The Interdependencies between Customer Journey, Business Model, and Technology in Creating Digital Customer Experiences – A Configurational Analysis at the Example of Brick-and-Mortar Retail

Abstract

As brick-and-mortar retail increasingly disappears while online retail flourishes, the customer experience (CX) becomes a critical source of competitive advantage. Customers expect the same information, personalization, and availability in a brick-and-mortar store as they do online. While digital technology enables such CXs and enhances the advantage of the physical experience, brick-and-mortar retailers struggle with the complexity of these digital transformations. We analyze 38 cases of retailers implementing digital transformations to create digital CXs by conducting a qualitative comparative analysis. In eight expert interviews, we refine our understanding of CX in retail and discuss the validity and generalizability of the three resulting configurations: value chain innovation, seamless purchase experience, and personal experience. They provide actionable pathways to digital CX representing individual transformation initiatives. Since the configurations overlap strongly, we discuss the necessity to combine the three configurations to implement digital CX across all phases of the customer journey and business model.