Empirical investigation of customers’ channel extension behavior: Perceptions shift toward the online channel

An increasing number of traditional (offline) firms are opening up their online sales channels. However, a number of them are finding it difficult to increase the utilization of their online channels from their existing customers. The purpose of the current study is to identify factors that influence customers channel extension from the offline to online channel and to understand how these factors influence customers’ behavior towards online channel extension. Drawing on the theory of entitativity formulated by Campbell, we propose a research model of customers channel extension by focusing on the shift of perception from offline to the online channel. The data for the study is collected from a large bank in China. The structural equation modeling analysis results indicate that perceived offline service quality influences perceived online service quality both directly as well as indirectly through perceived entitativity. Perceived online service quality, in turn influences customers’ behavior towards the online channel extension. The results also demonstrate that self-efficacy for change directly influences behavior towards the online channel extension, and it also has an important moderating influence on relationship between perceived offline service quality and perceived online service quality. Theoretical and practical implications of the findings are discussed.     

The Mechanisms through Which Certain Variables Influence Customer Loyalty: The Mediating Roles of Perceived Value and Satisfaction

This study surveyed 123 bank users who experienced problems with their banks’ online banking services, with the aim of understanding the mechanisms through which certain variables influence customer loyalty. Principally, the possible mediating roles of value and satisfaction on the relationships between recovery and loyalty and between ISO 9001 and loyalty were scrutinized. The dimensionalities of the scales were assessed using exploratory and confirmatory factor analysis. Thereafter, structural equation modeling and multiregression analyses were used to test the proposed model. The overall results showed that service recovery can be used to enhance customers’ satisfaction and perception of value and, therefore, customer loyalty. This study also confirmed the partial mediating roles of customers’ satisfaction and perception of value in the relationship between service recovery and loyalty. In contrast, ISO 9001 has no influence on perceived value, satisfaction, and loyalty; the mediating roles of both perceived value and satisfaction were not supported in the relationship between ISO 9001 and loyalty. In practice, even though ISO 9001 appeared to offer few extras to satisfy and retain customers, its use is still advisable because of the other potential benefits that it provides.     

Whether a retailer should enter an e‐commerce platform taking into account consumer returns

Considering consumers are increasingly shopping online nowadays and the online sales market is dominated by e‐commerce giants, traditional retailers need to choose whether to enter e‐commerce platforms. Moreover, traditional retailers need to determine whether to offer offline return services considering online return services are very popular. To address these challenges, we explore a retailer's optimal offline return strategy and channel choice of whether or not to enter a platform in the contexts of symmetric information and asymmetric information, respectively. We present conditions for the retailer to share information. Interestingly, we find that the retailer in some conditions has no motivation to improve customer satisfaction rate of offline store. Most important, we find that the retailer's channel choice depends on the magnitude of the annual service fee that is affected by offline return strategy and asymmetric information, and the offline return strategy depends on the magnitude of the average residual value of returned products.     

A study on factors that affect users’ behavioral intention to transfer usage from the offline to the online channel

Increasingly more service providers offer both offline and online services simultaneously, but consumers still seem to prefer using offline services rather than online ones. Our research focuses on factors that influence users’ intention to transfer their usage from the offline to the online channel that offer similar services. Drawing on the valence framework and prior research related to habit, innovativeness, and Internet experience, we propose a research model that incorporates motivators and inhibitors of usage transfer from both the offline and online channels. Using banking services in China as the research context, our study reveals that innovativeness in new technology and relative benefit have positive effects on users’ intention to transfer usage. Conversely, habits that consumers form in the offline channel have a negative effect on the intention to transfer usage. Moreover, our findings indicate that Internet experience moderates the relationship between relative benefit and consumers’ intention to transfer usage from offline to online services. These results provide a better understanding of consumers’ usage-transfer behavior and offer suggestions to providers in boosting their consumers’ use of online services.     

Functional quality and hedonic quality: A study of the dimensions of e-service quality in online travel agencies

We attempted to clarify the dimensions of e-service quality and their role in producing perceived value and loyalty among customers of e-commerce websites. We particularly examined whether e-quality consisted of two groups of dimensions: (i) functional; or (ii) hedonic quality. Based on a survey of 1201 online customers of Spanish travel agencies, we used structural equation modelling to show that both types of quality are distinct dimensions of e-quality and that both have positive and significant influence on perceived value. In addition, perceived value was shown to have a significant impact on loyalty, thus validating the chain from service quality-to-perceived value-to-loyalty in the context of e-commerce. The implication for e-service managers is that they must be aware of the importance of hedonic quality in seeking to attract and retain customers.     

移动互联网时代O2O融合发展研究

随着移动互联网的迅猛发展,客户接触产品或服务购买的渠道越来越多样化,这让以"Brick+Click"线下渠道为主的传统企业不得不纷纷涉"电"。如何定位线下渠道与线上渠道关系,并让两者有机融合、有序发展成为摆在传统企业面前亟待解决的难题。本文分析了传统企业进入互联网领域的风险、线上线下渠道的定位、线上线下渠道融合的必要性及难点,提出了线上线下渠道融合发展的演进路径及融合策略,并给出渠道融合应用场景示例。     

Quick response and omnichannel retail operations with the ship‐to‐store program

To better integrate online businesses with offline stores, fast‐fashion retailers roll out the “ship‐to‐store” (STS) initiative, which is an omnichannel fulfillment method that allows consumers to order online and have their parcels delivered to selected stores for pickup. To study the impact of STS on fast‐fashion operations, we consider four scenarios: multichannel retailing, multichannel retailing with quick response (QR), omnichannel retailing with STS, and omnichannel retailing with both STS and QR. Moreover, we investigate how STS influences the value of QR. The results show that although STS benefits firms in many situations, STS under a QR strategy can reduce a retailer's profits when inventory information disclosure due to STS dampens cross‐selling opportunities. Our findings also reveal that the implementation of STS may lower the value of QR when customers who encounter stockouts offline opt to purchase online directly rather than use STS.     

Fairtrade.com versus Fairtrade.org—how Fairtrade organisations use the Internet

This paper summarises the findings of a study, the first of its kind in Germany, which explored the potential that the Internet can offer for German Fairtrade organisations. Data was gathered from three organisations, comparing their e-commerce strategies. Then interviews were conducted with the organisations' representatives and with the e-commerce customers of Gesellschaft zur Partnerschaft mit der Dritten Welt (Gepa), the largest Fairtrade company in Europe. The Fairtrade organisations differed in political outlook and in regards to their approach to the Internet, thus reducing the potential for cooperation and networking. However, some of the Gepa customers interviewed used e-commerce to circumnavigate the distribution difficulties characteristic of Fairtrade, thus suggesting that there is potential for increased turnover. On the other hand, many of the customers were not interested in accessing the informational part of the Gepa-website, so the potential for disseminating political information with the product is low. Based on in-depth interviews with online buyers, it is argued that customers will only access campaign information online if Fairtrade organisations become more visible in offline and online debates on global justice. Like other Civil Society actors, Fairtrade organisations need to develop strategies how they can best use the Internet for their aims. This, the paper argues, will have to include careful vetting of the brand and connected website as well as appropriate and ongoing investment of personal and financial resources. The overall marketing strategy will have to integrate the offline and online presence and should aim to customise the organisations' services to more or less committed supporters. The paper calls for further research on Civil Society's use of the Internet and advocates website analysis as a particularly useful method to decipher the non-governmental organisations' strategies as they negotiate their message with the mainstream of public opinion.     

Investigating the Antecedents of Customer Behavioral Intentions Using the Service Acceptance Model

In highly competitive markets, enterprises provide various services to attract and retain customers. However, even though they are able provide higher‐quality services to customers, there are still many companies that are unable to gain benefits because customers do want these services. With the integration of the theory of planned behavior and quality‐value‐satisfaction‐behavioral intention model proposed by Cronin, Brandy, and Hult ( 2000 ), the service acceptance model, an extended model based on the characteristics of the service industry, is proposed in this work to investigate the effects of attitude, social pressure, perceived behavioral control, service quality, and service value on behavioral intention. The empirical results show that the perceived behavioral control of the high‐income sample group is not correlated with customer behavioral intentions, which differs from the results for the overall and low‐income sample groups. The customers’ own financial resources are thus of great importance in this context. Service quality has a significantly positive impact on perceived value and attitude. This suggests that good service quality will be conducive to increasing perceived value and strengthening customers’ positive attitudes toward a service, indirectly affecting the behavioral intention to purchase a service.     

Discovering patterns of online purchasing behaviour and a new‐product‐launch strategy

Spurred by rapid development of computers and Internet technology, online shopping is gradually overtaking in‐store shopping, because of advantages such as convenience, more choice of products or services etc. Online stores must devote a great deal of time and resources to locating and attracting new customers. Growing a customer base requires first understanding customers and then providing the products or services they need, thus encouraging customers to purchase more. This paper develops a system to analyse customers’ purchasing behaviour and track shifts in their interests. Customers’ purchasing behaviour is measured using proposed standard product loyalty status and standard brand loyalty status. Using these metrics, together with the preference map established for each customer, a marketing specialist can easily locate potential customers to target when a company launches a new product. The new‐product‐launch strategy proposed in this paper can be used to create a list of potential customers for a product being launched under a variety of conditions. A prototype system has been built to test the feasibility of the proposed new‐product‐launch strategy. The result shows almost 40% of potential customers respond to the recommendation positively.     

Constructing online switching barriers: examining the effects of switching costs and alternative attractiveness on e-store loyalty in online pure-play retailers

Developing switching barriers to retain customers has become a critical marketing strategy for online retailers. However, research on the role of switching barriers in e-retailing is still limited. Recent trends show that when competitors are just one click away, it is questionable if customer loyalty can be achieved at all in online environments. This leads to the research question on whether switching barriers have any impact on e-loyalty in pure-play retailers. The paper examines the influence of switching barriers on customer retention (i.e., e-store loyalty) and further investigates the moderating effects of switching costs and alternative attractiveness. Data were gathered via a survey of 590 shoppers of online pure-play retailers in the UK. Findings show that customer satisfaction and the two dimensions of switching barriers (perceived switching costs and perceived attractiveness of alternatives) significantly influence customer loyalty. Contrary to findings in earlier studies, it was found that switching costs did not moderate the relationships between satisfaction and loyalty nor between perceived attractiveness of alternatives and loyalty. The paper makes imperative recommendations to develop switching barriers and to foster loyalty along with suggestions for future research.     

Is It Possible to Retain Customer Loyalty When a Service Has Failed?

This article aims to analyze the impact of recovery on loyalty in the context of a service chain characterized by the e‐quality–perceived value–loyalty relationship. A sample of 91 out of 1,201 respondents claimed to have had service problems with an online travel agency website. A causal model to test relationships was performed using structural equations modeling, and it was found that data fit with the proposed model. The really important point to retaining customers is quality. It is not so clear that the recovery effort might affect loyalty. Our findings underpin some previous stream of literature confirming that recovery does not always affect loyalty. Although the literature has not reached a consensus in this topic, we add new elements in this debate.     

传统企业成功转型——“杭州祜康”O2O模式

O2O是指线上线下电子商务,把线上的消费者带到现实商店中:在线支付线下商品、服务,再到线下享受服务。同时,把线下商店的消息推送给互联网用户,从而将他们转换为自己的线下客户。杭州祐康采用的就是通过线上下单,由公司旗下的社区便利店等方式实现配送等业务的O2O模式。     

Understanding online customers’ ties to merchants: the moderating influence of trust on the relationship between switching costs and e-loyalty

Fostering customer loyalty is a key objective for online businesses. Initial transactions with new customers are less profitable than transactions with existing customers, making loyalty an important strategy. Drawing on research examining online customer loyalty (termed e-loyalty), switching costs, and trust, this study provides an empirical test of the relative influence of trust vs switching costs on e-loyalty for e-service providers. We further examine whether trust moderates the relationship between switching costs and e-loyalty. We propose that in the presence of high customer trust, e-service providers should have less need to rely on switching costs as a driver of e-loyalty. We test the hypothesized relationships using data collected from 299 repeat users of online travel services. Our results confirm that trust is a more important predictor of e-loyalty than switching costs. In addition, we find that the impact of switching costs on e-loyalty depends on the level of trust felt by customers. This study extends our understanding of customer loyalty, switching costs, and trust in e-commerce environments and provides practical, theory-driven guidelines to e-businesses seeking to develop customer loyalty programmes.     

A comparison of purchase decision calculus between potential and repeat customers of an online store

Potential and repeat customers of an online store possess different amount of information and use different criteria for making purchase decisions. Internet vendors should therefore adopt different sales strategies for creating initial sales and generating repeat sales. Yet little is known about the differences in online purchase decision making between the two customer groups. This study examines the differences between potential and repeat customers based on mental accounting theory and information processing theory. We found that value perception (of transactions made with the online vendor) as an overall judgment for decision making is more strongly influenced by the non-monetary (perceived risk) factor than by the monetary factor (perceived price) for potential customers, whereas it is more strongly influenced by the monetary factor than by the non-monetary factor for repeat customers. The findings of our study would help Internet vendors develop customized strategies for creating initial sales and repeat sales.     

A software infrastructure for authenticated Web metering

As the popularity of the Internet and the number of resources available on it have grown, potential customers are increasingly turning to it for information about products and services. Accordingly, online advertising is gaining a significant portion of the advertising market. The Internet has become a mainstream advertising channel, surpassing traditional media such as newspapers and radio in number of advertisements. Advertisers exploit the popularity of the best-known Web sites, typically search engines or portals, to advertise their products and reach the most potential customers. Traditional rating systems are of little value when applied to the Internet because of the enormous number of Web pages available to online advertisements. Counting accesses to a Web service is a difficult task and the data may be unreliable. Several metering techniques attempt to accurately measure the number of visits a site receives and hence the advertising exposure, but advertisers and auditing companies haven't adopted a standard technique. We propose a framework based on hash chains. Unlike similar approaches, our implementation minimizes the overhead associated with the additional communication required to implement the protocol while providing an efficient and flexible scheme. Furthermore, the resulting framework offers additional guarantees such as security and nonrepudiation of the produced proof of visits.     

The Effects of Customer Value on Loyalty and Profits in a Dynamic Competitive Market

Providing high value products and services to customers normally leads to customer loyalty and profits. In practice, the relationship of customer value, loyalty, and profits can be observed in the market. However, the dynamic interactive relationships which lead to customer loyalty and profits still remain ambiguous. In this paper, the Agent-Based Computational Economics (ACE) model is introduced to explore the formation of customer loyalty in the Taiwanese imported lumber market. Using agents with reinforced learning algorithms in trading simulations, the effects of customer value on loyalty and profit are incorporated and examined in this interactive dynamic model. As results, the positive correlations among variables of customer value, loyalty, and profits are observed. A controlled experiment shows that changing customer value leads to changes in customer loyalty and profits, but price is not the determinant factor for improving customer loyalty. The R ² values of customer loyalty and profits elucidate that they are increasing as the time lapsed elongate. Providing high value of products and services is a better strategy for suppliers to attract potential loyal customers.      

Willing to pay for quality personalization? Trade-off between quality and privacy

Online personalization presents recommendations of products and services based on customers’ past online purchases or browsing behavior. Personalization applications reduce information overload and provide value-added services. However, their adoption is hindered by customers’ concerns about information privacy. This paper reports on research undertaken to determine whether a high-quality recommendation service will encourage customers to use online personalization. We collected data through a series of online experiments to examine the impacts of privacy and quality on personalization usage and on users’ willingness to pay and to disclose information when using news and financial services. Our findings suggest that under certain circumstances, perceived personalization quality can outweigh the impact of privacy concerns. This implies that service providers can improve the perceived quality of personalization services being offered in order to offset customer privacy concerns. Nevertheless, the impact of perceived quality on personalization usage is weaker for customers who have experienced privacy invasion in the past. The results show that customers who are likely to use online personalization are also likely to pay for the service. This finding suggests that, despite privacy concerns, there is an opportunity for businesses to monetize high-quality personalization.     

The impact of the online and offline features on the user acceptance of Internet shopping malls

Internet shopping mall has the dual nature of Web-based application system and traditional shopping mall. This paper explores online and offline features of Internet shopping malls and their relationships with the acceptance behaviors of customers. The results from a Web survey of 932 users show that the technology acceptance model (TAM) is valid in predicting the acceptance of the Internet shopping malls and that online and offline features have positive effects on the user acceptance. Both online and offline features have greater effects on the usefulness, attitude, and intention to use than either online or offline features separately. This study provides a domain-specific, integrative approach in evaluating the quality and antecedents of user acceptance for Internet shopping malls.