The quality of customer service has been one of the most representative determinants of retailers’ sustainable competitiveness. Since Parasuraman et al. (1988) introduced the service quality instrument, called SERVQUAL, many studies have used SERVQUAL to measure service quality in various domains. However, since SERVQUAL was originally developed to measure general service quality, it didn’t fully consider the underlying characteristics of a specific industry such as retailing. Recently, as retail industry is becoming more competitive, there is a general agreement that the most important retailing strategy for creating competitive advantage is the delivery of high service quality. From the retail manager’s perspective, the level of service quality is highly correlated with the level of customer loyalty and the customer’s favorable word-of-mouth behavior. In this sense, most retail managers would be very interested in the question of how to increase their customer loyalty rate and, therefore, to elaborate this question in more detail, service quality study in a retail setting would be very important. Current measures of service quality, including SERVQUAL, do not adequately capture customers’ perceptions of service quality for retail stores such as department stores or general discount stores. The main objective of this study is to investigate the usefulness and applicability of the different methods, including SERVQUAL, in measuring the service quality of retail environment and their relationships to customer loyalty and word-of-mouth behavior. By exploring the suitability of each different measurement method for retail service quality, this study enhances the understanding of the major dimensions of retail service quality and the analysis of the effect of service quality on customer loyalty and word-of-mouth behavior.

Multi-channel shopping, along with the arrival of smartphones, is the most significant change that has taken place in retail lately. Mobile shopping behaviors are considerably different from the shopping behaviors of other existing channels such as offline, TV, and the Internet. However, initially, Korean retail companies had trouble coping with this market change owing to a lack of understanding of mobile shopping behaviors. Therefore, they espoused big data analytics, expecting to obtain customer insights on not only mobile shopping behaviors but also multi-channel shopping behaviors. This case study discusses a trial made by a leading Korean multi-channel retail company to implement big data analytics in its marketing. The company was confronted with two issues, which prompted it to embrace big data marketing. First, the company recognized that it is extremely important to understand customer behavior across the entire shopping process and accordingly conduct the targeted marketing. Second, the company seeked to encourage the customers who used only a single channel to use diverse channels for sales as well as retention. The company thus tried to develop its rules for triggered marketing by analyzing the behavioral characteristics of multi-channel customers. For this, behavioral data for three years, covering about 10 million customers, were gathered and analyzed. Lastly, the company came up with detectable customer metrics that were expected to forecast the sales. In addition, customer segments were derived from data clustering based on customers’ shopping pattern, and marketing strategies were developed accordingly. Furthermore, the big data analytics revealed the importance of returning customers, and recommended modification to the royalty program and promotion of specific product categories. This case study proved the merits and demerits of big data analytics. On one hand, it helps in understanding the market trends of complex environments such as multichannel retail, and the significance of developing marketing strategies accordingly and reaping immediate benefits. On the other hand, it analyzes only the data of a given condition; therefore, it is hard to forecast the results if the condition, such as product-related offers, changes considerably. Big data marketing seems to work more effectively when it is used in combination with other qualitative research. This case study shows the status of big data marketing in a Korean multi-channel retail company and highlights its potentials as well as limits in this industry. change that has taken place in retail lately. Mobile shopping behaviors are considerably different from the shopping behaviors of other existing channels such as offline, TV, and the Internet. However, initially, Korean retail companies had trouble coping with this market change owing to a lack of understanding of mobile shopping behaviors. Therefore, they espoused big data analytics, expecting to obtain customer insights on not only mobile shopping behaviors but also multi-channel shopping behaviors. This case study discusses a trial made by a leading Korean multi-channel retail company to implement big data analytics in its marketing.

Creating their brand images based on rich consumer experiences is becoming significant for retailers to differentiate themselves from competitors (Ailawadi and Keller 2004). Among multiple retailer attributes that have been argued by existing studies that influence overall image of the retailer, several researchers pointed out that personal encounters, such as those between employees and customers, may be more influential in communicating brand meaning than marketing-driven, mass-targeted messages (Cialdini 1993, Keller 2003, Sirianni et al. 2013) and referred to service employees as the “living brand” (Bendapudi and Bendapudi 2005).

As well as all other branches of trade, so retail trade itself undergoes various changes and trends with regard to the development of information and communication technologies which affect not only traders themselves but also their customers. It is the retail store environment itself which is one of the decisive aspects of purchase because more than 70% of consumer decisions take place directly at the point of sale. It is the last place which can reverse the purchasing decision. A final customers´ decision is influenced not only by price, quality but also by in-store communication and visual aspects of each store. That is the reason for continuous gathering of feedback on the effectiveness and efficiency of these means of communication in real environment. Besides traditional research techniques there are situations which require the involvement of relatively new research methods. Thanks to the innovative interdisciplinary approach with the use of neuromarketing, it is possible to create effective marketing strategies and thus stimulate the customer attention and emotions. By these emotions, it is possible to achieve better motivation toward purchase and an increase in the number of sales and subsequent raise in income. The paper deals with a complex, interdisciplinary examination of the in-store communication impact on customer visual attention, emotions and related spatial behaviour of customers in grocery stores. Research integrates measurements of mobile eye camera (Eye tracker), mobile electroencephalograph (EEG), face reading technology (FA) and internal position system in real conditions of retail store. The purpose of this research is to recognise the attention, emotional response and spatial customer preferences by means of selected in-store communication tools. At the end of the paper we explain how the neuromarketing methods can be used for better understanding of consumer behaviour at the point of sale.

Luxury watch manufacturers open boutiques around the globe. A branded boutique is a promise to customers and much of the responsibility of keeping it weighs on frontline employees. However, not much is known about the “moments of truth” in monobrand boutiques. This study explores the “front reality” of sales staff and besides a theoretical and a managerial contribution provides a critical reflection of the methodological approach.

Retail therapy occurs when consumers shop to improve negative feelings rather than merely acquire a needed product (Kang & Johnson, 2011). Retailers in all channels enable consumers to have positive emotional responses by providing them with positive experiences. Pine and Gilmore (1999) identified four types of experiences sought by consumers: entertainment, education, escapism, and esthetics (i.e., 4Es). It is not known which, if any, of the 4Es motivate offline and online retail therapy shopping trips. Retail therapy shoppers may seek different benefits in open, online stores (where they have a great deal of freedom) versus closed, brick-and-mortar stores (where they are limited by time and space) (Bhate & Hannam, 2014). When retail therapy shoppers have experiences they desire, they should experience positive emotional reactions (i.e., pleasure, arousal) (Donovan & Rossiter, 1982). Furthermore, consumers who experience positive emotional reactions tend to display impulse buying behavior (Chang, Eckman, & Yan, 2011). Engaging in impulse buying while retail therapy shopping may encourage compulsive buying behavior (Kang & Johnson, 2011), the most severe form of which is shopping addiction (Edwards, 1993). Based on this collection of previous research, the following hypotheses were developed: H1: Among retail therapy shoppers, the amount of a) entertainment b) education, c) escapism, and d) esthetics sought will be significantly different between 1) offline stores and 2) online stores. H2: Retail therapy behavior will be positively related to level of a) pleasure and b) arousal experienced while shopping. H3a: Level of pleasure experienced while shopping will be positively related to impulse buying behavior. H3b. Level of arousal experienced while shopping will be positively related to impulse buying behavior. H4: Among retail therapy shoppers, impulse buying behavior will be positively related to shopping addiction behavior.Method Using Amazon’s MTurk, 409 consumers (62.6% female; 72.0% Caucasian; 36.5% 30-39 years old) were recruited for an online survey. Participants were first asked to indicate if they had experience shopping for clothing to improve their mood. Clothing was selected as the focus of the study because it is a gender-neutral product frequently purchased during retail therapy (Atalay & Meloy, 2011). Only participants who had engaged in retail therapy behavior were asked to complete the rest of the questionnaire. The next five sections of the questionnaire contained multi-item, 7-point, Likert-type scales previously used to assess the variables in the study. Demographic information was also collected. Results To test H1, a series of t-tests was conducted to compare the benefits sought by retail therapy shoppers in open and closed settings. The means for each of the 4 Es were significantly greater for the closed setting of the store than the open setting of the website. Therefore, H1 was supported. Two regression models were created to test H2a and b. The coefficients for retail therapy were positively and significantly related to pleasure (β = .87; t = 35.70; p < 0.000) and arousal (β = .85; t = 32.52; p < 0.00). Thus, H2a and b were both supported. To examine H3a and b, another regression model was created. The coefficients for pleasure (β = .25; t = 4.51; p < 0.00) and arousal (β = .64; t = 11.69; p < 0.00) were positive and significant. Thus, H3a and H3b were both supported. Lastly, to test H4, a final regression model was created. The coefficient for impulse buying behavior (β = .93; t = 51.49; p < 0.00) was positive and significant, supporting H4. Discussion The results of the present study shed light on retail therapy shopping behavior. Consumers do seek the 4Es when therapeutically shopping for clothing, and they seek the 4Es to a greater degree in closed, offline environments. Perhaps the need to delay gratification in offline stores raises expectations of experiences that can be received immediately in online stores. Participants experienced pleasure and arousal when engaging in retail therapy behavior, thereby supporting researchers (Kang & Johnson, 2011) who conceptualized retail therapy behavior as mood-alleviative consumption behavior. The positive emotions experienced while clothing shopping were related to retail therapy shoppers’ impulse buying behavior, which was positively related to shopping addiction. The success experienced by individuals who engage in shopping behavior to improve their mood seems to encourage future shopping trips to enhance positive emotions. Thus, a troubling pattern of overconsumption may develop if retail therapy shoppers do not find additional methods for mood-alleviation.

The concept of retail therapy which refers to “the phenomenon in which consumers buy things to make themselves feel better” (Kacen, 1998) has been used by the U.S. retail firms in marketing (Kang & Johnson, 2010). Previous studies found that retail therapy concept was associated to consumption behaviors including compulsive buying (Faber & O’Guinn, 1992; O’Guinn & Faber, 1989). Frost et al. (1998) found that compulsive hoarders show compulsive buying tendencies. O’Guinn and Faber (1989) found that compulsive buyers are more likely to confirm compulsivity as a personality trait with a low self-esteem. Lack of research into association of retail therapy to compulsive consumer behaviors motivated us to pursue this study which investigate relationships among retail therapy, compulsive buying and compulsive hoarding, and to examine the moderating effect of consumers’ personality traits on the relationship between retail therapy and compulsive hoarding. Our research questions are: (1) How retail therapy is related to compulsive buying and compulsive hoarding? and (2) Which personality traits moderate the relationship between retail therapy and compulsive hoarding? Based on the literature review, the following hypotheses were proposed. H1: Retail therapy is positively related to compulsive buying; H2: Compulsive buying is positively related to compulsive hoarding; H3: Retail therapy is positively related to compulsive hoarding & H4: Personality trait moderates the relationship between retail therapy and compulsive hoarding. The researchers used 12 items to measure retail therapy (Kang, 2009), 6 items to measure compulsive buying (Faber & O’Guinn, 1992), 9 items to measure compulsive hoarding (Frost, Sketekee, & Grisham, 2004) 8 items of Big Five Inventory (Rammstedt & John, 2007) and 15 item Narcissistic Personality Inventory (NPI) (Ames, Rose & Anderson, 2006) to measure personality trait based on 7‑point Likert scales (1 = strongly disagree, 7 = strongly agree). The online survey was conducted with college students enrolled at a major Midwestern University. A total of 354 undergraduate and graduate students’ responses were used to analyze data. A principal component factor analysis with varimax rotation was conducted to evaluate the measurement of each construct. The factor loadings were above of 0.60, indicating acceptable convergent validity. Reliabilities with Cronbach’s alphas for retail therapy,compulsive buying, compulsive hoarding and personality trait construct were 0.96, 0.81, 0.90 and 0.81 respectively, exceeding the suggested level of 0.70. Simple linear regression was performed to test hypotheses. The results revealed that F statistic (F(1, 352)=126.53, p =.000) was significant and regression coefficient was statistically significant. Therefore, H1 was supported and consistent with previous findings (Faber & O’Guinn, 1992). The regression coefficient for the path from compulsive buying to compulsive hoarding was statistically significant (F(1, 352)=77.15, p=.000). Therefore, H2 was supported and consistent with Frost et al. (1998)’s study. The retail therapy contributed significantly to the prediction of compulsive hoarding with the statistically significant regression results (F(1, 352)=20.28, p=.000), supporting H3. From the principle component analysis with varimax rotation, four factors were extracted from 23 personality trait measurement items which are labeled as “authority-leadership narcissism”, “self-esteem narcissism”, “positive disposition”, and “negative disposition”. All factor loadings were above 0.60 for their respective factors. Then, the researchers divided one single group into four personality trait groups, using these four factors. 4%, 27.1%, 53.7% & 15.3% participants represented “authority-leadership narcissism”, “self-esteem narcissism”, “positive disposition” & “negative disposition” group respectively. Simple regression analysis was performed to test H4. The regression coefficients for positive disposition group (F(1, 188)=13.19, p=.000) and negative disposition group (F(1, 52)=5.01, p≤.05) were statistically significant. H4 was partially supported. The results indicated that people from two groups characterized by positive/negative personality tend to engage in compulsive hoarding to alleviate their negative feelings or mood. Anyone with narcissistic personality with a high self-efficacy may not be engaged in compulsive hoarding even when a therapeutic treatment is made through shopping. They tend to purchase products for changing their moods, but their therapeutic behavior doesn’t lead to compulsive hoarding, which causes sufferings in the end. The low self-esteem has been presented with people being engaged in compulsive behaviors (Marlatt et al., 1988). These findings can help apparel marketers develop the strategies to upgrade their sellingenvironment entertaining so that their customers’ moods are repaired and customers feel satisfied through therapeutic shopping behavior. This study has a limitation that prevents us from generalizing the results to the young consumer population due to sample size to college students.

The information technology has affected many aspects of retail world as in other areas of human life. This makes understanding consumers’ acceptance and usage of such technological innovations a critical task for both retail businesses and scholars alike. The technology acceptance model (TAM; Davis 1989) is one of the most widely adopted theoretical frameworks for explaining and predicting consumers’ acceptance of technology. Implementing the meta-analysis method, this study aimed at testing the validity of TAM for understanding consumers’ attitudes and behaviors toward the various technologies adopted in fashion retail stores and online commerce sites. Specifically, the effect sizes of two TAM antecedents of perceived usefulness (PU) and ease of use (PEOU) were estimated and compared. Moderating factors that affect the effect sizes of PU and PEOU on attitudes and behaviors were also explored. A meta-analytical SEM methodology was expected to deliver more thorough and valid test of the model than single sample studies, because accumulation of multiple samples through meta-analysis would bolster the test's statistical power (Hom et al., 1992). A sample of studies on consumers’ acceptance of retail technology in fashion retail context that adopted the TAM model were collected through a systematic search through the databases such as EBSCO, Google Scholars, and Dissertation Abstracts. Efforts were made to include unpublished studies to avoid publication bias. A total of 31 published and unpublished research reports that allowed the calculation of effect sizes of the key paths in the model were included in the final analysis. The effect sizes were calculated out of the identified samples, and the homogeneities of the effect sizes were tested using comprehensive meta-analysis software. The types of technology, product type (apparel vs. general merchandise), subject characteristics (gender; country; student vs. general), and study setting (actual experience vs. simulated situation) were considered as moderators to explain for the variances in correlations among variables. Finally, a meta-SEM model was tested on the aggregated data using AMOS.

This paper aims to investigate the alignment between fashion companies’ CSR policy, as communicated through company website, and CSR retail practices customers can actually observe or get information about when visiting company’s retail stores. The case study analysis is carried out using the Mystery Shopping technique. The sample is made up of companies belonging to the top of the fashion luxury pyramid, whilst the visited stores are located in Italy. The purpose of this paper is to provide a classification of companies’ behaviours in deploying CRS policy at the retail level, and to highlight different levels of fit between companies’ CSR policy and CSR practices communicated at the retail-store level. Our results reveal that several companies show a mismatch between their CSR policy and CRS practices communicated in stores to customers.

The paper examines the impact of international expansion of retail operations on the choice of performing internally or outsourcing some strategic activities in order to cope with the demands of retail outlets in domestic and foreign markets, providing a case analysis of Italian luxury fashion companies.

Over the past decades, researchers devoted considerable attention to the impact of store environments on shopping behavior (e.g. Baker et al., 2002; Kotler, 1973; Turley & Milliman, 2000). More recent, practitioners and academics alike have argued that a greater challenge for brands is the creation and enhancement of compelling shopping experiences along, and beyond, the entire path-to-purchase (Interbrand, 2014; Shankar et al., 2011). In a luxury brand context, where the shopping experience is a significant motivator for purchases (Yoon, 2013), the interaction of multiple retail environments greatly affect consumer behavior towards the brands. Accordingly, brand experiences is created at both ends of the marketing supply chain, by brand manufacturers and retailers. Yet, although research has developed fruitful areas for new perspectives on the relationships between manufacturers and retailers (Ganesan et al., 2009), the vast majority of existing research predominantly focuses on consumer response to brand experiences with respect to manufacturer cues (Dolbec & Chebat, 2013; Tynan et al., 2010), store cues (Baker et al., 2002), or retail settings (Möller & Herm, 2013). The evolving business world needs to implement more comprehensive and holistic approaches (Choi et al., 2014), where integrated strategies must emerge. The objective of this study is to present an explanation of luxury brand experiences across manufacturer and retailer’s settings. By overviewing the literature on the interaction between brand management, store atmospherics, and consumer behavior, and applying qualitative methods, the authors provide relevant insights for academics and practitioners toward a more comprehensive understanding of the luxury brand experience. Customer experience and luxury brands In the field of contemporary marketing, customer experience has been defined as a construct which “encompasses the total experience and may involve multiple retail channels” (Verhoef et al., 2009, p. 32). It includes the search, purchase, consumption, and after-sale phases of the experience. In a holistic brand perspective, this definition enlightens the key role of luxury brands in delivering the same brand promise and brand message across each connection between the consumer and the brand. Among the characteristics of luxury brands, consumers are willing to pursue luxury products as these products provide psychological benefits rather than functional benefits (Kapferer, 1997). Further, luxury brands are associated with status, wealth, exclusion, and pride (McFerran et al., 2014). As result, strong experiences with luxury brands derive when consumers develop deep emotional bonds with brands (Grisaffe & Nguyen, 2011). From a marketing perspective, consumers that develop deep emotional relationships with a brand have a lot of positive and strong associations (Yoo et al., 2000), such as the perception of the brand uniqueness and inimitability, and loyalty to the brand. However, when it comes to analyze the brand experience, research confers a conceptually different meaning from other brand constructs. According to Brakus et al. (2009), brand experience has distinct dimensions from evaluative, affective, and associative brand constructs, such as brand attachment, brand attitudes, customer delight, and brand personality. The concept of brand experience encompasses multiple dimensions, which refer to the sensorial, affective, intellectual, and behavioral sphere (Zarantonello & Schmitt, 2009). More specifically, the intrinsic concept of luxury brands as hedonic products with high symbolic value, holistically incorporate manufactures and retailers in fulfilling these various dimensions of brand experience. By assuring consistency across the manufacturer and retailer’s settings of the luxury brand, customer experiences evoke the exclusivity of the brand and transfer the authenticity of the brand message. From a consumer’s perspective, consumers reach brand authenticity when they perceive both the internal consistency, which focuses on maintaining the luxury brand standard and style, honoring its heritage, preserving its essence, and avoiding its exploitation, and the external consistency, which pertains to appearances and claims of the brand (Choi et al., 2014). Similarly, consumers tend to perceive the exclusivity of the luxury brand when they encounter consistent experiences across multiple brand touch points. Accordingly, in the experiential view, the principle of consistency and contiguity proposes that sensations, imagery, feelings, pleasures, and other symbolic or hedonic components are paired together to create mutually evocative consumer response (Holbrook & Hirschmann, 1982). The integration between the marketing and consumer’s perspectives suggests that luxury brands create and maintain powerful customer experiences when there is consistency across the manufacturer and retailer’s environments. However, in the landscape of luxury brand management, the conceptualization of customer experience requires the understanding of how consumers respond to luxury brand messages. This investigation is particularly important when examining brand experiences emerged in the manufacturer versus retailer physical environment. Existing literature on brand experiences, retail atmospherics, and luxury brands cannot fill the gap we address. Prior studies aiming to investigate the brand experience have analyzed the phenomenon of this construct from a theoretical perspective (Verhoef et al., 2009), case study analysis (Payne et al., 2009), or focused only on the direct relationship between manufacturer and consumer (e.g. Dolbec et al., 2013; Kim, 2009). For example, Dolbec et al. (2013) have studied in-store brand experiences on consumer response to flaghship vs. brand stores, and highlighted how their study suffers from not considering the continuity between current, previous and future experiences. Regarding the impact of store atmospherics and retailer’s settings on customer experiences (e.g. Baker et al. 2002; Bloch, 1995), research has found that specific combinations of atmospherics elements influences consumers’ perceptions about merchandise, service quality, and the overall store image. More recently, Möller & Herm (2013) showed how retail settings may shape consumers interpretation and evaluation of the brand, and in-store bodily experiences transfer a metaphoric message to customers’ perceptions of the brand. However, the authors empirically tested a mono-brand fashion retail store, and stressed the importance of examining the interaction between brand and store personalities in transferring meaning “from the product to the retailer and the other way around” (Möller & Herm, 2013, p. 8). The retail landscape has dramatically changed the dynamics of consumer-brand interactions in the physical encounter. The main challenge of these interactions concerns the effective integration of multichannel brand experiences into an exciting, emotionally engaging, and coherent brand experience. However, in-depth studies on consumer perceptions to these multi-environment experiences have not yet emerged. In this paper, we aim to fill that gap. By addressing the attention to the customer’s sphere, we specifically investigate how consumers perceive luxury brands in relation to brand experiences across various retail settings. Method and studies Owing to the lack of relevant research, this study applies a direct qualitative and exploratory approach to develop deep insights of consumers response to luxury brand experiences in different retail settings (Creswell, 2012). Two sequential studies investigate consumer cues of brand experiences across various environments. Study 1 provides the identification of luxury brand elements that are pivotal in the creation of exciting shopping experiences. In study 1, respondents named a luxury brand which they had frequently experienced in the last year, and to which they felt being in a deep relationship across multiple retail touch points of the brand. Respondents were asked about what elements of the brand they were more engaged to. The authors imposed no constraints on the elicitation. Following the categorization of luxury brands (Jackson, 2004) which comprehends fashion, perfumes and cosmetics, wines and spirits, and watches and luxury, respondents chose whatever brand they wanted. One of the authors provided the instructions to respondents. This study includes in the first sample a variety of 35 consumers from various age (20 to 65 years old consumers), as well as various education levels. The interviews were recorded, transcribed, and evaluated with content analysis, following quality criteria of Kassarjian (1977). The luxury brand elements emerged from Study 1 were used in Study 2 as thematic basis for investigating how these elements provide exciting experiences across multiple retail setting of the luxury brand. The same interviewer of Study 1 undertook in-depth interviews with eight of the above respondents, two from each consumer profile identified in line with the hedonic profiles of Arnold & Reynolds (2003). Each interview discussion lasted between 30 and 45 minutes, was audio-recorded and transcribed verbatim. The text was analyzed by the authors following the generalized sequence of steps of data reduction and transformation, data display and conclusion drawing/verification (Miles & Huberman, 1994). The code development followed thematic analysis (Boyatzis, 1998), and coding was multivariate within subjects. With multiple ideas per respondent, we extracted a large list of properties. We sorted thematic elements into logically related clusters and assigned representative headers. The authors now describe results regarding respondents’ perceptions of luxury brand experiences in multiple retail environments. Results and discussion Consumers identified a wide range of experience factors that they seek in luxury brands, and highlighted how the brand and retail environment fulfill these expectations. They considered the brand evocation to exclusivity and authenticity as the primary reason for purchasing luxury brands. One of the respondents stated: “I buy brand X because it is a nice and deeply authentic brand to have. When I use the brand X I feel I am wearing something very exclusive. And I feel exclusive”. Regarding experiencing luxury brands in the stores, respondents stressed the importance of “finding the same brand appealing in the monobrand store as well across retailers’ stores”, and added that when they did not perceive this coherence of message they often switched to other brands in the purchasing stage. Another determinant element of holistic experiences concerns the products presentation of the brand in various settings, which has to be very similar and related across the brand touch points. Respondents explained to feel confused when they visit one store and encounter “colorful display with a charming presentation of the brand Y in the store of retailer 1”, while finding in store of retailer 2 “black and white displays and an awful presentation for the brand Y”. Concerning the specific impact of the retailer’s environment on luxury experiences, we identified that the overall store setting of the retailer influences the luxury brand even when consumers do not experience the brand in the specific. For example, one respondent highlighted that “If I have to buy brand Z, I never go to retailer 3. I know that brand Z does not feel luxury at all in retailer 3 because of its very old fashioned store”. This study shows how consumers respond to luxury brand strategies across manufacturer and retailer’s brand setting. By providing deep insights on their relationship with luxury brands, consumers contributed to understand key elements for living consistent luxury brand experiences. They stresses the pivotal role of a coherent brand exclusivity. This is an evident implication to motivate consumers in purchasing the luxury brands. Retailers can also make important considerations from our study. They must create more appealing and overall exciting store images. By enhancing luxury experiences in the store, retailers can leverage opportunities of stronger connection with consumers. Simultaneously, brand manufacturers can build upon retailers enhanced in-store experience to magnify the holistic luxury brand experience. Finally, this study is one of the first explorations concerning the cross-effect of brand experiences and store atmospherics. In an empirical context, the authors investigate the conceptualization of consumer experiences in a multichannel view, and provide relevant contributions to analyze the brand and the environment as interdependent elements. Further research may test empirically our findings on the interaction between luxury brands and multi-retail experiences.

Customer emotion evoked during shopping is closely linked to customers’ central attitude toward the brand. Few studies, however, have examined what type of customer emotion is triggered at what stage of shopping by what factors, particularly in the luxury fashion retail context. This study intends to fill this gap in the research. To differentiate between customer emotions displayed before and after entering a luxury shop, we first identified what emotions are displayed at each stage and what factors triggered such emotions. We then examined the impact of customer emotions at each stage on customer responses, such as evaluations of service quality and brand attitude. Further, we attempted to identify patterns in the change in the type of customer emotions between before and after entering a luxury shop (i.e., from positive to negative or from negative to positive) and examined their effect on brand attitude. We collected 298 valid responses through a self-administered survey among luxury shop visitors in a major duty free complex in Seoul, Korea. The results show that customers display diverse emotions prior to entering a luxury shop. When customers were divided into four emotion groups (positive emotions only, mixed emotions, negative emotions only, no emotion), the positive emotion only group was the largest. As for specific emotions, happiness, contentment, and feeling comfortable were the three most experienced emotions. Negative emotions such as fear or shame were rarely experienced. Brand familiarity affected the type of emotion customers felt. While customers with high brand familiarity tended to feel privileged and comfortable, those with low brand familiarity tended to feel fear and shame. The emotions customers felt also differed by the shopping motive. When the motive was browsing only, customers tended to feel shame. When purchasing was a part of the motive, they tended to feel comfortable. Customer emotions displayed after entering a luxury shop were also diverse. The positive emotion only group was the largest, but it was not as large in the case of emotions felt prior to entering the shop. The effect of the retail service quality (RSQ) dimensions on in-store emotions varied depending on the specific emotion. The RSQ dimensions of "reliability" and "physical aspect" influenced the greatest number of in-store customer emotions. The moderating effect of brand familiarity was significant. The number of emotions affected significantly by RSQ dimensions was higher with the group with low familiarity. The moderating effect of the shopping motive was also significant. The RSQ dimensions that influenced emotion differed by the shopping motive. In terms of the effect of in-store emotions on brand attitude, it differed by the specific emotion. A significant effect was only present in three positive emotions (happiness, pride, privileged) and one negative emotion (anger). This implies that not all in-store emotions are equally influential on customer attitude. As for the effect of emotion change pattern on brand attitude, due to a large difference in the sample size of the emotion change pattern group (positive to positive (PP), positive to negative (NP), negative to positive (NP), negative to negative (NN)), we could not conduct a meaningful statistical analysis but could only observe some directions and tendencies. The brand attitude of the NP group tended to be higher than that of the PP group. This study contributes academically by extending the research on customer emotion, particularly in the luxury fashion retail context, in three ways. Firstly, we differentiated customer emotion before and after entering a shop. Secondly, we identified the triggers for specific emotions. Thirdly, we attempted to identify and examine the patterns of changes in customer emotion between before and after entering a shop and the impact of this pattern on customer responses. Managerially, this study contributes in two ways. Firstly, we demonstrated the importance of managing customer emotion at various stages of shopping at a specific emotional level. Secondly, we showed what factors should be managed for a particular customer emotion. Our research could be further extended in several ways. Customer experience research has shown that other customers present in the service setting can influence customer emotion; hence, in a luxury retail store, the degree of customers’ sense of compatibility with other customers may affect customer emotion and therefore should be explored. Another factor for future consideration is gender. Extant research in a luxury setting shows that the characteristics of luxury consumption tend to vary by gender. Considering that males’ luxury consumption is increasing, the difference in customer emotions based on gender might be worth investigating.

Today’s consumers experience the brands within numerous in-store and out-of-store contexts, and tend to focus on their holistic experience with the brands across various retail scenarios. Companies, especially in the luxury industry where multiple retail settings contribute to the formation of the brand image, invest considerable funds to create entertaining, exciting, and emotionally engaging experiences. However, researchers have not yet examined how traditional luxury brand factors interplay with experiential factors across multiple retail settings of the brand. In marketing literature, researchers have devoted considerable attention to the effect of store environments on consumer behavior (e.g. Baker et al., 2002; Donovan & Rossitier, 1982; Kotler, 1973). At the same time, academic research has also been conscious of the central role of brand image in the consumer-buying process (e.g. Keller, 1993; Kwon & Lennon, 2009). More recently, these two streams are coming together. Practitioners and academics have argued that creating compelling shopping experiences across multiple environments, and along, and beyond, the entire path-to-purchase is a key challenge for maintaining a certain brand image (Interbrand, 2014; Verhoef et al., 2009). In a luxury brand context, whereas brand managers design most of the strategic implementations of the brand, retailers can increasingly craft value to the brand via the creation of multisensory retail experiences (Spence et al., 2014). Luxury brands, such as Chanel, are continuously growing their retail presence, and identifying ways to cultivate the tradition of the brand and create distinctive and unique brand experiences. However, the academic perspective of investigating luxury brand images in contemporary business contexts has been underdeveloped (Berthon et al., 2009; Miller & Mills, 2012). While this call for more comprehensive and holistic approaches to luxury brand experiences has been raised (Atwal & Williams, 2009), current research predominantly focuses on single aspects of the luxury brand experience, such as in-store multisensory factors (Möller & Herm, 2013), brand owner cues (Tynan et al., 2010), in-store environment cues (Baker et al., 2002), or luxury brand specific factors (Beverland, 2005). The evolving business world needs to implement more holistic and contemporary approaches. By employing the approach of three dimensions store atmospherics (Baker et al., 2002) to luxury brand experiences, this study investigates how consumers integrate traditional brand factors with new factors of consumption. The objective of this article is to understand how various retail settings affect emotional states, which, in turn, affect behavior toward luxury brands. This study addresses the relationship of luxury brand experiences in tight and less controlled retail scenarios, and the ways in which luxury experiences trigger effective successful brand experiences. Utilizing two qualitative studies, the authors consider the interaction between luxury brand experiences and store atmospherics. The paper concludes with relevant implications for academics and practitioners to enable new perspectives on luxury brand strategies, and consumer response to the luxury brand image in the challenging retail landscape.

The paper analyses the effect of Country Related Product Image (CRPI), as Country of Origin construct, and Country Product Familiarity (CPF) on retailers’ Intention to Buy (INTB). Despite the relevance and richness of the country-of-origin (COO) research, this body of literature is mainly based on investigating purchasing behaviours of consumers rather than professional buyers. Therefore, the effect that this construct exerts on retail buyers requires further understanding. Moreover, the study contributes to the literature by testing the impact of CRPI, and its multidimensional nature, jointly with CPF. A cross product analysis is considered to verify whether these effects on retailers’ INTB change in relation to specific product categories. The research hypotheses are tested by conducting a survey on a sample of 257 Chinese retail buyers and considering two different Italian product categories: shoes, that is a traditional fashion sensitive product, and ceramic tiles, that is a less fashion-based product whose technical attributes are more prominent for buyers’ evaluations. Results show that 1) the CRPI is a multidimensional construct that influences the intention of Chinese retail buyers to buy Italian products; 2) when CPF is considered, the impact of CRPI dimensions on intention to buy decreases; 3) the joint effect of CRPI dimensions and CPF on retailers’ INTB varies according to the product considered. Theoretical and managerial implications are derived.

Introduction This article analyzes retail store openings of luxury fashion brands in international markets. Our aim is to point out the relevance of this market entry strategy as well as to highlight the main destination markets and different trends over the 2004-2013 period. More precisely, this article analyzes the role of the retail direct channel as a means to manage relationships with consumers in international markets. The choice to develop retail operations in international markets is considered in this article as one of the key strategies implemented by luxury manufacturing companies. However, it seems to have received minor attention in the academic literature dealing with internationalization (Guercini and Runfola, 2014). Consequently, the main aim of this article is to propose empirical evidence to support the widespread use of this strategy by luxury firms, proposing the analysis of an original database built on the retail store operations of a sample of Italian fashion luxury companies over the period 2004-2013. The retail marketing strategy is a peculiar strategy within the luxury marketing strategies. As stated by Kapferer and Bastien (2012), in fact, through retail store openings (and distribution in general), luxury companies may implement and take advantage from what has been defined by the authors the “watchword of luxury brand management” (p. 233) namely “experience”. In fact, the literature in the field of luxury retailing has pointed out the role of the point of sale from a consumer point of view to experience the value of a company. The discussion on the consumer perspective is increasing in the literature as testified by various contributions aimed at analyzing and discussing how and what kind of experiences could be transferred by the opening of retail stores and in what terms the luxury retail strategy differs from other retail marketing strategies (Dion and Arnould, 2011). The opening of retail stores from luxury companies has been considered within the stream of research on the internationalization of the company. It has been pointed out that companies with luxury positioning can differentiate their offering with respect to mass market retailers and open retail stores even in culturally distant markets (Hutchinson et al. 2009). These openings, however, are considered more as ways of promoting the brand, rather than a structural international retail development (Moore et al., 2010). In fact, it has been noticed that luxury griffes open retail stores quite exclusively in primary locations (Hutchinson et al. 2009) and that most of the internationalization literature on retail stores openings by luxury firms is referred to the opening of flagship stores (Moore et al., 2010), a specific retail store format that from its nature, is mostly related to brand promotion than to an effective and stable retail development. In fact, retailing as international market entry strategy implies significant investment both in economic and cognitive terms (Mattila el al., 2002; Guercini and Runfola, 2010). The study of retail stores opening as an entry strategy in international markets remains an understudied field of study in the academic literature, as evidenced for example by Ilonen et al. (2011) in their study on the importance of branded retail in manufacturers' international strategy. Moreover, the authors point out that among other things, this remains a topic of interest but not yet analyzed in the case of the fashion industry. Following this reasoning, our article aims to answer to the subsequent research questions: RQ1 - What is the evolution over time of the distribution investments of luxury fashion manufacturing companies? RQ2 - Is there a difference between emerging markets and advanced markets for luxury retail store openings? RQ3 - What is the role of metropolitan areas and how does this evolve over time? Methodology and discussion We investigate these research questions in the case of Italian luxury manufacturing companies. In order to study the expansion of Italian luxury companies, we have exploited the information contained in the database that we have created expressly for the purposes of this research. The database has been compiled by examining any news contained in two specialized and highly recognized national fashion-sector publications - Fashion and Pambianco Week - regarding the opening of retail outlets in foreign countries by Italian luxury firms in the decade 2004-2013. For the purpose of this research we have considered as luxury brands those brands that are members of Altagamma, a association whose members are Italian companies that operate at the highest end of the market, and those brands that are recognized globally and by academics and empirical press as luxury brands, although not being members of Altagamma. The above process has identified 594 sales points opened by 39 Italian brands in 62 countries over the period 2004-2013. The top 10 brands for number of store openings over this period are the followings: Prada (64), Salvatore Ferragamo (59), Miu Miu (51), Ermenegildo Zegna (31), Valentino (29), Armani (26), Versace (26), Gianfranco Ferrè (25), Brioni (22), Etro (22). Hereafter we try to describe some preliminary findings regarding the three research questions advanced previously. RQ1 – What is the evolution over time of the distribution investments of luxury fashion manufacturing companies? Our analysis seems to show an evolution in this growth strategy over the period 2004-2013. In fact, if during the period 2004-2008 our analysis shows the opening of 261 single-brand outlets by the enterprises of our sample, during the period 2009-2013 the number of operations became 333 stores. This seems to highlight how, even in a period of international crisis, the retail strategy for luxury companies remained fundamental for growing abroad. The year 2008 is the year with the maximum number of stores opened by our companies (95 stores, roughly 16% of the total 594 stores opened), while the year 2004 is the one with the minimum number of stores opened, only 35 stores (roughly 6%). Moreover, each year from 2009-2011 accounts for over 70 stores. RQ2- Is there a difference between emerging markets and advanced markets for luxury retail store openings? In order to distinguish between “mature”, developed countries and “emerging” ones, we considered the first 24 countries that joined firstly the OCSE as “mature”, while all the remaining countries have been considered “emerging”. Our analysis reveals during the period analyzed a growing incidence by emerging markets compared to mature markets, given that emerging markets account for 60.9% of the openings. Moreover, in each year analyzed emerging markets overcome advanced markets for number of stores opened. However, traditional mature markets for Italian luxury (such as USA or Japan) as well as new emerging markets (such as China and Russia) are within the top destinations all over the period. If we consider only the first three markets for number of retail operations we may note some differences between the two sub-periods. In fact, during the period 2004-2008 the first three markets listed for decreasing number of operations were the USA (45 retail stores opened, 17,2% of the total number of stores), China (29 stores, 11,1% of the total) and India (19 stores, 7,3% of the total). During the period 2009-2013, China increased the number of operations, becoming the leading market with 74 stores, representing 22,2% over the total, followed by the USA (46 stores, 13,2% of the total) and United Arab Emirates (15 stores, 4,5%). The rising of China in the second period, is associated with an increasing importance of other emerging markets such as Brazil and South Korea, that in the previous period were not within the top international destinations. We should however stress that other mature markets, such as France and Japan still have key roles for Italian luxury companies. RQ3 – What is the role of metropolitan areas and how does this evolve over time? Our analysis shows that the major cities world-wide are present in our database. In total the companies in our sample have opened stores in 163 cities. Over the period 2004-2013 the top 10 cities listed for decreasing number of stores are the following: Shanghai (30), Hong Kong (28), New York (25), Moscow (24), Tokyo (22), Paris (21), Dubai (20), London (20), Los Angeles (20), Beijing (20). However, as evidenced by the data, while in the period 2004-2008, the total number of cities targeted by the companies were 83, in the following period 2009-2013 the number cities targeted became 127. This data seems to highlight how, over time, the presence of luxury firms is not only concentrated in the top cities around the world neither only in luxury streets, but affects a larger number of cities and locations. Take for example the case of the new rising Chinese cities of the II, III and IV tiers. To conclude, our research points out how retail strategy implemented by luxury manufacturing companies is one of the driving strategy for relating the company with consumers in international markets. This strategy seems to represent a relevant and widespread used strategy to enter in foreign market and to develop the brand further. Some considerations are due on the limitations inherent in the present study, which can also furnish some useful indications as to future work. The empirical evidence reported here is based on secondary research in market publications. Aside from collecting further, more up-to-date information, future research should be addressed to performing a number of enterprise case studies in order to acquire a better understanding of the phenomena at play through contacts with luxury enterprise managers with whom to share the main aspects involved in establishing sales networks in foreign countries. Moreover, the considerations advanced are based on empirical evidence drawn solely from study of the Italian luxury fashion industry. In this sense, future research should aim to check if any differences exist in retail store openings between the Italian fashion system and the luxury fashion industries of other economically mature nations (e.g., France, the UK, Japan or the USA). Although, our empirical analysis has some limitations, it seems to confirm that the retail market strategy is a key strategy to relate with consumers in international markets and to let them “experience” the brand. For manufacturing companies in the luxury field this strategy should not be considered only in terms of promotion, as typically associated with the opening of flagship stores abroad. Rather, it represents an effective retail strategy with important implications from a managerial point of view. Considering this latter point, future research should be directed towards the study of the different strategic behaviors aiming at pointing out different strategic groups within our companies, for example in terms of company size or destination markets. In general terms, future research should be directed towards the study of the link between retail stores openings and customer experience in international markets. This issue has a particular relevance in the case of the Italian fashion industry, where understanding the retail strategy of luxury companies may contribute to recognize potential bandwagon effects of other companies in this sector, such as small and medium sized companies with other positioning.

Over the last five years the notion of ‘third space’ or ‘place’ has started to become referred to within a retail context (Nobbs & Manlow 2014). Third space is defined by Mikunda (2004: 11) as “somewhere which is not work or home but a comfortable space to browse, relax and meet people, even enjoy a meal”. In the fashion sector there is an increasing trend for retail and culture/leisure activities to be housed in the same space as means of drawing customers into the store and tempting them to stay for longer. However there is a lack of both empirical and conceptual research on this emergent concept (Oldenberg1999). The aim of this study is to investigate the notion of third space in practice from both a brand and consumer perspective with respect to identifying the motives and methods for its adoption. Experiences form an integral part of third space as they activate psychological experience mechanisms (Mikunda 2006). This study will consider the motivations for stakeholders to invest in third space environments using the chosen case study fashion brand Urban Outfitters. This retailer has a history of creating unconventional store formats which blend music, lifestyle and fashion products under one roof. In 2008 they created a development called Space fifteen twenty in Los Angeles which was a curated mix of ownbrand and lifestyle brands and featured food, art, vintage and programme of events aimed at the hipster community. In 2014 they opened a store called Space 98 in Williamsburg in Brooklyn which used the same formula, a carefully selected space with an art gallery, revolving pop up stores and a bar and restaurant (WGSN 2014). The research methodology utilises a qualitative approach in the form of store observations, in-depth interviews with store and head office staff, the architect and also snapshot exit interviews with patrons of the store. The results are audio recorded and analysed using thematic content analysis. The outcome of this exploratory technique will provide a 360 degree perspective of the concept in action. The results of the study will be useful for academics and retail marketing practitioners interested in the impact of store formats on consumer behaviour and brand identity.

Successful use of displays in stores arouses consumers' curiosity, and induces them to purchase a product after a visit. Facade is a word meaning an external front wall of a building, and is usually the first point of visual contact for the consumers. The present study is an empirical investigation of external appearance of a clothing store, with a 2×2×2 factorial design of facade, show window, and wall surface material designed for the purpose of the study. Dependent variables were store image variables and attitude toward store. A total of 320 questionnaires from male and female consumers were used for the analysis. Facade type and material had significant main and interaction effects, while show window type had no meaningful effects overall. A facade of irregular design prompted significantly higher levels of perceived ‘elegance’, ‘uniqueness’, and ‘attractiveness’ of the store. Material itself did not have significant influence but did have significant interaction effect with facade design. The interaction effect was found in store attitude as well. In order to create a positive store attitude, a concrete material facade should have an irregular design. Companies owning fashion brands should carefully select facade type and wall surface material in the visual merchandising strategies of a store.

This study assessed the effect of color marketing in the RTD coffee industry in Korea. In order to investigate the effect of color marketing, this study measured the characteristics of color marketing as well as brand image and attitude in accordance with behavioral intention to purchase. Data were collected using questionnaires, and a total of 310 questionnaires were distributed with 298 entered for data analysis. Frequency analysis, factor analysis, correlation, and multiple regression analysis were tested using SPSS. A total of seven factors were extracted, including brand attitude, purchase intention, association, identification, brand awareness, symbolism, and attention. Significances were found between brand awareness and identification (p<0.001) and attention (p<0.001). In the relationship between characteristics of colors and brand attitude, significances were found in identification (p<0.001), attention (p<0.001), and association (p<0.001). Further, brand attitude and brand awareness had a significant positive effect on purchasing intention of RTD coffee. Results of this study suggested that color marketing is a good marketing tool to persuade potential consumers to purchase RTD coffee based on brand attitude and brand awareness.