Integration of online and offline channels: a view of O2O commerce

Abstract

PurposeThis study uses the travel industry as the research context and investigates online–offline integration between the different business entities of hoteliers and online travel agencies (OTAs). The purpose of this paper is threefold: first, to examine cooperation between hotels and OTAs; second, to examine how online and offline satisfaction increase behavioral intentions toward online and offline channels; and third, to investigate the factors that increase online and offline satisfaction.Design/methodology/approachTo investigate customers’ behavioral intentions toward online and offline channels, the authors collected 241 data points from ten hotels from four well-known chains. The partial least squares structural equation modeling approach was used to test the research model and the 13 hypotheses.FindingsThe results show that system quality, information quality and service quality of OTA websites increase online satisfaction. Online satisfaction further increases behavioral intentions toward online channels but has no significant effect on offline satisfaction and behavioral intentions toward offline channels. Emotional value and social value offered by hotels increase offline satisfaction. Offline satisfaction further increases behavioral intentions toward online and offline channels. Finally, behavioral intentions toward online channels indeed reinforce behavioral intentions toward offline channels.Originality/valueSome prior studies have focused on the effects of offline channels on online channels, whereas others have examined the influences of online channels on offline channels. However, in previous studies, the online and offline channels were both owned by the same business entities. To the best of the authors’ knowledge, this study is the first to examine how online and offline channels belonging to different business entities can work together to increase customer intentions.