Managing in‐store logistics: a fresh perspective on retail service

Abstract

Traditional retailers still insist on using price, product, and promotion as sources of competitive advantage. This emphasis typically ignores the potential of in-store logistics operations in the creation of customer value. A major objective of retail customers is to navigate the retail servicescape in an efficient, convenient, enjoyable and effective manner. In-store logistics operations largely determine how and to what extent the customer may achieve this objective. However, customer-perceived indicators of in-store logistics performance, such as product returns, order information, opening hours, and product availability and accessibility, have been largely ignored in research on retail service. We investigate the role of in-store logistics in determining customer outcomes such as store image, satisfaction and loyalty intentions. A model is developed based on extant research in the areas of logistics service quality, service logic, store image, and customer loyalty. To test the plausibility of the model, 200 supermarket customers were surveyed in an exploratory field study. Data were analyzed by 2 means of structural equation modeling in SmartPLS. Results show that customers may derive a substantial share of their satisfaction from interactions with in-store logistics operations. Customer-perceived performance of these operations-an important element of the retail servicescape-directly influences customer satisfaction, but also through its influence on store image. By better understanding the role of in-store logistics in the retail value creation process, managers can leverage their logistics capabilities. We provide detailed suggestions on how to improve in-store logistics performance. We investigate customer-perceived in-store logistics performance in retailing and its effects on customer outcomes in a field study.

Estimating hierarchical constructs using consistent partial least squares

“…In their study, Bouzaabia et al (2013) proposed that a substantial part of variance in satisfaction with a store is influenced by customer perceived in-store logistics performance. In-store logistics has a persistent effect on consumers and its effect on satisfaction is fully mediated by store image.…”

The Effect of Access to Contraceptive Services on Injectable Use and Demand for Family Planning in Malawi

“…Commodity stockouts affect future consumer shopping behaviors. 15,16,17 In developing countries, where many family planning consumers from rural areas face long distances and high relative costs when seeking contraceptives, it stands to reason that future patronage of a clinic is likely compromised if consumers find that the clinic is out of stock. Even in areas where contraceptives are provided to clients free of charge, a reliable supply of commodities may be an important factor in decisions about whether or not to seek and use family planning services.…”

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“…The fact is that if a consumer's needs is not fulfilled, the result of that dissatisfaction will lead the consumers to search for other service providers which will be able to provide for their needs, due to the negative experience that the consumers felt with the initial service provider [14].…”