In-store endcap projections and their effect on sales

Retailers increasingly use digital displays and projections to enhance traditional endcaps. With two field experiments, the authors investigate how the vividness of an endcap projection affects shoppers. The results indicate an inverted U-shaped relationship between the vividness of an endcap projection and sales, such that endcaps with moderately vivid projections (cf. traditional endcaps and highly vivid projection endcaps) result in higher sales. Attention and mental involvement serially mediate these effects on sales. By adding audio and scent to the moderately vivid endcap projection, the authors also find that the addition of audio increases sales, whereas the addition of a scent does not. This article concludes with a discussion of managerial implications related to the uses of endcaps.     

Ketchup with your fries? Utilizing complementary product displays to transfer attention to a focal product

Does placing a display of complementary condiments (e.g., ketchup, mustard, buns,etc.) next to a display of hamburgers make shoppers more likely to attend to the hamburgers? Prior work has established that in-store marketing strategies play an important role in drawing attention to products in a retail setting. Building on this research, the present study develops a framework to better understand how shoppers in a natural retail environment attend to displays of complementary products, and how this attention transfers to a focal product. The results suggest that assortment complexity of a display positively affects initial attention capture.. Further, initial attention capture leads shoppers to spend longer evaluating the complementary products in the display, which, in turn, increases evaluation and choice of the focal product. As such, our framework indicates that complementary product displays can be effective at increasing attention to and choice of an associated focal product.     

Multi-sensory congruent cues in designing retail store atmosphere: Effects on shoppers’ emotions and purchase behavior

This paper explores the effects of multi-sensory congruent cues om shoppers’ emotions and purchase behavior in designing retail store atmosphere. Prior research suggests atmospheric stimuli to contribute to establish an appealing atmosphere and studies have confirmed that shoppers react to different stimuli. However, extant studies have not examined how multi-sensory congruent cues added to a visually dominant store atmosphere might impact shopper emotions and purchase behavior. The findings demonstrate a positive effect of multi-sensory congruent cues on shoppers’ emotions, through valence, and purchase behavior, through time spent and purchase. It is evident that shoppers perceive multi-sensory cues, such as auditory and olfactory ones, to be more effective in a dominant visual store atmosphere compared to only adding new visual stimuli. For retailers, a visually dominant store atmosphere should be designed more in the direction of a multi-sensory atmosphere in offering shoppers more appealing experiences of the retail setting.     

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.     

Validating Bluetooth logging as metric for shopper behaviour studies

The ability to track shoppers as they move through retail environments using signals emitted by their communication devices kindles the interest of practitioners and researchers. This data collection method is cheap and has the ability to supply big data for shopper insights. However, this non-probabilistic sampling method can possibly under- or over-represent certain groups of the shopper population. This study assesses the validity of the data describing the length of shopping trips and representativeness of the sample of shoppers carrying Bluetooth-enabled devices. The authors track unique Bluetooth logs in-store and compare to simultaneously collected data from a manual, systematic sample of 324 shoppers observed and interviewed in the same supermarket. A comparison of the results obtained from the two samples (auto-logging and manual systematic) drawn from the same population indicates automated Bluetooth tracking produces very similar (r=.92, p<.001) trip lengths to that observed manually. Basket size, spend and occupation of Bluetooth trackable shoppers are similar to those with no Bluetooth-enabled devices. These findings present compelling evidence that the Bluetooth auto-logging method holds great potential for retail practice and research. An expected under-representation of the oldest demographic (66 y.o. and over) in the Bluetooth discoverable sample calls for complementary methods of data collection to minimise representation bias in real-time tracking technologies for shopper research. The benefits of using auto-logging data describing shopping trip length for retail practitioners and researchers are discussed.     

One Vs. Many: who wins? An empirical investigation of online product display

ABSTRACT

This study questions the unharmonious ways of product displays in online grocery retailing and aims to find if visual complexity of the product display has any impact on behavioral outcomes of online grocery shoppers. Our main finding was that visually complex images, i.e. images with a high number of elements have a negative effect on affective and cognitive states resulting in decreased behavioral intentions. However, when the number of elements in the product display was decreased, i.e. the visual complexity of the product display was reduced, shoppers’ cognitive and affective responses and intentions were similar to when they were exposed to noncomplex images. We also found that arousal and pleasure (parallel mediators) absorption, telepresence, utilitarian and hedonic values and perceived ease of use (serial mediators) mediate the effect that the product display has on behavioral intentions.     

The moderating roles of shopper experience and store type on the relationship between perceived merchandise value and willingness to pay a higher price

In the retail domain, we consider the moderating influence of shopper experience (high versus low experience) and store type (high- versus low-priced stores) on a model that identifies three distinct routes (economic, affective and informational) from perceived merchandise value to willingness to pay a higher price. Each route accounts for a different outcome arising from merchandise value and leading to willingness to pay a higher price. Analyses of data obtained from a sample of 600 shoppers at four grocery stores provide results for specific hypotheses related to each moderator and each distinct route. The results of multiple sample analyses show that the economic route is stronger for high experience shoppers as well as for high-priced stores. Findings pertaining to hypotheses for moderation of both the affective and informational routes are mixed. We discuss the importance of these findings for retail managers as well as for future research.     

Utilitarian and Hedonic Motivators of Shoppers’ Decision to Consult with Salespeople

Many retailers face the questions of whether providing consultation services would enhance store performance and, if so, what the retailers could do to increase the number of shoppers seeking salesperson consultation. Despite its importance, prior research has not answered the question of what influences retail shoppers to consult with salespeople. We use motivation theory and recent theorizing on behavioral decision-making to develop a model of four utilitarian and hedonic motivators of shopper consultation with salespeople. This model, which includes the relationship between consultation and amount of money spent by shoppers, was tested with data from 425 shoppers. Our results demonstrate situational and individual influences, both utilitarian (i.e., shoppers’ purchase uncertainty and efficiency orientation) and hedonic (i.e., shoppers’ situation-related affect toward salespeople and shopping enjoyment), that prompt retail shoppers to consult with salespeople. As well, we find that salesperson consultation is positively related to the amount of money spent by shoppers and completely mediates the spending effects of the four motivators of consultation. This research shows that motivation theory is useful for better understanding salesperson consultation and can assist retailers that compete on service to better implement consultation-oriented strategies.     

Asymmetric Perception of Sparse Shelves in Retail Displays

We investigated a perceptual bias in recognizing partially stocked shelves in retail displays. Across a series of experiments, a total of 475 right-handed participants were asked to discriminate between pairs of store displays that were more versus less stocked with items. When asked to identify the sparser display in a sterile environment, participants were significantly faster and more accurate in responding to images presented in the left visual field (LVF) than to images presented in the right visual field (RVF). The perceptual asymmetry persisted in a realistic setting, and was prominent under conditions of high task difficulty. The results are consistent with a view of this sparse-shelf bias as emerging from selective hemispheric activation to quantities rapidly assessed during a shopping trip.     

The mall as bazaar: How kiosks influence consumer shopping behaviour

Abstract

The addition of kiosks (e.g. pushcarts, stalls, etc.) to malls has changed the mall environment. However, no research to our knowledge has been conducted to determine if that change has been received positively or negatively by shoppers. Our study investigates how kiosks and kiosk salespeople affect consumers' emotional responses and shopping behaviours towards the mall. Using a between-subjects design, we found that the very presence of kiosks negatively affects shoppers' perceptions of the mall environment. Whether a kiosk salesperson was aggressive or passive had virtually the same effect upon shoppers. Similarly, passive kiosk salespeople and the absence of kiosks resulted in relatively the same level of arousal on shoppers, while aggressive salespeople caused a higher level of arousal than either of the other two conditions. This contributes to the extant literature on retail atmospherics and perceptions of retail salesperson behaviours.     

Online Shopper Motivations, and e-Store Attributes: An Examination of Online Patronage Behavior and Shopper Typologies

e-Stores and online shopping have become important aspects of a retailer's strategy. Previous research suggests that online shoppers are fundamentally different from traditional offline shoppers. However, based on the Big Middle Theory (Levy et al. 2005), the authors believe that there are segments of online shoppers that are very similar to regular shopper groups. To determine this, online shopping motivations and e-store attribute importance measures are separately used as the basis to develop online shopper typologies. Results reveal that there are more similarities than differences among traditional and online store shoppers. However, there are a few unique shopper types present at online stores, attracted by the distinctive characteristics and attributes of the online retail environment. The findings offer interesting implications for online retail strategy.     

Consumer insights into luxury goods: Why they shop where they do in a jewelry shopping setting

The question that guides this research concerns why consumers prefer to shop where they do for luxury goods. This study applies Tauber's (1972) motives, as representative of Sheth's (1983) nonfunctional shopping motives for luxury goods purchases. The study examines how well Tauber's motives describe consumers’ shopping motivations at each retail outlet in a jewelry shopping setting. These retail outlets consist of store- and non-store formats. The study identifies motives that are considered most important by consumers and that contribute to their shopping preferences. This study also identifies demographic profiles of jewelry shoppers at each retail outlet. Jewelry shoppers are more influenced by functional motives than nonfunctional motives.     

Segmentation of Malaysian shoppers by store choice behaviour in their purchase of fresh meat and fresh produce

Differences in retail store choice behaviour are examined for the purchase of fresh meat and fresh fruit and vegetables in Malaysia. In purchasing fresh meat, cluster analysis identified two groups of respondents who purchased the majority of the fresh meat they consumed from either modern retail stores or the traditional market. However, with regard to the purchase of fresh fruit and vegetables, cluster analysis identified three groups of respondents (modern retail shoppers, transient shoppers and traditional market shoppers). Although the clusters were labelled using similar terms, several similarities and differences were identified in the respective clusters for each food item. The findings indicate that store choice preference was based on the food product that the consumer intended to purchase.     

The interaction of retail density and music tempo: Effects on shopper responses

Research examining the effects of store environment on shoppers has found that a number of atmospheric cues have significant effects on shoppers' cognitive, affective, and behavioral responses. To date, retail atmospheric cues have been studied in isolation, instead of simultaneously, like they occur in the retail setting. This study examines the interactive effects of two atmospheric cues—retail density and music tempo—and their impact on shopper responses within a real shopping environment. Based on the schema incongruity model, it is found that shopper hedonic and utilitarian evaluations of the shopping experience are highest under conditions of slow music/high density and fast music/low density. Significant main effects of music tempo are found for behavioral responses such as approach/avoidance tendency and extent of browsing behavior. The results underscore the need to examine interactive effects of atmospheric cues to better understand the impact of the store environment on shoppers. © 2005 Wiley Periodicals, Inc.     

Regulatory focus as a moderator of retail shopping behaviour

This paper examines the effects of regulatory focus orientation on several aspects of consumer retail shopping behaviour such as shopping values, impulsiveness, shopping duration, repurchase intention and word-of-mouth communication. Theoretical propositions were developed banked on relevant literature. A structured questionnaire is used to collect data across several retail formats (n = 300). Statistical techniques such as MANOVA and t-test were used to analyse the data. Results reveal that promotion-focused shoppers report higher levels of hedonic shopping values, and impulsiveness, whereas prevention-focused shoppers report higher levels of utilitarian shopping values, shopping duration, repurchase intention and word-of-mouth communication. Discussion of the results and their theoretical and managerial implications, limitations of this study and its future research scopes are further discussed.     

More Than Aesthetic: Visual Boundaries and Perceived Variety

Many online retailers use seemingly innocuous visual boundaries when presenting choice sets to consumers. In contrast to previously studied aspects of information presentation, visual boundaries do not alter underlying information structure. The authors argue that, beyond their aesthetic role, visual boundaries can systematically increase or decrease perceived choice variety but the impact of visual boundaries on variety perceptions depends on consumer cognitive load. Study 1 finds that, by-attribute (vs. alternative) boundaries increase (decrease) perceived variety under high but not low cognitive load. Study 2 further demonstrates that retailer intent moderates the interaction between visual boundaries and cognitive load such that, when cognitive load is high, effects of visual boundaries on perceived variety are strengthened when consumers believe that retailers use boundaries to aid consumer navigation but reversed when they believe retailers use boundaries to persuade consumers to make purchases. Finally, Study 3 rules out attribute order and number of attribute levels as alternative accounts for the effect and enhances generalizability through a different manipulation of cognitive load. This work advances understanding of how simple environmental cues affect consumer behavior, with implications for retail strategy.     

Shopper-Facing Retail Technology: A Retailer Adoption Decision Framework Incorporating Shopper Attitudes and Privacy Concerns

Continual innovation and new technology are critical in helping retailers’ create a sustainable competitive advantage. In particular, shopper-facing technology plays an important role in increasing revenues and decreasing costs. In this article, we briefly discuss some of the salient retail technologies over the recent past as well as technologies that are only beginning to gain traction. Additionally, we present a shopper-centric decision calculus that retailers can use when considering a new shopper-facing technology. We argue that new technologies provide value by either increasing revenue through (a) attracting new shoppers, (b) increasing share of volume from existing shoppers, or (c) extracting greater consumer surplus, or decreasing costs through offloading labor to shoppers. Importantly, our framework incorporates shoppers by considering their perceptions of the new technology and their resulting behavioral reactions. Specifically, we argue that shoppers update their perceptions of fairness, value, satisfaction, trust, commitment, and attitudinal loyalty and evaluate the potential intrusiveness of the technology on their personal privacy. These perceptions then mediate the effect of the technology on shopper behavioral reactions such as retail patronage intentions and WOM communication. We present preliminary support for our framework by examining consumers’ perceptions of several new retail technologies, as well as their behavioral intentions. The findings support our thesis that shopper perceptions of the retailer are affected by new shopper-facing technologies and that these reactions mediate behavioral intentions, which in turn drives the ROI of the new technology.     

Receptivity to advertising messages and desired shopping values

Advertising designed around the ‘value’ notion represents a way to deal with widespread retail competition and knowledgeable, empowered consumers. This study empirically examines the influence of receptivity to advertising messages (RTAM) on desired shopping values and assesses whether this relationship is moderated by gender, age, and income. The structural model indicates that, compared to low‐RTAM shoppers, high‐RTAM shoppers tend to perceive each of the six value dimensions, (i.e. monetary cost saving, time cost saving, energy cost saving, post‐sale customer support, engaging store environment, and personal leisure experience) as more important in making a retail patronage decision. Further analysis shows that the links from RTAM to monetary cost saving and to post‐sale customer support are stronger for younger male shoppers. Another interesting finding is that the link from RTAM to monetary cost saving is stronger for high‐income shoppers whereas the link from RTAM to engaging store environment is stronger for low‐ and middle‐income shoppers. If retail advertisers are aware of the value dimensions that are crucial to the high‐RTAM segment within specific target markets, they could achieve advertising goals more effectively and efficiently through tailored advertising messages.     

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.     

The effects of shopping value on retail outcomes: a comparison between department stores and hypermarkets

Shopping in various retail formats involves both utilitarian and hedonic value. Taiwan residents shop at department stores and hypermarkets frequently, compared to other retailers. This study contrasts the differential effects of shopping value on retail outcomes in department stores and hypermarkets. The results support predicted relationships: (1) in the department store context, (a) hedonic shopping value perceived by shoppers is higher than utilitarian shopping value; (b) hedonic shopping value has a greater effect on satisfaction and word-of-mouth than utilitarian shopping value; and (2) in the hypermarket context, (a) utilitarian shopping value perceived by shoppers is higher than hedonic shopping value; (b) utilitarian shopping value has a greater effect on satisfaction and repatronage intentions than hedonic shopping value.