Shopping Behavior and Evaluation of Store Features: Perspectives from a Food Market in the Arabian Peninsula

ABSTRACT

Globally, the food retailing industry is seen as most dynamic and rapidly changing. In this paper we investigate the shopping behavior of shoppers in Saudi Arabia, the largest retail market in Arabian Peninsula. Using empirical research, this paper examines factors influencing shopping decisions and the attitude toward shopping of shoppers in Saudi Arabia. Comparisons based on demographic factors are also discussed. The article discusses the findings and makes recommendations to retail store management. Future research directions are also suggested.     

Retail planning policy and large grocery store development: A case study in South Wales

Summary

This paper describes and evaluates the recent history of large grocery store development within the four counties of Industrial South Wales. After a discussion of major grocery companies’ programmes of store development, the timing and location of the 26 large stores opened in Industrial South Wales between 1972 and 1986 are described. The paper then analyses Structure Plan policies for large store development in the four counties, and compares the locational pattern of stores developed during the 1980s with that proposed in the Structure Plans themselves. Discrepancies between actual and proposed categories of store location are shown to reflect the more liberal planning policies of the Welsh Office, and of some District Councils. Finally, some conclusions are drawn relating to wider aspects of the planning control of retail development.     

Valuing Food Store Access: Policy Implications for the Food Stamp Program

Food stamp recipients may lack access to larger stores, reducing the availability of nutritious food. Reliance on smaller stores may have undesirable impacts. Policy alternatives include limiting food stamp redemption to larger stores and subsidizing store development. I estimate that limiting redemption to supermarkets and grocery stores, or supermarkets alone, results in losses ranging from $499.2 million to $1.05 billion, or $1.17 billion to $2.44 billion (respectively) annual loss in food stamp recipient welfare nationwide. The impact of improving access is also significant, ranging from $333.6 million to $931.2 million.     

Effect of Consumers’ Personality on Store Brand Choice in Grocery Stores: Insights from France and Germany

Abstract

Consumers’ personality can influence choice behavior. Considering disparities between food store brand market shares across countries, we investigate the impact of personality on food store brand decision making. We carried out two non-hypothetical choice experiments for milk, ice-cream, and cereal, one in France and one in Germany for a total of N?=?505 participants. Results show that in France neurotic and in Germany conscientious consumers purchase significantly less store brands for the food items in question. This study contributes to the literature by providing evidence that both, personality and country-effects, influence consumer food choice behavior and serve as a motivating factor for multi-category purchases of grocery store brands.     

Marketing Premium Food Products in Emerging Economies

Abstract

Developing branded food products, that signal higher standards, presents a challenge to processors in newly emerging markets. Many studies have been conducted to learn about consumer awareness and willingness to pay for higher quality products with particular attention to local origin, organic, or environmentally friendly products in developed countries. This study focuses on attributes that may increase demand for domestic cheese in Macedonia. We find the willingness to pay to premiums for higher quality, taste, consistency and certified “safe” cheese is relatively high, and with respect to determining target markets, income, region, shopping behavior and various other demographics all help to delineate potential consumers of premium cheese.     

Supermarkets and Consumers in Africa

Abstract

Supermarkets in urban Kenya have risen from a tiny niche a half decade ago to a fifth of food retail, spreading well beyond the richer consumers to derive more than a third of their sales and half of their customers from low income and poor consumers. This paper explores the patterns and determinants of purchases of the overall food category versus fresh fruits and vegetables, over Nairobi consumer income strata, for purchases from supermarkets versus traditional retailers. Implications are drawn for development programs to help farmers be strategically positioned for change in the food markets facing them.     

Characteristics of a Unique Market Segment

Modified grocery shopping and consumption behaviors have been recent outcomes of consumers' changing attitudes toward food and nutrition. This article identifies a unique segment important to grocery retailers- shoppers who purchase and consume greater varieties of fresh fruit. These consumers are shown to differ from other consumers in their food shopping and preparation attitudes, fruit and grocery expenditures, and their demographics. Opportunities for adapting fresh fruit product offerings, promotions, and services to this segment are explored.     

The Effect of Wal-Mart Supercenters on Grocery Prices in New England

The competitive price effect of Wal-Mart Supercenters on national brand and private label grocery prices in New England is examined. We use primary price data collected on several identical products from six Supercenters in Massachusetts, Connecticut, and Rhode Island and from conventional supermarkets. Taking into account demographics, store characteristics, and market conditions, we show that Wal-Mart decreases prices by 6 to 7% for national brand goods and by 3 to 8% for private label goods. Price decreases are most significant in the dry grocery and dairy departments. Moreover, Wal-Mart sets grocery prices significantly lower than its competitors.     

Relational,Functional Benefits and Customer Value in Large Retailing: A Cross-Format Comparative Analysis

ABSTRACT

Based on the existing marketing concept on relational and functional benefits and on the retailing management of customer value, the present research empirically tests the influence of these customer benefits by providing a comparative analysis for different retailing formats, such as supermarkets and hypermarkets. Using questionnaire data for a sample of customers (N = 362), the authors developed structural equation modeling. This study identifies the factors influencing customer value, as well as the key to understand the relationships of customer benefits, customer value, loyalty, and purchase intention in the retailing service context. The contribution of the present research includes empirically testing a conceptual model, by developing a comparative analysis, along with providing some meaningful insights to retailing managers on how to strategically manage customer value variables to increase and enhance customer retention and purchase intent.     

The Impact of Sustainability Aspects in the Meat Sector: A Cluster Analysis Based on Consumer Attitudes and Store Format Choice

Several consumer studies have shown considerable market potential for sustainable meat products, however, their markets shares are still marginal. In Germany, the sustainable aspects “organic,” “local origin,” and “animal welfare” are of special interest. To obtain a precise overview of potential target groups for these meat categories and their choice of store format, 620 German consumers were surveyed on their attitudes toward sustainable meat production and their shopping behavior. First, target groups based on consumers’ attitudes were identified by cluster analysis, taking into account possible overlaps. Consumers were also clustered by their store format choice and their preferred type of meat packaging. A cross tabulation of the results then provided insights into which store format and type of meat packaging is preferred by the target groups for sustainable meat products. Due to overlaps found in the target groups, the existence of important subgroups was shown. Amongst the target groups, only a slight preference for unpackaged meat products was found. Basically, the offer of sustainable meat products appears of interest for all store formats, with particular emphasis on supermarkets. The results of this study can support producers and retailers developing new and tailored marketing strategies for sustainable meat products.     

Consumers' Perception of Food Product Quality in Tunisia

Abstract

This paper investigates consumers' perception of food quality in Tunisia. In fact, the development of quality standards is driven by government regulations and mostly in response to export markets regulations. The role of consumers in this process is quite missing. This paper first highlights the current food safety and quality programs undertaken by the Tunisian government. Second, we use a sample of 150 consumers chosen at random at two of the largest hypermarkets in Tunisia to analyze consumers' behavior regarding quality. The paper shows strong concerns about hygiene among other quality attributes and strong awareness about quality and quality assurance schemes in general. Consumers are also motivated by habits of consuming home made products for hygiene and taste reasons. If appropriate quality systems were implemented to assure consumers about such attributes this would boost up demand for quality products.     

A ranking of shopping centres using multiple branch numbers

Summary

The paper presents a new ranking of shopping centres in Great Britain based on the number of branches of durable multiple retailers found in each centre. The results are used to derive a functional retail hierarchy. There is found to be a clear distinction between Regional Centres containing stores and smaller District centres. A comparison with the 1971 Census of Distribution shows patterns of growth and decline. In urban areas with weak or split centres, the main centre was found to have risen in rank while the surrounding minor centres had lost rank.     

Slotting Allowances as a Facilitating Practice by Food Processors in Wholesale Grocery Markets: Profitability and Welfare Effects

Slotting allowances, which are lump-sum transfers paid by food manufacturers to grocery retailers in return for various retail concessions, are becoming increasingly common in wholesale grocery markets. This article extends the literature on slotting allowances by considering two features that previously have been ignored: the role of food processors in determining these pricing arrangements, and the effect of slotting allowances on the size and distribution of economic surplus. Slotting allowances motivated by food processors increase procurement quantities and farm prices, and this raises farm surplus, increases total producer surplus, and improves consumer welfare in the food system.     

Seemingly Competitive Food Retail Regulations: Who Do They Really Help?

The food distribution and retail sectors in Quebec are highly concentrated and integrated as large food distributors are also involved in food retailing. As such, they are competing with small grocery and convenience stores they sell inputs to. A review of the industry suggests that there are important economies of size in distribution, but that smaller stores offering convenience face a more inelastic demand. Concerns over the survival of smaller stores in Quebec have motivated two types of regulations. The first type aims at reducing the cost advantage of dominant retailers by restricting the number of employees that they are allowed to use during specific time periods. The second type restricts retail prices. We develop a simple model capturing the main features of the industry to ascertain the impact of these regulations on retail and wholesale prices. Our results suggest that these regulations reduce welfare and may induce both tighter margins and lower surplus for small retailers. Au Québec, les secteurs du commerce de détail et de la distribution des aliments sont fortement concentrés et intégrés puisque les grands distributeurs d’aliments sont aussi engagés dans le commerce de détail. À ce titre, ils font concurrence aux petites épiceries et aux dépanneurs qu’ils approvisionnent. Un examen de l’industrie autorise à penser qu’il existe d’importantes économies de taille dans le secteur de la distribution, mais que les petites épiceries de dépannage sont confrontées à une demande plus inélastique. Les inquiétudes entourant la survie des petites épiceries au Québec ont motivé deux types de règlements. Le premier vise à diminuer l’avantage de coût des détaillants dominants en limitant le nombre d’employés pendant certaines périodes spécifiques. Le deuxième vise à limiter les prix de détail. Nous avons élaboré un modèle simple qui renferme les principales caractéristiques de l’industrie pour évaluer les répercussions de ces règlements sur les prix de détail et de gros. Nos résultats portent à croire que ces règlements diminuent le bien‐être et peuvent entraîner un resserrement des marges et une diminution des surplus des petits détaillants.     

Supermarket Expansion in Turkey: Shifting Relations of Food Provisioning

This paper examines the shifting relations of food provisioning in Turkey as small producers are increasingly integrated into commercialized agri‐food supply chains led by supermarkets. Turkey's entry into a customs union with the European Union and a World Bank–imposed policy measure adopted during the 2001 economic crisis have greatly facilitated the process of market intensification in Turkish agriculture. There are two sides to this process: one concerns the historical centrality of small‐scale production directed towards local–regional consumers; the other relates to the dominant role played by supermarkets in changing the conditions of subsistence. The restructuring of wholesale markets and the privatization of formerly state‐led agricultural co‐operatives and producers' unions have been crucial for the expansion of supermarkets into agri‐food relationships. The competitive growth of Islamically oriented small and medium‐sized capital groups alongside large retailers is further deepening the commodification process in food relationships.     

Shopping centre development in Belfast

Summary

One of the most common features of the modern retail environment is the planned shopping centre and, like many other British cities, Belfast boasts numerous examples. The pattern of shopping centre development in Belfast, however, is rather different from other parts of the UK. The city's divergence from British trends is largely due to the dynamics of the political situation in Northern Ireland. Though unique in many respects, this paper argues that the recent revitalization of Belfast city centre has valuable lessons for other British cities.     

The Persistence of Profitability among Firms in the Food Economy

The persistence of industry, firm-specific, and corporate-parent effects on firm profitability in the food economy are calculated and further analyzed within its four major sectors: food processing, wholesale grocery, retail supermarket, and restaurant. Profits are more persistent within an industry than within a corporation. The retail supermarket sector has had stable profits as has individual retail supermarket firms relative to the other three sectors.     

The Impact of Internationalisation on the Swedish Food Industry

Abstract

The European integration process has changed the competitive landscape in many industries. The questions raised in this paper concern the reactions of national firms that are subjected to this process of internationalisation of competition.

This study highlights the vertical inter-dependence within a system of production and distribution. In internationalisation theory, most studies have focused on how firms become international or global players, where entrance into new markets is seen as a result of strategic decisions.

To illustrate this process, three industries in food production, that is the baking, the brewing and the confectionery industries, were chosen.

The results indicate that a supra-industrial strategic recipe exists, with a core content of specialised volume production. The discussion on company strategies focussed on the retail sector. The findings might be interpreted in the light of Galbraith's theory of countervailing power.