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Introduction
General: in recent years internet retailing has been growing steadily. on the strength of
rapidly evolving consumer shopping habits and game changing technology
Background: increasingly, existing clients of physical stores are shifting to online shopping,
who are driven by superior selection, lower prices and even greater convenience
Specific: with the highly improved technology and everything else running an online retailing
store would be easier and more successful
Opposing view: people choose traditional in store retailing over online, mostly for their
satisfaction, privacy and trust issues
Argument thesis statement: however, with sufficient technology and money online retailers
could overcome these challenges.
Preview: this essay will argue for the benefits of running an online retail business and why
running a traditional business so more challenging than an online business
Body
1. Consumer satisfaction
Argument 1: online retailing stores has a wider rage than a traditional store.
(Paraphrase1)
Counter argument 1: however, having a physical store can affect the customer's trust for
the brand (paraphrase 2) (quotation 1)
Refutation 1: with technology online shopping might be the best option for both
customer and the retailer.
(Paraphrase 3)
2. Argument 2: online shopping has been increasing due to travelling difficulties
(paraphrase 4)
Counter argument 2: However, it may be difficult to set up an effective and efficient
distribution channel on such a scale than traditional retailing (paraphrase 5)
Refutation 2: online retailers seek to maintain substitutions and not to exceed stock-out
rates generally found across various product categories (Paraphrase 6)
3. Returning
Argument 3: with the use of internet increasing online shopping is getting popular
among teenagers (paraphrase 7)
Counter argument 3: inability to provide the customer with the opportunities to touch
and feel a product before purchasing (Paraphrase 8)
Refutation 3: use of multi-channel product distribution and how it help the online
retailer to over the challenges (Paraphrase 9)
Conclusion
In short due to so many reasons both customer and the retailer will choose online
shopping instead of traditional in store shopping.
In recent years online retailing has been growing steadily on the strength of rapidly evolving
consumer shopping habits and game changing high technology. The success of a business all
depends on their customers. Hence the retailer should give more attention to the things that
can make the customer unsatisfied. Existing customers of physical stores are increasingly
switching to online shopping due to the improved assortment, lower pricing, and even greater
convenience that is offers. Moreover, for someone who is starting a new business, online
would be the best option because thousands of people that can be reached through the
internet, therefore it has a high chance of success. Despite that customers choose traditional
in store retailing over online mostly for their satisfaction, privacy and trustworthiness.
However, with sufficient technology and money online retailers should be able to overcome
these issues and build a strong relationship with their customers. This essay will argue for the
benefits of running an online retail business and why traditional retailing will possibly be
replaced completely by online due to the difficulties that the retailer faces while running the
business.
[Arg 1] Firstly, the range and variety of products offered on a retailer’s website have a big
impact on customer satisfaction and perception. Studies by Cao et al. (as cited in Nguyen,
Leeuw & Dullaert,2016) consumers frequently judge an online store first based on the variety
of products supplied while searching for a product in an online store. In addition to other
operational aspects, the product choice and product range explored affect the like hood of
repeat purchases. Since most of the online retailers can overcome these difficulties having a
wider range of products attract the customer more towards online shopping. Instead of
driving or travelling from one store to another, customers can move from one website to
another website by simply navigating between the websites. [CA 1] on the other hand
Jarvenpaaa, Tractinsky and Vitale (2000, pp.45-71) describes that “the presence of a physical
store or the recognition of the merchant’s name might have an effect on consumer trust in an
internet-based store.” In addition, they have shown the ability and motivation to consistently
supply goods of the expected quality are prerequisites for trust to exist and building this trust
in an online business is more difficult than a traditional retail store. [Ref 1] Even so, with the
help of technology online retailers have managed to make online shopping less tiring for the
customer which makes the customer more attracted to online shopping. Nepomuceno,
Laroche and Richard (as cited in Chakraborty, Lee & Upadhyaya, 2016) discuss that an
illustration of this would be adding products to a shopping cart and then checking out later,
this process is comparable to placing your items in a physical shopping cart and browsing the
aisles until it is time to pay, because online buying is so convenient, fewer people feel the
hazards that might have been associated with it because purchases aren’t tangible.
[Arg 2] Secondly, physical activity is required to move between retailers in offline traditional
stores. Instead of driving or travelling from on store to another, the customer moves from one
retailer to another in online stores by simply switching between the websites. This is a one of
the main reasons why online retailing is easier than traditional retailing because this make the
customer choose online shopping over traditional in store shopping even without a lot of
marketing. According to eMarketer (as cited in Mandel, Basu & Saha,2021) the impact of the
coronavirus pandemic was caused online retail sales to increase by 18% in 2020. [CA 2]
studies by Kopczak (as cited Koster, 2003) describes the ability to sell goods in a far larger
global territory than was previously conceivable seems to be made possible by the internet,
despite that setting up an effective and efficient distribution route on this scale can be
challenging. Which traditional in store retailers do not see as a challenge since the customer
come to the store themselves and buy their needs.[Ref 2] Nevertheless, Boyer and Hult( as
cited in Nguyen, Leeuw & Dullaert,2016) discuss that online retailers aim to maintain
substitutions and not to go above stock out rates that are often observed across different
product categories because they want to make sure that there is a wide variety of products on
[Arg 3] Palmer describes (as cited in Koster, 2003) the importance of the internet as a new
sales channel is rising. Currently, just a small portion id the $2.2 trillion retail sector may be
attributed to the internet. However, this market is anticipated to grow 50 times more quickly
than in store buying. [CA 3] Online based retail businesses do present their own unique
difficulties. As Nageswaran, Cho and Wolf (as cited in Mandal, Basu & Saha,2021) argue
one of the issues confronting an online retailer is that online businesses the customer cannot
see and accurately assess a product in person before making a purchase. As a result, many
buyers return the products that do not meet their needs or expectations. Which is huge
challenge that most of the online retailers are experiencing. [Ref 3] Studies by Wolf (as cited
in Mandal, Basu & saha,2021) many retailers have begun using a multi-channel product
distribution strategy, supply products through both physical offline locations and web based
online stores, in order to address the difficulties posed by product returns. This way,
customers can explore or assess products and afterwards receive the necessary product
retail business such as consumer satisfaction, efficient distribution and higher rate of product
returns, research implies that running a web based online store is simpler than maintaining a
traditional brick and mortar store. With time, highly improved technology as well as the
transport improvement will help the online retailer to overcome these challenges. An online
business often allows the retailer to avoid some of the significant costs associated with a
traditional business hence online businesses could completely replace traditional in store
in the context of data breach in online retail stores: an examination of older and younger
https://doi.org/10.1023/A:1019104520776
Mandal,P., Basu,P., & Saha,K. (2021). Forays into omnichannel: an online retailer’s
Nault,B.R., & Rahman, M.S., (2018). Proximity to traditional physical store: the effects of
https://doi-org.ezproxy.auckland.ac.nz/10.1111/poms.12957
The most compelling is the inability of As Nageswaran, Cho and Wolf (as cited in
customers to physically inspect and Mandal, Basu & Saha,2021) argue one of the
precisely evaluate a product before issues confronting an online retailer is that
purchasing it (Nageswaran, Cho & online businesses the customer cannot see
wolf,2020)
and accurately assess a product in person
before making a purchase.
To address the challenges associated Studies by Wolf (as cited in Mandal, Basu &
with product returns, many retailers saha,2021) many retailers have begun using a
have started adopting a multi-channel multi-channel product distribution strategy,
product distribution approach by supply products through both physical offline
offering products through both web-
locations and web based online stores, in
based digital channels and physical
offline stores (Wolf, 2018).
order to address the difficulties posed by
product returns.
Using an experiential survey, Jarvenpaaa, Tractinsky and Vitale (2000,
Jarvenpaaa et al. (2000) found that for pp.45-71) describes that “the presence of a
trust to exist a consumer must believe physical store or the recognition of the
that the seller has both the ability and merchant’s name might have an effect on
motivation to reliably deliver goods of consumer trust in an internet-based store.” In
the quality expected, and this trust is
addition, they have shown the ability and
more difficult to engender for an online
store than a traditional retail store.
motivation to consistently supply goods of
They speculate that “the presence of a the expected quality are prerequisites for trust
physical store or the recognition of the to exist and building this trust in an online
merchant's name might have an effect business is more difficult than a traditional
on consumer trust in an Internet-based retail store.
store”
(998words)