Pricing Strategies in Dual-online Channels Based on Consumers' Shopping Choice
نویسندگان
چکیده
Besides an official website mall (OWM), retail stores on the third party e-commerce platform(3PEP) is an another important online channel that manufacturers adopt to sell online. How to properly price products in these two channels simultaneously is a tough problem to firms and gains much attention by researchers. In this paper, we analyze their channel choice, and give demand functions of the two channels based on the consumers’ segmentation and preference. Then we design a sale model including two online channels: OWM and a retail store on 3PEP. According the Stackelberg game theory, we calculate and discuss the optimal pricing strategies of the manufacturer and retailer in three feasible regions. The result shows that manufacturers emphasizing channel sales prefer to choose pricing strategies that helps two online channels share the online market. But some manufacturers think adjusting the OWM’s price and the wholesale price to control the retailer’s pricing strategies is reasonable and necessary, even if nobody will prefer the OWM. © 2015 The Authors. Published by Elsevier B.V. Peer-review under responsibility of KES International.
منابع مشابه
Risk profile and consumer shopping behavior in electronic and traditional channels
Empirical research of consumer online shopping behavior has generally established that risk associated with online shopping is an important factor when consumers consider whether to shop online or in a brick-and-mortar store. Literature also indicates the importance of information search and product evaluation in consumer purchasing decisions. Building on these results, this paper develops an e...
متن کاملA Study on the Price Decisions of the Dual-Channel Composite Decision in B2C Mode
This paper studies the subject of pricing decisions of online dual-channel based on hybrid decisions wherein a manufacturer introduces direct online marketing channels beyond the traditional online retail channels. The purpose is to study how to balance the interests of different online channels and maximize the overall efficiency of the channel. Having considered both online channels’ satisfac...
متن کاملA comparison shopping optimization model based on suppliers' pricing contexts
Consumers in the online shopping environment have had difficulties in selecting an optimal supplier. This is caused by the fact that current comparison shopping services have limitations in considering sup-plier's various pricing strategies. Current Comparison Shopping Model (CSM) including these limitations may enable online consumers to select a non-optimal supplier. To overcome these problem...
متن کاملDeveloping Marketing Strategies for TV Shopping Stores: A Second-order Structural Equation Modeling Application
This research examines the effects of marketing strategies, which are adopted by firms, from a consumer-based viewpoint, and provides a practical brand management discussion as reference for TV shopping retailers. A questionnaire survey is conducted to verify the determinant effects of firms’ marketing strategy (low pricing/relational ads/emotional ads/sales of international brands) and channel...
متن کاملConsumers channel choice behavior in multi-channel environments: what are the influences on consumers to choose the online distribution channels over other alternative offline channels
This paper aims to examine the influences on the consumers to choose the online shopping channels, or to avoid using them, when alternative channels are available. This is an exploratory research conducted in the UK using a quantitative approach in collecting data. The primary data of this research have been collected through the use of questionnaires that have been completed by 106 internet us...
متن کامل