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Isolating the geodemographic characterisation of retail format choice from the effects of spatial convenience

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Author Info

  • Óscar González-Benito

    ()

  • César Bustos-Reyes
  • Pablo Muñoz-Gallego

Abstract

The authors analyze the relationship between the geodemographic profile of consumers and retail format choice while accounting for the effects of spatial convenience. The proposed analytic model assumes that format choice is an implicit portion of store choice, such that a geodemographic profile functions as a determinant of format choice, and spatial convenience is a determinant of store choice. The results show that some geodemographic dimensions capture preferences for certain store formats and thereby facilitate retailers’ selection of geographic markets. The results also indicate that obviating the effect of spatial convenience may lead to biased estimations. Copyright Springer Science+Business Media, LLC 2007

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File URL: http://hdl.handle.net/10.1007/s11002-006-9000-z
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Bibliographic Info

Article provided by Springer in its journal Marketing Letters.

Volume (Year): 18 (2007)
Issue (Month): 1 (June)
Pages: 45-59

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Handle: RePEc:kap:mktlet:v:18:y:2007:i:1:p:45-59

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Web page: http://www.springerlink.com/link.asp?id=100312

Related research

Keywords: Geodemographic segmentation; Store choice; Spatial convenience; Grocery store formats; Location strategy;

References

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  1. Kumar, V. & Karande, Kiran, 2000. "The Effect of Retail Store Environment on Retailer Performance," Journal of Business Research, Elsevier, vol. 49(2), pages 167-181, August.
  2. Alan L. Montgomery, 1997. "Creating Micro-Marketing Pricing Strategies Using Supermarket Scanner Data," Marketing Science, INFORMS, vol. 16(4), pages 315-337.
  3. Paul R. Messinger & Chakravarthi Narasimhan, 1997. "A Model of Retail Formats Based on Consumers' Economizing on Shopping Time," Marketing Science, INFORMS, vol. 16(1), pages 1-23.
  4. González-Benito, Óscar & Santos-Requejo, Libia, 2002. "A comparison of approaches to exploit budget allocation data in cross-sectional maximum likelihood estimation of multi-attribute choice models," Omega, Elsevier, vol. 30(5), pages 315-324, October.
  5. R Flowerdew & W Goldstein, 1989. "Geodemographics in practice: developments in North America," Environment and Planning A, Pion Ltd, London, vol. 21(5), pages 605-616, May.
  6. J R Beaumont & K Inglis, 1989. "Geodemographics in practice: developments in Britain and Europe," Environment and Planning A, Pion Ltd, London, vol. 21(5), pages 587-604, May.
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