This paper aims to study how retailers moving from a multi- (in-store and online) to a single- (online) channel impacts consumers’ retailer and channel choices.
The authors conduct two scenario-based experimental studies to examine consumers’ in-store and online channel shopping preferences and behavioural intentions (i.e. channel and retailer choices) when their preferred focal retailer’s physical store closes.
The findings show that when a focal retailer removes its physical store location, consumers with a strong preference for shopping online have a greater likelihood of shopping online. Their loyalty towards the retailer explains this relationship but is conditional on low levels of reactance. When reactance is high, consumers with a strong preference for shopping online are more likely to switch to a competitor.
This research paper bridges the intersection between B2B and B2C literature to understand how retailers’ channel-related supply chain decisions affect downstream consumer shopping behaviour.
