Constructing a conceptual model of purchase behaviour of village shopkeepers – a study of small rural retailers in Eastern India

Abstract

Small rural retailers play a pivotal role in the success of marketing efforts of FMCG companies in developing markets. This is owing to the influence of small retailers, alternatively termed as unorganized retailers, on rural consumers. The present study attempts to develop an inventory of items that may predict purchase behaviour. Owing to the unavailability of a suitable instrument in extant literature, a survey of rural marketing practitioners has been conducted to develop relevant statements for questionnaire. The unobservable constructs and the relationships between the constructs are brought out through a study in the eastern region of India. The following constructs have been found to impact the purchase preferences of rural unorganized retailers: quality of supply and delivery, margins and profit, product demand, credit, brand reputation, social and personal recognition, sales force behaviour, seasonality and festivity, and company reputation. A marketer should understand the factors influencing purchase behaviour while targeting rural retailers in developing markets.