Patronage Behavior Research Articles

English

The purpose of this study is to identify the purchasing drivers of apparel consumer in apparel product categories, in the context of the evolving organized retail industry in India. The paper attempts to correlate the distinct store features as perceived by respondents with the true motivations of various consumers in purchasing and patronising of organized outlets. In the process it provides insight of various attributes influencing the purchasing behaviours of an average Indian consumer. The framework evolved for evaluating effectiveness and impact of different attributes influence the behaviour and a major impact on the overall profitability of the retailing business. Increase in the rate of literacy, growing number of working women, highly disposable income, easy availability of credit at low interest rates and high rate of media penetration along with the assurance of similar quality products with large ambit of price differentiation, painted the India’s dynamic organized retail landscape. Rising interest and growing expansion of organized retail market leading to success of a business, depends solely on consumers’ urges that there is a need to study their buying behaviour. The study is based on primary data, a total of 178 apparel retail customer from leading outlets in Hyderabad and Secunderabad are surveyed by using structured questionnaire with mall intercept method. The results reveal that the shoppers do not rate the factors equally, without leaping in the dark, proper emphasis can be given to the factors. The results further prove that the apparel consumers’ buying behaviour is mostly influenced by the attributes like style > value > diversity > demand > credibility > concern > referral groups. This study contributes information to both academic and retail managers for their theoretical and practical purposes. Key words: Consumer behaviour, retail format, apparel, demographic patronage behaviour.

An Examination of the Relationship Between a Firm's Offerings and Different Customer Loyalty Segments

Purpose: Loyalty reflects the highest state in the buyer–seller relationship and occurs when repeat patronage and commitment are both high. One generally accepted model of segmenting the customers by degree of loyalty includes 4 categories of loyalty: no loyalty, latent loyalty, spurious loyalty, and loyalty. This study examines the relationship between these 4 customer segments and their evaluation of the firm's offerings. Methodology/approach: This study uses self-reported purchase behaviors and attitude toward the seller for segmentation. Buyers report the importance of and satisfaction with 15 different offerings or processes. The mean scores for the 4 different groups are compared and tested for statistical significance. Findings: The loyalty segments differed in the importance placed on customized products. The loyalty and spurious loyalty groups placed a higher importance on receiving customized products from the seller. The loyalty segments also differed in their levels of satisfaction, but these differences did not fully explain repeat patronage behavior. The latent loyalty group, despite their higher levels of satisfaction with standardized offerings, purchased less than the spurious loyalty group. Originality/value/contribution: The implication for managers is that, if properly identified and managed, understanding these differences could lead to a sustainable competitive advantage. Managers can build loyalty by applying specific tactics tailored to the customer segment.

Urban place marketing and retail agglomeration customers

Through identifying the attributes of a place that have an influence on the patronage behaviour of urban retail customers, this paper presents a conceptual model that proposes direct and indirect antecedents regarding the different retail-related dimensions associated with urban place attractiveness. An empirical study was conducted whereby the model was tested by surveying approximately 500 actual customers at the time they visited a particular town centre for the purposes of shopping. The results showed that the retail tenant mix, the merchandise value, and the atmosphere had a direct impact, and the product range and the sales personnel an indirect impact upon the evaluation of attractiveness. Furthermore, a number of additional effects towards these antecedents were identified with respect to parking conditions, the non-retail tenant mix, manoeuvrability, and orientation. This revealed that retailing activities were a major driver of attractiveness for an urban place. The practical implication of these findings suggests that place marketing activities should be proactive in supporting and enabling retailers in fulfilling their roles.

High shopping mall patronage: is there a dark side?

Shopping malls that provide consumers climatic comfort and freedom from noise and traffic are centers for social and recreational activities as well as shopping. As they grow in number and differ from each other in terms of size and variety, consumer patronage regarding these enclosed retail environments become subject of greater scholarly inquiry. While there are voluminous studies that try to figure out the determinants of mall patronage, there is a lack of interest on its consequences. This study attempts to extend the literature by drawing attention to the dark side of increased mall patronage behavior. High shopping mall patronage level is predicted to be an important stimulator of consumers’ materialism and compulsive consumption orientations. Besides, these effects are expected to be stronger for individuals with hedonic mall shopping motivations than for those with utilitarian mall shopping motivations. Results show that increased mall patronage stimulates materialistic values and compulsive buying tendencies; but these relationships do not show any significant differences among hedonic or utilitarian shopping motivations.

Patronage behaviour of elderly supermarket shoppers – antecedents andunobserved heterogeneity

This article investigates antecedents of grocery store format patronage behaviour of elderly shoppers. Based on a literature review, we set up a conceptual model that proposes effects between the perception of store attributes, satisfaction, patronage intention and behaviour. We test the model using a survey of more than 400 supermarket patrons aged 60 and over who live in a highly concentrated urban retail environment. Variance based structural equation modelling reveals that the product range and the price–value ratio have the most impact on patronage behaviour. Nevertheless, response based segmentation identifies unobserved heterogeneity in the overall modelling results. Unlike demographic characteristics of the respondents, the variables ‘availability of a car’ and ‘problems in walking longer distances’ explain the heterogeneity of the results between segments where significantly different impacts of accessibility and price–value ratio on patronage behaviour can be identified.

Effects Of Stockouts On Purchase Behavior And Retail Patronage: An Experimental Investigation

A longitudinal field experiment was conducted to assess the effects of out-of-stock conditions both during and after the stockout occurred. Findings suggest that when a brand goes out of stock, low-share brands tend to pick up more sales than high-share brands. After the stockout brands were reintroduced a moderate negative carryover effect was the results, with other low-share brands reaping a moderate positive carryover effect. When a brand was reintroduced at a higher price (than its pre-stockout level) a moderate positive carryover effect resulted. During the stockouts, customers did shop in other outlets. However, no negative consequences seemed to be present in terms of patronage behavior once the brand was again available at the regular outlet.

Identifying Determinants Of Stock Type Choice Of The Mature Consumer

The mature consumer represents a market segment of great potential. Past research on their patronage behavior focused on the choice among competing retailers of the same type. The research reported here assesses the criteria they employ to make store type choice decisions across different types of retailers for wearing apparel. The findings indicate mature consumers utilize very different criteria when shopping at specialty, department; discount, and in-home for apparel and could not be segmented on age which calls into question previous research which arbitrarily segmented on age.

Gender differences in the linkage of online patronage behavior with TV-and-online shopping values

The main purpose of this study is to investigate gender differences in the linkage of online patronage behavior with multi-channel shopping values in context of TV-and-online retailing. Data collected from 226 respondents in Taiwan are tested against the research model using the partial least squares (PLS) approach. The empirical result shows that utilitarian and hedonic TV shopping values have indirect positive effects on consumer online patronage intention through their associated online counterparts. Additionally, both utilitarian and hedonic TV shopping values are found to influence their associated online counterparts more strongly for men than for women. The findings of this study provide several important implications for the research and practice of multi-channel retail service.

Development of new empirical insights in consumer–retailer relationships within online and offline retail environments: Introduction to the special issue

This special issue of the Journal of Business Research on scientific advancements in consumer–retailer relationships within online and offline retail environments include nine high quality research studies originally presented at the twelfth Society for Marketing Advances Retail Strategy and Patronage Behavior Symposium in 2009. The articles cover a variety of interesting and important consumer–retailer relationship topics and issues organized within three board categories: (1) empirical insights of WOM, pricing, and value impact on retail purchase intentions, (2) retail store-mall environment and atmospherics influence on retail relationships, and (3) consumers' emotional impact on complaint intentions and attitudes and behavior changes in an economic recession environment. This introduction offers an overview of each article and highlights some of the empirical insights and contributions to the growing body of knowledge in the retailing literature.

Fashion Store Personality: Scale Development and Relation to Self-Congruity Theory

Abstract Over five decades ago, Martineau (1958, p. 47) introduced the notion of store personality (SP), which he defined as “the way in which the store is defined in the shopper’s mind, partly by its functional qualities and partly by an aura of psychological attributes”. The strategic role of these symbolic, humanlike attributes that can be attributed to stores, has been empirically demonstrated, with respect to customer satisfaction and perceived retail differentiation (Chun & Davies, 2006), as well as with respect to store patronage and loyalty behavior (Sirgy & Samli, 1985; Zentes, Morschett, & Schramm-Klein, 2008). A potential and reasonable explanation of the power of associations with humanlike personality, can be found in the self-congruity theory. This theoretical framework argues that if retailers can position their stores in such a way that the store’s personality is congruent with that of target shoppers, they are likely to succeed in attracting and retaining these consumers (Bellenger, Stein...

Consumer decision making and store patronage behaviour in Traditional Chinese Medicine (TCM) halls in Singapore

This paper examines who patronises Traditional Chinese Medicine (TCM) halls in Singapore and for what purpose. A quantitative study of 400 respondents identifies that TCMs are used primarily for the improvement of health and well being rather than the treatment of more serious medical conditions. While the patronage of TCM stores is not restricted to the Chinese population, traditional Mom-and-Pop outlets have come under increasing pressure from new market entrants. When choosing a TCM outlet, customers consider price and quality to be important factors while trust in the store keeper was also identified as a key determinant of store choice.

The Impact of Consumers’ Need for Uniqueness and Nationality on Generation Y's Retail Patronage Behaviors: Investigating American and Taiwanese Consumers

ABSTRACT Generation Y (Gen Y) consumers are now one of the most influential buying segments in U.S. history. This article empirically assesses the extent to which American Gen Y consumers and same-aged Taiwanese consumers’ need for uniqueness serves as a meaningful discriminant across retail patronage behaviors for branded apparel products. Results indicate a great deal of similarity between the two cultures’ need for uniqueness. Empirical findings reveal that consumers’ need for uniqueness does influence retail patronage behaviors. The implications of the similarities and differences between American Gen Y consumers and their Taiwanese counterparts serve as potential managerial mechanisms for building and sustaining retail patronage in a globalization era.

Influence of Shopping Orientation and Store Image on Patronage of Furniture Store

Knowledge on furniture consumers’ retail patronage will promote and enhance efforts to increase sales atfurniture stores and could guide future research. This research therefore was proposed to develop a generalmodel of retail patronage and to empirically test the relationships proposed in the model in the context offurniture market. The objectives of the study include 1) is to review existing retail patronage models and relatedliterature 2) to develop a general framework of retail patronage behavior and 3) to test the model in the furniturestore shopping patterns. Based on a review of the literature the study proposed to adapt Darden’s patronagemodel of consumer behavior. 115 data were collected through survey questionnaires and the underlyingrelationship among the variables that characterize consumers’ patronage behavior towards furniture was studied.Statistically it was found that in terms of shopping orientation, the apathetic shopper and the personalizingshopper was influenced by the lifestyle of the consumer and hence influenced the customer patronage. Storeimage on the other hand was found to enhance the impact on consumer patronage of the furniture store andmoreover acted as both the predictor and the moderator.

Customer satisfaction's key factors in Spanish grocery stores: Evidence from hypermarkets and supermarkets

The marketing literature has shown how certain attributes of the store are key for grocery retailers to differentiate themselves in the final markets. From this preliminary consideration the present work proposes a step forward by ascertaining the main factors that underlie the attributes of the store which have already been identified in the literature. All of this is taken into account with the object to examine which of these factors presents a greater influence on customer satisfaction. To test the proposed analysis, a sample of 358 Spanish customers that had carried out their purchase in different types of grocery stores (in particular, hypermarkets and supermarkets) has been analyzed considering a key variable of retail patronage behavior: the store format in which the purchase had been carried out. This study has enabled us to obtain interesting conclusions about the variables that have the most influence on customer satisfaction, providing useful managerial recommendations for decision-making in grocery retailing.

Online Shopper Motivations, and e-Store Attributes: An Examination of Online Patronage Behavior and Shopper Typologies

e-Stores and online shopping have become important aspects of a retailer's strategy. Previous research suggests that online shoppers are fundamentally different from traditional offline shoppers. However, based on the Big Middle Theory ( Levy et al. 2005), the authors believe that there are segments of online shoppers that are very similar to regular shopper groups. To determine this, online shopping motivations and e-store attribute importance measures are separately used as the basis to develop online shopper typologies. Results reveal that there are more similarities than differences among traditional and online store shoppers. However, there are a few unique shopper types present at online stores, attracted by the distinctive characteristics and attributes of the online retail environment. The findings offer interesting implications for online retail strategy.

Modeling patronage behavior: a tri‐partite conceptualization

PurposeBy using mall patronage behavior as its context, this study aims to develop and test a patronage model consisting of three dimensions.Design/methodology/approachData for the study are collected through self‐administered questionnaires from residents in an MSA in the USA. Usable responses are obtained from 319 residents.FindingsResults suggest that mall patronage behavior can be represented as a global construct with three viable components (utilitarian, hedonic and accessibility).Research limitations/implicationsThe study is limited to a particular sample. Replications among other samples in the study locale and elsewhere are needed to validate the current findings.Practical implicationsThe results enable management to look at shoppers' patronage behaviors at three levels. At the individual attribute level (first level of abstraction), management may identify areas that need special attention. At the second level of abstraction (the latent construct), choice attributes can be combined into reliable and valid composite scores across dimensions and can reveal information that is not readily available by the individual attributes. At the third and highest level of abstraction, the one second‐order factor with three first‐order factors as its reflective indicators provides management with a single metric for comparing a mall with its competitors or other malls owned by the corporation.Originality/valueThe model tested here explicitly recognizes accessibility as a distinct patronage dimension and expands the domain of inquiry beyond the initial attribute level to the first‐order and the second‐order composite levels.

The differing and mediating roles of trust and relationship commitment in service relationship maintenance and development

Relationship maintenance (customer retention and exclusivity) and development (increased service usage and cross-buying) are top priorities in Customer Relationship Management. This paper examines how service companies can effectively influence customer patronage behaviors by leveraging overall customer satisfaction, trust and relationship commitment. Using a longitudinal design over a two-year period, we merge survey metrics with actual patronage behaviors taken from a bank’s database. We show that relationship commitment just enhances retention and exclusivity while trust directly influences service usage and cross-buying. As a consequence, trust appears to be highly critical for service relationship development and company profits. Furthermore, trust and relationship commitment mediate the entire impact of satisfaction which appears as a necessary but not sufficient condition for relationship maintenance and development. Satisfaction, and more generally service evaluations, must be efficiently converted into trust and relationship commitment before providing business results. Finally, we establish the temporal antecedence and the predictive power of trust and relationship commitment. Relationship commitment in year t predicts the number of service providers in year t + 1 (exclusivity vs. polygamy), while trust in year t predicts the number of bank products (cross-buying) as well as the service usage level in year t + 1. We then discuss managerial implications for customer relationship maintenance and development.

Retail centres: it's time to make them convenient

PurposeThe purpose of this paper is to explore the influence of time convenience on shopping behaviour in the light of a time scarcity phenomenon that is reported to have reached epidemic proportions in many markets.Design/methodology/approachThe paper begins with a survey of consumer households, examining the importance shoppers assign to time convenience. This is followed by a supply‐side comparison of malls and shopping strips against the attributes of time convenience.FindingsThe results indicate that time convenience has a salient influence on consumers' patronage behaviour, and that malls and strips differ in their provision of this key attribute.Practical implicationsRetail planners must give serious thought to creating retail environments that allow shoppers to “buy” time. Providing time convenience via one‐stop shopping, extended trading hours, proximity to home or work and enclosure offers one such strategy for the shopping mall and shopping strip.Originality/valueThe focus on convenience provides practitioners with a strategic alternative to hedonic strategies. It is also one of the first studies to investigate retail centre patronage from both a demand‐and supply‐side perspective.

Does “true” personal or service loyalty last? A longitudinal study

PurposeThe paper aims to use Dick and Basu's two‐dimensional matrix that identifies four types of customer loyalty: true, spurious, latent and non‐loyal. It seeks to investigate if these four distinct clusters of loyalty existed both in terms of loyalty to the individual service worker (personal loyalty) and loyalty to the firm (service loyalty). The paper also aims to examine the stability of the loyalty clusters.Design/methodology/approachUsing self‐completion mail questionnaires, females over 18 who frequently used the service were surveyed at two time periods, 18 months apart. Of the original 341 respondents at time 1, only 137 (40 per cent) of these successfully completed the questionnaire at time 2.FindingsEven though the service context is such that the customer has the freedom of choice in selecting the service, the four loyalty clusters were found for both personal loyalty and service loyalty. Those customers who were originally classified as “true” loyals were the most stable group. Perceived credibility of the service worker and the length of the customer relationship with the service worker were found to be the main drivers of the type of customer loyalty cluster.Originality/valueThis study provides further empirical support of the value of true loyal customers, defined in terms of both a positive relative attitude towards the object of loyalty and high repeat patronage behavior. A higher proportion of true loyal customers were retained by both the service worker and firm compared to the other loyalty types.

Linking dimensions of perceived service quality to actual purchase behaviour

PurposeThis study aims to identify the dimensions recognised by customers when assessing quality in the automotive repair industry. It further examines potential variations in customers' perceptions of service quality based on their purchase behaviour designating different loyalty patterns.Design/methodology/approachThe SERVPERF instrument and the patronage behaviour were utilised to measure service quality and loyalty respectively. A total of 949 questionnaires were personally administered to customers of nine automotive repair companies in Greece.FindingsExploratory factor analysis revealed three service quality dimensions. These are: holistic customer consideration, infrastructure, and empathy. T‐tests were also utilised to reveal possible differences in terms of the identified dimensions. Controlling for customers' loyalty showed significant differences in 11 of the service quality items.Research limitations/implicationsDistributing questionnaires personally did not allow the creation of a completely representative sample of customers of the Greek automotive repair industry.Practical implicationsMeasuring customers' perceptions in terms of the three service quality dimensions that emerged can support decision making regarding initiatives to be taken. Moreover, findings suggest that managers should customise the holistic bundle of services offered.Originality/valueThe findings of this study provide insight into customers' priorities in the automotive repair industry. Furthermore, they reposition service quality construct within the customer satisfaction framework.