E-retailers' competitive intensity: A positioning mapping analysis.

The downturn of the internet economy has made it clear that e-retailers need to become more competitive if they are to survive. One way for retailers to gauge their competitiveness is by considering their position on various key perceptual dimensions of the retail environment. This study suggests the use of two analytical tools -- perceptual maps and gap analysis -- to help managers improve their ability to gauge and improve their competitive position. In this study, data from a previous study are used to demonstrate the use of the two tools in two different competitive environments. The paper describes how the tools can be used to reveal similarities and differences between e-retailers, to identify the ideal combinations of important perceptual factors in the context of the retail domain of these stores, to locate the e-retailer's position relative to the ideal combination and to suggest directions for improving website design.