Showrooming,Webrooming, and User-Generated Content Creation in the Omnichannel Era

Omnichannel retailing characterizes a seamless and integrated approach of diverse retail channels. Showrooming and webrooming are prominent shopping trends among consumers in omnichannel retail. The purpose of this study was to examine (1) whether omnichannel consumers’ psychographic characteristics (i.e., information attainment, price comparison, social interaction, assortment seeking, and convenience seeking) had an influence on showrooming and webrooming, which then had an influence on omnichannel consumers’ user-generated content creation intention on social media and (2) whether the social-local-mobile (SoLoMo) experience moderated the links between omnichannel consumers’ showrooming/webrooming and user-generated content creation intention. An online survey was administered to a total of 680 omnichannel consumers with showrooming and webrooming experience from a U.S. consumer panel. This study found that omnichannel consumers’ showrooming and webrooming positively affected user-generated content creation intention on social media. Omnichannel consumers’ information attainment, price comparison, and social interaction positively affected showrooming. Information attainment, social interaction, and assortment seeking positively affected webrooming. The SoLoMo experience moderated the link between webrooming and user-generated content creation intention on social media. Managerial implications were discussed.     

The Showrooming Phenomenon: It's More than Just About Price

This paper examines the factors that influence competitive showrooming, whereby consumers visit an offline retail store to gather information but make their purchase online at a competing retailer. We survey 556 respondents to study how the benefits and costs of showrooming influence the consumer's decision to showroom. Not surprisingly, we find that expected average price savings from showrooming are positively associated with showrooming. In addition, however, the perceived dispersion in online prices is also positively related to showrooming. Moreover, we find that non-price factors play a key role in consumers' showrooming decisions: perceived gains in the quality of the product purchased when showrooming (measured as the fit with a consumer's need) and waiting time for service in the brick-and-mortar store are positively associated with showrooming. Online search costs are negatively related to showrooming. Time pressure that consumers face when shopping is negatively associated with their propensity to showroom. We discuss implications for researchers and retail managers. For example, managers of offline retail stores can curtail showrooming by increasing the number of sales personnel available in-store instead of providing currently employed personnel with more training. To encourage showrooming, managers of online retailers should make it easier for the customer to search online.     

Is showrooming really so terrible? start understanding showroomers

The customer journey is more omni-channel than ever. In this scenario, so-called showrooming behavior emerges as a growing trend that is usually considered by retailers as a threat. The purpose of this research is to analyze whether showrooming, when compared with online buying behavior in which the customer does not visit the store prior to the purchase, has a positive effect on the price paid online by the customer. The empirical research is based on the database compiled by GfK, which contains detailed information about the shopping journey of 4067 customers who purchased products from different retail sectors. The results, derived from the estimation of several regression models, reveal that showroomers who use their smartphones in store are more likely to purchase products at a higher price, which explains why these customers can be of special interest to retailers.     

Combining channels to make smart purchases: The role of webrooming and showrooming

In this study, the authors analyse the influence of specific combinations of online and physical channels (webrooming and showrooming) on the customer experience, specifically, on smart shopping perceptions and feelings. Taking into account that cross-channel consumers are driven by different motivations, the influence of shopping motivations is controlled. The results of an experiment in the fashion industry show that webroomers have greater perceptions of time/effort savings and of making the right purchase, and greater smart shopping feelings, than showroomers. Furthermore, webrooming leads to higher personal attribution than showrooming, meaning that consumers feel responsible and in control of their purchase outcomes. Personal attribution then mediates the impact of webrooming on smart shopping feelings. Although companies may have difficulties in tracking consumers’ use of online and offline channels, their enhanced control over the process may improve their experience through smart shopping perceptions and feelings.     

Searching offline and buying online – An analysis of showrooming forms and segments

Showrooming is behavior where customers search for information in brick-and-mortar stores and then purchase products online. While the literature conceptualizes showrooming as a one-dimensional variable, we argue that different forms of showrooming exist. We identify four showrooming segments that differ in retailer loyalty, usage of in-store information, devices, place and time of the online purchase. We show further that loyal vs. competitive showroomers differ in psychographic variables, such as price consciousness, desire for social contact and bad conscience during showrooming. The results have important implications for retailers aiming to keep customers in their own channels.     

The evolving role of hit and niche products in brick-and-mortar retail category assortment planning: A large-scale empirical investigation of U.S. consumer packaged goods

Long tail theory, the notion that the future of retailing could involve shifting product assortments to offer more product variety to precisely serve the unique needs of individual customers, has largely been proven true in the context of online distribution. However, it has been implicitly assumed that this theory does not apply to brick-and-mortar selling situations due to higher supply side inventory costs and higher demand side consumer search costs. Academics and practitioners alike have thus advocated for the use of Pareto rules to make category assortment planning decisions about product inventory breadth and depth in the brick-and-mortar channel. This research directly challenges this received wisdom by noting that the widespread prevalence and use of mobile technology is causing information flows to speed up for consumers even while performing traditional shopping tasks. Such information flows should theoretically favor the strategic importance of niche products in the long tail of the sales distribution. A large-scale empirical analysis of consumer packaged goods brick-and-mortar retailing data indicates that this alternative prediction is indeed true. This research contributes to a larger body of research as well that has documented how major environmental forces are shifting the nature of retail strategy, particularly in the brick-and-mortar channel.     

Consumer showrooming: Value co-destruction

PurposeThis research employs value co-destruction as a theoretical lens to investigate the antecedents of consumer showrooming behavior. Drawing on relevant literature, a research model specifying showrooming dynamics from the consumer's perspective is conceptualized and empirically tested.MethodologyUtilizing survey data from 275 consumers, structural equation modelling is employed to assess a research model including thirteen hypotheses.FindingsThe study findings reveal that showrooming behavior is complex and comprises differing degrees of accumulative value co-destruction and value co-creation behavior across online and offline channels. Specifically, consumer characteristics, channel characteristics and product characteristics are shown to be associated with in-store value taking and online value co-destruction and co-creation.Originality and valueScholarly insights into the antecedents of consumer showrooming are rare. In responding to calls for research, this paper represents the first empirical investigation of consumer showrooming behavior utilizing the lens of value co-destruction. The study adds to academic understanding of the showrooming phenomena and demonstrates that co-destructive and co-creative behaviors can occur in a simultaneous, concurrent and iterative fashion. Focusing on practice, the findings reveal opportunities for experience-led shopping environments.     

“Showrooming” in Consumer Electronics Retailing: An Empirical Study

The present study focuses on multichannel retailing strategies and describes the state of consumer behavior regarding “showrooming” (the practice of examining merchandise or products in a retail store and then buying it online). Founded on the theory of planned behavior (TPB), the authors examine the antecedents of showrooming using data collected from a sample of 176 retail consumers. Based on their results, they define perceived control, website compatibility, and subjective norms as the main antecedents of consumer attitudes toward online purchases. Additionally, they state that previous experience and reasons against purchasing online are directly associated with consumers’ intention to purchase on the retailer’s website. Finally, some theoretical conclusions and practical implications for retailers are discussed.     

Is the shopper always the king/queen? Study of omnichannel retail technology use and shopping orientations

Technology is transforming how retail services are delivered and the experience lived by consumers. Online and offline channels are converging to deliver a seamless omnichannel shopping experience. However, despite retailers’ significant technology investments, shoppers do not always adopt omnichannel usage. Understanding omnichannel retail technology (ORT) usage and how it interacts with shopping orientations is thus an important research challenge.The model is tested through a field study that targets real users of a 3D virtual reality application.The results first show that omnichannel use positively influences performance and effort expectancy perceptions. Second, the effect of ORT use on decision quality depends on task orientation. Third, task orientation moderates the effect of omnichannel use on performance expectancy. Fourth, recreational orientation positively influences shoppers’ perceived experience. Fifth, perceived value is an important predictor of retail patronage intentions.     

An Examination of the Effect of Consumer Personal Traits on Show Rooming Behavior: The Effect of Product Type

The rapid growth of online commerce and spread of mobile devices have created various trends in product-purchasing behaviors of consumers. Especially in online-to-offline commerce, “showrooming” has increased. This involves searching for products offline but purchasing them online. Among theories of consumer buying behavior based on traditional consumer characteristics, this study empirically analyzes whether there are group-specific differences in showrooming. The results show that innovative consumption tendencies are significantly related to push, pull, and mooring factors. The findings also elucidate the role of showrooming buying behavior in these relationships. In terms of push and mooring factors, these relationships are strengthened by showrooming purchase experience. This study divides products into electronic products and apparel and analyzes the effects on purchase experience using a moderator.     

Information effects of warehouse automation on sales in omnichannel retailing

The recent development of an omnichannel business environment provides a seamless shopping experience throughout the customer journey. Although previous studies have identified the importance of rapid product delivery, consumers cannot evaluate delivery quality until it has arrived. This study argued that warehouse automation and retail channel brand characteristics lead to informative signals and to firms' higher sales in the omnichannel context. By analyzing panel data from the Japanese retail market, we tested the effects of warehouse automation and the moderating effects of omnichannel, online, and offline brand offerings on the effectiveness of the warehouse automation signal. Results showed that warehouse automation signaling positively affects firms’ sales and has a positive interaction effect with omnichannel offerings.     

Additive omnichannel atmospheric cues: The mediating effects of cognitive and affective responses on purchase intention

In today's channel-centric retail ecosystem the right mix and orchestration of online and offline stimulus is paramount towards providing an optimal store atmosphere and shopping experience. Applying the S-O-R framework, this research explores additive omnichannel atmospheric cues stimuli, in order to discover their impact on affective (i.e., pleasure, arousal and dominance) and cognitive (i.e., store environmental quality perception) states and their consequential effect on consumer responses in the form of purchase intention. Employing a four-condition repeated measures experimental design in a physical store, utilizing mobile, IoT and social media channels (Study 1), as well as a between-subjects online lab experiment (Study 2), this research sheds light into the affective and cognition-mediated causal mechanisms that influence shopping outcomes. This work reveals that combining stimulus from all retail channels within the physical store (i.e., omnichannel atmospheric cues) increases consumers' pleasure, arousal and the quality of the environment as a whole, which in turn positively influences purchase intention. However, the impact of dominance is only prominent at the more controlled, laboratory setting, in which purchase intention increases while dominance attenuates.     

Trauma's effects on shopper choice confusion: The role of psychological hardiness and retailer strategies as mitigating factors

Retailers must understand how trauma influences the consumer shopping journey and identify ways to mitigate any potential adverse effects. Two studies were conducted to explore trauma in the retail environment. First, a conceptual model was tested using structural equation modeling (SEM) based on survey data collected from 324 participants. Findings indicate that consumers who report previously experiencing traumatic events feel anxiety while shopping in retail environments, negatively influencing their ability to make purchase decisions. This outcome is due to challenges in adequately assessing stressful environmental stimuli and developing positive coping mechanisms. Consumer propensity for psychological hardiness was found to moderate this relationship. Next, a follow-up qualitative study from 110 consumers who reported experiencing instances of trauma identified potential ways for retailers to help consumers who have experienced trauma feel more comfortable in shopping environments. These findings extend research on trauma and consumer shopping behavior by identifying its impacts on choice confusion and stress appraisal and suggesting how retailers can support shoppers through a trauma-informed approach.     

Under the sway of a mobile device during an in‐store shopping experience

Mobile device technology is transforming the retail shopping experience. Today's consumers are mobile dependent, preferring to consult with their phone, instead of using the salesperson, while shopping at the retail store. In the absence of literature investigating how the salesperson might sell to this omni‐channel, mobile‐connected consumer, this paper proposes a conceptual model and tests its proposed linkages. The empirically tested model presents a dyadic view of the omni‐channel consumer and the salesperson. Uniquely contributing to the omni‐channel and marketing literature, samples from an emerging economy (India) and developed (United States) economy represent the contexts. Specifically, the research examines the salesperson's role in selling to a mobile‐dependent consumer who uses mobile technology to search for information during the sales meeting. Findings show that adaptive selling can affect purchase intention and customer predisposition to comply with salesperson input. Results also reveal how perceived control, mobile dependence, and customer predisposition to comply with mobile device input affect purchase intention. Managerial and research implications specifically appropriate for the omni‐consumer retail setting are offered.     

The effect of shopping goals and in-store mobile device use on purchase outcomes in brick-and-mortar stores

The present study examines the effect of using a mobile device on search and evaluation by a shopper in a brick-and-mortar store. A conceptual model that proposes inter-relationships between shopping goals, the amount and type of in-store mobile device use, and purchase outcomes is developed. Data from a national quota sample of 1034 mobile shoppers is used to test hypotheses derived from the proposed model. The findings provide several new insights into the impact of in-store mobile device use on the consumer decision journey in a brick-and-mortar store. Depending upon the shopping goals of the consumer, the use of a mobile device by shoppers in a brick-and-mortar store can either decrease or increase search, lead to more deferred purchases or in-store-now purchases, and more online or physical store purchases. The study is among the first to model the pathway to purchase for mobile device assisted shoppers in brick-and-mortar stores.     

从购物动机到商店选择:中国西北消费者的购物行为探索(英文)

虽然中国已经成为世界上最大的消费者市场,但是有关中国消费者的购物行为研究还没有广泛开展,特别是针对中国内地的购物人群而言。本研究探索的是中国西北消费者的购物经历。深度采访显示,那些被访者更多地展现出一种消费者角色,这种角色能够同时满足个人和社会地位需求的购物特征。除此之外,在选择零售商店(购物)时,商品、商店和服务标准也是重要的影响因素。本文为研究中国消费者的商店购买行为提供了参考文献资料,同时也为零售商拓展中国西北市场提供了非常有价值的观点。     

Consumer Trust and Satisfaction in the Formation of Consumer Loyalty Intentions in Transactional Exchange: The Case of a Mass Discount Retailer

Marketing relationships can be placed on a continuum from short, discrete transactions to ongoing brand relationships. The majority of recent work has focused on relational exchanges, with some scholars even suggesting early on that the marketing discipline was undergoing a paradigm shift from a transaction-based marketing perspective toward a relational exchange perspective. However, there has been a growing recognition that not all customers seek relational exchanges. Consequently, the current research considers customer relationship management from the less studied, but oft seen, perspective of transactional exchange. A study is presented using recent advances in structural equation modeling analyses, including Bayesian estimation methods and mediation analyses. We further consider the psychological processes underlying the formation of consumer loyalty based on pre- and post-purchase measurements taken over multiple time periods. We specifically hypothesize that consumer satisfaction judgments will fully mediate any influences of post-purchase trust judgments on future loyalty intentions. With American consumers’ trust in businesses at an all-time low, coupled with the recent trend that more and more brick-and-mortar retailers are at risk of “showrooming” for online retailers, there is an apparent need to also consider retail customers who see the value of relationship marketing only selectively.     

Assessing the Impact of Price Promotions on Consumer Response to Online Stockouts

The recent growth of e‐commerce technologies has disrupted the traditional retail environment, leading to more consumers shopping online. While the manner in which consumers shop is changing rapidly, our understanding of how changing consumer behaviors affect retail supply chain management is lacking. In particular, our understanding of how consumers react to stockouts in an online shopping environment remains unclear. Making the challenge even more difficult is the fact that price promotions are heavily used to attract consumers in an online retail environment where consumer switching costs are low. This research develops a theoretical framework, based on expectation‐disconfirmation theory, to explain the effect of price promotions on consumer expectations of product availability and their reactions to stockouts in an online retail environment. Surprisingly, our findings suggest that consumers are actually less dissatisfied with a stockout of a price promoted item than a nonprice promoted product and are less likely to switch to another retailer's website. These findings may suggest that price promotions actually create a type of switching cost in the online retail environment, leading to interesting implications for researchers and supply chain managers.     

Revisiting the showrooming effect on online and offline retailers: The strategic role of in-store service

This study revisits the showrooming effect on online and offline retailers and is the first to examine the strategic role of in-store service in this regard. Considering the effect of in-store service in attracting consumers to offline channels and the showrooming effect of persuading offline consumers to purchase online, we propose a model consisting of two firms, a brick-and-mortar (BM) store and an e-tailer that can invest the staff or facilities necessary to deliver in-store services to consumers. Based on the service decisions, the two firms make their pricing decisions. We compare the optimal decisions of retailers in the cases without and with showrooming to explore the interaction between in-store service and showrooming. Our findings indicate that when a customer bears a high travel cost to visit the BM store, the store should lower the price, and improving the in-store service is ineffective in countering the consumer's showrooming behavior. Moreover, the service level in the case with showrooming can be either higher or lower than in the case without, and the outcome mainly depends on the efficiency of the service investment. Interestingly, in-store services can lead to a win–win situation for both online and offline retailers with showrooming. This study can also be extended to the case of powerful e-tailers or competing BM stores.     

Adoption of in-store mobile payment: Are perceived risk and convenience the only drivers?

Smartphones are changing the way consumers shop, even in brick-and-mortar settings. This study explores consumers’ adoption of proximity mobile payment technology (p-m-payment), which enables them to pay with their smartphones for purchases in a physical store. With a perceived value perspective, the authors identify utilitarian, hedonic, and social benefits and financial and privacy risks as key drivers. They also investigate differences compared with the drivers of more familiar mobile shopping usages and highlight the role of experience. The paper discusses implications for both mobile and channel research and recommendations to help retailers take advantage of p-m-payment technology.