Outshopping Behaviour Research Articles

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.

Moderating effect of age and gender on consumer style inventory in predicting Indian consumers’ local retailer loyalty

Consumers’ outshopping behaviour affects the local retailer performance and profits. The current research examines the influence of age, gender and consumer style inventory (CSI) on Indian consumers’ local retailer loyalty. The findings suggest CSI cannot be applicable in Indian conditions, and only three decision styles – quality conscious, brand conscious and utilitarian conscious – emerge as significant. Local retailer loyalty behaviour was classified under convenience and relationship. Age and gender have a moderating influence on CSI in predicting Indian consumers’ local retailer loyalty. The brand conscious and utilitarian conscious consumers are more loyal to local retailers. Young and female consumers preferred to shop from the local retailers.

Urban Orientation of Rural Consumers: Implication for Consumer Goods Distribution

Demand for consumer goods in rural markets in the emerging economies is increasing, and these markets are being targeted by multinational companies marketing consumer goods. While all companies are designing distribution strategies to reach the existing rural retail outlets and the periodic markets, a few companies are also developing innovative modes of distribution. Despite the availability of a product in the rural retail formats, some rural consumers were found to make their purchases from a nearby town. This article studied the outshopping behaviour of rural consumers and identified that the decision of what and where to purchase consumer goods could be inferred by identifying their urban orientation. A ‘person–situation’ framework is used to segment the rural market based on the rural consumers’ urban orientation. This framework would help marketers plan their distribution for the rural consumers. The article also suggests a good promotional strategy should support the distribution strategies.

Market segmentation of clearance sales outshoppers using cluster and classification tree-based approach

This study facilitates the understanding of market segments behind the clearance sales outshopping behaviour. Our concern in this paper is to understand the clearance sales outshoppers in India and segment them based on the shopper’s perception on retail area attributes. This study has linked clearance sales for the first time with outshopping behaviour. In this sense, this paper focuses on retail area attributes as a possible criterion to segment the outshoppers. It starts by analysing the existing outshopping behaviour concepts. Then the market segments of clearance sales outshoppers were identified by collection of data across three trading areas. After reviewing the existing concepts of outshopping behaviour, we performed a segmentation analysis of clothing and apparel outshoppers in India. Firstly, a hierarchical cluster analysis was carried out, and then k-means cluster analysis identified two meaningfully differentiated customer groups. Further, a classification and regression tree analysis was performed to identify the retail area attributes that differentiated the clustered groups. Finally, two clusters of clearance sales outshoppers namely store-oriented shoppers and market-oriented shoppers are identified. Main conclusions with implications for retailing management are pointed out.

A neural network model for clearance sales outshopping behaviour

This research applied a neural network model to study the clearance sales outshopping behaviour. The Guass Newton algorithm is selected to learn the pattern of the surveyed information. The architecture of this neural network is the multi-layer neural network. There are five hidden layers between the input layer and the output layer. We have used a neural network model to measure the impact among the retail area attributes, retail area satisfaction and retail area loyalty. This paper describes the impact of 27 input layers on five hidden layers. Then the impact of hidden layers on retail area loyalty and retail area satisfaction of the clearance sales outshoppers is obtained. The model fitness indices revealed that the proposed full neural network model to measure the clearance sales outshopping behaviour is significant. The development of model by retail area attributes, and their interpretation, was facilitated by collection of data across three trading areas. This neural network modelling approach to understanding clearance sales outshopping behaviour provides retail managers with information to support retail strategy development.

A study of cross‐border outshopping determinants: mediating effect of outshopping enjoyment

AbstractOutshopping has been studied in the marketing literature for years, and research has identified some compelling reasons for people to shop out of their home country. Outshoppers literally go extra miles to outshop for better quality and assortment of merchandise, higher quality of personal service, more pleasant shopping atmospherics, and more competitive prices. In this study, we propose that outshopping enjoyment is not only directly related to outshopping, as are the earlier outshopping determinants, but mediate the relationships between those cognitive determinants and outshopping behaviour. In addition, we explore how patriotism and terror would affect people's outshopping frequency. Managerial and research implications are also discussed.

The cross-border shoppers' behaviour: the case of Singapore

Cross-border shopping has been of interest in the past decade. Given the close proximity of Singapore and Johor Bahru (JB) (located at the southern tip of Malaysia), outshopping has become a notable feature of cross-border visits. We compared the travel frequencies of 203 Singapore residents who travelled to Malaysia for shopping purposes. We also identified and measured the factors that might influence their cross-border shopping behaviour. Our results revealed that there was a significant difference in the travel frequencies between the younger and older respondents. However, there were no significant differences between males and females and between the low income earners and the high income earners. As for the determinants of outshopping behaviour, it was found that marketing mixes and accessibility, as well as economical factors, all had significant and positive influences on cross-border shopping.

Outshopping behaviour: an explanation of behaviour by shopper segment using structural equation modelling

Outshopping is defined as the purchase of goods by consumers outside their local shopping area. Structural equation modelling was applied to the data to confirm relationships previously reported in the literature and relationships established through causal path method. Anticipated linkages explaining outshopping behaviour by shopper segment are argued from shopper segment descriptors, and separate models of outshopping behaviour presenting different causal explanations are tested for each segment. While outshopping behaviour for the total sample is explained through a model containing several constructs, multiple variables and direct and indirect paths, when outshopping behaviour is examined by shopper segment, different patterns emerge. Aspects important to specific shopper groups dominate their evaluation of a specific shopping area, and this evaluation contributes directly and, for some shopper segments indirectly, to outshopping through trading area commitment. A segmentation approach to understanding outshopping behaviour provides shopping centre managers with information to support retail strategy development.

Modelling outshopping behaviour: a non-metropolitan perspective

Outshopping is defined as the purchase of goods by consumers outside their local trading area. Outshopping behaviour is of concern to regional (defined in this paper as non-metropolitan) retailers as they recognize competitive forces coming not only from within their own regional trading community, but also from larger, distant regional or urban trading communities. This present study develops an explanatory model of regional outshopping behaviour that is useful for strategy development for regional retail trading areas. The model adopts a segmentation approach, to allow examination of the outshopping population on bases relevant for regional retail strategy development. This model provides a foundation for the continued monitoring of changing consumer shopping attitudes, preferences and behaviour and the changing requirements of other non-shopping related activities that determine changes in outshopping patterns over time.

Causal linkages between psychographic and demographic determinants of outshopping behaviour

This article explores determinants of rural to rural outshopping in the Central Western region of NSW, Australia. The results of this study indicate significant psychographic and demographic variables associated with outshoppers to another rural trading area. These outshoppers tend to be more socially active, innovative, have one to two children living at home and are younger than those people who tend to shop in their local trading area. Regression analysis is used to develop a causal relationship between psychographic variables, demographic variables and outshopping.

OUTSHOPPING FROM SMALL TOWNS A BRITISH CASE STUDY

Most of the published research on outshopping (consumers buying goods in places outside their home town) has been American. This is an analysis of outshopping from Newtown, Wales, UK. Information based upon a survey of over 300 households was collected relating to recent places of purchase for six different types of comparison goods. Generally, car owners were more likely, and older residents less likely to have recently purchased goods outside Newtown. Outshopping was also related to negative attitudes to Newtown′s shopping centre and positive attitudes to shopping else‐where. A logit regression analysis shows that demographic and attitudinal characteristics can both have important and independent effects upon outshopping behaviour. However, out‐shopping for do‐it‐yourself products, electrical goods and furniture appears less systematically related to these characteristics than does out‐shopping for clothing, footwear and furnishings.

Clothing outshopping in a rural Western community

Statistics reveal that over half of all women are gainfully employed outside the home. Professional working women have a certain status to maintain and it is reasonable to assume that their clothing needs might differ from women who are employed in other occupations and who remain in the home. Recent research has shown that considerable shopping occurs out of the local retail trade area (termed outshopping). Product‐specific outshopping research has revealed clothing to be a product consumers are willing to out‐shop to obtain. Professionally employed women might have to resort to outshopping more often than the other women in order to meet their clothing needs. For this project outshopping was defined to be the percentage of shopping which occurred at least 50 miles from the test site.This research represents the combined efforts of a graduate class studying trends in fashion merchandising; a telephone survey was developed and conducted by the class and responses from 100 female consumers were analysed using multiple step‐wise regression. It was predicted and found that clothing outshopping behaviour could be significantly predicted by the degree of satisfaction with local retailing and number of children remaining in the home. Including the two variables professional/non‐professional working status, and the age of female respondent as predictors, did not significantly improve the ability to predict outshopping behaviour. The implications for retailers are discussed.

Consumer Outshopping Behaviour and its Implications for Channel Strategy: A Study of the Camera Patronage Pattern in Hong Kong

Uses a product‐oriented approach to examine consumer outshopping patterns in a large and densely polulated city — Hong Kong. Concentrates on one popular consumer product, the camera, as an example, and looks at the possible effects of different product forms and price combinations on outshopping patterns. Analyses the implications of consumer outshopping for the individual retailer, particularly with regard to the formation of channel strategies. Suggests that consumers' outshopping patterns are not only product specific, but are also influenced by product form and the price of that product.

Outshopping from a British new town: the case of Cwmbran

Results are discussed of an interview survey on consumer outshopping behaviour. Outshopping is defined and the survey area of Cwmbran New Town, UK, described. Two thirds of households are shown to be outshoppers. The frequency and extent of outshopping is analysed. The most common frequency is monthly with non-food purchases dominating buying habits at outcentres. The socio-economic characteristics of outshopper households are compared with those of local shoppers. The intensity of outshopping is considered and five types of outshopper isolated. Some determinents of outshopping behaviour are considered and price differentials appear to be a major trigger in the outshopper decision process. Other work on outshopping is discussed and compared with the results of the present survey.