Consumer shopping value, satisfaction, and loyalty for retail apparel brands

Abstract

Purpose To examine the effect of utilitarian and hedonic shopping benefits on customer satisfaction, loyalty, and word of mouth communication in a retail branded context. Design/methodology/approach A sample of young adult consumers ( N =276) was surveyed using a self‐administered questionnaire. Statistical techniques (confirmatory factor analysis, structural equation modeling) were used to evaluate the data. Findings Statistical models indicate support for significant, positive relationships between utilitarian and hedonic shopping benefits, customer satisfaction, customer loyalty, and word of mouth communication. Research limitations/implications Limitations of this study include the use of a college student sample and confinement to the specialty apparel retail branded purchasing context. The findings are useful because links between the delivery of shopping benefits (e.g. hedonic and utilitarian) and important outcome variables (e.g. customer satisfaction, loyalty, and word of mouth communication) are demonstrated. Practical implications In the increasingly competitive environment faced by today's retailers, the pursuit of customer loyalty is paramount. In order to be competitive, retailers must identify the key antecedents to customer loyalty and the relationships between the benefits delivered to the consumer and important outcomes (e.g. satisfaction, word of mouth communication). The findings of this study contribute to the development of an organizing framework for such relationships, which is exceptionally important for retailers. Originality/value This paper undertakes an empirical examination of the effect of shopping benefits on several outcome variables. The paper is unique because of the relative newness of the context in which the study was conducted (retail branded products).