How to serve online consumers in rural markets: Evidence-based recommendations

Online shopping is growing significantly among rural consumers interested in overcoming product assortment limitations in their local markets. Retailers are taking notice, and some are looking for first-mover-advantage opportunities in rural areas where they see greater potential for growth when compared to saturated urban markets. However, expanding to these areas presents significant and unresolved challenges related to last mile fulfillment caused by low levels of population density as well as other socioeconomic and demographic characteristics. In this article, we present an integrated set of recommendations for online retailers to differentiate strategies to serve rural markets efficiently. To that end, we partnered with an online grocery retailer to examine differences between rural and urban consumers across online shopping preferences that significantly impact fulfillment costs. We draw on those differences and existing knowledge on last mile fulfillment operations to propose a tailored consumer value proposition and operational model for last mile fulfillment in rural markets.     

Shopping streets versus shopping malls – determinants of agglomeration format attractiveness from the consumers' point of view

The decline of shopping streets and the rise of shopping malls have been major trends in European retailing for decades. So far, research has failed to investigate this shift of agglomeration format (AF) patronage from a marketing perspective, including the consumers' point of view. This paper presents a theoretical discussion of the generic similarities and conceptual differences between shopping streets and shopping malls. Subsequently, the AF-specific characteristics perceived by consumers are compared and discussed with respect to their impact on agglomeration attractiveness. This leads to the development of a conceptual framework which is empirically tested using a web-based survey of almost 1000 consumers representing a typical urban central European retail market. The relative importance of nine distinctive AF characteristics on attractiveness was analysed using structural equation modelling. The findings proved to be quite similar for both shopping streets and shopping malls; the retail tenant mix and atmosphere had the highest relative importance.     

Outshopping Through the Internet: A Multicountry Investigation

ABSTRACT

From the viewpoint of trade leakage for local retailers, Internet shopping bears a similarity to traditional outshopping, in the tendency to shop outside the consumer's immediate shopping areas. Yet, the relationship between consumer outshopping?related characteristics and preference for Internet shopping has received little, if any, research attention. We investigate this relationship using survey data from consumers in three countries—the United States, India, and Korea. According to the results, consumer in-home shopping proneness and perception of time pressure are positively related to consumer preference for Internet shopping mode. In contrast, consumer support for local shopping and orientation toward time management are negatively related to Internet shopping preference. Other findings and managerial implications are also reported.     

The relevance of shopper logistics for consumers of store-based retail formats

This paper discusses and empirically evaluates the relevance of shopping-related logistics for consumers of store-based retail formats. Based on a literature review a conceptual model was developed and subsequently tested using a survey of more than six hundred consumers in the grocery retail sector. Respondents were those primarily responsible for grocery shopping in their households located in a highly concentrated European urban retail market. Variance based structural equation modelling reveals that shopper logistics has a major impact on the convenience of store-based shopping and partly influence consumers' perceptions of shopping related costs. Nevertheless, shopper logistics does not affect consumer behaviour in terms of the share of visits of a store. These results are moderated by age, hedonic shopping orientation, shopping frequency, average spending per trip and store format preference. We conclude that shopper logistics is relevant for consumers of grocery stores but its relevance varies between different shopper groups.     

The death and life of shopping malls: an empirical investigation on the dead malls in Greater Lisbon

At a moment when new retail formats are emerging and consumers are changing their preferences, it is vital to reflect on the existing shopping malls, which are being challenged in European cities. With their vitality endangered, many become dead malls, a phenomenon that has increased over recent years. With this in mind, the objective of this study is to explain the factors behind the proliferation of dead malls through an empirical analysis of the evolution of shopping malls in Greater Lisbon, Portugal. We combine three sets of retail change theories (cyclic, conflict and environmental) with current perspectives on the resilience of urban retail. We expect that our study will contribute toward current debates on the resilience of shopping malls. The methodology of our study comprises two stages. First, we updated the Greater Lisbon shopping mall database and analysed the growth and decline of each shopping mall type over the last 44 years. In a second phase, we conducted a fieldwork survey on 150 shopping malls, which allowed us to identify and profile the dead malls of Greater Lisbon. Our results show that dead malls match declining shopping mall types, and we discuss four factors affecting the resilience of shopping malls.     

Influence of apparel quality knowledge,purchase attitudes and demographics on patronage preferences of rural and urban women

The influence of extrinsic cues (price, quality, store image), intrinsic cues (apparel quality knowledge) and demograpics on the store-patronage preferences of rural and urban consumers was determined. Multiple linear regression was used to generate three predictor models of store patronage (P < 0.05) for 192 rural and 149 urban women responding to a mail survey on attitudes toward discount stores. No differences were noted in attitudes of rural and urban consumers. Attitudes toward apparel price, quality and store image in discount and non-discount stores were much better predictors of store-patronage preferences than were apparel quality knowledge and demographic characteristics. The results of this study may help retailers in defining and reaching their target markets and help educators in assisting students to understand consumer-purchase attitudes and patronage preferences.     

消费者网络购物影响因素分析

对中国消费者网上购物的动机、决策过程等进行研究,识别影响消费者网上购物的主要因素,有助于促进我国网络购物有序、健康的发展。研究结果表明,城市消费者网络购物意愿受文化程度、网络应用技能、网络购物的安全性等因素的影响比较显著,而消费者的年龄、收入状况、便利性评价等因素影响较弱。     

A Study of Prior and Intended Catalog Shopping

The present study provides an extension of the research which has focused on in-home shopping activity. Recent reviews of the extant literature are discussed, leading to the position that research must begin to examine a broader range of factors which prompt and sustain in-home shopping behavior. A framework representing an adaptation and extension of several retail patronage models is developed and tested. The results obtained generally support the advisability of this approach.     

Acculturation levels and shopping orientations of Asian-American consumers

The study investigated (a) shopping orientations of adult, Chinese-and Filipino-American consumers living in San Francisco, (b) their acculturation levels, and (c) relationships between acculturation levels and shopping orientations. A mail survey, sent to a random sample (N = 124), included the Suinn-Lew Asian Self-Identity Acculturation scale (SL-ASIA), 41 shopping orientation statements, and demographic items. Factor analyses resulted in four SL-ASIA factors and 10 shopping orientation factors. Results of t tests showed statistically significant differences in responses to two shopping orientation subscales (shopping sex roles and shopping opinion leadership) between high and low acculturation groups. Findings suggest that certain shopping-orientation constructs are more closely linked with acculturation of Asian-Americans than other shopping-orientation constructs. © 1997 John Wiley & Sons, Inc.     

How the Fall of the Iron Curtain Has Affected Consumers' Perceptions of Urban and Rural Quality of Life in Romania

Summary

Marketing and quality of life (QOL) literature is reviewed to conceptualize a model of the impact of marketing activity on QOL. This model outlines how the four elements of the marketing mix affect the life domain of shopping, dealing with the acquisition, possession, use, and consumption of goods. In turn, four strategic considerations/indicators connecting this life domain with QOL are identified: the four A's linking marketing with QOL -i.e., appearance of goods in the market, and awareness, availability, and affordability of goods for consumers. A large-scale field study in urban and rural Romania, a country undergoing rapid marketization, was conducted to test hypotheses and to validate secondary data findings relating availability and affordability of goods with QOL for urban and rural consumers. The findings support the predictions that availability and affordability are positively related to QOL. Secondary data findings concerning changes in the availability and affordability of goods and services, and hypotheses concerning changes in the QOL in Romania between the years 1989 and 1993/1994 were also validated and supported. The findings indicate that availability has improved during this period, whereas afford-ability has decreased. Overall, as hypothesized, these changes have resulted in the deterioration of QOL in Romania in today's marketizing economy, as compared to the planned economy, before the revolution. Finally, urban versus rural differences in the impact of marketization in terms of changes in the availability and affordability and in QOL are also studied.     

Characterisation and comparison of gender-specific utility functions of shopping duration episodes

This paper reports the results of an analysis of gender differences in the parameters of utility functions derived from activity duration data. The estimated utility functions allow a comparison of the marginal utility, inflection point and the (a)symmetry of the utility of activity duration. Some significant differences between men and women are found. The results of the analyses indicate that the utility that men and women derive from basic in-home leisure activities is more or less the same. Gender differences were found for out-of-home activities, including grocery and non-grocery shopping activities.     

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.     

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.     

Farmers' Market consumers: a Scottish perspective

Farmers' Markets in Scotland have gradually developed since 1999 as an alternative retail outlet for consumers. Throughout the UK, shoppers have become increasingly concerned about the quality and safety of their food and as a result seek healthier, locally grown organic and non‐organic produce. Thus, the growth of Farmers' Markets is directly related to consumer demand for fresh foods, direct from source, with the high quality of products being a primary reason for shopping. Farmers' Markets are not only seen as a place to buy ‘good food’ but also as a means to express consumer values associated with food choices. Scottish Government efforts to revitalize rural economies through local enterprise initiatives is evidenced by funding the initial establishment of the Scottish Association of Farmers' Market (SAFM), formed in 2000 by market organizers to further their development. The benefits of fresh local produce for Scottish consumers, the revival of a sense of community and the concept of ‘new consumption spaces’ tied to locality means the rural economy benefits from the increase in activity and profits through direct sales. This research investigates consumption habits at farmers' markets through the use of attitudinal theories along with food behaviours and motivations for purchasing. The results demonstrate that a positive attitude is important but the influence of others and barriers are not. Consumers are particularly motivated towards resource conservation and there are distinct differences in attitude between urban and rural shoppers. This research provides a unique insight into the attitudes that influence and motivate Farmers' Market consumers in Scotland.     

A comparison of online and offline consumer behaviour: An empirical study on a cinema shopping context

The main objective of this study is to analyse online vs. offline differences in consumer behaviour. To this end, through a proposal applied to cinemas in shopping centres, this study considers values and lifestyles as major factors that influence behaviours and intentions. The partial least squares (PLS) approach is used to evaluate the model. A multi-group analysis is conducted to compare consumers who buy tickets online with those who do so at a box office. We consider 391 valid cases. The results obtained show a link between the use of technology and its effects on behaviour. The relationships between values and behaviour as well as between behaviour and future intent are stronger among online consumers than the effects of lifestyles on behaviour. We consider relevant theoretical and empirical perspectives and offer critical recommendations of use to shopping centre managers, movie theatres, and intermediaries of this sector.     

Website evaluation criteria among US college student consumers with different shopping orientations and Internet channel usage

The purpose of this study was to compare the website evaluation criteria among college student consumers in the US with different shopping orientations and Internet channel usage (i.e. online information searchers, online purchasers). The sample for this research was 414 college students, non‐married and aged 18–22 who have experience in visiting websites selling apparel products. Five apparel website evaluation criteria were identified by factor analysis (i.e. product information, customer service, privacy/security, navigation, auditory experience/comparison shopping). Based on shopping orientation factors, cluster analysis revealed three shopping orientation clusters (i.e. Hesitant In‐home Shoppers, Practical Clothing Shoppers, Involved Clothing Shoppers). Factorial manova showed that website evaluation criteria were significantly different among college student consumers with different shopping orientations and between online information searchers and online purchasers. Implications and limitations of the study are discussed.     

How national culture impacts teenage shopping behavior: Comparing French and American consumers

The global teen market has significant spending power and an important impact on the world economy. However, much remains unknown about the social motivations of teenage consumers and cross-national cultural differences in teenage shopping. This research studies teenage shopping motivations in two nations: the U.S., which is a highly individualistic national culture with low power distance and low uncertainty avoidance, and France, which is perhaps a somewhat more collectivist, more inter-dependent national culture with high power distance and high uncertainty avoidance. This research samples 570 teenage consumers. Susceptibility to peer influence (SPI) drives teenage consumer shopping in France, while both need for uniqueness (NFU) and SPI motivate teenage shopping in the U.S.     

The effects of benefit-driven commitment on usage of social media for shopping and positive word-of-mouth

Shopping on social media (SM) is more popular now than ever. SM enables interactive communication among users and provides great opportunities for marketers and advertisers to reach out to consumers. While SM has potential as a marketing platform, not much is known whether consumers perceive benefits of SM as a shopping platform and how such perceived benefits can drive their shopping activity on SM. The purpose of this study is to examine the relationship between consumers’ multi-dimensional perceived SM benefits, their commitment to SM, the actual usage of SM for shopping purposes, and their willingness to spread positive comments about their shopping experience on SM. Results of an online survey (N = 325) successfully confirmed the proposed model: consumers perceive functional, experiential, and/or symbolic benefits from using SM, show calculative, affective, and/or normative commitments, use SM for shopping purposes, and engage in generating positive electronic word-of-mouth. This research contributes to the literature by revisiting SM as an emerging shopping platform and empirically validating the conceptual model that lays out the motivational processes underlying shopping via SM.     

网购对家电企业渠道的影响分析及发展建议

随着我国网络购物的快速发展,越来越多的消费者纷纷通过网络来购买家电,网络即将成为家电市场的第三大渠道形态。网购对于家电企业的渠道而言具有拓展销售渠道、增强渠道控制力、降低渠道成本、加剧渠道冲突等影响。为此,家电企业可以采取密切与网络渠道的合作、加强对网络渠道的管控、在城镇及农村市场构建多元化的渠道体系、拓展新兴渠道举措来应对,最终使家电企业渠道得到更好的发展。     

Comparing online and non‐online shoppers

A web‐based survey was completed by 130 faculty and staff from a university located in the south‐eastern United States. The purposes of this study were to investigate: (a) consumer characteristics related to online shopping; (b) benefits of online shopping as perceived by online shoppers; and (c) concerns about online shopping as perceived by non‐online shoppers. Responses were analysed using SPSS for tests of chi‐square. Findings suggest that the differences between online shoppers and non‐online shoppers correspond with Rogers’ 1 categories of adopters, and that the educational needs of consumers also differ based on their previous experience with online shopping.