Atmosphere: Does It Provide Central or Peripheral Cues - Assignment Example

Business Research Method and Skills ID: Word Count: Module Contents Contents 2 Introduction 3 Literature Overview 4 Proposed Methodology 7 Ethical Issues 10 Limitations of research study 11 Timeline 11 References 12 Introduction There are various factors encompassed within a retail store. This study shall highlight the importance of ambient conditions of a retail outlet and its impact on consumer purchasing decision. In this particular research study ambient conditions of retail outlets would be thoroughly analyzed so as to determine an area which can be taken into consideration for further research study. There are different factors outlined in the study such as retail environment, congruence amongst existing factors, congruence between identified elements and store’s merchandise, consumer characteristics and effect of retail store atmospherics. In present scenario there are wide array of retailers who gives more importance to their retail store environment. This is because maintaining appropriate ambient conditions enable a firm to attract maximum customers and initiate high revenue margins. At times this form of approach is also regarded as a tool utilized for market differentiation. In this study different journal articles shall be included and reviewed like Journal of International Business and Management, Journal of Services Marketing, Journal of Business Ethics and Association for Consumer Research. There has been various research studies conducted on effect of store atmospherics on consumer behaviour. However limited analysis is performed on mixture on retail store environmental conditions. This would be the key area of focus in this research study. It is a highly relevant study since retail industry is growing at a rapid pace and marketers invest lump sum amount on store environment conditions. The major aim of this research study is to – “analyze the impact of ambient conditions of a retail store on consumer purchasing decision”. Objectives of the study are- To determine various aspects of retail store environment To analyze factors that affect consumer purchasing decision at a retail store To outline relationship between consumer purchasing decision and retail ambient conditions This study would be feasible since sales volume at retail stores is largely dependent on purchasing behaviour of customers. On the other hand, impact of ambient conditions can be effectively measured through customer satisfaction level and increase in revenue margins. Literature Overview Researcher Hosseini and Jayashree, (2014) have outlined in their study that the decoration and the ambience of the store is regarded as an important element in the overall outlook of the stores that is designed for enhancing the satisfaction of the customers. The atmospheric design of the environment of the retail store includes the lighting, music, communications that stimulates the emotional responses and the perception of the consumers that mainly affect the purchasing behaviour of the customers. Lighting mainly comprises of highlighting the merchandise, downplaying the features and capturing the mood and maintaining and developing an image for the customers. The colour and music in the retail store includes the use of cool and warm colours, use of good music with different tempo, pitch and volume. An attractive store ambience mainly captivates the attention of the consumers and induces the customers in taking decision relating to purchase within a very short span of time and thus widening and enhancing the process of sale. Many customers wish to visit a comfortable retail store for visiting each store for long period of time. The ambience of store is mainly responsible for creating a difference between memorable experience of the retail store and transaction that is easily forgettable (Hosseini, and Jayashree, 2014). Kaur, (2013) has emphasized on their research paper that visual merchandising can create the identity for brand and develop a positive image for the business that will enable the retail store in capturing the desire, attention, interest and action of the consumers. The visual merchandising is regarded as the important tool and technique which is known as the silent salesman that is used widely in the market for attracting the shoppers and creating a pleasant experience for the customers for shopping. Visual merchandising is considered as a very important component or element of sale that is mainly characterized or featured by direct contact with the clients and merchandise. Visual merchandising can be best explained as the presentation of the merchandise in proper way that includes the combination of accessories and colour. The knowledge of the customer has a direct relationship with the marketing strategy. Therefore visual merchandising helps in explaining the customer about the product that is displayed in the retail store. The passion for creativity and design is very important and vital for a good and proper merchandiser. Thus visual merchandising helps in drawing the attention of the customers towards the product that is displayed in the retail store and improving the experience of shopping of the customers (Kaur, 2013). Bardzil, (1996) has affirmed in their research paper the influence and the impact of the situational factors in explaining the buying behaviour of the consumers. The researcher has applied the framework of Meherabian and Russell which explains the emotions of the consumers and the impulse purchasing power or capacity of the consumers and applies the approach of Stimulus organism Response. Meherabian has stated that emotions of the human being are agreeable to the statistical analysis, precise description and quantitative measurement. The concept of impulse buying describes the purchase that was not planned by the consumer before entering into the retail store. The model generally describes and explains the impulse buying which occurs when the customer sees a product or remembers an advertisement or other type of information and suddenly remembers that the product has exhausted at home. Russel has mainly emphasized on impulse buying behaviour of the shoppers and the influence of the environment on the store. Russel model explained that there are three types of emotional responses related to social and physical environment which includes arousal, pleasure and dominance. The pleasure mainly deals with the happiness and joy of the shoppers. Arousal can be defined as the feeling of excitement of the consumers in different situation inside the retail store and the dominance mainly deals with the limit of the individual fees for controlling the situation. Bradford and Desrochers, (2009) has reflected in their study that using of scent in the store will provide a feeling of comfort to the customers and creates a pleasant mood for the customers which will help the customers in deciding whether to purchase the product that is offered by the store. The sense of smell will be regarded as the important and powerful weapon for controlling emotion of the consumers. The researcher has also focussed on the personality trait that have a important and significant impact on developing the relationship between the environment that exist within the store and consumer of the adult generation and the emotional responses and reaction towards the environment. The emotional responses associated with the environment will differ significantly between the arousal avoiders and arousal seekers. The personality of the consumer can be explained through the use of product. The personality trait emphasizes on the role and personality of the moderator between the loyalty in the behaviour of the retail shopper and the relationship that is driven by satisfaction. It is observed that the better and positive response of the customer or the shopper will provide advantages and benefit the retailer in formulating the strategies by developing proper stimulation for the customers of the retail store. Retail design influences the value that is perceived by the customers which increases the loyalty of the customers in the retail stores (Bradford and Desrochers, 2009). Broekemier, G., Marquardt, R. and Gentry, (2008) has outlined in their research paper that designing the retail store is considered as the important element in promoting the brand of the store the factors that are included in designing the retail store mainly includes the furnishing, flooring, lightning, store layout, furnishing and window display for promoting a brand or doing a particular or specific appeal. The successful designing of the retail store provides deep understanding the lifestyle of the consumers. Retail design factor is considered to be the most important and significant tool for promoting the brand which can be experienced in a credible, authentic and sensory way. The renovation of the retail store contributes to the long and lasting contribution towards the success and development of the business. The retail design adds more value in the success of the retail store (Broekemier, Marquardt and Gentry, 2008). Proposed Methodology Research methodology forms the basis of the entire research study. There are different types of research methods that are implemented in a study. Methods cannot be classified as good or bad but it depends on their efficiency to answer a particular research question. In broader context there are two forms of research choices such as mono method or multiple methods. Mono method usually employs a single analysis procedure and data collection technique. On the other hand, multi-methods are centred towards different analysis and data collection techniques. Multi-methods can be defined as incorporating wide range of qualitative and quantitative techniques. Mixed methods that form a part of multi-methods is of two kinds such as mixed models and mixed methods. Mixed method is implementing variety of analysis and data collection techniques either sequentially or in parallel way. To some extent mixed model follows similar approach but even comprise of analyzing qualitative data quantitatively. This study would encompass both forms of research methods – qualitative and quantitative methods. A theoretical framework proposed by Saunder helps to identify different research procedures. Figure 1: Saunders Research Onion According to the plot of this research study a more realism research philosophy will be followed. There are two kinds of research approaches like deductive and inductive. In this study evidences shall be collected in order to put emphasis on research aim. These evidences collected will be thoroughly analyzed in order to put across a general statement. Hence it can be stated that the entire research procedure would be inductive by nature. Three basic forms of research strategies shall be incorporated within this study such as case study, experiment and survey. All these strategies will be inclined towards identifying consumer buying behaviour and effect of retail store environment. As described in figure1 there are two forms of time horizons like cross-sectional and longitudinal. Longitudinal time horizon is most appropriate for this research study. This is because data will be collected in a systematic manner and particular time frame shall be maintained throughout research study. Data collection methods in a research study are of different types like sampling, observation, secondary data, questionnaires and interviews. However for this study certain data collection techniques are more suitable such as questionnaire survey, interviews and secondary data. These techniques would help researcher to identify those ambient factors that have a strong influence on consumer purchasing decision. The elements highlighted in Saunder’s research onion are essential for this proposed research study because it facilitates development of entire framework needed for the study. This particular research study is centred towards analyzing the effect of retail atmospherics on consumer behaviour. Hence it is essential to interact directly with customers and gather appropriate data from various secondary sources. As stated both qualitative and quantitative research methods are applicable in this study. The data to be collected would be associated with consumer market trends. Primary and secondary data collection techniques will be implemented in this study. Qualitative study is totally based on analyzing opinions of experts or gathering any form of secondary resource. On the contrary, quantitative study is inclined towards collecting current market data and then analyzing it through statistical measures. Primary data collection techniques comprise of questionnaire survey, focus group study, interviews, etc. Secondary data collection methods are obtaining information from journals, articles, magazines, newspapers, books, Internet, etc. For this research study secondary data collection techniques will be included in order to gain supporting evidence related to effect of retail store ambience on customers. Majorly academic journals would be analyzed and reviewed so as to obtain suitable information. Questionnaire survey and interviews are the major primary data collection measures to be utilized in this research study. Interviews will be organized in some well known retail chains of UK market. There would be a total of 50 respondents who shall be interviewed from customer market segment. On the other hand 20 key personnel from these retail outlets would also be interviewed so as to analyze their views on the research topic. Apart from interviews a well structured questionnaire survey would also be organized. This survey shall be conducted in UK market and will comprise of 200 respondents. Random sampling method is to be used for this study. Some questions to be asked in the survey are – what affects your purchasing decision in retail store or which of the ambient conditions has to be aligned with customer attitude or mood, etc. For retail store owners or staff the basic interview question shall be what measures are taken by them to maintain required ambient conditions or how these additional factors affect purchase decision and thus revenue margins. There would be other questions too included within questionnaire survey or interview. The sample respondents shall belong to age group between 22 years and 45 years. This is because individuals belonging to this age group are more likely to visit retail outlets. Data collection techniques to be used will outline data associated with customer purchasing behaviour, impact of ambient conditions and relationship between these two factors. Thus it can be stated that data collection methods are well aligned with set research objectives. Ethical Issues Ethical issues play a significant role in a research study. Every research needs to maintain a set of ethical standards in their study. A researcher should not pressurize any respondent in terms of answering their survey questions. Respondents should be given flexibility so that they are able to provide all possible information. While dealing with company data researcher needs to avoid any form of exploitation of data. This comprise of taking into consideration company rules and regulations. On the other hand, respondents should not be influenced by researcher in context of agreeing on a particular platform. This would be beneficial for the study because more unbiased information can be efficiently obtained. Interviews need to be organized in such manner that confidentially is maintained and useful information is effectively obtained. These ethical dimensions need to be followed in case of secondary data also since it helps to outline appropriate data in context of research study. Limitations of research study The major limitation of the study is that original information related to procedures adopted in retail store outlets cannot be accessed. Information provided by retail managers or other staff members shall also be limited. This is mainly due to level of confidentiality that needs to be maintained throughout the study. On the other hand, research study is based on specific data collection tools due to time constraints. Sample size chosen for the study is also small since more number of individuals might not be interested to participate in the study. This would drastically affect the entire mechanism of data collection process. Timeline The timeline for this study shall comprise of certain aspects of research procedure to be followed for 10 months time frame. Months 1 2 3 4 5 6 7 8 9 10 Research problem formulation                     Research question formulation                     Collection of background information                     Research objectives formulation                     Alternative study options                     Research tools identification                     Research tools allocation                     Information analysis                     Learning outcomes and results of the study                     References Bardzil, J.R., 1996. Atmosphere: Does it provide central or peripheral cues. Association for consumer Research, 2(1), pp: 73-79. Bradford, K.D., and Desrochers, D.M., 2009. The use of scents to influence consumers: The sense of using scents to make cents, Journal of Business Ethics, 90 (2). pp: 32-39. Broekemier, G., Marquardt, R., and Gentry, J.W., 2008. An exploration of happy/sad and liked/disliked music effects on shopping intentions in women’s clothing store service setting, Journal of Services Marketing, 22 (1), pp: 112-118. Hosseini, Z., and Jayashree, S., 2014. Influence of the store ambiance on customers’ behaviour—apparel stores in Malaysia. International Journal of Business and Management, 9(10), pp: 62-66. Kaur, A., 2013. Effect of visual merchandising on buying behaviour of customers. International Journal of Engineering Science and Innovative Technology, 2(3), pp: 247-249. Read More