Interformat competition in the grocery retailing |
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| Institution: | 1. Department of Marketing, CERS—Centre for Relationship Marketing and Service, Management, Hanken School of Economics, Vaasa, Finland;2. Department of Marketing, CERS—Centre for Relationship Marketing and Service, Management, Hanken School of Economics, Helsinki, Finland;3. Associate to Hanken School of Economics, Helsinki, Finland;1. Audencia Nantes, School of Management (Audencia – PRES LUNAM), Research Center in Marketing & Distribution In Situ, 8 Route de la Jonelière, BP 31222, 44312 Nantes Cedex 3, France;2. IUT de Saint-Nazaire, LEMNA, 58 Rue Michel-Ange, BP 420, 44600 Saint Nazaire, France;1. Macquarie University, Sydney, NSW 2109, Australia;2. Seoul National University (SNU), Seoul, South Korea |
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| Abstract: | In the last few years, we have seen significant changes in the Italian retail environment which suggest that the patterns of retailing competition are more complex than in the past. In order to expand their target market in a context of economic recession, retailers are implementing new strategies aimed to stimulate the switching between different store formats. As a result, store formats are getting similar and new "hybrid" formats are emerging.This paper investigates the interformat competition between grocery store formats in the Italian retail market in order to understand which formats are converging and which, otherwise, are maintaining their distinctiveness. Our findings show that the rivalry between store formats (interformat) is becoming more intense than the competition within store formats (intraformat). These results have significant implication on both retailers and trade marketing strategies. |
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| Keywords: | Interformat competition Intraformat competition Competitive convergence Grocery Retailing Consumer perceptions |
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