Purchase Frequency And Transaction Profitability: An Empirical Investigation Into The Brazilian Home Appliance eRetailing Sector

نویسندگان

  • Luiz Antonio Joia
  • Paulo Sergio Sanz
چکیده

The scope of this paper is to explore the transaction profitability of frequent and sporadic buyers in the Brazilian e-retailing home appliance market. Concepts in relationship marketing literature stressing the impact of purchasing frequency on customer transaction profitability, as well as recent academic research challenging this approach and pointing out the importance of sporadic clients, are analyzed. This paper uses quantitative evidence drawn from empirical investigation in a digital company to show that greater frequency of purchases does not always lead to greater transaction profitability. Qualitative evidence also drawn from the firm under analysis and regarding its managerial approach, suggests that customer transaction profitability is related to its marketing strategy. Using data triangulation, it can be concluded that the benefits of customer retention in the e-retailing realm would only seem to be interesting for firms truly oriented to their clients. Implications are presented, enabling practitioners and academics to grasp fully the real value of frequent and sporadic clients.

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تاریخ انتشار 2004