An examination of the effects of omni-channel service offerings on retailer performance. Issue 2 (16th November 2021)

• Record Type: Journal Article
• Authors: Jones, Angela L.; Miller, Jason W.; Griffis, Stanley E.; Whipple, Judith M.; Voorhees, Clay M.
• Is Part Of: International journal of physical distribution & logistics management. Volume 52:Issue 2(2022)
• Page Start: 150
• Page End: 169
• Publication Date: 2021-11-16
• Subjects: Omni-channel retailing -- Omni-channel service offerings -- Buy online pick up in store -- Ship from store -- Next day delivery -- In-store returns -- Free return shipping -- Retailer performance; Physical distribution of goods -- Management -- Periodicals; Business logistics -- Periodicals; Materials management -- Periodicals; 658.788
• DOI: 10.1108/IJPDLM-06-2020-0175
• Languages: English
• ISSNs: 0960-0035

Abstract

Abstract : Purpose: Both online and brick and mortar retailers have invested heavily in developing omni-channel service offerings. Though seen as a competitive necessity, these omni-channel service offerings increase costs and complexities. The purpose of this study is to examine the effects of strategies involving bundles of omni-channel services related to order fulfillment and returns management on retailer performance. Design/methodology/approach: Archival data were obtained for 152 retailers and analyzed using ordinary least squares regression. Robustness tests using an alternative dependent variable and a model-based classification strategy corroborate our findings. Findings: Retailers offering full sets of high integration omni-channel services (buy online pick up in store, ship from store and in-store returns) have better performance (e.g. sales, growth and competitive position) and web sales than retailers that offer only a partial mix of these high integration services. Retailers offering a partial bundle of high integration services, in turn, have better performance and web sales than retailers that offer none of these services. Originality/value: The research extends work that has examined the performance effects of omni-channel services on individual retailers. Our results indicate retailers benefit the most when offering a full set of high integration omni-channel services, suggesting retailers who have only adopted a subset of these services could improve performance through broader adoption of services. The results further indicate partial adoption of high integration services is better than no adoption.