Omnichannel and Experience Approach as a Post-COVID-19 Economic Reactivation Mechanism

Omnichannel and Experience Approach as a Post-COVID-19 Economic Reactivation Mechanism

Danny Christian Barbery-Montoya, Dennisse A. Coronel-Arellano, Ariana Soria-Loor
DOI: 10.4018/978-1-7998-7689-2.ch009
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Abstract

The aim of this chapter is to show how omnichannel tools must be applied through the process of creating experiences for the consumers. During the literature review, some authors make approaches to the key concepts connecting omnichannels and consumer experiences; therefore, they explain through the analysis of data the reality of the Ecuadorian environment and global trends. With this context, this chapter will present how, by using macro environment and accessibility, a unique experience may be created in the customer journey in omnichannel.
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Introduction

According to the World Health Organization (OMS, 2020), COVID19 is an infectious disease that had its outbreak in Wuhan (China) and has become a worldwide pandemic caused by the new coronavirus. According to Shiller, Nobel prize of Economics in 2013, a pandemic is more dangerous than an earthquake. This fact happens because the first one generates a greater feeling of anxiety and concern. As a result of these, a “second pandemic” may appear as a financial and economic crisis that would alter the market around the world (BBC, 2020), causing a severe impact in many industries as tourism (Madrid & Diaz-Rebolledo, 2020).

Regarding this situation, some mechanisms are being recommended to the organizations to fight the crisis, as an example: plans for operational continuity, crisis management, financing and liquidity, labor management, among other aspects (PWC-Chile, 2020); however, many companies have shown how fragile they are in the matter of productivity in the value chain and must focus in a new business model strategy, in rearrange the manufacturing process and to strengthen the safety protocols for the employees and clients (Comisión Económica para América Latina y El Caribe, 2020). In this final topic, a Euromonitor report shows how consumer behavior changed in 2020 because of the pandemic, creating an anxious consumer, someone preoccupied with health and safety, who has turned his home into his office (Angus, 2020); he has tried to find connections with the outside world through social media and online communications; and also new entertainments in streaming platforms: movies, music, videogames (Ortega-Vivanco, 2020); now the whole experience process has changed, and it plays an essential part in industries as retailing (Tyrväinen, Karjaluoto, & Saarijärvi, 2020).

Facing this situation, the omnichannel is an alternative to homogenize the buying process through offline and online channel, provoking the customer to experiment with the brand and becoming companies’ main interest (Lorenzo-Romero et al., 2020), creating emotions that take them to recommend the brand and resulting in loyalty (Arconada Muñoz, 2016). Nevertheless, it may also have a negative result, as the risk being perceived by the customer sharing his information (Quach, Barari, Vit Moudry, & Quach, 2020) or it may engage in additional logistic costs (Guerrero-Lorente et al., 2020).

With everything said before, one can question: How omnichannels help economic reactivation? Or, being specific: how are facilities driven to consumers by the omnichannels and the economy is reactivated?

Based on the literature review, the next chapter aims to show how omnichannel and the approach to improve the consumer experience may be applied to reactivate the economy revealing and classifying valuable tools to lead companies to digital transformation.

To achieve the objective, three parts will be addressed in this chapter: a) Literature review explaining the concept of omnichannels and consumer´s purchasing experiences through this strategy; b) A review on Covid19 impact on the Ecuadorian consumer´s behavior; and c) Suggestions, recommendations and possible solutions based on the topics previously described.

Key Terms in this Chapter

Phygital: Referring to the inseparability of physical and digital environments. It is achieved with an interaction at the points of contact with mobile applications and portable devices such as smartphones.

Consumer Centrality or Consumer-Centered Strategy: Integral activities that companies engage in create experiences for their clients.

Inseparability Is the Service: The concept of service marketing in which it is defined that there is joint participation between the client and the company for the creation and provision of the service. If the client does not participate in the provision, the service is not generated.

Customer Journey: The concept addresses the consumer´s purchasing process and the different contact points. This process drives through the need identification to how the consumer behaves post-purchase.

S.O.R. (Stimulus, Organism, Reply): Psychologic concept applied to Marketing of services to the point that creating environments generates an organic reaction in human beings. This reaction translates into positive or negative answers about consumption.

Service Inseparability: Marketing of services’ concept. It defines joint participation between the client and the company to create and give service. If the client is not involved in delivering the service, then the service is not generated.

Word-of-Mouth: Term used to refer to what people say about a product based on their experience with it. In the digital world, it is known as eWOM (electronic word of mouth).

Multichannel: Multiple touchpoints that work independently to provide an isolated consumer experience. The consumer can access the company’s contact channels in parallel but not intermixed.

Hybrid Environments: It refers to an atmosphere where the consumer may have both physical and technological experiences. These technologies may be based on social media, collaborative tools, compilations, or video sharing.

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