Establishment Preference of Common Households in Buying Goods
INTRODUCTION
The business environment is highly competitive and rapidly evolving, so if a firm wants to
succeed, it has to do a constant observation of consumer preference, since consumers are the kings
in the business world (Anojan and Subaskaran, 2015). Commonly, households use different
products and consume a variety of foods that they purchase from grocery stores. According to a
consumer poll by AlixPartners (2011), 70% of consumers make a grocery store trip at least once a
week and they expect more than they have in the past. If the grocery store does not offer quality
and value, combined with a pleasant shopping experience, then they will begin searching for a new
grocery store to shop with. Moreover, Prospect theory works on how individuals choose between
probabilistic alternatives. This theory was formulated in 1979 and further developed in 1992 by
Amos Tversky and Daniel Kahneman, deeming it more psychologically accurate of how decisions
are made (Heukelom, 2015)
The overall satisfaction with a store does not significantly influence customers' loyalty to
that store and shoppers' intention to remain loyal according to International Letters of Social and
Humanistic Sciences Vol. 60 103. Their "primary store" is influenced by factors like frequentbuyer reward schemes, travel distance, preference for an in-store delicatessen, size of the average
grocery bill, store signage, and the level of sale assistance (Miranda et al., 2005). However, given
that grocery shopping patterns vary with culture, grocery shoppers are required to be investigated
separately to determine which grocery store attributes contribute to store patronage (Shanon and
Mandhachitara, 2005). In spite of early observations, the most important driver for the choice
between store formats remained unclear. Hence, additional studies of factors that are relevant for
grocery store preferences of customers are needed.
The topic of consumer behavior is one of the massively studied topics of researchers and
marketers in the past until now. One of the different reasons why consumer behavior has been the
topic of many academics and researchers is that understanding consumer behavior has become a
factor that has a direct impact on the overall performance of the businesses (Kotler and Keller,
2016). However, researchers only emphasize consumer behavior, purchase parameters, and
satisfaction. Grocery stores need to improve their focus on developing distinctive shopping
experiences and providing outstanding service.
This study would like to determine the preference of common households in buying their
goods among supermarkets, public markets, and variety stores.
Specifically, this study aims to answer the following questions:
1. What is the level of preference in terms of establishment do common household prefer when
buying their goods among supermarkets, public markets, and variety stores?
2. What is the level of preference in buying goods based on the following factors:
a. Environment
b. Service
c. Product
d. Price
3. Is there a significant difference in the level of preference in terms of establishment do common
household prefer when buying their goods among supermarkets, public markets, and variety
stores?
4. Is there a significant difference in the level of preference in buying goods based on the
following factors:
a. Environment
b. Service
c. Product
d. Price
METHODOLOGY
This paper will utilize quantitative research approach that seeks to accumulate and analyze
quantifiable data. The participants of this study will be randomly selected out of the 259
households in a particular Barangay in Bacolod City. The respondents will be randomly picked
using the Convenience sampling also known as Haphazard Sampling.
The researchers will use descriptive-survey research design, for the primary purpose of this
study is to determine the preference of common household of their main store in buying their
goods. This research method focuses on statistical and numerical analysis that will be gathering
through a survey questionnaire. The researchers will utilize a researcher-made survey instrument,
then it will undergo validity test (Content Validity Ratio) with the use of SPSS software.
For data analysis, the following statistical tools will be used:
To answer research questions 1 and 2, the researchers will use Mean and Standard
Deviation to determine the level of preference in buying groceries by common households.
To answer research question 3 and 4, the researchers will use Analysis of Variance
(ANOVA) to determine if there a significant difference in the level of preference in buying
groceries between the different factors such as environment, service, and product as well as in
terms of establishment namely market, supermarket and variety store. The researchers will also
use the Post Hoc Test to identify the establishment and specific factors that vary.
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According
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https://www.businesswire.com/news/home/20110808005549/en/Price-is-Important-ButShoppers-Want-More-Than-Low-Prices-From-Grocers-According-to-AlixPartnersSurvey