Precursors of Organised and Unorganised Retail Store Format Choice in Influencing Repatronage Intentions

Abstract

The purpose of this research study is to determine, at a macro level, the attributes of store format choice in different product categories, in the contingency of the rapidly developing retail industry of India. The study tries to associate the prominent store attributes as adjudged by the respondents in the study, with validated motivations of consumers in re-patronizing different stores. In the very procedure, it provides insight as to whether the average Indian consumer values the new store aspects extended by the retailers as part of the new formats evolving in the market scenario. The structure developed for determining the effectiveness of newer store formats is significant since it imposes a major impact on the cumulative profitability of any given retailing business. The study suggests that in a developing economy such as India, customers do not necessarily need the service outfits presented by many of the emerging new store formats in the market and describes that this may emit a serious doubt over the retail revolution, going on in the Indian retail industry. Few of the hypotheses relating to the evolution of the retailing business in India, which demands further investigation, has also been utilized. In the current economy, brand building and being consistent with it depends highly on the quality of service provided by the company. It is the need of the hour to be at par with the competitors, if not ahead in providing a better service quality to the customers to earn their loyalty. Customer loyalty is another important determinant is an effective outcome of the service quality as claimed by many researchers. Service quality is at the heart of Indian retail sector, be it the Kirana shops or the multiplexes serving variety of options under one roof. In fact, opening of the retail chains like Big Bazaar, Reliance Fresh etc. has posed a great challenge for the Kirana stores to survive in the market, it is here where the quality of service differentiates the two. On one side we have multiple need being serv