Cross-Channel Behavior in Indonesia: Are Omnichannel Shoppers More Loyal than Multichannel Shoppers?

Authors

  • Annetta Gunawan Bina Nusantara University
  • Ujang Sumarwan IPB University
  • Lilik Noor Yuliati IPB University
  • Siti Jahroh IPB University

DOI:

https://doi.org/10.21512/bbr.v13i3.8526

Keywords:

cross-channel behavior, shopper loyalty, multichannel shoppers, omnichannel shoppers

Abstract

The retail industry in Indonesia is still in the transition phase from multichannel to omnichannel. Hence, the behavior of shoppers is divided into two broad categories, namely multichannel and omnichannel shoppers. The research aimed to know the socio-demographic characteristics of multichannel and omnichannel shoppers in Indonesia. It also tested the difference between both in showing cross-channel behavior and loyalty to the retailers. The data were obtained by questionnaires from 341 respondents with purposive sampling. The descriptive method with cross-tabulation analysis was applied to capture the socio-demographic characteristics of multichannel and omnichannel shoppers. Meanwhile, the comparative method with an independent sample t-test tested the difference between both types of shoppers in showing cross-channel behavior and loyalty to the retailers. The results show that millennial and female shoppers are the most potential segment at this time to be targeted in the context of omnichannel retailing. Both multichannel and omnichannel shoppers are dominated by those whose income is less than Rp4,5 million to Rp10 million with 3 to 5 persons in their household. Moreover, there are significant differences between multichannel and omnichannel shoppers in the context of cross-channel behavior and loyalty. Omnichannel shoppers show cross-channel behavior and loyalty more than multichannel shoppers.

Dimensions

Plum Analytics

Author Biographies

Annetta Gunawan, Bina Nusantara University

Global Business Marketing Program, Management Department, BINUS Business School Undergraduate Program, Bina Nusantara University

Department of Doctor of Management and Business, Business School, IPB University

Ujang Sumarwan, IPB University

Department of Family and Consumer Sciences, Faculty of Human Ecology

Lilik Noor Yuliati, IPB University

Department of Family and Consumer Sciences, Faculty of Human Ecology

Siti Jahroh, IPB University

Department of Doctor of Management and Business, Business School

References

Aw, E. C. X. (2019). Understanding the webrooming phenomenon: Shopping motivation, channel-related benefits and costs. International Journal of Retail & Distribution Management, 47(10), 1074–1092. https://doi.org/10.1108/IJRDM-01-2019-0026

Calvo-Porral, C., Pesqueira-Sanchez, R., & Faiña Medín, A. (2019). A clustered-based categorization of millennials in their technology behavior. International Journal of Human–Computer Interaction, 35(3), 231–239. https://doi.org/10.1080/10447318.2018.1451429

Cheah, J. H., Lim, X. J., Ting, H., Liu, Y., & Quach, S. (2020). Are privacy concerns still relevant? Revisiting consumer behaviour in omnichannel retailing. Journal of Retailing and Consumer Services, 65(March), 1–12. https://doi.org/10.1016/j.jretconser.2020.102242

Darma, B. (2021). Statistika penelitian menggunakan SPSS. Guepedia.

Gawor, T., & Hoberg, K. (2019). Customers’ valuation of time and convenience in e-fulfillment. International Journal of Physical Distribution & Logistics Management, 49(1), 75–98. https://doi.org/10.1108/IJPDLM-09-2017-0275

Gerea, C., Gonzalez-Lopez, F., & Herskovic, V. (2021). Omnichannel customer experience and management: An integrative review and research agenda. Sustainability, 13(5), 1–24. https://doi.org/10.3390/su13052824

Hall, A., Towers, N., & Shaw, D. R. (2017). Understanding how millennial shoppers decide what to buy: Digitally connected unseen journeys. International Journal of Retail & Distribution Management, 45(5), 498–517. https://doi.org/10.1108/IJRDM-11-2016-0206

Hamouda, M. (2019). Omni-channel banking integration quality and perceived value as drivers of consumers’ satisfaction and loyalty. Journal of Enterprise Information Management, 32(4), 608–625. https://doi.org/10.1108/JEIM-12-2018-0279

Hawkins, D. I., & Mothersbaugh, D. L. (2010). Consumer behavior: Building marketing strategy. McGraw-Hill Irwin.

Haydan, R. (2020). Digitalisasi ritel modern di Indonesia masih di tahap awal. Retrieved from https://ekonomi.bisnis.com/read/20200129/12/1194852/digitalisasi-ritel-modern-di-indonesia-masih-di-tahap-awal

Hendriyani, C., & Chan, A. (2018). Understanding the new millennial customer path in the era of omni-channel marketing in Indonesia. Review of Integrative Business and Economics Research, 7, 359–367.

Herhausen, D., Kleinlercher, K., Verhoef, P. C., Emrich, O., & Rudolph, T. (2019). Loyalty formation for different customer journey segments. Journal of Retailing, 95(3), 9–29. https://doi.org/10.1016/j.jretai.2019.05.001

Huang, W. J. (2021). Literature review on omnichannel retailing. Expert Journal of Marketing, 9(1), 1–7.

Ieva, M., & Ziliani, C. (2018). Mapping touchpoint exposure in retailing: Implications for developing an omnichannel customer experience. International Journal of Retail & Distribution Management, 46(3), 304–322. https://doi.org/10.1108/IJRDM-04-2017-0097

Juaneda-Ayensa, E., Mosquera, A., & Murillo, Y. S. (2016). Omnichannel customer behavior: Key drivers of technology acceptance and use and their effects on purchase intention. Frontiers in Psychology, 7, 1–11. https://doi.org/10.3389/fpsyg.2016.01117

Kang, J. Y. M. (2018). Showrooming, webrooming, and user-generated content creation in the omnichannel era. Journal of Internet Commerce, 17(2), 145–169. https://doi.org/10.1080/15332861.2018.1433907

Knowles, J., Ettenson, R., Lynch, P., & Dollens, J. (2020). Growth opportunities for brands during the COVID-19 crisis. MIT Sloan Management Review, 61(4), 2–6.

Kontan. (2020). Ini perubahan perilaku konsumen Indonesia saat pandemi corona. Retrieved from https://nasional.kontan.co.id/news/ini-perubahan-perilaku-konsumen-indonesia-saat-pandemi-corona

KumparanTech. (2020). Blibli buka toko tanpa kasir pertamanya di Indonesia. Retrieved from https://kumparan.com/kumparantech/blibli-buka-toko-tanpa-kasir-pertamanya-di-indonesia-1sjMIHBClcU/full

Machavolu, S. K., & Raju, K. V. V. (2014). Showrooming: The next threat to Indian retail. MITS International Journal of Business Research, 1(1), 1–14.

Maheswaran, K. S. (2020). Frontier on omni channel; A tool for customer relationship management. International Journal of Current Engineering and Scientific Research (IJCESR), 7(8), 113–122.

Malhotra, M. K. (2019). Marketing research: An applied orientation (7th ed.). Pearson.

Mishra, P. K., & Srivastava, G. K. (2019). Emerging distribution channel effectiveness in rural Jharkhand for consumer electronics. Sumedha Journal of Management, 8(2), 97–112.

Pentecost, R., Donoghue, S., & Thaichon, P. (2019). Emerging from my youth – intra-cohort segmentation. International Journal of Retail & Distribution Management, 47(5), 571–588. https://doi.org/10.1108/IJRDM-06-2018-0113

Prasad, S., Garg, A., & Prasad, S. (2019). Purchase decision of Generation Y in an online environment. Marketing Intelligence & Planning, 37(4), 372–385. https://doi.org/10.1108/MIP-02-2018-0070

Prassida, G. F., & Hsu, P. Y. (2022). The harmonious role of channel integration and logistics service in omnichannel retailing: The case of IKEA. Journal of Retailing and Consumer Services, 68(September). https://doi.org/10.1016/j.jretconser.2022.103030

PwC. (2017). The 2017 global omnichannel retail index & omnichannel on the March.

Quach, S., Barari, M., Moudrý, D. V., & Quach, K. (2022). Service integration in omnichannel retailing and its impact on customer experience. Journal of Retailing and Consumer Services, 65(March), 1–9. https://doi.org/10.1016/j.jretconser.2020.102267

Schul, Y., & Mayo, R. (2003). Searching for certainty in an uncertain world: The difficulty of giving up the experiential for the rational mode of thinking. Journal of Behavioral Decision Making, 16(2), 93–106. https://doi.org/10.1002/bdm.434

Sheth, J. (2020). Impact of Covid-19 on consumer behavior: Will the old habits return or die? Journal of Business Research, 117(September), 280–283. https://doi.org/10.1016/j.jbusres.2020.05.059

Shi, S., Wang, Y., Chen, X., & Zhang, Q. (2020). Conceptualization of omnichannel customer experience and its impact on shopping intention: A mixed-method approach. International Journal of Information Management, 50(February), 325–336. https://doi.org/10.1016/j.ijinfomgt.2019.09.001

Silva, S. C. E., Martins, C. C., & Sousa, J. M. D. (2018). Omnichannel approach: Factors affecting consumer acceptance. Journal of Marketing Channels, 25(1-2), 73–84. https://doi.org/10.1080/1046669X.2019.1647910

Sopadjieva, E., Dholakia, U. M., & Benjamin, B. (2017). A study of 46,000 shoppers shows that omnichannel retailing works. Harvard Business Review, 3, 1–2.

Tyrväinen, O., & Karjaluoto, H. (2019). Omnichannel experience: Towards successful channel integration in retail. Journal of Customer Behaviour, 18(1), 17–34. https://doi.org/10.1362/147539219X15633616548498

Valentini, S., Neslin, S. A., & Montaguti, E. (2020). Identifying omnichannel deal prone segments, their antecedents, and their consequences. Journal of Retailing, 96(3), 310–327. https://doi.org/10.1016/j.jretai.2020.01.003

Van Bommel, E., Edelman, D., & Ungerman, K. (2014). Digitizing the consumer decision journey. McKinsey & Company.

Xiao, L., Guo, Z., & D’Ambra, J. (2019). Benefit-based O2O commerce segmentation: A means-end chain approach. Electronic Commerce Research, 19, 409–449. https://doi.org/10.1007/s10660-017-9286-3

Yahia, A. I. O., Alshahrani, A. M., Alsulmi, W. G. H., Alqarni, M. M. M., Abdulrahim, T. K. A., Heba, W. F. H., ... & Buhran, A. A. A. (2021). Determinants of COVID-19 vaccine acceptance and hesitancy: A cross-sectional study in Saudi Arabia. Human Vaccines & Immunotherapeutics, 17(11), 4015–4020. https://doi.org/10.1080/21645515.2021.1950506

Yürük-Kayapınar, P. (2021). Examination of empirical studies on customer engagement, online engagement, and social media engagement. In S. Nagaraj (Ed), Insights, innovation, and analytics for optimal customer engagement. IGI Global. https://doi.org/10.4018/978-1-7998-3919-4.ch002

Downloads

Published

2022-10-31
Abstract 327  .
PDF downloaded 306  .