Channel Power in Multi-Channel Environments

27 Pages Posted: 23 Jun 2006

See all articles by Sonja Gensler

Sonja Gensler

University of Frankfurt - Department of Electronic Commerce

M. G. Dekimpe

Catholic University of Leuven (KUL) - Department of Applied Economics; Erasmus Research Institute of Management (ERIM)

Bernd Skiera

University of Frankfurt - Department of Marketing

Date Written: 24 2004 6,

Abstract

In the literature, little attention has been paid to instances where companies add an Internet channel to their direct channel portfolio. However, actively managing multiple sales channels requires knowing the customers’ channel preferences and the resulting channel power. Two key components of channel power are (i) the existing customers’ intrinsic loyalty to a channel, and (ii) the channel’s ability to attract new customers. We apply the Colombo and Morrison (1989) model to analyze the channel loyalty and conquesting power of two direct channels operated by a given firm. In addition, we analyze the evolution over time in each channel’s power, and test for differences in channel power among different product categories offered by the firm, and among different customer segments.

Keywords: channel power, internet marketing, channel loyalty, conquesting power, Colombo-Morrison model

JEL Classification: M, M31, C44, M3

Suggested Citation

Goethe Gensler, Sonja and Dekimpe, Marnik and Skiera, Bernd, Channel Power in Multi-Channel Environments (24 2004 6,). ERIM Report Series Reference No. ERS-2004-041-MKT. Available at SSRN: https://ssrn.com/abstract=594975

Sonja Goethe Gensler

University of Frankfurt - Department of Electronic Commerce ( email )

Grüneburgplatz 1
Frankfurt am Main, 60323
Germany
+49 69 4272 6021 (Phone)
+49 69 798 28973 (Fax)

Marnik Dekimpe (Contact Author)

Catholic University of Leuven (KUL) - Department of Applied Economics ( email )

Leuven, B-3000
Belgium
+32 16 326 957 (Phone)
+32 16 326 732 (Fax)

HOME PAGE: http://www.econ.kuleuven.ac.be/tew/academic/market/members/MarnikDekimpe.htm

Erasmus Research Institute of Management (ERIM) ( email )

P.O. Box 1738
3000 DR Rotterdam
Netherlands
+31 10 408 1715/9576 (Phone)
+31 10 408 9011 (Fax)

HOME PAGE: http://web.eur.nl/fbk/dep/dep3/about/members/people/mdekimpe

Bernd Skiera

University of Frankfurt - Department of Marketing ( email )

Theodor-Adorno-Platz 4
Frankfurt am Main, 60323
Germany
+49 69 798 34640 (Phone)
+49 69 798 35001 (Fax)

HOME PAGE: http://www.skiera.de

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