A Qualitative Study on Innovation and Dimensional Aspects of the Omnichannel Retail Business Model

Saiyed Wajid Ali,Nikita Tyagi,Tahir Ahmad Wani

doi:10.4018/ijebr.294108

Abstract

The purpose of the study is to elucidate linkage of Omnichannel retail business model with innovation and technological advancements. The study is exploratory and qualitative in nature, based on primary and secondary data sources collected from varied retail sectors such as fashion, furniture, eyecare and electronics . The study has used Business Model Canvass (BMC) as a tool for strategic analysis. The study presents findings about business model and strategies in Omnichannel context from Indian retailers. The findings of the study posits four main dimensions resultant of digitalization and technological advancements in Omnichannel retail, namely Omnichannel Intensity, Organizational Structure Integration, Operations and Supply Chain Management Innovation, Data Analytics and Intelligence. Cross-channel Integration and Data Analytics & Intelligence have been found to be contributing enormously towards the strategic growth of Omnichannel retailers, thus emerging as the prominent managerial implications of the study.

Highlights

The future of the retail landscape is altering with the advent of technology as the report by McKinsey (2020)
The findings comprehensively present how each interviewed retailer performs across the dimensions as part of Business Model Innovation (BMI)
The findings of the study have been presented in the table according to different dimensions of BMI

Summary

Introduction

The future of the retail landscape is altering with the advent of technology as the report by McKinsey (2020). The evolving retail sector can be broadly attributed to technology usage in decision making, customer engagement and big data analytics (Bell et al 2014; Brynjolfsson et al 2013; Grewal et al 2017). Technology and automation are redrafting the business operational models, value proposition and changing consumer preferences and purchase behavior. Consumers are increasingly using both offline and online retail channels throughout the purchase journey (prepurchase to post-purchase) (Wang et al, 2020), making omnichannel retail even more pertinent due to the accelerating changes in modern consumer behavior. The emerging consumer purchase patterns require seamless switching across all retail channels, reinforcing the need for a seamless omnichannel shopping experience.

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Conclusion