KOREASCHOLAR

A STUDY ON THE EFFECTIVE STRATEGY OF CONNECTING LIVE HOME SHOPPING AND REAL-TIME COMMUNICATION SERVICE

Jong-Kuk Shin, MinKyung Moon, Min-Sook Park, JaeHun Kim
  • LanguageENG
  • URLhttp://db.koreascholar.com/Article/Detail/351517
Global Marketing Conference
2018 Global Marketing Conference at Tokyo (2018.07)
pp.913-915
글로벌지식마케팅경영학회 (Global Alliance of Marketing & Management Associations)
Abstract

Introduction Recently, the popularization of mobile devices has been changing the pattern of customers’ life. In the online market, the distribution market has been also expanding from PC-based online to mobile shopping using smart phones. As the shopping market using mobile has grown rapidly in the developing smart age, the interest of home shopping is moving toward mobile media. Through the home shopping company's web site and mobile application, live broadcasting, real-time communication service, and other customers’ review are performed at the same time. Home shopping customers who have questions or inquiries about products are meeting salespeople through home shopping mobile application and real-time communication service. The significance of this study is to present effective strategies for connecting live home shopping and real-time communication of mobile application, thereby enabling customers to make smart consumption. Through this service, home shopping company can perceive customers’ needs as well as form cocreation value with customers. In addition, home shopping company aims to provide a more useful and effective method in the process of providing real-time communication service by checking the form of customers participating in real-time communication service. Theoretical Development Although there are many prior researches on adaptive selling on salespeople in offline, research on effective sales strategies of live home shopping and real-time communication using application has not yet been conducted. Nowadays, many customers' purchasing methods are moving from offline to online. Therefore, by referring to similarities between virtual world and actual society in Internet space studied in many previous studies, we would like to find out whether the offline advantage of "adaptive selling tactics" in the sales field can be applied to on-line. Adaptive selling means changing sales behavior throughout the interaction or interaction with the customer based on perceived information about the sales situation. Salespeople need to change their sales behavior in order to meet each sales situation or individual customer's desires. Adaptive selling can be said to modify the communication style and content according to the customer's desire (Weitz, Sujan & Sujan, 1986; Spiro & Weitz, 1990). The main reason for the co-creation value activities of companies and customers is that the marketing paradigm is shifting from good-dominant logic to service-dominant logic (Lusch & Vargo, 2006). This means that new value creation areas of new product development are expanding as customers participate in various decision-making related to the companies (Payne, Storbacka & Frow, 2008). To realize the value proposition, a firm must co-create value with its customers by means of direct interaction (Grönroos & Voima, 2013). Research Design The contents of this study are as follows. First, we divide the adaptive selling strategies of salespeople in real life into live home shopping and mobile application roles, and then examine whether live home shopping and mobile application affect customer trust. In previous study, Frazier and Summers (1984) proposed six tactics – information exchange, recommendation, request, threats, promises, and legalistic pleas, and Richard et al. (2006) proposed another six tactics. Anderson and Weitz (1989) define trust as one party’s belief that its needs will be fulfilled in the future by actions undertaken by the other party. Second, we investigate the effect of customer trust on home shopping commitment relationship. Ganesan (1994) defined relationship commitment as the desire to develop stability of relationship, the belief that the relationship is sustainable, and the willingness to make short-term sacrifices to maintain the relationship. Through this process, we are able to confirm the possibility of replacing actual meeting with tool called online real - time communication. Third, we want to find out the effect of home shopping commitment relationship on brand commitment relationship. Even if the same brand product, we can know the effect of commitment relationship depending on home shopping company. Finally, we are going to find out how to create co-creation values with customers by real-time communication service to solve the questions and problems of customers immediately. The creation of co-creation values between customers and companies can increase the success rate of new product development that reflects the core needs of customers and reduce resources such as corporate marketing and R & D, which can ultimately serve as a driving force for creating sustainable competitive advantage (Vernette & Hamdi-kidar, 2013).

Author
  • Jong-Kuk Shin(Pusan University, Republic of Korea)
  • MinKyung Moon(Pusan University, Republic of Korea) Corresponding Author
  • Min-Sook Park(Catholic University of Pusan, Republic of Korea)
  • JaeHun Kim(Pusan University, Republic of Korea)