KOREASCHOLAR

With advances in digital technology, retailers are utilizing digital signage which would be a visual factor of atmospherics in a retail environment. Based on stimulus-organism-response (S-O-R) model, this study was to examine a moderating effect of digital signage in relationship between atmospherics and store patronage. To collect data, a self-administered questionnaire was developed based on literatures, and mainly contained usage experience of digital signage, atmospherics (20 items), and store patronage (6 items). All items were measured on 7 point rating scale. Two sampling frames for this study were involved: experienced sample from retail stores with digital signage vs. unexperienced sample from retail stores without digital signage. Each sample was separately asked to complete the same questions regarding experience with digital signage, store atmospherics and store patronage. A total 497 usable responses (n=278 for experienced digital signage; n=219 for unexperienced digital signage) were obtained from consumers who were aged from 20 to 49 years old. For experienced sample, digital signage has been used various types: for example, location-based digital screen for store and shopping information (52.5%) was the most experienced, and followed by LED screen (28.8%) and others (e.g., Digital Look-Book, Virtual-Try-on, Interactive Screen, and Self-checking kiosk) in the fashion retail environments. Of total respondents, females (50.7%) were slightly more than were males (49.3%). For data analysis, descriptive statistics, factor analysis, t-test, hierarchy regression analysis were used by using PASW18. Preliminarily, factor analysis revealed that atmospherics consisted of three elements, such as store layout, visual aesthetics and interior display. The factor loadings were ranged from .60 to .80 and three factors were accounted for 70.42% of total variance. Compared with store without digital signage, the mean score of atmospherics (e.g., store layout, visual aesthetics, and interior display) was more highly rated in the retail stores with digital signage. In a hierarchical multiple regression model, two factors of store layout and interior display had a significant effect on store patronage in the first step (F=69.23, p<.001, Adjusted R2=.29). The store layout (β=.33, p<.001) and interior display (β=.17, p<.01) were likely to increase consumers’ store patronage. Also, interaction effect of digital signage and atmospherics was significant in the second step (R2 Change=.014, F Change=3.386, df1=3, df2=487, p<.05). Digital signage had moderating effect only in the relationship between interior display and store patronage (β=.65, p<.05). The findings suggest that digital signage plays an important role as a stimulus in improving atmospherics at the retail environments. Particularly, the digital signage would be effective in a good interior display including POP signs, product display, racks and cases, furniture, which can lead to store patronage. This study provides a managerial implication into retailers for improving atmospherics by utilizing retail technology inside a store. Especially for fashion retailers, it is required to combine digital technology service with in-store visual merchandising for a retail environment.

• Eun Young Kim(Chungbuk National University, Republic of Korea)
• Eun Joo Park(Dong-A University, Republic of Korea)