Chapter 3

How Does Omnichannel Transform

Consumer Behavior?
Özge Adan Gök

Abstract
Besides having an important place in the daily lives of today’s consumers, tech-
nology impacts consumer behavior in variety of ways such as giving direction
to their buying behavior, changing the characteristics that they expect from a
product and the value they perceive, and influencing their satisfaction about
the product. When omnichannel marketing is analyzed in this respect, it is
an important issue that should be considered for the success of the market-
ing activities of the enterprises. This chapter will explain the single channel
first and then multichannel marketing and omnichannel marketing concepts.
The potential effects of omnichannel usage on issues about consumer behavior
such as brand loyalty, customer satisfaction, perceived brand value, and buying
behavior will be explained in detail. Then, the characteristics of the consumers
using omnichannel and the factors affecting the success of these continents
in terms of both consumers and businesses will be discussed. In this chapter,
omnichannel marketing application examples will also be discussed in detail.

Keywords: Omnichannel; channel types; consumer behavior; distribution

channel types; channel management; multichannel management;
­omnichannel management; single channel; crosschannel; consumer
behavior

Introduction
The study of consumer behavior comprises detailed information about the needs
and expectations of consumers and the solutions to satisfy them (Kumra, 2006,
p. 2). It also involves identifying and evaluating consumer decision-making

Managing Customer Experiences in an Omnichannel World: Melody of Online and Offline

Environments in the Customer Journey, 27–42
Copyright © 2021 by Emerald Publishing Limited
All rights of reproduction in any form reserved
doi:10.1108/978-1-80043-388-520201005
28 Özge Adan Gök

regarding goods and services (Khan, 2006, p. 4). That is, it involves analyzing
consumers and businesses’ behaviors in these processes (Kumra, 2006, p. 2).
­Consumer behavior is affected by the psychological characteristics of the con-
sumers themselves, the socio-cultural characteristics of the environment, and the
marketing mix. Economic, technological, demographic, and political factors in
the macro-marketing environment can affect both enterprises and consumers in
marketing processes (Kotler, Bowen, & Makens, 2010, pp. 92–102). The market-
ing mix is also affected by technological developments and the internet as an ele-
ment in the marketing environment (Pelsmacker, Geuens, & Bergh, 2001, p. 417).
Finally, the integration of technology, the purchasing and post-purchase environ-
ment has also changed consumer behavior.
Due to the widespread use of the internet, consumers nowadays interact with
multiple channels, such as search engines, comparison sites, mobile browsers,
applications, social media platforms, and physical stores during their purchasing
processes (Sathyanarayanan, 2018, p. 37). Consumers demand a pleasant envi-
ronment that offers convenient timings and locations while conducting product
research (Cook, 2014, p. 263). Along with new technologies, there have been
changes in consumer behavior. Consumers have started to use social media,
mobile devices and related software widely (Berman & Thelen, 2018, p. 598).
Consequently, the number of channels has increased as consumers discover a
range of software during the purchasing process. This ever-evolving multichan-
nel retail environment also offers customers a variety of channels in the pur-
chasing and refunding operations (Xu & Jackson, 2019, p. 118). Consequently,
there has been a shift from single- and multichannel marketing to omnichan-
nel marketing methods due to a surplus of digital channels (Taufique Hossain,
Akter, Kattiyapornpong, & Wamba, 2017, p. 784). This chapter aims to describe
(1) the types of channels and their characteristics, (2) the effects of omnichannel
marketing on consumer behavior, (3) the effects of omnichannel marketing on
satisfaction and loyalty of consumers, (4) the advantages and challenges while
shifting to omnichannel marketing, and (5) the applications and future projec-
tions of omnichannel marketing. Literature review was used in this chapter in
order to make a comprehensible understanding of these issues and the linkage
between them.

Background
1. Channel Types in Marketing
Marketing activities start with information gathered through marketing planning,
which helps determine product planning, pricing decisions, advertising and sales
promotion strategy, predicting marketing potential for new and existing products,
and identifying distribution channels (O’Brien, 1982, p. 424). The latter has been
addressed within the marketing planning process.
According to Walters (1974), “a channel is defined as a team of merchant
and/or agent business institutions that functions to create and distribute assort-
ments of products to specified markets” (p. 5). Distribution channels mean the
 How Does Omnichannel Transform Consumer Behavior? 29

reorganization and management of the intermediaries and dynamics assist in the

purchase of goods from the point of production to the point of sale (Kosnik,
1990, p. 224). Physical distribution is a major activity within production. Physi-
cal distribution comprises a distribution network linking raw material resources,
production facilities, warehouses, intermediaries, and wholesale and retail loca-
tions to customers (O’Brien, 1982, p. 439), or movements related to the transfer
of products from production to points of sale sites (Kosnik, 1990, p. 224).
Channel management is the process of making decisions to achieve the goals
of enterprises by evaluating environmental factors (Walters, 1974, p. 5). Enter-
prises have to analyze many factors when designing a channel or to determine a
channel strategy. The most important factor is the characteristics of the product.
Products vary in tangibility, perishability, bulkiness, degree of standardization,
required service quantity, and unit value. Products and services also vary in rela-
tion to how much time consumers want to spend on purchasing them, how they
want to gain benefit, and how often they want to buy. Other factors to consider
when determining the channel strategy include economic, social, and legal con-
ditions, competitors’ status, costs, and consumers’ control over or desire for the
product (Peter & Olson, 1996, pp. 474–476). The costs of distribution channels
can be affected by product quality and quantity while distribution channel strate-
gies can be consistent with the legal framework.
Walters (1974) identifies four elements of channel management. The first ele-
ment is the channel operations. Channel operations mean that channels can reach
the target audience only through certain procedures/actions. Within the scope
of the channels, there are operations related to logistics and product develop-
ment. The second element is channel leadership, which is necessary to ensure that
decisions are made in accordance with the targets. The third element concerns
channel communications. Communication refers to the exchange of information
between management within the channel and consumers outside it while channel
structure refers to construction of how the channel is organized and managed
(pp. 16–17). While enterprises develop channel strategies, in addition to evaluat-
ing many factors related to business structures, they form strategy according to
the characteristics of channel types.
Channel strategies have nowadays become complex structures that include
marketing activities that encompass consumers’ pre-purchasing processes and
post-purchasing behaviors. This technologically driven transformation has been
realized through the participation of consumers in purchasing processes.
The behavior of consumers during and after purchasing, and the channels
they use have become more complex due to technological advances, especially the
internet. Shetty, Jeevananda, and Kalghatgi (2018) identify four channel types
that appeared during the development of marketing, starting with the single-
channel marketing used in the past. The second phase was multichannel market-
ing while the third is the crosschannel marketing used largely today. The fourth
phase, omnichannel marketing, represents the future (p. 204). Enterprises that
have adopted the most recent three types offer different shopping opportunities
and processes. It is therefore important to identify the conceptual and techno-
logical differences, and reveal what value each can create for customers (Yrjölä,
30 Özge Adan Gök

Saarijärvi, & Nummela, 2018, p. 1134). The following analyzes these four channel
types.
1.1. Single Channel Marketing. A purchase through a single channel, also
called one-stop shopping, refers to traditional purchasing methods (Lee & Lim,
2017, p. 41; Shetty et al., 2018, p. 204). Single channel marketing provides cus-
tomers with the products or services that they need through one means, such as
going to the store to buy something. While this is cost-effective, it cannot meet the
demands and expectations of today’s consumers because it ignores the opportu-
nities offered by other channels (Arer, 2018, p. 20). Going directly to the store and
make purchases is an example of single-channel marketing. In some products, for
example, when purchasing a washing machine or dryer, the consumers prefer to
buy the products from the physical store directly, as they can easily respond to the
consumers’ wishes in any maintenance need (Burns, Gupta, Bihn, & Hutchins,
2018, p. 297). Physical stores are used commonly because of physical stores’ abil-
ity to appeal to five senses, in-store music, fragrance and decoration to attract the
attention of consumers, and to have the opportunity to see and try the products
(Kazancıoğlu & Aydın, 2018, p. 971).
1.2. Multichannel Marketing. Multichannel customer management involves
the use of multiple channels to manage customers consistently through specific
channels or media (Stone, Hobbs, & Khaleeli, 2002, p. 40). Multichannel market-
ing is the next step after single channel marketing (Shetty et al., 2018, p. 204). In
multichannel marketing, enterprises sell goods or services through multiple or
shared channels (Beck & Rygl, 2015, p. 174). These channels are independent and
the consumer profile of this channel uses this system, which offers different prod-
uct ranges, prices, and opportunities. In multichannel marketing, e-commerce is
a separate system from the physical store and limited to online facilities, features,
and services (Shetty et al., 2018, p. 204). Although enterprises sell goods or ser-
vices through multiple channels, these are not integrated and customers cannot
interact with them (Beck & Rygl, 2015, p. 174).
Multichannel marketing provides many contact points for the customer
while purchasing products or services. These may be direct channels, such as
telephone, internet, mobile phone, or kiosk services in branch networks or retail
stores. Alternatively, there may be multiple customer contact points through
distribution channels such as strategic partners (Stone et al., 2002, p. 41). In
addition, the widespread use of the internet means that customer experiences
not only involve interactions through traditional offline channels but also online
channels, such as websites and social media (Lee & Lim, 2017, p. 38). In an inter-
active environment, the internet addresses regularly increasing user pools, par-
ticularly more highly educated middle- and upper-class customers (Pelsmacker
et al., 2001, p. 417).
The internet environment, which includes many channels in the purchasing
process, has its own characteristics, customer profile, and management processes.
For instance, interactive media (interactive CD, telephone, television, etc.), where
the internet is at the forefront, differs from traditional communication media in
three main ways. The first is its synchronized communication style due to the
short time it takes for communicators to transmit, receive, and reply to messages.
 How Does Omnichannel Transform Consumer Behavior? 31

The second feature is that consumers can control how fast and how the product
is presented, and tailor messages according to their own choices. In other words,
in the interactive media where the internet is at the forefront, customer control
of content is another feature that differs from traditional media. Third, the new
interactive media create a greater social presence; that is, the ability to communi-
cate warmly, actively, and sensitively (Pelsmacker et al., 2001, p. 418).
In multichannel marketing, customers attach greater importance to these
features of the internet and desire to include them in the purchasing process.
Through multichannel marketing, the spread of the internet has thus introduced
new benefits and also challenges to the marketing field. The benefits for busi-
nesses of multichannel marketing include identifying and capturing opportuni-
ties for consumers, encouraging consumers to engage in more buying behavior,
providing greater convenience, and offering a better experience. When evaluated
in terms of consumers and businesses, there is a greater variety of options that
can meet the preferences and types of interaction between the different channels.
This offers benefits like switching easily between discovering and purchasing a
product (Stone et al., 2002, p. 41). These interaction processes form the custom-
er’s experience with the channel.
Regarding the more common challenges, the high cost of technology may lead
to low returns on investment. In addition, there may be problems with aggre-
gating and standardizing customer-related data and combining different systems
that require very different data models are among the most common challenges
(Stone et al., 2002, p. 42). Moreover, goods purchased online within multichannel
marketing cannot be collected or returned to a physical store, product vouchers
cannot be exchanged between channels, and customers, pricing, and inventory
data are not shared between channels. Products or services can also vary between
channels (Beck & Rygl, 2015, p. 173). Meanwhile, customers’ expectations that
they should be able to purchase goods at any time or place are increasing. Enter-
prises therefore need to be able to deliver goods at any time to consumers while
giving customers the right to return products through all marketing channels
(Hübner, Wollenburg, & Holzapfel, 2016, p. 577). Despite these challenges, multi-
channel marketing can still be successful if the benefits can be emphasized in the
marketing environment.
1.3. Crosschannel Marketing. In crosschannel marketing, enterprises sell
their products or services through many (but not all possible) channels (Beck
& Rygl, 2015, p. 175). It differs from multichannel marketing in terms of trig-
gering channel interaction and controlling the integration of the enterprise by
the customer. Crosschannel marketing uses currently used channels, but without
integrating the back office (organization, systems, etc.). However, it does empha-
size extended online features and comprehensive product diversity (Shetty et al.,
2018, p. 204).
In crosschannel marketing, products purchased from the internet or a catalog
can be collected or returned to physical stores while online information about the
product can be accessed by scanning QR codes or barcodes in physical stores or
catalogs (Beck & Rygl, 2015, p. 173). Enhanced product logistics enables custom-
ers to visit a physical store to collect or return orders that they made online. It also
32 Özge Adan Gök

encourages their in-store showrooming behavior (Yrjölä et al., 2018, p. 1134).

Crosschannel marketing offers various benefits, such as crosschannel product
comparisons, mobile transactions, and electronic receipts. Crosschannel retailers
also focus on making the customers’ shopping experience rewarding and value-
enhancing (Yrjölä et al., 2018, p. 1134).
In crosschannel marketing, consumers shopping online can receive informa-
tion about and directions to the nearest physical store where goods are launched
by location services. Consumers can also check alerts or special offers about
products or services on their mobile phone in the physical store (Beck & Rygl,
2015, p. 173). Enterprises using crosschannel marketing try to make the cus-
tomer’s shopping process easy and comfortable as well as increasing their profits.
Such enterprises increasingly focus on product logistics, product comparisons,
and operations (Yrjölä et al., 2018, p. 1134). For example, they share pricing and
inventory data on at least two channels while customer data can be accessed from
many but not all channels. For example, consumers can reserve a flight via phone,
online, or with a mobile device. Products and services are consistent across all
channels except for the physical store (Beck & Rygl, 2015, p. 173).
1.4. Omnichannel Marketing The word omni is derived from the word
“omnis,” which means universal. The omnichannel approach is generated from
the result of improving the multichannel approach and improving the purchas-
ing experience of consumers (Shetty et al., 2018, p. 204). Omnichannel consumes
tend to be more mobile, have technologically great connections, and adopt tech-
nology in their daily lives (Cook, 2014, p. 263). Such consumers can use a dif-
ferent channel or device at each stage of purchasing or use combinations, such
as using a tablet while researching a product but a smartphone to buy it (Berman &
Thelen, 2018, p. 600). Thus, the omni-channel customer is somebody who can
freely switch between offline and online stores during their purchasing jurney
(Lee and Lim, 2017: 41).
Omnichannel marketing requires harmonizing products or services across
all channels so that a customer can fully initiate channel interaction and con-
trol the overall channel integration. Omnichannel enterprises can trigger chan-
nel interaction with the customer and sell products or services through all the
widely used channels (Beck & Rygl, 2015, p. 175). Omnichannel marketing
simultaneously manages these channels and customer touchpoints to improve
customer experience and business performance (Melero, Sese, & Verhoef,
2016, p. 9).
Omni-channel also differs from multi-channel marketing in terms of con-
sumer behavior, particularly, the consumer buying process, the place of purchase
or return, and the customer effort required to move between channels (Berman
and Thelen, 2018: 598). The level of integration of the channels is therefore essen-
tial in managing such a strategy. Within the complicated, decentralized structure
of an omnichannel distribution network, customers must have an uninterrupted
shopping experience. They must also be supported and provided with coordi-
nated information in their decision-making (Kembro & Norrman, 2019, p. 386).
The main purpose of omnichannel marketing is thus creating a consistent experi-
ence across all channels (Shetty et al., 2018, p. 204).
 How Does Omnichannel Transform Consumer Behavior? 33

2. How Does Consumers Behave in Omnichannel Marketing?

Consumer behavior research examines the processes used by consumers or busi-
nesses to select, secure, use, and dispose of products, services, experiences, or ideas
to meet their needs (Hawkins, Best, Coney, & Koch, 2004, p. 7). The primary pur-
pose of production and marketing is to provide people with benefit. Because the
utility aims to meet the needs and needs of people and in this respect can be defined
as an economic activity. These benefits, which are related to form, time, place, and
possession, also include channel operations (Peter & Olson, 1996, p. 453; Walters,
1974, p. 8). Form utility involves the channels converting raw materials into fin-
ished product and services for consumers. Time utility is the way that channels
make goods and services available when the consumer wants to buy them. Place
utility means that consumers have the goods or services available wherever they
want to buy them. Possession can be defined as the utility that directs ownership
of the products to the consumers (Peter & Olson, 1996, p. 453). These benefits
enable the customer to develop experiences about the product or service so. In
other words, these benefits constitute the customer’s experience with the product.
Therefore, enterprises strive to increase the benefits experienced by customers.
Marketing starts with researching, discovering, and understanding the con-
sumer needs of a market with high added value, and then developing a market-
ing mix to meet these needs. Understanding consumer needs and wants is thus
an important factor for successful marketing (Peter & Donnelly, 2004, p. 41).
The first step, which identifies the wishes and needs of consumers, shows the
importance of consumer behavior. This includes the ways of communicating
with businesses while purchasing a product or service, and the way that the pur-
chase takes place. These steps are realized through systems that include busi-
nesses, which try to maximize customer benefits during this experience.
Nowadays, customer experiences are being changed by technological
advances. The spread of technology, especially the internet, has increased con-
sumers’ knowledge and awareness about products and services, and enabled them
to examine them in greater depth while purchasing. Consumers no longer just
buy products or services for their features and advantages but to enrich their lives.
This enrichment is only possible through customer experience (Lee & Lim, 2017,
p. 38), which includes the pre-purchasing phase and processes during and after
usage of the product. Throughout, the ways customers communicate and inter-
act with enterprises become part of their experience of the product or service
they purchase. Because this communication between customers and enterprises
takes place through various channels, they become an important part of cus-
tomer experience. The development of channel types and the integration of these
channels into the marketing issues of enterprises have also affected consumer
behavior. Therefore, in order to understand consumer behavior in omnichannel
world, the following questions should be answered:

(1) How does omnichannel marketing affect consumer behavior?

(2) How does omnichannel marketing affect satisfaction and loyalty of
consumers?
34 Özge Adan Gök

(3) What are the advantages and challenges while shifting to omnichannel
marketing?
(4) What is being done and what are the future projections about omnichannel
marketing?

Today’s consumers have easier access to consumer technology than previ-

ous generations. This changes their lifestyles so that they want to buy things at
times and places appropriate to their needs (Cook, 2014, p. 263). Omnichannel
marketing provides consumers with a single face or platform with a continuous
and consistent experience across all channels. Omnichannel marketing enables
consumers to participate consistently to enrich their experience with the brand
(Kembro & Norrman, 2019, p. 386; Sathyanarayanan, 2018, p. 37; Shetty et al.,
2018, p. 205) while gathering information about the product or service, purchas-
ing it, and having post-purchase experiences. The most important factors affect-
ing these processes are product information and product involvement. Product
knowledge comprises all the information that consumers have about a product’s
classification, brands, models, and purchasing channels. Product involvement
refers to consumers’ perceptions of the importance or personal development of
an item. The higher the product involvement, the more information consumers
will want about the product and the more time they will spend to purchase it
(Peter & Donnelly, 2004, p. 7).
With the widespread use of technology in daily life, shopping through vari-
ous distribution channels, such as mobile shopping with smart devices, online
stores, and offline stores, has become widespread. This diversification of chan-
nels between customers and businesses has created a cross-shopping environ-
ment that enables consumers to move between online and offline distribution
channels (Lee & Lim, 2017, p. 41). From the consumer’s perspective, the inter-
net allows for personal control, and personal learning and experience, provides
current information, and allows for easy comparison and purchasing of prod-
ucts (­Pelsmacker et al., 2001, p. 431). By combining this facilitating effect of the
internet with other possibilities, omnichannel marketing offers many advan-
tages. These include the ability to store or return goods for online and mobile
purchases with reduced delivery fees in the store, informing consumers about
local store openings and other events, providing in-store Wi-Fi, giving benefits
for consumers such as giving additional information about products, delivering
on-line coupons, and e-mailing consumers about special discounts (Berman &
Thelen, 2018, p. 600). Omnichannel marketing can have positive effects on
customers’ purchasing processes through continuous communication in vari-
ous channels as well continuously providing information about the product or
service.
There are significant differences between traditional consumer behavior and
omnichannel consumer behavior. For product comparison, for instance, tradi-
tional consumers use information sources, such as print media or traditional
advertising, whereas omnichannel consumers use the internet (Shetty et al., 2018,
p. 203). These behavioral differences in turn effect the two kinds of marketing,
such as differences in consumer buying process design, location of purchase or
 How Does Omnichannel Transform Consumer Behavior? 35

return, and the effort a customer needs to make to moves between channels (Ber-
man & Thelen, 2018, p. 598).
To meet customer expectations through omnichannel marketing and provide
excellent service, businesses need to adopt a customer-oriented approach, syn-
chronize all points of contact in all channels, provide personalized customer
experiences, ensure that channels are integrated, please customers at every point
during the transition, and redefine the role of the physical store (Melero et al.,
2016, p. 19). The two main variables of management concern at the retail level
are store image and store atmosphere. The thoughts of the consumers determine
the image of the store. This includes perceptions and attitudes based on percep-
tions of store-related stimuli received through the five senses. As well as image,
stores are defined by goods, services, customers, physical facilities, promotion,
and convenience (Peter & Olson, 1996, p. 455). Omnichannel offers customers
the opportunity to shop according to their conditions comfort and convenience.
Their consequent customer experiences will encourage them to return (Cook,
2014, p. 263).
The positive effects of such consumer behavior can enable enterprises to
reduce costs and gain a competitive advantage. As customers use more channels
while purchasing, the amount of customer data collected at each point of contact
increases rapidly. However, customers may experience various negative experi-
ences. Negative experiences of customers may arise from technical defects, the
inconsistency of service, and delays in service (Komulainen & Makkonen, 2018,
p. 193). In addition, integrating channels can increase costs, thereby dissatisfy-
ing customers (Taufique Hossain et al., 2017, p. 784). Enterprises using digital
facilities should not use these facilities to reduce their costs or gain on competi-
tive advantage. Enterprises that strive to understand the consumers’ preferred
product range and their buying behavior can be successful (Cook, 2014, p. 262).
Concepts related to service quality, such as value equity, relationship equity, and
brand equity, are also affected by omnichannel usage (Taufique Hossain et al.,
2017, p. 787).
Customers do not think about which channel they use in their purchasing pro-
cess. Instead, they aim to purchase products and services to meet their needs,
and that they can get the money and time they spend (Cook, 2014, p. 262). The
enterprises or organizations within the channels have a common purpose and
act as a team. The primary purpose of omnichannel marketing is to reach target
markets (Walters, 1974, p. 5). Beyond its role in communication and advertising,
the internet is a direct sales channel that offers a unique relationship between
consumers and businesses. Using the internet, businesses gain cost advantages by
eliminating traditional distribution channels and intermediaries while reaching
consumers across different regions more easily (Pelsmacker et al., 2001, p. 431).
An omnichannel customer does not want to go to the store to have different
prices and options. Therefore, each channel must offer the same prices and pro-
motions, and each channel management must be aware of customer experiences
in the other channels (Cook, 2014, p. 264).
During their omnichannel experience, consumers can use their smartphone
to check prices before purchasing, purchase physically from the store or online,
36 Özge Adan Gök

or request the company to send the product to their home (Jocevski, Arvidsson,
Miragliotta, Ghezzi, & Mangiaracina, 2019, p. 80). Customers expect to receive
complete and accurate information about which products are available in physi-
cal stores and where. That is, they expect excellent service in terms of information
quality and inventory accuracy (Kembro & Norrman, 2019, p. 386). Such char-
acteristics can be described as “seamless,” meaning that customers should be able
to see the availability of the products in all channels (Jocevski et al., 2019, p. 85).
Omnichannel marketing enables customers to have positive experiences by
providing real-time transactions that represent the use of services regardless of
location or time, and through effortless execution (Komulainen & Makkonen,
2018, p. 193). To manage the customer experience effectively, companies need to
develop a strategy that covers all interactions with their customers. They must
therefore investigate the customer experience while creating a new marketing
strategy (Lee & Lim, 2017, p. 38).
2.1. Customer Satisfaction in Omnichannel Marketing Customer satisfaction
is the individual’s expectations and perceptions of the performance of the prod-
uct or service; that is, it is a function of customer expectations (Schiffman &
Kanuk, 2004, p. 15). Due to changing market structures and increasing competi-
tion, marketers are mostly evaluated in terms of their capacity to build and main-
tain relationships with customers and the ability to increase customer satisfaction
and loyalty customer-specific services. It thereby creates a suitable environment
for communication via internet services (Pelsmacker et al., 2001, p. 417).
Customers can have pleasant consumer experiences if they are satisfied with
the store managers’ attitude when browsing, comparing, and purchasing prod-
ucts. In other words, customer experience has proven to be an important factor in
determining customer satisfaction and store attitude (Lee & Lim, 2017, p. 48). The
store atmosphere has a vital role in customer behavior. These emotional contexts
affect consumers’ behavior in ways that they may not be aware of. By a number of
environmental stimuli influence the store atmosphere. These include the essential
characteristics of the store, the exploratory experience of analyzing products in
the store, communication and interactions with store employees, satisfaction, and
the resulting frequency of visiting the store (Peter & Olson, 1996, pp. 456–457).
Omnichannel marketing is included in this process through the interaction and
communication opportunities offered to consumers both inside and outside the
store. It therefore also affects customer satisfaction.
Because consumers switch between channels during their purchasing pro-
cesses, it is even more imperative for businesses to offer personalized and timely
information (Sathyanarayanan, 2018, p. 37). Organizations in the omnichannel
marketing environment can improve their customers’ experiences by coordinat-
ing and integrating marketing channels, and providing customers with what they
want at every stage (Melero et al., 2016, p. 30). Factors affecting customer satis-
faction include uninterrupted customer experience, easy access to the same data
via all contact points, and less effort than for other channels.
2.2. Customer Loyalty in Omnichannel Marketing Customer value is the
ratio between perceived economic, functional, and psychological benefits of
consumers and the resources, such as money, time, effort, they use to gain
 How Does Omnichannel Transform Consumer Behavior? 37

benefits (Schiffman & Kanuk, 2004, p. 14). If this perceived value is high, the
customer will remain loyal to that organization rather than buy goods and ser-
vices from others. In this sense, efforts to increase the perceived value of the
product may increase customer loyalty. Marketing to increase customer loyalty,
marketing managers should therefore learn what customers are looking for and
what they want through interactive channels. They can then develop their prod-
ucts and services by adding value that meet these requirements (Pelsmacker et
al., 2001, p. 4).
Traditional marketers know that loyal customers purchase more products and
are less affected by promotions by rival organizations. They are also less sensitive
to price and make positive word-of-mouth recommendations about the enterprise
(Schiffman & Kanuk, 2004, p. 15). Loyalty thus has an important place in mar-
keting activities for organizations using omnichannel marketing. Omnichannel
customers are better informed than traditional customers, benefit from technol-
ogy more, and demand more from organizations. If they have positive experiences
with the brand while purchasing, they become much more loyal (Cook, 2014,
p. 266). As consumers use omnichannels, loyalty decreasing factors such as lack
of reliability, information overload, higher prices, decrease and the factors that
support loyalty (commitment) among consumers such as ease of use, customer
support, and personal control increase by creating the uninterrupted experience
in the consumption process (Shetty et al., 2018, p. 200). Using different channels
makes consumers feel more satisfied in the process of purchasing. In addition, the
fact that all these channels are integrated and worked in a coordinated manner
increases the trust and sympathy of consumers toward the brand (Kazancıoğlu &
Aydın, 2018, p. 970).
2.3. Challenges of Shifting To Omnichannel Marketing Various chal-
lenges may be encountered in the shift from multichannel or crosschannel to
omnichannel strategies. These may be organizational, such as collecting various
touchpoints in one area, cultural, such as spreading the internet and web cul-
ture to the physical store, managerial, such as persuading and educating staff,
financial, such as deciding elasticity levels between channels and touchpoints,
and strategic, such as marketing mix elements, or determining flexibility levels
between channels and touchpoints (Picot-Coupey, Huré, Piveteau, Towers, &
Kotzab, 2016, p. 353). An omnichannel approach comprises a single logistic
interface that combines processes related to inventory, order fulfillment, and
return operations (Kembro & Norrman, 2019, p. 385). Initially, multichannel
retailers may simply offer mail delivery whereas the full omnichannel model
requires integration of all processes and delivery options, such as receipt of
goods from the stock of the warehouses from the store or the delivery of online
orders from the store stock (Hübner et al., 2016, p. 577). Finding the most cost-
effective solution is not the main problem for omnichannel enterprises; rather, it
is successfully combining the different options available and providing the cus-
tomer with a valuable experience (Marchet, Melacini, Perotti, Rasini, & Tappia,
2018, p. 451). Organizations may also face developmental challenges in shifting
to a new channel strategy. These include defining the marketing mix, such as
ensuring common brand values and consistent pricing across channels, flexible
38 Özge Adan Gök

reproduction of product types, and coordination of purchasing processes. Also,

it includes information systems such as ensuring compatibility between chan-
nels and customer relations management challenges about what touchpoints
consumers use in their purchasing processes and what they pay attention to
(Picot-Coupey et al., 2016, p. 354).

3. Omnichannel Applications
Technological changes have accelerated with the use of smart mobile phones,
tablets, and new software (apps, mobile payments, location-based services,
etc.). These developments allow low-cost customization and price optimization
(Piotrowicz & Cuthbertson, 2014, p. 6). In omnichannel marketing applications,
coupons can be used on all channels and customers can return the product
regardless of where they purchased it. The enterprise can control the integra-
tion of customers, pricing, and across all channels to enable consistency of
products and services (Beck & Rygl, 2015, p. 173). The first products and ser-
vices that were successfully marketed using digital channels were travel, books,
music, and video games because consumers do not buy these products based on
appearance, texture, or esthetic qualities. This makes them more suited to digi-
tal channel sales than electrical products or clothing (Cook, 2014, p. 262). In
addition to these products, for instance, in the omnichannel marketing, process,
while food and beverage organizations determine the time periods in the service
delivery process, manufacturers or other companies do not limit this period
(Marchet et al., 2018, p. 451).
Consumers are also increasingly using social media as internet-connected,
mobile customers can access information anytime, anywhere to buy the products
they want (Piotrowicz & Cuthbertson, 2014, p. 6). Organizations use different
channel applications depending on the product. Cook (2014) studied omnichan-
nel in a digital store that supports sales staff through iPad-based kiosks. This
simplifies and accelerates the sales process so that products supplied within
60 seconds of the customer entering the door without queuing (pp. 265–266).
Other recent innovations in applications include virtual screens and aisles, virtual
mirrors or fitting rooms, intelligent self-service kiosks, vending machines, and
dynamic menus (Piotrowicz & Cuthbertson, 2014, p. 6).
Thus, significant changes have been experienced in both retail and online
channels. Managing these requires significant investment in infrastructure, ser-
vice processes, and distribution (Hübner et al., 2016, p. 562). Many retailers see
digital channels as an opportunity to compete and reduce overheads. However,
those who are successful are those who understand both the product range and
how consumers buy them (Cook, 2014, p. 262).

Solutions and Recommendations

With omnichannel marketing the consumer behavior has changed. In the face of
this change, organizations need to build structures that will constantly commu-
nicate with their customers. Omnichannel marketing provides consumers with a
 How Does Omnichannel Transform Consumer Behavior? 39

wide range of possibilities in the purchasing and post-purchasing processes, and

these opportunities provide many conveniences to consumers. Consumers can use
the channel which they want in order to get information about products, deliver
or return the product.
All channels available to customers are complex and customized (Barwitz &
Maas, 2018, p. 126). Customer value and hence customer loyalty is determined by
the structure of omnichannel marketing, and the methods, speed, and diversity of
communication with customers. Omnichannel marketing means that customers
who are exposed to more touchpoints in the relevant channels become more loyal
(Ieva & Ziliani, 2018, p. 304).
While omnichannel marketing provides customers convenience in terms of
speed and time, using multiple channels simultaneously during and after pur-
chasing processes, it imposes a variety of responsibilities on managerial and
infrastructure development to organizations. Adaptation to changing consumer
behavior with omnichannel marketing applications requires the provision of
seamless customer experience across channels (Jocevski et al., 2019, p. 82). In
omnichannel applications, customers’ requests and needs are answered at many
points both inside and outside the store. Thus, the information in the physical
stores and virtual environments of the organizations should be managed and
coordinated simultaneously.
Omnichannel marketing refers to the form of future marketing chan-
nels. ­Creating consistent experience across all channels is the main purpose of
omnichannel marketing (Shetty et al., 2018, p. 204). Enterprises should also
control their promotional efforts simultaneously and in a coordinated manner
(Blom, Lange, & Hess, 2017, p. 287). In the future, applications that will make
omnichannel customers’ service procurement processes more manageable, proac-
tive services and virtual applications that can predict and adjust their behavior
will come to the forefront (Komulainen & Makkonen, 2018, p. 194).

Future Research Directions

In the future, more researches are needed in the omnichannel marketing. In
omnichannel marketing, both quantitative and qualitative researches can be
conducted for customers and organizations. In addition to this, the subject can
be examined in-depth with the focus group studies or qualitative researches
aimed at both the management levels and the customers who use omnichannel
marketing.

Conclusion
Consumers make purchasing decisions in line with their own wishes and needs
and engage in specific behaviors before and after this decision process. Tech-
nological development has become an important marketing environment ele-
ment that directly changes these behaviors. The important place of the internet
and smartphones in many consumers’ daily lives is reflected in their purchas-
ing processes and behaviors. The increasing use of mobile devices and social
40 Özge Adan Gök

networks is blurring the lines between marketing channels so that customers

focus less on the channels they use. This change has led to omnichannel mar-
keting, which increases customer–brand interaction (Piotrowicz & Cuthbert-
son, 2014, p. 5).
Customers determine the value of the goods or services they purchase from
their experience as consumers, which in turn affects their repurchasing decisions.
Multichannel customer management uses multiple channels or environments to
manage customers in a consistent and coordinated way across all channels or
media used (Stone et al., 2002, p. 40). In multichannel marketing, the customer
does not initiate interaction with the business while integration is not controlled
by the business. In crosschannel marketing, however, customers can partially ini-
tiate interactions. Finally, in omnichannel marketing, customers can initiate all
interactions (Beck & Rygl, 2015, p. 173).
There are various forms of multichannel marketing for consumers who can
interact in various ways while communicating with organizations. Consumers can
also easily switch between channels when researching or purchasing a product
wherever and whenever they want (Stone et al., 2002, p. 42). The evolution from
multi- and cross- to omnichannel marketing has transformed the role of the cus-
tomer in the purchasing process from a passive buyer to a more active participant
(Yrjölä et al., 2018, p. 1144).
This chapter contributes to theory by describing channel types in detail. The
chapter also gives comprehensible understanding about the consumer behavior
in omnichannel marketing. Better understanding of customer value can help
enterprises organize their channels, and direct development and resource alloca-
tion. They can make more-informed decisions by understanding the character-
istics, challenges, and opportunities of multiple strategies (Yrjölä et al., 2018,
p. 1134).
From a practical perspective, the chapter gives understanding of consumer
behavior in omnichannel marketing. First, the managers should synchronize
all the channels. While customers want to move smoothly between channels,
organizations may be unable to ensure this because online and traditional
channels are handled separately, and often managed by different individuals or
departments that are unable to fully cooperate. Another factor is when informa-
tion technology staff do not work directly with customers (Piotrowicz & Cuth-
bertson, 2014, p. 9). All channels must be managed to provide the same levels
of customer service and product information to prevent customer confusion
(Yrjölä et al., 2018, p. 114). However, channels differ according to the technol-
ogy and the ways customers use it. Whereas enterprises traditionally used just
one channel, they have shifted to multichannel and then crosschannel market-
ing in line with technological developments. Second, while managing the enter-
prises in multichannel platform, the managers could take the advantage of the
low price (Aw, 2019, p. 1086). Managers should track all the responses care-
fully about promotions in omnichannel marketing. Third, enterprises whose
infrastructure is completed and ready for this complex structure can exist in
omnichannel marketing. As the most advanced strategy, omnichannel market-
ing will continue to be used in the future.
 How Does Omnichannel Transform Consumer Behavior? 41

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