Transformation of Business Models of Retail Enterprises in the Conditions of Digitalization

Abstract

The article is aimed at generalizing the theoretical and practical principles of transformation of business models of retail enterprises in the digitalization of the economy. The determinants of innovative transformation of retail business models are characterized, which allow, based on internal and external conditions, to critically rethink and adjust the basic principle by which value is created. The need to search for ideas of the latest business models of retail trade, on the basis of which enterprises will be able to be successful and grow rapidly in the conditions of digitalization, is proved. A scientific generalization and systematization of business models of value creation in both off-line and on-line channels is carried out. According to the model of Graf and Schneider, a value chain is defined, which is based on the following primary activities: supply (range, focused on demand); presentation of the product (photo of the product, listing, recommendations, text); marketing and sales (off-line marketing, on-line marketing, sales channels); executing sale and purchase (issue of check, payment methods, risk analysis); logistics (delivery of goods, management of return of goods); customer service (dialogue with the client in social networks, hot-line, chat, on-line self-service). These determinants in the course of value creation can be materialized on the basis of innovative approaches, through multichannel sales, use of brands, pricing management, integration of customers into various processes and shopper marketing (buying marketing), which allows to focus on the decision-making process from the first opinion of the consumer about the purchase of goods and further on, during making the choice. It is noted that the rapid response to changes, the proactive search for new ideas and high readiness for digitalization are triggers of the successful transformation of the business model of retailers in the digital revolution. As the main competencies at the retail enterprises the author defines innovation, digital intelligence and personalization, which must be adequately used to win the competition.