INFLUENCE OF STORE AMBIANCE ON CONSUMERS IMPULSE BUYING
BEHAVIOR IN SELECTED CITIES OF CAVITE
Undergraduate Thesis
Submitted to the Faculty of the
College of Economics, Management, and Development Studies
Cavite State University
Indang, Cavite
In partial fulfillment
of the requirements for the degree
Bachelor of Science in Business Management
Major in Marketing Management
MARY GRACE A. ALBA
MAY ANN C. CAPATOY
GLENN R. SANGANGBAYAN
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INFLUENCE OF STORE AMBIANCE ON CONSUMERS IMPULSE
BUYING BEHAVIOR IN SELECTED CITIES OF CAVITE
Mary Grace A. Alba
May Ann C. Capatoy
Glenn R. Sangangbayan
An undergraduate thesis submitted to the faculty of the Department of Management,
College of Economics, Management and Development Studies, Cavite State University,
Indang, Cavite in partial fulfillment of the requirements for the degree of Bachelor of
Science in Business Management Major in Marketing Management with Contribution No.
___________________. Prepared under the supervision of Ms. Grasya Tibayan.
INTRODUCTION
One of the most recent advances in business thinking is the recognition that people,
in their purchase decision making, respond to more than simply the tangible products or
service being offered. This challenge comes from many stores offering similar products at
competitive prices. Many retail locations are adjusting in order to compete for consumers’
attention. Store ambiance plays a very vital role in enhancing customer‘s shopping
experience (Gowrishankkar V, 2017).
Nowadays, an attractive store ambiance is essential in encouraging customers to
buy products. The retailers are not providing products and services to the customers but
they are offering a whole shopping experience to the customers. Store ambience is effective
when they induce customers to buy again and again, and creates a strong brand image in
the mind of the customers.
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There is no question in choosing good ambiance do play an important part in the
business. The retailers should be aware of the fact that shoppers’ buying behavior can
result from their shopping plans that were made before they enter the store or their
impulse decisions that were made when they are in the store. This means that shoppers
sometimes have no intention to make a purchase before they enter the store, but they are
stimulated by certain store factors to make an impulse purchase in the retail environment.
The boundaries of clothing industry are significantly expanding. The fast changing
dynamics of the clothing retail industry forces retailers react as quickly as possible to meet
those consumers’ needs and wants (Zeynep & Nilgun, 2011). Due to this contemporary
market trend, retailers try to build up attractive shopping experience to entice and retain
customers as well as beat all their rivals.
Impulse buying has always been considered as an important topic in consumer
buying decisions. When buyers purchase a product or service without a plan such instances
of purchase are known as impulse buying. The evolution of the marketing sector’s literature
shows that several researchers have realized the importance of physical and psychological
motivation in spurring the consumers’ purchase decision including environmental
psychology, service space, the study of shelf space, and a fairly new term called
atmospherics (Hosseini & Jayashree, 2014). In particular, the design of the store setting
can influence consumers and be used as an important marketing strategy. This study
examines the behavioral effects of the ambiance of the store on consumers’ buying
behavior. Therefore, this study will investigate the collective impact of all ambient cues
such as temperature, lighting, noise, music, and ambient scent at one point in time.
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Statement of the Problem
In the modern day retailing the customers are giving more importance to the store
ambience. It is becoming necessary for the retailers to give customer experience to the
customers, in order to get large number of walk-ins inside the store. The customer will
become loyal to the store only if the retail gives them a good shopping experience.
Generally, the research aims to determine the influence of store ambiance
conditions on consumers’ impulse buying behavior.
Specifically, the study aims to answer the following questions:
1. What is the socio-demographic profile of the respondents?
2. What is the influence of the different store ambiance indicator on supermarket as
perceived by the respondents?
3. What is the level of impulse buying behavior of the respondents?
4. Is there a significant relationship between impulse buying behavior and sociodemographic profile of the respondents in terms of:
a. sex;
b. age;
c. civil status;
d. monthly net income;
5. Is there a significant influence of store ambiance indicators to the impulse buying
behavior of the respondents in terms of:
a. visual;
b. aural;
c. tactile;
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d. olfactory;
6. Which of the store ambiance indicator greatly influence the impulse buying behavior
of the respondents?
Objectives of the Study
Generally, the research aims to determine the influence of store ambiance
conditions on consumers’ impulse buying behavior.
Specifically, the study aims to determine:
1. the socio-demographic profile of the respondents?
2. the influence of the different store ambiance indicator on supermarket as perceived by
the respondents?
3. the level of impulse buying behavior of the respondents?
4. the significant relationship between impulse buying behavior and socio- demographic
profile of the respondents in terms of:
a. sex;
b. age;
c. civil status;
d. monthly net income;
5. the significant influence of store ambiance indicators to the impulse buying behavior
of the respondents in terms of:
a. visual;
b. aural;
c. tactile;
d. olfactory;
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6. which of the store ambiance indicator greatly influence the impulse buying behavior
of the respondents.
Hypothesis
The following hypotheses are construct based on the objectives:
HO1. Socio-demographic profile has no significant influence to the impulse buying
behavior of the respondents.
HO2. Store ambiance indicator has no significant influence to the impulse buying
behavior of the respondents.
Significance of the Study
The study will be conducted to provide knowledge to the reader and to have better
understanding regarding influence of store ambiance on consumers’ impulse buying
behavior in supermarkets in selected cities of Cavite.
Though this study, the retailers will be able to understand the customer’s evaluation
and perspective towards them, and to know the things that they should improve and develop
to have better relationship with the customers. This study may likewise help the retailers
in having a deeper understanding about the factors responsible for impulsive buying and
based on that they can develop marketing strategies which will help them to increase the
sales and footfalls.
In this study, shoppers will be benefiting as well. Since the research aims to know
the influence of store ambiance on consumers’ impulse buying behavior, this research will
help the consumers to find a nice place where they can spend time in shopping and relaxing
at the same time.
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The contribution of this study in the field of Marketing, especially to sensory
marketing is to give importance and understanding to store ambiance. It will provide a
complete experience. For this reason, it stands out as a uniquely interactive way to win
audience attention.
And for the future researchers, this study may encourage the other researchers to
make further studies in the future, which will serve as a valuable source of information.
Time and Place of the Study
The study will be conducted from January to June 2018. This will be conducted at
selected Cities in Cavite namely: Dasmariñas City, Generel Trias City, Trece Martires City
and Tagaytay City.
Scope and Limitation of the Study
The survey will focus only on the influence of store ambiance on consumers’
impulse buying behavior as well as their opinions and insights about the ambiance of the
store. On the other hand, this study will directly be conducted at selected supermarket in
cities of Cavite namely: Savemore Supermarket- Tagaytay City, WalterMart- Trece
Martires City, Robinson Supermarket- General Trias City, Puregold Supermarket- Trece
Martires and SM Supermarket- Dasmariñas City.
Include in this study will be the indicators such as visual, aural, olfactory, and tactile
in order to measure the ambiance condition of the supermarket. In addition, pure, reminder,
suggestion, and planned will be used to measure the impulse buying of the respondents.
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Definitions of Terms
Ambiance. Look and feel of a place (mall, restaurant, tourist destination, etc.) that
evokes a unique atmosphere or mood and makes it 'sticky' (compels people to come and
stay around).
Atmosphere. Atmosphere in marketing is a term used to describe the conscious
design of an area in order to create a desired effect on consumers. It is the effort to design
a shopping environment that produces emotional effects on the individual in order to
increase their likelihood of purchase (Kotler, 1973)
Aural/ Auditory atmospheric. Distinguished by physical properties (volume,
pitch, rhythm, tempo), emotional tone (positive, negative), and customer liking of elements
determining the influence of music and sound (Kotler, 1974).
Consumer. It is a purchaser of a good or service in retail, an end user, and not
necessarily a purchaser, in the distribution chain of a good or service.
Consumer behavior. It is the study of individuals, groups, or organizations and
the processes they use to select, secure, use, and dispose of products, services, experiences,
or ideas to satisfy their needs and wants.
Impulse Buying. It describes the purchases which the shopper makes without pre
shopping intentions, either to buy specific product or to fulfill a specific buying task. This
occurs when a consumer experiences the sudden, often powerful and persistent, urge to
buy something immediately.
Impulse Buying Behavior. This refers to the sudden urge of the customers to make
unplanned purchase after seeing the product in the retail outlet. This can be of different
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types. Pure impulse buying, reminder impulse buying, suggestion impulse buying and
planned impulse buying.
Olfactory atmospheric. Refers to ambient scent and fragrance.
Sense. Any of the faculties, as sight, hearing, smell, taste, or touch, by which
humans and animals perceive stimuli originating from outside or inside the body.
Supermarket. A store where customers can buy a variety of foods and usually
household items.
Tactile atmospheric. Tactile atmospherics can be described in terms of the
sensory-discriminative qualities of softness, smoothness, and temperature (Kotler, 1974)
Visual atmospheric. Kotler (1974) regarded visual atmospherics in terms of the
color, brightness, size, and shape of a retail space.
Conceptual Framework
The figure shows the different variables that outlines the arrangement in which the
problem is to be investigated. The study need to determine the influence of store ambiance
on customer impulse buying behavior in selected cities of Cavite.
The independent variables are the socio-demographic profile of the respondents and
the store ambiance indicators. The dependent variable, on the other hand is impulse buying
behavior of the respondents.
The socio-demographic profile of the respondents is taken into consideration in
the study. This includes: age, sex, civil status, and monthly income. These variables can
have a significant relationship between impulse buying behavior.
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The store ambiance indicator and socio-demographic profile of the respondents
including age, sex, civil status and monthly income is taken into consideration in the study.
These variables can have an intervening influence on customers’ impulse buying behavior.
The conceptual framework illustrates how the store ambiance indicators influence
to customers’ impulse buying behavior. This study focuses on assessing how these
variables relate to each other in order to establish the positive relationship between
ambiance indicator and customers’ impulse buying behavior.
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INDEPENDENT VARIABLE
DEPENDENT VARIABLES
Socio-Demographic Profile
Gender
Age
Civil Status
Monthly Income
Impulse Buying
Behavior
Store Ambiance Indicator
Aural
Visual
Olfactory
Tactile
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Figure 1. Conceptual framework of the study
REVIEW OF RELATED LITERATURE
This chapter presents and discussed the important concepts, theories, ideas that are
relevant to this research. The review of related literature will provide the researcher the
necessary background and applicable strategy with depth and meaning with the present
research.
Brief History of Supermarket
Chain grocery retailing was a phenomenon that took off around in the beginning of
the twentieth century in the United States, with the Great Atlantic and Pacific Tea
Company (1859) and other small, regional players. Clarence Saunders opened the first
Piggly Wiggly on Sept. 11, 1916 in Memphis -- pioneered a self-service model that was
drastically different from the way things had long been done. At an old-style grocery,
customers would just pass a grocery list to a clerk, who would put items together for
shoppers in one bag. Saunders redesigned food shopping in order to appeal to how
customers shopped. Piggly Wiggly also introduced shopping baskets, price-marked items,
employees in uniform and the supermarket franchise model.
In 1930, Michael Cullen, a former executive of both Kroger and A&P, opened his
first King Kullen store, widely cited as America’s first but the opening dates suggest Piggly
Wiggly was, in fact, the original. King Kullen was located in a warehouse on the fringes
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of New York City, and offered ample free parking and additional concessions in a bazaarlike atmosphere.
By the 1950s, the transition to supermarkets was largely complete, and the
migration to suburban locations begins. The 1950s and 1960s were seen as the golden age
of the supermarket, with bright new stores opening on a regular basis. Standardized
designs, in use since the 1930s and 1940s, were refined and modernized, creating instantly
recognizable and iconic buildings.
Putting up a supermarket has become harder these days if you're a small business
even as the industry is getting stronger. The structure of the Philippine retail food industry
has undergone a number of changes in recent decades. Large food retailers, particularly
supermarkets, continue to grow faster than small food retailers do. Grocery retailer remains
as the major source of food and household consumables, players strive to adapt to
consumers’ needs by opening stores in a more accessible locations and increasing their
presence in underserved markets.
Impulse Buying Behavior
Impulse buying or impulse purchase is where the decision to buy a product is made
just a moment before the actual purchase is done and is not pre-planned. Impulse buying
happens because of an emotional or psychological trigger which entices a customer to make
a spontaneous purchase to fulfill an urge. Impulsive buying is a spur-of-the-moment
purchase in which the customer does not do any research or planning before buying and
simply buys the product which did not intend to buy in the first place.
Over the years, people tend to focus only on the product functions, features and
attributes. Today, people respond to the total product that includes services, warranties,
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packaging, advertising, images and other features that accompany the products (Kotler,
2011). A pleasant store ambiance is one of the elements that is highly demanded. An
attractive and impressive atmosphere of retail outlets creates an enjoyable experience
among the consumers which affects the consumer’s emotions and decision making process
(Srinivasan & Srivastava, 2010).
Many researchers conducted their studies about the effect of store atmosphere on
consumers’ impulse buying. According to study Sangalang (2017) about the factors
influencing consumers’ impulse buying behavior show that in-store atmosphere does not
significantly influence the consumers’ impulse buying behavior. Still, the study suggests
that store atmosphere somehow influences impulsive buying behavior in such way that
pleasant store atmosphere stimulates impulsive buying of consumers.
According to Sharma (2017), store ambiance factors draw attention of shoppers and
make them enter the store for buying the merchandise available in the store. All these
ambience factors have a strong impact on the likelihood of the shoppers because these
factors puts a psychological impact on the mind of the customer make them relaxed and
happy and pushes them for spending more time in the store which ultimately increases the
footfall in the store and leads to increase in sales due to un intended buying. However,
According to Jiang & Liu (2014) store ambiance factor can lead to shoppers’ positive
emotions. But the positive feelings are generally not strong enough to stimulate the
shoppers to make impulse purchases. Instead, the positive emotions that result from these
factors can lead to shoppers’ approach behavior such as spending more time shopping in
the store and taking positive attitudes to the store and its products.
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From previous studies, researchers found that store atmosphere is a critical issue
for today’s fast moving trend. To make it easier on differentiating each store (Zeynep &
Nilgun, 2011), retailers try to create an attractive store atmosphere by using different
combination of various stimuli. For this study, the researchers try to use all the sensory
channel such as visual, aural, tactile, and olfactory to interpret its effect on customer
impulse buying behavior. By considering different types of sensory channel, it would be
more accurate to predict and control consumers’ buying behavior.
The study of Sangalang (2017); Sharma (2017); and Jiang & Liu (2014) have shown
different result. These may be not accurate and reliable to this study because it came from
different country. However, the researchers want to know if the store ambiance can affect
in the increase on sales due to unintended buying or the store ambiance can only effect on
customers emotions which is positive emotion that can lead to shoppers’ approach behavior
such as spending more time in shopping and taking positive attitudes to the store and its
products. Examining this contradiction can help store managers improve the shopping
experience for customer because the managers know what to focus on and what is valuable
for customers regarding the store atmosphere.
Few researches regarding to this study were done based on Philippines’ retailing
industry. Many researchers did their studies using the retailing industries of foreign
countries such as India and United States. Besides, they seldom specify the type of retailing
industry they investigated. When local retailers apply the results of those studies,
sometimes it might be inaccurate and inappropriate to adopt into each particular type of
retailing industry in Philippines. Therefore, the researchers would like to study in depth on
this area based on Philippines’ clothing retail industry.
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Table 1. Definitions of impulse buying over time
Author
Year
Clover
1950
Definition
A act of unplanned buying without
any consideration
Stern
1962
Sudden urge to buy
Rook, Rook and Fisher
1987 & 1995
A sudden urge to buy something is
backed up by an unplanned act of
buying
Hoch and Loewenstein
1991
If the person is not passionate, there
Kacen and Lee
2002
will be inconsistent buying
A subjective bias leads to the
possession of something
Zhou and Wong
2003
A sudden desire to buy something is
triggered within the consumer. This
sudden desire becomes persistent
and the consumer immediately buys
it
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Vohs and Faber
2007
A
buying
choice,
which
is
influenced by emotions, makes a
sudden urge
Xiao and Nicholson
2013
An external stimulus leads to the
feeling of regret or happiness by
Table 1. Continued…
making an unplanned and sudden
act of buying
Source: Abbas and Bashir (2015:468)
Stern (1962) sorted impulse buying behavior into four distinctive categories: Pure
impulse buying is the most easily distinguish kind of impulse buying. This is truly
impulsive buying; novelty or escape purchase that breaks the normal buying pattern
pertaining to consumer buying process or there is no decision prior to shopping. Reminder
impulse buying occurs when shopper sees an item or recalls an advertisement or other
information and remembers that the stock at home is low or exhausted. Suggestion impulse
buying happens when a shopper sees a product for the first time and visualizes a need for
it and will make a purchase even without previous knowledge or prior experience with the
product. Planned impulse buying may seem anomalous but it is accurate. It takes place
when a shopper makes specific purchase decisions on the basis of price specials, discounts
offers, and the like.
Process of Impulse Buying
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The impulse buying process starts with product awareness. Impulse buyers begin
browsing without having an intention to purchase a certain item or visiting a certain store.
As consumers browse, they are exposed to the stimuli, which triggers customers’ urge to
buy on impulse. When impulse buyers feel the desire to buy, they make a purchase decision
without searching for information or evaluating alternatives. Then, consumers may
experience positive or negative consequences by the post-purchase evaluation after the
purchase on impulse. In this process, consumers are influenced by internal
(mood/need/desire, hedonic pleasure, cognitive/affective evaluation) and external factors
(visual merchandising, window display, in-store form display, floor merchandising,
promotional signage) that trigger their impulse purchase behavior. These factors provide
information regarding new products, fashion trends or coordination tips. (Kim, 2003)
Internal Factors/Cues:
Mood/Need/Desire
Hedonic Pleasure
Cognitive/Affective
Evaluation
External Factors/Cues:
Visual Merchandising
Window Display
In-store Form Display
Floor Merchandising
Promotional Signage
Impulse Purchasing Process
Browsing
(Product
Awareness)
Create
Desire
Purchase
Decision
Postpurchase
Evaluation
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Figure 2. A model of Impulse Purchasing Process (Kim, 2003 as adapted from Churchill
& Peter, 1998
(Muruganantham & Bhakat, 2013) proposed a model which explained the impact
of four main factors on impulse buying behavior. These factors include external factors,
internal factors, situational factors, demographics and socio cultural factors. External
factors can be defined as store related factors used by retailers to stimulate the impulse
behavior whereas internal factors represent the emotions, mood, shopping enjoyment and
feelings of customers. Situational factors include availability of time, money and presence
of close friends or relatives whose advices are most likely to influence on impulse buying.
Age, gender and culture can be attributed to demographic factors influencing impulse
buying behavior of consumers.
External factors, such as store characteristics (store layout, window display, sales
promotions and store atmosphere) have been one of the crucial points for discussion for
many years among the many researchers: Tinnie, 2010; Zhuang, 2006, Yarahmadi, 2011;
Mohan 2013 who investigated the process of consumer impulse buying. The importance
of store characteristics is always under the consideration of retailers since retailers use these
characteristics as marketing tools to influence on consumer buying (Nishanov and
Ahunjonov, 2016).
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People in different genders tend to have different shopping behavioral responses
and women are prone to impulse buying more than men do (Priyanka & Rooble, 2012).
(Ghani et al., 2011) found the reverse effect where men shop more impulsively than
women. Researchers observed the high commonality and frequency of the impulse buying
behavior from consumers aging from 18 to 39, and become descending thereafter.
Socio-demographic factor
Consumers needs and wants change with age. Companies’ use age segmentation,
offering different products or using different marketing approaches for different age groups
(Kotler and Armstrong, 2010). Accordingly this study had three age categories, 10-19, 2029, and 30 and above.
Man and woman behave differently, they want different products and they are likely
to have different ways of liking and obtaining these. Gender has an important role in
consumer behaviors. Because the differences between men and women about expectation,
want, need, lifestyle, etc. reflects to their consumption behaviors (Swarma, 2012). For
instance, studies have revealed that gender, education, income and age differentiate the
consumers’ information search process (Lee, 2005).
The impulse buying is perceived as having greater chance for the consumers who
can afford it. Income has the strongest impact on impulse buying behavior. The consumers
with higher income level are less sensitive compared to consumers with lower income.
(Asinya, Ekeng, & Lifu 2012).
Store Atmosphere
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Retailers are known to design store environments in a manner that will enhance
consumers’ positive feelings, under the assumption that this will lead to desired consumer
behaviors, such as a higher willingness to purchase or stay in the store for longer. The
importance of store environment in enhancing the shopping experiences of consumers has
long been appreciated. One of the important things that companies need to develop is to
create a strong positive atmosphere to sustained competitive advantage. Birtwisle and
Shearer (2009), has stated that research about the store atmosphere has allowed retailers to
create a positioning strategies, develop a store image and enabled them to differentiate their
stores in terms of the products and services they offer.
According to Levy and Weitz (2009), store atmosphere is referred as the attribute
that aims to intensify the store environment with the combination of different cues such as
lighting, color, background music, layout, space, design and scent. The store atmosphere
seems able to affect customer feeling and experiences. Customers perceived that they
would be more likely to come a store that have more in-store displays together with high
graphics dimension and user friendly meaning (Mitchell & Oppewal, 2009).
In addition, Kotler (1974) was the first one that used the “atmosphere” term
described it as the design of store environment that can stimulate buyers’ emotions and
ultimately affect their purchase behavior. The atmosphere of a particular set of
surroundings is describable in sensory terms. The main sensory channels for atmosphere
are sight, sound, scent, and touch. Specifically, the main visual dimension of an atmosphere
are color, brightness, size, and shape. The main aural dimensions of an atmosphere are
volume and pitch. The main olfactory dimensions of an atmosphere are scent and freshness.
The main tactile dimensions of an atmosphere are softness, smoothness, and temperature.
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Store Ambiance
The store atmosphere or also known as a store ambience plays a very vital role in
enhancing the customer’s shopping experience. People are more likely to be in good
atmosphere, which in retail called as the store ambience. The store ambience is an
environment that is created by visual communications, lighting, music, colors etc., to
generate a stimulus among the customer’s perceptions and emotions that will affect their
purchasing behavior. The store atmosphere is about having a look and an environment that
suits the target market and invites consumer for purchase.
Customers in the past tend to focus only on the product attributes, features and their
functions, but now due to invent of information technology, more exposure and high
educational level, the customers not only want to purchase the products and services but
they want also to experience the whole purchasing process which includes entertainment
part also and this is what the retail stores are pursuing nowadays. Retailers of this century
are not providing products and services to the customers but they are offering a whole
shopping experience to the customers.
Store Ambience is all about the looks and the feeling of a place that evokes a unique
atmosphere or mood of customers and makes it sticky in which compels people to come
and stay around.
Store Ambiance relates to non-visual elements of a store’s environment like
lighting, smell or scent, temperature, noise, and music (Tlapana, 2009). These factors have
also been found to influence people’s behavior. The store ambience is designed to make
shopping easy and also to give a comfortable feeling. It enhances the shopping experience
by assisting the shoppers what they want from an assortment of products in the store. To
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create a favorable mindset of the consumer towards the store image and store position it is
important to have an ambience that has the potential to make the shopping pleasurable by
forgetting the bitterness of heavy prices to be paid for expensive products in the stores.
With the growing trend of modernization, architects are designing stimulating
storefronts and interiors that create an impression of distinctiveness. It helps satisfying the
customers and to create a warm welcoming feeling which will certainly enhance a
customer’s mood and improve the chances of turning a single sale into a long term
relationship. It is incredible to make a sale but it is so much more profitable to keep the
customer satisfied thus making developing customer loyalty. Store ambience also assists
in enhancing the brand value of the various products. It helps to increase consumer footfalls
and provokes them for repeated purchases. It is possible to attract the customers using the
right mix of elements of store ambience.
A good ambience is also required to facilitate the browsing process for products,
which need to be touched and felt before being chosen like clothes. Store ambience acts as
a promotion tool used to communicate the store’s image. An attractive store ambience is
just like an icing with cherries on the cake. A striking store ambience draws the attention
of the customer and enables him to take purchase decision within shortest possible time,
and thus enhancing the selling process. The shoppers which comprise mostly of the youth
desire a comfortable store, so that they can stay for longer on each visit. Shoppers would
tend to buy at a leisurely pace in such stores. The store ambience is responsible to create a
difference between a forgetful transaction and a memorable retail experience.
Store Layout
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Products in the retail chain outlets should be displayed in such a way that attracts
the consumers. Customers tend to purchase more unplanned purchases if customers are
exposed to more aisles due to a layout that encourages customers to walk more aisles which
exposes them to many products (Inman, Winer, & Ferraro, 2009). The display can be
defined as grouping of products, shelf Space, and allocation of floor space, department
allocation and wall decorations. Layout is defined as division of selling area, space utilized
and arrangement of products (Banat & Wandebori, 2012).
A store layout is the design in which a store’s interior is set up. Store layouts are
well thought out to provide the best exposure possible. They are designed to create an
attractive image for consumers.
A store’s layout displays the overall image of the store and creates the perception
that customers have about the store’s environment. The image of the store not only attracts
customers, but it also causes them to purchase goods while shopping there. Store layout
needs to guide the customer silently about where he or she wants to go and for exposing
him or her to entire store offering. It should entice the customers to move around the store
to purchase more merchandise than they may have originally planned.
The simplest type of store layout is a free flow layout, in which fixtures and
merchandise are grouped into free flowing pattern on the sales floor. Customers
encouraged to flow freely through all the fixtures.
Store design should attract customers, enable them to locate merchandise, keep
them in the store for as long time, motivate them to make unplanned impulse purchase and
provide them with a satisfied customer experience. Design is consistent and reinforced the
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retailer’s strategy by meeting the needs of the target market and building a competitive
advantage.
People designing the layout of a store try to utilize the space they have in the most
efficient manner. This includes the ability to display as many goods as possible, avoid
shrinkage and stimulate customers to make purchases. This also includes allocating enough
space for storage purposes.
Store Lighting
Lighting in a retail store is a factor that a consumer doesn’t realize. However, this
makes an impact on their purchase intentions within stores due to its subtle presence
(Schielke 2015). Lighting is used in a store to highlight the particular products and features
that companies want consumers’ attention to be drawn to (Custers 2010, Schielke 2015).
Also, lighting is used to attract customers to enter their stores rather than their competitors
(Erasmus 2013).
Store lighting helps the products to be highlighted that is placed overhead to shine
the product in order to draw a consumer attention. This allows retail stores to be able to
showcase their products by highlighting them in a way that would make customers think
well than that of a similar product offered by competitor’s store (Erasmus 2013, Schielke
2015). Retail outlets use this feature to draw attention to the customers that gives an
advantage that would increase consumer satisfaction and purchase intention (Hasan 2015,
Sachdeva 2015).
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According to Vaccaro (2008), proper use of light is another method to attract
customer attention on specific products, capture certain experience and also hide any retail
weakness and error. Occasionally, hiding some parts of store to ensure those the dark areas
are a strategy to maintain good store image. In fact, store lighting can influence the
consumers’ perception, emotion, coziness and experience of store image (Banat, 2012).
Besides, lighting also can give impact on consumer’s cognition, value and at last the
purchase decision making.
Lighting in a store does not only focus on the light itself, natural lighting from the
glass windows also plays its own role in a store. In automotive industry, most of the retailer
chose to have more natural lighting by having a large glass windows setting in their store.
People increasingly prefer naturalness as possible, which can be reflected in important
aspects like quality (Zumtobel, 2012).
Store Music
The main components of music that can influence buying behaviour in retail
environment are tempo, volume and genre or style. Tempo is defined as the pace or speed
of at which a section of music is played. Volume is the degree of loudness or intensity of
a sound. Genre is an expressive style of music and classification system that places
different instructional materials into neat categories. Similar to colour, lighting, layout and
furnishing, music is a part of the ambiance of a store. Music is part of the ambiance that is
created by the store, entertains and refreshes the shoppers in many ways. Music is a
pleasant sound that impacts consumers’ conscious and unconscious decisions (Banat &
Wandebori, 2012). Music played in retail outlet significantly impacts consumer purchase
intention. Music styles and tempos deeply influence consumers in increasing sales of the
26
retail outlets. In another research, Oakes and North (2008) confirmed the positive
significant results of music and targeted result, as well as its significance as a component
of the service landscape to elicit the desired response from customers.
Store Scent
All human senses, the sense of smell has the greatest impact on emotions because
the nose is directly connected with the olfactory lobe which is part of the limbic system
considered as the seat of emotions. Ambient scent had the potential to influence consumer’s
perception of the entire store and products (Parsons, 2009).
Scent unconsciously influences the lives of persons. A scent goes beyond thinking,
and bypasses our natural judgment of something. Scent influences the unconsciousness it
has shown that the usage of scent increased store sales. The use of scent is also argued to
have an effect and impact on our sense of time; that is, scented areas enhance the feeling
of timelessness. Another positive effect is that the image with the scent is recollected
accurately. When consumers are exposed to an ambient scent in a store environment in
which they did not expect that scent, they develop skepticism toward the retailer’s motives.
Skepticism- inducing environment, consumers feel less pleasure and develop negative
attitude towards the retailer.
Presence or absence of scent in the retail chain outlets has noticeable impact on the
consumer purchase intention. Scent is a pleasant fragrance that influences customer mood
and emotions which make the customers stay more time and feel excited (Banat &
Wandebori, 2012). Selection of one scent should be preferred over multiple scents.
Shoppers spend more money at the outlets with single scent compared to those consumers
who are exposed to multiple fragrances (Haberland, 2010).
27
Smell is the only sense we can’t turn off as every time we take a breath that is
around 20,000 times per day we are subject to detect a smell. It is well documented that
multitudinous smells that surround us daily can be identified by our extraordinary olfactory
system. Indeed, in order to detect among approximately 100,000 diverse odors including
primary odors which have the potential to influence mood and behavior (Lindstrom, 2010).
Store Layout / Design
Design factor is one of the elements of store environment that is more visual in
nature than the ambient factors. Design factors have the largest number of different
components of all elements in store environment.
A store layout is the design in which a store’s interior is set up. Store layouts are
well thought out to provide the best exposure possible. They are designed to create an
attractive image for consumers.
A store’s layout displays the overall image of the store and creates the perception
that customers have about the store’s environment. The image of the store not only attracts
customers, but it also causes them to purchase goods while shopping there. Store layout
needs to guide the customer silently about where he or she wants to go and for exposing
him or her to entire store offering. It should entice the customers to move around the store
to purchase more merchandise than they may have originally planned.
Store design should attract customers, enable them to locate merchandise, keep
them in the store for as long time, motivate them to make unplanned impulse purchase and
28
provide them with a satisfied customer experience. Design is consistent and reinforced the
retailer’s strategy by meeting the needs of the target market and building a competitive
advantage.
People designing the layout of a store try to utilize the space they have in the most
efficient manner. This includes the ability to display as many goods as possible, avoid
shrinkage and stimulate customers to make purchases. This also includes allocating enough
space for storage purposes.
METHODOLOGY
This chapter present the research design, source of data, participants of the study,
sampling techniques, data to be gathered, and statistical treatment of data that will be used
in this study.
Research Design
The researchers will utilize the descriptive design since it will provide an accurate
portrayal of the respondents’ characteristics and behavior of a particular individual and
situation. The study will also involve the collation of data necessary in making description
of the different factors under investigation. Accordingly, it will also identify, describe, and
summarize the influence of socio-demographic profile and ambiance indicator and the
impulse buying behavior of the respondents when purchasing in a supermarket setting.
This study will also utilize correlation approach since it will assess the influence of
the independent variables to the dependent variable. Moreover, it will also determine which
29
particular socio-demographic profile and ambiance indicator greatly influence impulse
buying behavior of consumers in the selected cities in Cavite.
Source of Data
Primary and secondary data will be used in this study. Primary data will be gathered
from the responses of the participants which will be obtained using a survey questionnaire.
In addition secondary data will be gathered in different journals, books, undergraduate
theses and other online resources. The information will use to support the development of
the study.
Participants of the Study
The participants of the study are the shoppers in selected supermarkets in Cavite.
The researchers used Godden’s formula and acquired the total sample size for the study
which is 385 participants.
Sampling Technique
Convenience sampling technique will be used when the proponent is already at the
locale of the study. Those individuals who happen to be at the time and place of the data
gathering will be given the research instrument and became part of the sample. The
proponent approach the individuals who are available at the period of data gathering until
the sample reaches the desire size.
The proponents utilized Godden’s formula to identify the total sample size for the
study. The sample size formula for infinite population (more than 50,000) is used to arrive
at a representative number of respondents when population estimate is unknown (Godden,
2004).
30
𝑧 2 × 𝑝 (1 − 𝑝)
n=
𝑀2
n=
1. 962 × 0.5 (1-0.5)
(Eq. 1)
0.052
n=
384.16 or 385
Where:
n = Sample size for infinite population
Z = Z value (1.96 for 95% confidence level)
p = population proportion (expressed as decimal 0.5, assumed to be 50%)
M = Margin of error at 5% (0.05)
Quota sampling technique is used for the selection of actual number of participants
per area. Since the total sample size is equally distributed to have a specific sample size for
each supermarket. (Table 2)
Table 2. Distribution of participants in mall in the selected cities of Cavite.
Supermarket
Cities of Cavite
Sample Size
WalterMart
Trece Martires City
77
Robinsons’ Supermarket
General Trias City
77
SM Supermarket
Dasmariñas City
77
Savemore Market
Tagaytay City
77
PureGold Price Club, Inc.
Trece Martires City
77
Total
Data to be gathered
385
31
During data gathering, a brief introduction will be done to explain the objectives of
the study as well as the content of the questionnaire. Distribution of research instrument
will be immediately follow. The participants will be given enough time to accomplish the
survey questionnaire. They will also be assured about the anonymity and confidentiality of
their responses.
Modified survey questionnaire will be used as research instrument to determine
the influence of store ambiance on consumers’ impulse buying behavior in selected cities
of Cavite. Furthermore, the instrument used to measure the impulse buying of the
customers was from the study conducted by Stern (1962). Then, the instrument used to
measure the store ambiance is from article in Journal of Retailing of Philip Kotler (1974).
This consist of three parts: (a) socio-demographic profile; (b) influence of store
ambiance conditions on consumers’ impulse buying; (c) Impulse buying behavior.
Socio-demographic profile. This section ask questions about participants’ age,
sex, civil status and monthly income.
Influence of store ambiance conditions on consumers’ buying behavior. The
second part will be devoted to determine what would be the influence of store ambiance
condition based on importance to the consumers’ buying behavior. This will be divided
into four dimension: Visual, Aural, Olfactory, and Tactile. Every dimension have statement
that will be answer using Likert scale ranging from 1 (strongly disagree) to 5 (strongly
agree).
Table 3. Parameter on influence of store ambiance conditions on consumers’ buying
behavior.
MEAN SCORE
RESPONSE
ADJECTIVAL
DESCRIPTION
32
3.66 - 5.00
Very important
The influence of store ambiance
condition based on importance to the
respondents is consistently above
acceptable level.
2.33 - 3.65
Important
The influence of store ambiance
condition based on importance to the
respondents is consistently meets
acceptable level.
1.00 - 2.32
Less Important
The influence of store ambiance
condition based on importance in the
respondents is occasionally below
acceptable level.

Visual dimension of an atmosphere are color, brightness, size, shape of the store

Aural dimension of an atmosphere are volume and pitch of the store

Olfactory dimension of an atmosphere are scent and freshness of the store

Tactile dimension of an atmosphere are softness, smoothness and temperature
of the store.
Impulse buying behavior. This third part dealt with the impulse buying behavior
of the participants. This will be divided into four dimension: Pure [Items 1-3] Reminder
[Items 4-6], Suggestion [Items 7-9], and Planned [Items 10-12]. Every dimension have
statements that will be answer using Likert scale ranging from 1 (strongly disagree) to 5
(strongly agree).
33
Table 4. Parameter on level of impulse buying behavior of the respondents.
MEAN SCORE
LEVEL OF
IMPULSE
ADJECTIVAL
DESCRIPTION
High
This corresponds to impulse buying
3.66 – 5.00
always experience by the respondents.
2.33 – 3.65
Medium
This corresponds to impulse buying
sometimes experience by the respondents.
1.00 – 2.32
Low
This corresponds to impulse buying
infrequently
experience
by
the
respondents.

Pure impulse buying occurs when you buy in store even if there is no decision
prior to shopping.

Reminder impulse buying occurs when you see a product and remembering that
you need it.

Suggestion impulse buying occurs when you see a product for the first time and
visualizes a need for it.

Planned impulse buying occurs when you take advantage of a promotional offer
on the basis of price specials, discounts offers, and the like.
Statistical Treatment of Data
To analyze the result of the study on the influence of store ambiance on consumers’
impulse buying behavior in selected cities of Cavite. The following statistical tools will be
used to ensure a valid interpretation.
34
Frequency Count. It will be used in tabulation of how many times a variable
occurs within a calculation.
Formula for Frequency Count:
1
𝑁
𝑇
𝑡
f= =
(Eq. 2)
Where:
f= frequency, the cycles in a unit of time
T= period, the time required for one cycle
N= a number of cycles
t= an amount of time
Percentage. It will be used to define how large or small one quantity is, relative to
another quantity.
Formula for Percentage:
𝑃=
𝑓
𝑛
X 100%
(Eq. 3)
Where:
P= percentage
F= frequency
n= total population of the respondents
Frequency count and percentage will be used to determine the socio-demographic
profile and the impulse buying behavior of the participants.
Mean. This will be used in this study to analyze the output from survey
questionnaire.
35
Formula for Mean:
𝒙̅ =
∑𝒙
(Eq. 4)
𝒏
Where:
𝑥̅ = observation or mean score
∑ 𝑥 = summation of x
n = number of respondents
Standard Deviation. This will be used in this study to identify homogeneity and
heterogeneity of the responses in the Likert items.
Formula for Standard Deviation:
𝑺=√
∑(𝒙−𝒙̅ ) 2
𝒏−𝟏
(Eq. 5)
Where:
𝑥̅ = Mean
𝒙 = each of the values of the data
n = number of observations
Multiple Regression Analysis. It will be used to assess the store ambiance
indicator that have great influence to impulse buying behavior.
Formula for Multiple Regression Analysis:
Y= a + b1X1 + b2X2 + b3X3
Where:
(Eq. 6)
36
Y = Dependent variable
b1 = Slope (Beta coefficient) for X1
X1 = First independent variable that is explaining the variance in Y
B2 = Slope (Beta coefficient) for X2
X2 = First independent variable that is explaining the variance in Y
b3 = Slope (Beta coefficient) for X3
X3 = First independent variable that is explaining the variance in Y
Spearman Rank. It will be used in this study to test out the ordinal and ratio data
interval data in the study and to ascertain the significant relationship between two variables.
Formula for Spearman Rank:
𝒓𝒔 = 𝟏 −
𝟔∑𝑫 2
𝒏(𝒏 2 −1)
(Eq. 7)
Where:
∑ 𝑫 2 = sum of the squares of the difference between rank x and y
n = number of observations
Chi-Square Test. It will be used in this study for testing relationships between
categorical variables.
Formula for Chi-Square Test:
(Observed Value-Expected Value)
2
𝑥 =Σ
Expected Value
(Eq. 8)
37
Chi-Square Test and weighted mean will be used to determine if socio-demographic
profile of the respondents and ambiance indicator have a significant relationship to the
impulse buying behavior of the participants.
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41
Republic of the Philippines
CAVITE STATE UNIVERSITY (CvSU)
Don Severino De Las Alas Campus
Indang, Cavite
College of Economics, Management and Development Studies
Department of Management
Greetings!
We Mary Grace A. Alba, May Ann C. Capatoy, Glenn R. Sangangbayan, fourth year students,
taking up Bachelor of Science in Business Management major in Marketing Management, are
presently conducting a study entitled “INFLUENCE OF STORE AMBIANCE ON
CONSUMERS IMPULSE BUYING BEHAVIOR IN SELECTED CITIES OF CAVITE”. In
line with this, we would like to humbly request for a few minutes of your time to answer the survey
questionnaires below. Rest assured that your responses will be kept confidential and be used for
academic purpose only. Thank you for your consideration!
Instructions. Kindly answer each question by filling in the blanks of checking appropriate answer
as the case may be.
Part I. Socio-demographic characteristics of the participants
Name: (Optional)
Sex
Civil Status
⎕ Male
⎕ Female
Single
Married
Age:
Monthly Net Income (Ex: ₱ 10, 000): __________
42
Part II. Identify the influence of store ambiance conditions using following dimension. Please
check on how you respond to the given statement. With 5-Strongly agree, 4-Agree, 3-Neutral,
2-Disagree, and 1-Strongly disagree.
VISUAL DIMENSION
1
2
3
4
5
1
2
3
4
5
The outlet color creates a positive image in my mind.
The interior color of supermarket makes a positive
perception in my mind.
Lighting in supermarket is fine.
The lighting in the supermarket is pleasing to the eyes, and
makes me to stay more.
Good color of lighting attracts me towards products.
The clean shelf of supermarket motivates me to stay more.
The cleanliness of supermarket attracts me to visit again.
Appealing interior arrangement of supermarket comforts
my shopping experience.
AURAL DIMENSION
Listening to music creates a relaxed atmosphere while
shopping.
Music in supermarket motivates me to buy more.
Pleasant environment created by music makes me spend
more time in supermarket.
I feel relaxed when the background music is comfortable.
The sufficient volume of the background music increases
my well-being and comfort.
I am delighted in the joyful shopping environment.
43
If I like music in the store, chances of unplanned buying
become greater.
OLFACTORY DIMENSION
1
2
3
4
5
1
2
3
4
5
Scent in supermarket encourages me to purchase more.
Fragrance of the supermarket makes me to stay more time
and look at the merchandise.
I feel comfortable when the background scent is pleasant.
I intend to go back to the supermarket in future if the scent
is pleasant.
The scent coming from the supermarket entices me to go
inside.
TACTILE DIMENSION
The quality of the air conditioning supermarket made my
presence in the store comfortable.
Fully air conditioned environment makes me comfortable
while shopping.
Supermarket with no air conditioning discourage me
towards shopping.
44
Part III. Please check on how you respond to the given statement. With 5-Strongly agree, 4Agree, 3-Neutral, 2-Disagree, and 1-Strongly disagree.
1
2
3
1. I immediately buy when I see attractive and unusual
product.
2.
I make a purchase that’s very different from my
typical purchasing pattern.
3. Friendly and skilled staff often talks me into buying a
product I didn’t plan to buy.
4.
I buy a product when I recall an advertisement about
it.
5. Product popularity is frequently reminds me to buy
impulsively.
6. I often buy a product when I remember that the stock
in home is low or exhausted.
7. I buy a product when I see it for the first time and
visualized a need for it.
8. I make a purchase even without previous knowledge
or prior experience with the product
9. Point-of-sale events (demonstration, degustation, etc.)
can induce my unplanned purchase.
10. I feel urged to buy items that are on promotions
(e.g. price specials, coupons, etc.)
11. Seeing promotional offers triggers me to buy.
12. I often triggered by low price or an offer.
Signature
4
5