CH9 Projects: Question 2
Omni-channel merchandisers – Dick’s Sporting Goods is a good example of this business model. Dick’s have full control over their e-commerce presence. Also, Dick’s uses their store as main distribution centers and people can pick up their online orders at the closes physical store.
Virtual merchants – Dollar Shave Club is a virtual merchant that sells products only online. Dollar Shave Club is subscription-based, and customers don’t have to go to the store to buy it. Even though they are considered virtual merchants, Dollar Shave Club has a great customer service and they always engage with their customers.
Catalog merchants – Frontgate is a very popular catalog merchant. Frontgate includes indoor and outdoor furniture, as well as many home appliances for kitchen and bath. This model works very well for them since they always have deals on many items and this model is the best way for them to sell their products.
Manufacturer-direct firms – a BMW company is an example of this strategy. BMW company does not need a third-party retailer to sell their cars. A customer can go on their website to customize and order a desired car and pick it up at a preferred location.