, Articles lecture 3: Customer journey
Article: Seller marketing capability, brand reputation, and consumer
journeys on e-commerce platforms – Mu et al., (2021)
Core idea: E-commerce platforms (Amazon, bol.com) fundamentally change how
consumers move from search to purchase and beyond. Unlike single-seller stores,
many sellers and brands compete side-by-side, often selling identical products.
Customer journey:
1. Pre-purchase phase
a. Click: need/goal recognition
b. Browsing time: information search
2. Purchase phase
3. Post purhcasephase
a. Frustration? Reviews?
→ how does seller capability and brand reputatoin shape each stage differently.
Use of platforms & platform retailing (the context)
• Platforms: sell a product themselves AND provide the infrastructure for
independent sellers.
Creates:
o Intense comparison
o Side-by-side branded vs unbranded products
o High transparency on prices, reviews, seller quality
➔ Traditional advantages (brand powe, firm reputation) may become weaker (due
to transparency & variety) or work differently
➔
Key IVs:
Seller marketing capability = how efficiently a seller converts customer feedback into
performance outcomes.
Brand reputation:
- On platforms brands sit next to generic and nice products
- There is more noise and fragemntation
- Platforms push their own products
- Price competition is intense
do brands still have value on e-comm platforms
o On the one hand: brands reduce uncertainty
o On the other hand: brands set high expectations
→ brand reputation still matters online, but it effects are non-linear and can even
backfire.
,Curvilinear patterns and squared terms:
Curvilinear pattern: an effect that is not constant; it helps at first
but then weakens over time or even reverses.
This means that for example the statements: “brands matter
online” and “brands lose power online” both can be true at the
same time, at different levels of brand strength.
Key findings:
• Seller marketing capabilities: has strong, consistently positive effets across
the customer journey: more clicks, more lurchases, and less-post putchase
frustration!
→ Browsing time is the only curvilinear efffect; it first increases, then decreases
because uncertainty is resolved faster for capable sellers
◼ Capability is very important it reduces uncertainty & complexity of
buying process (especially for high involvement categories where
consumers do extensive problem solving)
• Brand reputation still matters: but its effects are curvelinear. This means that it
helps reduce uncertainty early on, but shows diminishing or even negative
returns at higher levels and increases post-purchase frustration due to inflateed
expectations
Implications:
- Invest in seller marketing capabilities first
- Brands must manage expectations, not just awareness
- Premium brands need strong post-purchase management
- Platforms apmlify both exellence and failure.
High capability seller
- Responsive to customers
- Effective problem resolution
- Reliable fulfillment & service quality
- Learning from customers feedback (UGC)
- Consistency in meeting expectations
, How to read this table.
-2SD = very weak capabilities
+2sd = very strong capabilities
When you move from weak seller to capable seller:
- Purchases go up a lot
- Frustration goes down a lot!