From Multichannel to Omnichannel: Measuring Channel Integration and Digital Adoption Patterns

The digitalization of business activities is already a reality in most developed countries. India, driven by strong information technology, is rapidly digitalizing across business industries. In the retail industry, this shift is visible in the adoption of omnichannel strategies to enhance value for customers, loyalty and trust, retailer’s image, overall shopping experience, and operational productivity. The present study assesses the extent of omnichannel transformation in the five leading Indian retail sectors viz. Consumer Electronics, Fashion and Apparel, Furniture and Home Decor, Grocery and Supermarkets, and Personal Care and Hygiene. The research design uses mystery shopping approach to collect data from 166 nationally present retailers to analyze their level of omnichannel implementation and digital adoption. The authors performed all statistical analyses and visualizations in R using the ggstatsplot package. The results highlight a less-than-ideal picture of channel integration, suggesting that while top retailers in each sector dominate channel integration, most others have made limited progress. Among the sectors, the Furniture and Home Decor sector leads in channel integration. Other contributions of this study include the enhancement of the existing measuring tool by introducing new indicators. The study reveals gaps in omnichannel implementation to help managers plan strategic improvements.