Grunert, Klaus G.5; Esbjerg, Lars5; Bech-Larsen, Tino5; Brunsø, Karen5; Juhl, Hans Jørn6
1 Department of Marketing and Statistics, Aarhus School of Business, Aarhus BSS, Aarhus University2 MAPP - Centre for Research on Customer Relations in the Food Sector, Aarhus School of Business, Aarhus BSS, Aarhus University3 Department of Management, Aarhus BSS, Aarhus University4 Department of Economics and Business Economics, Aarhus BSS, Aarhus University5 Department of Management, Aarhus BSS, Aarhus University6 Department of Economics and Business Economics, Aarhus BSS, Aarhus University
Purpose: The purpose of this paper is to investigate how three dimensions of retailer brand architecture - share or retailer brands, quality of retailer brands and visibility of retailer brands - affect consumer intention to shop at stores Design/methodology/approach: A conjoint analysis is conducted with a sample of 599 Danish consumers, which rated intention to shop at hypothetical new shops based on profiles derived from an orthogonal design Findings: Two segments of consumers emerge, one price conscious and one more differentiated. Consumers prefer shops with lower price levels, with dominantly manufacturer brands, with quality of retailer brands at the same level as manufacturer brands, and with good visibility of retailer brands. Research limitations/implications: The results are based on the evaluation of hypothetical stores, and many additional factors affect store choice in the real world. Practical implications: Results suggest that we may be heading towards a polarized retail market, mainly divided between discount concepts and high quality retailer brand concepts. Originality/value: The paper is innovative in isolating the effect of dimensions of retailer brand architecture on consumer store preference.
International Journal of Retail and Distribution Management, 2006, Vol 34, Issue 8, p. 597-608