Impact of Perceived Value Uncertainty on Omnichannel

To address the problem of online retailing where consumers are uncertain about product perceptions, the retailer’s strategy of offline experience is considered. As the starting point, a showroom strategy without retailing and a pop-up store strategy with retailing are proposed. Under centralized scenarios were built, optimal pricing decisions are obtained to analyze the impact of the above strategies on the retailer. The study shows that the showroom strategy increases demand and revenue, especially for high-value products; the pop-up store strategy benefits retailers under certain conditions, and it hurts retailers’ revenue for products with low uncertainty; finally, the comparison shows that the showroom strategy is more acceptable for products with high uncertainty; and the omnichannel strategy actually hurts retailers’ revenue for products with high offline construction costs.