consumer perception towards shopping mall

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Available ONLINE www.visualsoftindia.com/journal.html VSRD-IJBMR, Vol. 1 (5), 2011, 321-334 ____________________________ 1 Senior Lecturer, MBA Department, Advance Institute of Management, Ghaziabad, Uttar Pradesh, INDIA. 23 Lectuer, MBA Department, IBM, Mangalayatan University, Aligarh, Uttar Pradesh, INDIA. *Correspondence : [email protected] R R E E S S E E A A R R C C H H A A R R T T I I C C L L E E Perception of Consumers towards Shopping Mall- A Case Study With Reference To Aligarh and Mathura City 1 Satendra Bhardwaj*, 2 Rajeev Sharma and 3 Jyoti Agarwal ABSTRACT The paper is intended to provide information about Customer satisfaction level with the Shopping Malls .In India there have been a great successful brand both national as well as foreign brands and again it has been realize that brands are sustaining power to stay in the competitions. If we defined the customer satisfaction we can say “a qualitative measure of performance as defined by customer, which meet their basic requirements and standard.” Customer satisfaction is defined as “measure or determination that a product or services meet a customer’s expectation, considering requirement of both quality and service.” This paper has been under taken to study of customer perception about shopping malls and suggesting way to improve its market share in sales through customer perception about private labels. Keywords: Qualitative Measure, Customer Perception. 1. INTRODUCTION Retailing is the final step in the distribution of merchandise - the last link in the Supply Chain - connecting the bulk producers of commodities to the final consumers. Retailing covers diverse products such as foot apparels, consumer goods, financial services and leisure. A retailer, typically, is someone who does not affect any significant change in the product execs breaking the bulk. He/ She are also the final stock point who makes products or services available to the consumer whenever require. Hence, the value proposition a retailer offers to a consumer is easy availabilities of the desired product in the desired sizes at the desired times. In the developed countries, the retail industry has developed into a full-fledged industry where more than three-

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Page 1: consumer perception towards shopping mall

Available ONLINE www.visualsoftindia.com/journal.html

VSRD-IJBMR, Vol. 1 (5), 2011, 321-334

____________________________

1Senior Lecturer, MBA Department, Advance Institute of Management, Ghaziabad, Uttar Pradesh, INDIA. 23Lectuer, MBA Department, IBM, Mangalayatan University, Aligarh, Uttar Pradesh, INDIA. *Correspondence : [email protected]

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Perception of Consumers towards Shopping Mall- A Case Study With Reference

To Aligarh and Mathura City 1Satendra Bhardwaj*, 2Rajeev Sharma and 3Jyoti Agarwal

ABSTRACT

The paper is intended to provide information about Customer satisfaction level with the Shopping Malls .In

India there have been a great successful brand both national as well as foreign brands and again it has been

realize that brands are sustaining power to stay in the competitions. If we defined the customer satisfaction we

can say “a qualitative measure of performance as defined by customer, which meet their basic requirements and

standard.” Customer satisfaction is defined as “measure or determination that a product or services meet a

customer’s expectation, considering requirement of both quality and service.” This paper has been under taken

to study of customer perception about shopping malls and suggesting way to improve its market share in sales

through customer perception about private labels.

Keywords: Qualitative Measure, Customer Perception.

1. INTRODUCTION

Retailing is the final step in the distribution of merchandise - the last link in the Supply Chain - connecting the

bulk producers of commodities to the final consumers. Retailing covers diverse products such as foot apparels,

consumer goods, financial services and leisure.

A retailer, typically, is someone who does not affect any significant change in the product execs breaking the

bulk. He/ She are also the final stock point who makes products or services available to the consumer whenever

require. Hence, the value proposition a retailer offers to a consumer is easy availabilities of the desired product

in the desired sizes at the desired times.

In the developed countries, the retail industry has developed into a full-fledged industry where more than three-

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fourths of the total retail trade is done by the organized sector. Huge retail chains like Pantaloon, RPG, Wal-

Mart, K-Mart, McDonalds, etc. have now replaced the individual small stores. Large retail formats; with high

quality ambiance and courteous and well-trained sales staff are regular features of these retailers.

Broadly the organized retail sector can be divided into two segments, In-Store Retailers, who operate fixed

point-of-sale locations, located and designed to attract a high volume of walk-in customers, and the non-store

retailers, who reach out to the customers at their homes or offices.

Every organized retailer in India is faced with myriad questions: differentiating with the other competitive

formats; sustaining the differentiation with upcoming me-too formats; retention of footfall day after day; coping

with local-neighborhood shops; and maintaining post tax profitability with all the additional expenses of

providing “shopping experience” to consumers.

A possible solution to all these are offered by store brands. A store brand (also called own label, dealer owned

brand or private label) is defined as a product line, which is owned, controlled, merchandised and sold by a

specific retailer in its own stores.

The growing strength of retailers poses many challenges to manufactures of consumer goods. Conventionally

viewed, store brands are thought to be weapons for fighting national brands, shifting power equilibrium in favor

of retailers. Store brand offerings have steadily stolen share from popular brand-name products. Store brands

represent one of the greatest challenges to manufacturers.

2. LITERATURE REVIEW

Sproles and Kendall (1986) define a consumer decision making (CDM) style as “a mental orientation

characterizing a consumer’s approach to choices”. Broadly speaking, there are three types of approaches in

studying consumer decision-making styles: the psychographic / lifestyle approach, which identifies hundreds of

characteristics related to consumer behavior; the consumer typology approach, which classifies consumers into

several types; and the consumer characteristics approach, which focuses on different cognitive dimensions of

consumer’s decision-making in the extent consumer behaviour literature, most studies assume that the shopping

approaches of all consumers with certain decision making traits combine to form a consumer’s decision-making

style. Academicians and researchers have long been interested in identifying these underlying decision styles of

shoppers. For example, consumers are identified as economic shoppers, personalizing shoppers, ethical

shoppers, apathetic shoppers, store loyal shoppers, recreational shoppers, convenience shoppers, price-oriented

shoppers, brand-loyal shoppers, name-conscious shoppers, problem-solving shoppers, fashion shoppers, brand

conscious shoppers and impulse shoppers. Using the consumer characteristics approach, Sproles (1985)

developed a 50-item instrument to profile the decision making styles of consumers. Using data collected from

111 undergraduate women in two classes at the University of Arizona and employing a factor analysis

technique, Sproles (1985) found six consumer decision-making style traits He named and described these traits:

(1) Perfectionism. (2) Value Conscious, (3) Brand Consciousness, (4) Novelty-Fad-Fashion Consciousness,

(5) Shopping Avoider-Time Saver-Satisfier, (6) Confused, Support-Seeking Decision –Maker.

In a later study, Sproles and Kendall (1986) developed a comprehensive instrument called Consumer Style

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Inventory (CSI) to measure consumer decision making styles. The instrument was administered to 482 students

in 29home economics classes in five high schools in the Tucson, Arizona area. This instrument measures eight

mental characteristics of consumer’s decision making: perfectionism, brand consciousness, novelty-fashion

consciousness, recreational, price-value consciousness, impulsiveness, confused by over choice, and brand-

loyal/habitual.

According to Sproles & Kendall (1986), identification of these characteristics among consumers “helps to

profile an individual consumer style, educate consumers about their specific decision making characteristics,

and counsel families on financial management”. Consumer Style Inventory (CSI) developed by Sproles &

Kendall (1986) was used by many researchers to study the consumer decision making styles. Some of the

researches are briefly described below. Hafstrom et al. (1992) used the CSI to identify the decision-making

styles of Korean students. They confirmed seven of the eight factors using Sproles & Kendall’s analytical

methods and conceptual framework.

The only factor that was not confirmed was ‘novelty fashion consciousnesses. They attributed this to possible

links between ‘brand consciousness’ and ‘fashion consciousnesses among young Korean consumers.

Administered the CSI to 387 adult consumers in China. Their findings indicate that five decision-making styles

are valid and reliable in Chinese culture. There styles were perfectionist, novelty-fashion conscious,

recreational, price conscious, and confused by over choice. Fan and Xiao (1998) used a modified CSI with

Chinese students. They clearly identified five dimensions of consumer decision making styles for German

consumers. These factors were brand consciousness, perfectionism, recreational/hedonism, confused by over

choice, impulsiveness, novelty-fashion consciousness, and variety seeking. Durvasula et al. (1993) administered

the CSI on 210 undergraduate business students at a large university in New Zealand. They found eight

consumers decision making styles. These styles are perfectionist, brand conscious, novelty-fashion conscious,

recreational shopping conscious, price-value conscious, impulsive, confused by over-choice, and habitual/

brand-loyal.

3. RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the research problem. It may be understood as a science

of studying how research is done scientifically. To do my study I have adopted exploratory research design.

Research Design Exploratory

Data Source Primary & Secondary data

Research Instrument Questionnaire

Sample Plan Shopping Malls of Aligarh and Mathura

Sample Size 50 customers

Sampling Procedure Non Probability Sampling

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Sampling Methodology Personal Survey

Method Through the various steps, which are involved in the exploratory research, are as:

3.1. Name Of The Shopping Malls

Great Value Shopping Mall Aligarh

Highway Plaza Mall Mathura

3.2. Finding 1:

Shopping Malls are mostly visited by age group of 20-30 followed by 30-40 age groups.

The reason being college students and families.

Table 1

AGE Total Percentage 16-20 10 20% 20-30 15 20% 30-40 10 20% 40-50 8 16%

50 & over 7 14% Total 50 100%

Graph 1

AGE GROUP

16-2020%

20-3030%30-40

20%

40-5016%

50 and over14%

3.3. Finding 2

Mostly customers prefer SHOW ROOMS AND SHOPPING MALLS for purchasing.

Local Markets are mostly used for shopping that includes MOM & DAD’s shop.

Table 2

LOCATION TOTAL PERCENTAGE

KIRANA STORE 8 16%

LOCAL MARKET 12 24%

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SHOPPING MALLS 15 30%

SHOW ROOMS 15 30%

TOTAL 50 100%

Graph 2

CUSTOMER PURCHASE PREFERENCES

KIRANA STORE16%

LOCAL MARKET24%

SHOPPING MALLS30%

SHOW ROOMS30%

3.4. Finding 3

Mostly respondents go for shopping purposes in shopping malls.

38% respondents go for having a fun in shopping malls.

Window Shopping is also one big factor of attraction towards shopping malls.

Table 3

PURPOSE TOTAL PERCENTAGE

SHOPPING 23 46%

ENTERTAINMENT 19 38%

WINDOW SHOPPING 8 16%

TOTAL 50 100%

Graph 3

PURPOSE OF VISITING SHOPPING MALLS

SHOPPING 46%

ENTERTAINMENT

38%

W INDOW SHOPPING

16%

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3.5. Finding 4

Mostly respondents used to go fortnightly to shopping malls.

30% respondents used to go weekly for various purposes to shopping malls.

Only 10% people go daily at shopping malls.

Table 4

VISITING FREQUENCY TOTAL PERCENTAGE

DAILY 5 10%

WEEKLY 15 30%

FORTNIGHTLY 20 40%

MONTHLY 10 20%

TOTAL 50 100%

Graph 4

VISITING FREQUENCY

DAILY 10%

WEEKLY30%

FORTNIGHTLY

40%

MONTHLY 20%

3.6. Finding 5

According to respondents all less than one room concept was the main motivator factor behind the success

of shopping mall.

Second preference choice was availability of branded Item.

Table 5

Affordability

Branded

Item

Trend &

Fashion

All under

one room Total

1st Perf 4 8 8 30 50

2nd 10 20 12 8 50

3rd 14 12 16 8 50

4th 22 10 14 4 50

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Total 50 50 50 50 200

Graph 5

4

8

8

30

10

20

12

8

14

12

16

8

22

10

14

4

0%10%20%30%40%50%60%70%80%90%

100%

1st Perf 2nd 3rd 4th

All under one roomTrend & FashionBranded ItemAffordability

3.7. Finding 6

60% respondents are satisfied with the pricing schemes at shopping malls.

40% respondents were not satisfied with the pricing schemes.

Table 6

PRICE SATISFACTION TOTAL PERCENTAGE

YES 30 60%

NO 20 40%

TOTAL 50 100%

Graph 6

PRICE SATISFACTION

YES60%

NO40%

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3.8. Finding 7

Weekend Rush was the main problem for a normal customer.

16% respondents were not happy with the Parking Facility at Shopping malls.

Table 7

DRAWBACK IN MALLS TOTAL PERCENTAGE

EXPENSIVE 6 12%

PARKING FACILITY 8 16%

WEEKEND RUSH 16 32%

OTHERS 20 40%

TOTAL 50 100%

Graph 7

DRAWBACK IN SHOPPING MALLS

EXPENSIVE12% PARKING

FACILITY16%

WEEKEND RUSH32%

OTHERS40%

3.9. Finding 8

70% respondents said that location of shopping malls affects Shopping mall.

30% respondents ignore the location problem.

Table 8

LOCATION AEFFECTS TOTAL PERCENTAGE

YES 35 70%

NO 15 30%

TOTAL 50 100%

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Graph 8

LOCATION EFFECT

YES70%

NO30%

YESNO

3.10. Finding 9

Mostly respondents were highly satisfied with the parking facility.

Respondents were agreeing that quality of service is up to mark at shopping malls.

According to most of the respondents quality of the products was good.

Respondents were satisfied for the money paid at shopping malls.

Table 9

Excellent Good Average Poor TOTAL

PARKING FACILITY 30 11 5 4 50

QUALITY OF SERVICE 11 25 8 6 50

QUALITY OF PRODUCT 16 15 10 9 50

VALUE FOR MONEY 8 20 11 11 50

Graph 9

30

11

16

8

11

25

15

20

5

8

10

11

4

6

9

11

1

0 10 20 30 40 50 60

PARKING FACILITY

QUALITY OF SERVIC

E

QUALITY OF PRODUCT

VALUE FOR MONE

Y Excellent Good AveragePoor

On the basis of this we can say that

Visitors are mostly satisfied with the parking facility.

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Quality of service is below good and above average.

Quality of product is followed by value for money.

3.11. Finding 10

Out of 30 customers 18, have told that they like the layout of shopping while 8 told that they do not like very

much.

Graph 10

20

8

2

0 5 1 0 1 5 2 0 2 5

ye s

n o

c a n 't s a y

S e rie s 1

3.12. Finding 11

Out of 30 Customer, 18 customers like delivery services of Shopping Mall while 7 customers like the credit

facility&5 customers like transportation facilities. So it is clear that customer wants delivery services most.

Graph 11

75

1 8

02468

1 01 21 41 61 82 0

C r.F a c i l i ty T r.F a c il i ty D l. fa c ili t y

S e r ie s 1

3.13. Finding 12

Out of 30 Customer, 18 customers said that Shopping Mall always provides better services &it exceeds their

expectation.

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Graph 12

189

305

101520

Series1

3.14. Finding 13

Out of 30 customers, 25 customers have told that Shopping Mall following the ethical marketing practices.

Graph 13

25

500

5

10

15

20

25

30

Yes No Can'tsay

Series1

3.15. Finding 14

Customer said that when they think about Shopping Mall they think about price. Out of 30 customer 20

customer have told this while 10 customers said that they think about quality.

Graph 14

PRICE67%

QUALITY33%

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3.16. Findings

The only successful outlets are EATING OUTS and RECREATION CENTRES in the malls.

Apparel stores have maximum female’s customers.

Maximum footfall is on weekends.

Brands and trends attract people toward malls.

Parking is the major problem on weekends.

Most of the Customers are targeted by almost all the segments of the society with their USP being “Price

benefit” customer require all the stores in Prime Location.

Every Shopping Mall outlet have motivated and trained sales force.

Customers like large variety of products are available ranging from clothes, food items, electronic goods

etc.

Staffs are provided constant training for various peculiarities of customer behaviour.

Consumers are interested to purchase those products which has discount price.

Not much difference in the Layout of the floor designs in the various branches.

They try to maintain a similarity to maintain comfort levels of customers.

Habits of consumers are affected by Word of Mouth.

4. CONCLUSION

“Customer Service is a critical factor for keeping your clients coming back and ensuring they’ll refer you to

others”.

1. Growing your business will be a difficult task at best if you don’t perform, meet and exceed your

client’s expectations, and provide service that creates customers for life.

2. Customer service is all about the customer’s perception. You have to do more than just get the job

done. You must deliver on all the things (big and small) that affect the relationship with your client.

Consider opportunities for improvement in the following areas.

3. Setting/Reviewing Expectations:- Do you work with your client to set clear, appropriate, realistic

expectations that you can always meet or exceed? Are you clear about the responsibilities (both yours’

and the client’s), timelines, and expectations of results? Are you then willing to go back and review

these expectations with the client?

4. Communication:- Do you have mechanisms in place to ensure you’re communicating with clients at

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every stage of the engagement, from the sales process through to completion of the project? Being clear

about where you’re at, what’s been completed, what’s coming up next, who’s responsible, what results

you can expect, etc.? Has the client ever had to ask you for these things?

5. Organization: - Are you organized? Punctual? Reliable ? When you show up to work with your clients,

have you done the work and are you prepared to make them feel comfortable and taken care of? Even

though you’ve done it hundreds, maybe thousands of times before, do you take the time to organize and

prepare to make it the best client experience possible?

6. Committing to the Little Things:- Don’t ever dismiss the power of all the little things. Together they

can make all the difference and really separate you from the competition. Returning calls and emails in

a timely manner. Providing useful information to folks on a regular basis. Showing appreciation for

your clients through things like thank you notes, exclusive client-only briefings, and open house, etc.

Clearly these are not the only relevant areas for creating great customer service, I assure you. But these

were some of the Factors which might provide a boost to the sales figures, though I am sure the

organization would have already implemented most of these measures already.

5. RECOMMENDATIONS AND SUGGESTIONS

1) Convert your customers into publicity agents. Develop an incentive for them to tell associates and

friends about the value of your products or services. An endorsement from them is more effective than

any amount of advertising-and it is much cheaper.

2) Surprise your customers with unexpected value. If you sell products, include an "unadvertised bonus"

with every order. If you sell services, get into the habit of doing something extra for every customer or

client without charging for it.

3) Reward them each time they refer someone who becomes a customer. Your reward can be as simple as

a credit toward their next order from you.

4) The management of Big Bazaar can improve their understanding of the role and capabilities of

advertising to improve customer relation and enhance loyalty. This understanding should in turn results

in a more effective and more efficient advertising campaign.

5) Visual Merchandising:- It is often seen that the people come to the store to browse rather than buy.

6) Schemes: In store Promotions: The people visiting the store should be encouraged to visit the store

again and again. So it is necessary to delight the shoppers with the shopping experience. It has been

observed in international shopping malls that there are in-store promotions like lucky draws for entrants

surprise winners and so on at random

6. REFERENCES [1] AC Nielsen. 2007. Survey of Consumer's Shopping Behaviour and Perceptions toward Modern &

Traditional Trade Channels in Indonesia. Report to the World Bank/Indonesia.

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[2] Commerce and Industry Ministry. 2007. India Retail Report 2007. Delhi: Commerce and Industry Ministry,

January.

[3] Faiguenbaum, S., J.A. Berdegué and T. Reardon. 2002. “The Rapid Rise of Supermarkets in Chile: Effects

on Dairy, Vegetable, and Beef Chains,” Development Policy Review, 20 (4), September: 459-471.

[4] Financial Express. 2007. Mayawati: Retail to open to RIL. December 25.

[5] Hen, N.E. 2007. Speech at the Official Opening of the Singapore Institute of Retail Studies, March 20, Toa

Payoh HDB Hub.

http://www.mom.gov.sg/publish/momportal/en/press_room/mom_speeches/2007/2007020-

speech_by0.html. Ho, S-C. 2005. “Evolution versus tradition in 6.

[6] Reardon, T. and R. Hopkins 2006. The Supermarket Revolution in Developing Countries: Policies to

Address Emerging Tensions among Supermarkets, Suppliers and Traditional Retailers. The European

Journal of Development Research, vol. 18, No. 4, December 2006, pp. 522-545, December,

[7] www.google.com

[8] www.mmx..com

[9] www.bigbazaar.com