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Inconsistency between Information Search and Purchase Channels: Focusing on the "Showrooming Phenomenon"

The Journal of Distribution Science / The Journal of Distribution Science, (P)1738-3110; (E)2093-7717
2015, v.13 no.9, pp.81-93
https://doi.org/https://doi.org/10.15722/jds.13.9.201509.81
Yeom, Min-Sun

Abstract

Purpose - "Showrooming" refers to the phenomenon where a shopper visits a store to see and compare products but makes the purchase online at a lower price. Surveys on showrooming activities at home and abroad indicate that a significant number of consumers pursue showrooming activities. The advent of "showroomers," who engage in buying activities, hovering both on and offline, while selectively choosing sales channels to suit their needs, is powerful enough to erode the borders between channels and bring about seismic changes in the distribution industry. However, surprisingly, there has been no in-depth discussion on showrooming. This study seeks to theoretically investigate what impact personal characteristics have on showrooming preferences and attitudes in a multi-channel environment. Specifically, assumptions have been made that price perception, perceived performance risk, and trust in online shopping not only have a direct impact on showrooming attitudes but also indirectly affect it through the means of contact motivation. Research design, data, and methodology - To test the hypotheses, this study conducted a survey of male and female shoppers, ages 20 through 40s, who live in metropolitan areas, and have actively showroomed fashion items in the last six months. A clothing item usually purchased after a careful decision-making process was chosen as the target product of the study. The survey was conducted between October and November 2014, using a professional survey service provider. A total of 200 surveys were collected, of which 198 were used for analysis. Conceptual model Structural Equation Modeling (SEM) and Amos 18.0 were employed for data analysis and model verification. In addition, following the confirmatory factor analysis and measurement model analysis, the theoretical model that corresponds to the research model was analyzed. Results - Analysis results show that price perception, perceived performance risk, and trust in online shopping have a statistically significant and positive (+) impact on showrooming attitudes. In addition, in terms of the indirect influence of price perception and perceived performance risk on showrooming attitudes through means of contact motivation, price perception had a statistically significant and positive impact on means of contact motivation, whereas perceived performance risk did not have a statistically significant impact on it, with the relevant hypothesis rejected. Conclusions - These analysis results imply that the ultimate goal of consumers is to maximize their shopping benefits by selectively and strategically taking advantage of different channels in a complementary manner. This study presents many implications for distributors to encourage a deep understanding of showrooming consumers who have complicated consumption behaviors and to build channel integration strategies. This study has limitations in theoretical and practical implications. Therefore, subsequent studies need to focus on verifying that showrooming activities are based on reasonable and planned decisions by applying the theory of reasoned or planned behavior. In addition, the scope of the study should expand to include web showrooming, where consumers conduct product research online and purchase offline.

keywords
Multi-channel, Showrooming, Performance Risk, Price Consciousness, Need for Touch

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