Creating and consuming experiences in retail store environments: Comparing retailer and consumer perspectives

This article investigates the substance of arguments about an experience-oriented economy and experience-seeking consumption in retailing. Employing a case study research approach (n=7) and the Critical Incident Technique (n=252), we show how retailers as well as consumers relate to in-store experiences. The results point out that retailers’ use ever more advanced techniques in order to create compelling in-store experiences to their consumers. In contrast, the depiction given by consumers reveals that their in-store experiences to a large extent are constituted by traditional values such as the behavior of the personnel, a satisfactory selection of products and a layout that facilitates the store visit.     

Consumer heterogeneity and online vs. offline retail spatial competition

This paper develops a game-theoretic spatial model featuring consumer heterogeneity in online vs. offline retailers’ spatial competition. We find that consumers’ browse-and-switch behavior intensifies the competition because both offline and online retailers’ price and profit decline when the behavior occurs, but it is not necessarily a threat to offline retailers especially when the product relates more closely to experience. We consider six equilibrium scenarios for different combinations of consumer behaviors when considering a hybrid retailer. The analysis taking consumer heterogeneity into consideration shows that the hybrid retailer operating both online and offline is not always the winner. Particularly, the business opportunity for the offline retailer lies in consumers’ willingness to pay in store, and whether the retailer launches an online store depends on the type of products and services provided.     

Consumer perceptions of refund depth and competitive scope in price-matching guarantees: effects on store patronage

The study investigates the effect of two characteristics of price-matching guarantees—the depth of refund offer and the scope of competitors eligible for price matching—on consumer perceptions of price-matching guarantee believability and value and consumer intentions to patronize the retailer. The results show that large refund offers built consumer patronage intentions by enhancing perceptions of the value of the price-matching guarantee, while simultaneously exerting a negative impact on patronage by reducing believability of the price-matching promise. The competitive scope also affected the patronage intentions by influencing the perceived value of the price-matching policy.     

Willingness to pay for organic products: Differences between virtue and vice foods

Faced with growing environmental problems, food safety issues, and increasing obesity rates, many consumers desire healthier, less processed natural foods that are less harmful to the environment. Yet organic foods only partially benefit from this market environment, and their market share remains quite low despite high growth rates. The usual explanation for this discrepancy is that consumers are not willing to pay the price premium prompted by an organic claim. In this paper, we explore the reasons behind consumers' (un)willingness to pay for organic food and investigate whether it differs between virtue and vice food categories. The results indicate that in vice food categories, organic claims are associated with lower quality, which seems to be only partly compensated by higher prosocial benefits. The lower-quality perceptions translate into a decreased consumer willingness to pay (WTP). We supplement the empirical results with data on organic purchases in the Dutch food market. These data show that market shares of organic food are indeed lower for vice categories of organic food.     

Correction Processes in Consumer Choice

Consumers sometimes recognize that irrelevant contextual factors may influence their judgments and decisions. When such factors are detected, consumers might engage in correction processes to counteract unwanted influences in their judgments and decisions. An experiment demonstrated that correction processes can reduce the magnitude of the compromise effect and the attraction effect.     

Consumer choice in online vegetable distribution terminals: A Planned Behavior approach

It is common for consumers nowadays to buy vegetables through online distribution terminals. This paper introduces the variables of perceived risk and terminal image through the Theory of Planned Behavior, and uses structural equations to conduct an empirical study of consumer choice. The results show that: attitude, perceived risk and terminal image have a significant influence on consumers’ terminal behavioral intention, while subjective norms and perceived behavior controls do not; and perceived risk, terminal image and behavioral intention have a significant influence on consumers’ terminal behavioral choice, while attitude does not.     

Patterns of store patronage in urban China

Reported is a formal investigation of store patronage in urban China. Using consumer panel data for sales of packaged goods through store types and named store chains, patterns of sales, loyalty and duplication are examined. Observed patterns are benchmarked against predictions from the NBD-Dirichlet model. Findings are generalized across six product categories in the packaged-goods retailing sector of Shanghai. Crucial aspects of store type/chain patronage are shown to be regular and predictable: patronage levels co-vary with market shares, average frequencies of patronage do not vary as much, few consumers are exclusively loyal, a majority of consumers are divided in their loyalty, and they patronize other store types/chains in line with market shares. Special groupings of store types/chains are not found. All these results occur for the buying of both contemporary and traditional products.     

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.     

Strategy Development for a Food Company Based on Patterns of Consumer Behavior

This research reveals connections between company strategies and consumer behavior patterns within the proposed method of developing a set of optimal strategies (a multi-component strategy) for a food company under the rapidly changing conditions intrinsic in the polycyclic business environment. This method is a strategic tool providing for efficient adaptation of a food company to current and potential environmental variability based on the polycyclic concept of environmental dynamics and on the suggested definition of strategy as a long-term interactive and proactive response to the influences of the business environment.     

The impact of selected store image dimensions on retailer equity: Evidence from 10 Chinese hypermarkets

Building retailer equity increases revenue and profitability by insulating retailers from competitors. Store image is the basis of retailer equity, but extant literature offers little insight into the empirical research which takes store image dimensions as antecedents of retailer equity. This paper establishes a theoretical and empirical basis that shows the impact of selected store image dimensions on retailer equity. The authors propose a conceptual framework in which store image dimensions are related to three dimensions of retailer equity, i.e., retailer awareness, retailer associations, retailer perceived quality. These dimensions are then related to retailer loyalty. The empirical tests using a structural equation model support the research hypotheses. The results indicate the positive effect of convenience, perceived price, physical facilities, employee service, and institutional factors on retailer equity dimensions as antecedents of retailer equity.     

Consumer response to economic crisis and lessons for marketers: The Turkish experience

Private consumption is the largest component of gross domestic product (GDP). It has a substantial impact on the speed of recovery from an economic crisis. This paper aims to examine the behavior of consumers, firms, and government in Turkey in response to the recent global economic crisis. Turkey was one of the few countries that emerged from the economic downturn relatively quickly. The demographics of consumers, the solidity of financial sector, and the government policies led to a speedy recovery from the crisis through an increase in consumption expenditures. During the initial shock, consumers switched to cheaper goods and decreased consumption expenditures in total. The government emphasized that the impact of crisis would be limited. The opening of credit lines, the temporary reduction in value-added tax and special consumption tax on certain commodities, aggressive marketing campaigns, and a rosy future drawn by chambers of commerce and NGOs in specific promotional activities were influential in increasing consumption. This paper discusses the consumer response to and the marketing lessons derived from this experience.     

Consumer evaluations of different promotion types and price presentations: the moderating role of promotional benefit level

The effects of promotion type (i.e., price discounts and bonus packs) and price presentation (i.e., dollars and percentages) across promotional benefit levels were investigated in three experimental studies. The results suggest, for the products considered, that price discounts and bonus packs were valued similarly for both low and moderate promotional benefit levels, while price discounts were preferred when high promotional benefit levels were employed. Additionally, promotions presented in percentage terms were preferred when the benefit level was high. The implications of these results for retailers and manufacturers are that percentage price presentations should be used when large discounts are being offered. Furthermore, it appears that bonus packs are a viable alternative to price discounts when promotion levels are small or moderate since they have less of a deleterious effect on the brand.     

The Intertextual Construction of Emerging Consumer Culture in China as Observed in the Movie Ermo

Summary

The rapid development of consumer culture in China is chronicled and caricatured in particularly revealing ways in the movie Ermo. It concerns the story of a rural Chinese woman, Ermo, who undergoes a metamorphosis in seeking to make enough money to buy a television set. Since popular culture texts, such as movies, often serve to mirror a culture back to itself, we conducted a discourse analysis of this film. We found that cultural intertextuality, that is the hybridizing construction of global and local meanings, was central. This intertextu-ality had two emergent themes: (1) longstanding versus postmodern narratives and (2) a Sinicization or Chinese indigenization of meanings. Managerial and research implications are drawn which direct marketing efforts toward the needs of Chinese consumers embodied in their indi-genized and particular local expression of new postmodern lifestyles.     

Consumer Attitudes and Preferences Concerning Shopping On-Line

Abstract

The emergence of e-commerce is having a substantial impact on consumer purchasing behavior. Yet, the rate of consumers' acceptance of e-commerce has been slower than many predicted. Using the view of consumption as an institution, this study examines consumers' preferences for shopping on-line. Analysis of data collected from focus groups and surveys suggests consumers perceive relative advantages and disadvantages of shopping on-line vs. shopping in traditional stores. In addition, the results suggest consumers have substantive reservations about shopping on-line which may be adversely affecting the acceptance rate of this new channel. Study limitations and suggestions for future research are also presented.     

网购食品消费者选择行为的影响因素

利用1 790份网络调查问卷数据,采用相关分析、交叉分析等统计方法,研究网购食品消费者选择行为,分析网购食品市场渗透率不高、用户黏性不足的主要原因,结果表明,消费者个性特征差异会导致对网购食品的不同态度,进而影响消费者对网购食品的选择行为;良好的网购环境、物美价廉的食品、优质的网购服务,是促使消费者选择网购食品的主要因素,对网购食品安全的担忧、习惯于传统购物方式、网购维权难度大,是抑制消费者选择网购食品的主要因素,尤其是网购食品"难维权、维权难"可能会放大消费者对网购食品产生的消极态度。为此,应加强网购食品多主体协同监管,消除消费者怀疑心理和不放心态度;建立以消费者需求为中心的网购食品质量安全供应链管理体系,推动线上市场和线下实体店紧密结合、融合发展;完善网购食品维权制度,畅通维权渠道。     

Consumer Perspectives on Brand Extension Effects in Mexico: An Empirical Analysis of Buying Decision Patterns

ABSTRACT

Brands are successful because people prefer them to ordinary products. In addition to the psychological factors, brands give consumers the means whereby they can make choices and judgments. The secret to successful branding is to influence the way consumers perceive the company or product, and brands can affect the minds of customers by appealing to acquired and analyzed information. The inflow and outflow of information about brands through inter-personal communication may act as a device for coordinating consumers' expectations resulting from the purchasing decisions of other consumers in markets with consumption externalities. The belief that individual differences or choice behavior in brand preference are caused by personality differences has not always been supported by empirical research.

RESUMEN. Las marcas son exitosas porque las personas se inclinan a preferirlas a los productos comunes. Además de los factores psicológicos, las marcas también brindan a los consumidores los medios necesarios que les permiten tomar decisiones y hacer juicios. El secreto de las marcas exitosas consiste en el hecho de que ellas influyen sobre la forma en que los consumidores perciben a la compañía o producto, afectando la mente de los consumidores y atrayéndolos a una información adquirida y analizada. El flujo de información sobre las marcas en ambas direcciones en una comunicación interpersonal, puede actuar como un dispositivo para coordinar las expectativas de los consumidores en base a la decisión de compra de otros consumidores en mercados con externalidades de consumo. La creencia de que las diferencias o gustos individuales respecto a la preferencia de las marcas son causados por diferencias en la personalidad, es algo que la investigación empírica no consigue confirmar siempre.

RESUMO. Marcas são bem sucedidas porque as pessoas as preferem aos produtos comuns. Além dos fatores psicológicos, as marcas fornecem aos consumidores os meios por intermédio dos quais podem fazer escolhas e emitir julgamentos. O segredo para uma política de marcas bem sucedida é influenciar a maneira como os consumidores percebem a empresa ou o produto, e as marcas podem afetar a mente dos consumidores lançando mão de informaç[otilde]es adquiridas e analisadas. O fluxo de entrada e saída de informação sobre marcas, gerado pela comunicação interpessoal, pode atuar como um instrumento para coordenar expectativas de consumidores resultantes das decis[otilde]es de compra de outros consumidores em mercados com externalidades de consumo. A crença de que as diferenças individuais ou o comportamento de escolha na preferência pela marca são causados por diferenças de personalidade não tem sempre sido corroborada pela pesquisa empírica.     

Consumer decision-making styles,involvement, and the intention to participate in online group buying

Recent studies have demonstrated the relevance of consumer decision-making styles and consumer involvement as crucial constructs in understanding online group buying, but none has analyzed their collective impact. This study tests consumer involvement as the mediator in the relationship between consumer intention to participate in online group buying and their decision-making styles. The results show that involvement significantly mediates the relationships between the recreational, hedonistic; price-conscious; habitual, brand loyal; and the confused by over-choice consumer decision-making styles and their intention to participate. Interestingly, the novelty-fashion conscious decision-making style shows a significant direct effect but no mediation through involvement. The study makes substantive contributions toward the online consumer behavior literature and website management. We suggest that website managers maintain consumer involvement at a high level and consider consumer decision-making styles when addressing potential visitors and converting them into buyers. The study describes limitations and implications for future research.     

How Consumer Ethnocentrism (CET), Ethnocentric Marketing,and Consumer Individualism Affect Ethnocentric Behavior in China

This study investigates how the value of consumer ethnocentrism (CET) and ethnocentric marketing affect consumers' purchase intentions for domestic and foreign brands in China. In predicting ethnocentric consumer behavior, past research has tended to focus on consumers' ethnocentric values rather than ethnocentric marketing stimuli. In addition, this study examines how the consumer value of individualism and collectivism (IC) affects ethnocentric choice behavior. An experimental study was conducted on 220 Chinese millennials, using fictitious advertisements. The study found that the CET value has moderate effects on consumer purchase intentions for foreign brands, while it strongly influences consumer purchases of domestic brands. In addition, the findings suggest that ethnocentric advertising may not encourage purchases of domestic brands, but can discourage foreign brand purchases. More significantly, individualistic consumers were found to show a greater preference for foreign brands and also their brand choices were less affected by the CET value and ethnocentric advertising.     

Consumer boycotts: The impact of the Iraq war on French wine sales in the U.S.

The French opposition to the war in Iraq in early 2003 prompted calls for a boycott of French wine in the US. We measure the magnitude of consumers’ participation in the boycott, and look at basic evidence of who participates. Conservative estimates indicate that the boycott resulted in 26% lower weekly sales at its peak, and 13% lower sales over the 6 months period that we estimate the boycott lasted. Although theory suggests consumers would not participate in boycotts due to a free-rider problem, these findings indicate that businesses should be concerned that consumers may boycott their products. We also find that neither political preferences nor media attention are important determinants of boycott participation.