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- W2186618042 abstract "Comscore networks recently reported that online non-travel retail spending surpassed the $100 billion mark to reach $102.1 billion in 2006 (www.comscore.com). This represents a 24% increase over 2005 totals. Such a rapid growth in online retailing is forcing retailers to struggle with multi-channel options and channel integration issues. This is a departure of over a hundred years of practice followed by most big retailers, who have previously offered their customers only two channels for shopping: in-store or mail-order from catalogues. With the advent of the Internet, however, retail companies that traditionally offered only one or two channels could use online sales channels as a third option, which could respond to new opportunities and challenges (Jette, 2005). Several studies have already underscored the importance of such multichannel marketing practices. According to the Wall Street Journal, customers who use three different channels spend four times as much as customers using only one of the three channels (Shankar and Winer, 2005). The Aberdeen Group found that 44.7% of retailers surveyed use three channels, while 50.5% of retailers use at least two channels in their multi-channel strategies (Aberdeen group, 2004). A separate study conducted by J.C. Penney (http://www.jcwg.com/downloads/ACCM-Session1.pdf accessed August 25, 2007) finds that customers who use all three channels (store, catalog, and website) spend an average of $887 per year, significantly higher than spent by customers who use only websites ($157), physical stores ($195) or catalogues ($201). Further, this study also reports that sales from J.C. Penney customers who used all three channels grew by 30% annually, and sales from those using at least two of those channels grew by 46% annually. In addition, over 60% of retailers claim that their transactions with multi-channel customers are more profitable than those with customers who use only" @default.
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- W2186618042 date "2007-01-01" @default.
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- W2186618042 title "Multichannel Retailing And Its Implications On Consumer Shopping Behavior" @default.
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