Effectiveness of the collective online shopping system in the perspective of the business partners: Exploratory study in Portugal

Business models have evolved through the years. The collective online shopping systems emerge in 2008, and may be considered as an effective promotion tool for business partners. In this context, the objectives of this research paper are: i) to characterize the collective online shopping sites and the promotional campaigns; ii) to evaluate the perception of the business partners on the effectiveness of the last promotion campaign; and iii) to characterize the relationship between the effectiveness of the last campaign and the characteristics of the sites and campaigns as well as the business partners profile. Analyzing data from 38 business partners we conclude: i) the characteristics of the sites and partners tend to be homogeneous; ii) the overall effectiveness of the campaigns tends to be positive, mainly due to the non-financial effectiveness; and iii) the profile of the collective online shopping site has no influence on effectiveness, but the business partners profile and the characteristics of the campaigns are related to the effectiveness. This study may help business partners to evaluate the impact on their business from promotion campaigns using collective online shopping sites and make a decision whether to join or not. From the site managers´ perspective this study may contribute to a better understanding of the perception held by the business partners on the model effectiveness and how to better meet their objectives.