"An analytical study of the relationship between consumer's enjoyment and factors affecting the...

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"An analytical study of the relationship between consumer’s enjoyment and factors affecting the buying decision in shopping malls" 1. Prof. Arvind W Ubale . Dept. of Accountancy. A. Vartak College, Vasai- Raod, Dist- Thane 2. Dr. P.Y.Harkal, Research Guide and Associate Professor, DSM College, Parbahni, M.S. Abstract "This paper investigates the relationship between independent variables of shopping mall such as sales promotion of products and services, ambience of shopping mall, quality of products, service of sales people and food availability at shopping mall with dependent variable enjoy at shopping mall. This study attempts to explore the association exists between the variables involved, by tapping the responses of 500 respondents from the area of Thane. The major findings of the study demonstrated an overall weak association of the set of independent variables with the dependent variable but, the in-depth analysis found that ambience of shopping mall and quality of products are the only two variables that resulted into strong association with 1

Transcript of "An analytical study of the relationship between consumer's enjoyment and factors affecting the...

"An analytical study of the relationship between

consumer’s enjoyment and factors affecting the

buying decision in shopping malls"

1. Prof. Arvind W Ubale . Dept. of Accountancy. A. Vartak College,

Vasai- Raod, Dist- Thane

2. Dr. P.Y.Harkal, Research Guide and Associate Professor, DSM

College, Parbahni, M.S.

Abstract

"This paper investigates the relationship between independent

variables of shopping mall such as sales promotion of products

and services, ambience of shopping mall, quality of products,

service of sales people and food availability at shopping mall

with dependent variable enjoy at shopping mall. This study

attempts to explore the association exists between the variables

involved, by tapping the responses of 500 respondents from the

area of Thane. The major findings of the study demonstrated an

overall weak association of the set of independent variables with

the dependent variable but, the in-depth analysis found that

ambience of shopping mall and quality of products are the only

two variables that resulted into strong association with

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the enjoy at shopping mall. Multiple regression analysis has been

performed to find out the strong relationship of variables for

shopping mall with the dependent variable. It's true that people

more often get attracted to ambience of shopping mall and quality

of products displayed on store shelves."

Keywords: Enjoy, Sales promotion, Ambience, Quality, People and

Food.

Introduction: Shopping malls are an emerging trend in the global

arena. Consumers wanted a better shopping experience and this

demand gave rise to the emergence of shopping malls in India.

Shopping was no longer limited to a mere buying activity - it has

become synonymous with splurging time and money.

People simply go about roaming through the shopping mall in order

to peep through the window of the shop and often ending up buying

something they like. The consumers desire a combination of

comfort and suitability which the shopping malls cater to, and so

this format of shopping has become so popular all over the world,

and especially so in India. The inclusion of amenities like

restaurants, multiplexes, and car parks attract more and more

crowds to shopping malls that are considered family hangout

zones. "The effects of promotion type (i.e., price discounts and

bonus packs) and price presentation across promotional benefit

levels were investigated. The results suggest, for the products

considered, that price discounts and bonus packs were valued

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similarly for both low and moderate promotional benefit levels,

while price discounts were preferred.

Shopping in India has witnessed a revolution with the change in

the consumer buying behavior and the whole format of shopping

also altering. Industry of retail in India which has become modem

can be seen from the fact that there are multistoried malls, huge

shopping centers, and sprawling complexes which offer food,

shopping, and entertainment all under the same roof. Most of the

organized retailing in India have started recently and is

concentrating mainly in metropolitan cities. The growth in the

Indian organized retail market is mainly due to the change in the

consumer's behavior. This change has come in the consumer due to

increased income, changing lifestyles, and patterns of demography

which are favorable. This has given Indian organized retail

market a major boost. Sales promotions are an important part of

retail advertising strategy. Traditionally, research on sales

promotions has generally assumed that the buyers are end

consumers who do not engage in reselling, in large part due to

high transaction costs. Little is known about the impact of this

phenomenon on retailer's sales promotion strategy. Substantial

research in marketing has examined the impact of store

atmospherics (Ambience) on retail store patronage In addition;

research has examined the effect of gender and work status on

social influence and role expectations within the context of

shopping center patronage.

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This research examines the differential effects of gender and

work status characteristics on the relationship between shopping

mall characteristics (including atmospherics) and consumer

shopping center patronage. The Indian customer demands at

affordable prices a variety of product mix. It is the supply

chain that ensures to the customer in all the various offerings

that a company decides for its customers, be it cost, service, or

the quickness in responding to ever changing tastes of the

customer. The evident increase in consumerist activity is

colossal which has akeady chipped out a money making recess for

the Indian organized retail sector. With the onset of a

globalized economy in India, the Indian consumer's psyche has

been changed. People have become aware of the value of money.

Nowadays the Indian consumers are well versed with the concepts

about discounted products, ambience at shopping mall, quality of

products & services, salesperson's service and availability of

good foods at shopping mall.

Literature review:

There is no dearth of literature on shopping mall buying

behavior. Researchers from all parts of the world have tried to

analyze the shopping mall behavior of shoppers, their

significance, limitations, challenges etc. from different angles.

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Sherrell (1989) referred that consumers receive pleasure in addition

to merchandise as outcomes of a shopping trip.

(Gruen J973) endorse the current "malltainment" trend that has

malls providing large areas focused on entertaining consumers

while they ai-e in the facility.

(Taylor and Cosenza 2002) analyzed how younger consumers perceive malls

as a place to shop and socialize.

Westbrook and Black 1985) have noted that shopping pleasures include

the opportunity for social interactions with friends, family or

even strangers that one encounters on site.

Dawson, Block, and Ridgway (1990) experiential shopping modves:

Consumers visit stores to derive pleasure from the visit itself.

Reynolds and Beatty (1999) Shopping enjoyment: Satisfaction is derived

from the shopping activity itself. Shopping motives refer to a

customer's needs and wants related to the choice of outlets

(Sheth, 1983). The acceptance of retail stores depends on the

degree to which a store satisfies the specific needs of a

consumer (Groppel 1995).

Consumers tend to base their patronage decisions on the shopping

complex rather than on individual stores (May 1981) and (Gripsrud and

Horvetak 1986).

Sheth(1983) identified three antecedents for shopping preference

among an evoked set of alternative outlets: shopping motives,

shopping options; and choice calculus. According to him shopping

motives are made up of consumers' wants and needs and are

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influenced by personal values as well as product related

characteristics.

Mall/center choice and patronage can be classified as falUng into

three categories: gravitational attraction of shopping centers

(cf. Gautschi 1981); the dimensions and predictive power of shopping

area image (Wee 1985); and the motivational and experiential

aspects- of mall shopping (Sherrel 1989).

Barich & Srinivasan (1993) Selected store image studies and their image

components - product

variety, product quality, store attractiveness, reasonable

prices, convenience, and customer service. Mall amenities are

features provided to make the shopping trip more comfortable and

enjoyable (Wakefield and Baker, 1998). The factor on shopping

complex/mall loyalty refers to the tendency to shop in a specific

shopping mall or surrounding areas (Sirgy and Samli, 1985). A discount

may be defined by the location in which, and frame by which, it

is communicated.

Discount framing, particularly the differences between cents-off

and percentage off discounts, has been widely studied. Discount

location (e.g., proximate to or distal from regular price info)

has received considerably less attention. We employ the

proximity-compatibility principle and tenets of human memory to

demonstrate that discount framing (cents-off, percentage-off, and

revised price) and discount location (proximal, distal) interact

to differentially affect both the

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immediate value and the persistence of consumers' price

estimates. The implications of these results for retailers and

manufacturers are highlighted in the discussion (Blair, Edward A., Judy

Harris and Kent B. Monroe 2002).

Purpose of the study;

The purpose of the research study is to test the association of

the independent variables that are;

Sales promotion of products and services, ambience of shopping

mall, quality of products, service of sales people and food

availability at shopping mall with the dependent variable that

is; enjoy at shopping mall of consumers who visited in the area

of Thane.

Objectives of the study;

1. To study the relationship between enjoy with sales promotion

of products.

2. To study the relationship between enjoy with ambience of

shopping mall.

3. To study-the relationship between enjoy with quality of

products.

4. To study the relationship between enjoy with service of sales

people.

5. To study the relationship between enjoy with food availability

at shopping mall.

Hypothesis:

Ho = There is no significant association between enjoy with sales

promotion of products.

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Hi = There is significant association between enjoy with sales

promotion of products.

Ho = There is no significant association between enjoy with

ambience of shopping mall.

HI = There is significant association between enjoy with ambience

of shopping mall.

Ho= There is no significant association between enjoy with

quality of products.

Hi = There is significant association between enjoy with quality

of products.

Ho = There is no significant association between enjoy with

service of sales people.

Hi = There is significant association between enjoy with service

of sales people.

Ho = There is no significant association between enjoy with

availability of good food.

Hi = There is significant association between enjoy with

availability of good food.

Research model:

Multiple regression analysis is applied for testing the

influences of certain variables on enjoy at shopping mall.

The multiple linear regression model thus developed is:y = a + bi Xi + b2 X2+ b3 X3 + b4X4 + b5 X5 +

Where:

Y = Enjoy at shopping mall (Dependent variable)

a = constant

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b1 = Co-efficient of Sales promotion

X1= Sales promotion of products and services (Independent

variable)

b2 = Co-efficient of Ambience

X2= Ambience of shopping mall (Independent variable)

b3= Co-efficient of Quality

X3= Quality of products (Independent variable)

b4= Co-efficient of People

X4 = Service of sales People (Independent variable)

b5= Co-efficient of Food

X5 = Food availability at shopping mall (Independent variable)

= sampling error

Y (Enjoy) = a (constant) + b1 (Sales promotion) + b2 (Ambience) +

b3 (Quality) +

b4 (People) + b5 (Food) +

Research Methodology:

This research study has been undertaken with the aim of

identifying the strong association between the dependent variable

and independent variables of shopping mall. Both primary and

secondary data have been used in the study. Primary data have

been collected from Thane, using well structured questionnaire,

500 customers were selected from this city for the purpose of

data

collection using judgment sampling. 06 pre selected statements

were used to find out the strong association between the

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dependent variable and independent variables. All of these were

five point Likert-type scales in which respondents were asked to

indicate their level of agreement

(1 = strongly disagree to 5 = strongly agree). Multiple

regression analysis using SPSS software has been applied to

determine the significant association.

Respondents' Profile: A total of 500 respondents participated in

the survey. Selected demographic characteristics of the sample

including education, occupation, age, gender and family monthly

income are presented in the table-1.

Table -l: Respondents' profile

Demographical

Variables

Groups Percentage

Education Intermediate

Graduation

. Post graduation

Professionals

02.50%

17.20%

28.70%

51.60%Occupation Govt, job

'Private job

Self-employed

Unemployed

Students

24.20%

05.10%

04.50%

05.70%

60.50%Age(in Years) 16-25

26-35

36-45

46-55

71.30%

07.60%

03.80%

12.10%

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Above 56 05.10%Gender Male

Female

62.4%

37.6%Income Below Rs.20,000

Rs.>.20,001-

Rs.40,000

Rs.40,001- Rs.60,000

Above Rs.60,000

10.2%

27.4%

27.4%

35.0%

The profiles of respondents are as follows: Education: Intei-

mediate-2.5%, Graduates-17.2%, Post graduates-28.7%,

Professionals-51.6%. Occupation: Govt, job-24.2%, Private job-

5.1%, Self-employed-4.5%, Unemployed-5.7%, Students-60.5%. Age:

16-25 year- 71.3%, 26-35 year- 7.6%, 36-45 year- 3.8%, 46-55

year-12.1% and above 56 yeai-- 5.1%, Gender: Male -62.4% and

Female- 37.6%, Income: Less than Rs.20,000 p.m.- 10.2%,

Rs.20,001-40,000 p.m.- 27.4%, Rs.41,000-60,000 p.m.- 27.4%, &

Above Rs.60,000 - 35%.

Results and discussions

Table-2:

Correlation

Enjo

y

Sales

promoti

on

Ambienc

e

Qualit

y

People Food

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Enjoy Correlati

on

Sig.(2-

teiled)

N

1.00

000

500

.094

.241

500

.282**

.000

500

.398**

.000

500

.122

.127

500

.139

.082

500

Sales

promoti

on

Correlati

on

Sig.(2-

teiled)

N

.094

.241

500

1.00

000

500

.098

.223

500

.071

.377

500

.005

.948

500

.009

.907

500

Ambienc

e

Correlati

on

Sig.(2-

teiled)

N

282*

*

.000

500

.098

.223

500

1.000

500

.223**

.005

500

.104

.193

500

.155

.053

500

Quality Correlati

on

Sig.(2-

teiled)

N

.398

**

.000

500

.071

.377

500

.223**

.005

500

1.000

500

.175*

.028

500

.255*

*

.001

500

People Correlati

on

Sig.(2-

teiled)

N

.122

.127

500

.005

.948

500

.104

.193

500

.175*

.028

500

1.000

500

.155

.053

500

Food Correlati .139 .009 .155 .255** .155 1.000

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on

Sig.(2-

teiled)

N

.082

500

.907

500

.053

500

.001

500

.053

500 500

** Correlation is significant at the p < 0.01 level (2-tailed)

* Correlation is significant at the p < 0.05 level (2-tailed)

The correlation table-2 shows all pair wise correlations. The

values in the correlation table are standai'dized, range from 0

to 1 (positive and negative). This research observe that Sales

promotion, Ambience, Quality, People and Food are correlated with

enjoy. It means that researcher has chosen a fairly good set of

independent variables (Sales promotion of products and services.

Ambience of shopping mall, Quality of products, Service of sales

People and Food availability at shopping mall) to try and

correlate with Enjoy. These correlations arc one-toone

correlations of each variable with the others. The correlation

table shows that independent variables are positively correlated

with each other. This indicates that they are not independent of

each other and only two of them can be predict the dependent

variable (Enjoy). Regression is helpful in eliminating some the

independent variables as all of them are not required. Some of

them, being correlated with other variables, do not add any value

in the regression model.

Backward Stepwise

Regression

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Table- 3: Multiple Regression (Backward Stepwise Regression,

Final Stage)

Model R R^2 Adjusted

R^2

Standards

error4 .445 .198 .187 .89017Final Stage of Backward Stepwise Regression model gives two major

significant independent variables. In this model Food, People and

Sales Promotion components are less significant i.e. Food, People

and Sales Promotion eliminated from the model. The coefficient of

determination measures the proportion of variation in dependent

variable Y (Enjoy) that can be attributed to the

independent variables Xi (Ambience and Quality). Therefore, the

Coefficient of Multiple Detemiination (R^) is the proportion of

variation in the dependent variable Y (Enjoy) that is explained

by the combination of independent variables (Ambience and

Quality). The coefficient of multiple determination R^ is

computed as 0.198. This implies that 19.8% of the variation in

Enjoy is explained by the variation in the Ambience and Quality.

Adjusted R^ compare two or more regression models having the same

dependent variable (Enjoy) but different number of independent

variables (Ambience and Quality). This research compares the R^

and Adjusted R^, this shows that the value of R^ is 0.011 or 1.1%

more than the value of adjusted R'^. This indicates that adjusted

R^ has reduced the overall proportion of the explained variation

of the dependent variable attributed to independent variables by

1.1% .The value of the adjusted R^

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is computed as 0.187 .This indicates that 18.7%of the total

variation in Enjoy can be explained by the multiple regression

model adjusted for number of independent variables (Ambience and

Quality) and sample size (157).

Table- 4: ANOVA

MODEL Sum of

Squares

Degree of

freedom

Mean

square

T-test Significa

nceRegressio

n

Residuals

Total

30.073

122.029

152.102

2

496

499

15.037

.792

18.976 .000

Final table of ANOVA observed that the F- statistic is computed

as 18.976 and corresponding p value is .000. This indicates

acceptance of the alternative hypothesis and the rejection of the

null hypothesis. This is also an indication of the statistically

significant relationship between Enjoy and other independent

variables (Ambience and Quality). This indicates that the model

is statistically significant.

Table 5:

Coefficients

Variables in the

equations

Independ

ent

variable

Unstandr

ized

Coeffici

Standar

d

Error

Standard

ized

Coeffici

t-test Signific

ance

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s ents ents

'Beta'(Constan

t)

Ambience

Quahty

1.508

. .198

.376

.368

.072

.079

.203

.353

4.094

2.740

4.769

.000

.007

.000

The regression coefficient are a = 1.508, bi = 0.198, b2 = 0.376

Y (Enjoy) = 1.508 + + 0.198 (Ambience) + 0.376 (Quality)

Final stage of the multiple regression model, the enjoyment at

shopping mall, this research note that t-tests for significance

of individual independent variables indicate that significance

level 0.05( equivalent to a confidence level of 95%), only

Ambience [ p-value(.007 <.05)] and Quality [ p-value (.000 <.05)]

are statistically significant in the model. The equation we have

obtained means, in effect, that enjoy will increase in the

shopping mall if ambience of shopping mall increase and if

quality of products increases. The value of standardize

coefficient 'Beta' positive and high significant for Quality

(0.353) and as well as Ambience (0.203).

Table-6: Variables not in

the equations

Independent

variable

Beta

In

t-test Significa

nce

Partial

'*

correlati

on

Co

linearity

Statistic

s

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Food

People

Sales

Promotion

.020

.041

.050

.260

.554

.684

.795

.581

.495

.021

.045

.055

.925

.965

.988

Reliability and validity of the construct;

As far as the reliability and validity are concerned, analysis

began with measuring the reliability of the construct. First of

all, internal reliability of the scale was examined using

Cranach’s alpha coefficient. Value of the reliability are 0.7 and

above as an indicator of good reliability. This research has been

found value of Cranach’s alpha coefficient 0.728 which is good.

After that convergent validity can be accessed from the

measurement model by determining whether each

indicator's estimated maximum likelihood loading on the

underlying construct is significant. Factor loading of six

variables exceed 0.60. This shows evidence of convergence

validity of this research. Composite reliability coefficients for

each construct are also finding out. Composite reusability should

be greater than 0.7 to indicate reliable factors (Hair et al

1995).this research paper, all the composite reliability

coefficient are greater than 0.7 indicating reliability of all 06

variables. Now, composite reliability, variance extracted and

Cranach alpha coefficient values for all shopping mall variables

greatly exceeded the minimum acceptable values. This research

indicated that measures were free from error and therefore

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yielding very consistent results (Zikmund, 2003). These tests

showed that our data are reliable and valid for this research.

Managerial Implications:

Information on consumer buying behavior will be useful for

retailing targeting Indian markets. As Indian retail industries

is in boom today and more and more national and international

players are interested in the emerging retail market in India, an

understanding of Indian mall shopper behavior, with particular

reference to the sales promotion, ambience, quality, people and

food at shopping mall are crucial. Profiling consumers by

combining variables of shopping mall shoppers and demographic

variables provide more meaningful ways to identify and

understanding various consumers and target each segment with more

focused marketing strategies (Hiu, A.Y., et al,, 2001).

Limitations of the study:

There are several limitations that warrant future research. This

study has been conducted in Thane city of Uttar Pradesh, India,

The results of the same, if conducted in other part of the

country may vary. It is become a country like India has

geographically, economically, socially and culturally very

different areas. This difference is too significant to be

ignored. The sample size consisted of 500 active mall shoppers.

The small sample size is also error prone.

Conclusion:

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The results of this research study clearly indicate that there

exits a positive association between sales promotion of products

and services, ambience of shopping mall, quality of products,

service of sales people and food availability at shopping mall

with the dependent variable that is; enjoy of consumers at

shopping mall. An empirical study of consumer buying behavior at

local market in Thane shows that ambience of shopping mall and

quality of products established strong association with the enjoy

of consumers at shopping mall. So, it is established through this

research that consumers like ambience and quality products at

shopping mall. The three other independent variables(sales

promotion of products and services, service of sales people and

food availability at shopping mall) have been identified weak

association with enjoy at shopping mall.

Further research

There is a need to conduct research regarding different angles of

shopping mall and find their impact on the buying behavior of

consumers, for which differences can be compared if research is

conducted separately in the groups of male and female consumers

and some other demographical variables also should be considered.

This proposed research can bring to surface the true association

of independent variables of the shopping mall with the dependent

variable, and will also facilitate in identifying the main

independent variables accelerating the buying behavior in

consumers and it will definitely help practitioners in improving

their marketing strategies regarding products sales.

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