Consumer preferences on quality of supermarket services in organized retailing: Structural equation modeling approach

Abstract

Retailing in India has come a long way. The rapid development and advancement in technology and consumer needs have made the retail sector hold a pivotal role in our economy. Organized retailing has brought in more satisfied and convenient shopping practices among consumers. The major segments covered in organized or modern retailing include store-based and nonstore-based. The organized retail market has a lot of scope and opportunities due to value for money, changing consumer shopping patterns, rural market, enhanced middle-class consumers, growth and awareness of consumerism, technological impact, media and social media apprising and increased income (Suresh, 2019). This study focuses on the supermarket segment of organized retailing, where the major daily groceries and monthly household needs of consumers are extensively delivered. Even though the major online grocery stores and applications have become a part of consumers’ lives, supermarkets and hypermarkets are enduring and growing due to the constant support offered by consumers of all categories. Despite the pandemic hindrances, the organized retailing sectors have registered strong growth and performance. This study aims to analyze consumer preferences for supermarkets and the reasons behind choosing supermarkets. The data were collected from 128 respondents who were shoppers of various supermarkets with reference to Chennai city. The data were collected through a self-administered survey using a structured questionnaire. The analysis of data was performed using descriptive statistics and SPSS AMOS. Structural equation modeling (SEM) was used in order to evaluate the association between variables used in the study.