Case | HBS Case Collection | August 2014

Reinventing Retail: ShopRunner's Network Bet

by Benjamin Edelman and Karen Webster

Abstract

ShopRunner considers adjustments to improve its online shopping service which offers no-charge two-day shipping as well as easy returns and other conveniences. Competitors' diverse pricing models and ancillary benefits raise questions about how to structure and price ShopRunner's offering. Meanwhile, an investment from Alibaba presents new opportunities in China but risks distraction from the core business.

Keywords: shopping club; coop; pricing; shipping; Marketing Channels; Global Strategy; Order Taking and Fulfillment; Information Technology Industry; Retail Industry; United States; China;

Citation:

Edelman, Benjamin, and Karen Webster. "Reinventing Retail: ShopRunner's Network Bet." Harvard Business School Case 915-002, August 2014. (request a courtesy copy.)