A very important aspect that retailers are always interested to know more about is the reason why people shop. Why someone would choose a red coffee machine over a silver one, or why someone would only purchase milk at a particular store. Obviously there is no single answer that will satisfy each question, but marketing literature has always been quite fascinated with consumer motivation.
Motivation can be defined as “an internal and complex process, which influences people’s behavior and is caused by particular motives” (Keisidou, Sarigiannidis, and Maditinos 2011, 33). One popular concept is the identification of two main motives for shoppers, which are hedonic and utilitarian. In short, hedonic shoppers are consumers who shop for fun, and utilitarian shoppers are consumers who shop with a goal in mind (Babin et al. 1994).
some behavior are beyond comprehension
This mindset translates well into the online environment, where hedonic online shoppers are motivated to find involvement with things that they consider fun. Typically, a hedonic online shopper would frequent online auction sites, hobby specific sites, and browse to their hearts content to seek a product specific online experience. On the other hand, the utilitarian shopper is depicted by motives such as convenience, information, selection, and the ability to control the shopping experience (Sorce, Perotti, and Widrick 2005).
While some researches suggest that the introduction of the hedonic and utilitarian concept in an online setting is quite seamless, other research suggest that there are significant differences. Scarpi (2006) argue that hedonic shoppers, who find pleasure in the shopping act itself rather than the acquired product, would not be motivated to shop online, because it would forgo the pleasure they get from shopping in a physical store.
sophie kinsella: making millions out of the hedonic shopper
While there are other researches that use different frameworks, they are mostly reiterations of the hedonic and utilitarian classification. For example, Kargaonkar and Wolin (1999) identified seven different motives that may affect the consumers’ behavior in an online environment. These motives are: social escapism, transaction security and privacy, information, interactive control, socialization, non-transactional privacy, and economic motivation.
There are lessons to be learned here for both the traditional retailers as well online retailers. First, both type of stores have to cater for both type of consumers, which means that while shopping has to be a great experience, it should also provide an opportunity for utilitarian shoppers to just get in, get what they need, and get out.
Secondly, when it comes to engaging the consumers, so that their hedonistic needs are fulfilled, stores have to constantly innovate. Some retailers do not change their store displays for years, and they wonder why less people are interested in coming into the store and spend time shopping.
have you seen our new display? It's only been there since 1987
Understanding the consumer’s motivation is one thing, adjusting your strategy to capture the consumer is another thing. A lot of traditional retailers fail in their attempt to branch out to online retail because all they do is sell the same products online. What they do not realize is that consumers come to their brick and mortar stores not just because of the products they sell, but also because of the shopping experience that they provide. Until they manage to translate the shopping experience into an online environment, consumers will most likely shun the online versions of their stores.
References:
Babin, B., Darden, W. and Griffin, M. 1994. Work and/or fun: measuring hedonic and utilitarian shopping value. Journal of Consumer Research. 20: 644-56. Proquest. http://proquest.com (accessed March 13, 2012).
Keisidou, E., L. Sarigiannidis, and Maditinos, D. 2011. Consumer Characteristics and Their Effect on Accepting Online Shopping, in the Context of Different Product Types. International Journal of Business Science and Applied Management 6(2): 32-51. Emerald. http://emerald.com (accessed March 10, 2012).
Korgaonkar, P. and Wolin, L. (1999), A multivariate analysis of web usage. Journal of Advertising Research. 38 (1): 7-21. Proquest. http://proquest.com (accessed March 13, 2012).
Scarpi, D. 2006. The Fun Side of the Internet. In Impact of e-Commerce on Conumers and Small Firms, ed. Zappala, S. and C. Gray, 179-89. Aldershot: Ashgate Publishing Limited.
Sorce, P., V. Perotti, and Widrick, S. 2005. Attitude and Age Differences in Online Buying. International Journal of Retail & Distribution Management 33(2):122-132. Emerald. http://emerald.com (accessed March 10, 2012).
Thank you Dana, i learn so much from your blog. I think both online retailers and brick and mortar stores are all have advantages. Online retailers are more convenience than brick and mortar stores, in other hand, brick and mortar stores could provide shopping experience, but online retailers could not. Both of them have their customer group. And both of them have methods to motivate consumers to get in.
ReplyDeleteThis blog mention that traditional retailers fail trying to establish their online retail because they just sell same product online. I'm wondering if traditional retailers change their strategy in online area, such as sell many different brand product and sell the latest product from the market, will the result be different?
I have tried posting on this particular blog post about 5 times now since yesterday and each time I come back to have a look I notice it for some reason deletes itself. Not sure if it is because I have gone over the word limit.
ReplyDeleteI will try again but this time I have broken my comment up into two parts. Sorry if it looks messy and confusing but I spent a lot time writing these comments so I will not give up easily.
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I do agree with most points you have raised within this blog post however I do not completely agree with the statements:
"A lot of traditional retailers fail in their attempt to branch out to online retail because all they do is sell the same products online."
and
"Until they manage to translate the shopping experience into an online environment, consumers will most likely shun the online versions of their stores."
Online consumers being motivated by the factor of convenience (in my opinion) will purchase from an online store regardless of whether it replicates its traditional retail store and environment. Since the internet limits the level of interaction and ability for an online store to have the same characteristics of a physical store, online consumers would be aware of these restrictions and still continue to purchase using the internet as a medium.
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ReplyDeleteThis comment has been removed by the author.
ReplyDeleteI must also say add that I like that you have described "hedonic" and "utilitarian" consumers and again considered both perspectives, while at the same time providing your own insight i.e- "Some retailers do not change their store displays for years, and they wonder why less people are interested in coming into the store and spend time shopping." You incorporate the informative aspect of this blog very well with your opinions, which makes it an interesting read. I have noticed that in most of your posts, which I commend you for :)
ReplyDeleteI do not think it would be necessary to change the product range in an online environment in comparison to the traditional store because this would discriminate the consumers that prefer online shopping, As you have mentioned in your previous posts, consumers that prefer traditional shopping as opposed to online shopping do it for the experience. Therefore regardless of whether all the products sold within the physical store are available online, hedonic shoppers will still continue to visit brick and mortar store.
ReplyDeleteI think it is perhaps important to also consider the brick and mortar stores that have experienced more success online than offline and stores that have closed down as a result of the growing popularity of online shopping.
Here is an article that I found which addresses this issue, taken from The Australian:
http://www.theaustralian.com.au/archive/business-old/malls-going-to-the-wall-as-internet-shopping-becomes-more-popular/story-e6frg9h6-1226075236357
ReplyDeleteAs you can see breaking it into two parts did not work for me so I had to post several comments in order for it to finally stay.
ReplyDeleteSorry for the grammatical and spelling errors, it is really quite frustrating having to re-type my comments.
Wow Mersyl, talk about dedication, I really appreciate your comments and inputs. Let me try to reply to some of the things that you've thought up. First, the hedonic vs. utilitarian shopper. Through the literature that I've read, it is often described that hedonic consumers suit brick and mortar stores better, because they like to soak up the atmosphere of the shopping environment, and enjoy the act of shopping itself. On the other hand, utilitarian shoppers are at home in an online environment, because it is need driven, and online shopping is usually more convenient and less time consuming.
ReplyDeleteWhat I'm trying to do with the research that I am doing is whether it is possible to find hedonic consumers in an online shopping environment. I think as the Internet gets more advanced and interlinked with our lives, there's more chance of doing online shopping for fun.
As for my opinion that brick and mortar retailers not finding success in an online environment because they are offering the same kind of products is more based on the kind of competition they find in an online setting.
In terms of price and product range, there's more likely better choices in the Internet in comparison to the retailers that I know have a brick and mortar store. What I believe can be a difference maker for them is actually use their service skills and knowledge of products and translate in into an online setting. Whether that through a "ask a staff" function through chat or email, a blog about products, a staff favorite section, etc.
Again, this is about innovation, and trying to find an edge over the competition. But it's all a work in progress, and it can really go either way. Thanks again for your inputs! :)
Shu, that's quite an intriguing idea, but I cannot imagine how they would be able to do it as well as "pure-play" e-retailers. For e-retailers, a large range of products is possible because often times they don't house their own products, but just act as an intermediary for manufacturers.
ReplyDeleteAs I mentioned in my reply to Mersyl above, my point about brick and mortar stores not being successful because they offer the same things is because there are other e-retailers that has a larger product range, and rather than playing that game, brick and mortar stores who's going online should try utilizing their strengths.
Maybe another idea is actually for several prominent brick and mortar stores to join forces and create a new online entity together? It's a long shot but it definitely has potential in my opinion.