On the Design of Sales Support Systems for Online Apparel Stores

Many online stores apply several sales support systems, e.g., recommender systems, sorting and filtering tools, to support buyers during the shopping process. Although, the research highlights the positive effect of such systems, the current study questions its applicability in online stores for products which serve users\u27 needs to be unique like apparel or luxury products. We analyze female users\u27 buying behavior of apparel products in a laboratory setting and find that users with high trendiness undertake in general more search steps. Further, we find that most users rely during their search process on different sorting and filtering as well as on keyword search tools while personalized and non-personalized recommendations play a minor role for users in this industry. Further, we find that users with high trendiness avoid following top seller lists and wear with it -recommendations. Moreover, the provision of top seller rankings does not influence the consumers\u27 product choice

Online Store Locator: An Essential Resource for Retailers in the 21st Century

Most retailers use their websites and social media to increase their visibility, while potential customers get information about these retailers using the Internet on electronic devices. Many papers have previously studied online marketing strategies used by retailers, but little attention has been paid to determine how these companies provide information through the Internet about the location and characteristics of their stores. This paper aims to obtain evidence about the inclusion of interactive web maps on retailers’ websites to provide information about the location of their stores. With this purpose, the store locator interactive tools of specialty retailers’ websites included in the report “Global Powers of Retailing 2015” are studied in detail using different procedures, such as frequency analysis and word clouds. From the results obtained, it was concluded that most of these firms use interactive maps to provide information about their offline stores, but today some of them still use non-interactive (static) maps or text format to present this information. Moreover, some differences were observed among the search filters used in the store locator services, according to the retailer’s specialty. These results provided insight into the important role of online store locator tools on retailers’ websites

Perceived congruence and online loyalty as segmentation variables in multichannel retailing: a comparison between appparel and electronics

As the interest of the literature on congruity between offline and online stores is relatively recent, empirical evidence is required to help marketing managers choose the most effective ways of contributing to the formation of consistent offerings as well as their contribution to generate customer loyalty. This study examines whether congruity can help to identify segments of heterogeneous consumers that differ significantly regarding these variables as well as other constructs related to the customer relationship with the retailer. The study attempts to identify which congruity attribute(s) are most relevant for differentiating customers by their loyalty towards the online store, so that retailers can design strategies for improving congruity between physical and online stores, and ultimately, increase online store loyalty

Indian Organised Apparel Retail Sector and DSS (Decision Support Systems)

Indian apparel retail sector poses interesting challenges to a manager as it is evolving and closely linked to fashions. Appealing mainly to youth, the sector has typical information requirements to manage its operations. DSS (Decision Support Systems) provide timely and accurate information & it can be viewed as an integrated entity providing management with the tools and information to assist their decision making. The study exploratory in nature, adopts a case study approach to understand practices of organized retailers in apparel sector regarding applications of various DSS tools. Conceptual overview of DSS is undertaken by reviewing the literature. The study describes practices and usage of DSS in operational decisions in apparel sector and managerial issues in design and implementation of DSS. A multi brand local chain and multi brand national chain of apparel was chosen for the study. Varied tools were found to be used by them. It was also found that for sales forecasting and visual merchandising decisions, prior experience rather than any DSS tool was used. The benefits realized were; “help as diagnostic tool”, “accuracy of records and in billing”, “smooth operations”. The implementation issues highlighted by the store managers were; more initial teething problems rather than resistance on the part of employees of the store, need for investment of time & money in training, due to rapid technological advancements, time to time updation in DSS tools is required . Majority of operational decisions like inventory management, CRM, campaign management were handled by ERP (Enterprise Resource Planning) or POS (Point of Sale). Prioritization as well as quantification of benefits was not attempted. The issues of coordination, integration with other systems in case of ERP usage, training were highlighted. Future outlook of DSS seems bright as apparel retailers are keen to invest in technology.

Consumer Culture and Purchase Intentions towards Fashion Apparel

This study examines the effectiveness of different fashion marketing strategies and analyzes of the consumer behavior in a cross-section of demographic settings in reference to fashion apparel retailing. This paper also discusses the marketing competencies of fashion apparel brands and retailers in reference to brand image, promotions, and externalmarket knowledge. The study examines the determinants of consumer behavior and their impact on purchase intentions towards fashion apparel. The results reveal that sociocultural and personality related factors induce the purchase intentions among consumers. One of the contributions that this research extends is the debate about the converging economic, cognitive and brand related factors to induce purchase intentions. Fashion loving consumers typically patronage multi-channel retail outlets, designer brands, and invest time and cost towards an advantageous product search. The results of the study show a positive effect of store and brand preferences on developing purchase intentions for fashion apparel among consumers.Consumer behavior, purchase intention, socio-cultural values, designer brands, store brands, fashion apparel, brand promotion, personalization, fashion retailing, psychographic drivers

The Future of Retail Operations

Retailing consists of all the activities associated with the selling of goods to the final consumer. In this article, we review the research on retail operations published in Manufacturing & Service Operations Research (M&SOM) since 1999. We then discuss the current retail landscape and the new research directions it offers, in which M&SOM can play a prominent role

Understanding the key drivers of and technology related issues associated with going multi-channel

A multi-channel retail strategy is viewed by many academics and practitioners to be the success model for most retailers. Yet, while there are many drivers of, and advantages related to, using multiple channels to sell products and services to customers likewise there are numerous technology-related issues. Despite this, the multi-channel retailing literature provides little empirical insight into these technology-related constraints. Moreover, there is a lack of multi-channel retailing research which explores the impetuses behind retailers adding new channels to go multi-channel, especially in the context of the UK retail sector. To contribute to gaps in the literature this study utilises a case study research strategy to examine the key motivations behind, and technology-related issues associated with, multi-channel retail strategic implementation, in the setting of the UK retail sector. Three UK based retailers (Boots, Screwfix and Bettys) are used which have different approaches to, and are at different stages of, adopting a multi-channel retail strategy. In addition, they have different backgrounds such as size, product range, sector and type. Consequently, the use of these three different retailers enables exploration of the drivers behind, and technological problems associated with, implementing a multi-channel retail strategy in the context of store and Internet/catalogue retailers. Case analysis reveals novel themes which are not identified, or not clearly recognised, in the literature. These include that key drivers behind retailers going multi-channel are to increase sales, and, meet the needs of the multi-channel shopper. Indeed, customers want to shop via multiple channels and therefore, these retailers have no choice but to go multi-channel if they are to meet customer needs. However, while at a strategic level these motivations were similar across the case study retailers, they also differed. For example, Screwfix added a store channel to enable customers to purchase products and receive them instantly. In contrast, Boots added an Internet channel to drive footfall in-store and increase store sales. Boots were also adding an Internet channel since it provided them with a marketing channel, which, going forward, was likely to replace other communications channels. The findings from this study also reveal that retailers encounter major technology-related issues when adding new, and using multiple, channels. These problems stem from the need to re-design existing logistics and IT infrastructure to offer a seamless, integrated offer to the customer. For instance, to leverage the brand and marketing mix consistently across all channels, and, to implement ‘click and collect’ (i.e. where customers purchase a product in one channel and collect it in another). Also, due to the need to use innovative marketing techniques, in particular, social media. Importantly, this study highlights that these technology-related multi-channel retailing constraints often have a ‘softer’ side. Technology-related problems are frequently intertwined with cultural, engagement and financial/staff resource related issues. This suggests a need for retailers to find entwined solutions to both technology and non- technology related issues to effectively implement a multi-channel retail strategy

Using Transaction Utility Approach for Retail Format Decision

Transaction Utility theory was propounded by Thaler to explain that the value derived by a customer from an exchange consists of two drivers: Acquisition Utilities and Transaction utilities. Acquisition utility represents the economic gain or loss from the transaction. Where as transaction utility is associated with purchase or (sale) and represents the pleasure (or displeasure) of the financial deal per se and is a function of the difference between the selling price and the reference price. Choice of a format has been studied from several dimensions including the cost and effort as well as the non-monetary values. However, the studies that present the complete picture and combine the aspects of the tangible as well as intangible values derived out of the shopping process are limited. Most of the studies, all of them from the developed economies, have focussed on the selection of a store. They represent a scenario where formats have stabilised. However, in Indian scenario formats have been found to be influencing the choice of store as well as orientation of the shoppers. Also, retailers are experimenting with alternate format with differing success rates. The author has also not found a study that has applied this theory. It is felt that the Transactional Utility Theory may provide a suitable approach for making format decisions.

Wal-Mart Stores, Inc. Strategic Corporate Research Report

[Excerpt] Wal-Mart Stores, Inc. (hereinafter Wal-Mart) is the second-largest company in the world. It has more annual revenue than the GDP of Switzerland. It sells more DVDs, magazines, books, CDs, dog food, diapers, bicycles, toys, toothpaste, jewelry, and groceries than any other retailer does worldwide. It is the largest retailer in the United States, Mexico, and Canada, the second-largest in the United Kingdom, and the third largest in Brazil, With its partners, it is the largest retailer in Central America. Wal-Mart is also the largest private employer in the United States, Mexico, and Canada, and it has 1.8 million employees around the globe. Wal-Mart is so huge that it effectively sets the terms for large swaths of the global economy, from retail wages to apparel prices to transoceanic shipping rates to the location of toy factories. Indeed, if there is one single aspect to understand about the company, it is the fact that Wal-Mart is transforming the relations of production in virtually every product category it sells, through its relationships with suppliers. But its influence goes far beyond the economy. It sets social policy by refusing to sell certain types of birth control. Its construction of supercenters molds the landscape, shapes traffic patterns, and alters the local commercial mix. The retail goliath shapes culture by selling the music of patriotic country singer Garth Brooks but not the critical (and hilarious) The Daily Show with Jon Stewart Presents America (the Book): A Citizen’s Guide to Democracy Inaction. It influences politics by donating millions to conservative politicians and think tanks. Wal-Mart is, in short, one of the most powerful entities in the world. Not surprisingly, Wal-Mart has developed a long list of critics, including unions, human rights organizations, religious groups, environmental activists, community organizations, small business groups, academics, children’s rights groups, and even institutional investors. These groups have exposed the company’s illegal union-busting tactics, its many violations of overtime laws, its abuse of child labor, its egregious healthcare policies, its super-exploitation of immigrant workers, its rampant gender discrimination, the horrific labor conditions at its suppliers’ factories, and its unlawful environmental degradation. They have also chronicled the deleterious effect Wal-Mart has on the public coffers and the quality of community life. New Wal-Mart stores and distribution centers often swallow up government subsidies and tax breaks, take public land, create more congestion, reduce overall wages, destroy retail variety, and increase public outlays for healthcare. To its critics, Wal-Mart represents the worst aspects of 21st-eentury capitalism. Wal-Mart usually counters any criticism with two words: low prices. It is a powerful mantra in a consumerist world. The company does make more products affordable to more people, and that is nothing to sneeze at when wages are stagnant, jobs insecure, pensions disappearing, and health coverage shrinking. With low prices, Wal-Mart helps working men and women get more from their meager paychecks, more necessities like bread, and more luxuries, like roses, too. It is a brilliant and incontrovertible argument, and Wal-Mart’s most ardent defenders take it even farther. They say its obsession with low prices makes the entire economy more efficient and more productive. Suppliers and competitors have to produce more and better products with the same resources, and that redounds to everyone. In the micro, it means falling prices and rising product quality. In the macro, it means economic growth, more jobs, and higher tax revenues. To its defenders, Wal-Mart represents the best aspects of 21st-century capitalism. Despite their radical opposition, critics and defenders of the world’s largest corporation agree on one thing: Wal-Mart represents 21st-century capitalism. It symbolizes a system of increasing market penetration and decreasing social regulation, where more and more aspects of life around the world are subject to economic competition. Wal-Mart’s success rests upon the ongoing destruction of social power in favor of corporate power. It takes advantage of the conditions of the neo-liberal world, from the availability of instant and inexpensive global communication to the continuing collapse of agricultural employment around the world to the rapid diffusion of technological innovation to the oversupply of subjugated migrant labor in nearly every country to the continued existence of undemocratic and corporate-dominated governments. For some, this is as it should be, all part of capitalism’s natural and ultimately benign development. For the rest of us, Wal-Mart is at the heart of what is wrong with the world

The global apparel value chain, trade and the crisis : challenges and opportunities for developing countries

This paper examines the impact of two crises on the global apparel value chain: the World Trade Organization phase-out of the quota system for textiles and apparel in 2005, which provided access for many poor and small export-oriented economies to the markets of industrialized countries, and the current economic recession that has lowered demand for apparel exports and led to massive unemployment across the industry’s supply chain. An overarching trend has been the process of global consolidation, whereby leading apparel suppliers (countries and firms alike) have strengthened their positions in the industry. On the country side, China has been the big winner, although Bangladesh, India, and Vietnam have also continued to expand their roles in the industry. On the firm side, the quota phase-out and economic recession have accelerated the ongoing shift to more streamlined global supply chains, in which lead firms desire to work with fewer, larger, and more capable suppliers that are strategically located around the world. The paper concludes with recommendations for how developing countries as well as textile and apparel suppliers can adjust to the crisis.Markets and Market Access,Economic Theory&Research,Free Trade,Labor Policies,Access to Markets