Fast-Growing eCommerce and Omnichannel Concept Development: Empirical Evidence from Russian Retail

Abstract

The omnichannel business model is becoming increasingly popular nowadays. The COVID-19 crisis has strongly influenced consumer behavior, with the role of e-commerce becoming ever more important. The “new normal” requires that retailers adapt quickly in order to, on the one hand, satisfy consumer needs in the most appropriate way and, on the other, maintain their competitive advantage in the market. This study aims to identify and analyze the omnichannel activities of retailers in order to provide a concept of the development of a short-term omnichannel business model under pressure of the crisis. The research found that the COVID-19 crisis has boosted the development of the omnichannel model in retail. The research suggests the following step-by-step measures for implementation of the omnichannel approach have been adopted: introduction and expansion of online shops and delivery services; immediate response to customers’ needs and purchase barriers; establishment of an automatization process inside the company; alignment of company strategies with omnichannel model development; further development of omnichannel strategy via collaboration mechanisms; and improvement of category management & consumer-oriented factors. The study provides retailers’ reflections on the new ways of operating, and suggests how the omnichannel development concept may be driven by external factors, as well as proposing opportunities for further research in the development of the omnichannel concept: detailed analysis of omnichannel strategies, or further steps in medium-term omnichannel development after the pandemic period. This research offers practical guidance to managers in retail companies, such as the step-by-step omnichannel business model implementation approach.