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Summary Consumer Science for Online Commerce Articles VU
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It provides all the articles of the subject Consumer Science for Online Commerce for the minor E-Business and Online Commerce.
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Samenvatting per artikel:Lecture 1:
Timoumi, A., Gangwar, M., & Mantrala, M. K. (2022). Cross-channel effects of omnichannel retail marketing
strategies: A review of extant data-driven research. Journal of Retailing, 98(1), 133-151
Highlights:
• - Adding an online channel may lead to cannibalization of offline sales.
• - Adding an offline channel would have a complimentary effect of the existing channels.
• - Adding mobile channel has a positive effect on the retailer's overall performance.
• - Better cross-channel integration increases retailer's performance.
• - Marketing mix strategies have cross-channel effects and need to be optimized taking into
consideration these cross-effects.
Research questions and conclusions:
- Adding clicks to bricks (blend physical and online)
- Retailers should be cautious of the impact on customers pre-purchase
behavior and cannibalization of offline sales when adopting this. Should only be adopted when online
sales increases due to higher purchase frequency, or there are more customers overall increasing sales
and profit.
- Adding bricks to clicks ((=clicks and mortar) (use online to attract customers, but customers buy it in store)
- Has a positive effect on customers and retailers performance. Increase
trust, brand image and sales online.
- Adding mobile channel
- Has a complementary positive effect on other channels of the retailer. (Can lead to an increase in
returns)
- Cross channel integration
- Enhance overall firm performance. Retailer should offer customers a
seamless and harmonious experience while shopping from different
channels.
- Marketing mix
- Example price promotion and advertising. Be careful of “spillover effect” = one channel can hurt
another, ‘a sale in one channel can hurt sales in another channel’.
Cross-channel synergies and conflicts: The article explores how different channels influence each other,
identifying potential synergies where one channel drives traffic to another (e.g., online search leading to in-store
purchases) and conflicts where channels compete (e.g., online cannibalizing store sales).
Customer-centric strategies: Omnichannel strategies are increasingly tailored to customer preferences, with
data showing that seamless experiences across channels improve customer satisfaction, loyalty, and sales.
Technological advancements: The study highlights how data analytics, artificial intelligence (AI), and customer
relationship management (CRM) systems help firms manage customer data and optimize cross-channel
strategies.
Managerial implications: For retailers, effectively managing the interplay between channels is crucial for
maximizing profitability. The review emphasizes that retailers must carefully align their pricing, promotions, and
product availability across channels.
Main Research Question (RQ):
The primary research question is: What are the cross-channel effects of omnichannel retail marketing strategies,
and how do data-driven approaches help retailers understand and optimize these effects?
Main Variables Tested:
1. Marketing Channel Variables:
o Online (websites, email, social media)
o Offline (brick-and-mortar stores)
o Mobile (apps, SMS, mobile websites)
2. Customer Behavior Metrics:
o Customer acquisition, retention, and engagement
o Purchase behavior (frequency, recency, and monetary value)
o Channel-switching behavior (e.g., from online to offline)
3. Firm Metrics:
o Sales performance across channels
, o Return on investment (ROI) for different marketing actions
o Brand loyalty and customer satisfaction
Main Findings:
1. Cross-Channel Synergies: The research highlights that marketing activities in one channel (e.g., email
promotions) often increase sales in other channels (e.g., in-store purchases), suggesting that
omnichannel strategies can create positive synergies.
2. O2O (Online-to-Offline): The review shows that online promotions, product information, and
customer reviews can significantly drive offline store visits and purchases, underscoring the importance
of integrating digital and physical channels.
3. Mobile and Personalization: Mobile marketing, especially when personalized (e.g., app notifications
based on past behavior), is particularly effective at increasing customer engagement across channels.
4. Customer Heterogeneity: Different customer segments respond differently to omnichannel strategies.
For example, younger customers may be more responsive to mobile and social media marketing, while
older customers may prefer email or direct mail.
5. Challenges in Measurement: The review points out that measuring cross-channel effects is complex
due to data silos and the difficulty of attributing outcomes (e.g., sales) to specific channels, calling for
improved attribution models.
, Lecture 2:
Voorhees, C. M., Fombelle, P. W., Gregoire, Y., Bone, S., Gustafsson, A., Sousa, R., & Walkowiak, T. (2017).
Service encounters, experiences and the customer journey: Defining the field and a call to expand our lens.
Journal of Business Research, 79, 269-280.
Highlights:
• - Refined definitions of the service encounter and service experience are introduced.
• - Guidelines and topics for future research in services are discussed.
• - A model of resource allocation across the service experience is developed.
• - Service research needs to expand its focus beyond core encounters to continue to inform research and
practice.
Goal of article: “Reviewing and expanding the definitions of service encounter, by giving more attention to the
“pre-core” and “post-core” periods, by discussing the “interdependencies” between the three encounter periods,
and by highlighting the importance of strategically investing resources across the three encounter periods.”
Highlights:
1. Customer Journey Perspective: The paper shifts focus from isolated service encounters to a
broader customer journey framework, where customer interactions with firms are viewed as a series of
touchpoints across time and channels.
2. Holistic View of Service Experiences: The authors argue for a more holistic view of customer
experiences, emphasizing the importance of understanding pre-purchase, purchase, and post-purchase
stages and how they interconnect to shape overall satisfaction and loyalty.
3. Call for Expanding the Lens: The paper calls for future research to expand the lens beyond the
traditional focus on individual service encounters to consider the cumulative effect of multiple
interactions, including digital and physical channels.
4. Multidisciplinary Approach: The study draws insights from psychology, marketing, and service
operations, highlighting the need for an interdisciplinary approach to understand complex customer
behaviors.
Main Research Question (RQ):
The central research question is: How can service encounters and customer experiences be better understood
within the framework of the broader customer journey, and what are the implications for theory and practice?
Main Variables Tested:
While the article is a conceptual piece and does not directly test empirical variables, it does discuss several key
constructs that researchers and practitioners should consider:
1. Service Encounter Variables:
o Frequency and quality of touchpoints (e.g., online, face-to-face, or via customer service)
o Type of service (routine vs. critical service encounters)
o Channel integration (how online and offline experiences connect)
2. Customer Experience Variables:
o Emotional responses (e.g., satisfaction, frustration)
o Cognitive responses (e.g., perceived value, decision-making)
o Behavioral outcomes (e.g., purchase, loyalty, word-of-mouth)
3. Customer Journey Metrics:
o Journey satisfaction: holistic evaluation of all stages
o Cross-channel consistency: smooth transition between channels
o Memory of experiences: long-term impact of service encounters
Main Findings:
1. Customer Journeys are Non-linear: The review emphasizes that customer journeys are rarely linear.
Customers move fluidly across channels and touchpoints, often engaging in multiple stages (pre-
purchase, purchase, post-purchase) simultaneously. Understanding this non-linear progression is crucial
for firms to design effective service systems.
2. Cumulative Impact of Service Encounters: The article stresses that customer satisfaction and loyalty are
shaped not by individual service encounters but by the accumulation of experiences across the entire
journey. A poor experience at one touchpoint can negatively impact the customer’s overall perception,
even if other touchpoints are positive.
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