Deriving Web Usage Strategies for Online Sales: A Decision Framework and Empirical Exploration

Abstract

The primary objective of this paper is to explore possible web usage strategies for online direct sales. For this purpose, this paper proposes a framework that can help managers to utilize their web site as a sales channel. This framework is, based on two factors: (i) channel conflict and (ii) web appropriateness. Sixty-three Korean firms across 13 industries are ｓｅｌｅｃｔed as the sample base for an empirical investigation. Our analysis results suggest four web usage strategies. The channel relationship enhancement strategy attempts to strengthen relationships with existing off-line sales channels. The emphasis of the customer relationship enhancement strategy is on the organization-to-customer relationship via the web. Collaborative transformation focuses on the use of a web-based sales channel via collaboration with existing channel partners. Quick transformation results in an aggressive and quick transformation into an online channel. Our findings are more likely to help managers to formulate web usage strategies that can lead to competitive advantages.