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The Impact of Consumer Confidence on Store Satisfaction and Share of Wallet Formation

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  • Hunneman, Auke
  • Verhoef, Peter C.
  • Sloot, Laurens M.

Abstract

For retailer managers, it is crucial to understand the relationships between customers’ store attribute evaluations, satisfaction, and share of wallet as well as how these relationships change over time depending on the business cycle. This study investigates this complex relationship using an extensive dataset for all grocery chains in the Netherlands over the period 2009–2012. Our findings indicate that retailers should not overemphasize the importance of a favorable price image in times of low consumer confidence. Instead, our study shows that the relationship between service attributes and customer satisfaction is stronger in periods with low consumer confidence.

Suggested Citation

  • Hunneman, Auke & Verhoef, Peter C. & Sloot, Laurens M., 2015. "The Impact of Consumer Confidence on Store Satisfaction and Share of Wallet Formation," Journal of Retailing, Elsevier, vol. 91(3), pages 516-532.
    • Handle: RePEc:eee:jouret:v:91:y:2015:i:3:p:516-532
    DOI: 10.1016/j.jretai.2015.02.004
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    Cited by:

    1. Bolton, Ruth N. & Gustafsson, Anders & Tarasi, Crina O. & Witell, Lars, 2022. "Managing a Global Retail Brand in Different Markets: Meta-Analyses of Customer Responses to Service Encounters," Journal of Retailing, Elsevier, vol. 98(2), pages 294-314.
    2. Yokoyama, Narimasa & Azuma, Nobukazu & Kim, Woonho, 2022. "Moderating effect of customer's retail format perception on customer satisfaction formation: An empirical study of mini-supermarkets in an urban retail market setting," Journal of Retailing and Consumer Services, Elsevier, vol. 66(C).
    3. Blessing, Gerald & Natter, Martin, 2019. "Do Mystery Shoppers Really Predict Customer Satisfaction and Sales Performance?," Journal of Retailing, Elsevier, vol. 95(3), pages 47-62.
    4. Shaikh, Aijaz A. & Karjaluoto, Heikki & Häkkinen, Juho, 2018. "Understanding moderating effects in increasing share-of-wallet and word-of-mouth: A case study of Lidl grocery retailer," Journal of Retailing and Consumer Services, Elsevier, vol. 44(C), pages 45-53.
    5. Wu, Hung-Che & Ai, Chi-Han & Cheng, Ching-Chan, 2019. "Experiential quality, experiential psychological states and experiential outcomes in an unmanned convenience store," Journal of Retailing and Consumer Services, Elsevier, vol. 51(C), pages 409-420.
    6. Marnik G. Dekimpe & Barbara Deleersnyder, 2018. "Business cycle research in marketing: a review and research agenda," Journal of the Academy of Marketing Science, Springer, vol. 46(1), pages 31-58, January.
    7. Hunneman, Auke & Verhoef, Peter C. & Sloot, Laurens M., 2021. "The impact of hard discounter presence on store satisfaction and store loyalty," Journal of Retailing and Consumer Services, Elsevier, vol. 59(C).
    8. Patrick Acheampong & Li Zhiwen & Ruhiya Abubakar & Henry Asante Antwi & Michael Owusu Akomeah, 2016. "Stimulants of Online Shopping Behaviour among Chinese Millenials in China," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 6(5), pages 331-349, May.
    9. Guissoni, Leandro Angotti & Rodrigues, Jonny Mateus & Zambaldi, Felipe & Neves, Marcos Fava, 2021. "Distribution effectiveness through full- and self-service channels under economic fluctuations in an emerging market," Journal of Retailing, Elsevier, vol. 97(4), pages 545-560.
    10. Hampson, Daniel P. & Gong, Shiyang & Xie, Yi, 2021. "How consumer confidence affects price conscious behavior: The roles of financial vulnerability and locus of control," Journal of Business Research, Elsevier, vol. 132(C), pages 693-704.
    11. Kim, Stephen K. & Tiwana, Amrit, 2022. "Franchising contracts as routines: Untangling the adaptive value of incomplete contracts," Journal of Business Research, Elsevier, vol. 152(C), pages 177-190.
    12. Ou, Yi-Chun & Verhoef, Peter C., 2017. "The impact of positive and negative emotions on loyalty intentions and their interactions with customer equity drivers," Journal of Business Research, Elsevier, vol. 80(C), pages 106-115.
    13. Goić, Marcel & Levenier, Camilo & Montoya, Ricardo, 2021. "Drivers of customer satisfaction in the grocery retail industry: A longitudinal analysis across store formats," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    14. Hampson, Daniel P. & Grimes, Anthony & Banister, Emma & McGoldrick, Peter J., 2018. "A typology of consumers based on money attitudes after major recession," Journal of Business Research, Elsevier, vol. 91(C), pages 159-168.

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