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Cross-format shopping motives and shopper typologies for grocery shopping: a multivariate approach

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Abstract:

The main purpose of this study is to explore cross-format shopping motives among grocery consumers and to categorise cross-format shopping typologies based on identified motives. The paper also aims to identify common consumer subgroups amongst the customer base of different retail formats and differences among shopper segments in relation to format choice and repeat patronage (loyalty). In this method, exploratory qualitative (semi-structured personal interviews) and quantitative research (mall intercept survey) approaches were used. Primary data were collected from 1040 grocery consumers by self-administering a structured questionnaire. Multivariate techniques including exploratory factor analysis, k-means cluster analysis, multiple discriminant analysis, multivariate analysis of variance, and χ 2 tests were applied to test the formulated propositions. This paper identifies nine cross-format shopping motivations: value for money, value for time, price-conscious, local shopping, shopping enjoyment, social shopping, variety seeking, entertainment, and brand-conscious motives. Based on these central dimensions, this paper finds five cross-format shopper segments: economic shopper, convenience shopper, price-promotional shopper, hedonic shopper, and social shopper. The study also indicates that there are significant differences amongst shopper typologies in relation to retail format choice and repatronage. This study provides specific knowledge of the cross-shopping motives to the grocery retailers that consumers consider important when making format choices. The study also helps retailers develop various retailing strategies to increase store format loyalty. Despite the importance of understanding grocery consumers' cross-shopping, little research has been conducted to investigate the growing incidence of cross-format shopping. Given the absence of published academic literature in relation to cross-format shopping behaviour in the context of emerging retail markets, the empirical evidence may serve as a departure point for future studies in this area of concern. The research is relevant to grocery retailers in terms of format development.

Keywords: India; cross-shopping; food and grocery; format choice; patronage; retailing; shopping motives

Document Type: Research Article

DOI: http://dx.doi.org/10.1080/09593969.2013.801358

Affiliations: 1: Department of Business Management, Krishna University, Machilipatnam, 521001, India 2: School of Management Studies, JNTUH, Hyderabad, 500085, India

Publication date: January 1, 2014

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