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How ESL Devices Transform into Connected Label Solutions: A Perspective of Actor Interaction and
Information Rebundling
back-end and front-end systems with fewer defects, for instance, an integration between
an enterprise resource planning (ERP) system, warehouse system, and on-shelf system
through communication technologies (Hanshow Technology Co., Ltd., 2022a). ESL can
be categorized as a front-end interface for customers to gain rich product information, not
limited to the product price. Related benefits signal a change in the business landscape,
where ESL implementation results in the liquification of information (Normann, 2001)
Figure 1 ESL, Lower One, Attached to the Front Edge of Retail Shelves
Note: Source: e-Ink.
The connectivity between back-end and front-end systems also helps retailers connect
multiple channels to close the gap between online and offline environments, enhancing the
omnichannel strategy by dematerializing the information mechanisms. Gao and Su (2017)
highlight three information mechanisms in the omnichannel in delivering information
to the customers: the physical showroom, which allows customers to enjoy an in-store
experience when visiting the store; the virtual showroom, which gives customers online
access to an inadequate signal to their valuations; and the availability information, which
offers real-time information about whether the store has products in stock. Nevertheless,
each mechanism can either positively or negatively impact customer experiences. More
exactly, the different information mechanisms of these three tools might influence
availability risk, product value uncertainty, and store patronage. For instance, the physical
showroom mechanism can expose customers to a higher availability risk and discourage
store patronage; the virtual showroom can increase online returns and hurt profits if many
customers migrate from offline to online environments. Therefore, an omnichannel retail
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