Does Online Information Drive Offline Revenues? Only for Specific Products and Consumer Segments!

Keen Pauwels*, Peter S. H. Leeflang, Marije L. Teerling, K. R. Eelko Huizingh

*Corresponding author voor dit werk

OnderzoeksoutputAcademicpeer review

174 Citaten (Scopus)

Samenvatting

While many offline retailers have developed informational websites that offer information on products and prices, the key question for such informational websites is whether they can increase revenues via web-to-store shopping. The current paper draws on the information search literature to specify and test hypotheses regarding the offline revenue impact of adding an informational website. Explicitly considering marketing efforts, a latent class model distinguishes consumer segments with different short-term revenue effects, while a Vector Autoregressive model on these segments reveals different long-term marketing response.

We find that the offline revenue impact of the informational website critically depends on the product category and customer segment. The lower online search costs are especially beneficial for sensory products and for customers distant from the store. Moreover, offline revenues increase most for customers with high web visit frequency. We find that customers in some segments buy more and more expensive products, suggesting that online search and offline purchases are complements. In contrast, customers in a particular segment reduce their shopping trips, suggesting their online activities partially substitute for experiential shopping in the physical store. Hence, offline retailers should use specific online activities to target specific product categories and customer segments. (C) 2010 New York University. Published by Elsevier Inc. All rights reserved.

Originele taal-2English
Pagina's (van-tot)1-17
Aantal pagina's17
TijdschriftJournal of Retailing
Volume87
Nummer van het tijdschrift1
DOI's
StatusPublished - mrt.-2011

Vingerafdruk

Duik in de onderzoeksthema's van 'Does Online Information Drive Offline Revenues? Only for Specific Products and Consumer Segments!'. Samen vormen ze een unieke vingerafdruk.

Citeer dit