaction can have a direct influence on offline channel preference and a second-hand influence on online channel preference. Thus, if the competitiveness of the online channel is strong enough and its customers have a higher preference for the offline channel, they will be committed and loyal to the company. The resultant enhanced competitiveness of the offline channel will present opportunities for both present and future success. The main results are the following. First, the management of the distribution channel service quality is more important than that of the brand reputation. Customers' experiences of service and subjective evaluations are not important only as the leading factors in the long-term brand reputation management but also as influential factors in channel preference. SoThus, given that the service quality of the pre-existing channel is not the customers' main concern, a strategy of improving the level of service satisfaction aimed at present customers is more valuable than a wide brand positioning strategy aimed at general and new customers. Second, when an offline channel company establishes an internet shopping mall on an online channel, it is highly likely that the preference and subjective evaluation of the present customers will influence the online channel. This applies not only to the special case of an expansion from an offline intermediary channel to an online one, but also to an online channel acting as an expansion of the business model of a conventional manufacturing or service company: both cases are vertical integrations of marketing channels in an expansion of the distribution channel. My theory applies to a wide range of contexts. Third and finally, any business strategy can grasp the meaning of 'channel expansion. Fundamentally, it is an expansion of the sales activity channel and marketing activity. However, it is also a way of enhancing marketing and sales competitiveness through an expansion to an online or offline channel. The expansion of an offline company to an online channel could be seen not as improvement but as an innovation of the business process by which two goals are achieved with one technique. The former is expected to increase the sales of the offline company, and the latter is also expected to increase sales while also contributing to cost reduction.

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Strategic Analysis of the Multilateral Bargaining among the Manufacturer, the Online and the Offline Distribution Channels (제조업체, 온라인 유통채널 및 오프라인 유통채널 간의 다자간 협상전략에 관한 연구)

  • Cho, Hyung-Rae;Rhee, Minho;Lim, Sang-Gyu
    • 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.

The Effects of Consumer Characteristics Using Online Shopping on Omni-Channel Strategy (온라인 쇼핑을 이용하는 소비자 특성이 옴니채널 전략에 미치는 영향)

  • Oh, Hyung-Sool;Cho, Su-Yeon;Yoo, Jung-Sang;Kwon, Ik-Whan G.
    • 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.

Impact of Economic Value in the O2O Distribution Channel on Brand Attractiveness and Performance

  • Seok-Beom, CHOI;Hye-Young, JOO;Hokey, MIN;Qaiser Farooq, DAR;Young-Hyo, AHN
    • Journal of Distribution Science
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    • v.21 no.2
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    • pp.7-20
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    • 2023
  • Purpose: With the unique feature of O2O, consumers are now able to check the profile of the services and products online and then consume them in offline venues or vice versa. This study provides motivation and practical implications about online-to-offline (O2O) distribution channels and investigates the relationship between economic values, service consistency and brand identity attractiveness in the O2O distribution channel. Then identify the impact of brand identity attractiveness on the performance (reputation and reuse intention). Research design, data, and methodology: Structural equation modeling (SEM) has been used to investigate the relationship between economic value and brand identity attractiveness, which affects the reputation and reuse intention of services in O2O. Results: Empirical results show the positive and significant impact of economic value and service consistency on brand identity attractiveness which results the positive and significant impact on performance (reputation and reuse intention) in O2O. Conclusion: In the O2O distribution channel, economic value is an important aspect for the attractive image and brand identity. On the other side, brand identity attractiveness is important for the bright future of O2O services, continuous growth, achieving the distinct goal, keeping good promises with customers, and a better reputation of O2O services in distribution channels.

A Study on Omni-Channel Strategy in Fashion Industry (패션산업에서 옴니채널 전략에 관한 탐색적 연구)

  • Kim, SaeEun;Kim, MunYoung
    • 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.

A Study on Consumer's Response Depending on Congruent . Incongruent Shopping Situation -Focusing on the comparison of online shopping mall and off-line department store- (조화ㆍ부조화 쇼핑상황에서의 소비자 반응에 관한 연구 -온라인 인터넷쇼핑몰과 오프라인 백화점의 비교를 중심으로-)

  • 김원겸;김형순;박주영
    • Journal of Distribution Research
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    • v.8 no.2
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    • pp.1-18
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    • 2003
  • This study has tried an integrated approach toward consumer response difference between the online internet shopping mall and the off-line department store focusing on the moderating role of shopping value according to shopping situation. This study has analyzed consumer behavior differences between online and off-line channel formats in one framework and identified differences in consumer behaviors between the two channel formats. Managerial implications of this paper include measuring the effects of the integration of online and off-line channel and developing multichannel strategy. This paper suggests marketers to develop channel strategies based on customer segmentation criteria reflecting different consumer shopping value between online and off-line channel formats rather than developing strategies based only on the conventional marketing mix.

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The research of the way to gain domestic and foreign market economy force of whitening cosmetics (미백화장품 국내외 시장경쟁력 확보방안 연구)

  • Park, Joon-su;kim, heung-gi
    • 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.

Distribution Channel Preference Accessing 'Korean Wave' in China : Comparing Official and Unofficial Channel

  • Jia, Shen;Park, Young-Eun;Kim, Myung-Sook
    • Journal of Distribution Science
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    • v.16 no.1
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    • pp.47-58
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    • 2018
  • Purpose - China has become the world's largest market of Korean culture goods. However the distribution and information channel from which Chinese consumers can access to Korean contents remains under-explored. This study aimed to investigate Chinese consumers' information accessing behavior. Research design, data, and methodology - We collected the sample of 800 customers who are exposed to Korean Wave in China. Regression analysis is used to confirm the relationships in the research model. Results - The results showed that official channels such as state owned sites still play a significant role, Chinese consumers prefer to use unofficial channels and the private SNS is the most popular one. It is also found that users with low interests in Korean contents prefer offline/indirect channels while people who are highly immersed into Korean culture and spend longer time on it tend to favor online/unofficial channels. The results confirms that there are some users' characteristics such as gender, age, income and experience of visiting Korea are relevant to explain their propensity to select distribution and information channels for Korean contents. Conclusions - The study enables managers to develop the more effective distribution channel strategies according to the different target consumer groups.