Contents
Title
Factors Influencing Consumer Value and Attractiveness in Physical Shopping Centers: Evidence from the Western Cape, South Africa
Author(s)
Roland GOLDBERG, Clarise MOSTERT
Classification JEL
M31, L81, D12.
Abstract
The shift towards digital retail platforms has significantly impacted physical shopping centers, leading to a phenomenon often referred to as the “retail apocalypse.” Despite this trend, physical shopping centers continue to offer unique value through customer experiences that digital platforms struggle to replicate. This study investigates the factors affecting customer value and attractiveness in physical shopping centers in the Western Cape, South Africa. Employing a qualitative, phenomenological research design by conducting in-depth interviews with nine participants before the point of saturation was reached, this study explores how factors such as aesthetics, design, tenant mix, customer service, and safety and security contribute to the attractiveness of these centers. The findings reveal that shopping centers offer unparalleled value through immersive experiences, highlighting the importance of value pricing, immediate delivery, social interaction, and relaxation in fostering customer loyalty and engagement. In addition, the study identified key factors that participants found to be unattractive physical shopping centers, including large crowds, rude employees, unhygienic bathroom facilities, and parking fees. These findings offer valuable insights for shopping center managers and marketers in enhancing customer experiences and addressing deterrents to foster greater customer retention.
Keywords
Physical shopping centers, customer value, shopping experience, qualitative research.
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