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| Author: | Yan, R. |
| Title: | Product brand differentiation and dual-channel store performances of a multi-channel retailer |
| Journal: | European Journal of Marketing
2010 : VOL. 44:5, p. 672-692 |
| Index terms: | product differentiation marketing strategy distribution channels marketing game theory marketing research |
| Language: | eng |
| Abstract: | The aim of the study is to provide a framework to help business marketers with online and traditional retail channels to find the optimal branding strategy (here as: b.s.) and market structure (here as: m.s.) to maximize their profit. A game-theoretic model is developed. Findings suggest that an optimal b.s. and m.s. exist for the dual-channel stores of a multi-channel retailer. When multiple channels are used in parallel to sell a product, the optimal b.s. is to employ as large as possible brand diferentiation between the dual-channel stores. Optimal m.s. is the Stackelberg mode, especially when the product brands between the two channels are less differentiated. |
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