Reading 5: Research Dimensions on Point of Purchase – Consumer Behaviour and Branding: Concepts, Readings and Cases – The Indian Context

5

Research Dimensions on Point of Purchasea

S. Ramesh Kumar, Rajeev Ravi and
Jeevish Jain

As India moves into modern retailing, with several changes happening to its markets, brands and consumers, there are unique challenges that a multinational company entering India has to cope with, whether it is a fast moving consumer goods (FMCG) company or a multinational retail chain like Tesco or Wal-Mart. There are unique retailing aspects that need to be studied in detail by these companies. While retail density (number of shops per 1000 consumers) is on the decline the world over, retail density in India is on the increase. This is because of the fact that small neighbourhood shops called kirana shops, of which there are about eleven million in India. They have been a part of the Indian shopping culture for several decades and even toady organized retailing (modern retail outlets) contribute just 2–3 per cent of the total retail sale in the country. Point of purchase (POP) materials are used both by kirana shops and by organized supermarket retail outlets. This study investigates the impact of POP materials on kirana shop purchases and the purchases of consumers from supermarkets. Given the importance of POP material on the purchase of FMCG purchases, the authors feel that this study will be useful to bridge the gap between theory and practice and provide valuable insights to managers involved in retailing

Keywords: point of purchase, fast moving goods, impulsive purchases, brand awareness, emerging markets

Introduction

Various communication vehicles, including displays, packaging, sales promotions, in-store advertising and sales people can be used at the point of purchase (POP) to influence the customer’s buying decision (Quelch and Cannon-Bonventre, 1983). POP display is the process of supporting in-store brands, which gives communication power at a time when traditional above-the-line mediums are declining. It is communication without language, crossing international boundaries in a way that other marketing campaigns cannot (Kessler, 2004). This study defines customers as brand-buyers and price-buyers with different repurchase behaviours. Essentially, a company should keep in mind their target segment and the segment being affected while allocating money to advertising and promotional expenditure (Brown, 1974). This study contends that recognition of situational variables can enhance the ability to understand consumer behaviour. The findings show how different situational variables and their inventories affect consumer behaviour for different product categories (Belk, 1975). A human model in a point-of-purchase display may increase a product’s appeal. This is true for both high involvement and low involvement products. No conclusion can be drawn on what gender is preferable (Caballero and Solomon, 1984). Unplanned purchases are higher in some cultures as opposed to some others, but the importance of in-store stimuli holds true across cultures (Abratt and Goodey, 1990). In-store displays and feature advertisements serve to reduce the impact of price in the purchase decision. They also serve to move the aggregate competitive structure away from a product orientation, to one based more on brand names (Allenby and Ginter, 1995). The display of unit prices on retail shelves could have significant importance as a point-of-purchase material. Increasing the prominence of unit price information affects consumer’s shopping behaviour by shifting purchases towards lower unit priced items (Miyazaki, Sprott and Manning, 2000). The attractiveness of the POP display to the customers is primarily dependent on mystery (the degree to which the display contains hidden information so that one is drawn to it to find that information), and on clarity, a combination of coherence and legibility ( Jannson, Bointon and Marlow, 2002).

A kirana store, considered to be only a point-of-purchase earlier has a strong communication potential. The observation units have high interaction with the retail outlet, which gives them an opportunity to touch and feel the brand (Kumar, Sinha and Krishna, 2003). The findings of research in Australia, America and India suggest that country of origin effect at the point-of-purchase is somewhat less important to consumers than has been depicted in much of the research conducted over the last half century (Evans, 2004). There are notable differences in decision making behaviour across consumer literacy levels, especially with consumers’ ability to evaluate information in print ads and product packaging. The presence of a visual decision aid at the point of purchase can improve choice for low-literacy consumers (Jae and Delvecchio, 2004). A study differentiates between impulse goods and impulse purchases. Based on research done in a supermarket, the findings were that different products had different degrees of impulse buying and were dependent on factors like age, sex, and race to a varying extent (Bellenger, Robertson and Hirschman, 1978). Impulse buying occurs when a consumer experiences a sudden, often powerful and persistent urge to buy something immediately. Impulse buying is prone to occur with diminished regard for consequences (Rook, 1987). There are four types of impulse buying. Pure impulse is novelty or escape buying. Suggestion impulse involves buying an item by a shopper, who has never seen the offering before. Reminder impulse deals with the recall of an out-of-stock item or the recall of an advertisement concerning the item before it is bought on impulse. Planned impulse deals with the shopper’s expectation and intention of buying some items on price discount (Loudon and Bitta, 1988). There are four styles of impulse shopping—accelerator impulse (stockpiling to fulfil perceive future needs), compensatory impulse (a reward for fulfilling an onerous task), break-through impulse (plays a self-redefining role), and blind impulse (a sense of being overwhelmed by the product) (Bayley and Nancarrow, 1998). Experiments reveal that situational variables (time and money available) as well as individual variables (shopping enjoyment) influence the decision whether or not to purchase impulsively (Beatty and Ferrel, 1998). Impulse buying is not always viewed negatively by consumers, but represents a rational alternative to more time-consuming search behaviours. Consumers buy products for a variety of non-economic reasons, explaining the above phenomenon (Hausman, 2000). People with high levels of control (low impulsivity) were the ones who were most likely to respond to sales and bargains, in other words, to reduction in prices (Youn and Faber, 2000). The experimental study conducted indicated that impulse buying seems to have a product-specific nature, especially with regard to the involvement in the purchase decision ( Jones, Reynolds, Weun and Beatty, 2003). There are wide differences among product groups in the immediate increases in unit sales of the displayed products. On the contrary, however, products that belong to the same product category increase their sales by similar percentages (Chevalier, 1975). The effect of point-of-purchase material on elderly shoppers was tested and the conclusion drawn was that for an age-neutral product, elderly shoppers are indifferent to POP material, but rely on in-store information sources (Greco and Swayne, 1992). In-store signage with price is effective only when there is a discount; however, there is an indication of what kind of signage to put up at what time (McKinnon, Kelly and Robison, 2001). Wood (2005), distinguishes between “discretionary unplanned buying” and impulse buying and argues that consumers buy goods and services with discretionary income intentionally, but without prior planning. It is suggested by the author that such purchases account for a significant portion of the excitement and hedonic pleasures that customers receive from their purchases.

Objectives

To explore the effectiveness of point-of-purchase display materials on the relevant dimensions that will differentiate between its usage in a supermarket and a kirana store, with respect to

  1. awareness of product benefits
  2. awareness of sales promotion
  3. impact of the reminder of the brand mentioned in the POP
  4. impact on the purchase of the brand mentioned in the POP
  5. impact of POP on the impulsive purchase of the brand mentioned in the POP

Reasons for Choosing the Study

India is a fast-growing retail market, with estimates stating that the market for consumer goods could reach US $400 billion by 2010 and that there are almost 11 million retail outlets in the country today. 1 Further, 70 percent of the any purchases the world over are made at the point of purchase, or in the store, which makes the study of point-of-purchase displays and advertising extremely important. While there is literature on the stated importance of point-of-purchase displays on the impulse purchases, and the possible influence also on planned purchases, there is no literature on what POP material would be effective for an impulse purchase, and what for a planned purchase. In most of these articles, a Western-style retail outlet is assumed, of the scale of FabMall or Food-World. However, most of the retailing in India, even in urban areas, is done through the kirana stores, where the reactions to point-of-purchase material can be significantly different. Literature does not compare the effectiveness of point-of-purchase displays on different kinds of purchasing and on different retail formats.

Methodology

Two groups of respondents were considered to explore the dimensions identified with respect to point of purchase. One group of respondents was shoppers at a supermarket and the other group shoppers at a kirana store. Around 97 percent of the sales in the Indian context take place through urorganized retailing like the kirana store. (Images KSA Technopak, India Retail Report, (2005).

The profile of the respondents in Section A and Section B for both kirana and supermarket were considered. These socio-economic classifications for the urban area are made on the basis of education and occupation.

The Section A profile fit are

  1. Shop owners/farmers/wholesalers/traders/self-employed professionals/junior executives/officers who have a graduate degree or above,
  2. Businessmen/industrialists with less than 10 employees and have been to college,
  3. Businessmen/industrialists with 10 or more employees and have greater than four years of schooling,
  4. All middle/senior officers and executives who have been to college.

This section of urban population has the highest propensity to purchase high value consumer goods.

The Section B profile fit is

  1. Shop owners/farmers/wholesale traders/self-employed professionals/officers/junior executives who have spent some time in college but are not graduates
  2. Clerks and salesmen who are graduate and above,
  3. Supervisors who are graduate and general post graduates,
  4. Businessmen/industrialists with nine or less employees and have completed schooling,
  5. Businessmen/industrialists with 10 or more employees, but up to nine years of schooling,
  6. All middle/senior officers and executives who have not been to college,
  7. Skilled workers and petty traders with graduate or higher degree,
  8. Shop owners who have completed schooling,
  9. Businessmen with five to nine years of schooling, businessmen with up to nine years of schooling,
  10. Self-employed professionals, officers and junior executives who have completed schooling,
  11. Supervisors/clerks/salesmen who have spent some time in college, but are not graduates.

Section A and Section B classification was used so that it will be appropriate to both supermarkets and kirana stores as members of these groups are customers at both the types of outlets.

Sampling

A sample size of 50 was taken for each of the chosen formats–kirana and supermarkets. The city of Bangalore with its geographical neighbourhoods was considered for the sampling exercise.

We looked into supermarkets like Food World and FabMall in Bangalore. Supermarkets are large, multiple and cohesive self-service retail outlets, catering to varied customer needs. These are located in residential high streets (Images KSA Technopak, India Retail Report, 2005). Their value proposition is a one-stop family shop in food and household categories. Their area varies from 4000–20000 sq ft. (Retailing in India: Country Report, Euromonitor, April 2004, pp. 8–9)

A kirana store is a small grocery or general store that is found within walking distance of almost every Indian family. These stores focus on selling a large variety of food products, but also stock most home necessities. Their area is generally upto 600 sq.ft.

Development of Hypotheses

A pop display communicates without language, crossing international boundaries in a way that other marketing campaigns cannot. (Kessler, 2004). We formalized this and adapted it to the Indian market in the first hypothesis.

H1: There is no difference between supermarkets and kirana stores in the effect of POP displays on the awareness of product benefits.

Increasing the prominence of unit price information affects consumer’s shopping behaviour by shifting purchases towards lower unit-priced items. (Miyazaki, Sprott and Manning, 2000). In-store signage with price is effective only when there is a discount (McKinnon, Kelly and Robison, 2001).

Based on these findings and further assumptions on our part, we formalize our 2nd hypothesis.

H2: There is no difference between supermarkets and kirana stores in the effectiveness of POP materials on the awareness of sales promotions.

In-display advertising improves the image of the brand and reminds the customers of their favorite brand everytime they enter the store (Warner K.E., 1986). It also encourages customers to touch, pick, and feel the product (Kessler, 2004). This leads to greater brand recall. We adapt this finding and formalize the third hypothesis.

H3: There is no difference between supermarkets and kirana stores in the impact of POP materials on the recall of the displayed brand.

Chevalier (1975) has stated that though there is a noticeable increase in sales for high-priced items with a POP material, there is no noticeable difference in sales for lower-priced items. Though kirana stores do not necessarily stock low-priced items, they are meant for convenience and quick purchases. Thus, we formalize this finding and adapt it to emerging markets in the hypothesis 4.

H4: There is no difference between the effect of POP on the purchase of the brand in a kirana store and a supermarket.

In-store displays stimulate the desire in customers to buy the brand (Kessler, 2004). Good displays make the brand stand out and help the customers find their desired product. Based on this, we formalize the next hypothesis.

H5: There is no difference between supermarkets and kirana stores in the impact of POP materials on the impulsive purchase of the brand mentioned in the POP.

Analysis

The questionnaire presented to the respondents is given in Appendix 1. The analysis was performed using a one-way anova to compare the means of various variables in a kirana store and a supermarket. The results of these analyses are shown in the tables in Appendix 2. A summary of these results are presented here.

Hypothesis 1

Variable 1, in this hypothesis deals with the awareness about brands created by the point-of-purchase display. As seen in Tables 1.1 and 1.2 of Appendix 2, there is no significant difference in this variable between a kirana store and a supermarket. Customers across both markets agree that these displays have increased their awareness about brands.

Variable 2, in this hypothesis refers to the awareness about the product category created by the display. The above tables again do not indicate any significant difference between the kirana store and the supermarket for this variable. However, both means are around 3, indicating that most customers are unsure about whether this awareness was created by the display or not.

Variable 3 is aimed at evaluating the range of categories in which such awareness has increased. The tables indicate that there is a significant difference between the kirana store and the supermarkets in this regard, and that awareness has increased in fewer product categories in a kirana store than in a supermarket.

Variable 4, in this hypothesis refers to the awareness about private labels created by the display. The above tables again do not indicate any significant difference between the kirana store and the supermarket for this variable. However, both means are around 3, indicating that most customers are neutral about the variable.

This hypothesis indicates that awareness, in general, has increased in both supermarkets and kirana stores. However, this increase is more pronounced and prevalent in more categories in supermarkets than in kirana stores.

Hypothesis 2

Variable 1, in this hypothesis, deals with the awareness of sales promotions across categories. Variable 2 refers to awareness of savings that can be made through these sales promotions, variable 3 to the awareness of sales promotion within a category, and variable 4 to increased expectations of sales promotions. As can be seen from tables 2.1 and 2.2, none of these variables show a significant difference in kirana stores and supermarkets. The tables also indicate that awareness of sales promotions, in general, has increased in both supermarkets and kirana stores as a result of point-of-purchase displays.

Hypothesis 3

Variable 1, in this hypothesis, deals with the brand recall created by the point-of-purchase display. As seen in Tables 3.1 and 3.2 of Appendix 2, there is no significant difference in this variable between a kirana store and a supermarket. However, customers across both markets agree that these displays have significantly increased the brand recall.

Variable 2, in this hypothesis, refers to whether the display reminds customers of other brands in the same category. The above tables again do not indicate any significant difference between the kirana store and the supermarket for this variable. However, the verdict seems to be neutral on this aspect.

Variable 3 is aimed at evaluating whether the display reminds the customer of those brands that offer sales promotions. Here, there is a significant difference in respondents of kirana stores and supermarkets, with the supermarket customer strongly agreeing with the hypothesis.

Variable 4 in the hypothesis asks the customer if the display reminded him of benefits of specific brands. The above tables again do not indicate any significant difference between the kirana store and the supermarket for this variable. However, both means are around 3, indicating that most customers are neutral about the variable.

This hypothesis indicates that brand recall, in general, has increased in both supermarkets and kirana stores. However, this increase is more pronounced in supermarkets than in kirana stores.

Hypothesis 4

Variable 1, in this hypothesis, deals with brand purchases created by the point-of-purchase display. As seen in Tables 4.1 and 4.2 of Appendix 2, there is no significant difference in this variable between a kirana store and a supermarket. However, customers across both markets agree that these displays have caused purchases to some degree.

Variable 2, in this hypothesis, refers to whether the display results in customers buying some other brand (that is not mentioned in the POP). In this case there is a significant difference between the customers of a supermarket and a kirana store. Supermarket customers are much more prone to purchasing other brands than kirana customers.

Variable 3 is aimed at evaluating whether the display results in purchase of a variant of the brand mentioned or something in a related product category. Here again, there is no significant difference in respondents of kirana stores and supermarkets, with both sets of customers being neutral about the variable.

Variable 4 in the hypothesis asks the customer if the display had not resulted in the purchase of the category at all. The above tables do indicate a significant difference between the kirana store and the supermarket for this variable. Kirana store customers tend to be swayed more by the presence of POP displays into making purchases.

This hypothesis indicates that brand purchases, in general, have increased in both supermarkets and kirana stores. However, it cannot be concluded that this increase is more pronounced in supermarkets than in kirana stores.

Hypothesis 5

Variable 1, in this hypothesis deals with whether the POP display resulted in impulsive purchase of the brand mentioned in the POP. There is a significant difference in the respondents of supermarkets and kirana stores for this variable, with supermarket customers showing a greater tendency to purchase on impulse.

The remaining three variables in the hypothesis show no significant difference between the supermarket and kirana customers. However, customers tend to disagree with the contention that POP displays cause impulse purchases in both outlet types.

This hypothesis indicates that impulse purchases, in general, do not happen in both supermarkets and kirana stores. However, impulsive purchases are relatively more frequent in supermarkets.

Results and Discussion

POP displays have heightened awareness and recall of the brands among consumers at both the kirana store as well as the supermarket. People are attracted by these displays because of their colours and messages. The customer, however, is not made aware of the product category, in general. In other words, he or she may not associate a POP with a particular product category, but only to a brand. This is reinforced by the fact that customers are not reminded of other brands in the same category when looking at a display.

Based on our analysis, we find that in supermarkets, POP displays lead to an awareness of brands across a greater number of categories than in a kirana store. A possible reason for this could be the touch-and-feel factor. Products in supermarkets, because of the store layout, are easily accessible to the consumers. This leads to higher involvement, in the category. A kirana store, on the other hand, has an over-the-counter format in which customer involvement is restricted and becomes highly dependent upon the shopkeeper. This would also explain why supermarket customers are more prone to buying brands other than the brand mentioned in the display than kirana store customers, and why there is a greater tendency to buy on impulse in supermarkets. POP displays do not increase the brand awareness of private labels either in kirana stores or supermarkets. This is probably because POP displays of these labels, if any, do not aim at increasing brand awareness, but at sales promotions. In kirana stores, the customer’s choice is greatly influenced by the shopkeeper who also promotes his own private product. That seems to be another reason for low effectiveness of private labels in kirana stores.

Point-of-purchase displays have increased awareness of sales promotions at both supermarkets and kirana stores. People have come to expect some kind of sales promotion whenever they see a POP display, and the idea of a bargain appeals to most shoppers. This is true across retail formats.

It can also be concluded that an attractive POP display creates a favourable impression in the customer’s mind as it results in purchase of the brand at both kirana stores and supermarkets.

Based on the attribution theory (Schiffman and Kanuk, 2005), consumers do not want to attribute a favourable decision that they have made on any factor other than their own judgement. This is evident from the study in which respondents disagree with the contention that POP displays result in impulsive purchases.

Recommendations

  1. Marketers should look positively at brand extensions (both line and category), as awareness of product categories is not increasing as significantly as that of brands. A similar point of purchase display could be used for all the categories that a brand is in. However, brands that introduce a new category (e.g. electric toothbrushes in India) may not find POP dis plays an effective medium for increasing awareness about the category.
  2. Soaps, food and most household products are generally trial purchases following the learn-do-feel hierarchy (Belch and Belch, 2005). Purchase of such products is influenced by displays at the point-of-purchase. For instance, soaps as a category are generally trial-induced purchases. Thus the point-of-purchase displays for soaps should encourage this kind of consumer behaviour. Bright packaging and POP displays or suggestive advertising would attract customers to try the product out. Retailers should use point-of-purchase displays that aim at increasing trial purchases of private labels.
  3. Marketers should place more point-of-purchase displays at kirana stores, as customers tend to be more influenced by them at these stores because of limited choice.

Chocolates are low-involvement products following a do-feel-learn hierarchy. Point-of-purchase signage, both backlit and stickers, could be an innovative and differentiable marketing tool to induce the customer to make the purchase. These would be effective, both at the kirana and the supermarkets. The signages should be smaller than the one outside the store with the brand name being repeated multiple number of times. This would serve to increase brand awareness. Displays showing the chocolate being eaten, or in the process of being eaten would be more likely to induce an impulse purchase than ones shown closed in a wrapper. Moving displays would be quite effective in this context.

Implications for Practising Managers

The study has shown that point of purchase material usage will enable supermarkets to have a marginal advantage over the kirana stores with respect to enhanced awareness of brands, recall of brands offering sales promotion and impulsive purchase of consumers. The study also reflects that consumers, after being prompted by point of purchase (POP) material of a brand may buy some other brand in the same category in supermarkets. This suggests that any brand using POP material may have to use a planned approach as otherwise POP usage may become counterproductive, especially in a supermarket. In kirana outlets too, planning of POP material is required as consumers exposed to POP material have made more purchases.

Overall, the study has reflected that POP material does not seem to have pronounced differences (on a variety of dimensions associated at the point of sale) between supermarkets and kirana stores. However, the authors feel that given the following differences between a supermarket and a kirana store, a distinctive approach of addressing point of sale material is required, to ensure that POP material is used advantageously in an emerging market like India:

  • The differences in shelf space
  • The differences in the lay-out and shopping behaviour. A kirana store is a small shop, where consumers have to buy their purchases over the counter and will have limited visual range to look at products and brands. Supermarkets enable consumers to move around, touch and feel the products before they buy them.
  • The time consumers spend in a supermarket is likely to be more than the time they spend in a kirana store, as consumers are likely to purchase more product categories in a supermarket than in a kirana store.
  • Service in a supermarket, generally, is of a higher order, with more of service personnel at the store than a typical kirana store, where only one or two persons attend to the diverse requirements of several consumers at the counter.

As there is a need to apply a framework that can offer distinctive approaches to planning POP material to supermarkets as differentiated from kirana stores, the authors propose to use the low involvement model of Krugman. This framework can be effectively used to apply the differences between supermarkets and kirana stores from the view point of POP material. The fact that the study reveals no pronounced differences between the two retailing formats in the usage of POP-related dimensions, is reflective of the potential that POP material has to be applied to these two retailing formats.

Krugman’s (Loundonn and Bitta, 1988) low involvement consists of three stages, namely, the cognitive stage, the trial stage and the attitude stage. Cognitive stage is the stage consisting of beliefs and information about brands. In a low involvement situation the attention levels are low, and the consumer may not consciously process the information about the categories associated with low involvement. In this stage it is important to distinguish between brands that a consumer would have tried before, and a new brand. Established brands evoke an attitude and POP material should ensure that the brand is on “top of the consumer’s mind”. Such a brand can have two kinds of POP material, one for the supermarket and the other for the kirana shop. The kirana shop POP can mention the brand’s usual proposition but the one designed for supermarket should provide more of information on the brand as consumers move around the store and have more time too. The brand should also train the store personnel in supermarkets to answer queries associated with the POP material. This will ensure that the brand not only gets noticed at the supermarket but also provides “interaction” with consumers. For example, Dove is a moisturizer-based soap and it advertises (in TV channels) about the advantages it has over conventional soap brands. The POP of such a brand can provide more in-depth information on how such benefits are made available by the brand. An unknown brand that is yet to develop an attitude among its consumers should follow a similar POP approach in a supermarket for its POP, but given the small amount of time consumers spend in a kirana shop, it has to have a different kind of approach for kirana shops. The POP material at such kirana outlets should indicate further sources of information about the brand for consumers interested in the brand. Given the power of word of mouth, new brands can develop POP material, which creatively announces itself to trigger word of mouth. A brand of soft drink, for example, created a fictional character (in this case, for its re-launch) and POP material created buzz in the respective neighborhood. The creativity employed would depend on the product category. Buzz leads to exchange of information, that in turn can lead to trial of the brand.

The trial phase is the second phase of the low involvement model. An old or a new brand can plan POP material for the cognitive phase, followed by differentiated material to be used for supermarkets and kirana shops in the trial phase. The demand for brand variants in terms of the offerings and also in terms of stock keeping units is common in several categories in a market like India. There are, for example, low-priced packs of biscuits, shampoos, fairness creams and hair-oils, besides variants in each of these categories. POP material for kirana shops should be specific to a market (a city or a rural area), depending on the needs of consumers in the area. The basic assumption is that once consumers get involved with categories and brands in the cognitive phase, they may like to try out the brand. They are more likely to try out a brand if the POP corresponds to what they are familiar with or what they like. For example, a major share of the market for shampoos is accounted for by sachets (small packs of 6–10 milliliter). A POP showing a large bottle of shampoo in a rural market (where the price of such a bottle will be beyond the affordability levels of consumers) is out of place. Supermarkets, given their location in urban markets, may be in line with POP material that showscases variety in terms of stock keeping units or brand variants. Besides, supermarkets may have exclusive sales promotion programs involving larger stock keeping units and they too will require exclusive POP material.

The attitude phase of the low involvement model deals with the attitude of consumers after they have tried the brand. This is crucial as it can affect the repeat purchase of consumers. POP material addressing this stage at supermarkets should evoke opinions and specific complaints based on the usage of the brand. There are several brands launched in fast moving consumer goods categories, and several brands are also re-launched in several categories. It is highly improbable to notice any exclusive POP material, which solicits feedback from consumers. In supermarkets, such POP material can trigger a feedback mechanism by which the consumer could interact with the store personnel. Such an approach itself is likely to foster a positive consumer attitude towards the brand. In kirana stores where consumers spend lesser time, POP material eliciting opinion can encourage the consumer to provide an oral feedback to the retailer. In several markets, the retailer caters to a loyal base of consumers in the neighborhood. These consumers may have developed a relationship with their retailer, and the POP material acts as a trigger for them to share their complaints or feedback orally with the retailer.

Limitations of the Study

  1. The study was confined to the city of Bangalore, and as such, the results may not be the same in other markets.
  2. Attribution theory effects of customers, while responding to questions on impulse purchases, may have distorted some results.
  3. A detailed analysis of what factors would constitute a “good” point-of-purchase display was not performed. An extension of the study could be to determine the kind of POP display that is effective at different retail formats.

Appendix 1: Questionnaire

Please read the following statements and mark on the scale given below the question—with 1 being that you strongly disagree with the statement, and 5 being that you strongly agree.

Hypothesis 1

  • POP displays have increased my awareness about brands.

    1————2————3————4————5

  • POP displays have increased my awareness about a category.

    1————2————3————4————5

  • Have POP displays increased awareness in many categories?

    1————2————3————4————5

  • Have POP displays increased awareness about private labels?

    1————2————3————4————5

Hypothesis 2

  • Have POP displays increased awareness of sales promotions across categories?

    1————2————3————4————5

  • Have POP displays increased awareness of saving across categories through sales promotions?

    1————2————3————4————5

  • Have POP displays increased awareness of sales promotions within a category?

    1————2————3————4————5

  • Have POP displays increased expectations on sales promotions?

    1————2————3————4————5

Hypothesis 3

  • Have POP displays reminded you of the brand mentioned in them?

    1————2————3————4————5

  • Have POP displays reminded you of other brands in the same category?

    1————2————3————4————5

  • Have POP displays reminded you of those brands that are offering sales promotions?

    1————2————3————4————5

  • Have POP displays reminded you of the benefits of specific brands?

    1————2————3————4————5

Hypothesis 4

  • Have POP displays resulted in the purchase of the brand mentioned in the POP?

    1————2————3————4————5

  • Have POP displays resulted in the purchase of a brand not mentioned in the POP?

    1————2————3————4————5

  • Have POP displays resulted purchase of a variant of the brand mentioned in the POP, or of a related product category of the same brand?

    1————2————3————4————5

  • Have POP displays not resulted in the purchase of the category associated with the POP?

    1————2————3————4————5

Hypothesis 5

  • Have POP displays resulted in impulsive purchase of the brand mentioned in the POP?

    1————2————3————4————5

  • Have POP displays resulted in impulsive purchase of a brand not mentioned in the POP (in the same category)?

    1————2————3————4————5

  • Have POP displays resulted in impulse purchases not associated with any POP in the store?

    1————2————3————4————5

  • Have POP displays resulted in impulse purchases of any brand on most shopping visits?

    1————2————3————4————5

Demographics

Name: ———

Age: ———

Gender: ———

Income: ———

Education: ———

Occupation: ———

Appendix 2: Analyses Results

 

Table 1.1 ANOVA

 

Table 1.2 Report

 

Table 2.1 ANOVA

 

Table 2.2 Report

 

Table 3.1 ANOVA

 

Table 3.2 Report

 

Table 4.1 ANOVA

 

Table 4.2 Report

 

Table 5.1 ANOVA

 

Table 5.2 Report

 

References

 

Abratt R., and Goodey S.D. (1990), “Unplanned Buying and In-store Stimuli in Supermarkets”, Managerial and Decision Economics, Vol. 11(2), pp. 111–21.

Allenby G. M., and Ginter J.L. (1995), “The effects of in-store displays and feature advertising on consideration sets”, International Journal of Research in Marketing, Vol. 12, pp. 67–80.

Bayley G., and Nancarrow C. (1998), “Impulse Purchasing: A Qualitative Exploration of the Phenomenon”, Qualitative Market Research: An International Journal, Vol. 1(2), pp. 99–114.

Beatty S. E., and Ferrel M.E. (1998), “Impulse Buying: Modeling Its Precursors”, Journal of Retailing, Vol 74.

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