Abstract

Spatial crowding and social crowding are mutually distinctive dimensions of perceived crowding. This study investigates the sole effects of spatial crowding on store loyalty and the roles of store size in spatial crowding-store loyalty relationships. Two video clips which display different store size were recorded for the purpose of the study. An internet survey was conducted with 400 fashion brand consumers. A multiple group analysis was conducted using structural equation modeling. This study consists of three stages. The first stage tested the general effects of spatial crowding. Test results showed that, when social crowding was controlled, spatial crowding did not show negative impacts on pleasure, rather the relationship was positive. Pleasure showed positive impact on expectation and, subsequently, it led to store loyalty. Such results are opposed to a prevailing belief that retail store crowding results in negative retail outcomes. The second stage tested the role of store size. Density and social crowding were controlled as the same level in both small and large stores. In the large store, spatial crowding effected on pleasure positively, whereas, the effect was negative in the small store. The third stage revealed the mediating effect of perceived control, albeit partially. In the small store, the negative effects of spatial crowding on pleasure dropped in magnitude when perceived control was included as a mediator. Implications for practice and future research opportunities are discussed.

Highlights

  • A store atmosphere has significant impacts on consumers’ purchase decision [1]

  • This study aims to test the roles of retail store size in spatial crowding-store loyalty relationships

  • The effects of spatial crowding on store loyalty were analyzed through a two-step structural equation modeling approach [46]

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Summary

Introduction

A store atmosphere has significant impacts on consumers’ purchase decision [1]. It is believed to be more influential than products or service itself at the service encounter [1]. Retail store is a crucial component of store atmosphere [1]. It helps customers to expect of store service and generates perceptual images of store in customers’. Physical environments of retail store affect every aspect of retailing business [2]. In this regard, retailers try to provide positive shopping experiences to their customers and enhance customers’ store loyalty by managing store atmosphere [3]. This study is designed to test two fundamental factors of retail store atmosphere; retail store crowding and retail store size

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