Title: Influence of managerial practices on customer transaction profitability: an investigation into the Brazilian e-retailing arena

Authors: L.A. Joia, P.S. Sanz

Addresses: Brazilian School of Public and Business Administration, Getulio Vargas Foundation and Rio de Janeiro State University, Brazil. ' Brazilian School of Public and Business Administration, Getulio Vargas Foundation and Rio de Janeiro State University, Brazil

Abstract: This paper examines the transaction profitability and managerial practices associated to frequent and sporadic customers in the Brazilian home appliance e-retailing market. Quantitative data drawn from empirical investigation of two electronic retailers show that greater frequency of purchases does not always lead to increased transaction profitability. Qualitative evidence also drawn from the firms under analysis and regarding their managerial approach suggests that customer transaction profitability is related to the web-marketing orientation adopted by the firms. It can be concluded that the potential benefits of customer retention in the e-retailing realm can not be verified on transaction oriented firms.

Keywords: customer transaction profitability; customer relationship management; CRM; purchase frequency; customer retention internet; e-retailing; e-commerce; Brazil; electronic commerce; e-tailing; managerial practices; home appliances; electronic retailers; online retailers.

DOI: 10.1504/IJECRM.2008.019565

International Journal of Electronic Customer Relationship Management, 2008 Vol.2 No.1, pp.1 - 15

Published online: 16 Jul 2008 *

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