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Bachelor Thesis, 15hp The link between consumer perception and satisfaction - A comparative study of shopping malls and city centres Authors: Isabelle Lundmark Strategic Marketing Programme Joanna Mainaud Strategic Marketing Programme Katarina Sjögren Strategic Marketing Programme Tutor: Soniya Billore, PhD Institution Marketing Examiner: Setayesh Sattari, PhD Institution Marketing Date: 2014-05-30 Coursecode: 2FE10E Subject: Business Administration Level: First Level/Bachelor Thesis Spring Semester 2014

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  • Bachelor Thesis, 15hp

    The link between consumer

    perception and satisfaction - A comparative study of shopping malls and

    city centres

    Authors: Isabelle Lundmark Strategic Marketing Programme

    Joanna Mainaud Strategic Marketing Programme

    Katarina Sjögren Strategic Marketing Programme

    Tutor: Soniya Billore, PhD Institution Marketing

    Examiner: Setayesh Sattari, PhD Institution Marketing

    Date: 2014-05-30

    Coursecode: 2FE10E

    Subject: Business Administration

    Level: First Level/Bachelor Thesis

    Spring Semester 2014

  • Abstract

    Title: The link between consumer perception and satisfaction

    Authors: Isabelle Lundmark, Joanna Mainaud and Katarina Sjögren

    Tutor: PhD. Soniya Billore

    Examiner: PhD. Setayesh Sattari

    Level/Course: First Level/Bachelor Thesis 15hp in Business Administration,

    (2FE10E) Strategic Marketing Programme, Linnaeus University Växjö,

    Spring Semester 2014.

    Background: It is a known phenomenon that when external shopping malls arise next

    to cities the business of the city centres can be affected. This situation occurs since

    many years and in various places in the world, even Sweden.

    Purpose: The purpose of this research is to examine what factors are important to the

    consumers when they are shopping in general, and then to evaluate how these factors

    influence consumer satisfaction with regard to shopping malls and city centres.

    Methodology: The research is based on a cross-sectional design with a quantitative

    strategy. The data collection is conducted through an internet based questionnaire with a

    snowball sampling approach.

    Conclusion: The results are that, for consumers, store variety, atmosphere and service

    quality are quite important aspects when shopping. They also shows that store variety

    influences consumer satisfaction in both the shopping mall and the city centre. Finally,

    convenience influences satisfaction in the city centre and the social aspect influences

    customer satisfaction in shopping malls.

    Keyword: Perception, Consumer/Customer satisfaction, Choice and Store variety,

    Convenience, Facilities, Social, Service Quality, Atmosphere.

  • ii

    Acknowledgements

    In this preface, we would like to thank the persons who enabled this bachelor

    thesis on the perception and satisfaction of shopping venues.

    First and foremost we would like to extend many thanks to our tutor PhD.

    Soniya Billore and examiner PhD. Setayesh Sattari at Linnaeus University in

    Växjö. Thank you for your constructive feedback and encouragement

    throughout the writing process of the thesis. We would also like to thank Dr.

    Rana Mostaghel, who showed interest in our work and gave

    recommendations regarding the analysis of the quantitative data.

    We also want to thank the President of the Regional Executive, Head of

    Business and Regional Development, the Business and Regional

    Development and the City Planning Director of three municipalities, which

    the research is based on. Thank you for the fruitful information regarding

    your respective cities, which helped us to get a better, and concrete

    understanding of the subject area.

    Växjö 30

    th of May 2014

    Joanna Mainaud Isabelle Lundmark Katarina Sjögren

    ___________ _____________ ___________

  • I

    Table of Contents

    1 Introduction _________________________________________________________ 1

    1.1 Background _____________________________________________________ 1

    1.1.1 The situation in Sweden _________________________________________ 2

    1.2 Problem discussion _______________________________________________ 3

    1.3 Purpose ________________________________________________________ 5

    1.4 Research questions _______________________________________________ 5

    1.5 Delimitations ____________________________________________________ 5

    1.6 Outline of the investigation ________________________________________ 6

    2 Literature Review ____________________________________________________ 7

    2.1 Perception ______________________________________________________ 7

    2.2 Consumer satisfaction ____________________________________________ 8

    2.3 Factors influencing consumer behaviour _____________________________ 9

    2.3.1 Choice and store variety ________________________________________ 9

    2.3.2 Convenience__________________________________________________ 9

    2.3.3 Facilities ___________________________________________________ 10

    2.3.4 Social ______________________________________________________ 10

    2.3.5 Service Quality ______________________________________________ 11

    2.3.6 Atmosphere _________________________________________________ 11

    2.4 Summary of the chapter _________________________________________ 12

    3 Research gap, Hypotheses and Research model ___________________________ 13

    3.1 Research gap ___________________________________________________ 13

    3.2 Hypotheses _____________________________________________________ 13

    3.3 Research Model ________________________________________________ 15

    4 Methodology ________________________________________________________ 16

    4.1 Research approach ______________________________________________ 16

    4.1.1 Inductive and deductive approach ________________________________ 17

    4.1.2 Quantitative vs. Qualitative strategy ______________________________ 17

    4.2 Research design ________________________________________________ 18

    4.3 Data collection method ___________________________________________ 20

    4.3.1 Secondary data ______________________________________________ 20

    4.3.2 Primary data ________________________________________________ 21

    4.4 Data collection instrument ________________________________________ 22

    4.4.1 Documents __________________________________________________ 22

    4.4.2 Interview ___________________________________________________ 22

    4.4.3 Questionnaire _______________________________________________ 24

    4.4.4 Questionnaire design __________________________________________ 25

    4.4.5 Scaling _____________________________________________________ 26

    4.4.6 Pilot survey and testing of questions ______________________________ 27

  • II

    4.5 Operationalization ______________________________________________ 28

    4.6 Sampling ______________________________________________________ 30

    4.6.1 Sample size _________________________________________________ 30

    4.7 Data analysis ___________________________________________________ 31

    4.7.1 Descriptive statistics __________________________________________ 31

    4.7.2 Testing the hypotheses _________________________________________ 31

    4.8 Reliability and Validity __________________________________________ 32

    4.8.1 Reliability __________________________________________________ 32

    4.8.2 Validity ____________________________________________________ 33

    4.9 Source criticism_________________________________________________ 34

    4.10 Summary of the chapter ________________________________________ 36

    5 Survey Results ______________________________________________________ 37

    5.1 Interview - municipalities ________________________________________ 37

    5.2 Questionnaire survey ____________________________________________ 39

    5.2.1 Descriptive statistics __________________________________________ 39

    5.3 Hypotheses testing and result _____________________________________ 43

    5.4 Comparison ____________________________________________________ 47

    5.5 Summary of tested hypotheses ____________________________________ 48

    6 Analysis ____________________________________________________________ 50

    7 Discussion __________________________________________________________ 55

    7.1 Conclusion _____________________________________________________ 55

    7.2 Theoretical and managerial implications ____________________________ 56

    7.3 Limitations ____________________________________________________ 57

    7.4 Suggestions for future research ____________________________________ 57

    8 References list ______________________________________________________ 58

    9 Appendix __________________________________________________________ 64

    Appendix 1. Questionnaire - English version ____________________________ 64

    Appendix 2. Questionnaire - Swedish version ___________________________ 67

    Appendix 3. Hypotheses testing and result – SPSS _______________________ 70

    Appendix 4. Descriptive statistics – SPSS ______________________________ 72

    Appendix 5. Pearson Correlation – SPSS _______________________________ 74

    Appendix 6. Paired sample t-test______________________________________ 75

    Appendix 7. Overview of the items constituting the variables and their SPSS

    Means ____________________________________________________________ 77

    Appendix 8. Interview ______________________________________________ 79

  • 1

    1 Introduction

    The following chapter will present the research area and provide a discussion about the topic,

    which this study is based on. This will lead to the purpose of the research and specific

    research questions. This chapter will provide the reader with an understanding of the

    research. The chosen problem will imbue the entire thesis. Finally, the research delimitations

    for this investigation will be presented.

    1.1 Background

    “The development of regional shopping centres and their incorporation into a suburban area

    necessarily involves change and adaptation in older, established downtown shopping districts”

    (Pratt and Pratt, 1960, p.45).

    According to Underhill (2004) people have been organising their lives around shopping as a

    feature through decades. The author explains that there have always been places in society

    where people have gathered in order to exchange products. However, shopping is, as Dennis

    et al. (2005) states, not just about obtaining the things we need, shopping is also something

    that people enjoy doing and we like to have a wide variety of shopping outlets and

    merchandise to choose from. Dennis et al. presume that the customer’s desire of a wide range

    of shops is one of the reasons explaining the progression of shopping malls. It has been a

    known and studied phenomenon throughout the years that the establishment of external

    shopping malls has a negative impact on the business of city centres (Underhill, 2004).

    To make it clear this research will be talking about shopping venues; namely city centres and

    external shopping malls, the latter will be referred to as shopping malls in order to facilitate

    the reading. These two terms will be used to represent the following concepts throughout the

    whole thesis. City centre is described as the high street shopping area of a city centre (Hackett

    and Foxall, 1993), and a shopping mall is define as “A set of stores that offer goods and

    services to consumers and that are located and operated in close proximity to each other”

    (Teller, 2008 as cited in Teller and Schnedlitz, 2012, p. 1043). Due to the establishment of

    suburban shopping malls in the USA, the frequency and the quantity of shopping in

    established venues of cities were affected (Pratt and Pratt, 1960; Underhill, 2004). The same

    problem has been recognized in several European countries, for example Turkey (Ozuduru et

    al., 2014), the Netherlands (Gorter et al., 2003), and England (Svensson, 2010). Guy (1998)

  • 2

    emphasizes that this development of external shopping malls has favoured those who have

    access to a car and people who are looking for new experiences in shopping. He explains that

    distant or new malls serve as excursion targets and are part of the modern experience of

    seeking satisfaction through shopping. These external shopping malls offer conveniences such

    as big parking spaces, attractiveness, atmosphere and a big variety of shopping (Ozuduru et.

    al., 2014).

    Hart et al. (2013) explain the differences between the external shopping mall and the city

    centre when it comes to offering a total customer experience. The authors point out that the

    city centre experience is often fragmented over a much bigger area than the shopping mall,

    which makes it harder to manage and control. As a distinction, according to a piece of

    research, published and conducted in 2011 by the Swedish retail statistics agency HUI

    Research, it is observed that the new built shopping malls are often lavish projects with

    advanced architecture, modern and exclusive material and design to give the visitors an

    attractive shopping experience. The phenomenon, that occurs when shopping malls enter into

    competition with the city centre, is a present-day one and can be related to the recent

    economic climate (Grewal et al., 2009). As the authors mention, since year 2009, tens of

    thousands of stores had to close in the United States because of the competitive retail

    environment. When it comes to Europe, the retailing sector shows a strong trend of building

    shopping malls (Lehtonen and Mäenpää, 1997, cited in Solomon et al., 2010). The shopping

    malls in Europe are often inspired by American ones that combine the possibilities to shop

    and socialise in a safe environment (Lehtonen and Mäenpää, 1997 cited in Solomon et al.,

    2010).

    1.1.1 The situation in Sweden

    Bringing the focus to Sweden, a market analysis conducted in 2013 by JLL, an international

    real estate company, show that it is the country in western Europe after Luxembourg, Ireland

    and the Netherlands, with the highest shopping mall area (450 sq m) per 1000 inhabitants and

    that one third of non-daily goods in Sweden are purchased in such venues (JLL, 2013).

    According to an article published in 2013 in Dagens Nyheter, a Swedish independent liberal

    daily newspaper, the shopping malls has become a new meeting place for people to socialize

    and are today recognised as the new living room. On the other hand, several city centres in

    Sweden are old and worn with an unattractive environment, which are factors that in many

    cases affect the shopping in the city centres negatively (JLL, 2013). There have been

  • 3

    nomerous articles regarding this particular issue, published by various Swedish media outlets,

    that have discussed and argued that the establishment of external shopping malls has in some

    cases led to the depletion of the city centres in Sweden (Svensson, 2010; Norrköpings

    Tidningar, 2011; Olsson et al., 2012; Bohusläningen, 2013 ; Jensen, 2012). They mention that

    the phenomenon is dramatically referred as “the centre death" and has been widely debated in

    the media in the recent years. The articles show that Uddevalla, Trollhättan and Säffle are

    examples of Swedish cities in which downtown commerce suffered greatly as a result of the

    shopping intensity moving to nearby shopping malls.

    1.2 Problem discussion

    As Solomon et al. (2010) state, today we live in a consumer society where we are surrounded

    by advertisements, brands, and shops that try to catch our attention and money. The authors

    also state that our social lives are mainly determined by our roles as consumers. They further

    explain that consumer behaviour is “… the processes involved when individuals or groups

    select, purchase, use or dispose of products, services, ideas or experience to satisfy needs and

    desires.” (Solomon et al., 2010, p.6).

    The fact is that researchers have looked into understanding customer buying behaviour from

    different perspectives (Kotler et al., 2009). Solomon et al. (2010) emphasise that these

    perspectives of evaluating consumer behaviour are perception, beliefs and attitudes, which are

    known as the psychological factors that affect the buying behaviour. The concept of

    perception can be defined as “the process by which an individual is exposed to, attends to,

    selects, organises, and interprets stimuli” (Morschett et al., 2005, p.426). How the consumer

    actually behaves in a situation is depending on the consumer’s perception of a situation in

    which he finds himself (Kotler et al., 2009). Through the act of shopping, the customer is

    involved as an active participant who looks for quality (Solomon et al., 2010). Although the

    consumers’ perception of quality performance is not only related to the quality of goods and

    services offered (Morschett et al., 2005). The retailers must be aware that consumers’

    evaluation of quality is also highly influenced by their perception of the atmosphere,

    orderliness and service (Morschett et al., 2005). It is assumed that if the consumer’s

    experience matches his expectations well, then the level of satisfaction is high (Anselmsson,

    2006). In other words, customer satisfaction is “the extent to which a product's perceived

    performance matches a buyer´s expectations” (Kotler et al, 2009, p.599). This definition of

  • 4

    product satisfaction can be applied for shopping venues in general, where the consumer can

    find “a set of stores that offer goods and services” (Teller, 2008 cited in Teller and Schnedlitz,

    2012, p. 1043).

    It is usually assumed that the decision concerning the choice of where to go shopping depends

    essentially on the distance to these shopping places, but in some cases, satisfaction is also

    very important (Léo and Philippe, 2002). For example, a positive and satisfactory

    environment can make the customer choose to spend more time at a specific place and also

    increase the social interaction with other human beings (Velitchka and Barton, 2006).

    Previous researchers have defined several factors that influence the choice of a shopping

    venue, like store variety and atmosphere (Anselmsson, 2006; Leo and Philippe, 2002),

    convenience, facilities, service quality and even the social aspect of the place (Hackett and

    Foxall, 1993). Anselmsson (2006) adds that the atmosphere of a place can actually affect

    customer satisfaction. Customer satisfaction is, as Helgesen (2006) explains, the cornerstone

    of the concept of marketing since it is highly related to customer loyalty as well as customer

    profitability.

    As previously discussed in the background, it is usually the case that external shopping malls

    have a negative and harmful effect on the city centres in terms of business for retailers. Under

    the circumstances, the efforts of optimizing the attractiveness of the city centres as retail

    destinations through urban revitalisations have become increasingly important (De Nisco et

    al., 2008). The authors also mention that “public and private stakeholders should be aware not

    just that the physical environment is important in the customer’s experience, but also of what

    specific elements of the physical setting are most significant.” (De Nisco and Warnaby, 2013,

    p.66).

    In order to actually find out what the situation looks like in Swedish cities, for the purpose of

    the current research, key representatives of three municipalities in Sweden were interviewed.

    They all state that they perceive the relationship, in their respective municipality, between the

    external shopping mall and the city centre as being complementary (e-mail interview, 2014-

    03-06; 2014-05-05, phone interview, 2014-05-06; 2014-05-07). Though, one of the

    respondents stated that the external establishments have contributed to a decreased customer

    flow in one of the city centres and that “... the municipality has a special responsibility for an

    attractive city.” (e-mail interview, 2014-03-06).

  • 5

    Based on the previous discussions, it is relevant in this research to understand what factors are

    actually important for the consumers when they go shopping, and how these factors influence

    customer satisfaction when they relate to different shopping venues; namely external

    shopping malls and city centres. This comparison could help explain if the customers in

    Sweden prefer to shop at the external shopping malls or if they prefer the city centres. The

    results of the current research would provide implications on how the performance of both

    shopping venues could be improved, and how customer satisfaction could be managed.

    1.3 Purpose

    The purpose of this research is to examine what factors are important to the consumers when

    they are shopping in general, and then to evaluate how these factors influence customer

    satisfaction with regard to shopping malls and city centres.

    1.4 Research questions

    RQ1: Which factors are the most important for customers when they are shopping?

    RQ2: How does the perceived performance of an external shopping mall influences customer

    satisfaction?

    RQ3: How does the perceived performance of a city centre influences customer satisfaction?

    1.5 Delimitations

    The investigation has been limited to examining three Swedish municipalities located in the

    south of Sweden. The number of municipalities is based on the fact it is would be difficult for

    this study to include all venues in Sweden. The municipalities have been chosen due to their

    similarities in terms of population size and the fact that they all have an external shopping

    mall with a similar quantity of stores. The selected municipalities will be anonymous in the

    study since the purpose is not to examine each of the three municipalities, but to generate a

    general understanding of the different shopping venues.

  • 6

    1.6 Outline of the investigation

    Chapter 1: This chapter presents the background of the research and a discussion of the

    identified problem. The chapter also consists of the research purpose, questions and the

    delimitations of the investigation.

    Chapter 2: This chapter consists of the chosen theories, which together form this research’s

    frame of reference that will limit the following analysis.

    Chapter 3: In this section the research gap will be presented regarding the importance of the

    current investigation in terms of academic contribution and managerial implications. The

    chapter also identifies the research model and the variables which are followed by a

    presentation of the hypotheses.

    Chapter 4: This chapter provides a presentation of the methodology of the research as well as

    an argumentation of the authors’ choices.

    Chapter 5: This section is covering the research results of the conducted survey.

    Chapter 6: In this chapter the analysis will be presented, were the result of the survey will be

    linked with research by previous scientists.

    Chapter 7: In this section the conclusion of the findings is presented. The chapter also

    consists of this thesis limitation, theoretical and manager implication and finally suggestion

    for further research.

  • 7

    2 Literature Review

    The following chapter outlines the research frame of reference, which consists of perception

    and customer satisfaction. Next to these concepts, the factors that influence consumer

    behaviour and that can be source of customer satisfaction will be presented. The literature

    review will give the reader an overall view of the area where the research is moving in and

    attempting to answer, the reference frame will also limits the following analyses.

    2.1 Perception

    Perception is “The process by which people select, organise and interpret information to form

    a meaningful picture of the world” (Kotler et al., 2009, p.602). In other words, it can be

    described as how we create a context with the help of the sensory stimuli that we are exposed

    to (Schiffman and Kanuk, 2004). The interpretation process is, according to Schiffman and

    Kanuk (2004), highly personal since it is based on our unique expectations, needs and values.

    The authors explain that when visiting a store, the customer is exposed to an enormous

    amount of stimuli but they only perceive a small part of it. According to the authors, this has

    to do with subconscious selection, a process in which the customer selects to perceive

    stimulus depending on his expectations and motives at the moment, in combination with the

    nature of the actual stimulus. They further explain that a person's awareness of stimuli is

    strongly dependent on whether or not it is relevant to the person´s needs and interests. The

    fact is that people tend to make their purchase by those companies, which deliver the highest

    perceived value (Kotler et al., 2009). In other words, it is about “the customer´s evaluations of

    the difference between all the benefits and all the costs of a market offering relative to those

    of competing offers” (Kotler et al., 2009, p.16).

    Mossberg (2003) bring out the argument that companies must offer the customer memorable

    events which affect them in a personal way in order to influence their behaviour. Through this

    experience, people can create their own perceptions and attitudes towards something

    (Mossberg, 2003). Thang and Tan (2003), explains further that customers develop a

    perception about a marketplace based on the attributes they are exposed to, and thereafter

    form a reaction, i.e. whether they should avoid or approach the actual place. When it comes to

    the customer´s perceived performance in link with satisfaction, Peluso (2011) explains that if

    the customer’s perceived performance of a product or service meets or exceeds his or her own

    expectations, it will lead to satisfaction. He also explains that a contrary perceived

    performance will lead to dissatisfaction with the product or service.

  • 8

    2.2 Consumer satisfaction

    Researchers broadly investigate the concept of satisfaction as a consumer behaviour, and

    these various contributions have brought a lot of different definitions of the concept. One

    definition of satisfaction is “ … the consumer’s response to the evaluation of the perceived

    discrepancy between comparison standards and the perceived performance of the product”

    (Yi, 1990 as cited in Jack and Powers, 2013). Satisfaction can be about the transaction created

    between the customer and a company but can often entail a range of interactions that take

    place with a variety of companies (Mossberg, 2003). As stated by Kotler et al. (2009),

    customers have expectations on what the market can offer them. They explain that when

    facing a broad range of products and services, their satisfaction is translated by the act of

    buying and a positive word-of-mouth. Kotler et al. (2009) add that, on the contrary,

    dissatisfaction would be translated by negative word-of-mouth and shifting towards

    competition. This is the reason why marketers should not set expectations to low nor too high,

    as satisfaction is the key to a good customer relationship (Kotler et al., 2009).

    Bitner (1992) explains that if a place does not live up to the individual’s expectations, this

    may lead to them not choosing to not visit the place. However, if expectations are satisfied or

    even surpassed, this could have a positive impact on the visit (Bitner, 1992). The author

    clarifies that expectations are influenced by previous experiences but also by what others have

    told us about the place. According to Jones et al. (2006), word of mouth, customer satisfaction

    as well as repatronage anticipation, which is the likelihood of revisiting a retail place, is

    strongly related by the hedonic aspects of shopping. The hedonic value of shopping reflects,

    not the product-related, but the emotional aspect of the shopping experience (Jones et al.,

    2006). Bitner (1992) also states that our behaviour, cognitive, emotional and physiologic, can

    be influenced by staying in a specific environment. Finally, Jones et al. (2006) add that the

    feeling of accomplishment, by finding the information or product that the customer was

    looking for, is a driver for customer’s utilitarian, task-oriented product shopping value and

    could also function as a driver for the intention to visit the store again.

    In terms of measurements, Léo and Philippe (2002) affirm that there are different ways of

    measuring satisfaction, apart from direct questioning. The affective dimension can describe

    the pleasure of using something, and the cognitive one can evaluate actions like the future

    behaviour of the customer or the fact of recommending a place to others (Léo and Philippe,

  • 9

    2002). The authors also include the comparative dimension, which is that the consumer can

    establish choices according to his judgment of other opportunities.

    2.3 Factors influencing consumer behaviour

    The factors choice and store variety, convenience, facilities, social and service quality are

    based on the research by Hackett and Foxall (1993). Their findings are complemented by the

    result of other studies from various scientists in order to explain the impact of each variable

    on the behaviour of consumers in the context of shopping. The authors of this thesis added

    the atmosphere factor as it is according to several researchers also considered as an important

    dimension which can affect behaviour.

    2.3.1 Choice and store variety

    Consumer choice can be described as “the selection, consumption, and disposal of products

    and service” (Bettman et al., 1998, p.187). The authors found out that choice can be affected

    by different factors such as context, time pressure, number of choice, and even environment.

    Previous studies have showed the tenant mix being one of the major determinants for visiting

    a shopping venue (Leo and Philippe, 2002; Anselmsson, 2006; Teller, 2008), and for

    customer satisfaction (Anselmsson, 2006). When talking about tenants mix, Brown (1992)

    refers to the relative location of outlets within shopping areas. These have shown to be

    important when it comes to attracting a customer, like for example the role of magnet stores

    and secondary attractors (Brown, 1992).

    2.3.2 Convenience

    According to Kelley (1958) when shopping, consumers balance commodity costs and

    convenience costs. The author defines commodity costs as “the monetary price paid the seller

    to obtain possession of goods and services” (Kelley, 1958, p.32) and convenience costs as

    “incurred through the expenditure of time, physical and nervous energy, and money required

    to overcome the frictions of space and time, and to obtain possession of goods and services”

    (Kelley, 1958, p.32). A research by Anselmsson (2006), conducted in Sweden, shows that

    convenience has an impact on customer satisfaction through the availability of parking spaces

    and the ability to easily locate themselves in the shopping mall. He states further that location,

    in terms of the geographical distance between the shopping venue and the home, are found to

    be a determinant of satisfaction. The study of Im and Ha (2011), recommends having a

  • 10

    convenient mall atmosphere, which can include adequate temperature and easy navigation, in

    order to provide customer satisfaction.

    2.3.3 Facilities

    The physical surroundings in which consumers shop can have a strong impact on their

    purchase decisions (Solomon et al., 2010). Myers et al. (2008) states that interesting design

    and architecture, as well as easy access are important when it comes to the experience of

    shopping venues, but offering the basics such as clean and safe shopping environments,

    adequate toilets, good signage and places to sit, are of equal significance. Miller et al. (2005)

    claims that the feeling of safety, like the presence of security staff, in some cases, is of great

    importance for customers when shopping. The image of a shopping area, as studied by Wee

    (1985), is significant in predicting and explaining shopping behaviour. In his research, he

    focused on the relationship between shopping area image and patronage behaviour. Different

    image components were studied by Wee, and the results showed that factors like “product and

    service offering” were much less significant to the customer's patronage behaviour than

    operational (like store hours for example) and facilitative factors (like washrooms or play

    areas for children). Also transport facilities can have an impact, as Ozuduru et al. (2014)

    found evidence that car owners more frequently visited shopping malls than they visited street

    shops.

    2.3.4 Social

    Shopping is not just about acquiring products or services (Tauber, 1972; Babin et al., 1994).

    Tauber (1972), describes a number of psychosocial needs which motivate shopping, such as

    the possibilities of socialising. The social aspect of shopping refers to shopping with friends

    or communicating with others (Tauber, 1972; Arnold and Reynolds, 2003; Davis and Hodges,

    2012). Bäckström (2011) states that the social interaction is sometimes the principal activity

    for shopping, and the products are just peripheral objects. In leisure shopping, outing is the

    actual purpose and shopping is only one of the components in the experience (Schiller, 1999

    cited in Howard, 2007). The mall is a social environment (Feinberg et al., 1989; Solomon et

    al., 2010), and the social aspects of the mall may have an important part of its success to

    attract and keep consumers (Feinberg et al., 1989). Matzler et al. (2005) explains that positive

    as well as negative emotions have a crucial role in customer satisfaction.

  • 11

    2.3.5 Service Quality

    Service quality, according to Bolton and Drew (1991) is defined as the contrast between the

    expectation of the consumer and the actual performance of the service. According to May

    (1991), aspects such as demand for quality, value and variety of goods influence a customer’s

    choice of shopping venue. A customer´s perception of a store and patronage intention are also

    positively influenced if the salespersons are friendly, helpful and perceived overall as

    trustworthy (Clopton et al., 2001; Jayawardhena and Farrell, 2011). In fact, to offer customers

    a helpful staff is a major influential factor which has a great impact on customer satisfaction

    (Keh et al., 2013). A study by Terblanche and Boshoff (2001) states that internal store

    environment, like cleanliness or also having attractive product displays and promotional

    offers, is an important dimension when assessing customer satisfaction.

    2.3.6 Atmosphere

    The fact is that today, for companies, it is not enough to only offer the customer products or

    services in order to create customer value and to differentiate themselves from the competitors

    (Kotler et al., 2009). Kotler et al. (2009) highlight that it is no longer the physical product or

    service that is the focus, but in fact, many companies now also offer an intangible experience

    that is beyond the actual product or service. As Kotler et al. state, "They are buying what

    those offers will do for them" (Kotler et al., 2009, p.231). A way of creating a customer

    experience is through atmosphere, for example (Bitner, 1992). The term atmospherics can be

    defined as “the conscious designing of space to create certain effects in buyers” (Kotler, 1973,

    p.50). Kotler is the researcher who first defined atmospherics (Turley and Milliman, 2000;

    Yalch and Spangenberg, 2000; De Nisco and Warnaby, 2013). He “was the first to use and

    define the term /.../ as the intentional control and structuring of environmental cues,...”

    (Turley and Milliman, 2000, p.193). Atmospherics are also defined as “the use of space and

    physical features in store design to evoke certain effects in buyers” (Solomon et al., 2010,

    p.643).

    De Nisco and Warnaby (2013), state that an important part of the customers’ experience lies

    within the perception of the physical environment of a shopping area. The physical design,

    area layout and external appearance are, according to the authors, some of the factors on

    which the customers base their evaluation of the service quality. The perceived service quality

    impacts both the customers’ intention to stay longer and visit the area again (De Nisco and

    Warnaby, 2013). Furthermore, Bitner (1992) states that the physical environment can be used

  • 12

    as a tool for positioning and to differentiate the organisation from its competitors. Also, the

    usage of pleasant music and scents enhances the experience of shopping (Mattila and Wirtz,

    2001). Finally, research shows that the atmosphere of a shopping mall is the influence factor

    that has a high impact on customer satisfaction (Anselmsson, 2006; Teller, 2008).

    The impact of music on consumer behaviour is well documented (Milliman, 1982; Yalch and

    Spangenberg, 2000; Broekemier et al., 2008). Music influences the customers’ perception of

    service quality (Sweeney and Wyber, 2002; Chebat and Michon, 2003). It may also increase

    customers’ intention to shop or to visit the store again (Broekeimer et al. 2008). Concerning

    design, according to the study of Baker et al. (2002), customer’s perception of design cues,

    namely high image store design (colour, display, layout) have a strong influence on patronage

    intentions and service quality. The authors also found out that the perceived merchandise

    value in a store was affected by design cue perception. According to Mazursky and Jacoby

    (1986) store interior design and layout influences the store image perception of customers.

    Also the exterior structure of the shop, such as the window displays, has an influence on the

    customer’s feelings and experience of the store’s identity (Giacoma-Claire, 2013) as well as

    their decision to enter a store (Sen et al., 2002). When it comes to scent, according to Chebat

    and Michon (2003), odour presence can influence the customer´s perception of the

    environment in which he is shopping, and the quality of the products available, through the

    effect of odours on mood. The study of Herrmann et al. (2013) has shown that a scent´s nature

    could positively enhance the processing fluency of a customer in a store. The authors also

    found out that when complex scent are present, the customer spend less money than in stores

    where simple ambient scent is present.

    2.4 Summary of the chapter

    To sum up, this chapter consists of the research frame of reference. The theory regarding

    customer perception brings up the aspect of how consumers select, organise and interpret the

    surrounding information, according to their personal expectations and motives. The chapter

    also discusses the theory consumer satisfaction, which occurs when the perceived

    performance of companies’ offerings meets or exceeds the customer’s expectations which

    increases the possibilities of repatronage and positive word-of-mouth. Furthermore, six

    factors have shown to influence consumer behaviour when shopping, namely choice and store

    variety, convenience, facilities, the social aspect, service quality and atmosphere. These

    factors can have an impact on consumer’s satisfaction and patronage intention.

  • 13

    3 Research gap, Hypotheses and Research model

    The following chapter defines the research gap, the independent and dependent variables of

    the studied construct. The hypotheses and the research model will also be presented.

    3.1 Research gap

    Previous studies within the area have mostly focused on customers on either the external

    shopping mall (see Frasquet et al., 2001; Anselmsson, 2006) or the city centre (see De Nisco

    and Warnaby, 2013; Hart et al., 2013). Few academic comparative studies on both venues in

    Sweden have been found. Thus, this investigation should be relevant. The findings of this

    investigation could bring leads for managers to understand consumer’s perceptions and act

    upon creating more attractive shopping venues.

    3.2 Hypotheses

    The following section present this research’s independent and dependent variables, which are

    based on the previous literature review. The variables will form the hypotheses that the

    research is going to measure, in order to find a possible relationship between them. To make it

    clear, a research model will be presented in order to provide an overall view of the construct.

    The independent variables are:

    X1 (Choice and store variety), X2 (Convenience), X3 (Facilities), X4 (Social), X5 (Service

    Quality), X6 (Atmosphere).

    For the first research question, Which factors are the most important for customers when they

    are shopping?, the six independent variables represent the customer’s perception of the

    importance of different factors when shopping.

    The dependent variables are:

    Consumer satisfaction of the shopping mall and consumer satisfaction of the city centre.

    The twelve following hypotheses, which will be tested, are presented below:

    H1a: The perceived performance of choice and store variety in the shopping mall influences

    customer satisfaction.

  • 14

    H1b: The perceived performance of choice and store variety in the city centre influences

    customer satisfaction.

    H2a: The perceived performance of convenience in the shopping mall influences customer

    satisfaction.

    H2b: The perceived performance of convenience in the city centre influences customer

    satisfaction.

    H3a: The perceived performance of facilities in the shopping mall influences customer

    satisfaction.

    H3b: The perceived performance of facilities in the city centre influences customer

    satisfaction.

    H4a: The perceived performance of the social aspect in the shopping mall influences

    consumer satisfaction.

    H4b: The perceived performance of the social aspect in the city centre influences customer

    satisfaction.

    H5a: The perceived performance of service quality in the shopping mall influences customer

    satisfaction.

    H5b: The perceived performance of service quality in the city centre influences customer

    satisfaction

    H6a: The perceived performance of atmosphere in the shopping mall influences customer

    satisfaction.

    H6b: The perceived performance of atmosphere in the city centre influences customer

    satisfaction.

    The possible correlation between perception of importance of the factors and customer

    satisfaction will also be measured. This will show if there is a correlation between what

    customers perceive as important and their level of satisfaction of the both shopping venues.

  • 15

    3.3 Research Model

    The research model shows the six independent factors in relation to the two dependent ones.

    The model also presents the perception of importance, which could have a possible

    correlation with customer satisfaction of each of the shopping venues.

    Model - H1a to H6b

    Figure 1: Research Model - Own development

  • 16

    4 Methodology

    The following chapter describes the methodology chosen for the investigation, which has

    shaped the study. This section begins with a presentation of the selected research strategy,

    approach and design. A second part will present the methods used for collecting data. Finally

    a critical review is presented and discusses the methodology’s reliability and validity.

    4.1 Research approach

    A study can be characterised as exploratory, descriptive or explanatory depending on what the

    purpose of the research is (Christensen et al. (2010). The quantitative research is characterised

    as descriptive and explanatory while the qualitative is usually exploratory, descriptive and

    explanatory (Christensen et al., 2010). The exploratory research is generally used at the

    beginning of a research process when there is inadequate knowledge regarding the area to be

    studied (Christensen et al., 2010) and therefore it aims at creating an pre-understanding

    (Christensen et al., 2010; Björklund and Paulsson, 2003). Christensen et al. (2010) adds that

    this kind of research is concerned with What, How and Why questions. In an exploratory

    investigation the researcher undergoes a journey of discovery as “intended to identify and

    narrow the problem area” (Christensen et al., 2010, p.57). Because this form of research is not

    depending on statistical calculations or systematic techniques, it requires that the researcher is

    curious, creative and pays attention as the survey is controlled by an individual's personal

    capabilities to collect relevant data (Christensen et al., 2010).

    When it comes to a descriptive research, Björklund and Paulsson (2003) and Christensen et

    al. (2010) state that then the research aims to describe relationships. Thus, in this case the

    researcher has already existing knowledge about the actual problem but lacks a clear and

    updated view of it (Christensen et al., 2010). Björklund and Paulsson (2003) add that it aims

    to describe probable connections and not to explain the current problem. Christensen et al.

    (2010) mentions that the descriptive is not searching for explanation of new phenomena,

    which is causing the problem. A descriptive research concerns with questions as How, Who,

    Where and When but mainly deals with How questions (Christensen et al., 2010). The authors

    state that to be able to describe a problem, there must be an understanding, in order to enable

    an description of the current problem. This means that the researcher will also be exploratory

    by seeking knowledge to achieve this (Christensen et al., 2010). Björklund and Paulsson

    (2003) explain that the explanatory research has many similarities with both the exploratory

    and the descriptive, but unlike the descriptive approach is the purpose of the explanatory is to

  • 17

    identify and determine the causal relationship between variables. The authors further state that

    the explanatory approach is used when the aim of the research is to both explain and describe

    a phenomenon in search of a deeper understanding. The exploratory research aims to explain

    why something is as it is and therefore questions which concern Why will be asked

    (Christensen et al., 2010). Finally, Björklund and Paulsson (2003) mention normative

    research, which aims to propose measures to the current problem.

    The current research is an explorative and descriptive research. The exploratory part of the

    study aims at identifying what factors are important to customers when shopping and will

    answer to the first research question. The descriptive part aims at describing the relationship

    between the factors important to customers when shopping and customer satisfaction in

    regard to city centres and shopping malls. This research is based on what and how questions

    which are connected to the exploratory and descriptive research.

    4.1.1 Inductive and deductive approach

    There are two approaches that describe the relationship between theory and practice,

    deductive and inductive approach (Bryman and Bell, 2013; Christensen et al., 2010;

    Björklund and Paulsson, 2003). A deductive approach means, according to Bryman and Bell

    (2013) that the research is based on knowledge that already exists within the specific area and

    theories derived from it. They also explain that from this basis, a number of hypotheses are

    formulated which will be subjected to empirical scrutiny. This method is usually adopted in

    the quantitative research (Bryman and Bell, 2013). Induction, on the other hand, is associated

    mostly with qualitative research, meaning the opposite, i.e. that research results provide a

    basis by which theories or generalised conclusions are generated (Bryman and Bell, 2013).

    This thesis is engaged in a deductive approach, as the study is based on existing theories in

    order to create a ground for the research. Hypotheses will be formulated from the theories and

    will thereafter be tested.

    4.1.2 Quantitative vs. Qualitative strategy

    The research problem can, according to Bryman and Bell (2013) and Backman et al. (2012),

    be carried out from two different strategies, qualitative research and quantitative research. The

    authors state that the perspective is determined depending on what the researcher wants to

    achieve with the investigation. A qualitative approach is suitable when the researcher is

  • 18

    interested in people’s description of their world or observing their behaviour (Bryman and

    Bell, 2013). Thus, the emphasis in the qualitative strategy is on words (Backman et al., 2012;

    Bryman and Bell, 2013; Creswell, 2014) and their interpretation (Bryman and Bell, 2013). On

    the other hand, the quantitative strategy focuses particularly on figures that allow

    quantification of variables (Christensen et al., 2011; Backman et al., 2012; Creswell, 2014), in

    order to see the relationship between them (Creswell, 2014).

    Bryman and Bell (2013) separate variables into two groups, independent variables and

    dependent variables. An independent variable is defined as “a variable that performs a causal

    impact on another variable (the dependent variable)” (Bryman and Bell, 2013, p.718) and a

    dependent variable is defined as “a variable that is causal affected by another (independent)

    variable” (Bryman and Bell, 2013, p.714). The two strategies qualitative and quantitative are

    not always inseparable (Christensen et al., 2010; Bryman and Bell, 2013; Creswell, 2014), but

    can complement each other in order to get a more nuanced view of the research problem

    (Christensen et al, 2011; Bryman and Bell, 2013). Finally, Creswell (2014) adds that a

    research tends to be more quantitative or qualitative.

    The purpose of this research is to examine what factors are important to consumers when they

    are shopping, and to evaluate the influence of the perceived performance of these factors in

    both an external shopping mall and a city centre on customer satisfaction. The focus of the

    study is to evaluate this specific link between a perceived performance and satisfaction, in

    order to measure a possible correlation. In order to do so, the most suitable research method

    would therefore be the quantitative one, since it enables determination of the variables as well

    as measuring the relationships between the different variables. The research also has

    qualitative elements through exploratory interviews with municipalities.

    4.2 Research design

    Bryman and Bell (2013) distinguish the concepts of research design and research method as

    they have different meanings in a study. Yin (2007) clarifies that the research design is a

    logical plan and its purpose is to help to collect the right information. Bryman and Bell (2013)

    explain the research design as being the framework in which the data collection and analysis

    is being made and the research methods are the techniques that are used to gather information.

    They also state that the design chosen in the analysis should reflect the decisions taken

    regarding the priority of certain aspects of the research process. The five research designs that

  • 19

    the authors define are: experiment, comparative, longitudinal, case study and cross-sectional

    design.

    Experimental design is according to Bryman and Bell (2013), used when the researcher is

    interested in examining how the individuals in the experimental group or groups are affected

    by the changes in their environment. When using a comparative design, the researcher wants

    to gain a better understanding of a certain social occurrence, which can only be made through

    the study of two or more contrasting cases (Bryman and Bell, 2013). Christensen et al. (2010)

    state that a longitudinal design is preferable for studies with an explanatory or descriptive

    purpose. The authors also explain that the same type of data is collected on a number of

    occasions over a period of time, which allows an explanation of trends or changing processes.

    A case study is, according to Bryman and Bell (2013), a detailed study of one single case,

    such as an organisation, a place, person or a specific situation. They state that this design

    shows strong similarities to the cross-sectional study but the distinction lies in the researchers

    interest in the particular case. Bryman and Bell (2013) also explain that cross-sectional design

    means studying several cases in order to generate quantifiable data that can be linked to a

    number of variables and thus to study the relationships between them. The authors explain

    that this design is suitable when the researchers are interested in finding variations between

    for example, organisations, individuals or nations. This design is, as explained by Christensen

    et al. (2010), also used when the aim of the study is to give a quantifiable description of

    something since the quantitative primary data, which often is the basis of the cross-sectional

    design, allows the researcher to draw statistical generalisations. The information drawn from

    this kind of study is therefore often of big value for a company since it for example can

    provide information on their customers satisfaction with their offerings (Christensen et al.,

    2010).

    Bryman and Bell (2013) clarify that examining several cases increases the likelihood of

    variation between the variables and the possibilities of making exact distinctions between

    cases. The collection of data is done at a certain time, and often consists of questionnaires and

    structured interviews but may also include other data collection methods (Bryman and Bell,

    2013). The disadvantage of the cross-sectional design is, as Bryman and Bell (2013) explain

    it, the difficulty in determining the causal direction between the variables. This difficulty is

    according to them due to the simultaneous gathering of information, which prevents the

  • 20

    possibilities of manipulating the variables. The researcher can therefore not be sure of the

    relation between the variables being causal, according to the authors. Despite the uncertainty,

    it is not impossible to draw causal conclusions from a cross-sectional study (Bryman and Bell,

    2013). Since the purpose of this research is to investigate the relationship between the

    customer’s perceived performances of two different shopping venues and customer

    satisfaction, the cross-sectional design was found to be appropriate for this study. It is of

    significance in this research to do a broad study of several cases in order to find relationships

    between the variables, and give them a quantifiable description.

    4.3 Data collection method

    The researcher must decide based on the chosen method, which type of information is

    required in order to answer the research question (Björklund and Paulsson, 2003). The

    information is categorised depending on when it was collected, where and for what purpose it

    was collected (Christensen et al., 2010; Björklund and Paulsson, 2003). The two different

    forms of data, which often are used to complement each other, are termed as secondary data

    and primary data (Christensen et al., 2010; Björklund and Paulsson, 2003). In order to execute

    this investigation and respond to the research questions and test the hypotheses, the results of

    the study will be based on both secondary and primary data.

    4.3.1 Secondary data

    Secondary data implies information that is already available and is produced for a different

    purpose than the researcher's current investigation (Christensen et al., 2010; Björklund and

    Paulsson, 2003; Hair et al., 2011). Christensen et al. (2010) and Hair et al. (2011) explain that

    the secondary data is often used initially in the research process in order to create a basic

    knowledge of the problem area, which is to be investigated. In fact, by using secondary data,

    the researcher can make a comparison and see what kind of primary data is required for the

    study (Christensen et al., 2010; Hair et al., 2011). Secondary data was collected which

    discussed the phenomena of competitiveness between shopping venues in Sweden in order to

    get a basic understanding of the topic. The data consists of newspapers and research by the

    Swedish retail statistics agency HUI Research and market analysis by JLL, an international

    real estate company. Secondary data can comprise external data such as published or

    commercial sources (Christensen et al., 2010; Hair et al., 2011). The authors explain that it

  • 21

    can also consist of internal data regarding information on organisations of customers, sales

    performance and marketing activities.

    It is important to ensure the reliability of the secondary data before it is used in the study

    because information can be biased and not correspond to the reality (Christensen et al., 2010;

    Hair et al., 2011). It is therefore of importance that the data is reviewed before being used in

    the research (Christensen et al., 2010; Björklund and Paulsson, 2003). Bryman and Bell

    (2013) explain that if the information is thoroughly reviewed, it also means that it maintains a

    high quality. Making use of secondary data, researchers can save both time and money

    because the collection of primary data often requires greater resources (Bryman and Bell,

    2013; Christensen et al, 2010).

    The secondary data, in this study, consists of academic literature and scientifically reviewed

    articles. The articles were used in order to assure an updated but also a high academic level of

    the research quality. The scientifically reviewed articles have been retrieved from

    academically approved databases, such as BSP - Business Source Premier. The used data

    servers are OneSearch and Google Scholar with the following keywords; Shopping mall, City

    centre, Perception, Customer satisfaction, customer experience, Factors influencing consumer

    behaviour, Choice and Store variety, Convenience, Facilities, Social, Service Quality and

    Atmosphere. The used articles are chosen due to their relevance to the subject of this study

    and focus on the factors which influence customer in the context of shopping. To increase the

    reliability of this research, authors of this thesis critically reviewed the selected articles,

    before using them. The academic information is forming the frame of reference in this

    research. This frame aims to narrow and identify the area, which is explored (Creswell, 2014).

    4.3.2 Primary data

    When there is not enough existing information available to answer the specific problem, it is

    often required that the researcher has to complement theory with new information which he

    then collects himself, for his investigation (Christensen et al., 2010). This kind of information

    is defined as primary data and can be collected by various techniques, but must

    simultaneously fit the identified research problem (Christensen et al., 2010). Bryman and Bell

    (2013) point out that qualitative investigations often consist of participant observation and

    interviews or focus groups as techniques to collect information. When it comes to quantifying

    the data, investigations will very likely be based on questionnaire surveys in order to collect

  • 22

    primary data (Bryman and Bell, 2013). The benefit of primary data, in comparison with

    secondary data, is that the information is not only updated, but the researcher also knows how

    reliable the information actually is (Christensen et al, 2010). The primary data, in this

    research, is mainly based on a quantitative questionnaire (see appendix 1 and 2), also known

    as survey, in order to confirm the previous scientific findings regarding factors influencing

    consumer behaviour when shopping. This technique of collecting data is explained in the

    following section. The primary data also consists of exploratory interviews in order to get a

    fundamental knowledge of the studied municipalities.

    4.4 Data collection instrument

    4.4.1 Documents

    As mentioned earlier, the current research is partly based on secondary data. Secondary data

    is already existing documents, which can help the researcher to design questions, and themes,

    which then can be compared with primary data (Bryman and Bell, 2013). Bryman and Bell

    (2013) states that there are different types of documents depending on the specific source.

    One type of document is defined as; mass media outputs which implies sources such as daily

    newspapers and magazines (Bryman and Bell, 2013). Christensen et al. (2011) define this

    type of sources as external data. In this thesis, the mass media outputs are data from the

    Swedish media and research from analysis institutes, and are presented in the background of

    this thesis. Documents can also take the form of virtual documents, which according to

    Bryman and Bell is information published over the Internet. In this thesis, these documents

    are presented as articles and books by previous scientists, and newspaper articles, published

    on the Internet. Even if Bryman and Bell (2012) do not mention literature as a form of

    document, it can be considered as a type of documented source.

    4.4.2 Interview

    The fact is that the quantitative and the qualitative strategy are not always inseparable, but can

    complement each other in order to get a more nuanced view (Christensen et al., 2010; Bryman

    and Bell, 2013). Bryman and Bell mention that qualitative research can consist of various

    forms of interviews. The research in this thesis is mainly characterised as quantitative but has,

    however, elements of the qualitative because interviews have been conducted with various

    municipalities in Sweden. The use of interviews was an exploratory phase in the research in

    order to get a basic knowledge of the situation of three cities in Sweden, on which the

  • 23

    forthcoming investigation is based on. Questions were asked to key representatives, in order

    to get their perspective on their municipalities’ relationship between two shopping venues; the

    shopping mall and the city centre (see appendix 8). The contacted persons were a President of

    the Regional Executive, a Head of Business and Regional Development, a Business and

    Regional Developer and a City Planning Director, each from a different municipality. The

    data was collected through email interviews and phone interviews. The same questions were

    asked in both of the two interview techniques and used for each municipality in order to see

    similarities and differences of the answers (see appendix 8). The answers from the email

    interviews were collected on the 6th of March and the 5th of May. The phone interviews were

    conducted on the 6th and 7th of May.

    Regarding the advantage of using phone interview, it is an efficient way to collect data

    (Christensen et al., 2010). Bryman and Bell (2013) distinguishes different types of interviews

    such as, unstructured and semi-structured, which reflects the respondent's point of view. The

    difference between a semi-structured interview and unstructured interview is that in the semi-

    structured-one, different themes are used which will be touched during the interview (Bryman

    and Bell, 2013). The authors state that unstructured interview can be seen as a conversation

    which also has themes to start from, but where the researcher gives the respondent more

    responsibility to answer freely and to have more control over the conversation. Christensen et

    al. (2010) mentions that phone interviews can be unstructured but is, however, usually

    standardised where the moderator has predetermined questions to be answered during the

    interview process. The advantage of phone interviews is the flexibility, which allows the

    interviewer to ask follow-up questions, which could generate unexpected and deeper answers

    (Bryman and Bell, 2013).

    Since this study involved interviewing several respondents with different positions in different

    municipalities, it was important to start with the semi-structured interview to avoid getting

    irrelevant and unmanageable amount of information. The interview guide for the email and

    phone interview was based on an opened-ended question in order to generate unforeseen

    answers. The phone interviews were semi-structured in character, and follow-up questions

    where asked based on the respondents answers. Although, Bryman and Bell (2013) explains

    that it can be beneficial to ask open-ended questions in investigations of new areas, but can be

    more time consuming than asking closed questions. It was, in this case, substantial to use

  • 24

    open-ended questions because the lack of knowledge regarding the municipalities’

    perspective of their situation.

    4.4.3 Questionnaire

    Hair et al. (2011) point out one technique in order to collect information, which is using self-

    completion surveys, that consist in structured questionnaires with a set of predetermined

    questions in order to collect a large quantity of data in numerical form. The authors explain

    that the questionnaire has to have a specific design and be delivered in a chosen way. In the

    current study an electronic self-completion questionnaire has been delivered, through a web-

    hosted Internet survey. It is an effective way of collecting data and the answers can be quickly

    gathered thank to the server, but it also allows the participants to stay anonymous

    (Christensen et al., 2010; Hair et al., 2011; Bryman and Bell, 2013). The used webpage was

    Webbenkater.com, a Swedish questionnaire creating website which offer a free usage for

    students. The questionnaire was accessible to respondents from the 1st to the 7th of May. To

    increase the response rate among respondents, they were informed that they would remain

    anonymous. The selection of this particular technique in order to collect data is based on the

    fact that this study requires a large number of responses for a limited period of time. It is

    therefore not adaptable for this investigation to use other techniques. It is important to add

    that the choice is also based upon that the fact that participants should not be affected by the

    environment, which would be the case if they were approached in the actual venues. Instead,

    the survey allows them to answer the questions based on their previous experience and

    perception of the two shopping venues.

    To get as high a response frequency as possible, social media was chosen as a communication

    channel to distribute the questionnaire survey among inhabitants of each municipality. The

    surveys were published through the social network Facebook, where several Facebook

    groups, related to the municipalities in question, were selected and used to spread the survey.

    This groups target different kinds of people, both men and women in various ages. The

    questionnaire was also spread further through the contacts that the authors in this study had

    within each municipality. Theses contacted persons sent on their turn the questionnaire

    forward to people they knew who lived in the municipalities. The reason for publishing via

    social media was it effectiveness and rapidity to pass on information to people, but also to be

    able to get access to people located elsewhere. In order to further increase the response

  • 25

    frequency, the authors sent reminders every day to encourage as many people as possible to

    complete the questionnaire.

    4.4.4 Questionnaire design

    A structured questionnaire can be based on open-ended or/and closed questions with

    predetermined options (Christensen et al., 2010; Bryman and Bell, 2013). The questions of

    this survey consist of closed-ended questions with a set of alternatives from which the

    respondents can choose what best matches their opinion. The advantage of making use of

    fixed alternative answers, according to Bryman and Bell (2013), is the efficient way to

    process the responses, but also to allow the researcher to easily compare the responses,

    because the variation in the answers is minor in comparison to asking open-ended questions.

    It is, however, an advantage to ask open-ended questions because it can generate more

    interesting answers, which are not expected (Christensen et al., 2010; Bryman and Bell,

    2013). It is important to add that the validity can be negatively affected if the respondents do

    not understand the questions (Bryman and Bell, 2013). It is therefore, in this study, important

    to test the questions in order to ensure that respondents understand and perceive the questions

    correctly before publishing the questionnaire. When the questions are formulated, it must be

    taken into account not to ask questions that lead the respondent to answer in a certain

    direction (Christensen et al., 2010; Bryman and Bell, 2013). It is of great importance, in

    closed questions, to have as complete response options as possible to ensure that the

    respondent's answers are not controlled (Christensen et al., 2010).

    The first questions of the questionnaire concern the respondent’s information, like gender, age

    and occupation. For the next two parts of the questionnaire, the design of the questionnaire is

    inspired by the questionnaire of Hackett and Foxall (1993). The research from Hackett and

    Foxall studies consumer’s location specific values in a high street and a shopping mall, using

    an opportunity sampling. The mentioned sampling method is based on that the researcher

    needs respondents who happen to be there (Christensen et al., 2010; Bryman and Bell, 2013).

    Thus, it seemed relevant for the study to use their previous research and content areas as a

    basis to construct the questionnaire. For the last part of the questionnaire, the design is a close

    replication of Léo and Philippe’s (2002) “Satisfaction measurement scale”. Following Léo

    and Philippe, the measurement includes questions about overall satisfaction, pleasure of use

    and future behaviour of the customer, intention to recommend the place and comparison with

    other shopping venues. Some questions were rephrased to fit the scaling of the questionnaire.

  • 26

    4.4.5 Scaling

    Measuring a variable consists in assigning a number to it that reflects the aspect of the object

    or event (Hair et al., 2011). According to Hair et al. (2011) there are numerous types of

    scales, but broadly two types of scales can be defined, metric scales which are a type of

    quantitative scales, and non-metric scales. The authors define different types of metric scales,

    which among others include rating scales and likert scales. An interval scale consists of

    numbers which allow the respondents to rate objects, with equal distances between numbers

    (Hair et al., 2011). For the measurement of opinions or perceptions, a rating scale can be used

    (Hair et al., 2011). The likert-scale help, as explained by Hair et al. (2011) measuring

    opinions by assessing how strongly the participant agree or disagree about an item. Zikmund

    et al. (2013) explains that a odd number of scale points are appropriate to use if it is assumed

    that the respondent could have a neutral opinion of the subject in question. Even scale points

    are, according to the authors, preferable for issues that people tend to have strong opinions of,

    since it forces the respondents to choose side.

    The questionnaire used in this study is divided in three parts, the rating scale was used for

    measuring the customers opinion on the importance of factors when shopping, and a likert-

    scale was used to measure their agreement on the performance of the two shopping venues,

    and on their satisfaction. An odd number of the scaling was used since the authors of the

    thesis considered it likely for the respondents to have a neutral opinion. The first part of the

    questionnaire asks the respondents to rate each item according to the criteria of importance

    when shopping, on a 5-point scale, from “not important at all ” to “very important”. The

    choice of a five point scale in this part is based on the recommendations from Hair et al.

    (2011), which explains this number to be adequate for measurement of importance.

    The second part of the questionnaire asks respondents to scale the performance of each item

    according to the criteria of perception on a 7-point scale, rating from “strongly disagree to

    “strongly agree”. The same scale is used for the third part of the questionnaire in which the

    respondents are asked to scale questions on their satisfaction of the two shopping venues.

    Zikmund et al. (2013) explains that a scale with 7-10 points generally seems to perform better

    but it is up to the researcher to determine which grading is best for the actual case. “This issue

    of identifying how many meaningful distinctions respondents can practically make is

  • 27

    basically a matter of sensitivity, but at the operational rather than the conceptual level.”

    (Zikmund et al., 2013, p.327). The seven-point scale was used for the measurement of

    perceived performance and satisfaction since it was considered to provide a more precise

    indication of the respondents ‘opinion.

    4.4.6 Pilot survey and testing of questions

    Bryman and Bell (2013) explain that a pilot survey, known as pre-testing, is of great

    importance to investigations, and especially for research, which is based on questionnaires.

    The authors add that it is a requirement that the questionnaire goes through verification tests,

    before it is published for public, in order to ensure that the questions are clearly asked and

    well formulated. Doing so, the researcher is sure that respondents understand the question in

    order to be able give correctly answers (Christensen et al., 2010; Bryman and Bell, 2013). The

    pre-testing also helps to assure that the questionnaire is coherent and that respondents

    understand how it should be filled in (Christensen et al., 2010). Christensen et al. (2010)

    recommend having 5 to10 participants in the tests and that the researcher interviews the

    participants afterwards regarding what they think about the questions, in order to get a

    generalised point of view on the questionnaire.

    Bryman and Bell (2013) explain that with a pilot study the researcher has also the possibility

    to get a view of the survey as a whole. In order to increase the validity of this study's

    questionnaire the questions went through a control test before it were published for the public.

    The questionnaire was constructed in English and then translated to Swedish since it would be

    addressing both Swedish- and English speaking persons. A group of 5 Swedish participants

    were gathered in order to get an understanding on how the questions were perceived and if

    there were any misunderstanding regarding these. The participants were three women and two

    men aged from 25 to 34. Three of them were working and two were students. It was important

    to have participants in different ages, gender and different occupation in order to get as

    realistic result as possible. The first step was to let the participants do the web survey over the

    Internet in order to provide a natural way of doing it.

    The individuals were timed in order to see how long the questionnaire took to complete. In the

    second step, the participants were handed a printed version of the questionnaire and were

    asked to write comments on the questions they have found strange or difficult to answer. Step

    three was to gather the individuals into a group where they could discuss the experience of the

  • 28

    survey completion and perception of the questions. There was some lacking of clarity

    concerning the formulation of a few questions. As a result, some of the questions were

    adjusted to fit the Swedish vocabulary. The adjustments were also made in the English

    version in order to have the exact same questions in both questionnaires.

    4.5 Operationalization

    Table 1: Operationalization

    Concepts

    /Factors

    Definition Measures based on

    literature review

    Construct Question

    number

    Perception Perception is “The

    process by which people

    select, organise and

    interpret information to

    form a meaningful

    picture of the world”

    (Kotler et al., 2009,

    p.602).

    -Stimulus being

    relevant to the

    person’s needs and

    interests (Schiffman

    and Kanuk, 2004).

    - Attributes meet or

    exceed the person's

    expectations (Peluso,

    2011).

    - Perception of

    importance

    -Perception of

    performance

    5

    6

    Satisfaction Customer satisfaction is

    “The extent to which a

    product´s perceived

    performance matchers a

    buyer´s expectations”

    (Kotler et al, 2009,

    p.599).

    -Recommending a

    place to other

    customers

    - Repeated buying of

    a product/service

    -Comparison relating

    to other opportunities

    - Pleasure associated

    with use (Léo and

    Philippe, 2002)

    - Satisfied with the

    venue

    - Recommend it to a

    friend

    - Comparison with

    other venue

    - Pleasant to walk

    there

    - Enjoy going there

    - Usually go

    shopping there

    - Regularly use its

    services

    7.1

    7.2

    7.3

    7.4

    7.5

    7.6

    7.7

    Choice and

    store variety

    Choice is “the selection,

    consumption, and

    disposal of products and

    services” (Bettman et

    al., 1998, p.187).

    - Tenant mix, magnet

    stores and secondary

    attractors (Brown,

    1992)

    - Number of choice

    (Bettman et al., 1998)

    - Wide choice of

    shops/goods

    - Large departmental

    store

    - Get a bargain

    - Large supermarkets

    - Find small

    specialist stores

    6.1

    6.7

    6.13

    6. 15

    6.19

    Convenience Commodity costs are

    “the monetary price

    paid the seller to obtain

    possession of goods and

    services” (Kelley, 1958,

    p.32). Convenience

    costs are “ incurred

    - Location

    (Anselmsson, 2006). -

    Parking (Anselmsson,

    2006).

    - Ability to easily

    locating themselves

    -Stay warm and dry

    - Shopping area

    close to my home

    - Park easily

    - Short distances

    between shops

    - Easily find shops

    6.2.

    6.14.

    6.27.

    6.20

  • 29

    through the expenditure

    of time, physical and

    nervous energy, and

    money required to

    overcome the frictions

    of space and time, and

    to obtain possession of

    goods and services”

    (Kelley, 1958, p.32).

    in the shopping mall

    (Anselmsson, 2006;

    Im and Ha, 2011).

    -Temperature, easy

    navigation (Im and

    Ha, 2011).

    Facilities A comfortable, clean

    and safe shopping

    environment (Myers et

    al., 2008).

    - Transport (Ozuduru

    et al., 2014).

    - Adequate toilets,

    seating, security

    (Myers et al., 2008)

    - Washrooms, play

    areas for children

    (Wee, 1985)

    - Baby

    feeding/changing

    - Security staff

    - Place to leave

    children

    - Place to sit down

    - Toilets

    - Good transport

    links

    6.3

    6.9

    6.21

    6.25

    6.28

    6.8

    Social The social aspect of

    shopping refers to

    shopping with friends or

    communicating with

    others (Tauber, 1972;

    Arnold and Reynolds,

    2003; Davis and

    Hodges, 2012).

    - Shopping with

    friends (Arnold and

    Reynolds, 2003).

    - Positive emotions

    (Matzler et al., 2005)

    - Places to meet

    others

    - Nice place to shop

    with friends

    - Enjoying myself

    6.5

    6.11

    6.17

    Service

    Quality

    The contrast between

    the expectation of the

    consumer and the actual

    performance of the

    service (Bolton and

    Drew, 1991).

    - Friendly and

    helpfull salesperson

    (Clopton et al., 2001;

    Keh et al., 2013).

    - Store environment

    like cleanliness

    (Terblanche and

    Boshoff, 2001)

    - Quality, value and

    variety of goods

    (May, 1991)

    - Friendly and

    helpfull staff

    - Clean area

    - High quality goods

    - Value for money

    6.4

    6.10

    6. 16

    6.22

    Atmosphere The conscious

    designing of space to

    create certain effects in

    buyers” (Kotler, 1973,

    p.50).

    - Music (Broekeimer

    et al., 2008).

    - Design (Baker et al.,

    2002).

    - Scent (Chebat and

    Michon, 2003).

    - Attractive product

    and promotional

    displays (Terblanche

    and Boshoff, 2001)

    - Nice window

    displays

    - Nice design

    - Pleasant music

    - Nice smell

    6.6

    6.12

    6.18

    6.23

  • 30

    4.6 Sampling

    Sampling as part of the research process involves collecting information thanks to a chosen

    group of people, known as a population, who share similar characteristics (Hair et al., 2011).

    A sample has to be representative of this population, and a relevant target population has to be

    defined, from which the sample unit will be selected for the research (Hair et al., 2011). A

    probability sampling is, according to Hair et al. (2011), a method where a random selection of

    elements is used, and the non-probability sampling, where the researcher decides to include or

    exclude some elements. Snowball Sampling is a non-probability sampling method, that

    consists in using initial respondents to help the researcher identify other ones in the chosen

    population (Christensen et al., 2010; Hair et al., 2011; Bryman and Bell, 2013). Bryman and

    Bell (2013) explains that the snowball sampling is a relatively uncommon method in

    quantitative studies but it can be relevant when the researchers are interested in finding

    relation between persons.

    The chosen population of this research can be define as people living in Sweden, and more

    precisely in three cities in the south of Sweden. The choice of cities is based on the size, they

    are all mid-size cities, of the respective external shopping malls regarding their number of

    stores, which is around 70-80. The sample unit used will consist of individuals over 18 years

    and older, who are familiar with both their local city centre and their external shopping mall.

    Non-probability sampling will be used, as there is a need for this particular study to include

    specific elements. The most efficient way for the study to find relevant participants is to

    proceed to a snowball sampling, for each of the studied cities.

    4.6.1 Sample size

    Hair et al. (2010) explains that the sample size rule of thumb is ten times as many respondents

    as variables, and 50 respondents are a minimum. In order to calculate the sample size for this

    study, the method of Rule of thumb as explained by Hair et al. (2010) was used. For the

    second part of the questionnaire, there are 6 independent variables, thus the calculation is the

    following: 10*6= 60 respondents. The total amount of responses collected was 111, which

    were used as data for the first part of the questionnaire. Nevertheless, some of the surveys

    were incomplete, which left 75 of them to be used for the second part of the questionnaire.

    This mean that the minimum of the needed responses according to Hair et al. (2010) was

    exceeded.

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    4.7 Data analysis

    Analysing quantitative data can be done through the use of descriptive statistics, and through

    the testing of the hypotheses (Hair et al., 2011). The IBM SPSS Statistics software, version 21

    will be used throughout the data analysis of the internet based survey in this thesis. SPSS -

    Sta