Experts Matter. Find Yours.
Connect for media, speaking, professional opportunities & more.
Optimizing the delivery speed promise can boost sales
After the coronavirus pandemic forced most of the country into lockdown, online shopping soared. According to CCInsights.org, by the end of April 2020 there was a 146% year-over-year increase in U.S. and Canadian online retail orders. Amazon was so overwhelmed by the combination of increased demand, logistical nightmares, and warehouse worker safety issues that the company announced significant delays in its Amazon Prime shipping speeds. When the company announced it would prioritize the shipping of essential items, the online retailer’s third-party sellers were left to manage their own shipping — something Amazon usually did for them. Shoppers who placed orders for non-essential products at the end of March sometimes received estimated delivery dates of more than a month away. While consumers often received their orders sooner than the 30-day estimate, for Prime shoppers used to getting their items delivered for free the next day, the change in delivery speed was a shock. Amazon shoppers turned to alternative outlets that promised much quicker delivery speeds. Companies with strong e-commerce positions and supply chains, such as Walmart, took advantage of Amazon’s situation. “People are very sensitive to delivery and how fast they can get products,” said Ruomeng Cui, assistant professor in information systems & operations management. “Maybe, just maybe, Amazon would be able to deliver faster than one month, but they chose to promise customers one month — that was their choice.” Unfortunately for Amazon, by setting conservative delivery speed promises, they exacerbated an already bad situation. According to Cui’s paper “Sooner or Later? Promising Delivery Speed in Online Retail” (Ruomeng Cui, Tianshu Sun, Zhikun Lu and Joseph M. Golden), optimizing delivery speed promise can have a substantial effect on a company’s sales. How substantial? Without changing the actual delivery speed itself — only the delivery speed promise — Cui’s research showed that when the retailer promised customers one day faster shipping, sales increased, profits increased, and customers spent more on each order. “It’s a very critical decision for retailers to try to determine how to manage delivery and how to manage the information aspect of delivery,” added Cui. The study is attached and found two key findings: The value of communicating delivery times From a customer satisfaction standpoint, the conservative disclosure lowered customer satisfaction while the aggressive disclosure didn’t affect the company’s satisfaction score, although it did increase product returns when shipping speed was overly aggressive and products were delivered late. “These results indicate that in our research context, promising customers a faster delivery speed can boost sales and profitability but at the cost of a higher product return rate,” the researchers wrote. They go on to caution retailers that promising a conservative shipping speed can be costly. “It’s a careful balance that companies need to think about — how to manage customers’ expectations properly,” explained Cui. Crafting the delivery promise Given online retailers’ adoption of machine learning, Cui believes companies could tweak their algorithms to explore what products and which types of customers are more tolerant to over-promising as it relates to the delivery speed promise. “Companies can then use the analysis to customize and differentiate the types of products that adopt different types of information strategies,” Cui said. “Just change your algorithm, learn and incorporate some of the data-driven decisions and methods.” Going forward, Cui hopes to customize algorithms for companies in an effort to help them dynamically optimize how to promise the correct delivery speed to customers. While many companies, like Collage.com, don’t own their own delivery function and can’t change the actual delivery speed by changing infrastructure, these companies can “manage the information,” said Cui. “It’s easy, and I think it should be the retailer’s responsibility and job to optimize.” “I want to advocate for all retailers to think strategically in their information aspect,” said Cui. “Don’t let such an easily fixed lever just sit there at almost zero cost.” If you are a journalist looking to cover this study or speak with Professor Ciu about subjects like online shopping and operations management, simply click on her icon now to arrange an interview today.
Experts available to discuss the 2020 election challenges
When voters cast their ballots across this country to participate in the Nov. 3 election, their votes — much like many of the events of 2020 — were like no other. Below are a few of the news stories to consider for your coverage of the 2020 presidential election. Clarifying the Electoral College and the popular vote As votes filtered in on election night, both presidential campaigns were focused on the number 270, the total of Electoral College votes needed to win the White House. Schedule an interview with American politics expert Dr. Gregg Murray to learn how a candidate can win the popular vote and another wins the electoral vote and presidency. To arrange an interview with Dr. Murray - simply click on his icon now to arrange a time. COVID-19’s impact on the 2020 presidential election Speculations are growing on how the COVID-19 pandemic influenced voters’ decisions. Schedule an interview with Dr. Mary-Kate Lizotte, an expert in public opinion and political science professor in Augusta University’s Department of Social Sciences, to gain more insight into how the health crisis may have deepened already wide differences among Americans. To arrange an interview with Dr. Lizotte - simply click on her icon now to arrange a time. View a complete list of our experts available for your coverage of the 2020 presidential election. CONTACT: Lisa Kaylor, 706-522-3023, lkaylor@augusta.edu Teleconferencing and phone interview opportunities are available for these story ideas. Call 706-522-3023 to schedule an interview on any of these topics. Also, check out the Augusta University Expert Center to view a complete list of our experts.
The tug between protecting privacy and building brand loyalty
The coronavirus pandemic has put much of normal life on hold, but it hasn’t stopped hackers. According to Securityboulevard.com, in the first quarter of 2020, more than 8.4 billion records from healthcare institutions, technology, software, social media, and meal delivery companies were exposed — a 273 percent increase from Q1 2019. While data breaches are costly to companies — a recent Ponemon Institute data breach report found that data breaches cost organizations an average of $7 million in the U.S. — their frequency is enough to cause some consumers to wonder if their private information is safe with their favorite brands. The increase in data breaches is concerning, noted Jesse Bockstedt, associate professor of information systems & operations management, but several studies have found that the out-of-pocket expense to consumers due to identity theft is less than $1,000. “Which isn’t zero, but it’s not like a few years ago when [identity theft] ruined your life and destroyed your credit,” Bockstedt said. As for the companies, he added, “It’s not a brand killer anymore.” Yet despite consumers’ growing unease, Goizueta faculty say the relationship between privacy and brand loyalty is a bit more intricate. While a data breach can nick a firm’s reputation, it’s the data that is purposely collected beyond the name and vital statistics that worry consumers more. Our experts found the following key points were necessary when it comes to finding the safe ground between privacy and brand loyalty. In fact, we have an expert from Goizueta who can explain each one: Building digital trust “Companies are increasingly worried that people will buy less from their brand if they’re perceived to be fast and loose with customer data,” said Daniel McCarthy, assistant professor of marketing. For instance, after political data-analytics firm Cambridge Analytica secretly collected data on roughly 87 million Facebook users, back-lash followed. In an effort to regain users’ trust, Facebook founder and CEO Mark Zuckerberg laid out a “privacy-focused vision” for Facebook, but those efforts were widely criticized as not going far enough. Advertising boycotts followed. Trust: the key to customer loyalty Minus regulatory guardrails, the differentiating factor is trust, explained Jagdish Sheth, the Charles H. Kellstadt Chair in Marketing. “Trust is built over time by doing what you promise to do and by company behavior that is considered appropriate or right,” Sheth said. Loyalty programs such as those with airlines, hospitality companies and grocery stores are founded on a relationship between a consumer and a brand. “Loyalty programs mean relationships, and in all relationships, trust and commitment are key,” he added. Let’s make a deal “Brands that are able to deliver a personalized experience in a privacy-friendly manner will have a competitive advantage,” explained David Schweidel, professor of marketing, in a recent “Goizueta Effect” podcast. “Putting a premium on privacy means forgoing the benefits that come from allowing organizations to collect data they use to deliver a better experience. From a commercial standpoint, the onus is on the marketers to make the case that the benefits outweigh privacy concerns.” We’ve attached a full article with even more advice and helpful information from our experts – but if you are looking to learn more or cover this topic, we can help. All of our faculty are available to speak with media, simply click on either expert’s icon now – to book an interview today.
MEDIA RELEASE: Stay Alert Stay Safe: Daylight saving time ends soon
CAA South Central Ontario ( CAA SCO) is reminding all motorists and pedestrians to stay alert as daylight saving time ends at 2 a.m. on Sunday, November 1. The return to standard time means fewer daylight hours and reduced visibility for all road users. “We know that typically, in November, there is a spike in collisions between motorists and pedestrians. Road safety and pedestrian safety are a shared responsibility. Taking precautions and being aware of other road users helps us all arrive at our destinations safely,” says Raymond Chan, manager of government relations, CAA SCO. While pedestrian incidents increase every year at this time, the latest research indicates the potential for harm is even higher today due to COVID-19. Earlier this year, CAA SCO conducted a study of 1500 Ontario licenced drivers that found, because of COVID-19, people are most comfortable driving their vehicles, walking or cycling to get around over the coming months. The study also found that: Respondents were more likely walking one to three times a week before the pandemic but are more likely to walk four to seven times per week during the pandemic. These numbers are in line with a CAA National survey that also found 30 per cent of cyclists increased their activity. “Our study also showed that not yielding to cyclists/pedestrians and drivers running stop signs or red lights were the most reckless driving behaviours seen within city limits during the pandemic," says Chan. "We are facing additional challenges this year. Physical distancing means pedestrians may step out onto the road to keep their distance from others or may take longer to cross at intersections. It is important now more than ever to remind road users to follow the rules of the road and be patient." What motorists can do to stay safe: Always look for pedestrians crossing the road. Be alert and attentive while driving and yield to pedestrians who are stepping on to the road to maintain physical distancing. Mind your blind spots. Be aware of blind spots when making turns at intersections. Stay focused and vigilant behind the wheel. Avoid distractions inside and outside of your vehicle. Slow down in school zones. Reduce your speed and obey speed limits in school zones and residential neighbourhoods. Prepare for the unexpected. Residential streets and school zones have different types of obstacles, such as children playing outdoors, riding bikes, skateboarding, etc. Be cautious and considerate. Be alert around stopped transit vehicles and be courteous to pedestrians with different mobility needs that may require more time. Use your lights. Motorists should use their full lighting system when it gets dark and in low visibility situations. What pedestrians can do to stay safe: Be careful when physical distancing on the sidewalk. Try to avoid stepping out onto road and if you end up stepping on the road, ensure there are no vehicles in the lane. Always be aware of your surroundings. Avoid distractions and be alert while crossing the street and stepping onto the road. Follow the flow. Follow signals and cross at designated locations or crosswalks. Stop, look, and listen. Ensure all traffic has come to a complete stop before crossing the road. Keep an eye out. Make eye contact with motorists—never assume that drivers can see you or know your intentions. Be visible. Pedestrians should wear bright or reflective clothing or accessories at night to help with visibility. Additionally, motorists should take extra caution on Halloween as some regions could have trick or treaters and they may have the added visual restrictions of wearing a mask or face shield. CAA SCO is offering free reflector tags at CAA Stores that can be attached to backpacks and jackets. Find your nearest CAA Store here and stop by to get up to four free tags per family.
The new initiative is in addition to the $100 Auto Insurance Relief Benefit and 10 per cent rate reduction announced earlier in the year. CAA Insurance Company is introducing a $50 relief benefit for its active auto policies in effect as of October 28, 2020. No action is required by insureds or their brokers to receive the benefit. Eligible policyholders should expect a $50 cheque in the mail, just in time for the holiday season. “As the pandemic continues, so do the financial hardships faced by many households,” says Matthew Turack, president of CAA Insurance Company. “Ontarians have been looking to their insurance companies to help them save on their insurance premiums. We are very proud that CAA Insurance continues to lead the industry by helping drivers save on auto insurance costs and provide financial relief to families impacted by the pandemic.” President & CEO of CAA Group, Jay Woo further adds, "We fully recognize that insurance is among the highest costs of every household and we are pleased to provide this additional financial relief to our valued Members. All throughout the CAA group of companies, we are continuing to find more ways to help our Members and Customers get through this global crisis." Earlier this year, CAA Insurance was the first and only insurance company to offer both a 10 per cent rate reduction on home and auto policies for the duration of a 12-month policy term, and a $100 rebate for all active auto policies. In total, including this latest benefit, CAA Insurance will have given back over $60 million to help policyholders manage their expenses during these difficult times. In a recent study, the Financial Services Regulatory Authority of Ontario (FSRA) examined rate relief measures by insurance companies during the pandemic (through June 30, 2020). CAA Insurance was identified as the top insurer, providing the highest percentage of rate relief to its policyholders. In April 2020, a survey conducted by CAA South Central Ontario found that auto insurance is the area where Members (43 per cent) are most likely looking to reduce costs because of COVID-19, exceeding groceries, telecommunications and mortgages/rent payment. CAA Insurance agents and brokers continue to assist customers in finding additional ways to adjust coverage and reduce payments to reflect changes in driving behaviour such as: CAA MyPace, Canada’s first and only pay-as-you-go auto insurance program, so you only pay for the kilometres you are using Reducing annual mileage amounts on policies Insurance adjustments for multiple cars that aren’t being driven A discount for drivers that install four matching winter tires for use during the winter months Ontario drivers are encouraged to check with their agent or broker and make sure they explore all available options, as every insurance company is taking a different approach during the COVID-19 pandemic.
How to Handle Election Stress in an Exceptionally Stressful Year
When you tune into election coverage or think about the upcoming Election Day, do you feel your heart pounding loudly in your chest, or your face feeling hot, or experience a wave of negative emotions? You may be experiencing election stress. Every four years in the autumn of a U.S. presidential campaign, people can experience such stress related to the election. And this year, the election is occurring against a backdrop of remarkably turbulent times. In the midst of a long-lasting pandemic, economic uncertainty, civil unrest, and observable ramifications of climate change, stress has been our close companion throughout this unsettled year. Alicia Walf, Ph.D., a neuroscientist and a senior lecturer in the Department of Cognitive Science at Rensselaer Polytechnic Institute, says that no matter what side of the political spectrum you fall on, election season means change, and change is stressful. Walf can explain what is happening to the human body as we listen to politicians and pundits, and she can analyze why election stress is happening with such force for so many in 2020. She can also offer tips to help individuals deal with their election stress through the next week — and perhaps beyond. Here is a link to her bio: https://news.rpi.edu/expert?expert=alicia.walf
BLOOMINGTON, Ind. -- During the pandemic, the amount of screen time for many people working and learning from home as well as binge-watching TV has sharply increased. New research finds that wearing blue-light glasses just before sleeping can lead to a better night's sleep and contribute to a better day's work to follow. "We found that wearing blue-light-filtering glasses is an effective intervention to improve sleep, work engagement, task performance and organizational citizenship behavior, and reduced counterproductive work behavior," said Cristiano L. Guarana, assistant professor of management and entrepreneurship at the Indiana University Kelley School of Business. "Wearing blue-light-filtering glasses creates a form of physiologic darkness, thus improving both sleep quantity and quality." Most of the technology we commonly use -- such as computer screens, smartphones and tablets -- emits blue light, which past research has found can disrupt sleep. Workers have become more dependent on these devices, especially as we navigate remote work and school during the coronavirus pandemic. The media have recently reported on the benefits of blue-light glasses for those spending a lot of time in front of a computer screen. This new research extends understanding of the circadian rhythm, a natural, internal process that regulates the sleep-wake cycle and repeats roughly every 24 hours. "In general, the effects of wearing blue-light-filtering glasses were stronger for 'night owls' than for 'morning larks,' said Guarana, who previously has studied how lack of sleep affects business decisions, relationships and other behaviors in organizations. "Owls tend to have sleep periods later in the day, whereas larks tend to have sleep periods early in the day. "Although most of us can benefit from reducing our exposure to blue light, owl employees seem to benefit more because they encounter greater misalignments between their internal clock and the externally controlled work time. Our model highlights how and when wearing blue-light-filtering glasses can help employees to live and work better." The findings appear in the paper, "The Effects of Blue-Light Filtration on Sleep and Work Outcomes," published online by the Journal of Applied Psychology. Guarana is the corresponding author; his co-authors are Christopher Barnes and Wei Jee Ong of the University of Washington. The research found that daily engagement and performance of tasks may be related to more underlying biological processes such as the circadian process. "Our research pushes the chronotype literature to consider the relationship between the timing of circadian processes and employees' performance," the researchers wrote. A good night's sleep not only benefits workers; it also helps their employers' bottom lines. "This study provides evidence of a very cost-effective means of improving employee sleep and work outcomes, and the implied return on investment is gigantic," said Barnes, professor of management and the Evert McCabe Endowed Fellow at the University of Washington's Foster School of Business. "I personally do not know of any other interventions that would be that powerful at that low of a cost." Across two studies, researcher collected data from 63 company managers and 67 call center representatives at Brazil-based offices for a U.S. multinational financial firm and measured task performance from clients. Participants were randomly chosen to test glasses that filtered blue light or those that were placebo glasses. "Employees are often required to work early mornings, which may lead to a misalignment between their internal clock and the externally controlled work time," the researchers said, adding that their analyses showed a general pattern that blue-light filtration can have a cumulative effect on key performance variables, at least in the short term. "Blue-light exposure should also be of concern to organizations," Guarana said. "The ubiquity of the phenomenon suggests that control of blue-light exposure may be a viable first step for organizations to protect the circadian cycles of their employees from disruption." Researchers received no financial support or compensation for this research. The glasses were donated by the Austin, Texas-based company Swanwick.
You might have heard of the beer distribution game. The idea is that a group of participants enact a four-stage supply chain scenario. Some take on the role of those at the point of origin in the supply chain – the upstream agents: manufacturers and distributors. Others role-play the downstream agents at the other end of the chain – the distributors and end-customers: in this case, let’s say the bar owners and beer drinkers. The goal is simple. All you have to do is produce, deliver and sell the beer to your customers, while keeping your costs on back orders and inventory to a minimum. This should be easy enough, in theory. The basic rules of economics suggest that customer demand dictates supply. In practice, however, things can get a little skewed. And this disconnect can happen fast. For a start, players have limited information. They can only see what’s in front of them – bits of paper with order numbers. And as they start to share this information with each other, all kinds of coordination issues arise. Things start to go wrong. Customer demand for X or Y kegs of beer is imperfectly relayed to the bar owner retailer, who in turn passes it on the other players upstream, but makes mistakes in doing so. The result is a kind of Chinese Whispers where confusion reigns, poor decisions are made about stock, too much or too little beer is manufactured or supplied. You end up with increased costs in the supply chain, and, not to mention thirsty beer drinkers. The beer game is just that – a game. But it represents a problem that is all too familiar to suppliers in most industries and sectors. It’s called the Bullwhip effect, and it’s a conundrum. “The Bullwhip effect is a real challenge for suppliers in every industry,” said Nikolay Osadchiy, associate professor of Information Systems & Operations Management at Goizueta Business School. “Because demand information gets distorted along the chain, suppliers can see a lot of volatility at their end which can translate into more inventory and drives up costs. It’s a really pressing issue that needs to be addressed.” Osadchiy and his colleagues Bill Schmidt from Cornell University and Jing Wu from the Chinese University of Hong Kong got to work researching the idea. First, they modeled a supply network based on 15 years of data from publicly traded companies across the globe. Second, they determined the ‘upstreamness’ that different firms had – or the positions they occupy – within that network. And third, they examined the demand distortion within each firm and measured demand variability across the different layers of the network to determine how they affect each other. The results of their work were all captured in the article attached below – the information was quite compelling and will greatly assist businesses as they plan their way through and after a globe-shifting event like COVID-19. It’s interesting material for sure – and if you are a journalist looking to know more about supply chains and how businesses will need to adapt in order to survive post-pandemic, then let our experts help with your questions and coverage. Nikolay Osadchiy is an Associate Professor of Information Systems & Operations Management at Emory University's Goizueta Business School. He is an acclaimed expert in the areas of supply chain management and how supply networks affect risk and operational performance. Nikolay is available to speak with media regarding this topic – simply click on his icon to arrange an interview today.
As the persistent turmoil of protests grips America on an almost daily basis, people are becoming more aware of issues, getting engaged and taking sides. Be it around the dinner table debating, marching in the streets or even arguing on a national news panel – topics like Black Lives Matter, masks during COVID, the upcoming election or a host of other hot-topic issues are all part of the American conversation these days. It’s easy and even healthy for people to debate the issues – but for a business to pick a side on a controversial topic, it’s a much different picture. One recent example was Nike’s support of NFL quarterback Colin Kaepernick. However, Nike also had the resources to bolster their support. They had a multi-million-dollar ad budget, a public relations machine generating hours of earned media – and the company was, for the most part playing to its core audience. Though there was push-back, Nike was rewarded with increased sales and its stock surged. For almost a decade now, Chick-fil-A has also boldly taken a stance with its opinion on gay marriage. The restaurant chain has faced mountains of negative press and protests, but the fast-food giant’s bottom lined never suffered. It still sees sales over 10 billion a year. For Nike and Chik-Fil-A and their deep pockets to wade into the fray with an opinion – it’s one thing, but for a small business to share how it feels, there’s a matter of weighing risk versus reward no matter how important the topic might be. “It may well be that it’s harder for entrepreneurs to create a viable business model for their venture in a more polarized context, says Giacomo Negro, a Professor of Organization & Management at Emory University’s Goizueta Business School. “If your business is more hybrid—if you’re supportive of a cause without being overtly affiliated with it—then it could be harder to engage other customers or clients who are uncomfortable doing business with a firm that is even vaguely linked to a specific social group or movement. Similarly, the core supporters of the cause can look at the same organization as not authentically engaged with them.” His findings certainly suggest that existing in a “gray zone,” where you take neither one side or the other, is a hard place for organizations to thrive in times of social change. “If protest activates the cultural boundary surrounding a group’s identity, then increasing protest participation will threaten the viability of precisely those organizations trying to engage inside and outside audiences,” Negro said. “At the same time, bridging inside and outside audiences also conveys a confusing identity and a more limited commitment to pursuing goals relevant to either audience.” With a global pandemic impacting all aspects of national and local economies – small businesses are under pressure to sustain and survive like never before. And if you are a journalist looking to cover the state of small businesses in America and whether or not small business has a role to play in protests and politics in America – then let our experts help with your coverage. Giacomo Negro is a Professor of Organization & Management at Emory University’s Goizueta Business School and is an expert in the area of economic sociology. His resent research study research study, “Which Side Are You On? The Divergent Effects of Protest Participation on Organizations Affiliated with Identity Groups’ focuses on this very subject. Professor Negro is available to speak with media about this topic – simply click on his icon to arrange an interview today.
MEDIA RELEASE: CAA MyPace™ pay-as-you-go auto insurance now available in Atlantic Canada
CAA MyPace™, Canada’s only pay-as-you-go auto insurance payment program, is now officially available to consumers in Nova Scotia. First announced in Ontario in May 2018 by CAA Insurance Company, the program puts choice and control back in the hands of consumers. CAA MyPace will become available to drivers on in New Brunswick on December 1, 2020 and in PEI on February 15, 2021. “CAA MyPace has been generating a great deal of interest in the market, and we’re excited to offer this new program to the Maritime provinces,” said Matthew Turack, president, CAA Insurance Company. “Drivers now have access to an insurance option designed to meet the needs of their individual lifestyles and puts choice and control back in their hands.” The program is ideal for those who are driving less amidst the COVID-19 pandemic, or the Monday to Friday public transit commuter who leaves their car at home, retirees who like to visit family on weekends, or any motorists that drives under 9,000 kilometres. Consumers in Nova Scotia can now get a quote for CAA MyPace through their insurance broker, or by visiting www.caamypace.com, by calling 1-877-552-5717 or visiting a CAA retail store.