Proceedings of the 5th International Conference on E-Commerce and Internet Technology, ECIT 2024, March 15–17, 2024, Changsha, China

Research Article

Research on promotion strategies of offline retailers considering the long-term effect of promotion in the new retail context

Download29 downloads
  • @INPROCEEDINGS{10.4108/eai.15-3-2024.2346168,
        author={Yilin  Zheng and Hai  Shen and Xiaoying  Cui},
        title={Research on promotion strategies of offline retailers considering the long-term effect of promotion in the new retail context},
        proceedings={Proceedings of the 5th International Conference on E-Commerce and Internet Technology, ECIT 2024, March 15--17, 2024, Changsha, China},
        publisher={EAI},
        proceedings_a={ECIT},
        year={2024},
        month={5},
        keywords={new retail promotional strategies long-term effects of promotions offline retailer},
        doi={10.4108/eai.15-3-2024.2346168}
    }
    
  • Yilin Zheng
    Hai Shen
    Xiaoying Cui
    Year: 2024
    Research on promotion strategies of offline retailers considering the long-term effect of promotion in the new retail context
    ECIT
    EAI
    DOI: 10.4108/eai.15-3-2024.2346168
Yilin Zheng1, Hai Shen1,*, Xiaoying Cui1
  • 1: Xi’an International Studies University
*Contact email: shenhai@xisu.edu.cn

Abstract

[Objective] In the context of new retail, the research focuses on pricing and promotional decisions by platforms and retailers at different periods under varying levels of long-term promotional effects. [Methodology] Employing game theory, the study considers the continuity of promotions and introduces long-term promotional effects. It constructs a two-stage game model consisting of an international online platform and an offline retailer, addressing pricing and promotional decisions. [Results] (1)When the long-term promotional effect is positive, retailers increase selling prices to boost profits. (2) When the long-term promotional effect is negative, post-promotion demand surpasses demand during the promotional period. [Conclusion] The decision-making approach considering long-term promotional effects offers a novel avenue for optimizing pricing and promotional strategies for international online platforms and offline retailers