Should Low-Frequency-High-Consumption Enterprises Add Online-to-Offline Platforms? An Empirical Study Using the VAR Model

Abstract

This study investigates the impact of online-to-offline (O2O) platforms, such as Ele.me and Meituan, on offline sales in low-frequency-high-consumption industries, specifically a mid-to-highend liquor distribution chain. Using data from 77 offline stores in Beijing collected during 2019-2022, the study employs a VAR model to analyze the relationship between offline sales and the use of O2O platforms. The results reveal a long-term equilibrium between the two, with most indicators showing a positive impact of O2O platforms on offline sales. The research provides valuable insights for lowfrequency-high-consumption enterprises in making multi-channel decisions and quantifies the impact of O2O platforms on offline sales.