Examining the Impact of Store Attributes on Customer Loyalty of Superstores in Pakistani Retail Industry

Abstract

The present study aims to examine store attributes impact on the customers’ loyalty in context of superstore operations in Lahore, Pakistan. A sample of 300 families shopping at superstores in Lahore participated in a self-administrated survey. The hypothesis was tested using advanced regression technique called PLS-SEM that identified the impact of store attributes on customer loyalty. The four dimensions of store attributes are merchandize, interpersonal communication, direct mailing and post-transaction. All the aforementioned dimensions have a significant item loading value between 0.5 – 0.7. The results reveal that store attributes have an impact on the customer loyalty based on either attitudinal or behavioral loyalty. The present research addsmeaningful insights for super store managers. They should focus particularly on store attributes in order to achieve customer loyalty. The data collected was limited to superstores of Lahore only. Future research should examine store attribute characteristics in different superstores setting with more diverse populations. The present study reveals that store attributes (merchandizing, store atmosphere, post-transaction services, direct-mailing, preferential treatment, and interaction with customers) have an impact on the customer loyalty.