The influence of consumer perceived store image on store choice behavior

Transcription

1 The influence of consumer perceived store image on store choice behavior P. Pevinson Research Scholar Annamalai University Dr. N. Kumaraswamy Associate Professor Directorate of Distance Education Annamalai University Introduction An area that has created a great deal of attention among researchers is consumers emotional response to store image. Stores compete with one another by being tangibly and emotionally available to consumers. A store physically existing and being physically available in the market does not mean that consumer will necessarily visit the store unless it is part of the consumer's mind-set of places to shop. Megicks and Warnaby (2008) suggested that greater orientation towards superior customer satisfaction is a key factor for small retailers to succeed. The store image is a combination of tangible or functional factors and intangible or psychological factors that consumers perceive to be present in a store. Consumers perception of all the attributes associated with a retail outlet is referred to as store image. Lindquist (1974) found that the merchandise, service, clientele, physical facilities, convenience, promotion, store atmosphere, institutional reputation and post transaction facilities are the important attributes of store image and contribute to the competitive advantage of the retailer. Apparel is clothing and garments, which are textile materials worn on the body. Especially worn outside, Apparel is the word to use when you're talking about the business of selling clothes; Clothing is the common word to use when you're talking about clothes that people wear. Apparel retail sector is a booming sector in present scenario. In the city like Bangalore more consumers prefer branded apparels. However, considering price factor and socio-cultural preferences as a determinant of the choices customer make during buying. According to a report by Boston Consulting Group (BCG) and Confederation of Indian Industry (CII), apparel constitutes six percent of India s consumption expenditure today. One of the fastest growing categories, it is expected to grow estimated consumption expenditure of US$ 225 billion in In the highly competitive and dynamic apparel market, organizations use all possible resources to gain market share. One way of differentiating one store from another is the unique store image. Consumers use store image as an evaluative criterion in the decision-making process concerning retail selection. According to Osman (2001), retailers decide what image their stores should project to specific target markets. This requires information about the target market but also on those store attributes the market perceives as important when selecting stores. In the study of Amirani and Gates in 1993, retail store image was expressed as the most important factor of the company success. There are various studies in the literature in order to define store image. The influence of SI that affects the customer choice is a really a crucial point. Therefore, it is one of the most important factors that need to be considered in CS researches. SI is dependent on purchasing process and can be affected very much by the experiences of the customers. Physical ambient conditions such as store atmosphere and order and arrangement in a store are known to affect consumer behavior. These kind of attributes are the most important components that constitute SI and have very important effects on CS. It is found that even small changes in store environment can have an effect on customer perceptions. More specifically it is stated in some researches that store entrance, cash points and the arrangement style of customer service field can cause unwillingness to the customer to stay in the store. Generally the researchers agree that the physical and social environment that constitutes the service are the most important and necessary component of retail store image. Therefore, CS means a lot for the textile industry as well as for the other industries. This indicates that > RJSSM: Volume: 06, Number: 02, June 2016 Page 11

2 CS should not be ignored however, should be considered in the marketing strategies of the textile companies. In the highly aggressive apparel market, cloth retailers endeavor to use different strategies to gain mind share with their customers and a sure way is to offer a unique store image. Objectives To identify the store image dimensions in purchase of apparels as perceived by consumers of Bengaluru City. To analyze the influence of consumer perceived store image on store choice towards apparel stores. Review of literature Kunkel & Bery (1968) described that store image as the total conceptualised or expected reinforcement that a person associates with shopping at a particular store. The study considered four specific aspects related to salespeople that affected store image including knowledge, attitude, number of salespeople, and quality of service. Darden & Erden (1983) explained store image represents an important component in consumers store patronage and store choice decisions. Dobni and Zinkin (1990) study revealed that image has been identical with perception, personality, symbolic utility, psychological meaning and attitude. They concluded that image is to a great extent a perceptual phenomenon which is formed through consumers' reasoned and emotional interpretation. Dodds, Monroe, & Grewal, (1991) argued that Store name is assumed to be a cue to store image, influences consumer product evaluations. Assael (1992) mentions physical characteristics of the store including decor and cleanliness as one of the basic dimensions of store choice. Physical facilities such as elevators, lighting, air conditioning, convenient and visible washrooms, store layout, aisle placement and width, carpeting and architecture are contributing factors in forming store image and store choice. Moye and Giddings (2002) found that store atmospherics which includes store interior such as attractive, fashionable, stylish decorations, lightings, temperature seem to have a positive direct influence on shopping behaviour in various clothing stores. Thang and Tan (2003) reported that customers choose a store to visit based on its accessibility, ease of transportation, and time required to going that store. Kotler and Keller (2006) stated that sales promotions as a diverse collection of incentives, designed to stimulate quicker and /or greater purchases of particular products or services. Promotion has also been perceived as one of the significant attributes of apparel store image. Nazish, Rizvi and Malik (2011) affirm that sales promotions have a positive impact on store selection and sales. It is therefore important for marketers to optimise promotional campaigns in order to boost the sales volumes of their brands. Martinelli and Balboni (2012) concluded that consumers usually patronise stores where they find experienced sales personnel who are friendly, supportive, attentive and courteous when shopping for clothing. Research methodology This study is based on descriptive study method. It focuses on particular aspects or dimensions of the problem studied. Questionnaire is used as research tool. The research is targeted towards apparel store image attributes. The research instrument was developed using the conceptual base of the dimensions of store image. Primary data are collected by direct interviewing through constructed questionnaire. The scales are measured on Likert five-point scale where 1 indicates strongly disagree 2 indicates disagree 3 indicates neither disagree nor agree 4 indicates Agree and 5 indicates strongly agree. The reliability of the tool was checked and the obtained alpha values are 0.76 for store image scale and 0.95 for store choice which indicates that the instrument is sufficiently reliable. The questionnaire was collected from the respondents who shop at Brand factory, Life style, Shoppers shop, Tata West side, Pantaloons Show rooms in Bengaluru. A total of 300 respondents were surveyed using convenience sampling method. Descriptive statistics and multiple regression analysis are applied to fulfill the objectives. > RJSSM: Volume: 06, Number: 02, June 2016 Page 12

3 Data analysis Table 1. Descriptive statistics of store image dimensions and its components Components of store image Mean SD Dimension Mean SD Choose shops that provide value for money Choose shops with mix of private labels Prefer shops that display latest trends Choose shops that stock branded items Merchandise Prefer shops where only quality products are stocked Only shop where there is ample parking Prefer shops that is easily approachable Like shops where there is an facility for card Convenience payment Prefer shops that is centrally located Prefer shops with wide entrance Prefer shops that have escalator Like shops with good seating arrangement Prefer shop with high roofing Prefer shops with ample walk way space Prefer shops that are neat Prefer shops where humidification facility is good Prefer shops with adequate lighting Like mild music when I do shopping Prefer shop with an attractive signboard I buy only from place where my peer buy Prefer shops that is frequently visited by people whom I feel equal Believe in the trust that is associated with the shop Prefer the shop where my family shops over the years Like sales man with a good knowledge of product The shopper is empathetic to help me find my choice Prefer shops where sales men wear neat uniform Prefer shops that provide apparels with proper fits Prefer the shop visible store advertisement Prefer the shop striking windows display Prefer shops which gives me promotional offer Prefer the shop that provide Special sales Source: Primary data physical facilities Atmospherics Social Service Promotion The above table 1 shows the descriptive result of store image dimensions and its components. The first dimension of store image scale is merchandise factor which comprise five statements namely value for money products, availability of private labels, apparels in latest trends, availability of branded items, and quality products. The mean value of merchandise factor is 3.45 which indicate respondents are influenced by the merchandise factor for apparel purchase. The respondents are highly influenced by latest trends displayed by the store as seen from the mean value of Levy and Weitz (2007) found that a good merchandise assortment should induce customers to move around the store to purchase more merchandise than they may have planned originally. The second factor is convenience factor that included statements on ample parking, easily approachable, facility for card payment and location. The mean value of convenience factor is > RJSSM: Volume: 06, Number: 02, June 2016 Page 13

4 Respondents prefer easily approachable shops as indicated by the mean value Zimmer and Golden (1988) stated that the important dimensions of a store s profile are location, merchandise suitability, and the knowledge and congeniality of the sales staff. Louviere (1984) claimed that location convenience and attractiveness affect the choice of retail outlet. The third factor is physical facility factor. The mean value of physical facility factor is 3.49 which indicate that respondents are highly influenced by physical facility provided by the apparel store namely seating arrangement, wide entrance, high roofing, ample walk space and escalator facility. Martineau (1958) stated that store design and physical facilities of a store visibly reflect its image and dramatically influence the store patronage. The fourth factor of store image scale is store atmospheric factor. The mean value of store atmospheric factor is 3.48 which indicates that store s humidification facility, adequate lighting, mild background music and attractive signboard are influence the respondents towards apparel stores. Hoffrnan and Turley (2002) pointed out that atmospherics has two elements, namely tangibles and intangibles. Tangible elements include the 'building', the 'carpeting', the 'fixtures', and the 'point-ofpurchase decorations' and intangible elements are the 'music', the 'temperature', and the 'scents of a service'. Both tangible and intangible elements are the basis for creating the service experience of consumers. The fifth factor is social factor which includes statements on clientele, usage by family for years. The mean value of social factor is Respondents prefer the store where peer group buy as seen from the mean value Baker, Levy and Grewal (1992) found that the social factors influence arousal and that social-ambiance interaction occurred for pleasure and willingness to buy. The sixth factor is service factor which includes statements such as sales man with a good knowledge of product, empathetic approach, confidence inspiring appearance and being able to bring about a proper fit. The mean value 3.54 indicates that respondents are highly influenced by service provided by the store. Churchill, Ford, Hartley and Walker (1985) stated that the factors that help the salesperson to determine his role (and relative effectiveness) as his or her age, appearance, educational level, and motivational skill to sell the products. The seventh factor is promotional factor.the mean value of promotion factor 3.50 indicates that respondents are influenced by promotions offered by the apparel store. It includes visible store advertisement, striking windows display, promotional offer and special sales given by the store. Greenberg et al. (1983) considered store product offerings, promotional efforts and atmospherics to be the most important influences on consumer perception. Table 2. Descriptive statistics of store choice scale and its components Content I come to this shop by seeing the advertisement I come to this shop referred by my friends and relatives I prefer this shop by its appearance I choose this store because it is near to my house I come to this shop by seeing the discount board Source: Primary data Strongly disagree Disagree Neutral agree Strongly agree Mean SD > RJSSM: Volume: 06, Number: 02, June 2016 Page 14

5 Store choice composed of 5 statements. Advertisement plays the major role in store choice factor percent respondents strongly agree with this statement. 46 percent respondents agree that they come to this shop referred by friends and relatives. 29 percent respondents strongly agree that they prefer the shop by its appearance. 30 percent respondents strongly agree that they prefer the shop because it is near to their house. 28 percent respondents agree that they come to this shop by seeing the discount board. The average mean value varies from 3.38 to 3.63 which indicate that store choice factors are influence the consumer apparel purchase behavior. Table 2. Stepwise linear regression co efficient of the store image factors by store choice factor Situational Factors Coefficient t- value Convenience.413 (12.77)** Atmospherics.262 (7.58)** Promotion.284 (9.67)** Social.208 (6.78)** Service.356 (11.23)** Merchandise.355 (9.61)** physical.237 (7.70)** Constant R Dependent Variable is store choice factors. **-significant at one per cent level. The above table 2 shows the result of stepwise regression analysis and indicates the variation between the store choice factors (dependent variable) and store image factors (independent variable) that arises from consumer apparel purchasing behavior. The obtained R 2 value predicted an approximately 79.9% of variation between store choice factor and store image factors. The P value indicates that store image factors such as convenience, atmospherics, promotion, social, service, merchandise, physical factors are significantly different at 1 percent level and found to have a positive impact based on store choice factor. This indicates that store choice factor is concerned with store image factors for apparel purchase in Bangalore apparel stores. Hence, the marketers need to concentrate more on these factors to further increase the probability of purchase. Moore and Carpenter s (2006) revealed the same that price, quality and selection of merchandise were the most important store attributes to consumers when deciding upon a clothing store. Ghosh, Tripathi and Kumar (2010) identified that convenience, merchandise mix, store atmospherics, and services are the important store attributes relevance in the store format selection. The retailers are recommended to design their outlets with store attributes that would meet the expectations of shoppers and thus motivate them towards store patronage decisions. Discussion and conclusion The study revealed very positive result that consumer store choice has a positive impact on store image factors. Store image has been classified in to seven dimension namely merchandise, convenience, physical factor, services cape, social factor, customer service and promotional factor. In concentrated and relatively saturated retail markets, the position that a retailer to score out in the consumer mind is a vital element of its strategy. Customers should be given a good reason to shop with one retailer relatively than another. Management can stimulate customers to elaborate on their store choice by activating the motivation and the ability of the consumers to evaluate the choice. This can be achieved, for instance, by reminding customers of past patronage or emphasising store policies that guarantee customer satisfaction. An inviting store image acts as a differential advantage that draws and sustains consumers inside the shop Sales assistants should be trained and knowledgeable about apparel needs and should provide focussed attention. They should be familiar with consumer needs and show empathy. Recommendations regarding the following features should be taken into account: Music (soft, relaxing), lighting (not too bright, allow for true colours to be seen), colours (soft, neutral), interior > RJSSM: Volume: 06, Number: 02, June 2016 Page 15

6 decoration (attractive, creating a warm feeling), carpets (soft, plush, luxurious) and no discrimination or prejudice. Apparel stores should not only be concerned about the amount of store satisfaction. It seems equally important to take the type of satisfaction into account too. This is based on the amount of elaboration of the customer on the store evaluation. The apparel stores should stimulate customers to make an explicit evaluation of their store. If this explicit evaluation results in manifest satisfaction, the effect on store loyalty will be stronger. Thus, manifestly satisfied customers are the true store loyal. Truly loyal customers are manifestly satisfied with the store and have a positive image towards the store. BIBILIOGRAPHY Amirani, S & Gates, R (1993), An attribute-anchored conjoint approach to measuring store image, International Journal of Retail and Distribution Management, 21(5), pp Assael, H. (1992). Consumer behaviour and marketing action (4th ed.). PWS-Kent Publishing, Boston, MA Backer, J. Levy, M. & Grewal, D (1992), An Experimental Approach to Making Retail Store Environmental Decisions, Journal of Retailing, vol. 68, Winter, pp Beck, K.W (1985), Modernism and fashion: a social psychological interpretati Carpenter, J. M. & Moore, (2006). Consumer demographics, store attributes, and retail format choice in the US grocery market. International Journal of Retail & Distribution Management, 34(6), Churchill, G.A., Ford, N.M., Hartley, S.W.,& Walker, O.C. (1985). The determinants of salesperson performance: A meta-analysis. Journal of Marketing Research, 22, Darden, William R., Orhan Erdem, and Donna K. Darden (1983), "A Comparison And Test of Three Causal Models of Patronage Intentions," in William R. Darden and Robert F. Lusch, eds., Patronage Behavior and Retail Management, New York, NY: North-Holland. Dobni, D. and Zinkhan, G. M.(1990). In search of brand image. a foundation analysis, Advances in Consumer Research, 17, pp Dodds, W. B., Monroe, K. B., & Grewal, D. (1991). Effects of price, brand, and store information on buyers' product evaluations. Journal of Marketing Research, 28(3), Ghosh, P., Tripathi, V., and Kumar, A. (2010). Customer expectations of storeattributes: A study of organized retail outlets in India. Journal of Retail and LeisurProperty, 9, Greenberg, b. D., j. E. Newbold, and a. Sugino. (1983). Intraspecific nucleotide sequence variability surrounding the origin of replication in human mitochondrial DNA. Gene 21: Hoffman, K.D., Turley, L.W., Atmospherics, service encounters and consumer decision making: an integrative perspective. Journal of Marketing Theory and Practice 10 (3 Summer), Lindquist, J. D. (1974) Meaning of Image, Journal of Retailing, Vol. 50, No. 4, pp Kunkel, J.H and Bery, L.L. (1968). A behavioral conception of retail image, Journal of Marketing, 32, October, pp > RJSSM: Volume: 06, Number: 02, June 2016 Page 16

7 Kotler, P. & Keller, K.L. (2006). Marketing management. 12th ed. New Jersey: Prentice-Hall Martinelli, E. and Balboni, B. (2012), Retail service as a key activator of grocery store loyalty,the Service Industries Journal, Vol. 32 No. 14, pp Megicks, P., Warnaby, G Market orientation and performance in small independent retailers in the UK. The International Review of Retail, Distribution and Consumer Research 18 (1), Moye, L.N. & Giddings, V.L. (2002). An examination of the retail approach-avoidance behaviour of older apparel consumers. Journal of Fashion Marketing & Management, 6(3), Nazish, S., Rizvi, Z. And Malik, S. (2011). Impact of sales promotion on organizations profitability and consumer s perception in Pakistan. Interdisciplinary Journal of Contemporary Research in Business, 3(5), Osman, M.Z. (2001). A conceptual model of retail image influences on loyalty patronage behaviour. International Review of Retail, Distribution and Consumer Research, 3 (2), Thang, D. C. L., & Tan, B. L. (2003). Linking consumer perception to preference of retail stores: An empirical assessment of the multi-attributes of store image. Journal of Retailing and Consumer Services, 10, > RJSSM: Volume: 06, Number: 02, June 2016 Page 17