How shopping motives, store attributes and demographic factors influence store format choice in Vietnam

Abstract

Purpose Despite huge investments within the modern trade arena, Vietnam remains a traditional trade retailing country. The purpose of this paper is to establish the combined effects of motivation, store attributes and demographic factors on the predictive outcome of store format choice in Vietnam. Design/methodology/approach A logistic regression model is used to determine the effect of these factors on the predictive outcome of traditional markets or supermarkets in purchasing non-food products or processed food products. Findings The dichotomy between what supermarkets and traditional markets have to offer is simple but effective. Utilitarian-motivated shoppers are more likely to shop at traditional markets. They emphasize the need to buy products quickly, find a good price, with less travel time and hence lower travel costs. Hedonistic shoppers are motivated by feelings of happiness; they shop to relieve stress and to keep up with trends. Significant difference in store choice also exists between older and higher income shoppers. Research limitations/implications Future research should examine the sociocultural dimensions of shopping at traditional stores by exploring how such shopping relates to, and is embedded in, the formation and changes of individual identity, especially in communities outside of Ho Chi Minh City where shoppers are almost entirely dependent on traditional stores. Practical implications Traditional stores have the benefit of convenient location and savings in both time and travel costs. These benefits are being eroded as supermarkets and transnational retail corporations establish new stores close to the traditional stores. Social implications Shopping at traditional markets is part of the social culture and is embedded in individuals’ identity formation, despite increasing urbanization and shoppers’ higher incomes. Originality/value This study comprehensively explores the interactions between store choice and motivation, store attributes and demographic factors, taking into account contemporary and contextually relevant factors.