Channel selection in e-commerce age: a strategic analysis of co-op advertising models

Purpose: The purpose of this paper is to develop and compare two co-op advertising models: advertising model under traditional channel and co-op advertising model under dual channel, to select optimal channel structure to sell products for manufacturer and to derive optimal co-op advertising strateg...

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Detalles Bibliográficos
Autores: Liu, Yongmei, Sun, Yuhua, Hu, Junhua
Tipo de recurso: artículo
Fecha de publicación:2013
País:España
Institución:Universitat Politècnica de Catalunya (UPC)
Repositorio:UPCommons. Portal del coneixement obert de la UPC
Idioma:inglés
OAI Identifier:oai:upcommons.upc.edu:2099/13106
Acceso en línea:https://hdl.handle.net/2099/13106
Access Level:acceso abierto
Palabra clave:Advertising, Industria
Electronic commerce -- Marketing
Traditional channel
Dual channel
Channel selection
Co-op advertising strategy
Stackelberg game
Publicitat industrial
Comerç electrònic -- Màrqueting
Àrees temàtiques de la UPC::Economia i organització d'empreses::Màrqueting
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spelling Channel selection in e-commerce age: a strategic analysis of co-op advertising modelsLiu, YongmeiSun, YuhuaHu, JunhuaAdvertising, IndustriaElectronic commerce -- MarketingTraditional channelDual channelChannel selectionCo-op advertising strategyStackelberg gamePublicitat industrialComerç electrònic -- MàrquetingÀrees temàtiques de la UPC::Economia i organització d'empreses::MàrquetingPurpose: The purpose of this paper is to develop and compare two co-op advertising models: advertising model under traditional channel and co-op advertising model under dual channel, to select optimal channel structure to sell products for manufacturer and to derive optimal co-op advertising strategies for the manufacturer and the retailer. Design/methodology/approach: Stackelberg game theoretical is used to develop two co-op advertising models: co-op advertising model under traditional channel and co-op advertising model under dual channel. Then we compare the two models to select optimal channel structure to sell products for manufacturer and to derive optimal co-op advertising strategies for the manufacturer and the retailer. Furthermore, we analyze the impact of product web-fit on these optimal strategies and illustrate by some numeral examples. Based on our results, we provide some significant theories and managerial insights, and derive some probable paths of future research. Findings: We provide a framework for researching optimal co-op advertising strategies in a two-level supply chain considering different marketing channel structures. First, we discuss the traditional channel co-op adverting model and the dual channel co-op advertising model based on Stackelberg game theoretical, and we derive optimal co-op advertising strategies. Next, comparisons of these two channel structures are discussed and we find that the manufacturer always benefits from dual channel. But the retailer not always benefits from dual channel structure, and dual channel structure is better than retail channel with certain conditions. Also, the optimal co-op advertising strategies for the manufacturer and the retailer are obtained. Research limitations/implications: First, we focus on the aforementioned two channel structures; a further comparison with other channel structures can be investigated. Second, we ignore some factors that influence the demand of product, such as service and price. We can do some researches from the point of these factors. Third, how demand uncertainty affects the channel selection and co-op advertising strategy is another interesting research item. Practical implications: The manufacturer and the retailer know that the impact of co-op adverting on the demands of traditional channel and direct channel, both would like to choose reasonable strategies to improve the channel coordination. Therefore, it would be best if business managers conduct market survey before they start their co-op advertising campaign. Originality/value: Two new co-op advertising models in E-commerce age are developed, and the impact of product web-fit on these optimal strategies are analyzed and illustrate by some numeral examples. In addition, optimal channel structure in E-commerce age are selected for manufacturer and the retailerPeer ReviewedSchool of Industrial and Aeronautic Engineering of Terrassa (ETSEIAT). Universitat Politècnica de Catalunya (UPC)20132013-04-0120132013-04-07journal articlehttp://purl.org/coar/resource_type/c_6501NAhttp://purl.org/coar/version/c_be7fb7dd8ff6fe43info:eu-repo/semantics/articleapplication/pdfhttps://hdl.handle.net/2099/13106reponame:UPCommons. Portal del coneixement obert de la UPCinstname:Universitat Politècnica de Catalunya (UPC)Inglésengopen accesshttp://purl.org/coar/access_right/c_abf2Attribution-NonCommercial 3.0 Spainhttp://creativecommons.org/licenses/by-nc/3.0/es/info:eu-repo/semantics/openAccessoai:upcommons.upc.edu:2099/131062026-05-27T15:37:01Z
dc.title.none.fl_str_mv Channel selection in e-commerce age: a strategic analysis of co-op advertising models
title Channel selection in e-commerce age: a strategic analysis of co-op advertising models
spellingShingle Channel selection in e-commerce age: a strategic analysis of co-op advertising models
Liu, Yongmei
Advertising, Industria
Electronic commerce -- Marketing
Traditional channel
Dual channel
Channel selection
Co-op advertising strategy
Stackelberg game
Publicitat industrial
Comerç electrònic -- Màrqueting
Àrees temàtiques de la UPC::Economia i organització d'empreses::Màrqueting
title_short Channel selection in e-commerce age: a strategic analysis of co-op advertising models
title_full Channel selection in e-commerce age: a strategic analysis of co-op advertising models
title_fullStr Channel selection in e-commerce age: a strategic analysis of co-op advertising models
title_full_unstemmed Channel selection in e-commerce age: a strategic analysis of co-op advertising models
title_sort Channel selection in e-commerce age: a strategic analysis of co-op advertising models
dc.creator.none.fl_str_mv Liu, Yongmei
Sun, Yuhua
Hu, Junhua
author Liu, Yongmei
author_facet Liu, Yongmei
Sun, Yuhua
Hu, Junhua
author_role author
author2 Sun, Yuhua
Hu, Junhua
author2_role author
author
dc.subject.none.fl_str_mv Advertising, Industria
Electronic commerce -- Marketing
Traditional channel
Dual channel
Channel selection
Co-op advertising strategy
Stackelberg game
Publicitat industrial
Comerç electrònic -- Màrqueting
Àrees temàtiques de la UPC::Economia i organització d'empreses::Màrqueting
topic Advertising, Industria
Electronic commerce -- Marketing
Traditional channel
Dual channel
Channel selection
Co-op advertising strategy
Stackelberg game
Publicitat industrial
Comerç electrònic -- Màrqueting
Àrees temàtiques de la UPC::Economia i organització d'empreses::Màrqueting
description Purpose: The purpose of this paper is to develop and compare two co-op advertising models: advertising model under traditional channel and co-op advertising model under dual channel, to select optimal channel structure to sell products for manufacturer and to derive optimal co-op advertising strategies for the manufacturer and the retailer. Design/methodology/approach: Stackelberg game theoretical is used to develop two co-op advertising models: co-op advertising model under traditional channel and co-op advertising model under dual channel. Then we compare the two models to select optimal channel structure to sell products for manufacturer and to derive optimal co-op advertising strategies for the manufacturer and the retailer. Furthermore, we analyze the impact of product web-fit on these optimal strategies and illustrate by some numeral examples. Based on our results, we provide some significant theories and managerial insights, and derive some probable paths of future research. Findings: We provide a framework for researching optimal co-op advertising strategies in a two-level supply chain considering different marketing channel structures. First, we discuss the traditional channel co-op adverting model and the dual channel co-op advertising model based on Stackelberg game theoretical, and we derive optimal co-op advertising strategies. Next, comparisons of these two channel structures are discussed and we find that the manufacturer always benefits from dual channel. But the retailer not always benefits from dual channel structure, and dual channel structure is better than retail channel with certain conditions. Also, the optimal co-op advertising strategies for the manufacturer and the retailer are obtained. Research limitations/implications: First, we focus on the aforementioned two channel structures; a further comparison with other channel structures can be investigated. Second, we ignore some factors that influence the demand of product, such as service and price. We can do some researches from the point of these factors. Third, how demand uncertainty affects the channel selection and co-op advertising strategy is another interesting research item. Practical implications: The manufacturer and the retailer know that the impact of co-op adverting on the demands of traditional channel and direct channel, both would like to choose reasonable strategies to improve the channel coordination. Therefore, it would be best if business managers conduct market survey before they start their co-op advertising campaign. Originality/value: Two new co-op advertising models in E-commerce age are developed, and the impact of product web-fit on these optimal strategies are analyzed and illustrate by some numeral examples. In addition, optimal channel structure in E-commerce age are selected for manufacturer and the retailer
publishDate 2013
dc.date.none.fl_str_mv 2013
2013-04-01
2013
2013-04-07
dc.type.none.fl_str_mv journal article
http://purl.org/coar/resource_type/c_6501
NA
http://purl.org/coar/version/c_be7fb7dd8ff6fe43
dc.type.openaire.fl_str_mv info:eu-repo/semantics/article
format article
dc.identifier.none.fl_str_mv https://hdl.handle.net/2099/13106
url https://hdl.handle.net/2099/13106
dc.language.none.fl_str_mv Inglés
eng
language_invalid_str_mv Inglés
language eng
dc.rights.none.fl_str_mv open access
http://purl.org/coar/access_right/c_abf2
Attribution-NonCommercial 3.0 Spain
http://creativecommons.org/licenses/by-nc/3.0/es/
dc.rights.openaire.fl_str_mv info:eu-repo/semantics/openAccess
rights_invalid_str_mv open access
http://purl.org/coar/access_right/c_abf2
Attribution-NonCommercial 3.0 Spain
http://creativecommons.org/licenses/by-nc/3.0/es/
eu_rights_str_mv openAccess
dc.format.none.fl_str_mv application/pdf
dc.publisher.none.fl_str_mv School of Industrial and Aeronautic Engineering of Terrassa (ETSEIAT). Universitat Politècnica de Catalunya (UPC)
publisher.none.fl_str_mv School of Industrial and Aeronautic Engineering of Terrassa (ETSEIAT). Universitat Politècnica de Catalunya (UPC)
dc.source.none.fl_str_mv reponame:UPCommons. Portal del coneixement obert de la UPC
instname:Universitat Politècnica de Catalunya (UPC)
instname_str Universitat Politècnica de Catalunya (UPC)
reponame_str UPCommons. Portal del coneixement obert de la UPC
collection UPCommons. Portal del coneixement obert de la UPC
repository.name.fl_str_mv
repository.mail.fl_str_mv
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