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Ms. Mary Msimbira Dr. Dev Jani THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL VALUES ON CUSTOMER SATISFACTION WITH THEIR SHOPPING EXPERIENCE IN MEGA SUPERMARKETS: A CASE OF TANZANIA

THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

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Page 1: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

Ms. Mary MsimbiraDr. Dev Jani

THE INFLUENCE OF UTILITARIAN, HEDONIC ANDSOCIAL VALUES ON CUSTOMER SATISFACTIONWITH THEIR SHOPPING EXPERIENCE IN MEGASUPERMARKETS: A CASE OF TANZANIA

Page 2: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

• Shopping is complete action which entail some pre and post buyingdecisions that are happening behind the mind of the consumers andthen physically in shopping place and thereafter at the place ofconsumption of the goods or services.

Introduction

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• There are those consumers influenced by utilitarian factors where by motive forgoing shopping would be specifically purchase and go back home.• Those motivated by hedonic factors find excitement and enjoyment during their

shopping trips at mega malls.• Social values factors make shopping more enjoyable when they interact with others

which in turn increase the incentive and participation level (Li, Nicholls, Zhuang,Kranendonk, & Zhou, 2004).• Various studies previously done elsewhere show that utilitarian, hedonic and social

values factors do influence differently depending on the country where study wasdone.

Background to the Problem

Page 4: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

• For instance study completed by (Li et al., 2004) which compared United States of America(USA) and Chinese mall shoppers showed that:• Chinese are driven more by purchase which is utilitarian factor while on the other hand of• USA shoppers are driven also by various other factors which include hedonic and social values.

• Finland shoppers all three factors contributed with social values increasing in weekendsthan during the week (Rintamaki, Kanto, Kuusela, & Spence, 2006).• Other studies have connected the utilitarian, hedonic and social values to cognitive and

emotions of consumers (Gilboa & Vilnai-Yavetz, 2013), experience of consumers (Fiore &Kim, 2013) as well as convenience as was observed by (Lloyd, Chan, Yip, & Chan, 2014)• It is the intention of the researcher to reveal whether utilitarian, hedonic or social values

that motivate consumers to go to mega supermarkets at Mlimani City shopping mall

Background to the Problem …

Page 5: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

• The importance of mega supermarkets are derived from the fact that customers get most of their shoppingneed in one center (Lloyd et al., 2014). Studies have shown that the three factors utilitarian, hedonic and socialvalues do influence shopping in varying extent depending on the country they come from. This is supported bysuch studies done in Finland where all three factors motivated shopping in malls (Rintamaki et al., 2006), alsothe study in Israel mall shoppers validated these factors (Gilboa & Vilnai-Yavetz, 2012), a comparison study ofChinese and America shoppers showed Chinese to be influenced more of utilitarian while their US counterpartsto be more of hedonic and social values influenced(Li et al., 2004).

• The observation with Tanzanians shoppers who irrespective of distance or existence of other supermarketswhich sell similar items, they tend to go for shopping at mega supermarkets like Mlimani City. However little isknown so far for the case of Tanzania as to specific reasons that motivate shopping in mega supermarkets. Inthis case, the study seek to understand whether it is utilitarian, hedonic or social factors that motivate people togo to the shopping malls in Tanzania. What really motivate shopping in mega supermarkets is the research gapthat will be studied as to reveal the specific reasons for the case of Tanzania.

Statement of the Problem

Page 6: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

• The general objective of the study is to assess the influence ofutilitarian, hedonic and social values on customer satisfaction with theirshopping experience in mega supermarkets: a case of Tanzania

• To determine the influence of utilitarian on customer satisfaction with their shopping experience inmega supermarkets.

• To determine the influence of hedonic on customer satisfaction with their shopping experience inmega supermarkets.

• To determine the influence of social values on customer satisfaction with their shopping experience inmega supermarkets.

Objectives

Page 7: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

• To academics, the study extends the knowledge already available onconsumer behaviors.• To practitioners such as mall management as well as architectures, the study

adds more insight on how to deal with customers’ needs more effectively andefficiently, as well as improve the shopping malls environment to suitcustomers’ satisfaction.• To policy makers mainly the government, the study is helpful in facilitating

policies relating to mega supermarkets trade business. This is especially cityplanners to assign areas for shopping malls, also TRA people to have properand conducive tax models for owners and customers etc.

Significance of the Study

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Conceptual Framework

The Influenceof Utilitarian

(2)

The Influenceof Hedonic

The Influenceof SocialValues

Satisfaction & RIwith shopping in

MegaSupermarkets

H1

H2

H3

Page 9: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

• Non-Probabilistic sampling technique →Convenient• Self-administered structured questionnaire was distributed shoppers at

Mlimani City Dar Es Salaam.• Mall shoppers were briefly given introduction on purpose and benefit of

the whole exercise before handing them questionnaires to fill.Researcher thanked them upon finishing filling the questionnaires.• The questionnaires were made in such a way that they were simple,

neat and clear but with intention of getting required information.

Methods

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• Descriptive for demographics and shopping behavior• Multiple linear regression to test the hypotheses.• SPSS V20 was used.• Cronbach for the items >.60

Data Preparation and Analysis

Page 11: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

Results: Demographics & Shopping BehaviorVariable Frequency %GenderMaleFemale

2624

52.048.0

Age18-2526-3535-4546-55>56

10161365

20.032.026.012.010.0

Monthly income (TShs.)<1m1m-3.5m>4m

33121

66.024.02.0

OccupationEmployedSelf-employedStudentRetired

271382

54.026.016.04.0

EducationTechnical/Voca./Cert.Dipl./Adv. Dip.BachelorPost graduate

418199

8.036.038.018.0

Marital statusMarriedSingleWidow/Divorced

27221

54.044.02.0

Main reasons forvisiting mallPurchaseEnjoymentSocialization

38111

76.022.02.0

Shopping frequencyOnce a monthOnce a weekOccasionally

16925

32.018.050.0

Shopping partnerAloneFriendsFamily

211514

Merchandise usuallypurchaseFoodClothing/FashionHardwareServices

27968

54.018.012.016.0

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Regression ResultsVariable Unstandardized coeffiecients Standardized coeff. t-value Sig. DV: Satisfaction

R=.487R2=.237F=2.875 (.036)

B Std. Error Beta

Constant 1.074 .892 1.205 .236

Convenient .079 .164 .074 .480 .634

Save money .197 .156 .196 1.263 .214

Hedonic .233 .252 .166 .923 .362

Social influence .343 .249 .250 1.380 .176

Constant 1.740 .635 2.741 .009 DV: RIR=.643

R2=.414

F= 6.534 (.000)

Convenient -.080 .117 -.093 -.685 .498

Save money .361 .111 .442 3.242 .003

Hedonic .312 .180 .273 1.734 .091

Social influence .104 .177 .094 .590 .559

Page 13: THE INFLUENCE OF UTILITARIAN, HEDONIC AND SOCIAL … · 2016-08-11 · utilitarian, hedonic and social values on customer satisfaction with their shopping experience in mega supermarkets:

• It appears that in less developed countries, shopping malls are less usedas leisure centres unlike in developed countries.• Small and Medium sized Enterprises’ offering same or similar products

that are offered by mega supermarkets need to know what theircustomers are looking for……. Saving money.• Theoretically, the results indicate the antecedents of patrons’

satisfaction and revisit intentions to have differential effect dependingon contexts.• Satisfaction <<< Revisit Intention: retail outlets (megastore) need to

improve hedonic aspects & merchandize (price, assortments)

Implications

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• Exploratory with N=50!• One city• Cross sectional design

Limitations

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