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The nature of humans is to return from travelling with a souvenir of the experience. The purchase of a souvenir by a tourist serves as a tangible way of capturing or suspending in time an otherwise intangible experience. Many small businesses in the south-west region of the USA depend on souvenir sales for income. The purpose of this study was to assess south-western retailers’ knowledge of tourists’ souvenir purchase behaviour while visiting the area. Souvenir products, product attributes and store attributes were analysed for differences in importance between tourists and retailers. Factor analysis and t-tests were administered. Findings indicated differences exist between tourists and retailers with regard to souvenir products, product attributes and store attributes. By better understanding the relationship between tourists and their retail needs, tourism-based retail busi nesses may increase revenues and the economic activity of a host area.

Structural equation modeling (LISREL 8) was used to test the causal relationships between tourist travel motivations (travel activities and tourist demographics) and souvenir consumption (souvenir products, product attributes, and store attributes). A survey containing Likert-type scales was used in collecting data from 398 tourists who had traveled to Arizona, Colorado, New Mexico, and Utah. Using factor analysis, dimensions were identified for scales used in the study: souvenir products, product attributes, store attributes, and travel activities. Results indicated that the travel activities of tourists had positive correlations with souvenir consumption, while tourist demographics had no correlation. Thus, retailers who can identify the travel activities of their tourist customer should do so to provide a better souvenir product mix with appealing attributes sold in an appealing environment. By using identified travel activities, retailers can partner with lodging facilities, restaurants, and tourism boards to encourage positive shopping experiences for the tourist.

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