Editorial

Citation

Towers, N. (2013), "Editorial", International Journal of Retail & Distribution Management, Vol. 41 No. 3. https://doi.org/10.1108/ijrdm.2013.08941caa.001

Editorial

Article Type: Editorial From: International Journal of Retail & Distribution Management, Volume 41, Issue 3

This issue includes submissions that explore the characteristics of logistics-based competition, which develop propositions for retailer’s new product introduction, focuses on factors that improve loyalty programme efficiency and consumer attitudes and purchase intentions toward three major retail types within China.

The purpose of the first contribution by Sandberg is to explore the characteristics of logistics-based competition and to understand how a distribution management based business model is designed. Logistics scholars, as well as strategic management scholars, have in recent years shown that capabilities in distribution management and supply chain management may be the foundation for a company’s sustainable competitive advantage. It can be argued that beside product-, production-, or market-oriented companies, there are also flow-oriented companies, in which the business models are based on superior logistics performance. The research is based on a case study at a German do-it-yourself retailer. The case company can be considered as a best practice company when it comes to logistics-based competition, where a committed top management team guarantees the importance of logistics in the strategic development of the company. This research adds to existing theory by developing the meaning of logistics-based competition. The strategic role of logistics is described through a business model approach.

The second paper by Alur and Schoormans develops propositions for research on factors that affect retailers in new product introduction. Retailers’ new product acceptance in Base of Pyramid (BoP) markets is crucial to manufacturers in this segment. The propositions also make a distinction between urban and rural BoP markets.The paper provides a broad description of India’s BoP market (one of the world’s largest BoP markets) in order to better understand the context. The key research propositions derived in this study relate to external and internal factors. External factors relate to the store trading area, competitive environment, shopper characteristics and product diversity. The internal factors include store atmosphere, assortment, shelf space allocation, price and promotion. We highlight differences across rural and urban BoP markets for each proposition. Understanding differences between rural and urban BoP retailers can help manufacturers make crucial new product introduction decisions. Considering internal and external factors that influence retailer acceptance decisions will enable manufacturers to introduce products successfully.

The third paper by Meyer-Waarden, Benavent and Castéran dwells on theoretical, managerial, and empirical knowledge to improve loyalty programme efficiency. The research attempts to understand how economic, hedonist, relational, convenience, informational rewards enhance or undermine customers’ perceived programme benefits as well as subsequently loyalty according individual shopping orientations (economical, hedonist, social-relational, apathetic, brand/loyal). The research uses self-determination theory (SDT) and purchase orientations to classify types of rewards in terms of their effect on perceived programme benefits and loyalty. Scales are developed through exploratory and confirmatory factor analysis. To validate the hypotheses, surveys in two retail chains (grocery/perfumery) are used. Structural equation modelling confirms the research model. Perceived benefits and loyalty were found to vary according to purchase orientations, in line with the SDT. Intrinsic (extrinsic) rewards motivate customers to act to obtain a benefit within (apart from) the target of their purchase orientation and influences loyalty positively (have low impact on loyalty). Differentiation through tailored rewards is necessary in markets with strong competition to appeal to different segments. Differentiation could be achieved through nonmonetary benefits. The principal role of loyalty programmes should be to identify and segment customers as a means to improve resource allocations.

The final contribution by Luk, Albaum and Fullgrabe examines consumer attitudes and purchase intentions toward three major retail types within China – department stores, independent specialty stores, and franchising/chain specialty stores. Of particular interest is perceived risk of purchase, the relative importance of frontline sales staff, trust, and the relationships among satisfaction, trust, and customers’ commitment to the salesperson. Data were obtained by a street intercept personal interview survey to test hypotheses about consumer behaviour and attitudinal reactions to the three types of retail store formats. Personal interviews were conducted in four urban cities, each in a different region of China. The findings suggest that there was a difference in perceived risk in purchasing from the different types of stores, but the importance of the frontline salesperson’s influence on consumers did not differ. Increased satisfaction by consumers with the salesperson leads to a higher level of both cognitive and affective trust. Intention to maintain a relationship with the salesperson is positively related to both types of trust.

Neil Towers