The Mediating Effect of Consumer Empowerment in Omni-Channel Retailing

Abstract

Purpose The purpose of this study is to explore the impact of omni-channel capability (OCC) and consumer empowerment (CE) on customer satisfaction (CS). Design/methodology/approach A paper-based questionnaire was employed to analyse the role of CE in omni-channel retailing (OCR) by using structural equation modelling. Based on the Stimuli-Organism-Response (S-O-R) framework, this research aims to explore how OCC (S) impacts CE (O) and then leads to CS (R) in consumers who had previously used both the online and physical channels of a retailer. Findings The findings supported the impact of OCC on CE, and in turn, the impact of CE on CS. The results reveal a partial mediation by CE in the effect of OCC on CS. Additionally, channel service transparency (CST) moderates the relationship between CE and CS. Practical implications The findings reveal partial mediator role of CE and the moderator role of CST in OCR. The study draws attention to the increasing role of CE and CST in OCR. To enhance CS, retailers should focus on OCC, CE and CST. Originality/value A new model was validated, hypothesized from S-O-R framework. This extended the knowledge on CE in OCR.