Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

Tracing the premium customers

09.10.2008
The most loyal customers are those who do their shopping both in stores and on the Internet. These customers also spend more money.

The days when we had to go to a physical store to buy whatever goods and services we needed are over. Within a number of business sectors it has become increasingly common to log on to an Internet store instead of taking the (often) much longer trip to the physical sales outlet.

It is, however, not always easy for a company to sell their goods and services both in a store and on the Internet.

Associate professor Peder Inge Furseth of the Institute for Innovation and Economic organisation at the BI Norwegian School of Management has headed a research project which looks at how companies are handling multiple sales channels (The Multi-channel Project).

Focusing on retail trade and tourism

Furseth has looked into the special challenges involved when a company that has run a traditional store for a long time opens an Internet business.

As part of this project, Furseth has interviewed managers in eight Norwegian companies within tourism and retail trade. He has also interviewed approximately 1000 of each of these eight companies' customers.

The results of this study have now been presented in a research report from the BI Norwegian School of Management.

The majority of the customers interviewed by Peder Inge Furseth and his research team, appears to be so-called multi-channel customers; they shop both on the Internet and in physical stores.

The customers who shop the most

The multi-channel customers, i.e. those who shops both in stores and on the Internet, are not quite like other customers. They shop more than other customer groups (i.e. those who shop either in stores or on the Internet).

"Multi-channel customers are also more loyal than other customer groups," Furseth - one of Norway's leading experts on Internet shopping – claims.

This makes multi-channel customers the most valuable customers a company can have - and the companies may not even be aware of it.

In spite of the fact that most customers use several channels, both stores and the Internet, the companies consider them either store customers or Internet customers.

Apparently, the companies have yet to discover these profitable and loyal multi-channel customers, and have only to a limited degree developed strategies for their new premium customers.

More interaction between the store and the Internet

"As we see it, the main challenge is the lack of integration between the company's sales channels," the BI researcher claims.

Furseth recommends the companies to get better acquainted with their customers. He suggests four practical initiatives:

1) Obtain information about the satisfaction and loyalty of the various customer types
2) Create seamless connection between the various sales channels (store and the Internet)
3) Better information to the customers
4) Ensure good interaction between the sales channels
The study also shows that customers who shop in a store are less satisfied than those who do their shopping on the Internet.
Reference:
Furseth, Peder Inge and Samuelsen, Elisabeth (2008): Development of a multi-channel strategy: The importance of seamlessness and interaction between distribution channels). Research Report - 05/2008, BI Norwegian School of Management

Audun Farbrot | alfa
Further information:
http://www.bi.no

Further reports about: Internet store multi-channel customers sales outlet

More articles from Business and Finance:

nachricht Europe's microtechnology industry is attuned to growth
10.03.2017 | IVAM Fachverband für Mikrotechnik

nachricht Preferential trade agreements enhance global trade at the expense of its resilience
17.02.2017 | International Institute for Applied Systems Analysis (IIASA)

All articles from Business and Finance >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: Giant Magnetic Fields in the Universe

Astronomers from Bonn and Tautenburg in Thuringia (Germany) used the 100-m radio telescope at Effelsberg to observe several galaxy clusters. At the edges of these large accumulations of dark matter, stellar systems (galaxies), hot gas, and charged particles, they found magnetic fields that are exceptionally ordered over distances of many million light years. This makes them the most extended magnetic fields in the universe known so far.

The results will be published on March 22 in the journal „Astronomy & Astrophysics“.

Galaxy clusters are the largest gravitationally bound structures in the universe. With a typical extent of about 10 million light years, i.e. 100 times the...

Im Focus: Tracing down linear ubiquitination

Researchers at the Goethe University Frankfurt, together with partners from the University of Tübingen in Germany and Queen Mary University as well as Francis Crick Institute from London (UK) have developed a novel technology to decipher the secret ubiquitin code.

Ubiquitin is a small protein that can be linked to other cellular proteins, thereby controlling and modulating their functions. The attachment occurs in many...

Im Focus: Perovskite edges can be tuned for optoelectronic performance

Layered 2D material improves efficiency for solar cells and LEDs

In the eternal search for next generation high-efficiency solar cells and LEDs, scientists at Los Alamos National Laboratory and their partners are creating...

Im Focus: Polymer-coated silicon nanosheets as alternative to graphene: A perfect team for nanoelectronics

Silicon nanosheets are thin, two-dimensional layers with exceptional optoelectronic properties very similar to those of graphene. Albeit, the nanosheets are less stable. Now researchers at the Technical University of Munich (TUM) have, for the first time ever, produced a composite material combining silicon nanosheets and a polymer that is both UV-resistant and easy to process. This brings the scientists a significant step closer to industrial applications like flexible displays and photosensors.

Silicon nanosheets are thin, two-dimensional layers with exceptional optoelectronic properties very similar to those of graphene. Albeit, the nanosheets are...

Im Focus: Researchers Imitate Molecular Crowding in Cells

Enzymes behave differently in a test tube compared with the molecular scrum of a living cell. Chemists from the University of Basel have now been able to simulate these confined natural conditions in artificial vesicles for the first time. As reported in the academic journal Small, the results are offering better insight into the development of nanoreactors and artificial organelles.

Enzymes behave differently in a test tube compared with the molecular scrum of a living cell. Chemists from the University of Basel have now been able to...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

International Land Use Symposium ILUS 2017: Call for Abstracts and Registration open

20.03.2017 | Event News

CONNECT 2017: International congress on connective tissue

14.03.2017 | Event News

ICTM Conference: Turbine Construction between Big Data and Additive Manufacturing

07.03.2017 | Event News

 
Latest News

Northern oceans pumped CO2 into the atmosphere

27.03.2017 | Earth Sciences

Fingerprint' technique spots frog populations at risk from pollution

27.03.2017 | Life Sciences

Big data approach to predict protein structure

27.03.2017 | Life Sciences

VideoLinks
B2B-VideoLinks
More VideoLinks >>>