Lecture Consumer behaviour: Chapter 6 - Cathy Neal, Pascale Quester, Del Hawkins

Chapter 6 Outlet Selection
and Purchase
• Factors that affect retail outlet selection
• Why consumer characteristics can also affect

outlet selection
• In-store influences that can affect brand choice
• Why marketers need to consider these influences
• How the retail environment is changing to respond
to the online challenge

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6–1


Consumer Outlet Selection
and Purchase
• Where will consumers shop?
• How do they choose a retail outlet?
–
–

consumer characteristics
store characteristics

• In-store decision alterations
• The purchase process
• Alternative to store selection
• Implications for strategy

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6–2


Outlet Choice vs Product Choice
1. Brand (or item) first, outlet second
2. Outlet first, brand second
3. Brand and outlet simultaneously

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6–3


Marketing Strategy Based on the
Consumer Decision Sequence

6–4


Use of Advertising to Create Brand Demand
and Direct Consumers to Outlets

6–5


The Retail Scene
• In stores
• Other outlets, non-store outlets

–
–

markets, direct sales, etc.
Internet sales

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6–6


Internet Retailing

6–7


Reasons for not Purchasing
on the Internet

6–8


Characteristics of Online Consumers

6–9


Online Shopping
• Increasing number of consumers preferring to shop

online
• Females now using the Internet
• Image of the outlet:
–
–
–
–

Web page design
Convenience
Security
Pricing

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6–10


Attributes Affecting Retail
Outlet Selection
Outlet image
A consumer’s or a target market’s perception of all
the attributes associated with a retail outlet

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6–11


Dimensions and Components of

Store Image
Dimension

Component(s)

 Merchandise
 Service

 Quality, selection, price, style
 Sales assist., return, credit

 Clientele
 Physical features

 Customers
 Clean, layout, etc.
 Location, parking

 Convenience
 Promotion
 Store atmosphere
 Institutional

 Advertising
 Fun, excitement, comfort
 Store reputation

 Post-transaction

 Satisfaction

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6–12


Attributes Affecting Retail Outlet
Selection
• Store image
• Retail advertising

Price advertising
–
–
–

Size of discount
Reference/comparison may be used
Words accompanying the price information

• Outlet location and size

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6–13


Expenditure of Individuals Drawn
to a Store by an Advertised Item

6–14


Outlet Location and Size:
Retail Attraction Model

MSi =

n
i

Si / Ti
Si / Ti

MSi = market share of store i
Si = size of store i (or mall)
Ti = travel time to i
= attraction factor for a particular product
category

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6–15


Consumer Characteristics and Outlet
Choice
• Shopping orientation
• Perceived risk
–

–

Financial risk
Social risk

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6–16


Financial and Social Risks for
Various Types of Products

6–17


In-Store Influences that Impact on
Evaluation of Alternatives, and Purchase

6–18


In-store Influences that Alter Brand
Choices
• The nature of unplanned purchases
–
–

Reminder purchases
or

Impulse purchases

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6–19


In-Store Buying Habits

6–20


Shopper Purchase Behaviour

Insert table 6.8

6–21


Shopper Behaviour in Response
to Frequent Stockouts

6–22


Impact of Stockout Situation

6–23

Store Atmosphere and Shopper Behaviour

6–24


Next Lecture…
Chapter 7:
Postpurchase Processes,
Customer Satisfaction and
Consumer Loyalty

 Copyright ª 2004 McGraw­Hill Australia Pty Ltd 

6–25