Abstract
Distribution channels are undergoing a radical change. The success of the online channel and digitalization driven by a few leading companies in recent years has dramatically changed the way people live and change their purchasing patterns. New technologies have multiplied the points of contact; broadband connection has increased the number of always-on consumers and, at the same time, has developed online shopping (Pentina & Hasty, 2009). What are the implications of digital technological innovations? Will the physical store continue to play a key role? Will online shopping be able to offer an engaging and exciting consumer experience? For example, showrooming is becoming a common practice. It consists in obtaining all relevant information about a product at the point of sale and finally, buying it online. This practice is often used in order to save money since online prices are known to be lower than in retail shops. It is also driven by the customer's need to touch a product before buying it. More and more retailers are dealing with this phenomenon of being a storefront, providing information, letting people touch products and eventually making fewer sales.
Highlights
The integration of e-commerce with physical channels creates opportunities and synergies: companies can offer multiple services through different channels and for different target segments
Electronic retailing is creating greater customer value in terms of additional services and additional points of contact. To face these technological improvements, many retailers have developed multi-channel strategies by including new touch-point channels in their assets through which companies can interact with consumers (Verhoef, Neslin & Vroomen, 2007)
Retailers started to manage the customer experience and integrate the retailing-mix levers of all distribution channels in order to manage the new logic of competition and establish a lasting relationship with consumers (Neslin et al, 2006)
Summary
The integration of e-commerce with physical channels creates opportunities and synergies: companies can offer multiple services through different channels and for different target segments. Major retailers became multi-channel and the most dynamic ones are focused on online-offline integration and omni-channel (Rigby, 2011), aiming to provide consumers with more engaging, convenient and seamless experiences. Omni-channel consumers simultaneously use many or all available sales channels during the purchasing process, such as online channels, mobile devices, and physical stores.
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