Understanding B2B buyer behavior in multichannel markets: How posted price channel affect buyers' strategic behavior in auctions

Huong May Truong, Alok Gupta, Wolfgang Ketter, Eric van Heck

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

While online and offline posted price channels have been well explored, research in B2B multichannel systems is still lagging behind. In this study, we investigate buyers' strategic behaviors in a unique system where an online posted price channel is introduced to the century-old Dutch auction market in a sequential way. We explore the determinants of buyers' choices and their bidding behaviors. We incorporate learning and experiences and unveil how buyers' behaviors may evolve over time. We further examine the conditions under which buyers may split their demand and utilize multichannel strategy. By analyzing an extensive dataset of over 1 million observations, our results highlight the importance of experiences, buyer's demand and product diversity in shaping key decisions. Further, we provide evidence of an emerging group of buyers that complement both the posted price and the auctions channels.

Original languageEnglish (US)
Title of host publication40th International Conference on Information Systems, ICIS 2019
PublisherAssociation for Information Systems
ISBN (Electronic)9780996683197
StatePublished - Jan 1 2020
Event40th International Conference on Information Systems, ICIS 2019 - Munich, Germany
Duration: Dec 15 2019Dec 18 2019

Publication series

Name40th International Conference on Information Systems, ICIS 2019

Conference

Conference40th International Conference on Information Systems, ICIS 2019
CountryGermany
CityMunich
Period12/15/1912/18/19

Keywords

  • B2B trading system
  • Buyers Behavior
  • Dutch Auction
  • Multichannel strategies
  • Smart market

Cite this

Truong, H. M., Gupta, A., Ketter, W., & van Heck, E. (2020). Understanding B2B buyer behavior in multichannel markets: How posted price channel affect buyers' strategic behavior in auctions. In 40th International Conference on Information Systems, ICIS 2019 (40th International Conference on Information Systems, ICIS 2019). Association for Information Systems.