The Queue Behind the Curtain: Information Disclosure in Omnichannel Services

59 Pages Posted: 24 Nov 2020

Date Written: November 14, 2020

Abstract

With evolving mobile technologies, increasing number of firms are running multiple channels to serve customers. Due to the novelty of these systems, questions related to the design of such omnichannel systems and their implications for the firm and customers remain open. In particular, the question of whether or not a firm should disclose queue information to its customers in an omnichannel setting, has not been extensively addressed in prior literature. In this paper, we address some of these open questions of design of omnichannel service system, especially focusing on the issue of congestion information disclosure and its impact on customer channel choice behavior. We benchmark the omnichannel model against a conventional single channel model, and compare these settings in terms of the firm’s throughput and average consumer surplus.

Keywords: Omnichannel Services, Strategic Queuing, Information, Digital Innovation, On-demand Service

Suggested Citation

Ghosh, Abhishek and Bassamboo, Achal and Lariviere, Martin, The Queue Behind the Curtain: Information Disclosure in Omnichannel Services (November 14, 2020). Available at SSRN: https://ssrn.com/abstract=3730482 or http://dx.doi.org/10.2139/ssrn.3730482

Abhishek Ghosh (Contact Author)

Northwestern University - Department of Operations ( email )

2211 Campus Dr
Evanston, IL 60208
United States

Achal Bassamboo

Northwestern University - Department of Managerial Economics and Decision Sciences (MEDS) ( email )

2001 Sheridan Road
Evanston, IL 60208
United States

Martin Lariviere

Northwestern University - Kellogg School of Management ( email )

2211 Campus Drive
Evanston, IL 60208
United States

HOME PAGE: http://operationsroom.wordpress.com/

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