IDEAS home Printed from https://ideas.repec.org/a/ibn/ijbmjn/v13y2017i1p85.html
   My bibliography  Save this article

The New Paradigm of the Omnichannel Retailing: Key Drivers, New Challenges and Potential Outcomes Resulting from the Adoption of an Omnichannel Approach

Author

Listed:
  • Aiolfi Simone
  • Edoardo Sabbadin

Abstract

The rise of the Internet, mobile technologies and digital disruption have changed the retail business as well as the implementation of the levers of retail mix and the behavior of shoppers. Online channel has become an appealing channel where retailers can sell their products and services. The proliferation of channels and touch points has affected not only consumer behavior but also companies' business models. Many retailers have started to develop multichannel and omnichannel strategies by adding new channels through which interact with the customers. Retailers are now concentrating on how shoppers are influenced by new technologies and how they switch across channels during their research and buying process. Omnichannel retailing, defined as the conceptualization of the complete integration of all channels, with no distinction between the online and the physical channel, is the new retailing paradigm of today. The topic itself is particularly relevant as technological development continue to disrupt retail strategies and practitioners are debating as to how to respond. Particularly, managers are worried about how to manage the several touch points, which are now simultaneously available to customers. Concerning with the present research, we attempt to describe this development by analyzing the existing literature about topics that we can classify within the omnichannel paradigm. In order to explain how both literature and business models are moving from multichannel retailing towards the implementation of omnichannel strategies, we follow a blended approach based on literature review, theoretical background as well as some interesting managerial insights resulting from business’ case histories. To address the concerns of managers and retailers about the new challenges they will need to face in implementing an omnichannel retailing approach, we present a theoretical framework, concerning with the adoption of the omnichannel as an innovative strategy in the overall marketing strategies. To deal with the topic we start from three research questions that guide our literature review as well as our theoretical framework. We investigate what are the key drivers that have stimulated retailers to develop an omnichannel retailing strategy, what are the new challenges that retailers will need to face when they decide to implement an omnichannel strategy in their overall marketing strategy and finally what are the possible outcomes of a correct and successful implementation of an omnichannel retailing strategy. Therefore, our theoretical framework explains key drivers, new challenges and potential outcomes coming from the adoption of the omnichannel retailing in order to help managers and practitioners who might decide to enter the omnichannel retailing.

Suggested Citation

  • Aiolfi Simone & Edoardo Sabbadin, 2017. "The New Paradigm of the Omnichannel Retailing: Key Drivers, New Challenges and Potential Outcomes Resulting from the Adoption of an Omnichannel Approach," International Journal of Business and Management, Canadian Center of Science and Education, vol. 13(1), pages 1-85, December.
  • Handle: RePEc:ibn:ijbmjn:v:13:y:2017:i:1:p:85
    as

    Download full text from publisher

    File URL: http://www.ccsenet.org/journal/index.php/ijbm/article/download/71417/39677
    Download Restriction: no

    File URL: http://www.ccsenet.org/journal/index.php/ijbm/article/view/71417
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Kyle B. Murray & Gerald Häubl, 2008. "Interactive Consumer Decision Aids," International Series in Operations Research & Management Science, in: Berend Wierenga (ed.), Handbook of Marketing Decision Models, chapter 0, pages 55-77, Springer.
    2. Herhausen, Dennis & Binder, Jochen & Schoegel, Marcus & Herrmann, Andreas, 2015. "Integrating Bricks with Clicks: Retailer-Level and Channel-Level Outcomes of Online–Offline Channel Integration," Journal of Retailing, Elsevier, vol. 91(2), pages 309-325.
    3. Rapp, Adam & Baker, Thomas L. & Bachrach, Daniel G. & Ogilvie, Jessica & Beitelspacher, Lauren Skinner, 2015. "Perceived customer showrooming behavior and the effect on retail salesperson self-efficacy and performance," Journal of Retailing, Elsevier, vol. 91(2), pages 358-369.
    4. Rajagopal, 2014. "The Human Factors," Palgrave Macmillan Books, in: Architecting Enterprise, chapter 9, pages 225-249, Palgrave Macmillan.
    5. Santiago Gallino & Antonio Moreno, 2014. "Integration of Online and Offline Channels in Retail: The Impact of Sharing Reliable Inventory Availability Information," Management Science, INFORMS, vol. 60(6), pages 1434-1451, June.
    6. Deleersnyder, B. & Geyskens, I. & Gielens, K.J.P. & Dekimpe, M.G., 2002. "How cannibalistic is the internet channel? A study of the newspaper industry in the United Kingdom and the Netherlands," Other publications TiSEM 16dcb25c-7ea9-4c75-bdf6-5, Tilburg University, School of Economics and Management.
    7. Grewal, Dhruv & Roggeveen, Anne L. & Nordfält, Jens, 2017. "The Future of Retailing," Journal of Retailing, Elsevier, vol. 93(1), pages 1-6.
    8. Baxendale, Shane & Macdonald, Emma K. & Wilson, Hugh N., 2015. "The Impact of Different Touchpoints on Brand Consideration," Journal of Retailing, Elsevier, vol. 91(2), pages 235-253.
    9. van Nierop, J.E.M. & Leeflang, P.S.H. & Teerling, M.L. & Huizingh, K.R.E., 2011. "The impact of the introduction and use of an informational website on offline customer buying behavior," International Journal of Research in Marketing, Elsevier, vol. 28(2), pages 155-165.
    10. Agatz, Niels A.H. & Fleischmann, Moritz & van Nunen, Jo A.E.E., 2008. "E-fulfillment and multi-channel distribution - A review," European Journal of Operational Research, Elsevier, vol. 187(2), pages 339-356, June.
    11. Ström, Roger & Vendel, Martin & Bredican, John, 2014. "Mobile marketing: A literature review on its value for consumers and retailers," Journal of Retailing and Consumer Services, Elsevier, vol. 21(6), pages 1001-1012.
    12. Gerardine DeSanctis & Marshall Scott Poole, 1994. "Capturing the Complexity in Advanced Technology Use: Adaptive Structuration Theory," Organization Science, INFORMS, vol. 5(2), pages 121-147, May.
    13. Min, Hokey & Jeung Ko, Hyun & Seong Ko, Chang, 2006. "A genetic algorithm approach to developing the multi-echelon reverse logistics network for product returns," Omega, Elsevier, vol. 34(1), pages 56-69, January.
    14. Shankar, Venkatesh & Balasubramanian, Sridhar, 2009. "Mobile Marketing: A Synthesis and Prognosis," Journal of Interactive Marketing, Elsevier, vol. 23(2), pages 118-129.
    15. Konuş, Umut & Verhoef, Peter C. & Neslin, Scott A., 2008. "Multichannel Shopper Segments and Their Covariates," Journal of Retailing, Elsevier, vol. 84(4), pages 398-413.
    16. Rohm, Andrew J. & Swaminathan, Vanitha, 2004. "A typology of online shoppers based on shopping motivations," Journal of Business Research, Elsevier, vol. 57(7), pages 748-757, July.
    17. Gensler, Sonja & Leeflang, Peter & Skiera, Bernd, 2012. "Impact of online channel use on customer revenues and costs to serve: Considering product portfolios and self-selection," International Journal of Research in Marketing, Elsevier, vol. 29(2), pages 192-201.
    18. Puccinelli, Nancy M. & Goodstein, Ronald C. & Grewal, Dhruv & Price, Robert & Raghubir, Priya & Stewart, David, 2009. "Customer Experience Management in Retailing: Understanding the Buying Process," Journal of Retailing, Elsevier, vol. 85(1), pages 15-30.
    19. Eugene W. Anderson & Mary W. Sullivan, 1993. "The Antecedents and Consequences of Customer Satisfaction for Firms," Marketing Science, INFORMS, vol. 12(2), pages 125-143.
    20. Christian Homburg & Danijel Jozić & Christina Kuehnl, 2017. "Customer experience management: toward implementing an evolving marketing concept," Journal of the Academy of Marketing Science, Springer, vol. 45(3), pages 377-401, May.
    21. Grewal, Dhruv & Levy, Michael & Kumar, V., 2009. "Customer Experience Management in Retailing: An Organizing Framework," Journal of Retailing, Elsevier, vol. 85(1), pages 1-14.
    22. Shankar, Venkatesh & Venkatesh, Alladi & Hofacker, Charles & Naik, Prasad, 2010. "Mobile Marketing in the Retailing Environment: Current Insights and Future Research Avenues," Journal of Interactive Marketing, Elsevier, vol. 24(2), pages 111-120.
    23. Grewal, Dhruv & Iyer, Gopalkrishnan R. & Levy, Michael, 2004. "Internet retailing: enablers, limiters and market consequences," Journal of Business Research, Elsevier, vol. 57(7), pages 703-713, July.
    24. Kwon, Wi-Suk & Lennon, Sharron J., 2009. "What induces online loyalty? Online versus offline brand images," Journal of Business Research, Elsevier, vol. 62(5), pages 557-564, May.
    25. Editors, 2014. "International Journal of Systems Science," International Journal of Systems Science, Taylor & Francis Journals, vol. 45(12), pages 1-1, December.
    26. Deleersnyder, B. & Geyskens, I. & Gielens, K. & Dekimpe, M.G., 2002. "How Cannibalistic is the Internet Channel?," ERIM Report Series Research in Management ERS-2002-22-MKT, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    27. Ganesan, Shankar & George, Morris & Jap, Sandy & Palmatier, Robert W. & Weitz, Barton, 2009. "Supply Chain Management and Retailer Performance: Emerging Trends, Issues, and Implications for Research and Practice," Journal of Retailing, Elsevier, vol. 85(1), pages 84-94.
    28. Neslin, Scott A. & Shankar, Venkatesh, 2009. "Key Issues in Multichannel Customer Management: Current Knowledge and Future Directions," Journal of Interactive Marketing, Elsevier, vol. 23(1), pages 70-81.
    29. Gerald Häubl & Valerie Trifts, 2000. "Consumer Decision Making in Online Shopping Environments: The Effects of Interactive Decision Aids," Marketing Science, INFORMS, vol. 19(1), pages 4-21, May.
    30. Sameer Kumar & Jessica Eidem & Diana Noriega Perdomo, 2012. "Clash of the e‐commerce titans," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 61(7), pages 805-830, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Silvia Bellini & Simone Aiolfi & Maria Grazia Cardinali, 2023. "How to Promote Healthier Shopping Behaviour: Which Are the Most Effective Retail Marketing’ Levers in E-Commerce Grocery," International Journal of Business and Management, Canadian Center of Science and Education, vol. 16(3), pages 101-101, April.
    2. Pedro Cuesta-Valiño & Javier Alonso-García & Federico Pablo-Martí & Estela Núnez-Barriopedro, 2024. "Constraints and barriers on industrial customer performance in an omnichannel ecosystem," Review of Managerial Science, Springer, vol. 18(9), pages 2749-2780, September.
    3. Gao, Mengjia & Huang, Lin, 2021. "Quality of channel integration and customer loyalty in omnichannel retailing: The mediating role of customer engagement and relationship program receptiveness," Journal of Retailing and Consumer Services, Elsevier, vol. 63(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Herhausen, Dennis & Kleinlercher, Kristina & Verhoef, Peter C. & Emrich, Oliver & Rudolph, Thomas, 2019. "Loyalty Formation for Different Customer Journey Segments," Journal of Retailing, Elsevier, vol. 95(3), pages 9-29.
    2. Simone Aiolfi & Edoardo Sabbadin, 2021. "Fashion and New Luxury Digital Disruption: The New Challenges of Fashion between Omnichannel and Traditional Retailing," International Journal of Business and Management, Canadian Center of Science and Education, vol. 14(8), pages 1-41, July.
    3. João M. Lopes & Ana Sousa & Eva Calçada & José Oliveira, 2022. "A citation and co-citation bibliometric analysis of omnichannel marketing research," Management Review Quarterly, Springer, vol. 72(4), pages 1017-1050, December.
    4. Hernant, Mikael & Rosengren, Sara, 2017. "Now what? Evaluating the sales effects of introducing an online store," Journal of Retailing and Consumer Services, Elsevier, vol. 39(C), pages 305-313.
    5. Verhoef, Peter C. & Venkatesan, Rajkumar & McAlister, Leigh & Malthouse, Edward C. & Krafft, Manfred & Ganesan, Shankar, 2010. "CRM in Data-Rich Multichannel Retailing Environments: A Review and Future Research Directions," Journal of Interactive Marketing, Elsevier, vol. 24(2), pages 121-137.
    6. Maier, Erik & Bornschein, Rico & Manss, Rico & Hesse, Damian, 2023. "Financial consequences of adding bricks to clicks," International Journal of Research in Marketing, Elsevier, vol. 40(3), pages 609-628.
    7. Zhang, Jie & Farris, Paul W. & Irvin, John W. & Kushwaha, Tarun & Steenburgh, Thomas J. & Weitz, Barton A., 2010. "Crafting Integrated Multichannel Retailing Strategies," Journal of Interactive Marketing, Elsevier, vol. 24(2), pages 168-180.
    8. Verhoef, Peter C. & Kannan, P.K. & Inman, J. Jeffrey, 2015. "From Multi-Channel Retailing to Omni-Channel Retailing," Journal of Retailing, Elsevier, vol. 91(2), pages 174-181.
    9. Grewal, Dhruv & Ailawadi, Kusum L. & Gauri, Dinesh & Hall, Kevin & Kopalle, Praveen & Robertson, Jane R., 2011. "Innovations in Retail Pricing and Promotions," Journal of Retailing, Elsevier, vol. 87(S1), pages 43-52.
    10. Neslin, Scott A., 2022. "The omnichannel continuum: Integrating online and offline channels along the customer journey," Journal of Retailing, Elsevier, vol. 98(1), pages 111-132.
    11. Reinartz, Werner & Wiegand, Nico & Imschloss, Monika, 2019. "The impact of digital transformation on the retailing value chain," International Journal of Research in Marketing, Elsevier, vol. 36(3), pages 350-366.
    12. Flavián, Carlos & Gurrea, Raquel & Orús, Carlos, 2020. "Combining channels to make smart purchases: The role of webrooming and showrooming," Journal of Retailing and Consumer Services, Elsevier, vol. 52(C).
    13. von Briel, Frederik, 2018. "The future of omnichannel retail: A four-stage Delphi study," Technological Forecasting and Social Change, Elsevier, vol. 132(C), pages 217-229.
    14. Saghiri, Soroosh & Wilding, Richard & Mena, Carlos & Bourlakis, Michael, 2017. "Toward a three-dimensional framework for omni-channel," Journal of Business Research, Elsevier, vol. 77(C), pages 53-67.
    15. Grewal, Dhruv & Janakiraman, Ramkumar & Kalyanam, Kirthi & Kannan, P.K. & Ratchford, Brian & Song, Reo & Tolerico, Stephen, 2010. "Strategic Online and Offline Retail Pricing: A Review and Research Agenda," Journal of Interactive Marketing, Elsevier, vol. 24(2), pages 138-154.
    16. Vaishnav, Bharat & Ray, Sourav, 2023. "A thematic exploration of the evolution of research in multichannel marketing," Journal of Business Research, Elsevier, vol. 157(C).
    17. Barwitz, Niklas, 2020. "The relevance of interaction choice: Customer preferences and willingness to pay," Journal of Retailing and Consumer Services, Elsevier, vol. 53(C).
    18. Mencarelli, Rémi & Rivière, Arnaud & Lombart, Cindy, 2021. "Do myriad e-channels always create value for customers? A dynamic analysis of the perceived value of a digital information product during the usage phase," Journal of Retailing and Consumer Services, Elsevier, vol. 63(C).
    19. Konuş, Umut & Neslin, Scott A. & Verhoef, Peter C., 2014. "The effect of search channel elimination on purchase incidence, order size and channel choice," International Journal of Research in Marketing, Elsevier, vol. 31(1), pages 49-64.
    20. Jing Zhu & Muhammad Awais Shakir Goraya & Yu Cai, 2018. "Retailer–Consumer Sustainable Business Environment: How Consumers’ Perceived Benefits Are Translated by the Addition of New Retail Channels," Sustainability, MDPI, vol. 10(9), pages 1-22, August.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:ijbmjn:v:13:y:2017:i:1:p:85. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.