The Importance of Retail Atmosphere in Online and Offline Environments

Abstract

Retailers have found it increasingly difficult to create a differential advantage based on the traditional marketing mix. This chapter sheds light on the increasing role of atmosphere as a tool for keeping retailers favourable in the mind of consumers. As retailers no longer just use the place to do business in the form of physical structures but also the intangible virtual store, this chapter presents the main dimensions of the retail atmosphere in both conventional retail stores and their electronic counterparts. Store attributes are equally important for consumers when making a purchase decision both online and offline. Study results suggest Croatian consumers are very task-oriented and question retailers' decisions in creating the appropriate mix of environmental factors that may influence customers' patronage decisions.