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78 School of Management Studies, Punjabi University, Patiala
Malls and Hypermarkets: Perspectives of Contemporary Shopping
CHAPTER – 2
REVIEW OF LITERATURE
79 School of Management Studies, Punjabi University, Patiala
Malls and Hypermarkets: Perspectives of Contemporary Shopping
2.1 LITERATURE REVIEW
Research dealing with shopping malls’ and / or hypermarkets’ attributes, especially
in the Indian context, is very less in number. Not many studies have empirically
analyzed the influence of an assortment of attributes on buying behaviour in
shopping arcades and malls and customers’ shopping experiences. Mostly the
researches undertaken so far have been taken from the foreign experiences, as they
have come of age in the US, UK and European markets. An earnest attempt has been
made to delve into the relevant researches done on the theme, presented henceforth
as follows:
Brunner and Mason (1968) investigated the importance of driving time upon the
preferences of consumers towards regional shopping centers. They expressed that
although it is recognized that population, purchasing power, population density,
newspaper circulation, and other factors are influential in determining the shopping
habits of consumers, a factor which is generally overlooked is the driving time
required to reach the center. In this study, it was established that the driving time
required to reach a center is highly influential in determining consumer shopping
center preferences. The most consistent and significant driving time dimension in
delineating shopping center trade areas was found at the 15-minute driving points, as
three-fourths of each center’s shoppers resided within this range.
Huff (1964 and 1966) concluded that the comparative size of the centers and the
convenience of access were the primary characteristics that consumers sought when
choosing a shopping center to visit.
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
Cox and Cooke (1970) determined customer preference for shopping centers and the
importance of driving time. The authors concluded that location and attractiveness
are important determinants of consumer shopping center preferences.
Mehrabian and Russell (1974) noted that the response that store atmosphere elicits
from consumers, varies along three dimensions of pleasantness, arousal and
dominance.
Many studies have suggested that, consumers’ perceptions of shopping center
attributes helps constitute store image and further influence consumer shopping
behaviour in general retailing contexts (Bearden, 1977; Carpenter and Moore,
2006; McDonald, 1991). The stream of literature in this field started almost five
decades ago. Martineau (1958), the first researcher to investigate specific
dimensions of store image, proposed four dimensions of store attributes: layout and
architecture, symbols and colours, advertising and sales personnel. The concept was
expanded by later researchers, including Linquist (1974), who discovered nine
different retail attributes that contribute to store image, namely, merchandise,
service, clientele, physical facilities, comfort, promotion, store atmosphere,
institutional factors and post-transaction satisfaction. Later, through determinant
attribute analysis, Bearden (1977) identified seven salient store characteristics that
influence consumer patronage decisions concerning where to shop. Those attributes
are price, quality of merchandise, selection, atmosphere, location, parking and sales
people. Bearden further stated that store atmosphere, location, parking facilities and
friendliness of store people are the salient factors that influence consumer store
patronage. As a result store attributes such as service offering, activities, facilities
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
and convenience have major influence on customer satisfaction and loyalty (Chang
and Tu, 2005). Indian consumers were also found to be price sensitive and quality
conscious (Tuli and Mookerjee, 2004).
Bellenger et al. (1977) found that some consumers placed the greatest value on
convenience and economic attributes including convenience to home, accessibility,
and the presence of services such as banks and restaurants. Others however,
emphasized recreational attributes including atmosphere, fashionability, variety of
stores and merchandise.
Vaughn and Hansotia (1977) opined that merchandise and convenience seem to be
the two underlying dimensions which consistently appear everytime. Merchandise
quality, merchandise variety, atmosphere of shopping area, availability of sale items
and ease of shopping comparisons are all component parts of this underlying
dimension.
McCarthy (1980) attempted to include transport mode / travel attributes in studying
the role of the qualitative characteristics that influence the choice in shopping
destination. Using the factor analytical technique, five sets of qualitative generalized
attributes were generated. These generalized attributes include trip convenience, trip
comfort, trip safety, shopping area attraction and shopping area mobility. He found
that these generalized attributes, which were obtained from attitudinal information,
are significant in an individual's choice of shopping area.
Kumar (1983) in his extensive research found ‘shelf exposure’, ‘exposure to others
buying’ and ‘window display’ as major in–store influences in hypermarkets. His
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
study revealed that males (47%) are more susceptible to shelf display influence than
females (39%). He cited ‘retail environment’ (25%) as the second major in–store
influence and ‘exposure to others buying’ (21%) as the third major influencing factor
resulting in buying behaviour.
Feinberg, Sheffler, Meoli and Rummel (1989) considered the social stimulation
provided by malls, finding that the mall served as an outlet for social behavior.
Further examination of this issue was made by Lotz, Eastlick and Shim (2000),
who studied the similarities and differences between mall entertainment seekers and
mall shoppers. Their results supported hypotheses that there are different motivations
for individuals who visit a mall for entertainment activities versus those who visit for
shopping purposes.
Goss (1993) in his research established that the mall developers’ profit accrues from
the construction and sale of shopping malls, lease rent and deductions from the retail
revenues. Unlike other forms of real estate, where markets have rapidly saturated and
are dependant on urban and regional economic fortunes, shopping mall construction
has been a relatively secure investment.
Lorch and Smith (1993) concluded that customers coming from a parking lot walk
straight forward to the nearest shopping mall entrance and only those shops which
are immediately adjacent to this entrance, benefit from it. Marjanen (1997) found
that visitors of supermarkets and department stores consider parking as one of the
most important store–choice variables. Van der Waerden and Borgers (1994)
found empirical evidence of a strong relation between the location of the chosen
parking lot and the location of visited stores. The probability for customers to visit
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
stores in the surrounding of the chosen parking is higher than visiting stores located
at some distance.
Shopping malls are designed to persuade users to adopt certain physical and social
behaviours related to shopping (Goss, 1993). This makes both the social and physical
environments of the mall crucial in shaping users’ behaviour. The researcher further
stated, mall designers manipulate the behaviour of shoppers by consciously
designing a symbolic landscape that provokes consumption–oriented behaviours.
Atmosphere in the context of malls refers to aesthetics and ambience of the mall.
Again, the mall’s environment such as colour, music and crowding are an important
function in shoppers’ perception and evaluation of the mall at large. Malls perceived
to have a pleasant and moderately arousing atmosphere are likely to be more
favoured by shoppers than those with less pleasant atmosphere. Similarly, malls that
are moderately arousing are likely to be more favoured than malls that are perceived
to be highly arousing or not arousing at all. There is much evidence in the retailing
literature to support the notion that mall atmosphere is an important factor in mall
evaluation, patronage and loyalty (cited [Andreu et al., 2006], [Babin and Attaway,
2000], [Grewal et al., 2003], [Keng et al., 2007], [Michon et al., 2005]). Malls
perceived to have stores with acceptable prices are likely to be favoured by shoppers
than malls with stores having unacceptable prices. Similarly, malls that engage in
promotions to offer shoppers more store bargains are favoured than malls that do not
engage in such promotions. Much evidence exists supporting the effect of prices and
promotion on shoppers’ behavioural responses (cited [Leo and Phillipe, 2002],
[Parsons, 2003], [Yavas, 2001] and [Yavas, 2003]).
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
Malls with a variety of store assortments are likely to be more favoured than malls
with less store assortment. Again, shoppers look for ease and convenience in
shopping. Patronizing a mall with a greater store assortment is likely to satisfy
shoppers’ needs more so than malls with lower store assortment. This is essentially
the cross–category assortment. Finally, malls with higher levels of within–category
assortment are likely to be more favoured than malls with lower levels of within–
category assortment. This means that within a certain type of store (i.e. shoe stores,
jewellery stores, electronic stores), malls that offer a variety are likely to be
perceived more favourably than malls that do not offer such variety. This is because
shoppers who go to a mall to buy, say a piece of jewellery, are more likely to find
what they are looking for, if the mall houses a variety of jewellery stores than if it
houses only one jewellery store. Again, there is sufficient evidence that cross – and
within – category assortment in malls influence shoppers behavioural responses
(cited [Balazs, 1995], [Brown, 1992], [Nicholls et al., 2002] and [Yavas, 2001]).
Roy (1994) in his study considered several characteristics of shoppers – such as
functional shopping motivation, deal proneness, recreational shopping motivation,
age, income and family size, to be a significant influence on mall shopping
frequency.
(Bloch et al., 1994; Roy, 1994) demonstrated that consumers go to shopping centers
to seek entertainment, boredom relief, social interaction with friends, fun, relaxation
and freedom from concerns about personal safety, as well as a wide choice of
comparison shopping. However some research studies have found that value
perceptions (LeHew et al., 2002) and specific anchor stores (Finn and Louviere,
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
1996) are key drivers of repeat visits, for example, the desired assortment of stores,
selling products at the price and quality levels valued by the customers (Severin et
al., 2001; Yilmaz, 2004) which indicated that shopping center image cannot be
separated from store image (i.e. the retail tenants and their merchandise) in the
customers’ minds.
Researchers’ conclusions regarding convenience and location are sometimes
contradictory. On one hand, Burns and Warren (1995) found that consumers travel
beyond their local shopping area to other shopping centers in order to access a wider
selection of products than that available locally, and this satisfied ‘a need for
uniqueness’. At odds with this conclusion, research based on consumer responses by
Severin et al. (2001) and Yilmaz (2004) showed that convenient location has the
greatest impact on consumers’ choice of center.
Davies (1995) expressed that the way we think about retail location is dominated by
the idea that the primary role of the retail store or the retail center is to attract the
shopper to the location. An alternative paradigm exists, of taking retailing to where
there are people, either at home or in crowds and this is likely to become more
important for a number of reasons. Just because a crowd exists does not mean that
the people in it can be easily converted to being shoppers. A number of factors will
determine the likely levels of sales: the complementarity of the merchandise with the
primary activity being followed by the crowd; the ease with which they can exit from
that activity; the associated issue of how much time they perceive is available to
them; and the level of crowding.
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
Burns and Warren (1995) opined that since the store mix and product offerings of
many regional shopping malls are very similar, often the primary discriminator
between many of these centers is merely location. Making the choice to shop at a
regional shopping mall other than the one nearest to one’s place of residence,
therefore, does not appear to be a logical choice in many instances. Such behaviour,
however, appears to be relatively common. It would appear, therefore, that regional
shopping mall choice may not always be based solely on the offerings and location
of the available shopping alternatives.
Jackson (1996) in his study observed that malls have become the place where senior
citizens walk in comfort and security, where parents lead their young to Santa
Clauses, where singles court, where teenagers socialize and where everybody
consumes. Indeed a new term, “Mall Rats” has been coined to describe the legions of
young people who spend their free time cruising indoor corridors. This proliferation
of uses and of customers has led to the frequent observation that regional malls are
the new downtowns, the centers of informal social interactions, the successors to the
traditional marketplace. He has also noted that new so–called category–killers like
Home Depot, Toys ’r’ Us, Staples etc are taking customers from the malls. It is
discount with a vengeance, a place of take–no–prisoners, no–frills shopping, where
mantra is value and where the upscale shops and elaborate fixtures of the traditional
malls are dismissed as frivolous affectations of a bygone era.
A 1996 study by Haynes and Talpade of four different U.S. malls with 30,000
square foot and larger Family Entertainment Centers (FECs) observed:
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
• 7% of mall customers said the primary purpose for coming to the mall (on the
day surveyed) was the FEC. These visitors did not differ in income from
customers coming to the mall for other primary reasons.
• 25% of customers who came primarily for the FEC also cross–shopped in the
mall at other stores. They spent about 75% of the amount that shoppers coming
primarily for shopping spent.
• Customers who visit mall entertainment centers are more likely to be visiting
as a family with children 12 years and younger (72%) versus only 20% of mall
customers who did not visit the FEC.
• 75% of families that visited the mall also visited the FEC.
• FECs are more likely to draw shoppers who spend time at the mall stores rather
than shoppers who visit the department stores.
The researchers concluded that the entertainment centers do seem effective in
drawing younger families visiting malls more for social and entertainment purposes
and that FEC customers spend additional time at the food court and mall stores.
White (2008) in his paper has elaborated that the customer and their lifestyles have
changed, and with that, shopping centres are changing to continue to attract
consumers. Entertainment centres, entertainment and destination venues, once of
little significance to shopping centres and malls, are now growing in importance as
an essential part of the mix, since in order to attract today’s consumer, goods alone
don’t work. He further states that a survey by the International Council of
Shopping Centers (ICSC, 1997) found that movie theaters drew in potential
shoppers who otherwise wouldn’t have been exposed to the mall and that 60% of
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
movie patrons shopped in the mall during their movie visit, spending an average of
35% of what all mall shoppers spent.
The ICSC then conducted a second study in 1999 that found:
• 52% of moviegoers’ trips to the mall also involved visits to other mall
stores.
• Moviegoers spent one–third as much on retail and food items as shopper–
only mall visitors.
• Movies attract younger audiences than general shopper traffic.
• Moviegoers and non–moviegoers have similar incomes.
According to White (2008), malls and lifestyle centres now offer a fun and a social
experience. Today, shopping centres are in the out-of-home entertainment and dining
business as much as they are in the retail goods business.
George et al. (1997) in their book have stressed highly on the importance of trade
areas and retails site selection. They have stated that to meet the increased
competition from power centers, malls must be transformed into municipal and
customer service centers. To regain their competitiveness, mall developers are now
attempting to attract community service facilities such as libraries and health and
social services. Customer service amenities like extra restrooms, diaper–changing
stations, better parking and day–care facilities are a must. They suggested that
whether the location for a mall is an isolated site, a clustered site or otherwise, a site
should not be simply selected because it is available. A suitable site must have the
right combination of access, visibility, size, topography, drainage, zoning, utilities,
and traffic and travel barriers.
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
Ashley (1997) and Templin (1997) both in their separate researches, observed that
over the years, the competition between shopping malls had increased significantly,
possibly due to the overbuilding of retail centers and changing consumer shopping
activities. Advancement in the transportation system had further accelerated the level
of competition. Another contributing factor was the similarity of the attributes of
most shopping malls, with too many stores offering too much of the same
merchandise. So given the apparent similarity in shopping center attributes, shoppers
will probably choose to visit the nearest shopping mall when faced with the existence
of more than one shopping mall within ‘reasonable’ traveling distance. However, not
all shoppers seem to conform to such normative behavior. Past research has revealed
that many consumers make a decision regarding where to shop based on their attitude
toward a mix of stores, the shopping center environment and entertaining shopping
experience (Finn and Louviere, 1990; Donovan, Rossiter, Marcoolyn and
Nesdale, 1994; Burns and Warren, 1995; and Jones, 1999).
While Kim and Kang (1997) identified seven factors influencing the patronage of
malls, strip malls, power centers and factory outlets, only lower prices, easy product
return and convenience – a factor comprising trading hours – were regarded as
important by patrons of all four retail formats.
It has been suggested that climate influences consumer behaviour at least as much as
age, income or any other demographic characteristic (Schwartz, 1992). One view
holds that in order to ensure the comfort necessary to attract consumers, malls must
provide climate control via enclosure (Muto, 1994). As excursions to shopping strips
are often shortened or cancelled during extreme weather (Stoltman, Morgan and
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
Anglin, 1999), enclosure is regarded as a prerequisite for success in markets subject
to climatic extremes. Enclosure not only offers shoppers protection from the
elements, but also the noise, traffic and odours that often characterise the shopping
strip. Moreover, by creating a sheltered, pleasant environment, it can encourage
shoppers to relax and enjoy the shopping experience itself (Csaba and Askegaard,
1999).
Pashigian and Gould (1998) stated that consumers are attracted to malls because of
the presence of well–known anchors – department stores with recognized names.
Anchors generate mall traffic that indirectly increases the sales of lesser–known mall
stores. Lesser–known stores can free ride off of the reputations of better–known
stores. Mall developers internalize these externalities by offering rent subsidies to
anchors and by charging rent premiums to other mall tenants. The results of this
article suggested that mall developers are behaving rationally because they know that
anchors attract customers to the mall and increase the sales of other mall stores.
Benedict et al. (1998) opined that because of the increasing time pressure they face,
many consumers are becoming more concerned about the efficiency of their
shopping patterns. Retailers have recognized this trend and have improved shopping
convenience by offering greater variety in product categories and making it easier for
consumers to combine visits to multiple stores. The authors observed that the
tendency of consumers to combine purchases differs from category to category and
depends on category availability. In general, consumers combine considerably fewer
purchases than could be expected if their shopping trip planning was based purely on
travel cost minimization.
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
Waerden, Borgers and Timmermans (1998) discussed the effects of changing the
parking situation in the surrounding of shopping centers on consumers store choice
behaviour. The consumers’ choice of supermarkets is influenced by store
characteristics and also by parking lot characteristics. The probability of choosing a
parking lot decreases with an increasing size, suggesting that customers want to
avoid long walking distances.
Swinyard (1998) in a national US study of heads of households, examined shopping
mall behaviours and values in which three–fourths of respondents reported visiting at
least one shopping mall during a 2 month period. Among mall customers, during this
2 month period the average number of mall visits was 4.69, resulting in 5.35
purchases averaging $60.00 (Rs 3,000 approx) each. It was hypothesized and found
that frequent mall shoppers have higher needs than others for ‘sense of belonging’,
‘warm relationships’ and ‘security’. Their needs are also higher for ‘excitement’. It
was also hypothesized that needs for ‘self–fulfilment’, ‘self–respect’, and a ‘sense of
accomplishment’ are negatively related to mall–visit–frequency.
Shim and Eastlick (1998) defined mall shopping attitude as the shopper’s attitude
towards a variety of dimensions including location, variety of stores, parking, mall
employee behaviour, price, quality, customer service, promotional activities,
ambience, mall amenities, food and refreshments and safety. They suggest that mall
patrons’ attitudes to malls can be assessed by shoppers’ cognitive belief about the
importance and their effective evaluation of those attributes. After an extensive
review of store and shopping–center patronage literature, 12 shopping mall attributes
were chosen to evaluate the importance mall patrons place on them. They correspond
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
to the most common attributes measured in past patronage research: price, tenants /
variety of stores, personnel, customer service, promotions, merchandise quality, mall
facilities, parking, atmosphere / ambience, location, refreshments available and
safety. Shim and Eastlick (1998) also surveyed adult shoppers on cross–shopping
behaviours at two entertainment and retail focused malls in Phoenix, Arizona and
San Diego, California. They found that both entertainment–oriented shoppers and
cross–shoppers are seeking fun and enjoyment through their mall activities, whereas
shoppers pursing particular goods and services are generally not drawn to
entertainment activities. They found that regardless of the shopping motivations,
positive experiences translate into a higher probability of repeat business and that
entertainment can be part of an effective strategy to increase visits and shopping
center profitability.
Beyard and O’Mara (1999) commented in their research that one type of location
may be suitable for one business and bad for another, and the placement in relation to
the overall composition is often critical. Tenant grouping should follow ‘mix’ and /
or ‘match’ principles in order to sustain the interest of shoppers, ensuring that they
are drawn throughout the entire center. He added that, aside from how much rent the
tenant can pay, consideration should be given to the compatibility of tenant’s
merchandising practices with those of adjoining stores. The rule is, complementary
tenants should be clustered, while incompatible ones should be dispersed.
Christiansen et al. (1999) examined the effects of mall ‘entertainment value’ from
the consumers’ perspective on mall profitability. Consumers basically defined
entertainment as some activity that provided a diversion or relief from normal day–
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to–day activities and could include movies, theatre, people watching, entertainment
retail stores, shopping itself, restaurants, bars and even the architecture and interior
design of the mall itself. The study found evidence that demonstrated that there is a
positive relationship between entertainment and mall profitability and value.
Wakefield and Baker (1998) examined the relationship between three factors–
tenant variety, mall environment and consumer shopping involvement and studied
the influence of these factors on shopper excitement and desire to stay at a mall.
Their findings indicated a differential influence from the three factors. Tenant variety
had the biggest impact on shoppers’ excitement, while the mall environment had the
greatest influence on their desire to stay. Wakefield and Baker gave more in–depth
consideration to environmental factors by grouping them into music, lighting and
temperature, layout, architectural design and interior decor. Interestingly, they also
found differential influence from the environmental factors on excitement and desire
to stay. Architectural design had the strongest positive influence on excitement, but
no effect on desire to stay. Interior decor, on the other hand, had the strongest
positive effect on desire to stay, but no effect on excitement.
Kang & Kim (1999) examined the cross–shopping in a large open–air power center
and an 800,000 square foot enclosed mall located near each other in the greater
Toronto, Canada area. The power center had two mega–theaters with 42 screens in
total. The mall’s cinema had 10 screens. Findings from that study included:
The average distance that entertainment customers travelled to the power
center was 11 miles versus an average of 4.4 miles to the mall.
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45% of the power center entertainment customers had incomes of $70,000
or higher compared with 30% for the mall.
The power center had a higher percentage of professional and 30–year and
older entertainment customers than the mall.
Food–entertainment cross–shoppers generally spent up to two hours at
both locations, with the power center showing slightly higher average times.
Fast food accounted for 88% of food–related cross–shopping at the mall
while full–licensed restaurants were the most frequently reported form of
food related cross–shopping at the power center (55%).
The power center was a major entertainment destination whereas the mall
was more of a shopping destination.
Kang and Kim (1999) also conducted surveys at three malls in San Diego,
Cleveland and Atlanta to examine the impact of ‘entertainment as motivation for
shopping.’ Their survey asked mall patrons to rate ‘The main reason I visited this
type business was’:
‘A’ for shopping or for finding what I needed.
‘B’ for experiences or environments that are enjoyable and entertaining.
Both ‘A’ and ‘B’.”
Shoppers who indicated ‘B’ or both ‘A’ and ‘B’ were classified as being a high
entertainment motivated shopper.
Findings from that research found:
More female than male shoppers indicated a high level of entertainment as
motivation for shopping.
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Malls and Hypermarkets: Perspectives of Contemporary Shopping
Shoppers with a low level of education tended to have a high level of
entertainment as motivation for shopping with the exception of cinemas,
where the ratio was reversed and customers with a college degree or
higher, had a high level of entertainment as motivation.
The amount of time and money spent in department / anchor stores,
children’s apparel / toy / specialty stores, accessory / fashion stores, craft /
house wares / home furnishing stores and mall common area stores was
higher for shoppers with a lower level of entertainment as motivation for
shopping.
The level of entertainment motivation for shopping had no impact on the
amount of cross–shopping.
Shoppers who perceived a high level of enjoyment usually spent more
time on shopping than those that experienced a low level of enjoyment.
Farhangmehr, Marques and Silva (2001) expressed hypermarket as a symbol of
modernization. They opined that it not only changed the traditional retailing structure
but also the consumption behaviour of people. Their results showed that, for
consumers, the hypermarket is the preferred type of retail store, due to convenience
(it is more practical) and low prices.
Nicholls, Li, Kranendonk and Roslow (2002) investigated changes in the shopping
behaviour of today’s mall patrons as opposed to those in the early 1990s. Although
not many differences were found between the demographics of the respondents in the
earlier and later periods, they discovered significant differences in shopping patterns
and purchase behaviours. Compared with the shoppers in the early 1990s, today’s
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mall patrons tend to be more leisure driven, they have a greater concern for
merchandise selection, and they visit the mall less often but make more purchases
per visit. The findings also reveal that situational variables are more likely to have an
impact on shoppers’ purchase decisions today than they did before.
According to Leo and Phillipe (2002), the shopping mall image is a holistic entity
created from the elements such as retail mix, infrastructure and atmosphere. Thus,
the shopping mall image can be managed to create a shopping destination for its
potential shoppers (Warnaby and Medway, 2004).
A strong image of a shopping location will influence customers’ purchase intentions,
longer shopping time and higher sales turnover, in effect, more positive shopping
behaviour (Bitner, 1992; Dennis, Newman, and Marsland, 2005; Oppewal and
Timmermans, 1997). Specific image dimensions can influence emotional responses
and shopping decision in particular shopping situations (Finn and Louviere, 1996;
Tai and Fung, 1997).
LeHew, Burgess and Wesley (2002) investigated the feasibility of customer loyalty
towards an enclosed mall. The purpose of their research was to determine if a loyal
group exists and if so, investigate their assessment of mall characteristics to provide
a better understanding of those attributes influencing a loyal response. The findings
clearly stated that price, store personnel and store display, merchandise, mall
facilities, atmosphere and location influenced the mall loyalty of customers.
According to McGoldrick (2002), the shopping mall image is a multidimensional
concept consisting of features which are summarized into two categories: firstly
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tangible of functional attributes which are related to its physical features; and
secondly the intangible attributes which represent its atmospherics’ qualities. Also,
shopping mall image is the set of functional qualities as perceived by shopper (e.g.,
convenience, parking facilities and service quality) as well as an aura of
psychological attributes (e.g., salesmanship and atmosphere) (Chebat, Hedhli and
Sirgy, 2009).
Ooi and Sim (2007) conducted a study of nine Singapore malls to examine the draw
of cinemas on malls. Some of their key findings were:
The presence of a cinema was the 5th ranked important reason for choosing
a particular mall to visit after proximity, variety of tenants, management
and promotions and complementary services such as banking and food
court.
72% of customers interviewed felt that the presence of a cinema would
entice them to visit a mall more often.
25% said that they were at the mall to see a movie.
Regular cinema patrons spent the same amount on an average elsewhere in
the mall, as mall visitors who are not frequent cinema patrons.
The researchers concluded that cinemas do function as an attractor by increasing
mall traffic (footfalls) and the sales of other mall stores.
Hubbard (2003) in his paper explored the reasons for the current popularity of
multiplex cinemas of night time leisure and recreation in the UK. By definition, such
cinemas offering a choice of films and viewing times, are usually located in a
peripheral urban location and provide free and plentiful parking. Drawing on
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interviews conducted in Leicester (UK), it is argued that multiplexes are popular with
particular audiences, because they provide a form of ‘going out’, that facilitates the
maintenance of bodily comfort and ontological security. The paper accordingly
concluded that we can only understand the appeal of multiplex cinemas by
considering the embodied geographies of cinema going – a leisure practice that
involves the consumption of place as well as the visual consumption of film.
Parsons (2003) in his paper analyzed common promotional activities employed by
shopping mall marketers, which were ranked by a sample of customers on their
likelihood of encouraging increases in the two key performance indicators used by
shopping malls – sales and visits. Whilst mall–wide sales are the preferred
promotion, a combination of general entertainment and price–based promotions were
found to be a strong alternative way to encourage visits and spending.
Sinha (2003) suggested in his research that the evolving retail environment in India
seems to be affecting the orientation and Indian retailing is facing a transition. He
established that the shoppers have a very limited choice of retail formats, an
important variable in shaping orientation. He suggested that retailers in shopping
malls need to take up the task of demonstrating the value added by the store – the
format of the store could be the prime driver. The retailers delivering the experience
of ‘fun’ would need to offer wider assortment and an ambience where the shoppers
would like to spend more time.
Choo, Jung and Pysarchik (2004) noted that Indian consumers’ attitude towards
new products is changing significantly and this can increase their intention to shop in
new retail formats such as supermarkets / hypermarkets / malls. Thus, product
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attributes such as quality, price and availability of new products are important
constructs within the Indian context. At least in theory, the closer a retail center is
located to where a consumer lives or works, the more convenient it should be for
them to shop there. However, the vast body of out–shopping research empirically
shows that consumers will not always visit their closest retail facility. In the process
of seeking to maximise value, consumers may visit a more distant center if it offers
better entertainment or convenience opportunities. In the context of the latter, out–
of–town malls seek to compensate for their outlying location by offering consumers
other forms of convenience such as one–stop shopping and easier access and parking.
This may explain why, when Eppli and Shilling (1997) measured the effect of
proximity on patronage behaviour, they found it to have surprisingly diminutive
impact.
Martin and Turley (2004) focused their study on the attitudes that the older
segment of Generation Y consumers (19–25 yrs) have towards a mall, and on their
consumption motivation. They found that Generation Y consumers are more likely to
be objectively rather than socially motivated to consume. They also found that
objective motivations to consume predict an individual consumer's perception of a
shopping mall's ambience, layout, and his or her involvement in the shopping
process.
Sinha and Banerjee (2004) examined the store choice behaviour of shoppers from
buyer characteristics. The results revealed that shoppers gave prominence to
proximity of the store, merchandise and service. While food (grocery) stores are
chosen more on the basis of their proximity and long–term association, with
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merchandise and service contributing secondarily to enhanced utility, consumer
durables stores are chosen based on merchandise and personal referrals, with
ambience affecting their choice slightly. Stores dealing in apparel, books and music
are chosen purely on ambience.
Fox, Montgomery and Lodish (2004) found that households that prefer to spend
more at grocery stores also prefer to spend more at mass merchandisers like
hypermarkets. Consumer expenditures are found to respond more to varying levels of
assortment (in particular at grocery stores) and promotion than price.
Ailawadi and Keller (2004) stated in their research that location of a hypermarket /
store and the distance that a customer must travel to shop, there are the basic criteria
in store decisions. A convenient location is one of the most important attributes that
puts a retail store into the customers’ consideration set. Once it’s in the consideration
set, other factors like price, image, and service and product assortment determine
whether a consumer will actually shop at the store.
Rathod (2004) suggested that a supermarket / hypermarket provides the perfect
platform for comparison of a similar product from different companies with a
different brand name with complete information, which could be required to compare
brands and take the best purchasing decision. Multi–brand hypermarkets offer an
intermediate solution with complete brand choice to the customer and spacious
shopping room, which allow the manufacturers to present their product
appropriately.
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Ailawadi and Keller (2004) proposed that the conceptualization and measurement
of store image can be improved by capturing five key dimensions: access,
atmosphere, price and promotion, cross–category assortment and within–category
assortment. Access refers to the location of the store and the distance that shoppers
must travel to shop there. Stores that are easily accessible to shoppers are perceived
more favourably and are likely to be patronized more than stores that are less
accessible. Atmosphere refers to the aesthetics and ambience of the store. Elements
of the in–store environment such as colour, music and crowding reflect the store
atmosphere. Ideally, stores should be perceived to be pleasant and moderately
arousing. Stores with pleasant and moderately arousing atmospheres are likely to
contribute to the overall favourableness of the store, which in turn should increase
store patronage. With respect to price and promotion, shoppers’ overall attitude
towards a store (and their patronage of that store) is also influenced by their
perception of the average level of prices, variations of prices over time, and the
frequency and depth of the store’s promotion. In other words, shoppers hold
favourable attitudes toward a store (and are likely to patronize that store), if that store
is perceived to have acceptable prices, those prices do not vary significantly over
time and that the store offers shoppers many promotion opportunities. Cross–
category assortment refers to shoppers’ perceptions of the breadth of different
products and services offered by a store under one roof. Stores perceived having
higher levels of cross–category assortments are favoured more than stores with lower
levels. Stores with higher–levels of cross–category assortments are favoured more
because they offer shoppers convenience and ease of shopping. Finally, within–
category assortment refers to the depth of a store’s assortment within a product
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category. Depth here may involve greater assortment of brands, flavours and sizes.
Stores with higher levels of within–category assortment are more likely to satisfy
shoppers’ needs in relation to a particular product or service. Such satisfaction
enhances shoppers’ evaluation of the store, which in turn contributes to higher levels
of patronage.
Ailawadi and Keller’s (2004) store–image dimensions may apply equally to
shopping malls. Access in the context of malls (rather than stores) refers to the
location of the mall that shoppers must travel to. Malls located in areas highly
accessible to shoppers are likely to be perceived more favourably than malls that are
less accessible. Recently, using a qualitative mean–end chain analysis, Wanger
(2007) found that consumers perceive a convenient shopping experience as a means
to obtain physical and mental balance contributing to contentment and shopping
enjoyment (cited [Ahmed et al., 2007], [Leo and Phillipe, 2002] and [Nicholls et
al., 2003]).
Majumdar (2005) in his study on customer loyalty in shopping malls found that
mall accessibility and mall ambience have a significant influence on mall loyalty. He
also established that mall loyalty, value perception (price-quality) and overall store
impressions are found to be significant predictors of store loyalty. He stated that if
the customers are not satisfied with the shopping malls as such, their loyalty to a
particular store will decline and therefore suggested that it is essential for the mall
managers to see that sound strategies are implemented to maintain a satisfactory
level of patronage and loyalty.
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Wilhelm and Mottner (2005) in their study focused on the shopping mall
preferences of teens 12–17, a trendsetting segment that tends to be heavy users of
enclosed shopping malls. The findings indicated that the most important attributes in
teens’ choice of a mall to frequent are, how friendly and welcoming the mall is to
teens and whether the mall contains ‘cool’ stores. Further, the most preferred or
‘ideal’ mall (i.e. the one with the greatest overall utility), across all respondents, is
one that has ‘lots of’ everything (cool stores, entertainment options, etc.), is a good
place to hang out with friends and is very attractively designed. Teens are also almost
twenty times more likely to choose to go to a mall with lots of experiential
characteristics (skateboard and theme parks, cultural and live music events, theatres,
etc.) than to go to the typical status–quo mall with a movie theatre (76% versus 4%,
respectively), everything else being equal.
In a study of the impact of daily schedules on shopping behaviour, Arentze,
Oppewal and Timmermans (2005) found that the busier the schedule, the greater
the likelihood the nearest center would be chosen. Anselmsson (2006) found that
while the proximity of a mall had little impact on customer satisfaction, it was the
major determinant of visit frequency.
A 2005 study by Eppli and Tu examined the impact of 39 mall renovations and
expansions between 1995 and 1997 on the performance of in–line retail stores. Some
of the expansions were entertainment–based with theatres, restaurants and major
bookstores. They found that although entertainment–based expansions did not
significantly result in an increase in the per square foot sales growth rates for in–line
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stores, it did increase aggregate sales and thus helped the mall by establishing its
presence of being the dominant regional mall and enhanced its brand image.
Zameer (2006) in his study defined effective mall management as differentiating a
mall from the rest, getting maximum footfalls, converting footfalls to purchase and
keeping the tenants and the customers happy and satisfied. According to him mall
management entails retail–mix planning and tenant selection, lease management,
facilities management, utilities management, parking and organizing events and
collaborative promotions, which according to him are critical factors for the success
of any shopping mall.
Anselmsson (2006) in his study found selection as the most important determinant of
shopping mall choice, followed by atmosphere / ambience of the mall and third most
important determinant of satisfaction was convenience, which includes opening
hours, parking, ease–of–movement and ability to find one’s location in the mall. If a
shopping center enjoys high visiting rates, a better strategy might be to focus on
present customers and build relationships by improving satisfaction management.
The focus would then be on atmosphere, refreshments, convenience and performance
of the store personnel. On the other hand, if a center is behind competitors and needs
to increase sales and visit frequency, management should focus more on promotional
activities and location aspects in terms of improving geographical convenience.
Memon (2006) cited in his study that about 50% of the people purchase their
products from organised retail stores (hypermarkets / malls), 28 % still buy from
wholesale distributors who sell in bulk and rest 22 % buy from small kirana stores
around their households. As per his findings a combination of price and location
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policy is the single most important factor for the buyer, and a combination of price
and availability of product is the second component. Availability of a large array of
products at one place is another factor scoring 20% of the respondents’ liking for
retailing stores, while ambience and service quality scored only 16% and 6%
respectively.
Kumar and Sarkar (2006) in their research pointed out that emerging organised
retailing will face stiff challenges from traditional retailing or unorganised retailing –
a sector which is deep rooted in India. Traditional retailing has got relatively low cost
structures, mostly owner operated, has negligible real estate and labour costs and
little or no taxes. According to them distributors will no longer be rewarded just on
the basis of how much they sell. Instead, their compensation will depend on the
width of the merchandise stocked and more importantly their prominence on the
supermarket / hypermarket shelves.
Lather and Kaur (2006) in their paper, studied various malls and established the
relationship between the shoppers’ behaviour and various attributes / indicators of
stores in malls. They observed that most of the customers do not look at the pricing
alone. They are looking for a sense of belongingness, a brand of quality and
innovation they can trust. Small retailers no longer remain the primary source for the
basic monthly shopping basket. The consumer normally gets better prices, quality
selection and convenience for these purchases at organised retail chains and shopping
malls. Their results also suggested that if proper window displays and other proper
methods of presentation of merchandising are done, the retailers are able to attract
more shoppers. They established that in the past few years, there has been a
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significant shift in India from individual retail outlets, owned separately and
managed distinctively, to professionally managed retail stores. Their findings also
supported the positive effect of location on store traffic and sales. They established
that the most preferred retail outlets are multi–brand outlets and exclusive outlets.
Every type of shopper wants to visit the stores, while they may or may not buy but
curiosity is there for visiting the malls. The study also examined alternatives to
discounts when negative quality inference was likely to occur, and it was found that
free gifts were effective in increasing sales and market share. They suggested that for
shoppers to have a good mall experience, the retailers should focus on creating a
pleasant shopping environment by using an optimum blend of variables like
temperature, air quality, lighting, scent, noise level and layout amongst others.
The desire for more open–air structures also emerged as a result of the uniformity
associated with enclosed malls, and the yearning for unique shopping places that
reflect the characteristics of the locality. For all these reasons, many shoppers now
prefer more natural environments where there is daylight and a feeling of contact
with the outside world (Coleman, 2006).
Gupta (2006) in his research examined the extent to which different promotional
frames attached shoppers’ perception towards product service and made a positive
buying decision. His study found that significant difference is found in two groups of
discount and non–discount category, seasonal sales and non–seasonal sales, coupons
and non–coupons, so far as indicators like general characteristics and physical
characteristics. Location convenience is concerned but no significant difference is
found in two groups of membership discounts and non–memberships discounts. He
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has further gone to suggest that store retailers must provide a setting that will allow
consumers to shop for their needs and wants in the marketplace and they should find
ways to tailor their environments to attract customers and increase patronage.
Gupta and Kaur (2006), in their paper, examined the extent to which different
promotional frames attracted shoppers’ perceptions towards product service and
made a positive buying decision. They stated that retail location of a store and the
distance that the customers must travel to shop are basic criteria in their store choice
decisions. Their analysis stated that customers consider price discounts as an
important promotional tool in the malls. They also found that seasonal sales have a
positive effect on both patronage and spending. Major promotional tools on the basis
of which the customers prefer to visit the stores in the malls are promotional
strategies. Stores using advertising, promotions, seasonal sales and private labels on
a particular category of products had caused people to perceive the benefit of buying
a product at one store to be higher than it is.
Mehta (2006) in her study examined the expectations of people of Ludhiana, India,
towards overall shopping experience and entertainment towards shopping malls. She
found that people don’t just buy a product in a mall, they buy an experience. On
being asked to rank the features in the mall that would attract the customers, people
gave the following ranking in the order of preference: shopping experience, eating
joints, entertainment, apparel section, jewellery, music / books section, reasonable
prices, decoration items and beauty saloons. She gave certain suggestions to make
the mall more appealing to the customers like free parking for the regular customers /
heavy purchasers. Such customers may be issued a parking card, which ensures free
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earmarked parking. Malls with PVR multiplex should offer “weekend specials” like
classics, movies for children, etc.
Rajaguru and Matanda (2006) in their paper studied consumers’ perception of
store and product attributes and customer loyalty in Indian context. Store attributes
are assessed in the dimensions of store appearance, service quality and convenience
of store. Product attributes dimensions investigated include product quality, price and
availability of new products. In their study, customer loyalty was considered as
repeated purchasing behaviour of consumer towards a store. The results suggested
that except product price, other store and product attributes have positive effects on
customer loyalty. Store attributes such as service quality and convenience of store
and product attributes such as product quality, price and availability of new products,
show significance towards customer loyalty.
Rath (2006) in his article expressed his fear that global retailers will quickly put the
kirana shops out of business, leading to millions of job losses. He pointed out that
95% of all retailers in US are single store operations. They may not be as small as
Indian Kirana stores, but despite six decades of dominance by large chains these
small players had not been wiped out, the reason being the added advantages these
types of small retail or kirana stores enjoy:
They are local and usually in small blocks that the customers are in
Level of convenience in purchasing is very high
Personal attention to their customers
Investment as per customer needs and good inventory management
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He further suggested that the move towards FDI shouldn’t be opened such wide that
no room is left for local kirana stores. He suggested beginning with a 26% FDI
approvals and then gradually moving onto 100% in a span of 4–5 years.
Ahmed, Ghingold and Dahari (2007) assessed international consumer behavior in
regards to shopping malls in a non–western country, specifically, Malaysia. A survey
of Malaysian university students was conducted to assess the mall–directed shopping
habits and shopping orientations of young adults in that country. A total of 132
usable surveys were obtained from five university campuses in the Klang Valley
region of Malaysia. The findings revealed that the Malaysian students were
motivated to visit malls primarily by the interior design of the mall; products that
interested them; opportunities for socializing with friends; and convenient one–stop
shopping. Further analysis showed that younger respondents have more favourable
dispositions or shopping orientations towards malls than somewhat older
respondents. Post–secondary students in the Klang Valley of Malaysia were frequent
and long–staying visitors to shopping malls, typically visiting six stores per 2.5 hrs
mall visit. And, more than one-third of respondents visited three or more different
shopping malls during the previous 30 days. Generally, the observed Malaysian
shopping behavior was similar to that observed of western shoppers in prior
shopping studies.
Kaur and Singh (2007) opined that the retail boom in India has brought tremendous
opportunities for foreign as well as domestic players. The changing lifestyle of the
Indian consumer makes it imperative for the retailers to understand the patterns of
consumption. The changing consumption patterns trigger changes in shopping styles
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of consumers and also the factors that drive people into stores. Hence, the key
objective of their paper was to uncover the motives that drive young people to shop
in departmental stores or malls. A sample of 115 students was taken and their
responses were gauged through a personally administered, structured questionnaire.
The results revealed that the Indian youth primarily shop from a hedonic perspective.
They importantly serve as new product information seekers and the retailing firms
can directly frame and communicate the requisite product information to them.
Millan and Howard (2007) examined shopping motives and behaviour in shopping
centers in Hungary, which had seen rapid and recent development in its retail
structure. The data was collected through a mall intercept survey of 355 shoppers at
seven large shopping centers in five major cities in Hungary. The findings revealed
that Hungarian consumers tend to approach shopping as work, despite the rapid
development of the retail industry in the country. Four shoppers' segments were
identified using cluster analysis: relaxed utilitarians, strict utilitarians, committed
shoppers and browsers. The study highlighted that Hungarian consumers lay
emphasis on product–related shopping motives and they make most of their purchase
decisions prior to their mall visit, and therefore, marketing campaigns should focus
on providing information about retailers’ offers beforehand. Social and recreational
appeals for attracting consumers to the mall may not work well.
Uniyal and Gandhi (2007) carried out a primary study in order to understand the
behaviour and attitude of shoppers towards malls in Mumbai, India. Some of the
findings are as under:
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Frequency of visit to malls clearly depends on whether the mall is in the
vicinity of their residence or workplace. Youngsters visit malls more
frequently as for them it is more of a hang out area where they indulge in
window–shopping and entertain themselves with games and food.
The most preferred mode of transport to the mall is the car. However, for
those who don’t own a vehicle, the most preferred means of local
transport is usually trains and cabs / autos.
Malls are visited mainly for shopping, the variety of brands they house,
entertainment (movies and other events), recreational activities like
sports and games, consumption of a variety of food items, as an outing
destination with families, as a sophisticated hangout area with friends.
El–Adly (2007) determined the attractiveness factors of UAE shopping malls from
the shoppers’ perspective and then segmented shoppers according to these
attractiveness factors. The study revealed six mall attractiveness factors from the
shoppers’ perspective: comfort, entertainment, diversity, mall essence, convenience,
and luxury.
Kainth and Joshi (2008) attempted to examine in depth the customers and retailers
satisfaction towards malls of Jalandhar in Punjab, India. Their results showed that the
quality is the most preferred attribute of customer while shopping at a mall.
Replacement guarantee, cash discount and free gifts are the most effective incentive
schemes which the retailers are using for attracting the customers to their shops in
the malls.
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Patel (2008) investigated the decision making styles of Indian shoppers in shopping
malls and studied the variations in these styles across different demographic
variables. Mall intercept survey was conducted across 128 active mall shoppers, to
study the decision making styles of Indian shoppers in shopping malls. The
consumers’ decision making styles were identified by a structured questionnaire and
the responses captured in six styles by conducting factor analysis. These decision
making styles were: price consciousness, quality consciousness, recreational,
confused by over–choice, novelty consciousness and variety seeking. This study
revealed that the average Indian shopper was not very brand conscious, but quite
price and quality conscious. It was found that single (un–married) consumers are
more price conscious than married consumers. Indian consumers are recreational in
their shopping. Shopping is a fun activity for them. Young consumers between the
age group of 11–20 years were found to be the most frivolous in their shopping.
Rathod and Patel (2008) attempted to know the importance of different criteria for
the selection of retail outlets amongst the customers. They found that availability of
variety has been given highest importance by customers, second priority has been
given to service quality and third most important criteria is convenient location.
Trivedi (2008) stated that where the organized sector poses a cut–throat competition
for the kiranas, the fact still remains that India being a country with diversified social
classes, there is a scope for both to survive. The emergence of a developed retail
sector will pose a competition rather than a threat to the traditional stores which
would help these stores change their outlook and ways of working. Looking at the
situation from a different perspective ‘Kirana’ stores target the masses whereas
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organized retail services cater to a specific class of people. The mall going
consumers are more or less global, that is, they have moved from price to value. This
section is more value conscious, as they will buy the most exclusive item and
concurrently, will want to acquire the finest price for it. A price conscious consumer,
alternatively, will look at price alone and choose a product which is the cheapest.
Chandok (2008) in his study pointed out that the location of a retail store not only
depends on the market and the product, but also on kinds of customers it wants to
target and the price band that the store needs to operate in. The author has discussed
the factors that need to be considered while choosing any business model for starting
up of a retail business, which primarily are: elements of the format, information
technology, location and finance, keeping in view the overall strategy, the
competitive forces and regulations.
Srivastava (2008) presented a picture of the changes in retail taking place in India.
His paper looked at the changing scene in the retail sector in view of many MNCs
and large industries entering into this segment. The findings presented that malls are
more developed in the North and West part of India. Food, groceries and apparel
purchase by customers contributed to 52%. On an average, 75% of customers spend
about 1 – 3 hours in the mall. Malls with multiplexes such as cinema theatres, food
courts, play–pens for children are becoming the center of family outings. Small
retailers have improved their service to cater to Indian consumers. Credit limits and
home service are helping them to hold on to their customers. Retailing focus is
changing towards satisfying the different hierarchy of needs of customers.
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The four attributes of a retail center that influence the temporal convenience it offers
are: one–stop shopping, trading hours, enclosure and proximity to home / work
(Clulow and Reimers, 2009). The term one–stop shopping implies that all, but the
most esoteric of shopping needs, can be satisfied in the one center, all at the one time
(Kaufman, 1996). Because consumers are increasingly undertaking multipurpose
shopping trips (Arentze et al., 2005), they are likely to favour centers that offer one–
stop shopping (Kaufman, 1996).
Bhatnagar (2009) in her paper examined the extent to which the various factors
comprising the internal vibes of the stores influence the visitors. The author
concluded that the seven attributes against which the opinion was taken, were
lighting in the store, colour scheme, window display, smell, music, design layout and
cleanliness. She further explained that in the present age, goods are not only
consumed for their use or exchange value, but are also consumed as signs of luxury,
exoticism and excess. Thus consumers need to be seduced and delighted when they
come to a store for shopping. Stores with a beautiful display, perfect lighting coupled
with appealing smell and music can create sensations and affect consumer shopping
attitude and patronage behaviour.
Hemalathaa and Ravichandran (2009) in their study established the motivational
factors that influence mall visit by older generation Y consumers. The motivational
factor, social shopping was seen as the most dominating factor. Most of the older
generation Y consumers go shopping with friends and family for the purpose of
socializing. They enjoy socializing with others when they do their shopping. For
them shopping with friends and family is a social occasion. Idea shopping is the
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second significant motivational factor for visiting malls by generation Y consumer.
They go shopping to keep up with trends, to keep up with new fashions, to see what
new products are available and to experience new things. Role shopping is the third
significant factor, that reflects the enjoyment that shoppers derive from shopping for
others, the influence that this activity has on the shoppers’ feelings and moods, and
the excitement and intrinsic joy felt by shoppers when finding the perfect gift for
others. Many respondents talked about the enjoyment they obtained from shopping
for other people, explaining that shopping for their friends and family is very
important to them and that it makes them feel good. Some respondents described the
positive feelings they got from finding the perfect gift for someone. In essence,
people seek ego enhancement to their self–concepts through the addition of
satisfying roles and ‘acting out’ the role’s responsibilities. Fourth important factor is
the adventure shopping. Adventure shopping refers to shopping for stimulation,
adventure and the feeling of being in another world. A significant number of
respondents reported that they go shopping for the sheer excitement and adventure of
the shopping trip. These informants often described the shopping experience in terms
of adventure, thrills, stimulation, excitement and entering a different universe of
exciting sights, smells and sounds. Fifth important factor is the value shopping.
Value shopping refers to shopping for sales, looking for discounts and hunting for
bargains. Many of the respondents talked about how they enjoyed hunting for
bargains, looking for sales and finding discounts or low prices, almost as if shopping
is a ‘challenge to be conquered’ or ‘a game to be won’. The last factor is the
gratification shopping. Gratification shopping involves shopping for, stress relief,
shopping to alleviate a negative mood and shopping as a special treat to oneself.
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Several respondents admitted that they go shopping to relieve stress or to forget
about their problems. Other informants view the shopping experience as a way to
wind down, relax, improve a negative mood or just treat themselves.
Bhattacharjee (2009) highlighted the attraction points of shopping food and
groceries in hypermarkets. He identified seven attraction points to visit a store and a
retail format: price, promotions, hangout place, product range, product mix, ease of
travel and parking comfort. He further said that the tolerance to commute is
lowering. The people are willing to go 4 km or even more for hypermarkets /
shopping malls, while for small format modern stores not more than half a kilometre.
Expectation for a kirana store is less than 500 metres.
Sinha and Krishnaswamy (2009) stated that customers show clear preferences in
choosing a store. In most cases, they tend to set their expectations based on the
positioning of store. They tend to associate store with the value propositions
promised by the stores and respective formats. Store formats stand for their own mix
of values that helps customers maximise the benefit. Sinha, Banerjee and Uniyal
(2002) suggested a classification of stores on convenience, variety and experience.
They also propound that there exists an interaction effect between the store benefit
and the level of information search that a customer would seek while shopping
(Uniyal and Sinha, 2009). In another study of format choice it was found that even
in case of a planned purchase, customers tend to show both affective and cognitive
search based behaviour (Anand and Sinha, 2009). Studies have also indicated that
customers tend to prefer specialised stores in case of high involvement purchases
(Dash, Schiffman and Conrad, 1976).
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Rajagopal (2009) said that the shopping malls contribute to business more
significantly than traditional markets, which were viewed as simple convergence of
supply and demand. Shopping malls attract buyers and sellers and induce customers
providing enough time to make choices as well as a recreational means of shopping.
However, competition between malls, congestion of markets and traditional shopping
centers has led mall developers and management to consider alternative methods to
build excitement with customers. The study examined the impact of growing
congestion of shopping mall in urban areas on shopping conveniences and shopping
behaviour. Based on the survey of urban shoppers, the study analyzed the cognitive
attributes of the shoppers towards attractiveness of shopping malls and intensity of
shopping. The results of the study revealed that ambience of shopping malls,
assortment of stores, sales promotions and comparative economic gains in the mall
attract higher customer traffic to the malls.
Chebat, Hedhlia and Sirgy (2009) expressed that understanding the antecedents of
shopping mall loyalty remains one of the crucial issues for both mall managers and
retailing researchers. They proposed a conceptual model that explained the
psychological process by which shopper–based mall equity (e.g., the perceived mall
value) generated mall loyalty. They collected data from shoppers in two urban North-
American shopping malls and the empirical results generally supported the model:
Mall loyalty was significantly predicted by the commitment that shoppers held
toward the mall; and that commitment, in turn, was significantly predicted by
shoppers’ positive awareness of the mall’s characteristics, and shoppers’ self–
congruity. The latter construct, in turn, was significantly predicted by mall image
dimensions such as the mall’s environment and the quality of the products and
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services found in the mall. They also found the model to be invariant between female
and male shoppers.
Kuruvilla, Joshi and Shah (2009) explored the possibility that there are gendered
differences in mall shopping attitude and behaviour. The study indicated that,
overall, women have a more positive attitude to mall shopping and that they purchase
fashion related categories more often than men. But men visit more often and spend
more time and money. While most men and women spend 2–4 hours on an average
at the malls, men reported spending more time and visiting more frequently. If the
fact that mall shopping is usually a family affair is taken into consideration, it could
be that men perceive themselves as spending more time. But this explanation seems
improbable, as both genders have not shown significant difference in their
recreational approach to shopping. Malls seem to be popular destinations to purchase
clothes, footwear and accessories for both men and women. Footwear and
accessories also seem to be popular purchases. But in all categories women report
more frequent purchase. At the same time, it is also reported that men spend more.
One possible explanation can be that men spend on merchandise other than fashion,
but it is more likely that as ‘the purse bearers’ of the family, men do spend more than
the women.
Bhupta and Vaish (2010) in their study stated that developers and retailers need to
plan the merchandising by the customer needs. Just the way a store has to choose
appropriate merchandise, so does a mall needs to have an excellent mix of good
retailers. To get couple of anchor tenants is not enough to make a mall successful.
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Atiq (2010) in her article suggested that the Indian retailers should understand that
retailing has to be taken as a brand in itself. A single large retailer should not be
allowed to capture the larger market share. The Indian government should not make
haste in inviting the foreign retailers, instead it should wait to see the great power of
the Indian retailers. But then, Indian retailers have to master both the art and the
science of retailing by looking at the way the giant retailers are organising and
managing their activities. Indian retailer needs to be innovative and needs to
understand the regional variations in consumer tastes.
Chebat, Sirgy and Grzeskowiak, (2010) opined that one way to generate more
traffic in a mall is to build a strong mall image perceived by shoppers as delivering a
unique bundle of benefits. Such effort has to be guided by a performance metric,
namely a comprehensive measure of mall image. They hypothesized that mall image
could best be conceptualized in terms of five major retail branding dimensions:
access, store atmosphere, price and promotion, cross–category assortment and
within–category assortment.
Devgan and Kaur (2010) in their paper have mentioned six factors, upon whose
adaptability the success of any shopping mall would largely depend. These were
value for money, customer delight, information security, credibility, store charisma
and product excellence. The authors explicated that the modern day customers lay
more emphasis on value for money; however, almost equal weightage is given to
comfort and enjoyment while shopping from malls. But simultaneously, customers
also care for factors like personal information security and payment security. Hence
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they wish to buy from only that shopping mall which is more reliable from these
perspectives.
Ranjan (2010) in his research examined the impact of retail outlets and malls on the
purchase behaviour of middle class consumers. He comments that the successful
organised retail chains and also the malls in the country, today operate at regional
segments and are not aiming at the nationwide presence, at least for the time being.
According to the author, in order to reach all classes of the society in India, organised
retail formats should design a comprehensive and prospective business model which
offers the quality product / services at affordable prices and generate more socially
balanced business.
Baltas, Argouslidis and Skarmeas (2010) demonstrated that shopper characteristics
are related to dispersion of patronage among more stores. Shopping behaviour
appears to be partly driven by cost–benefit tradeoffs, suggesting differential
responsiveness to incentives by customers. This is particularly relevant for retailers
who wish to design and implement communication and loyalty programs to defend
their customer base, since the responsiveness of targeted customers determines the
efficiency of these policies. They also suggested that loyalty programs can be more
than a defensive means of keeping loyal customers and sustaining loyalty levels. The
challenge rests in targeting non-loyal customers who are more likely to respond to
marketing initiatives. They also showed that heavily spending and multi-member
households tend to disperse supermarket patronage and both heavy grocery spenders
and large families adopt such shopping patterns in order to find better deals and
maximize value-for-money. Moreover, large households shop around aiming at a
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more precise matching of the diverse and heterogeneous product needs of their
members. Much as a multi-store patronage may be an established shopping pattern
for large families and heavy grocery spenders, retail managers can still try to increase
their loyalty.
Jackson, Stoel and Brantley (2011) in their paper expressed that the customer
segments seek out relevant shopping venues based on their shopping wants and
needs. Knowledge of the preferences of distinct consumer groups is useful in the
development of marketing communications and promotional strategies, as well as for
designing mall configurations that are likely to generate patronage and repatronage
due to the value creating potential of the mall. Advertising materials could express
the specific attributes the mall has to offer to the cohorts comprising its customer
base, either by gender, generation, or both. When a retailer or mall owner finds that a
large segment of its consumers are from particular segments (e.g. generation,
gender), the company can focus on segment relevant ways to facilitate and promote a
shopping experience that will drive shopping value and create potential for
repatronage.
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