How Can Retailers Srengthen Their Online Retail

Infrastructure costs – even if you aren’t paying the cost of customer-facing premises, you’ll need to think about the costs of physical space for order fulfilment, warehousing goods, dealing with returns and staffing for these tasks. Customer intelligence – ability to use online marketing tools to target new customers and website analysis tools to gain insight into your customers’ needs. For advice on improving your customer’s on-site experience, read how tomeasure your online marketing. So once you know what peak shopping events you want to take advantage of, what strategy do you need in place to maximise its sales potential from a display advertising perspective? Indeed, one in five adults will shop online on Christmas Day, and their purchases are worth over £1billion.

In the same vein, Rajendran et al. empathize that a customer’s positive post-sale experience will result in customer repurchase intention. Therefore, online retailers should also give importance to product exchanges and maintenance together with product return when making decisions about post-sale service policies and the according allocation of resources. The outcomes of this research indicate that product return, product exchange, and product maintenance all have positive, direct effects on customer satisfaction. Positive perceptions of an online retailer’s post-sale services may enhance consumers’ online shopping experiences, which in turn shapes their satisfaction with a retailer.

To increase conversions, customise your offers and display ad creative to target specific age, gender and interest/life stage groups. And don’t forget to consider where users are in the customer lifecycle, and target your marketing messages accordingly. In order to leverage the relevancy and seasonal excitement https://www.goodsellerairmax.com/ of the shopping period, and create standout from your general display advertising campaigns, it’s important to create a bespoke campaign for each event. Think that all shopping stops once Santa has dished out the gifts? With sales starting ever earlier, Christmas Day sales now outstrip Boxing Day.

It suggests that the pleasure obtained from high-efficiency product returns, exchanges, and maintenance helps foster a long-term customer-retailer relationship. In this regard, research has noted that poor customer relationship management does not kill, whereas good customer relationship management adds profit . Thus, like product returns, product exchanges and maintenance services not only have an important role in building the customer-retailer relationship but also affect customer repurchase behavior. Prior studies indicate that when customers feel satisfied with and have trust in an online store, it may reinforce their intent to repurchase (Chou et al., 2015).

German ecommerce grew from a share in 2019 of 14.2% to 21.9% in 2021, and France’s from 9.7% to 14.2% over the same period. Special mention should be made of The Netherlands, whose online market share rose from 15.3% in 2019 to 23.9%. A large proportion of Dutch online retailing and e-shopping involves cross-border sales so the figures may be less accurate than for the other countries.

Therefore, the current study focuses on shedding light on the role of all post-sale service dimensions (i.e., product exchange, return, and maintenance/repair services) in developing customer repurchase intention. Competition, needs, and customer behaviors have all become very significant to service providers (Azadeh et al., 2017). Research has suggested that post-sale activities play an important role for online retail businesses because they are an opportunity to attain customer satisfaction and retention (Frasquet et al., 2016).

The shift towards online is a significant contributing factor of dwindling profit margins. Our research shows an inverse correlation between a rise in the proportion of online sales and a fall in pre-tax profit margins over the last decade. An analysis of profitability across key European retail markets since 2011, including a forecast for the evolution of profitability across the European retail market through to 2025 revealing the true cost of online. For many businesses striving to remain relevant and survive the disruption, their transition will likely mean a challenging readjustment as business models are aligned with the ‘new normal’.

Accordingly, gender differences have been studied in numerous e-commerce domains. However, in the context of online retailers’ post-sale services (product return, exchange, maintenance, etc.), the literature on gender differences in building a buyer-seller relationship and developing repurchases is limited. Research also points to satisfaction and trust as key determinants of long-term relationships in an online environment and customer repurchase intention (Agag and El-Masry, 2016; Al-Adwan and Al-Horani, 2019; Rita et al., 2019).

Public liability insurance is designed to protect your business against the consequences of legal action brought by members of the public for injuries or damage to their belongings. But when it comes to your employees causing injury or damage, this protection only activates if you also have employers’ liability insurance. Having https://www.wikipedia.org/ insurance through Simply Business has saved online retailers thousands of pounds when the unexpected happened. Products liability insurance protects you if something you sell harms someone or damages something.

Giving importance to online retailers’ post-sale services, Rajendran et al. said that online retailers should focus on the post-purchase consumer experience at a maximum level to convert them into satisfied customers. In contrast, inefficient post-sale services may lead to online customers’ retaliation . Therefore the success of online business will greatly depend on improving procedures related to exchanging, returning , and repairing purchased products. Both customer satisfaction and trust mediate the relationship between product return, exchange, maintenance, and repurchase intention.