This article seeks to contribute to the literature on circular business model innovation in fashion retail. Our research question is which ‘model’—or combination of models—would be ideal as a business case crafting multiple value creation in small fashion retail. We focus on a qualitative, single in-depth case study—pop-up store KLEER—that we operated for a duration of three months in the Autumn of 2020. The shop served as a ‘testlab’ for action research to experiment with different business models around buying, swapping, and borrowing second-hand clothing. Adopting the Business Model Template (BMT) as a conceptual lens, we undertook a sensory ethnography which led to disclose three key strategies for circular business model innovation in fashion retail: Fashion-as-a-Service (F-a-a-S) instead of Product-as-a-Service (P-a-a-S) (1), Place-based value proposition (2) and Community as co-creator (3). Drawing on these findings, we reflect on ethnography in the context of a real pop-up store as methodological approach for business model experimentation. As a practical implication, we propose a tailor-made BMT for sustainable SME fashion retailers. Poldner K, Overdiek A, Evangelista A. Fashion-as-a-Service: Circular Business Model Innovation in Retail. Sustainability. 2022; 14(20):13273. https://doi.org/10.3390/su142013273
Although it appears increasingly important yet potentially challenging to attract customers to physical stores, location-based messaging, i.e., delivering mobile phone messages using data about the recipient's location when that recipient is near the sender, has been said to enable such attraction. Still, existing studies offer very limited insight into which particular location-based persuasion approach retailers should use. Drawing on persuasion theory, this exploratory study aims to investigate and compare the potential of two discrepant persuasion techniques (scarcity and social proof) to influence customers' experiences and thereby stimulate them to visit the retailer's physical store. A factorial survey design was applied to test the research model. Data were collected from a sample of actual customers of a Dutch fashion retailer (n = 579). The results suggest that scarcity is a more effective persuasion technique in the studied context than social proof; scarcity-focused messages appear to be experienced as more informative, more entertaining and less irritating, seem to be valued more because of this, and are thus more likely to incline customers to visit the store. We discuss these findings and their implications for theory as well as for practice.
MULTIFILE
In cross-border e-commerce, electronic retailers (e-retailers) aim to extend their sales activities via the Internet beyond national borders. Unlike large companies, small and medium-sized enterprises are struggling with their international online expansion. This phenomenon is not limited to countries with a developed e-commerce market; e-retailers from emerging e-commerce markets, too, face the problem. This study investigates what the drivers are of business performance of SMEs in cross-border e-retailing, and how drivers differ between developed and emerging e-commerce markets in Europe. Structural equation modelling analyses with the lavaan package in R on a sample of 453 owners and directors of SMEs from 20 countries, show that foreign market orientation not only directly influences business performance in cross-border e-commerce, but also indirectly through communication efforts in foreign markets. These results hold for both developed and emerging markets, however, there are two interesting differences. First in the influence of foreign market orientation and communication efforts on business performance, and second in the impact of the number of years the electronic e-retailer is active in cross-border e-commerce.
