Supply Chain Implications In Regards To Consumer Behavior In Online Retail: Site-To-Store Versus Direct Shipping

Abstract

The purpose of this research is to explore consumer behaviors in online retail. As traditional brick-and-mortar firms adopt online shopping as a sales channel, it is of the utmost importance that they understand how consumers in this space behave. With the advent of site-to-store shipping from large retail firms like Walmart and Target, it is important to know how customers perceive the shipping option when compared to the direct shipping option that is standard among online retail. Specifically, this research aims to find a convenience value for direct shipping over site-to-store (also known as Order Online, Pick-Up at Store or simply "in-store pick-up"). Additionally, the paper aims to provide some insight into how this convenience value might change based on item price. The research also addresses several demographics to determine if these have any impact on consumer preferences. Finally, the paper identifies the satisfaction levels of those customers for both the direct and in-store pick-up shipping options.