Effects of store loyalty on shopping mall loyalty

The key purpose of this paper is to bridge a research gap in shopping mall literature by investigating the relationship between store loyalty and shopping mall loyalty. The paper also examines the effects of perceived store value and store relationship commitment on store loyalty en-route to loyalty towards the shopping mall hosting the stores. The study shows that store loyalty influences shopping mall loyalty under certain conditions and that such an influence is moderated by the geographic distance between the consumer and the shopping mall. Further, the study found that distance has a moderating effect on the relationship between perceived store value and store loyalty, but not on the association between relationship commitment and store loyalty. The insights provided by this study offer academics, retailers and shopping mall managers a richer understanding of the relationships between store loyalty and its antecedents, customers' distance from the mall, and shopping mall loyalty.     

Relationship marketing management: Its importance in private label extension

Relationship marketing aims to generate long-term profitable relationships between partners. In the context of the convenience goods market, the present study considers private labels in traditional categories as a tool to develop effective relationships. The main contribution of the study is the use of the relationship approach to explain private label loyalty and the success of store brand extension strategies. Drawing upon a sample of 434 individual and using EQS software, this study shows that customer experience, satisfaction, trust, and commitment to private labels play an important role in customer loyalty toward private labels in convenience goods, increasing consumers' propensity to buy private labels in new categories such as durable goods. Generating trust and commitment, which ultimately result in loyalty, is therefore a strategic goal and a source of long-term profitability for retailers.     

Impacts of retail brand personality and self-congruity on store loyalty: The moderating role of gender

The present study was an effort to investigate the impacts of both retail brand personality and self-congruity, using them together in the same study, on store loyalty. Subsequently, this study explored the moderating role of gender in these relationships of retail brand personality and self-congruity with store loyalty. Questionnaire was used to collect data (n=355) using systematic sampling from department store shoppers of age 18 years and above in Kolkata, a metropolitan city of India. Multivariate data analysis techniques like exploratory factor analysis, structural equation modeling were used to analyse the data. Results revealed that both retail brand personality and self-congruity constructs have positive impacts on store loyalty and gender significantly moderates these impacts. Arguably, this paper is the first to examine the three constructs namely, retail brand personality, self-congruity and store loyalty using them together in the same model. Academic and managerial implications are further discussed.     

Enhancing value for Chinese shoppers: The contribution of store and customer characteristics

This study tested the relationships between store and customer characteristics with perceived value and customer loyalty in retailing in China. Survey data were collected from shoppers in department stores (n=200) and supermarkets (n=200) in the tier 2 coastal city of Tianjin. Data for each type of store were analysed separately using structural models. In supermarkets, value was predicted by quality and price, but for department stores, only the customer orientation of the store was significant, suggesting that customers seek different shopping experiences in each context. In each case, value mediated the links to loyalty and, for supermarkets, choice of merchandise and consumer time pressure demonstrated direct links to loyalty. The paper discusses the implications of the findings, and concludes with possible future research.     

First-Store Loyalty and Retention

Stores prosper when customers give them a high share of their spending (share loyalty) and retain them over long periods (retention). We investigate share loyalty by measuring the percentage of the customer's spending in their first store. Retention is measured as first-store retention over a period of 21 months. We study the association between these two forms of loyalty both directly and, by examining their correlates, indirectly.

We find that first-store loyalty and retention are positively related but have only two correlates, brand loyalty and attitude to the store, in common. Several factors are correlated with only one form of loyalty. Store retention is particularly related to the accessibility of the store; approximately half of the reasons given for defection are related to store access. Specific age-income segments may have high first-store loyalty but low retention and practitioners can use this evidence in their choice of target segments.

Store loyalty is explained as the outcome of several customer processes: as a 'time-saver' effect – a rational allocation of effort given available time and money, control by the environment, attitude to the store and a propensity for routine. The first was not well supported; there was evidence in favour of the last three.     

Emotional loyalty and share of wallet: A contingency approach

The purpose of this study is to investigate whether three demographic (age, income, and education) and two situational (relationship duration and product type) customer characteristics moderate the relationship between emotional loyalty and share of wallet. In so doing, this study explicitly examines the extent to which results diverge when using share of wallet versus conative loyalty (i.e., behavioral intentions) as the dependent measure. Data from a sample of US store shoppers (n=604) indicate that education, relationship duration, and product type moderate the effect of emotional loyalty on share of wallet but not on conative loyalty. Implications for retailers are discussed with suggestions for future research.     

A framework for SME retail branding

Abstract

It has become increasingly important for small to medium sized enterprise (SME) retailers to stand out in the current marketplace. Branding in SMEs is a growing area of academic interest, although the majority of studies have been based in the manufacturing sector. This study seeks to develop a framework of the characteristics, processes and dynamics of SME retailers. A qualitative research study was carried out with SME owner managers (OMs) over a period of 15 months. The findings extend the understanding of branding in SMEs in a number of ways. Firstly, it is found that SME retailers take a cautious approach to brand management, seeking to build loyalty, networks and relationships. Secondly, the holistic nature of SME retail branding presents a challenge to OMs who are resource-constrained. Thirdly, the soft, colloquial and intuitive approaches to brand equity appraisal are evident. Brand marketing is focused on word of mouth, which has implications for how OMs operationalise the brand around store experiences. Finally, the influence of the OM on branding decisions is clear. The key findings are discussed in relation to the retail context of the study, the centricity of the OMs in SME branding and entrepreneurial brand management.     

Store equity: reformulation of store equity dimensions

ABSTRACT

With the growing importance of retailers and the realization that brands are among retailers’ most valuable assets, store equity has become a management priority. Store equity has been recognized as a key element that helps retailers build a sustainable competitive advantage. In this context, this study presents a conceptual model of store equity and identifies key dimensions that contribute to its formation. A comprehensive review of studies within the area of store equity was conducted to compare and analyze the dimensions of store equity as discussed in the existing literature. The findings show that store equity consists of two main dimensions: store awareness and store image, which comprises merchandise, atmosphere, and convenience. In addition, important areas for future research on store equity and related topics are highlighted.     

Does a Consumer’s Religion Really Matter in the Buyer–Seller Dyad? An Empirical Study Examining the Relationship Between Consumer Religious Commitment,Christian Conservatism and the Ethical Judgment of a Seller’s Controversial Business Decision

Religion is an important cultural and individual difference variable. Yet, despite its obvious importance in consumers’ lives, religion in the United States has been under-researched. This study addresses that gap in the literature and investigates the influence of consumer religion in the buyer–seller dyad. Specifically, this study examines the influence of consumer religious commitment and a Christian consumer’s conservative beliefs in the United States on store loyalty when retailers make business decisions which are potentially reli- gious objectionable. This study uses structural equation modeling and applies Anderson and Gerbing’s (Psychol Bull 103(3):411–423, 1988) two-step approach to exam- ine data obtained from a national sample of 531 consumers. The results from this study suggest that consumers evaluate seller’s actions and form ethical judgments. These judgments are a major explanatory variable in consumer store loyalty intentions.     

Relationship and Market Conditions: Outcomes in Marketing Channels

Purpose: In today's highly competitive business environment, many organizations are tending to reduce the number of suppliers to focus on establishing stable and close relationships with a small number of them. The study here analyzes the influence of both market and relationship conditions on trust, commitment, and customer loyalty.

Methodology/Approach: Empirical research was conducted by collecting information from a sample of 304 retailers. A structural equations model is estimated.

Findings: Results support a positive influence of relationship value on trust and, in turn, on long-term orientation and commitment, with the latter as a strong antecedent of customer loyalty. In contrast, dependence on the main supplier does not seem to exert a significant effect on long-term orientation and commitment.

Originality/Value/Contribution: The evidence suggests that relationship conditions are important for creating value in B2B settings. Results shed additional light on the process of calculating, creating and claiming value.     

The Role of Retail Equity,Value and Relational Benefits in Building B2B Relationships in Retailing

Abstract

The present paper aims to examine if variables widely studied in B2C contribute to building strong relationships in B2B markets. Moreover, it analyzes the existence of differences across retailers related to percentage of purchases from the main supplier. Through a personal survey to retail store managers regarding their relationships with their main suppliers, a structural equation model is estimated through PLS to test the hypothesized relations between retail equity, value, relational benefits, trust, and commitment. A multi-group analysis is performed to test the moderating role of the percentage of purchases from the main supplier. Three types of relational benefits identified have unequal influence on relationship value. In particular, special treatment benefits and social benefits, together with retail equity, emerge as the main drivers of value in the relationship between retailers and their main suppliers. The percentage of purchases from the main supplier plays a moderating role in some of these relations. This research provides evidence in the sense that, in the relations held by retailers with their main suppliers, retail equity contributes to relationship value creation. Relational benefits are relevant in building B2B relations since special treatment and social benefits have a positive influence on value that is positively related to trust and commitment. To build strong relations with their customers, suppliers of retailers should mainly concentrate their efforts on building brand equity and providing evidence of the existence of special treatment benefits beyond the service delivered, in view of its ultimate influence on customer trust and commitment.     

Performance implications of store format diversification for international retailers

Abstract

International retailers face formidable tasks in trying to replicate, or improve upon, their home country success abroad. Their market-seeking efforts sometimes require strategic diversifications of their store format portfolios capable of serving customers in different host countries. In this study, we examine whether the degree of store format diversification helps improve the performance of international retailers. We also assess the possible moderating effects of three factors—internationalization speed, political distance, and cultural distance—on this relationship. Utilizing 2001–2015 panel data for 19 retailers originating from several home countries and operating in multiple host countries, we employ a fixed effects model to examine the hypothesized relationships. Our results show that the performance of international retailers is influenced negatively by store format diversification. This relationship is moderated by internationalization speed and political distance, but not by cultural distance.     

Brand Loyalty Versus Store Loyalty: Consumers’ Role in Determining Dependence Structure of Supplier–Retailer Dyads

Purpose: This article aims to integrate consumers into a channel dependence framework and explores the influence of consumers’ brand loyalty and store loyalty on the dependence structure within the supplier–retailer relationship. It also examines effects of the dependence structure on perceived conflict.

Methodology/approach: The authors test the proposed triadic relationship model among department store, supplier, and consumer by collecting matched data from both retailers and consumers in a Chinese retailing channel of sports and leisure apparel. Polynomial regression in conjunction with a response surface analysis (RSA) approach is used to test the hypotheses.

Findings: The results indicate that consumers’ brand loyalty positively affects retailer’s dependence on supplier, while consumers’ store loyalty positively affects supplier’s dependence on retailer. In addition, the retailer’s dependence is higher when consumers’ brand loyalty is higher than store loyalty; the supplier’s dependence is higher when consumers’ store loyalty is higher than brand loyalty; and the retailer’s dependence increases with the increase of both consumers’ brand and store loyalty when consumers’ brand and store loyalty are equal. Moreover, supplier’s dependence has a negative linear effect on retailer’s perceived conflict, whereas retailer’s dependence has an inverted U-shape effect on perceived conflict. A retailer would perceive more conflict when the retailer is relatively more dependent on the supplier; but the symmetrical interdependence has no significant effect on retailer perceived conflict.

Research implications: Researchers are encouraged to explore channel behaviors from a network perspective. Consumers, in particular, should be included in research frameworks related to channel dependence and behaviors. Suggestions for further research on the effects of dependence on the conflict are also proposed.

Originality/value/contribution: This study goes beyond the dyadic paradigm by integrating consumers into the framework of the channel dependence structure. It develops and tests a mechanism of consumers’ brand and store loyalty influencing dependence structure within a supplier–retailer dyad. It also enriches the literature of channel conflict by exploring the effects of retailer and supplier unilateral dependence on retailer perceived conflict with RSA methods.

Practical implications: The article provides several insightful implications for managers in understanding and managing interdependence structure in business-to-business marketing, especially in supplier–retailer relationships.     

An Investigation of Attitude Toward the Brand,Commitment, and True Brand Loyalty in a Cross-Cultural Context

Abstract

This study utilized data from two geographically separated cultures to investigate relationships involving antecedents to true brand loyalty. A relationship between the consumer's attitude toward the brand and a measure of expressed commitment was found to explain a significant percentage of the variance in commitment. A relationship between commitment and true brand loyalty also was found significant. Both relationships vary somewhat by product and culture. No evidence was found, however, suggesting that they could not be considered generalizable. The underlying components of brand attitude were found to vary by product and country. The culturally related differences-espe-cially those pertaining to the composition and meaning of the underlying components-have interesting managerial implications.     

Reciprocal Effects of the Corporate Reputation and Store Equity of Retailers

Retailers aim to strengthen their ability to influence consumer behavior by building corporate reputation and store equity: for instance, by making promotional investments. However, little is known about the directionality of consumers’ corporate and store associations, that is, how reciprocal relationships between consumers’ perceptions of corporate reputation and store equity affect store loyalty. To illuminate this issue, we draw upon a study with a cross-sectional design and two studies with longitudinal designs. We find that retail store equity interacts with corporate reputation and is a more important driver of increased loyalty than corporate reputation. We conclude that retailers should pay attention to reciprocal effects, especially in determining the relative allocation of investments across corporate and store levels.     

Investigating Aspects of Customer Satisfaction at the C-Store: The C-Store Product Mix and Image

ABSTRACT

A recent investigation into the convenience store (c-store) product mix called for further research into c-store customers' preferences for additional product offerings and non-c-store shoppers' reasons for not patronizing a c-store. This paper answers that call by investigating a cross-section of c-store customers to identify their perceptions of product offerings to expand the c-store's product mix and in turn increase customer satisfaction. In addition, this study explores c-store non-users' perceptions of the c-store image to understand why they do not patronize c-stores. Fourteen products were examined. Of the fourteen, only one was rated very likely to be purchased: postal services. The top three reasons provided for not patronizing a c-store were (1) inconvenient location, (2) high prices and (3) loyalty to other retailers. Suggestions for future research are provided.     

Polygamous Store Loyalties: An Empirical Investigation

Grocery store loyalty has been traditionally viewed as a trait of consumers toward a particular store for their overall shopping needs. In this study, we argue that store loyalty shall be regarded as category specific trait, that is, a consumer could be loyal to store A in category one while at the same time be loyal to store B in category two. We name this consumer behavior polygamous store loyalties.We use an in-home scanning panel dataset that tracks purchases of 1,321 households in 284 grocery categories across fourteen retail chains over a 53-week period in a large US market. First, we provide model free evidence of polygamous store loyalties in the data, even though the overall store loyalty based on the traditional view is low. Next, we propose a model to separate category specific effects from overall store level effects. Finally, we discuss how retailers can use the results to gain a new perspective on store attractiveness to improve overall store patronage.     

Small-independent retailers vs. organized retailers: An empirical study in Indonesian economics of service industries

This paper explores the influence of strategic planning and functional-business strategy in helping small-independent retailers/traditional retailers to survive amidst the competition with organized retailers. Based on cross-sectional survey research, this study illustrates the influence of strategic planning and functional-business strategy to retailer–supplier relationship, consumer loyalty program, and retailer performance. In order to clarify the relationships among these constructs, a structural equation model (SEM) is employed to examine the model fit and the five hypotheses. The results show that strategic planning is critical for small independent retailers due to its influence on the retailer–supplier relationship and consumer loyalty program. Besides, consumer loyalty program is also influenced by functional-business strategy. The retailer–supplier relationship and consumer loyalty program exhibits a positive influence on the small-independent retailer performance. The research supports the existence of a more complex that the consumer loyalty program fully mediates the relationships between strategic planning and functional-business strategy on retail performance. Moreover, the retailer–supplier relationship fully mediates the relationship between strategic planning and small retailer performance. These findings constitute a new contribution to the literature on small retailer research streams through the development of cross category relationships such as strategy, buyer behavior, and structure categories. Besides, this study can enhance the strategic management as well as the performance of small-independent retailers to achieve sustainable competitive advantage.     

Customer Loyalty and Privacy on the Web

ABSTRACT

This study examines from simulation the effects of the privacy sensitivity of customers, the personalization practices or standards of retailers and the difficulty in locating favorable sites on the loyalty of consumers to a Web site. The key finding of the study is that customer privacy sensitivity is a critical success factor that significantly impacts loyalty to a retailer. Customers have higher loyalty to sites that request the least information, while they have lower loyalty to sites that request the most information. Web retailers considering expanded personalization of products or services to customers, through increased personal information, need to rethink their practices. The study also found that difficulty in locating a favorable site is a success factor that impacts retailer loyalty, and that customers have higher loyalty to difficult to locate favorable sites on the Web. These findings are important at a time when consumers are empowered with Web technology to immediately shop competitor sites.     

The Influence of Store Image on Store Loyalty in Hong Kong's Quick Service Restaurant Industry

ABSTRACT

Studies considering links between store image and store loyalty, especially in an Asian context, are sparse. This article explores the relationship between store image and store loyalty in the Hong Kong fast-food industry. A survey of 200 users of fast-food restaurants revealed that functional attributes of store image are more accurate than psychological attributes when predicting the degree of store loyalty. Functional attributes of particular importance are waiting time for a seat, store environment and store location. However, some psychological attributes have an influence on store loyalty. Furthermore, the findings show that the more favorable the store image, the more likely consumers are to consume in a particular restaurant.