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78 School of Management Studies, Punjabi University, Patiala

Malls and Hypermarkets: Perspectives of Contemporary Shopping

CHAPTER – 2

REVIEW OF LITERATURE



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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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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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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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



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 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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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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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:



• 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



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.



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



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.



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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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.



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.



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



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



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



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



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



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



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



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



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



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.



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).



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



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.



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



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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SONY

Highlight



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