Anatomy of shopping experience for malls in Mumbai: A confirmatory factor analysis approach

The city of Mumbai has not yet exhausted its potential in terms of availability of mall space. Yet shoppers of Mumbai seem to prefer high-street locations even if the product or format is operating from inside a shopping mall also. It means that shoppers look beyond the basic chore of shopping and experience plays a vital role. This study was undertaken to understand the composition of shopping experience so that mall developers and managers succeed in generating exciting among shoppers by orchestration of shopping experience using components as identified at the end of this research. It is based on empirical investigation of 400 respondents selected from four shopping malls in Mumbai. The study identifies ambience, convenience, marketing focus, safety & security and physical infrastructure as factors vital in defining shopping experience. Results were confirmed using confirmatory factor analysis.     

Main-format dominance in consumers’ FMCG cross-format shopping patterns

Although cross-format patronage has become a common phenomenon in markets for Fast Moving Consumer Goods (FMCG), research on consumers’ specific cross-format combinations is limited. We study such shopping patterns by focusing on retail format utilization. A qualitative pre-study demonstrates consumers’ patronizing combinations of typical retail formats in FMCG with main-format usage and provides underlying differences in consumers’ perceived shopping utility for cross-format selection, which results from their utilized main-format. Our quantitative study reveals three clusters with main-format dominance, that is, mainly supermarket, discount store, and hypermarket shoppers complementarily utilizing fill-in formats to a much lesser extent. Whereas we found high inter-format loyalty in each consumer group, intra-format loyalty significantly varies between clusters. ANOVA and post hoc-tests concerning perceived shopping utility dimensions show that consumers’ perceived acquisition utility rather than perceived transaction costs significantly differs between consumer groups.     

The inter-store mobility of supermarket shoppers

The allegiance of a particular customer, and the distribution across customers of strength of affiliation to a store are important indicators of store health. It is therefore important to understand the extent and determinants of shopper mobility among competing retailers. While shoppers often patronize many stores, they typically have a primary affiliation to a “main store” that captures the majority of their purchases. We examine, in detail, the tendencies of shoppers to transition away from the current main store and adopt another in its place. That is, rather than study all types of store switching behavior, we focus on the decision to change primary allegiance. The model is established in a discrete time hazard framework and estimated as random-effects probit. Data from 548 households taking 88,945 shopping trips among five stores are used to calibrate the model.We find that state dependence is prevalent with nearly three quarters of the shoppers showing progressive attachment to their current main store. Interestingly, this finding is not simply driven by location (i.e., because shoppers are captive to a single store based on geographical distance). More likely, shoppers are unwilling to give up the benefits of store-specific knowledge of assortment, layout and prices. Second, the decision to transition from a current main store is not influenced by temporary price promotions on a common basket of items: Shoppers will cherry-pick, but this alone does not cause them to change primary allegiance. The majority of transitions occur across competing stores of the same price format, which suggests “format loyalty” is an important aspect of shopper behavior. After controlling for unobserved heterogeneity, we find little relationship between observable demographics and the transition probability. We do, however, find that shoppers who spend more per trip are less likely to change main stores, as are less frequent shoppers. Implications for retail management strategy are discussed.     

Coping strategies and intended change of shopping habits after the Corona pandemic – Insights from two countries in Western and Eastern Europe

The Corona pandemic forced customers to develop strategies to cope with the situation and switch to alternative channels during lockdowns. This raises the question if such behavioral changes are only short-term or if consumers’ shopping habits change in the long run and thus cause or accelerate structural change in retailing. We analyze such immediate reactions and intended changes in habits using qualitative interviews conducted in Germany and Poland. Results show that German respondents had stronger intentions to support physical stores after the pandemic, while Polish respondents had stronger intentions to continue increased online shopping. Different retail structures explain these findings.     

Radius Restrictions on Retail Chains and the Similarity of Neighboring Shopping Centers

In Canada and the US, shopping center developers may impose ‘radius restrictions’ on tenants in their shopping centers, prohibiting tenants in a particular shopping center from opening another store within a certain radius. Whether a radius restriction is imposed on a chain will depend upon the relative bargaining positions of the chain and the developer. This paper presents an empirical analysis of regional shopping center composition in Canada, using variables that reflect the bargaining power of retail chains and shopping center developers. We find that large, well established, and growing chains are more likely to enter neighboring malls, consistent with the hypothesis that whether a chain enters neighboring malls depends upon its bargaining power. As well, we find that a chain is more likely to enter neighboring malls owned by large developers, consistent with large developers trying to keep retail chains out of the malls of small developers.     

The impact of a gasoline crisis on retail sales

The gasoline crises of the 1970s demonstrated the need for including gasoline prices and gasoline shortages in models explaining retail sales. In this article, a model is constructed that incorporates the aforementioned variables, other variables, and a lagged sales figure as independent variable. The results indicate a high degree of explanatory power in predicting retail sales for a specialty store chain with a preponderance of their stores in large regional malls that sell a product which lends itself to unplanned purchase behaviour.     

Visual cues during shoppers’ journeys: An exploratory paper

The visual cues shoppers view at the point of purchase during the shopping process is vital to product selection and sales. We aimed to identify the intrinsic and extrinsic visual cues or touchpoints customers use to select a product (live plant) in retail stores. Eye-tracking technology (ETT) has enabled market researchers to conduct cost- and time-efficient studies. Few studies have been conducted in a retail setting to pinpoint how shoppers attend to visual cues in situ. Using ETT gave researchers insight into the cognitive processes leading to purchase. We recruited four retail greenhouses in Michigan to collaborate on the study, and researchers invited customers from the store’s email list to participate. Researchers used eye-tracking glasses to record eye movement during a <12-min shopping trip to purchase a $10 plant. We analyzed 150 useful videos to identify attention to marketing and non-marketing cues at the point of purchase (e.g., reading a sign, product interaction, cell phone use). Time spent in specific store areas (e.g., annuals, perennials, shrubs, etc.) was measured. For 67 shoppers who purchased an annual plant, we analyzed which cues and touchpoints influenced the shopping time spent. Results showed that the most frequently accessed cue/touchpoint was intrinsic: product interaction (looking at or touching a plant). Participants read, on average, 6.7 signs with price and 4.5 signs without price. Conversely, only 34% interacted with employees, and 19.4% used their cell phones. Building on this exploratory study, future research could investigate signage elements attracting attention and motivations for employee interaction and cell phone use.     

Is the shopper always the king/queen? Study of omnichannel retail technology use and shopping orientations

Technology is transforming how retail services are delivered and the experience lived by consumers. Online and offline channels are converging to deliver a seamless omnichannel shopping experience. However, despite retailers’ significant technology investments, shoppers do not always adopt omnichannel usage. Understanding omnichannel retail technology (ORT) usage and how it interacts with shopping orientations is thus an important research challenge.The model is tested through a field study that targets real users of a 3D virtual reality application.The results first show that omnichannel use positively influences performance and effort expectancy perceptions. Second, the effect of ORT use on decision quality depends on task orientation. Third, task orientation moderates the effect of omnichannel use on performance expectancy. Fourth, recreational orientation positively influences shoppers’ perceived experience. Fifth, perceived value is an important predictor of retail patronage intentions.     

Shopping trip value: Do stores and products matter?

Previous research indicates the importance of shopping trip value but recognises that consumers do not shop independent of the environment; both products and stores contribute to overall shopping trip value. This study identifies the impact of product and store value on overall shopping trip value and investigates the interrelationship among their utilitarian and hedonic components. In addition, it proposes a store value scale. The authors find empirically that utilitarian store value and performance-related product value have significant effects on utilitarian shopping trip value, whereas hedonic shopping trip value is influenced most by hedonic store value and emotional product value. In addition, women appear more prone to hedonic shopping trip value yet also utilitarian store value, while men were more attentive to utilitarian product value.     

Early retailing: London's shopping exchanges, 1550–1700

Location is an important aspect of retailing, and London entrepreneurs recognized it as early as the 1560s in building exchanges to house a collection of shops, taking them off the street. These shopping centres created a special shopping environment: shelter, safety, and shop agglomeration. Soon shoppers put on their own social display there, a further shopping attraction. Up to five of these centres existed in late seventeenth-century London, capturing about half of all shops. But the reputation of these facilities declined over time, the institution of shopping ‘mall’ apparently not continued or emulated again until the twentieth century.