Retail positioning through customer satisfaction: an alternative explanation to the resource-based view

Through exploring factors influencing effective retail positioning strategies in an emerging market environment, this paper challenges the role of isolation mechanism and heterogeneous idiosyncrasy argued by the resource-based view theory. By drawing on a sample of 11,577 customers from hypermarkets, electronic appliance specialty stores and department stores in major Chinese cities, we set up ten hypotheses and confirm a nine-item model for customeroriented retail positioning (perceived price, store image, product, shopping environment, customer service, payment process, after-sales service, store policies, and shopping convenience). Our results show that different retail formats achieve success through the implementation of similar positioning strategies, in which case, it is not heterogeneity but homogeneity that contributes to retailers' success greatly at the development stage of retail expansion. Our results challenge previously proved effectiveness of inimitability to success by the resource-based view, and support homogenous idiosyncrasy of retailers in the implementation of customer-oriented positioning strategies in an emerging market

Critical review of the e-loyalty literature: a purchase-centred framework

Over the last few years, the concept of online loyalty has been examined extensively in the literature, and it remains a topic of constant inquiry for both academics and marketing managers. The tremendous development of the Internet for both marketing and e-commerce settings, in conjunction with the growing desire of consumers to purchase online, has promoted two main outcomes: (a) increasing numbers of Business-to-Customer companies running businesses online and (b) the development of a variety of different e-loyalty research models. However, current research lacks a systematic review of the literature that provides a general conceptual framework on e-loyalty, which would help managers to understand their customers better, to take advantage of industry-related factors, and to improve their service quality. The present study is an attempt to critically synthesize results from multiple empirical studies on e-loyalty. Our findings illustrate that 62 instruments for measuring e-loyalty are currently in use, influenced predominantly by Zeithaml et al. (J Marketing. 1996;60(2):31-46) and Oliver (1997; Satisfaction: a behavioral perspective on the consumer. New York: McGraw Hill). Additionally, we propose a new general conceptual framework, which leads to antecedents dividing e-loyalty on the basis of the action of purchase into pre-purchase, during-purchase and after-purchase factors. To conclude, a number of managerial implementations are suggested in order to help marketing managers increase their customers’ e-loyalty by making crucial changes in each purchase stage

Point of Sales Promotions and Buying Stimulation in Retail Stores

This paper analyzes drivers of compulsive buying behavior induced by store based promotion through empirical investigation in Mexico. The buying behavior in reference to point of sales promotions offered by retailing firms and determinants of sensitivity towards stimulating shopping arousal and satisfaction among customer in building store loyalty have been discussed in the paper. This study also builds arguments around convergence of attractiveness of point of sales promotions and effectiveness of customer services as a tool for gaining competitive advantage in the retail business environment. The results indicate that point of sales promotion programs have become the principal tool of retailing in Mexico to acquire new customers and retain the loyal customers. It is also found during the study that loyal customers are attracted to the store brands during the promotional offers while new shoppers are price sensitive and are attracted by the in-store ambience of sales promotions and volume discounts.Sales promotion, shopping arousal, store loyalty, buying behavior, retailing, customer relations

Perceived congruence and online loyalty as segmentation variables in multichannel retailing: a comparison between appparel and electronics

As the interest of the literature on congruity between offline and online stores is relatively recent, empirical evidence is required to help marketing managers choose the most effective ways of contributing to the formation of consistent offerings as well as their contribution to generate customer loyalty. This study examines whether congruity can help to identify segments of heterogeneous consumers that differ significantly regarding these variables as well as other constructs related to the customer relationship with the retailer. The study attempts to identify which congruity attribute(s) are most relevant for differentiating customers by their loyalty towards the online store, so that retailers can design strategies for improving congruity between physical and online stores, and ultimately, increase online store loyalty

A planned study of the impact of B2C logistics service quality on shopper satisfaction and loyalty

Purpose of the paper: This paper reports on an in-progress study of the impact of business to consumer (B2C) logistics service quality (LSQ) on in-store shopper satisfaction and loyalty. Methodology: A comparative research approach is being used across the UK, France and Germany to also investigate country-specific differences of consumer shopping behaviour and channel strategies. The first stage, in-line with a deliberate integrated supply chain approach, consists of structured in-depth interviews conducted with managers at the producer/retailer interface, e.g. producer category captains and retail category managers. This qualitative stage will be followed-up by a quantitative survey stage targeting consumers as shoppers to determine how their expectations of retail LSQ and associated activities influence their satisfaction and ongoing loyalty. Findings: A broad literature review has generated over 40 variables of interest for both LSQ and loyalty, and almost 10 variables of satisfaction. This study will contribute theoretically by considering a B2C setting for LSQ, which is the final aspect of point of origin to point-of-consumption, whereas most general LSQ literature and LSQ’s impact on customer satisfaction and loyalty has been dominated by business to business (B2B) designs from point-of-origin to point of sale, that is they assume consumer expectations are a given or a different domain. Research limitations: Although covering three major European grocery retail markets, this study might not be considered as representative, especially when adopting a world-wide perspective. Practical implications: As this study emphasises consequences of B2C LSQ on downstream or consumer satisfaction and loyalty, rather than considering the upstream origins of related problems that dominate extant research, it will contribute practically by providing managers with an understanding of the components of LSQ considered critical by consumers

How about integration: the impact of online activities on store satisfaction and loyalty

Although there has been widespread support for the concept of integrating the Internet with other channels, relatively little empirical research has been conducted in this area. This paper examines the effects of integrated online activities on customer perceptions, i.e., satisfaction and loyalty, as well as customer behavior, i.e., purchases. As this study focuses on a nontransaction site, the purchases only take place in the store. Through structural equation modeling, we test a model that determines the relationships between loyalty and satisfaction in two channels – the store and the web site –, as well as the antecedents of both store and site satisfaction. The results provide evidence for synergy effects between the store and the site. Site satisfaction and site loyalty are both positively and significantly related to their offline counterparts. Store loyalty and site loyalty are also positively and significantly related to each other, but the relationship between store satisfaction and site satisfaction is not significant. The online activities do not directly influence offline purchases, but there is an indirect effect via store loyalty. However, the magnitude of this effect is rather small.

An international study of the impact of B2C logistics service quality on shopper satisfaction and loyalty

Paper presented at 17th Toulon-Verona International Conference. This paper reports on an in-progress study of the impact of business to consumer (B2C) logistics service quality (LSQ) on in-store shopper satisfaction and loyalty. LSQ in this study is considered to be a holistic concept and not limited to specific dimensions and trade-offs, for example on-shelf availability versus out-of-stock situations. A comparative research approach is used across the UK, France and Germany to also investigate country-specific differences of consumer shopping behaviour and channel strategies. The first stage, in-line with a deliberate integrated supply chain approach, consists of structured in-depth interviews conducted with managers at the producer/retailer interface, e.g. producer category captains and retail category managers. This qualitative stage is being followed-up by a quantitative survey stage targeting consumers as shoppers to determine how their expectations of retail LSQ and associated activities influence their satisfaction and ongoing loyalty. This study will contribute theoretically by considering a B2C setting for LSQ, which is the final aspect of point of origin to point-of-consumption, whereas most general LSQ literature and LSQ’s impact on customer satisfaction and loyalty has been dominated by business to business (B2B) designs from point-of-origin to point of sale, that is they assume consumer expectations are a given or a different domain. Further, as this study emphasises consequences of B2C LSQ on downstream or consumer satisfaction and loyalty, rather than considering the upstream origins of related problems that dominate extant research, it will contribute practically by providing managers with an understanding of the components of LSQ considered critical by consumers

Using Transaction Utility Approach for Retail Format Decision

Transaction Utility theory was propounded by Thaler to explain that the value derived by a customer from an exchange consists of two drivers: Acquisition Utilities and Transaction utilities. Acquisition utility represents the economic gain or loss from the transaction. Where as transaction utility is associated with purchase or (sale) and represents the pleasure (or displeasure) of the financial deal per se and is a function of the difference between the selling price and the reference price. Choice of a format has been studied from several dimensions including the cost and effort as well as the non-monetary values. However, the studies that present the complete picture and combine the aspects of the tangible as well as intangible values derived out of the shopping process are limited. Most of the studies, all of them from the developed economies, have focussed on the selection of a store. They represent a scenario where formats have stabilised. However, in Indian scenario formats have been found to be influencing the choice of store as well as orientation of the shoppers. Also, retailers are experimenting with alternate format with differing success rates. The author has also not found a study that has applied this theory. It is felt that the Transactional Utility Theory may provide a suitable approach for making format decisions.

Arousal and Merriment as Decision Drivers among Young Consumers

Arousal among young consumers plays a key role in buying decisions. One of the challenges for success in retailing is to enhance the in-store ambience to influence the young consumers for prolonged stay in the store for shopping and explore the zone of experience of new products. This paper attempts to analyze arousal and satisfaction as behavioral drivers which influence buying behavior of young consumers and measures the extent of satisfaction on purchases made through empirical investigation in Mexico. Discussions in the study are also focused on the role of in-store recreation, ambience and point of sales strategies in influencing buying behavior of young consumers.Shopping behavior, store ambience, arousal, point of sales strategy, customer value, buying decision, leisure shopping, product experience, retailing, referrals

Structural equation modeling of eBankQual scale: a study of E-Banking in India

This study assesses the relationship between perceived quality, brand perception and perceived value with satisfaction. For the data analysis structural equation modeling (SEM) method and path analysis method were used. A result indicates that, eBankQual model is fit to assess relationship between service quality, brand perception and perceived value with overall customers’ satisfaction in e-banking service. Result of regression SEM indicates that, all 14 variables found significant and good predictors of overall satisfaction in e-banking services. However, result of SEM analysis indicates that, data supports to eBankQual model and dimensions Compensation, Convenience, Contact Facilities, Easy to Use, Responsiveness, Cost Effectiveness and System Availability including brand perception and perceived value were found more significant factors in the eBankQual model.Structural Equation Modeling, Service quality, Brand perception, Perceived value, Satisfaction