The time-harried shopper: Exploring the differences between maximizers and satisficers

Schwartz and his colleagues have proposed individual differences in consumer decision goals. Maximizers are those who always strive to make the best possible decision, whereas satisficers are those who are usually willing to settle for a “good enough” option. In this study, we explore the influence of the maximizing trait in situations where consumers have to make quick purchase decisions. The context for our empirical study is online gift purchases made under a time constraint. The results support our predictions that maximizers (vs. satisficers) engage in more prepurchase browsing behavior and also perceive more decision time pressure. Furthermore, these effects are moderated by the size of the available choice assortment. The results also show that maximizers are more likely to change their initial time-constrained choices if given the opportunity to do so. We discuss the implications of the research for the study of individual differences in consumer behavior and also for customizing retail sales and Internet marketing tactics based on buyer segmentation.     

The impact of shopper mood and retail salesperson credibility on shopper attitudes and behaviour

This paper examines the effect of shopper mood and salesperson credibility in a retailing context. It predicts that shoppers in good moods will respond positively to a high-credibility salesperson but not a low-credibility one. Using a three-way full-factorial experimental design, this notion is supported. Credible salespeople are found to have a positive effect on shoppers in good moods, but not bad moods, with respect to salesperson evaluations, to purchase intentions and to intentions to seek out the salesperson in subsequent shopping.     

The effect of shopping goals and in-store mobile device use on purchase outcomes in brick-and-mortar stores

The present study examines the effect of using a mobile device on search and evaluation by a shopper in a brick-and-mortar store. A conceptual model that proposes inter-relationships between shopping goals, the amount and type of in-store mobile device use, and purchase outcomes is developed. Data from a national quota sample of 1034 mobile shoppers is used to test hypotheses derived from the proposed model. The findings provide several new insights into the impact of in-store mobile device use on the consumer decision journey in a brick-and-mortar store. Depending upon the shopping goals of the consumer, the use of a mobile device by shoppers in a brick-and-mortar store can either decrease or increase search, lead to more deferred purchases or in-store-now purchases, and more online or physical store purchases. The study is among the first to model the pathway to purchase for mobile device assisted shoppers in brick-and-mortar stores.     

Crowding in the time of COVID: Effects on rapport and shopping satisfaction

Decades of research in marketing has established that crowding (human and spatial) in retail contexts significantly affects shopping satisfaction. Prompted by the profound changes in retail supply and demand due to the Covid-19 pandemic, this study expands knowledge in two ways: uncovering new relationships and replicating some of the critical findings previously demonstrated in the pre-pandemic context. Two studies (Study 1 scenario and Study 2 actual shopping trip) show that higher levels of human crowding results in lower levels of shopping satisfaction, and this effect is mediated by a new construct introduced into the crowding literature, namely, customer rapport with employees, emerging as a significant factor in the pandemic era. Importantly, the results show that these relationships differ according to customers’: a) perceptions about the appropriateness of retailer precautions, b) beliefs about the severity of threat that the pandemic presents, and c) perceived vulnerability to Covid-19, all of them new to crowding dynamics during the time of Covid. Finally, with Study 2, we replicate and extend selected findings from prior research on crowding. Overall, the results expand our understanding of crowding effects and provide novel insights in the “new normal” retail context.     

The impact of perceived similarity to other customers on shopping mall satisfaction

This study highlights the role of social presence with other consumers in influencing consumers' satisfaction evaluations by exploring a question: can non-interactive social presence of other people affect satisfaction with shopping mall experience? Based on Latané's (1981) social impact theory and Byrne's (1971) similarity-attraction paradigm, this study posits that a mere presence of other shoppers can be influential when there is perceived similarity between a customer and others. Further, the similarity perception is hypothesized to influence customer's mall satisfaction through affective and cognitive processes. The findings from a large-scale online survey with consumer panel subjects in the U.S. support all study hypotheses.     

The effect of multi-purpose shopping on pricing and location strategy for grocery stores

Though it is a well-accepted fact that consumers indulge in multi-purpose shopping, most previous models of store choice assume that grocery shopping trips are single-purpose trips. This paper provides the first empirical analysis of multi-purpose shopping using data on actual shopping trips. A latent class factor analytic logit model is proposed, which provides a representation of the market structure of grocery store competition, while integrating; multi-purpose shopping, retail pricing format and location strategy. We conclude that incorporating multi-purpose shopping trips provides a better understanding of the competitive market structure, and discuss the managerial implications for the selection of marketing strategies.     

Household preference revisions and decision making: The role of disconfirmation

In this paper, we examine the role of disconfirmation as an important determinant of household preference revisions and decision making. Although prior research has examined decision influence and information exchange in household decision making, the impact of disconfirmation on individual family member preferences and the joint household preference has not been explicitly studied. Analogous to the main types of social influence found within groups, we identify two types of disconfirmation that impact individual preferences arising from family interaction or discussion. These two types of disconfirmation are informational disconfirmation, related to new product information revealed in family discussion being different than one's prior beliefs, and preference disconfirmation, where a family member has incorrect expectations of the preferences of other influential household members. An empirical study involving a household vacation decision demonstrates significant disconfirmation effects in explaining individuals' post-discussion preferences, as well as the joint household preference and decision. Based on the empirical results, we discuss various implications and suggest future research to study the specific consequences of disconfirmation in household decisions.     

The roles of multiple channels in predicting website visits and purchases: Engagers versus closers

In today’s online environment, consumers and sellers interact through multiple channels such as email, search engines, banner ads, affiliate websites and comparison-shopping websites. In this paper, we investigate whether knowing the history of channels the consumer has used until a point of time is predictive of their future visit patterns and purchase conversions. We propose a model in which future visits and conversions are stochastically dependent on the channels a consumer used on their path up to a point. Salient features of our model are: (1) visits by consumers are allowed to be clustered, which enables separation of their visits into intra- and inter-session components, (2) interaction effects between channels where prior visits and conversions from channels impact future inter-session visits, intra-session visits and conversions through a latent variable reflecting the cumulative weighted inventory of prior visits, (3) each channel attracts inter-session and intra-session visits differently, (4) each channel has different association with conversion conditional on a customer’s arrival to the website through that channel, (5) each channel engages customers differently (i.e., keeps the customer alive for a next session or for a next visit within a session), (6) the channel from which there was an arrival in the previous session can have an enhanced ability to generate an arrival for the same channel in the current session (channel persistence), and (7) parsimonious specification for high dimensionality in a low-velocity, sparse-data environment. We estimate the model on easy-to-collect first-party data obtained from an online retailer selling a durable good and find that information on the identities of channels and incorporation of inter- and intra-session visits have significant predictive power for future visitation and conversion behavior. We find that some channels act as “closers” and others as “engagers”—consumers arriving through the former are more likely to make a purchase, while consumers arriving through the latter, even if they do not make a purchase, are more likely to visit again in the future or extend the current session. We also find that some channels engage customers more than others, and that there are interaction effects between the channels visited. Our estimates show that the effect of prior inventory of visits is different from the immediate prior visit, and that visit and purchase probabilities can increase or decrease based on the history of channels used. We discuss several managerial implications of the model including using the predictions of the model to aid in selecting customers for marketing actions and using the model to evaluate a policy change regarding the obscuring of channel information.     

Private label usage and store loyalty: The moderating impact of shopping value

This study endeavours to develop and analyze a conceptual model that sheds light on the moderating impact of utilitarian and hedonic shopping values in determining the relationship between private label usage and store loyalty. In a test with data collected from 267 consumers, conceptual framework was analyzed by using structural equation modeling. The findings reveal that a negative relationship was observed between private label usage and store loyalty. However, utilitarian shopping value converts this existing negative relationship between private label usage and store loyalty into a strong positive association. This study offers such interesting implications for managers that developing marketing strategies oriented to create utilitarian shopping value during the shopping experience may enable retailers to enhance their store loyalty in a positive way in the long run. Prior research has not approached the private label product phenomenon from a shopping value perspective. Hence, this study attempts to measure the moderating impact of shopping value on the linkage between private label usage and store loyalty for the first time.     

Old dogs learning new tricks? The effect of age and generation on shopping behaviour

ABSTRACT

Previous research has shown that both age and generational cohort membership affect shopping orientation and store choice criteria, although the results are mixed. This study applied a longitudinal research setting to investigate the choice orientations of six generational cohorts and seven age groups, respectively, in the context of non-grocery shopping trips. The study was based on data collected through four household surveys conducted in the Turku area, Finland, over 17 years. An exploratory factor analysis was used to identify six choice orientation dimensions that appeared as sufficiently similar in all four cross-sectional surveys. The results show that although both age and generation, if used as sole independents in a model, only explain 0.1 to 13 per cent of the variation between the categories (one-way ANOVA), in most cases, the differences are statistically significant. Age performed slightly better when the models were run for each year separately. However, in line with the underlying assumption of the generational theory, the relative importance attached to each of the choice orientation dimensions in early adulthood remained somewhat stable when the generational cohorts aged.     

The effect of search channel elimination on purchase incidence,order size and channel choice

This study investigates the impact of eliminating a search channel on purchase incidence, order size, channel choice and, ultimately, sales and profits. We analyze customer panel data from a large retailer over a five-year period. The retailer conducted a randomized field test in which the firm eliminated its catalog for half of the panel. We find that channel elimination decreases purchase incidence, especially for customers who, before the test, were heavy users of the telephone purchase channel that aligns with the catalog search channel. As expected, channel choice for purchases is shifted toward the internet and away from the telephone channel. Interestingly, order size per purchase increases. We investigate the impact of channel elimination on profits across different customer segments. We calculate a net positive impact because the savings from eliminating the catalog compensate for lower sales revenues.     

The contrasting interaction effects of improvisational behavior with entrepreneurial self-efficacy on new venture performance and entrepreneur work satisfaction

Although improvisation is often considered to be an elemental component of entrepreneurship, little work has been done to evaluate factors that influence the relationship of entrepreneur improvisational behavior with important outcome variables. In an attempt to partly fill this gap, the current study examines the moderating effect of entrepreneurial self-efficacy on the relationship of founders' improvisational behavior with both the performance of their startups and their individual level of work satisfaction using a national (United States) random sample of 159 entrepreneurs. In alignment with our predictions, improvisational behavior was found to have a positive relationship with new venture performance (i.e., sales growth) when exhibited by founders who were high in entrepreneurial self-efficacy, whereas improvisational behavior was found to have a negative relationship with new venture performance when exhibited by founders who were low in entrepreneurial self-efficacy. Contrary to our expectations, entrepreneurial self-efficacy was found to have a negative moderating effect on the relationship between entrepreneur improvisational behavior and work satisfaction.     

The price of unconditional love: Consumer decision making for high-dollar veterinary care

Animal companions play an increasingly important role in consumers' lives, and therefore many pets receive acceptance and treatment as members of the family. As the human-animal bond increases, so does consumer spending on pets, including that on high-dollar veterinary care. Unlike human health care, however, consumers must directly pay for the majority of high-dollar veterinary care. When an animal companion is ill, the consumer faces a stressful decision of whether even to engage in the treatment, along with the hardship of paying for it. Despite a rudimentary understanding of the factors relevant in the decision-making process regarding high-dollar veterinary care, knowledge is lacking about this often heart-wrenching choice. Using a depth-interview method, this study examines the decision-making process consumers go through when facing expensive medical treatment for their pets. The research results in an expansion of three a priori themes and the discovery and discussion of three factors that influence consumer decisions about veterinary care across all three themes.     

The influence of gender and culture on Generation Y consumer decision making styles

Through the use of case studies of Cardiff (UK) and Charlotte (USA) this paper provides a comparative study of the retail structure of British and American cities. Three of the most striking contrasts can be seen in the intra-urban location of retail activity, the role of planned and unplanned shopping centres, and in the amount of retail space provision. Retailing in USA cities tends to be more decentralized, with a greater role for planned shopping centres and more retail space than in British cities. Reasons for this are explored.     

The influence of consumer decision‐making styles on online apparel consumption by college students

Apparel purchases now constitute one of the fastest‐growing segments of e‐commerce. Thus, there are strong theoretical and managerial reasons to better understand consumer characteristics associated with buying apparel online. This paper investigates motivations for online apparel consumption using the Consumer Styles Inventory. Data from a sample of 357 US college students showed that quality consciousness, brand consciousness, fashion consciousness, hedonistic shopping, impulsiveness and brand loyalty were positively correlated with online apparel shopping. Price sensitivity was negatively correlated with online spending.     

A contextual perspective on consumers' perceived usefulness: The case of mobile online shopping

This research aims to study the origins of consumers' usefulness perceptions through the example of mobile online shopping adoption in Europe. The results of an empirical study, which is grounded in technology acceptance theory, reveal the pivotal role of consumers' beliefs about the quality of mobile online stores in the formation of usefulness perceptions prior to adoption. While this study identifies that consumers form their usefulness evaluations depending on the respective shopping tasks, the results of a moderation analysis yield usefulness predictors that differ in relevance across product categories and shopping touchpoints. This contextual perspective has implications for both adoption and (online) channel research. It also helps managers to identify starting points on how to promote (mobile) online shopping adoption.     

Consumer orientations of secondhand fashion shoppers: The role of shopping frequency and store type

As demand for secondhand fashion grows, the objective of this study is to examine consumer orientations of secondhand shoppers to determine whether they differ by shopping frequency, and store type. Hypotheses were developed for orientations of frugality, ecological-consciousness, materialism, nostalgia-proneness, style-consciousness and fashion-consciousness. A quantitative online survey of female-identifying participants (N = 515) was administered. All consumer orientations, except materialism, varied according to secondhand shopping frequency and store type. Orientations generally increased with shopping frequency. Nostalgia-proneness was associated with shopping at thrift stores, ecological-consciousness was associated with consignment stores and markets, and style-consciousness was consistent across shoppers for all store types.     

Artificial intelligence and the future of work: Human-AI symbiosis in organizational decision making

Artificial intelligence (AI) has penetrated many organizational processes, resulting in a growing fear that smart machines will soon replace many humans in decision making. To provide a more proactive and pragmatic perspective, this article highlights the complementarity of humans and AI and examines how each can bring their own strength in organizational decision-making processes typically characterized by uncertainty, complexity, and equivocality. With a greater computational information processing capacity and an analytical approach, AI can extend humans’ cognition when addressing complexity, whereas humans can still offer a more holistic, intuitive approach in dealing with uncertainty and equivocality in organizational decision making. This premise mirrors the idea of intelligence augmentation, which states that AI systems should be designed with the intention of augmenting, not replacing, human contributions.     

Personal values and impulse buying: The mediating role of hedonic shopping motivations

This research is the first to examine how personal values (resultant conservation and resultant self-enhancement) relate to impulse buying, and how hedonic shopping motivations mediate this relationship. We draw on information from a preliminary sample of 510 Portuguese respondents and a MTURK sample of 249 Americans, and use structural equations modeling to test the research model. The results from both samples denote some consistency, showing that both resultant self-enhancement and resultant conservation are indirectly related to impulse buying, highlighting a mediating role for hedonic shopping motivations.     

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.