Multichannel sales strategies have become common in consumer markets due to the usage of advanced information technologies. However, the interactions between multichannel prices in Business-to-Business (B2B) markets are largely underexplored. This paper investigates the impact of a pre-sales posted price channel on the performance of the century-old sequential B2B Dutch flower auctions. The pre-sales channel is conducted online ahead of the auctions. Only a specified fraction of each flower lot can be sold through the pre-sales. Given this limit, growers can decide on their participation, available quantity and selling price. Flowers that are not sold during the pre-sales are added to the auctions. Our analysis of over 2 million flower lots traded in 2015 reveals a higher total revenue for lots that are offered in the pre-sales as compared to lots that are not. The result holds true even for lots where no actual sales occurred in the pre-sales channel.
|Original language||English (US)|
|State||Published - 2018|
|Event||38th International Conference on Information Systems: Transforming Society with Digital Innovation, ICIS 2017 - Seoul, Korea, Republic of|
Duration: Dec 10 2017 → Dec 13 2017
|Other||38th International Conference on Information Systems: Transforming Society with Digital Innovation, ICIS 2017|
|Country||Korea, Republic of|
|Period||12/10/17 → 12/13/17|
Bibliographical noteFunding Information:
We would like to thank the ICIS review team, the seminar participants at Erasmus University and Royal FloraHolland iFlow project team for all the helpful and constructive feedback and comments.
- Dutch Flower Auctions
- Information Signal
- Sequential B2B Auctions
- Smart Markets