E-Business Models - The Physical Touchpoint of Online Retailers in Business Model Frameworks

Abstract: The retail industry has gone through tremendous changes with the development of technology leading to a form of retailing which operates on its own grounds, online retailing. Online retailers have unique business models with different value propositions as opposed to the traditional brick and mortar retailers. Once a customer orders a product from the first touchpoint with the customer on the digital interface, there is a time lag between the purchase and delivery and as such, the delivery of the physical product is an important touchpoint on its own. The VISOR framework serves as the analytical frame of this research as it is formulated for businesses that operate in the digital environment. The purpose of this study concerns the exploration of the second touchpoint of online retailers by connecting it as an additional element to the VISOR framework. Empirical data is collected from online retailers with innovative business models through qualitative interviews with representatives of six retail companies. The data shows evidence for a close connection of the second touchpoint with several elements of the VISOR framework through their business operations. On behalf of the empirical findings, the VISOR framework is modified to represent both the physical and digital interface as distinct components.