• Title/Summary/Keyword: Online to Offline Marketing

Search Result 145, Processing Time 0.028 seconds

I Can't Believe Online: A Study on How Negative Reviews Move Online Shoppers to the Offline Channel

  • Kim, Hyo-jeong;Han, Sang man
    • Asia Marketing Journal
    • /
    • v.24 no.1
    • /
    • pp.13-28
    • /
    • 2022
  • Despite the benefits of online shopping, we easily observe consumer behaviour when making purchases through offline channels. Why do they choose to go offline by taking the effort to go there? As a factor influencing decision-making, this study assumes that distrust of online shopping increases webrooming intentions that online consumers move to offline channels. Consumers check online reviews as well as seller information to increase their purchasing confidence. There are few studies on the effect of negative online reviews on consumers' purchasing decisions. Contrary to the pessimistic results of previous studies, the results of this study explain the mechanism by which consumers who saw negative online reviews feel distrust of online shopping and go to offline stores. It provides implications for understanding the migration phenomenon of online shoppers to offline channels and what strategies should be prepared to retain and attract customers to each channel.

Comparison on the High School Girls' Purchasing Pattern of Fashion Products at Online and Offline Markets

  • Min, Hye-Kyung;Hwang, Choon-Sup
    • Journal of Fashion Business
    • /
    • v.12 no.6
    • /
    • pp.124-137
    • /
    • 2008
  • The present study was implemented to understand high school girls' buying patterns of fashion products at online and offline shopping malls; and to obtain the information needed for the development of online and offline mall marketing strategies that are differentiated from each other. The study was conducted through a descriptive survey method using questionnaires. The sample consisted of 242 girls from four high schools located in Seoul. Descriptive statistics, cross-tabulation and a paired t-test were used for the analysis of the data. Results are as follows: First, most of the high school girls (82.2%) had experience of purchasing fashion products at online shopping malls. And, those who have purchasing experience at online shopping malls, compared to those who do not have such purchasing experience, showed a higher purchasing intension at online shopping malls. Second, both the degree of pre-purchase searching and ongoing searching was higher in online shopping than in offline shopping. Third, the quality of material, place produced, brand name, and store atmosphere/type were considered more in offline shopping than in online shopping. Shopping convenience and information service about the products were considered more in online shopping than in offline shopping. Fourth, the purchasing frequency of underwear and hair accessaries was higher at offline stores than online shopping malls, but the purchasing frequency of bags was higher in online stores than offline stores. When the differences between the purchasing patterns at online shopping malls and offline stores are considered carefully, marketing activities would be more effective.

Optimal Strategy of Hybrid Marketing Channel in Electronic Commerce (전자상거래하에서의 하이브리드 마케팅 채널의 믹스 전략에 관한 연구)

  • Chun, Se-Hak;Kim, Jae-Cheol
    • Asia pacific journal of information systems
    • /
    • v.17 no.2
    • /
    • pp.83-95
    • /
    • 2007
  • We are motivated by how offline and online firms compete. The Internet made many conventional offline firms build a dynamic online business as another sales channel using their advantages such as brand equity, an existing customer base with comprehensive purchasing data, integrated marketing, economies of scale, and longtime experience with the logistics of order fulfillment and customer service. Even though the hybrid selling using both offline and online channel seems to have advantages over a pure online retailer, all the conventional offline firms are not seen to create an online business. Many conventional offline firms began to launch online business since the Internet era, however, just being online business is not likely to guarantee success. According to Bizate.com's report whether the hybrid channel strategy is successful is still under investigation. For example, consider the classic case of Barnes and Noble versus Amazon.com, Barnes and Noble was already the largest chain of bookstores in the U,S., when Amazon.com was established in 1995, BarnesandNoble.com followed suit in 1997, After suffering losses in its initial years, Amazon finally turned profitable in 2003. In 2004, Amazon's net income was $588 million on revenues of $6.92 billion, while Barnes and Noble earned $143 million on revenues of $4.87 billion, which included BarnesandNoble.com's loss of $21 million on revenues of $420 million. While these examples serve to motivate our thinking, it does not explain when offline firms should venture online. It also does not provide an analytical framework that can generalized to other competitive online-offline situations. We attempt to do this in this paper and analyze a hybrid channel model where a conventional offline firm competes against online firms using its own direct online channels. We are particularly interested in an optimal channel strategy when a conventional offline firm sells its products through its own direct online channel to compete with other rival online firms. We consider two situations where its direct online channel and other online firms are symmetric and asymmetric in the brand effect. The analysis of this paper presents several findings. In the symmetric model where a hybrid firm's online channel is not differentiated from a pure online firm, (i) a conventional offline firm will not launch its online business. In the asymmetric model where a hybrid firm's online channel is differentiated from a pure online firm, (ii) a conventional offline firm can launch its online business if its brand effect is greater than a certain threshold. (iii) there is a positive relationship between its brand effect and online customer costs showing that a conventional offline firm needs more brand effect in order to launch online business as online customer costs decrease. (iv) there is a negative relationship between its brand effect and the number of customers with access to the Internet showing that a conventional offline firm tends to launch its online business when customers with access to the Internet increases.

Luxury Brand Equity in Online Channel: The Moderating Effect of Brand Trust

  • Hyun, Hyowon;Park, JungKun;Yoo, Weon Sang
    • Asia Marketing Journal
    • /
    • v.21 no.2
    • /
    • pp.99-115
    • /
    • 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.

O2O-based Social Media Marketing Method for Word-Of-Mouth Effect: Focused on the Analysis of Case Studies (구전효과를 위한 O2O 기반의 소셜미디어 마케팅 방법: 사례분석을 중심으로)

  • Kim, Heejin;Choi, Byoungju
    • The Journal of the Korea Contents Association
    • /
    • v.15 no.7
    • /
    • pp.403-413
    • /
    • 2015
  • Social media has recently become one of the primary tools for viral marketing as an effective advertising channel, in order to maximize effects of world-of-mouth through social media, it is very important to obtain customer experience-centric differentiated contents in offline. However, viral marketing is still being implemented mainly based on online channels because of the lack of effective services and methods to support social medial marketing in conjunction with offline. On that account, this study proposes O2O(Online to Offline) based social media marketing method allowing customers to connect their personal experience conveniently and easily in offline in which they voluntarily participate. Furthermore, this study aims to verify the effectiveness of the proposed method by analyzing the empirical cases thereof. This study would eventually contribute to the vitalization of social media marketing market by enabling customers to obtain personalized posts as connecting online to offline organically and also by allowing corporations to get an ample amount of useful CRM information for planning marketing strategies.

Beacon-Based O2O Marketing for Financial Institutions

  • Kwon, Young-Man;Park, Jin-Soo;Lee, Hyun-Jong;Kim, Myung-Gwan
    • The Journal of Industrial Distribution & Business
    • /
    • v.5 no.4
    • /
    • pp.23-29
    • /
    • 2014
  • Purpose - This thesis aims to propose a method to help financial institutions improve their customers' convenience online and offline through a Bluetooth based App using the tool of a beacon. The emergence of smartphones in the 21st century and their increasing use makes it possible to search for information easily. Research design, data, and methodology - With the short-distance Bluetooth technology for smartphones, which finds users within a radius of 50m to provide the functions of message transmission and mobile payment, users can access information services and use mobile coupons in certain premises. Thus, beacon-based O2O technology has been developed. Results - This study offers a method of attracting customers through an O2O marketing strategy that overcomes the existing limitations of Web and Offline media. Conclusions -Since beacon technology has the advantage of more accurate positioning than GPS, financial institutions provide their product information for users through the basic function of a beacon, using an O2O (Online to Offline) marketing solution and, therefore, effectively enable customers to make relevant payments online and conduct their financial actions offline.

Analysis of Marketing Channel Competition under Network Externality (네트워크 외부성을 고려한 마케팅 채널 경쟁 분석)

  • Cho, Hyung-Rae;Rhee, Minho;Lim, Sang-Gyu
    • Journal of Korean Society of Industrial and Systems Engineering
    • /
    • v.40 no.1
    • /
    • pp.105-113
    • /
    • 2017
  • Network externality can be defined as the effect that one user of a good or service has on the value of that product to other people. When a network externality is present, the value of a product or service is dependent on the number of others using it. There exist asymmetries in network externalities between the online and traditional offline marketing channels. Technological capabilities such as interactivity and real-time communications enable the creation of virtual communities. These user communities generate significant direct as well as indirect network externalities by creating added value through user ratings, reviews and feedback, which contributes to eliminate consumers' concern for buying products without the experience of 'touch and feel'. The offline channel offers much less scope for such community building, and consequently, almost no possibility for the creation of network externality. In this study, we analyze the effect of network externality on the competition between online and conventional offline marketing channels using game theory. To do this, we first set up a two-period game model to represent the competition between online and offline marketing channels under network externalities. Numerical analysis of the Nash equilibrium solutions of the game showed that the pricing strategies of online and offline channels heavily depend not only on the strength of network externality but on the relative efficiency of online channel. When the relative efficiency of online channel is high, the online channel can greatly benefit by the network externality. On the other hand, if the relative efficiency of online channel is low, the online channel may not benefit at all by the network externality.

Customer-Oriented Marketing of Internet Business : Applicaion to Online Fashion Business

  • Lee, Chol
    • The International Journal of Costume Culture
    • /
    • v.3 no.3
    • /
    • pp.193-200
    • /
    • 2000
  • Recently Korean firms are increasingly interested in Internet business while the number of Internet users reaches more than 10 million in Korea. As e-commerce develops rapidly, customer-oriented marketing for online business becomes very important. The issue of how to achieve customer satisfaction in Internet business and how to plan a marketing strategy for online business faced managers of Internet business. Customer-satisfaction is much more important for Internet businesses than for traditional offline 'brick and mortars'. Marketing activities need to be carried out on customer-orientation to achieve high level of customer satisfaction. This paper will discuss how to develop customer-oriented marketing for online business. It will specifically study the characteristics and success factors of Internet business, differences between online marketing and traditional marketing, selection of target market, and online marketing-mix strategy for e-business in view of customer-orientation. Finally it will suggest a future direction for online fashion business by applying the customer-oriented marketing of Internet business to the fashion business.

  • PDF

Classification of Online and Offline linked Advertisements in 4th Industrial Revolution (4차 산업혁명 시대에 따른 온라인과 오프라인 연계 광고의 유형화)

  • Kim, Eun Seo;Park, Jae Wan
    • The Journal of the Convergence on Culture Technology
    • /
    • v.6 no.1
    • /
    • pp.147-153
    • /
    • 2020
  • The purpose of this study is to suggest the value and type of online and offline linked advertisement, which is a new advertisement type that emerged with the advent of the 4th industrial revolution. In this study, based on literature research, we understood the marketing method that evolves from "4P (product, price, place, promotion)" to "4C (co-creation, community, conversation, currency)" and extracted derive 4C elements. Based on this, we analyzed what elements of 4C showed online and offline connectivity through the investigation of on and offline linked advertisements. Through the analysis results, online and offline linked advertisements were classified into 4 types and 14 detailed types according to how they were connected to the number of 4C elements. In this paper, as a final result, we verified that 4C elements of marketing that appeared in the era of the 4th Industrial Revolution are represented in advertisements and suggested the typology of advertisements accordingly. This study is expected to contribute to providing new insights to advertisers and researchers who produce and study online and offline advertisements.

Offline and Online Channel Sales of Existing Products and New Products: Findings from Experience Goods (오프라인과 온라인 채널상의 기존제품과 신제품의 판매 성과: 경험재에 대한 시계열 분석을 중심으로)

  • Kim, Jeeyeon;Kim, Mingyung;Choi, Jeonghye
    • Knowledge Management Research
    • /
    • v.16 no.4
    • /
    • pp.109-132
    • /
    • 2015
  • We examine offline and online channel sales of experience goods, and compare and contrast the sales patterns of existing products and new products between channels. To this end, we obtain the channel-specific time-series sales data from the leading company selling beauty products, both offline and online. By applying the Vector Autoregressive Model, we empirically find out how the relationship between existing products and new products changes between the shopping channels. Our empirical findings are as follows. First, the sales effects from existing products to new products are significantly positive at both offline and online channels, and this positive effect is greater in the offline channel than in the online channel. Second, the influence of new products on existing products is more positive in the offline channel than in the online channel. Third, the impact of existing products sales on new products sales is greater than that of new products on existing products. Lastly, the inertia effect, the effect within the same shopping channel and the same selling product, is significantly positive in the offline channel but not in the online channel, and this asymmetric inertia effect emerges as we focus on experience goods. Moreover, the impulse response function analysis provides the three important implications. First, companies should pay attention to the same channel but different types of products. Second, the offline channel is more vulnerable to market shock than the online channel. Third, new products sales vary by existing products sales to the greater extent, compared to the opposite relationship. We believe our study contributes theoretically and practically to the fields of marketing and knowledge management.