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A Conceptual Note On Influencing Store Loyalty:

A CONCEPTUAL NOTE ON INFLUENCING STORE LOYALTY:
IMPLICATIONS FOR INDIAN RETAILERS
Abstract
Store loyalty is the most initial variable of interest to retailers. This paper reviews existing retail literature to identify the dimensions of store loyalty; with specific focus on its antecedents such as store image. The paper also discusses methodological issues in measuring store loyalty and image in the current Indian context.
Introduction
This Note examines the various measures of store patronage and its antecedent; store loyalty. Using store image as a critical component of store loyalty, the note draws upon the extensive work done in this area and suggests a far more comprehensive conceptual model that before. Previous models have looked at three dimensions:
a) Consumer characteristics,
b) Retail mix
c) Situational variables.
At best models have incorporated impact of two of these parameters. The linkages with shopping experiences and the role of desired benefits have never been brought out clearly.
Understanding the Difference between Store Patronage and Store Loyalty: Behavior and Attitude
Store patronage
Store patronage is defined and measured in behavioral terms. There are five ways of looking at patronage and these are not mutually exclusive:
1. Does the consumer shop exclusively at Store X
2. Does the customer spend ‘larger’ % of total expenditure at Store X.
3. Does a ‘larger’ % of total shopping trips to similar stores happen at Store X
4. Does the customer buy a ‘larger’ % of quantity/items at Store X.
5. Is the consecutive trips made to Store X ‘significantly’ more than consecutive runs made to other similar competing stores
Loyal shoppers, as per the first definition, are so rare as to be practically negligible. One of the earliest studies in this area was by Cunningham, 1961.
1 This has been found to be true in subsequent studies.
2 Most consumers are multiple-store shoppers though differences exist across...