Channel capabilities, product characteristics, and the impacts of mobile channel introduction

Youngsok Bang; Dong Joo Lee; Kunsoo Han; Minha Hwang; Jae Hyeon Ahn

doi:10.2753/MIS0742-1222300204

Channel capabilities, product characteristics, and the impacts of mobile channel introduction

Youngsok Bang, Dong Joo Lee, Kunsoo Han, Minha Hwang, Jae Hyeon Ahn

Department of Business Administration

Research output: Contribution to journal › Article › peer-review

88 Citations (Scopus)

Abstract

Drawing on the notion of channel capability, we develop a theoretical ramework for understanding the interactions between mobile and traditional online channels for products with different characteristics. Specifically, we identify two channel capabilities - access and search capabilities - that differentiate mobile and online channels, and two product characteristics that are directly related to the channel capabilities - time criticality and information intensity. Based on this framework, we generate a set of predictions on the differential effects of mobile channel introduction across different product categories. We test the predictions by applying a counterfactual analysis based on vector autoregression to a large panel data set from a leading e-market in Korea that covers a 28-month period and contains all of the transactions made through the online and mobile channels before and after the mobile channel introduction. Consistent with our theoretical predictions, our results suggest that the performance impact of the mobile channel depends on the two product characteristics and the resulting product-channel fit. We discuss implications for theory and multichannel strategy.

Original language	English
Pages (from-to)	101-126
Number of pages	26
Journal	Journal of Management Information Systems
Volume	30
Issue number	2
DOIs	https://doi.org/10.2753/MIS0742-1222300204
Publication status	Published - 2013 Oct 1

Bibliographical note

Funding Information:
Acknowledgments: The authors thank the guest editors, Eric Clemons, Kim Huat Goh, Rob Kauffman, and Thomas Weber, and three anonymous reviewers for their helpful comments and suggestions. They also thank the Social Science and Humanities Research Councils of Canada, the Desautels Faculty of Management at McGill University, and Hansung University for generous financial support.

All Science Journal Classification (ASJC) codes

Management Information Systems
Computer Science Applications
Management Science and Operations Research
Information Systems and Management

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10.2753/MIS0742-1222300204

Cite this

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title = "Channel capabilities, product characteristics, and the impacts of mobile channel introduction",

abstract = "Drawing on the notion of channel capability, we develop a theoretical ramework for understanding the interactions between mobile and traditional online channels for products with different characteristics. Specifically, we identify two channel capabilities - access and search capabilities - that differentiate mobile and online channels, and two product characteristics that are directly related to the channel capabilities - time criticality and information intensity. Based on this framework, we generate a set of predictions on the differential effects of mobile channel introduction across different product categories. We test the predictions by applying a counterfactual analysis based on vector autoregression to a large panel data set from a leading e-market in Korea that covers a 28-month period and contains all of the transactions made through the online and mobile channels before and after the mobile channel introduction. Consistent with our theoretical predictions, our results suggest that the performance impact of the mobile channel depends on the two product characteristics and the resulting product-channel fit. We discuss implications for theory and multichannel strategy.",

author = "Youngsok Bang and Lee, {Dong Joo} and Kunsoo Han and Minha Hwang and Ahn, {Jae Hyeon}",

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N1 - Funding Information: Acknowledgments: The authors thank the guest editors, Eric Clemons, Kim Huat Goh, Rob Kauffman, and Thomas Weber, and three anonymous reviewers for their helpful comments and suggestions. They also thank the Social Science and Humanities Research Councils of Canada, the Desautels Faculty of Management at McGill University, and Hansung University for generous financial support.

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N2 - Drawing on the notion of channel capability, we develop a theoretical ramework for understanding the interactions between mobile and traditional online channels for products with different characteristics. Specifically, we identify two channel capabilities - access and search capabilities - that differentiate mobile and online channels, and two product characteristics that are directly related to the channel capabilities - time criticality and information intensity. Based on this framework, we generate a set of predictions on the differential effects of mobile channel introduction across different product categories. We test the predictions by applying a counterfactual analysis based on vector autoregression to a large panel data set from a leading e-market in Korea that covers a 28-month period and contains all of the transactions made through the online and mobile channels before and after the mobile channel introduction. Consistent with our theoretical predictions, our results suggest that the performance impact of the mobile channel depends on the two product characteristics and the resulting product-channel fit. We discuss implications for theory and multichannel strategy.

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Channel capabilities, product characteristics, and the impacts of mobile channel introduction

Abstract

Bibliographical note

All Science Journal Classification (ASJC) codes

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