Segmenting consumer decision-making styles (CDMS) toward marketing practice: A partial least squares (PLS) path modeling approach

The way consumers make decisions across online and offline channels according to their perceptions of retailers׳ marketing practices is not well understood in the current literature. A few empirical studies have examined consumer decision-making styles (CDMS) and marketing practice among online and shopping mall consumers. This research endeavors to understand CDMS as market segments on the perception of marketing practice across retail channels. A total of 315 online and paper–pencil-questionnaires were collected to conduct the statistical analysis for the measurement and structural model using the partial least squares (PLS) path modeling approach, a structural equation modeling (SEM) technique. Six consumers׳ characteristics–perfectionist, brand consciousness, price conscious, fashion conscious, recreational and impulsive shoppers–were assessed in respect of retail products, price, advertising and retailing across-channels. The study contributes to retailing management by enabling it to implement effective retail segmentation and cross-channel strategy according to CDMS. The study limitations and implications are discussed.     

Satisfaction of mall shoppers: A study on perceived utilitarian and hedonic shopping values

Declining consumer footfall and diminishing sales in Indian metro cities have guided the expansion of malls in cities of central India. Shoppers of these cities are unfamiliar with the mall concept and have limited exposure of shopping values in the past. The present research focused on the influence of utilitarian and hedonic shopping values on satisfaction of mall shoppers of central India Bhopal by establishing a proposed research framework based on 288 responses from two shopping malls, using utilitarian and hedonic dimensions of shopping values. Confirmatory factor analysis and structural equation modeling (SEM) are used to analyze and validate the proposed research framework. The result supports the relationship between shopping values and customer satisfaction, where both the shopping values show positive significant influences on customer satisfaction. Therefore this research paper would help mall owners to focus on these shopping values effectively and efficiently while planning malls in central India for gaining competitive advantage, attracting new customer and hold their profitable customers by enhancing customer satisfaction with shopping values in the current retail scenario.     

Influence of hedonic and utilitarian motivations on retailer loyalty and purchase intention: a facebook perspective

Social networks are an innovative tool that people use to communicate with family, friends and, increasingly, businesses. To optimize social networks as a marketing strategy, apparel retailers must understand consumers׳ motivations to interact with retailers via social media. We argue consumers׳ motivations for shopping on Retail Facebook Pages (RFP) compared to traditional retail formats may differ. The purpose of the study was to examine the influence of utilitarian and hedonic motivations (i.e., time savings, information access, bargain perception, and experiential shopping) on purchase intention and loyalty among consumers that use RFP. Using SEM, we show that experiential shopping influences loyalty, but not purchase intention, that bargain perception influences neither purchase intention nor loyalty, that information access influences time savings and loyalty, and that loyalty impacts purchase intention.     

Values,socially conscious behaviour and consumption emotions as predictors of Canadians’ intent to buy fair trade products

Over the last two decades, a growing concern about ethical behaviour has been observed among consumers. Ethically minded consumers are more inclined towards the consumption of ethical goods, such as green products and fair trade (hereafter, ‘FT’) products, organic products and local products. Establishing the motives that predict FT consumption behaviour provides ground for understanding how consumers make purchase decisions. This research postulates that the intention of buying FT products is influenced by socially conscious behaviour, consumers’ values and emotions. The study, conducted among 268 Canadian consumers, shows that the high intention of buying FT products is linked to high levels of pride, enthusiasm, satisfaction, happiness and joy related to FT product consumption. The FT consumption experience provides consumers with hedonic gratification. It shows that the higher the levels of self‐centred, equality and social justice values are, the higher the intention of buying FT products. An increase in socially conscious behaviour generates an increase in intention of purchasing FT products. The research contributes to a preliminary analysis of the role of emotions in this field and calls for the development of cognitive‐affective models of purchase and consumption behaviour. Understanding the dimensions of hedonic values and the significance of pleasure experience is essential to the development of the theory and practices of FT consumption.     

Chinese consumer decision-making styles: A comparison between the coastal and inland regions

China is rapidly becoming an important market for consumer goods, but relatively little is known about variations in consumer shopping patterns in different regions of China. We employ a cultural materialism perspective in understanding decision-making styles of inland and coastal shoppers. Our findings reveal that consumers in the two regional markets do not differ in utilitarian shopping styles but they do in hedonic shopping styles. Marketers need to understand these differences to be able to market effectively to consumers in different regional markets within China.     

The low effect of perceived risk in the relation between hedonic values and purchase intention

ABSTRACT

This research seeks to identify the influence of perceived risk in the purchase intention environment regarding innovative technological products, and also to understand how brand trust reduces the expected impact of this risk due to the hedonic and utilitarian characteristics influencing purchase intention. Quantitative research was carried out and analysed through structural equation modelling, where the influence of perceived risk on utilitarian value and purchase intention was identified, as well as the influence of brand trust in reducing this risk. The conceptual implications of the study describe as the perceived risk moderates hedonic features less compared to utilitarian features regarding purchase intention, thus demonstrating that emotional relationships are less affected by this risk. The managerial implications suggest that devices with utilitarian characteristics should be more carefully planned according to their brand and complexity, while hedonic products do not require brand trust to guarantee consumers’ purchase intention in the current innovative scenario.     

Different Effects of Utilitarian and Hedonic Benefits of Retail Food Packaging on Perceived Product Quality and Purchase Intention

Since consumers primarily make in-store purchase decisions, firms use product packaging to attract potential consumers. Ever-increasing market competition in many food product industries has further fueled this phenomenon in firms. However, the question of how retail food packaging affects consumer processes has received very little attention. This study investigates the benefits of food packaging on consumer responses to hedonic products by comparing different benefits (i.e., utilitarian and hedonic) of food packaging to understand which one has more impact on consumers’ perceived quality and purchase intention. The results show that both utilitarian and hedonic benefits of retail food packaging are critical predictors of consumer evaluations but play different important roles in determining customers’ reactions. Utilitarian benefits of food packaging impact perceived quality more than hedonic benefits do. Compared to utilitarian benefits, hedonic benefits of retail food packaging have more impact on consumer purchase intention.     

An Investigation of Decision‐Making Styles of Consumers in China

This study investigates Chinese consumers' decision‐making styles. The Consumer Style Inventory (CSI) is administered to 387 adult consumers in China. Both an exploratory factor analysis and a confirmatory factor analysis are adopted to validate the CSI inventory. This results in an eighteen‐item and seven‐factor solution. Findings indicate that five decision‐making styles are valid and reliable in Chinese culture: perfectionistic, novelty‐fashion conscious, recreational, price conscious, and confused by overchoice. Cluster analysis is employed to identify prominent market segments. Based on the findings, three segments are formed: trendy and perfectionistic consumer, traditional and pragmatic consumer, as well as confused by overchoice consumer. Marketing and management implications are discussed.     

Exploring the impact of the physical conditions of mannequin displays on mental simulation: An embodied cognition theory perspective

This study examines how mannequins' physical conditions of display height and distance are related to consumers’ shopping motivations in generating mental simulation resulting in purchase intention. A 2 × 2 x 2 between-subjects lab experiment (n = 249) was conducted to address this question. The results reveal a significant three-way interaction effect of display height, distance, and shopping motivation. Specifically, it is found that for those with a dominant hedonic shopping motivation, a mannequin displayed up high generates greater mental simulation than one displayed down low, but for those with a dominant utilitarian shopping motivation, a mannequin displayed high and close to consumers generates greater mental simulation than one displayed low and close to them. This study also reveals that mental simulation mediates the influence of the interaction effect of “display height x distance,” moderated by shopping motivation, on purchase intention. Important theoretical and practical implications for retail managers are discussed.     

The effects of mall renovation on shopping values,satisfaction and spending behaviour

Managers renovate malls to keep up with newer shopping centres and retail formats that erode traffic. This paper investigates shoppers׳ psychological processes that trigger changes in spending behaviour in the renovated mall. Renovation has a direct impact on the perception of the mall atmosphere and an indirect one on shoppers׳ hedonic and utilitarian values, satisfaction, and spending. Renovation affects shoppers׳ spending through the perception of utilitarian shopping benefits.This study is the first of its kind to explore the effects of mall renovation on shoppers׳ spending. It focuses on the effect of renovations on shoppers׳ holistic perception of the mall atmosphere. The hedonic benefit contributes more to shoppers׳ satisfaction than does the utilitarian value. However, the utilitarian value affects shoppers׳ spending while the hedonic value does not.     

Examining the effect of flow experience on online purchase: A novel approach to the flow theory based on hedonic and utilitarian value

The literature indicate that when flow is approached as unidimensional, its effects on online purchase intention are always positively significant, however the results of the studies where the flow is approached as a multidimensional level, is far from indicating a general tendency. The inconsistent results appeared in the literature are regarded as a result of overlooking both the utilitarian and hedonic significance of research context and the hedonic and utilitarian characteristics of the flow's sub-dimensions. In this direction, the effects of flow on online purchase intention are examined upon consideration of those two factors. Research's data were gathered via e-mail survey from an online shopping website's database. A total of 490 samples obtained in this study were analyzed with structural equation modeling. The results indicates that the flow's most valuable antecedent is feedback in the context of online purchase. The dimensions of “enjoyment”, “perceived control” and “merging of action and awareness” has positive and time distortion has negative significant effects on online purchase intention. However, no significant effects of the concentration and curiosity on online purchase intention were determined.     

Billion Dollar Baby: Local Foods and U.S. Grocery

This study reviews consumer purchasing of locally produced foods in retail grocery stores. A U.S. sample of 590 consumers was drawn via an online survey, with structural equation modeling used to assess hypothesized relationships of attitude, subjective norms, perceived behavioral control, intention to purchase, extent of purchase, and the moderating effects of shopping channel type. Results from structural model testing suggested that all hypothesized relationships except that of purchase intention and extent of purchase were found to be significant, with group differences existing between supercenters/warehouses and farmers’ market shopping channels. Implications and future research directions are provided.     

National versus private brand: A regulatory focus perspective

Why do consumers choose a private versus national brand? A between-subjects factorial design was used to address this question in two product categories: shampoo and athletic shoes. Three determining factors were used—regulatory focus: promotion versus prevention; brand types: national versus private; and attribute framing: hedonic versus utilitarian—to predict consumer attitude towards the brand, its ad, and purchase intention. The results provide support for the interactions between regulatory focus and attribute framing for shampoo, and between regulatory focus and brand types for shoes. When exposed to shampoo ads, promotion focused consumers have a more positive attitude toward the ad and a higher purchase intention if the ad features utilitarian rather than hedonic attributes. Further, both promotion and prevention focused consumers prefer national brands of shoes to private labels. One possible explanation may lie in private versus public consumption of shampoo and shoes.     

网上购物意图影响因素实证研究

理解消费者网上购物行为是发展网上购物的前提。本文在对前人研究成果进行回顾和总结的基础上,扩展了相关理论,提出了网上购物意图影响因素理论模型。运用自中国网上消费者的调研数据,使用结构方程模型验证了感知使用方便、感知效用、信任和感知风险等前因变量都显著地影响网上购物态度,购买态度决定购买意图,感知风险的中介效应获得数据支持,并证实了网上消费者的双重使用和购买特征,初步厘清了变量之间复杂的因果关系。     

Consumer decision-making styles,involvement, and the intention to participate in online group buying

Recent studies have demonstrated the relevance of consumer decision-making styles and consumer involvement as crucial constructs in understanding online group buying, but none has analyzed their collective impact. This study tests consumer involvement as the mediator in the relationship between consumer intention to participate in online group buying and their decision-making styles. The results show that involvement significantly mediates the relationships between the recreational, hedonistic; price-conscious; habitual, brand loyal; and the confused by over-choice consumer decision-making styles and their intention to participate. Interestingly, the novelty-fashion conscious decision-making style shows a significant direct effect but no mediation through involvement. The study makes substantive contributions toward the online consumer behavior literature and website management. We suggest that website managers maintain consumer involvement at a high level and consider consumer decision-making styles when addressing potential visitors and converting them into buyers. The study describes limitations and implications for future research.     

The impact of customer experience on consumer purchase intention in cross-border E-commerce——Taking network structural embeddedness as mediator variable

This study investigates the mediator effect of network structural embeddedness between customer experience and consumer purchase intention in the context of cross-border e-commerce. 321 copies of online questionnaires unfold cross-border online shopping experience. The structural equation model is built to analyze the mediator effect of network structural embeddedness. Network density, Network centrality separately plays a mediating role between website ease of use, website relationship service and consumer purchase intention. In contrast, both of them play a mediating role between customer cost and consumer purchase intention. The research suggests developing the relationship between consumers and e-commerce websites for cross-border e-commerce platforms from a network standpoint, but not only marketing.     

How does shopping duration evolve and influence buying behavior? The role of marketing and shopping environment

This study investigates how promotional activities, mall size, and past shopping experiences affect customer shopping duration, and elucidates how shopping duration induces immediate, transient, and long-term effects on customer decisions of whether and how much to buy in the offline shopping mall format. We simultaneously model purchase incidence, purchase amount, and shopping duration to examine empirically the constructs’ dynamic impacts. The proposed model is calibrated using six-year-long transaction data of 43,326 customers that patronize malls operated by a large retail firm. The results reveal that shopping duration leads to an immediate increase in the amount spent by customers in a given period. The transient effects of shopping duration on purchase incidence and amount are significantly positive. However, in the long term, while purchase frequency appears to increase with cumulative shopping duration, purchase amount is negatively affected. Further, shopping duration increases with the size of the mall visited and the level of promotion but tends to converge to a lower level in the long term. Managerial implications for effectively managing customer experience are discussed.     

The relationships among family and social interaction,loneliness, mall shopping motivation,and mall spending of older consumers

The study implemented 419 mall‐intercept interviews with people who are 55 or older in large malls in three metropolitan cities in the United States. The five subdimensions of mall‐shopping motivation of older consumers were identified under two dimensions: Consumption‐oriented mall‐shopping motivation (service consumption, value consumption, and eating) and experiential mall‐shopping motivation (diversion and aesthetic appreciation). The structural model revealed significant effects of social interaction, loneliness, and mall‐shopping motivations on mall spending. Outcomes suggest that a mall can be a place to reduce older consumers' loneliness and that retailers in the mall can attract and make older consumers spend more by emphasizing value consumption and service consumption. Results also provide the implication for mall developers that providing more experiential features and events in malls may attract more older consumers. © 2005 Wiley Periodicals, Inc.     

Satisfaction,loyalty and repatronage intentions: Role of hedonic shopping values

Today the Indian traditional retail shopper visiting various hypermarkets formats for purchasing and enjoying their valuable time with their family members and friends, as these formats offer hedonic shopping values. Therefore, this research paper focused on hypermarket shoppers of central India and the main objective of this study is to identify the role of hedonic shopping values on creation of satisfaction, loyalty and repatronage intentions with the help of proposed research framework based on 329 responses. Confirmatory factor analysis and structural equation modeling (SEM) is use to analyze and validate the proposed research framework. The result supports the relationship between hedonic shopping values with customer satisfaction, loyalty and repatronage intentions. The study also demonstrate the moderating role of gender on these relationship, which shows that both male and female consumer have different level of shopping behavior when it comes to see the influence of hedonic shopping values. Therefore, this research paper would help hypermarket retailers to design their retail store environment more attractively to maintain the optimum customer satisfaction level that enhance the loyalty and repatronage intentions in the customer in this current competitive retail scenario.     

Shopping with the resale value in mind: A study on second‐hand luxury consumers

The market for second‐hand luxury products is growing and the variety of available sales channels has increased; consumers can buy second‐hand luxury goods not only from brick‐and‐mortar stores but also from a myriad of both global and local online channels. Arguably, the increase in available sales channels has changed consumers’ purchasing behaviour as the roles between sellers and buyers are alternating as one can act as a buyer one day and a seller the next. However, prior research on luxury consumption has mainly focused on brand‐new luxury goods, largely neglecting the consumption of previously‐used luxury products and has not accounted for the multi‐channel shopping environment. The purpose of this paper is to understand how consumers mentally approach the purchase of second‐hand luxury products and what kinds of decision‐making styles they use. The empirical interview data of 22 consumers was analysed by the means of shopping style dimensions that account for both consumer characteristics and external shopping conditions. The interviewees were members of a Facebook buy and sell ‐group focused on luxury products and had recently bought a second‐hand luxury product. All the existing dimensions were evident in the data but an additional dimension was also identified: resale value consciousness. The new dimension emphasizes an investment‐led and price‐quality conscious shopping style but was also found to relate to impulse buying and brand consciousness. The emergence of the dimension is argued to be due to the increase in viable online sales channels for second‐hand luxury products.