Retail Service Branding in Electronic-Commerce Environments

Abstract

Considerable discussion has arisen about how electronic commerce is changing retail marketing theory and practice. Most of the debate revolves around how retailers with investments in physical channels can apply their existing strategy online. The retail service brand is one component that requires examination, but there is no model to guide online strategy. The authors, therefore, draw on exploratory research from consumer focus groups to understand retail service branding in electronic markets. The case setting is a nationwide grocery service that recently extended its traditional strategy and offered consumers online shopping. The authors conclude that the service brand defines the experience of shopping online for consumers in terms of service attributes, symbolic meanings, and functional consequences of the service encounter. In the fulfillment of this role, the service brand acted as a relationship lever (fulcrum) on which trust was built between consumer and service provider. Managerial implications and future research directions are also considered.