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Is fresh food shopping sticky to retail channels and online platforms? Evidence and implications in the digital era

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  • H. Holly Wang
  • Na Hao
  • Qingjie Zhou
  • Michael E. Wetzstein
  • Yong Wang

Abstract

Using home‐scan data set from Kantar Worldpanel, we conduct an empirical study on Chinese urban consumer shopping behavior from online and offline channels, using yogurt as an example. Results confirm the advantages of E‐commerce relative to traditional offline retail channel in terms of keeping consumers loyal. Results also indicate the online and offline markets are of different business models, in that the online market is a separate market from offline even for the same brand. There exists evidence of brand loyalty for online shoppers but not offline. However, it is more challenging for online late entrants to build brand loyalty because consumers are price sensitive online. Firms are recommended to think of new and differentiated products online, which focus more on quality instead of price to catch the young generation with increasing income.

Suggested Citation

  • H. Holly Wang & Na Hao & Qingjie Zhou & Michael E. Wetzstein & Yong Wang, 2019. "Is fresh food shopping sticky to retail channels and online platforms? Evidence and implications in the digital era," Agribusiness, John Wiley & Sons, Ltd., vol. 35(1), pages 6-19, January.
    • Handle: RePEc:wly:agribz:v:35:y:2019:i:1:p:6-19
    DOI: 10.1002/agr.21589
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    References listed on IDEAS

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    2. H. Holly Wang & Yu Jiang & Shaosheng Jin & Qiujie Zheng, 2022. "New online market connecting Chinese consumers and small farms to improve food safety and environment," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 70(4), pages 305-324, December.
    3. Jiangyuan Hou & Yanping Wang & Mingyue Du, 2023. "Friend or Foe: How Do Consumers and Producers Affect the ESG Rating Index? Evidence from China’s Market of Organic Milk," Sustainability, MDPI, vol. 15(14), pages 1-17, July.
    4. Yu Jiang & H. Holly Wang & Shaosheng Jin & Michael S. Delgado, 2019. "The Promising Effect of a Green Food Label in the New Online Market," Sustainability, MDPI, vol. 11(3), pages 1-14, February.
    5. Chinonso E. Etumnu & Kenneth Foster & Nicole O. Widmar & Jayson L. Lusk & David L. Ortega, 2020. "Does the distribution of ratings affect online grocery sales? Evidence from Amazon," Agribusiness, John Wiley & Sons, Ltd., vol. 36(4), pages 501-521, October.
    6. Yida Zhai & Guanghua Han, 2022. "The effect of the inspection information sharing policy on quality‐oriented food production in online commerce," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(1), pages 84-96, January.
    7. Yu Jiang & H. Holly Wang & Shaosheng Jin, 2023. "Mobilising the public to fight poverty using anti‐poverty labels in online food markets: Evidence from a real experimental auction," Journal of Agricultural Economics, Wiley Blackwell, vol. 74(1), pages 168-190, February.
    8. Luca Cacchiarelli & Alessandro Sorrentino, 2019. "Pricing Strategies in the Italian Retail Sector: The Case of Pasta," Social Sciences, MDPI, vol. 8(4), pages 1-13, April.
    9. Zhou, Pei & Liu, Yizao, 2023. "Amplification or mitigation? The role of online grocery shopping in the relationship between food environment and diet quality," 2023 Annual Meeting, July 23-25, Washington D.C. 335806, Agricultural and Applied Economics Association.
    10. Yu, Bin & Shan, Wenxuan & Sheu, Jiuh-Biing & Diabat, Ali, 2022. "Branch-and-price for a combined order selection and distribution problem in online community group-buying of perishable products," Transportation Research Part B: Methodological, Elsevier, vol. 158(C), pages 341-373.
    11. Mengshuai Zhu & Chen Shen & Yajun Tian & Jianzhai Wu & Yueying Mu, 2022. "Factors Affecting Smallholder Farmers’ Marketing Channel Choice in China with Multivariate Logit Model," Agriculture, MDPI, vol. 12(9), pages 1-11, September.
    12. Jiangyuan Hou & Mingyue Du & Qingjie Zhou, 2023. "What People Talk About Multi-Channel Purchasing Behavior and What They Intend to do: Related Perspective From ESG Evaluation System," SAGE Open, , vol. 13(4), pages 21582440231, October.

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