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Going Online for Groceries: Drivers of Category-Level Share of Wallet Expansion

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  • Campo, Katia
  • Lamey, Lien
  • Breugelmans, Els
  • Melis, Kristina

Abstract

Some grocery product categories may be more successful than others in terms of stimulating consumers to increase their share of wallet (SoW) when they start buying through the online channel of a grocery chain. This study explores the circumstances in which online and multichannel marketing mix instruments determine the extent of category-level SoW expansion. To do so, the authors use U.K. household scanner panel data, covering online and offline purchases by 3,311 households in 59 categories of four multichannel retail chains. The results indicate that the effectiveness of online and multichannel marketing mix instruments for stimulating expansion is moderated by category characteristics, such that a selective approach to making decisions about the online price, online assortment breadth, online/offline assortment integration, and online national brand proliferation, tuned to account for category differences, can increase category-level SoW for the online-visited chain.

Suggested Citation

  • Campo, Katia & Lamey, Lien & Breugelmans, Els & Melis, Kristina, 2021. "Going Online for Groceries: Drivers of Category-Level Share of Wallet Expansion," Journal of Retailing, Elsevier, vol. 97(2), pages 154-172.
    • Handle: RePEc:eee:jouret:v:97:y:2021:i:2:p:154-172
    DOI: 10.1016/j.jretai.2020.05.003
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    Cited by:

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    3. Ratchford, Brian & Soysal, Gonca & Zentner, Alejandro, 2023. "Multichannel customer purchase behavior and long tail effects in the fashion goods market," Journal of Retailing, Elsevier, vol. 99(1), pages 46-65.
    4. Jan-Michael Becker & Dorian Proksch & Christian M. Ringle, 2022. "Revisiting Gaussian copulas to handle endogenous regressors," Journal of the Academy of Marketing Science, Springer, vol. 50(1), pages 46-66, January.
    5. Li, Qi & Wang, Quansheng & Song, Peijian, 2022. "Do customers always adopt buy-online-and-pick-up-in-store service? Consideration of location-based store density in omni-channel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 68(C).
    6. Sarkar, Mitali & Dey, Bikash Koli & Ganguly, Baishakhi & Saxena, Neha & Yadav, Dharmendra & Sarkar, Biswajit, 2023. "The impact of information sharing and bullwhip effects on improving consumer services in dual-channel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 73(C).

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    More about this item

    Keywords

    Multichannel retailing; Online grocery shopping; Category expansion; Marketing mix;
    All these keywords.

    JEL classification:

    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing

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