Black middle class township shoppers: a shopper typology

Due to an increase in spending power amongst Black middle class, this growing segment has become a lucrative investment opportunity for many retailers in South Africa and most emerging markets. The purpose of this study is to segment township consumers according to their demographics, life stage, attitudes towards township shopping centres and Living Standards Measure, to understand shopping patterns of township consumers. A survey among Soweto Black middle class township respondents was conducted, and maximum likelihood factor analysis was used to identify attitudes towards township mall factors. The study revealed five factors namely entertainment, convenience, mall essence, staff and mall basics, which were all consistent with previous studies, with the exception of staff and mall basics, which was revealed in this study. A K-means cluster analysis was then used to segment township shoppers according to their attitudes. Four shopper segments were discovered, namely disappointed crusaders, upcoming loyals, social seekers and local loyals, which, despite investigating shopper attitudes in place of shopper behaviour alone, were similar to well-establish shopper typologies. Each segment was profiled according to demographic variables, attitudes as well as shopping patterns. Results, therefore, suggest that retailers and developers need to consider the unique needs and differences among Black middle class consumers when developing retail strategies as they reveal unique characteristics from typical shopper typologies. Given similarities in some emerging countries such as India, the findings of this study could be generalized to other middle class consumers from emerging markets. Similar shopper segments may arise, which may be consistent with previous shopper typology studies and new segments unique to emerging market middle class consumer may be unveiled.     

Food retailers' perceptions of older consumers in Northern Ireland

Demographic changes' occurring in developed countries has meant that older consumers are becoming an increasingly important consumer segment that retailers need to pay particular attention to. It is essential that their specific needs within the food and other service sectors are met, as food plays an important role in their social well‐being. Very little research has focused upon the extent to which retailers meet their demands and particular needs. The aim of this study, as part of a wider study on older consumers, is to address this lack of information by examining the level of awareness held by food retail management as to the needs of older consumers (60+ years old) and the problems that they encounter while shopping. Qualitative data were collected using face‐to‐face interviews with retail managers (n = 5) from food retailers in Northern Ireland. These were analysed according to Gillham's content analysis guide. Food retailers stated they were aware of the issues older consumers face and recognize their importance as a growing consumer segment; however, there would appear to be relatively little actual consideration/evidence of them meeting their needs. All interviewees expressed an interest in improving the food shopping experiences of older consumers, and were keen to make an increased effort towards this segment of the population, but these were often not put into practice. In order to overcome the problems faced by older consumers and strengthen the food shopping experience for this age group, it is suggested that retail management make practical changes to improve in‐store facilities, increase affordability of food products and home delivery services, and enhance customer communication.     

Supermarkets in China: the case of Shanghai

Supermarkets have established a visible presence in Shanghai with some 1,000 stores and an estimated 5 per cent of market share. Local chains dominate the sector but well-known international retailers are very active. Studies indicate that a large proportion of consumers regularly shop in supermarkets but they use them 'selectively', mostly for packaged and processed foods, and continue to purchase fresh food in traditional outlets. The author uses a variety of data types and a number of research methods to analyse supermarkets' penetration into Shanghai. A background discussion of the food retail system in Shanghai highlights the traditional formats, the local and foreign supermarket chains, and the independent supermarkets. The data from a consumer shopping behaviour study is then used to assess supermarkets' penetration. Supermarkets' fast penetration into Shanghai is surprising given the findings of earlier studies, which identified the existence of serious limitations on the format's penetration into less developed countries (LDCs). Consequently, the focus in the second part of the paper is on explaining the reasons for the success of supermarkets. The impact of the factors identified in the earlier studies as constraining supermarkets' advance were evaluated and it was found that in Shanghai three of these factors (consumers, traditional retailers and government) did not cause serious problems for supermarkets. Only the supply-side conditions negatively affected their operations. The Shanghai example highlights the need to update our thinking regarding the LDCs' food retail modernization process in a number of directions. First local supermarket chains, not foreign ones, drive the process. Second, supply-side factors, not the demand-side ones that were emphasized in earlier studies, pose the major difficulties. Third, this analysis affirms the importance of the 'selective' adoption phenomenon where LDC consumers who regularly shop in supermarkets continue to purchase fresh food in traditional outlets. The implications of this analysis for food retail modernization theory and for practice are discussed and the prospects for further development of the supermarket sector in Shanghai are assessed.     

Hypermarkets and the Small Retailers in Malaysia: Exploring Retailers' Competitive Abilities

The emergence of multinational retailers, especially in grocery retailing, has changed the retail scenario in Malaysia over the last decade. In the past, grocery retail formats such as supermarkets, minimarkets, and night markets dominated the Malaysian retail scene, consumers are now given the choice of shopping in large retail outlets where new retail formats such as hypermarkets, warehouse clubs, and superstores now thrive and are increasingly gaining in popularity. Interestingly, large retail concepts are predominantly associated with multinational retailers such as Carrefour, Makro, Giant, and Tesco. The presence of large retailers brings with it the question of dominance and implications of changing customer preferences. This study assesses the perception of small retailers toward their abilities to compete effectively in an industry where large, multinational retailers appear to be dominating. It appears, however, that the small retailers possess distinctive qualities in relation to their strategic inputs that can essentially differentiate them from their larger competitors. It is suggested that some regulatory measures especially by local authorities are necessary, but this must not be to a point of curbing healthy competition among the different types of retailers.     

The key role of intermediaries in Thailand's fresh food distribution system

New overseas retail formats have been entering emerging markets since the late 1990s. Accordingly, research on the advance of transnational retailers into emerging markets has recently flourished, and Thailand, one of the most popular host countries for transnational retailers, has often been examined as a case study. Many of these studies clarify the retail internationalization process and conclude that the new formats are driving the host countries' traditional distribution system toward a fundamental change. Although these studies consider the host countries' circumstances, they do not necessarily pay sufficient attention to specific characteristics of those host countries. In case studies of Thailand, the specific roles of intermediaries throughout the entire retail and distribution system are commonly overlooked. This paper argues that intermediaries continue to play an important role in Thailand's distribution systems, especially in the system of fresh vegetable distribution. This study first explains why earlier studies often attached less importance to the examination of intermediate distribution systems, despite the necessity of considering the roles of intermediaries for a deeper understanding of the impact of new retail formats on the host countries' distribution system as a whole. After discussing the key roles of intermediaries in Thailand's vegetable distribution system, this paper concludes that because modern retailers' involvement, particularly that of transnational retailers, at the agricultural production stage is still limited in Thailand, they often rely on intermediate distributors, such as local assembling wholesalers, coordinator-type intermediaries, and wholesale markets, for the intermediate distribution process.     

An innovation perspective on Chinese retailers' competitive advantage

Given the emergence of strong local retail firms in China over the last two decades, this paper aims to explore their competence enhancement and capability building process from the innovation perspective. Innovative measures on retail format, activity and governance dimensions of three leading local retailers in China are investigated using an in-depth case study approach. After each case is studied on the three dimensions, a cross-case analysis is conducted using thematic analysis to examine their innovative strategies and to explore their sources of innovation. The three cases share notable similarities in their strategies that are in sharp contrast to those of foreign retailers. On the retail format dimension, they have all achieved differentiation by formulating niche strategies and succeeded in creating a strong reputation among customers and retaining the same. On the retailing activities dimension, they have all developed a profit-making model through unique supply chain management and stressed construction of logistics centres and operational standardisation. On the governance dimension, they have established an efficient incentive and reward mechanism to motivate employees and encourage innovative practice. They have also built long-term collaborative relationships with their suppliers. Based on these three cases, it is also found that local embeddedness, latecomers' advantages, business agility and a risk taking entrepreneurial mentality are the crucial factors behind the generation of efficient innovations of China's local retailers. With these findings, this paper has extended and enriched existing knowledge on latecomers' catch up and service innovation. It has constructed an analytical framework for retail innovation by building on relevant attempts in the existing literature. A theoretical framework that explains how indigenous Chinese retailers have managed to successfully compete with foreign retailers in China using innovative strategies has also been established based on empirical data.     

Swedish food retailers promoting climate smarter food choices—Trapped between visions and reality?

Food retailers are important actors in the development of a more environmentally sustainable food system. They are powerful in their procurement role and have the potential to promote and encourage consumers to buy climate smarter food. While food retailers have developed environmental visions, policies and goals, a major question is to what extent these commitments translate into action in the products sourced and promoted. This paper aims to explore the ways and extent to which food retailers assist consumers to make climate smarter food choices, more specific to reduce their meat consumption, and to identify potential and perceived difficulties towards doing this. The empirical data is based on interviews with 17 Swedish food retail representatives. The findings indicate that food retailers address climate change in their environmental policy statements and have environmental targets for retail operations, such as energy and transport efficiency and recycling of waste. Moreover, retailers promote and encourage consumers to buy organic, local, and seasonal food and to minimize food waste. No initiatives are taken to help consumers reduce their meat consumption. Yet, there is a growing consensus among scientists that meat production is a large contributor to greenhouse gas emissions. Food retailers seem reluctant to guide consumers to climate smarter food choices if it means reducing the meat range or the promotion of meat. To broaden the range of high quality and more expensive meat is seen as a more feasible option. The meat category is perceived as important to attract new and keep loyal customers.     

Fashion involvement and experiential value: Gen Y retail apparel patronage

Despite Generation Y (Gen Y) consumers' significant role as a decision maker in the market, it is increasingly challenging for retailers to understand these consumers’ behavior and psychology. To enhance an in-depth understanding of Gen Y consumers, this study examined the effect of fashion involvement (FI) and perceived experiential value (EV) on Gen Y consumers’ retail apparel patronage behavior. Based on a survey method, data were collected from USA and Taiwan Gen Y samples. The structural equation modelling technique was used to analyze 413 useable surveys. Results indicate EV directly influences retail patronage, while FI indirectly affects retail patronage through EV. Analysis further reveals two dimensions of FI; cognitive involvement and affective involvement. Cognitive involvement has a moderate direct, negative effect on escapism value, and weak, negative effect on utilitarian value, while affective involvement has a moderate direct, positive effect on aesthetic value and weak, positive effect on escapism value. This study theoretically contributes to understanding how consumer involvement affects perceived experiential shopping value. Findings also provide strategic ideas for apparel retailers in creating shopping environments that resonate with Gen Y customers, which ultimately leads these customers to be loyal to their brands and stores.     

How well do ‘off-price’ retailers satisfy consumers?

Off-price retailing is a new form of discount or low-price retailing that has become prominent in the U. S. during the past decade. In an attempt to satisfy today's quality-and price-conscious consumers, off-price retailers have utilized a marketing strategy of ‘brand and designer names for less’. Based on research assessing consumers' attitudes towards apparel offerings of off-price versus conventional retailers, we suggest that off-price retailers are not yet successful at satisfying consumers' needs and wants in their special niche of the market. We recommend several revised marketing strategies to enable off-price retailers to satisfy consumers better, and thereby maintain their niche in the ever competitive consumer market. We conclude by observing that it is important that consumer-orientated professionals take an advocacy role in encouraging retail institutions such as off-price stores to revise their marketing strategies to serve consumer interests better.     

Antecedents of rural and urban consumers' propensity to outshop and product specific outshopping behaviour

Retail sector survives in the face of severe competition caused especially by outshopping activity. Outshopping involves residents—urban or rural—of one area travelling to another area, usually larger retail developments, to buy goods. This practice is of special concern to retailers particularly when consumers outshop even if the product is available locally. This study aims to understand how psychographics influence the propensity to outshop among urban and rural consumers, and more specifically to find out which products they purchase. It analyzes a quota sample of 298 usable responses from urban and rural areas of northern Gujarat. A structured questionnaire was administered through survey approach. From an exploratory analysis, six factors were extracted and regressed with a propensity to outshop among consumers, followed by the analysis of variance to determine which products were outshopped by consumers. The study demonstrates that rural consumers’ propensity to outshop is influenced by factors such as outlet prone, local involvement, and time saving opinions, urban consumers’ propensity to outshop is influenced by travelling oriented, outshopping interests, and time saving opinions. Additionally, rural consumers outshop for sports goods and flooring materials, while urban consumers outshop for children's clothing and fancy items for women’s use. This study can help retailers to tailor-make their communication strategies for rural and urban consumers. In addition, it can contribute significantly in understanding the retail flow for specific product categories, which in turn, can help retailers in designing marketing mix strategies for expanding their customer base.     

Trustmarks: Strategies for exploiting their full potential in e-commerce

Internet-based commerce has undergone explosive growth over the past decade and is expected to keep growing. With the increasing popularity of online marketplaces, trust is seen as a key foundation for consumers’ willingness to purchase, in particular, from unknown sellers. While trust has been examined in various contexts, limited focus has been placed on the importance of displaying institutional trust assurances such as trustmarks on retailers’ websites. We conducted two studies into how the use of trustmarks impacts consumer trust, consumer risk perceptions, and, consequently, influences consumer purchase intentions. The results of the two studies suggest that the use of trustmarks increases consumer online trust and purchase intentions, as well as reducing their perceived risk. We use these results to inform managerial decision making in e-commerce, particularly for marketers and e-retailers. We provide three important managerial lessons to be learned from our insights. Our implications are important not only for mature e-commerce markets to create a competitive advantage but also for growing and emerging e-commerce markets, where new retailers are trying to establish trust among their consumers to increase market share.     

Consumers' and retailers' practices and attitudes towards energy-efficient clothing

The purpose of this study was to compare the extent to which consumers and retailers consider energy efficiency in evaluating and selecting indoor sportswear. Little research has been conducted in which retail buyers are subjects; no published research has focused on a comparison of consumers and merchants in regard to their attitudes towards a specific product. The value of such research lies in determining whether a particular consumer need is being met. The results of the present study revealed that retail buyers were less concerned about energy-efficient clothing than were consumers. Significant differences were found between the two groups for four of the nine variables studied. In all cases, consumers gave greater consideration to the energy efficiency of indoor sportswear than retail buyers believed. Further investigation of differences in consumers' and retailers' attitudes and practices is needed.     

A psychological examination of attachment insecurity,loneliness, and fear of missing out as drivers of retail patronage among emerging adults

Recent consumer literature has shown that attachment insecurity (i.e., anxious, avoidant) enhances individual's motivations for retail shopping. We extend that literature using attachment theory to explain how attachment insecurity, loneliness (i.e., social, emotional), and fear of missing out (FoMO) affect retail patronage. We posit that these three negatively valenced psychosocial conditions generally incline emerging adult consumers toward retail patronage to resolve their relational deficits. Based on results from partial least squares-structural equation modeling (n = 509), we find support for most of our hypotheses. The study presents previously unavailable knowledge about antecedents of FoMO and multiple negative psychosocial drivers of retail patronage. We provide a foundation for future scholarship to examine more broadly how attachment, loneliness, and FoMO impact consumer behavior. Managerial and theoretical implications are also provided.     

The evolving direct-to-consumer retail model: A review and research agenda

The substantial growth of e-commerce sales, driven by digital advancements, has enticed brands to sell direct-to-consumers (DTC) online. Despite the growth of the DTC online retail model in practice, academic literature remains fragmented. This systematic review is timely as it meets the need for a comprehensive understanding of the evolution of DTC over two decades of research to 2023. A SPAR-4-SLR protocol combined with a Theory–Context–Methods (TCM) approach examines the extant literature through a marketing lens. An analysis of 81 articles reveals a need for consumer behavior theories to underpin research on the DTC retail model. We conclude the review by identifying areas for further development, such as the need for research on the technology-driven balance of power between brands, retailers, and consumers. Contextually, the authors highlight research opportunities on SME brands' internationalization and the DTC online luxury experience. Methodological directions include empirical qualitative studies and experiments on the emerging topics of technology-enabled retail services and the experiential e-commerce impact on customer experience. These future research undertakings will help us to better understand the DTC retail model.     

Re-imagining retailers’ co-operatives

This article gives clarity to the area of retailers’ co-operatives. It provides a discussion on the different types of co-operatives and their identifying characteristics. This is to clear up common misunderstandings and misapplication of the word retail co-operative in the literature and popular culture and allow for further research in the area of retailers’ co-operatives. This article also provides a discussion of the drivers and developmental path for retail co-operation as a strategy for independent retailers. Three types of retail co-operation are discussed in this way namely buying groups, retailers’ co-operatives and retailers’ co-operative retail chains. The differences between a retailers’ co-operative retail chain and a corporate retail chain are then elucidated. Finally, managerial implications are provided surrounding retail strategy. This research is important as it provides greater understanding of a very successful retail format that has not been studied in depth, a format that allows for sustainable retail development and growth. This article enables further study in the area along with clarity on terms and dimensions.     

Consumer satisfaction in retail stores: theory and implications

The substitution of small retail stores by the large stores has been a topic of debate among academics, practitioners, retailers and general public, especially in the context of foreign firms entering emerging markets such as China and India. The purpose of this research is to find out the determinants of consumer satisfaction in small and large retail stores in an emerging market, with a sample from India. Data were collected using a 39‐item structured questionnaire developed by the authors. The sample consists of 225 consumers who shop at retail outlets (Convenience sample of 125 consumers from small and 100 consumers from large stores respectively). Exploratory factor analysis grouped the 39 variables into 14 factors. Further, regression analysis revealed that six of the factors (Social desirability, staff friendliness, shopping economy, shopping ambience, family shopping and deal proneness) were major predictors of consumer satisfaction as they were found to be significant at 5% level. The significance of factors such as social desirability and staff friendliness imply that many consumers prefer those typical features of small stores, which in turn results in the likely coexistence of small retail formats in spite of the entry and proliferation of large retail stores from different countries. We posit three theoretical propositions to stimulate further research in this area.     

Child socialization practices: Implications for retailers in emerging markets

Considering the unprecedented growth in the active role of children in the modern market place the present paper attempts to understand the potential of kids as consumers in an emerging retail market. The exploratory study uses a quota sample of 136 urban Indian parents to assess their attitude towards parenting and child socialization along with their preferences for retail formats while buying across select children׳s product categories. The empirical evidences of the research established the active and positive role of the urban Indian parents in the child׳s consumer socialization process and acknowledge the growing status of a child as an influencer and independent buyer with respect to select product categories in the market. The study reiterates on the positive correlation between the child׳s age and the strength of his influence on family purchase decisions. The paper significantly contributes with its insights on contemporary consumers to aid retailers with relevant marketing knowledge pertaining to the market of children and their parents in emerging India.     

Internationalization of South African Retail Firms in Selected African Countries

African markets are complex environments for foreign multinationals. The continent, which has recently attracted significant attention for its rich potential and growth prospects, presents a multitude of challenges for the South African retailers leading the charge of retail expansion. This qualitative study seeks a deeper understanding of the contextual challenges experienced by these firms in other African markets, and how they have managed this process. It further engages how these firms build networks with local stakeholders and how they overcome information deficits. This study confirms the rich variety of capabilities and approaches developed by South African retailers operating across the continent, as opposed to a single standard approach. The research has further confirmed that these firms typically use SA Inc. as a country specific advantage in their expansion, leveraging off their inter-firm networks and personal exchanges to gain a better understanding of African markets and their consumers.     

Perceived usefulness of innovative technology in retailing: Consumers׳ and retailers׳ point of view

Technology has always played important role in retailing. On one hand, technology enables retailers to improve their services to customers, to improve their management operations and reduce their cost as well. On the other hand, technology brings some benefits to consumers related to short lines at checkouts, higher speed in providing services in the store, no pricing errors, loyalty card programmes, etc. The main purpose of the paper is to discuss the benefits and limitations of technology in retailing in general. For the purpose of getting better insight into the importance of new technological solutions for retailers and consumers, different areas of technology in retailing have been explored in the selected retail context of the Republic of Croatia. The findings of the two-phase study, including a qualitative and a quantitative approach, suggest that innovative technology help consumers to make their shopping decisions, while better understanding of consumer goals and related stored information in turn would help retailers to develop successful retail strategy.     

Internet or store? An ethnographic study of consumers' internet and store-based grocery shopping practices

Drawing on practice theory, this paper develops an understanding of the interrelationships between where and when consumers shop (the internet, stores, and their preferred retailers), and what they purchase (via the internet and in-store). Ethnographic case studies are presented of two consumers’ internet and store-based shopping practices, and how these intersect with their everyday lives, using data generated from multiple, complementary methods over an eighteen-month period. To this end, the paper contributes to the extant internet grocery shopping literature by offering a wider understanding of internet usage, as well as to broader debates surrounding retail change and shopping practices. The managerial implications of internet shopping on the contemporary retail grocery environment are also described and discussed.