CUSTOMER RETENTION IN FASHION E-TAILING: FACILITATORS AND BARRIERS

Abstract

The Internet has changed the way consumers gather information and shop. An increasingly competitive market calls for new marketing approaches to attract customers to the companies’ online stores. The aim of the present article is to understand what facilitates and what creates barriers to prioritizing repeat customers. Further, the article discusses repurchasing among young female online fashion shoppers and how these consumers can be retained. Two research questions are addressed: 1. What facilitates repurchasing among online fashion consumers, and why? 2. What creates barriers to re-purchasing among online fashion consumers, and why? In order to gain deeper knowledge of how e-tailers work with customer retention, we conducted a pilot study that included representatives from two clothing companies, as well as an expert interview with an analyst at the company Stroede Ralto. Then two focus groups consisting of young female online shoppers were formed. Results from the focus groups show that several companies use frequent e-mail advertising and targeted advertising on other websites to retain customers and facilitate re-purchasing. All participants found these features annoying rather than helpful. Moreover, the help functions provided in an online store played a major role in facilitating the purchasing, and shopping carts were appreciated as they enable customers to easily view and add items and obtain price information. We discovered that the consumers did most of their shopping on websites they found esthetically appealing and inspiring and that they would often return to these websites for inspiration or to browse. The article further provides advice to managers regarding how to retain customers.