ORCID
- Christopher Agyapong Siaw: 0000-0001-7277-3617
Abstract
Purpose: This study examines how formal retail formats (FRFs), and informal retail formats (IRFs) may coexist as substitutes and complements in emerging markets because of store patronage driven by customers’ chronic shopping orientations, and differences in salesperson consultation in the two retail formats.Design/methodology/approach: Using a shopping motivational orientation framework, we develop and test a moderated mediation model using survey data from 515 shoppers of formal and informal grocery retail outlets in India.Findings: While task-focused and experiential-focused shopping orientations influence both FRF and IRF patronage, store satisfaction mediates these relationships and crucially attenuates the negative impact of task-focused orientation on FRF patronage. Salesperson consultation moderates the mediating effects of satisfaction in the link between shopping orientation and patronage of both FRFs and IRFs.Research limitations/implications: The findings suggest that FRFs and IRFs could coexist as complements and substitutes when patronage is examined as repeated visits determined by shopping orientation, mediated by satisfaction and moderated by salesperson consultation.Practical implications: For FRFs and IRFs to be complements, both formats must prioritize their distinctive attributes that satisfy a consumer's chronic shopping orientation. Substitution depends on how both retail formats prioritize salesperson consultation and in-store characteristics that appeal to consumers’ chronic orientation during specific shopping trips.Originality/value: Whilst FRFs must satisfy task-focused shoppers to compete with IRFs, salesperson consultation can inhibit such satisfaction. However, the extent of coexistence between FRFs and IRFs depends on how each format leverages salesperson consultation to enhance satisfaction of experiential-focused shoppers.
DOI
10.1108/IJRDM-04-2023-0205
Publication Date
2024-06-04
Publication Title
International Journal of Retail and Distribution Management
Volume
52
Issue
5
ISSN
0959-0552
Keywords
Retailing, Emerging markets, Formal and informal retail formats, Shopping orientation, Patronage, Satisfaction
First Page
509
Last Page
531
Recommended Citation
Rajaguru, R., Matanda, M., & Siaw, C. (2024) 'Drivers of formal and informal retail patronage in emerging markets', International Journal of Retail and Distribution Management, 52(5), pp. 509-531. Available at: https://doi.org/10.1108/IJRDM-04-2023-0205
