Elen Format

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ATTRIBUTES OF SELECTED SUPERMARKETS: A COMPETITIVE

BENCHMARK FOR CUSTOMER SATISFACTION
AND STORE LOYALTY
A Dissertation Presented
to the Faculty of the
Graduate school of
Colegio De San Juan De Letran
Intramuros, Manila
In Partial Fulfillment
of the Requirements for the Degree of
Doctor of Business Administration
Ma. Elena Cortez Estebal
May 2017
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APPROVAL SHEET
In partial fulfillment of the requirements for the degree DOCTOR OF BUSINESS

ADMINISTRATION, this dissertation entitled “ATTRIBUTES OF SELECTED
SUPERMARKETS: A COMPETITIVE BENCHMARK FOR CUSTOMER
SATISFACTION AND STORE LOYALTY” prepared and submitted by
Ma. Elena C. Estebal is hereby recommended for admission to the Oral Examination
PROF. IMELDA C. SANTIAGO, PhD

Adviser
Approved by the Tribunal at the Oral Examination conducted on May 27, 2017, with
the grade of ____________.
THE EXAMINING TRIBUNAL
PROF. MA. VICTORIA U. ROSAS, PhD

Chairman
PROF NANCY C. BARTOLOME, PhD PROF. ERIC G. PASQUIN, PhD

Member Member
PROF. DOLORES N. YU, PhD

Member
Approved and accepted as partial fulfillment of the requirements for the degree of
DOCTOR OF BUSINESS ADMINISTRATION
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EUNICE MARETH Q. AREOLA, PhD HSG

Dean
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CERTIFICATE OF ORIGINALITY
In recognition for ingenuity and preservation of individual work, I

hereby declare that this dissertation entitled
“ATTRIBUTES OF SELECTED SUPERMARKETS: A COMPETITIVE

BENCHMARK FOR CUSTOMER SATISFACTION AND STORE
LOYALTY”
is a product of the researcher’s inquisitiveness founded on diverse theoretical

and conceptual designs.
Any portion of the content of the manuscript has never been

previously published nor written by another except where due
acknowledgement is made.
_______________________
Ma. Elena C. Estebal
______________
May 2017
Concurred by:
__________________________
Prof. Imelda C. Santiago, PhD
_________________
May 2017
Note: This certification verifies the NOVELTY and UNIQUENESS of the content of the completed written
manuscript. Completed manuscripts (evaluated and approved by a panel experts) MUST carry this
documentation.
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CERTIFICATE OF ENGLISH EDITING
This is to certify that I have edited this Dissertation entitled:
“ATTRIBUTES OF SELECTED SUPERMARKETS:
A COMPETITIVE BENCHMARK FOR CUSTOMER
SATISFACTION AND STORE LOYALTY”
prepared by Ma. Elena C. Estebal
and have found it thorough and acceptable with respect to grammar and
composition.
___________________
Dr. Lorna R. Dimatatac
Technological Institute of the Philippines
09329131453
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CERTIFICATE OF THE STATISTICIAN
This is to certify that I have edited this Dissertation entitled:
“ATTRIBUTES OF SELECTED SUPERMARKETS:
A COMPETITIVE BENCHMARK FOR CUSTOMER
SATISFACTION AND STORE LOYALTY”
prepared by Ma. Elena C. Estebal
and has provided the statistical treatment and data analysis.
__________________________
Ana Isabel N. Sotomango, DPA
Our Lady of Fatima University
09430778639
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ACKNOWLEDGEMENT
The researcher would like to extend her utmost appreciation to all people who
extended help in the preparation of this dissertation. This undertaking could not have
been possible without the kind of support of many individuals who have shared their
expertise, experiences, and insights.
First, to her adviser, Prof. Imelda C. Santiago, PhD, for being supportive and
very accommodating. Thank you and God bless!
Also, the researcher gratefully acknowledges the crucial contribution of her
friends and former colleagues in the retail industry. They are the backbone of this
research and so this dissertation. Their sincere involvement has triggered and nourished
the researcher’s intellectual ability that she benefitted and will benefit from, for a long
time to come. The researcher is deeply grateful in every possible way and hope to keep
up the collaboration in the future.
She also would like to express her gratitude to Dr. Ana Sotomango for her
valuable advise in statistical discussion and Dr. Lorna Dimatatac for editing this paper.
Special thanks go to Dr. Angeles De Guzman and Ms. Joemy Lopez for their
untiring support and their continuous motivation for the researcher to pursue DBA.
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The researcher would like to dedicate this research to Engr. Benjamin Estebal,
her very supportive husband and Hans Christian Albert Estebal, her loving son who
sacrificed a lot to help her complete the program. Their love, words of encouragement,
and support helped her in this ordeal.
Finally, the researcher wishes to thank everybody who was instrumental in the
successful realization of this dissertation, and expresses as well, her apologies to those
that she was not able to mention personally one by one.

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Attributes of Selected Supermarkets: A Competitive

Benchmark for Customer Satisfaction
and Store Loyalty
ABSTRACT
Retail supermarkets are constantly expanding within Metro Manila as well as
outside Metro Manila. Since most families have both of the couple working, they
demand a one-stop shopping offered by supermarkets. Driven by rapidly changing retail
environments, more demanding customers, intensified competition, and slow- growth
markets, retailers are more than ever obliged to continually focus on establishing
customer satisfaction and store loyalty. In order to attract customers to their own
supermarkets, managers need to conduct intensive marketing campaigns and expect that
these campaigns will really help in attracting customers to their own supermarkets.
This study determined the level of satisfaction and loyalty of supermarket
customers on the different attributes of eight supermarkets of Metro Manila:
Waltermart, SM Supermarket, Robinson’s Supermarket, Puregold Supermarket,

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Rustan’s Supermarket, Super 8 Supermarket, S & R Supermarket, and Landmark
Supermarket. The store attributes were generally categorized into store atmosphere that
include both tangible and intangible aspects – the goods, facilities and services of the
supermarket. Store image as another attribute is the overall perception of customers;
convenience includes the strategic location of the store as well as the arrangement of
goods; lifestyle means the availability of goods and services beyond the ordinary
consumer goods. Customer loyalty has been translated to store loyalty with three
dimensions: perceived value, time stress and trust. The best store attributes and most
significant motives shall be used for competitive benchmarking.
Ranking the different store attributes according to the categories, the highest
level of satisfaction is attributed to store convenience with the attributes as being
conveniently located and accessible to all kinds of transportation and to the store’s
service of giving assistance to seniors and PWDs. Second is store atmosphere
particularly on the characteristic of the supermarket as being well-lighted. Third is the
store image with the supermarket’s attributes of being clean and having neatly arranged
merchandise. Fourth is the lifestyle with the attribute of providing a wide selection of
healthy foods.
What is the ranking of the factors leading to store loyalty? Trust comes first
which means that the customers value freshness of their meat, fish, poultry, fruits, and
vegetables sold, followed by time stress which implies that customers preferred a
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conveniently located and accessible store; and the last being perceived value which has
to do with the supermarket providing the appeal, style and good reputation.
It is interesting to note that the customers only rated “agree” to their store
loyalty despite the positive store attributes they perceived which means that they are
always ready to shift their loyalty and purchase in other supermarkets.
The result further implies that as the customers’ level of satisfaction on the store
attributes of selected supermarket increases, the level of agreement on the criteria for
store loyalty also increases.
There is a significant difference on the level of customer satisfaction of the
supermarket shoppers when their gender, age, and civil status are considered; while no
significant difference was found on the level of customer satisfaction and the
respondents’ source of income, number of household members, and frequency of visits.
There is no significant difference on the level of agreement for store loyalty
when the gender, source of income, number of household members, and frequency of
visits were considered; while the level of agreement for store loyalty has significant
difference when the civil status and age of the shopper is considered.
From the assessment of the supermarket shoppers, the store attributes of
Supermarket C can be the basis for benchmarking.
Keywords: Supermarkets, Customer Satisfaction, Store Attributes, Store Loyalty

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LIST OF TABLES
Table No Page
1 Distribution of Respondents According to Shopping Preference 43
2 5-Point Likert Scale and Interpretation 44
3 Distribution of Respondents According to Gender 48
4 Distribution of Respondents According to Age 49
5 Distribution of Respondents According to Source of Income 50
6 Distribution of Respondents According to their Civil Status 51
7 Distribution of respondents in terms of Number of Household 52
Members
8 Percentage Distribution of Respondents According to 53
Frequency of Shopping per Month
9 Level of Satisfaction of the Customers on the Atmosphere of 55
Supermarket
10 Level of Satisfaction of the Customers on the Image of 57
Supermarket
11 Level of Satisfaction of the Customers on the Convenience of 60
Supermarket
12 Level of Satisfaction of the Customers on the Lifestyle of 63
Supermarket
13 Respondents Level of Agreement on the Perceived Value of 65
Selected Supermarkets as Criterion on Store Loyalty
14 Respondents Level of Agreement on the Time Stress of 67
15 Respondents Level of Agreement on the Trust of 69
16 Respondents’ Level of Agreement on the Statements Pertaining 71
to their Loyalty to Selected Supermarket
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17 ANOVA for Customers’ Level of Satisfaction on the Attributes 73

of Selected Supermarkets
18 t-test for Customers’ Level of Satisfaction on the Attributes 74
of Selected Supermarkets When they are Grouped According to
Gender
of Selected Supermarkets When they are Grouped According to
Age
20 t-test for Customers’ Level of Satisfaction on the Attributes
of Selected Supermarket When they are Grouped According to
Source of Income 77
Civil Status
22 ANOVA for Customers’ Level of Satisfaction on the Store 80
Attributes of Supermarket When they are Grouped According
to
Number of Household Members
23 ANOVA for Customers’ Level of Satisfaction on the 81
Attributes of Selected Supermarket When they are Grouped
According to Frequency of Visit
the Only Supermarket Where They Go Shopping
25 ANOVA for Customers’ Level of Satisfaction on the 83
Attributes of Selected Supermarkets
26 t-test for Customers’ Level of Agreement on the Criteria for 84
Store Loyalty When they are Grouped According to Gender
27 ANOVA for Customers’ Level of Agreement on the Criteria 86
for Store Loyalty When they are Grouped According to Age
28 t-test for Customers’ Level of Agreement on the Criteria for 88
Store Loyalty When they are Grouped According to Source of
Income
for Store Loyalty When they are Grouped According to Civil
Status
for Store Loyalty When they are Grouped According to
31 ANOVA for Customers’ Level of Agreement on the Criteria for 91
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Store Loyalty When they are Grouped According to Frequency of

Visit
for Store Loyalty When they are Grouped According to the
Only
Supermarket Where They Go Shopping
33 Correlation between Respondents Level of Satisfaction and 93
their Store Loyalty
LIST OF FIGURES
Figure No. Page
1 Conceptual Framework 37
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LIST OF APPENDICES
Appendix No Page
1 Questionnaire 124
2 Informed Consent Form 130
3 Letter Request to Conduct Survey 131
4 Timetable of Research 132
5 Budgetary Requirements 135
6 Statistical Results 136
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TABLE OF CONTENTS
TITLE i
APPROVAL SHEET ii
CERTIFICATE OF ORIGINALITY iii
CERTIFICATE OF ENGLISH EDITING iv
CERTIFICATE OF STATISTICIAN v
ACKNOWLEDGEMENT vi
ABSTRACT viii
LIST OF TABLES xi
LIST OF FIGURES xiii
LIST OF APPENDICES xiii
TABLE OF CONTENTS xiv
Chapter I THE PROBLEM RATIONALE

Introduction 1
Significance of the Study 3
Scope and Delimitation of the Study 5
Chapter II RESEARCH QUESTIONS

Review of Related Literature 7
Synthesis of the Literature 34
Conceptual Framework 37
Statement of the Problem 38
Hypotheses 39
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Chapter III RESEARCH METHODS

Research Design 41
Locale of the Study 42
Research Instrument 43
Data Gathering Procedure 44
Ethical Considerations 45
Statistical Treatment 46
Chapter IV RESULTS AND DISCUSSIONS

Results and Discussions 48
SUMMARY, CONCLUSIONS AND

Chapter V RECOMMENDATIONS
Summary, Conclusions and Recommendations 98
BIBLIORAPHY 114
GLOSSARY 151
CURRICULUM VITAE 155
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CHAPTER I
PROBLEM RATIONALE
Introduction
The Philippine retail industry is poised to expand and account for more than a
fifth of the country’s total economic output this year as Filipino consumer spending
remains on the rise. Philippine Retailers Association (PRA) president Lorenzo Formoso
said the local retail sector is expected to increase its share to the country’s gross
domestic product (GDP) by another five percent to at least 23 percent in 2016 after
growing to 18 percent last year (Mercurio, 2016). The retail sector has also been
controversial because of the allegations that they exercise market power thus replacing
traditional stores or the “sari-sari” stores (Digal, 2001).
Retail supermarkets are constantly expanding within Metro Manila as well as
outside Metro Manila. This expansion is due to the improved purchasing power of the
Filipino consumer with an increase in the number of dual-income families. Since most
families have both of the couple working, they demand a one-stop shopping offered by
supermarkets. Driven by rapidly changing retail environments, more demanding

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customers, intensified competition, and slow- growth markets, retailers are more than
ever obliged to continually focus on establishing customer satisfaction and customer
loyalty.
Customer satisfaction and customer loyalty are essential factors in developing
retail strategies (Noyan & Simsek, 2011) especially among supermarkets. According to
Menon and Dube, (2000) and Lovelock (2001), customer satisfaction is an effective
reaction in which the customers’ needs, desires and expectations have been met during
the course of the service encounter. But increasing competition with globalization and
changing customer demands made it harder for the provision of customer satisfaction
and customer loyalty. Enhancing and retaining customer loyalty has been identified as a
major source of competitive advantage within the retailing sector (Chang and Tu, 2005;
Rajaguru and Matanda, 2006).
An understanding of customers’ satisfaction determinants is an important basis
for the identification of optimal retailer actions. Especially in the supermarkets, where
competition becomes intense each day, it is very important for the companies to meet
the needs and wants of the customers and satisfy them.
Supermarkets nowadays fulfill the changing needs and demands of busy
households. A supermarket is a large, departmentalized retail store that primarily sells
food items (Marshall & Nielson, 2001). For supermarket retailers wanting to build
relationships with their customers, being able to track their levels of satisfaction with
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the key elements of the supermarket image is extremely important. From the retailers
perspective the aim is to minimize the reasons for complaints and dissatisfaction and the
cost of a service recovery plan (McCollough, Berry and Yadav, 2000) while establishing
a track of direct feedback from customers about their reactions to those key elements.
In order to attract customers to their own supermarkets, managers need to
conduct intensive marketing campaigns and expect that these campaigns will really help
in attracting customers to their own supermarkets. As dynamic structure and intense
competition in retail markets increase, the need for supermarket retailers to use
strategies focused on getting their customers to be loyal (Okumuş and Temizler, 2006).
From the related literature, customer loyalty in retail settings is more commonly
known as store loyalty (Knox & Denison, 2000); is defined by choosing the same store,
a high proportion of a positive word of mouth, frequent repurchase intention and
willingness to pay higher prices (Topcu & Uzundumlu, 2009).
With fierce competition in the retail industry today, mere compliance with goods
and service standards will not result in the level of improvement necessary to become
the “best-of-the breed” supermarket. Therefore, supermarkets need to achieve
excellence by constantly improving service performances and product line-ups. Such
can be done when these supermarkets understand what the leading organizations do in
the market and what level of gaps exist between the current and the past practices. With
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this, one of the most effective ways of achieving excellence is competitive
benchmarking.
Significance of the Study
This study can help to better understand the impact of store attributes as
variables for customer satisfaction that will lead to store loyalty.
Supermarket Owners. In order to expand their target markets, help them in
implementing new strategies that could stimulate buying behaviors of customers. It will
also allow them to assess their goods and service quality and find time to listen even to
the complaints of their clients.
Retailers/suppliers. The responsibility of attracting and retaining customers of the
supermarkets does not depend alone on the store but as well as the goods that are being
offered, supplied and taken back as part of reverse logistics. It is their responsibility to
maintain the highest degree of quality.
Supermarket customers. The customers can gain confidence that they can have a
pleasant shopping experience each time they make a visit and be assured that the
supermarket provides quality and variety of goods, services and pleasant environment.
Government. Business will always be attached to our government and businesses will
always have responsibilities to our government. As the researcher identifies the store
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attributes that provides customer satisfaction and motives that enhances store loyalty,
the retail supermarkets can make use of the results of this study as a benchmark for
marketing strategies to increase their revenues and/or profits that may help the
government to improve its economy.
Researcher. The researcher is intending to put up her own retail establishment in the
future. The findings of this study could be the basis for business planning and venture.
Future researchers. This study will give insights for future researchers to incorporate
other moderating and mediating factors in examining supermarket attributes and
enhance store loyalty.
Scope and Delimitations of the Study
This study determined the level of satisfaction of supermarket customers on the
different store attributes. The store attributes were generally categorized into store
atmosphere which cover both tangible and intangible aspects – the goods, facilities and
services of the supermarket. Store image as another attribute is the overall perception
of customers; convenience includes the strategic location of the store as well as the
arrangement of goods; lifestyle means the availability of goods and services beyond the
ordinary consumer goods.
Customer loyalty has been translated to store loyalty with three dimensions:
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perceived value, time stress and trust. The best attributes and dimension shall be used
for competitive benchmarking.
Out of the different retail stores, this study limited itself to supermarkets within
the National Capital Region and was still delimited to the top eight supermarkets for the
year 2016 as per primer.com.ph
Self-made questionnaires were used to gather responses using convenience
quota sampling within the 8 selected supermarkets distributed within the NCR for the
first quarter of 2017. Respondents were limited to adult shoppers.
The limited literature on customer satisfaction, customer loyalty, and
benchmarking for supermarkets necessitated the use of journal articles even if its
publication date is beyond the acceptable time frame.

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CHAPTER II
RESEARCH QUESTIONS
Review of Related Literature
This chapter presents the different readings and literature used by the researcher
that determined the attributes of supermarkets for customer satisfaction. This also
explores the variables leading to customer loyalty which has been translated to store
loyalty. The chapter also presents the importance of competitive benchmarking –
something that is found essential in this competitive world of retailing industry.

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The research paradigm indicates the parameters by which the study was
conducted.
Retail Stores
Retail stores can be small, boutique operations that sell niche products or large,
high-turnover emporiums that sell everything from tires to garden hoses (Crawford,
2016). Still these are classified according to types.
There are 7 main types of retailers (www.reseller.com, 2016) which can be
defined by the size of their business and the way they in which they sell their products.
The 7 main types of retailers are;
Department Store. This type of retailer is often the most complex offering a wide
range of products and can appear as a collection of smaller retail stores managed by one
company. The department store retailers offer products at various pricing levels. This
type of retailer adds high levels of customer service by adding convenience enabling a
large variety of products to be purchased from one retailer (e.g. SM, Trinoma,
Robinson’s).
Warehouse retailers. This type of retailer is usually situated in retail or Business Park
and where premises rents are lower. This enables this type of retailer to stock, display
and retail a large variety of good at very competitive prices.
Specialty Retailers. Specializing in specific industries or products, this type of retailer
is able to offer the customer expert knowledge and a high level of service. They also
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add value by offering accessories and additional related products at the same outlet.
E-Retailer. This type of retailer enables customers to shop on-line via the internet and
buy products which are then delivered. This type of retailer is highly convenient and is
able to supply a wider geographic customer base. E-retailers often have lower rent and
overheads which enables them to offer very competitive pricing.
Convenience Retailer. Usually located in residential areas this type of retailer offers a
limited range of products at premium prices due to the added value of convenience.
Discount Retailer. This type of retailer offers a variety of discounted products. They
offer low prices on less fashionable branded products from a range of suppliers by
reselling end of line and returned goods at discounted prices.
Supermarket. Generally this type of retailer concentrates in supplying a range of food
and beverage products. However many have now diversified and supply products from
the home, fashion and electrical products markets too. Supermarkets have significant
buying power and therefore often retail goods at low prices.
This study particularly focuses on supermarkets. A supermarket
(edukalife.blogspot.com) is an urban commercial establishment which may have more
locations in the same city, province and usually in urbanized areas of the country that
sells goods in a self-service system among those which are food, clothing, toiletries,
perfumes and cleaning. Supermarkets usually offer products at low prices.
To generate profits, supermarkets are trying to counteract the low margin of

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profit with a high volume of sales. These stores can be part of a string, usually in the
form of franchise, they are divided according to size as to: (1) Medium-supermarket -
from 400 to 1,500 m² of sales area, the most common, one can also find mini-markets
(those who have only a basic number of products); and (2) Big - 1,500 to 2,500 m² of
sales area supermarket, tend to add other products not so common as clothing and
footwear, meals, imported products or gourmet, elements for automotive, elements of
decoration and others.
It is called a supermarket to that establishment which main purpose is to bring
consumers an important variety of products from different brands, prices and styles.
Unlike what happens with much of the business, a supermarket is characterized by
exposing these products available to consumers, who are resorting to the self-service
system and paid the amount of items chosen at the end in the boxes area.
The supermarket is organized in physical terms through the division of space in
aisles or shelves on which are arranged according to certain more or less specific order
products (store products, beverages, fresh food, sweets, bread, cleaning products,
products of pharmacy, vegetables and fruits, etc.). The objective of this provision is that
consumers can explore different halls free to select necessary items. Supermarkets
enable consumers to compare prices, sizes and quantities of the different products
offered. It is estimated that the products are arranged in such way that encourages
customers to buy more of the account. In this sense, the greatest need or daily
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consumption items often placed at the end of the supermarket to compel customers to
scroll through products less necessary before reaching the first gondolas.
One of the strongest criticisms that is made to the system of supermarket itself
has to do with the feeling of almost compulsive consumption that generates clients. In
this sense, the easy access and the endless exposure to products intended especially to
tempt customers to buy items that had not planned to purchase at first. On the other
hand, supermarket are also criticized to be selling products that are normally available
at specialty stores, lowering sales thereof.
Supermarkets are large self-service grocery stores that offer customers a variety
of foods and household supplies. The merchandise is arranged into an organized aisle
format, where each aisle is numbered or labeled and has only similar goods placed
together. In contrast to hypermarkets, these are large retail establishments that are a
combination of supermarket and department stores. They are considered as a one-stop
shop for all of the customer’s needs. Hypermarkets basically have all the merchandise
that could be required by a person on a daily basis.
According to primer.com.ph (2016), the leading supermarkets in Metro Manila
with their chains also in other parts of the country are the following: Waltermart, SM
Supermarket, Robinson’s Supermarket, Puregold Supermarket, Rustan’s Supermarket,
Super 8 Supermarket, S & R Supermarket, and Landmark Supermarket. The above are
considered supermarkets since the one that are located in malls have their separate
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department stores and they occupy a distinct place within the mall.
Retail Strategies and Customer Satisfaction
Satisfaction is also a much desired target for businesses, since a satisfied
customer is likely to buy more, return to the store and spread positive word-of-mouth
opinions to other customers. Customer satisfaction may lead to greater customer loyalty,
reduces the costs of future transactions, positively impacts firm’s revenues, and
minimizes customer defection if quality falters.
The research of Noyan and Simsek (2011) highlighted the importance of
developing retail strategies to manage customer by focusing on factors that can
influence customer satisfaction and loyalty. In this study, using structural equation
modeling, structural determinants of satisfaction are investigated in the context of
loyalty models. This research has proposed a conceptual framework to investigate the
effects of customer relationship proneness, store image, positive affect on customer
satisfaction. To test the conceptual framework, SEM has been used to analyze the data
from 1530 customers.
The results of the study indicate that positive effect of customer relationship
proneness, store image, positive affect are significantly and positively related to
customer satisfaction. Satisfaction is empirically determined by explaining 66.7% of its
variance by customer relationship proneness, store image, positive affect. The results of
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this study provide important implications for retail marketing managers and can aid in
designing and retail strategies to improve customer relationship proneness, store image,
positive affect and develop customer satisfaction. The said study included an illustration
of how retailers can use these links to develop appropriate customer satisfaction policies
leading to increased store sales.
The study of Ruiz, Zarco and Yusta, 2010 are related to the current study since it
dealt with the different parameters of customer satisfaction although this was conducted
in both supermarkets and hypermarkets. The existing differences in the values of the
parameters estimates show that, while the services offered by the distributor present the
greatest contribution to satisfaction, the quality image represents the smallest.
Nevertheless, any significant influence is not detected on the economic value offered by
the grocery retailer.
The services and the convenience that the distributor offers as well as its quality
image, influence the satisfaction obtained from the purchase experience. The factor of
services and convenience is detected in those consumers who buy in supermarkets, and
the lowest, in those who make their purchases in hypermarkets. The highest average
with respect to the second factor is located again in that set of buyers that acquire their
products of great consumption in supermarkets, and the lowest, in the buyers that make
them in hypermarkets. Finally, with respect to the last one of the identified factors
referring to the economic value of the purchase, the highest average falls also on those
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buyers that make their purchases in supermarkets, and the lowest, to the buyers who
make them in hypermarkets.
Also, the Kruskal–Wallis test shows how in this case, the different sub- samples
are independent, coming from different populations, first is overall satisfaction, services
and convenience, followed, in this order, by the quality image and economic value. In
the supermarket, the factor that contributes most to overall satisfaction is the services
and convenience factor.
Factors that Determine Customer Satisfaction
Store Attributes
Store attributes play a vital role in improving the customers’ satisfaction and
loyalty. Finn (2004) recognized eight store attributes that helped to form consumer
attitudes towards a retail marketing strategy. Store attributes include environmental
factors such as: (1) ambient cues or ambient conditions which include temperature,
music, noise and lighting; (2) design cues that refer to aesthetic feelings which include
style, layout and architectural. This also refer to the spatial arrangement or the layout of
mechanical equipment, facilities, furniture, even the sign, symbols and signboards used
to communicate with customers; and the (3) social cues, referring to factors related to
people in the environment, including customers and store employees, their number, type
and behavior.
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A study by Beneke, Cumming, and Jolly (2013) showed that store image which
is a key component of store attribute directly as well as indirectly influenced the
customers’ brand loyalty through the customers’ perceived value construct whereby
customers are associated with repeat shopping visits in a specific store and market place
(Hartman & Spiro, 2005).
Considering the significance of customer retention to the supermarket’s
profitability, the supermarket should adapt to the changing needs and preferences of
customers. For example, the recent hike in gasoline prices may force some customers to
shop at the nearby supermarket or make fewer trips to the supermarket distant from
their neighborhood. Also, those needs and preferences may represent various service
attributes such as the greater selection of healthy foods, registered dietitians’ free
advice, fast-service checkout lines, better lighting, 24/7 access, and lower shelves. Once
these service attributes are revealed, the supermarket should identify what service
attributes customers consider most important and how well the supermarket is
performing relative to its competitors with respect to each of those salient service
attributes.
A large range and assortment of products.
A key descriptor for the strategy of the retail establishment is to offer a large
range and assortments of products that will serve the different tastes and preferences of
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the clients (Dhar, Pain & Thomas, 2001) Certainly, a greater variety not only helps the
retail distributors attract more consumers, but can also stimulate them to make more
purchases while they are in the establishment. An ample product selection can also
diminish the perceived costs (e.g., travel time, effort) associated with each act of
purchase and can in addition facilitate the task of buying (e.g., through fortification of
the comparison between stores).
The existence of an own brand constitutes assets of strategic nature for the
retailers in how it contributes to increase the variety of stock and to achieve other
objectives related to the positioning in the long term. As indicated by Binninger (2007),
option to offer products with their own brand is considered by retailers as a means to
obtain superior benefit margins giving greater flexibility than that which arranges to fix
prices or to establish promotions. Likewise, the distributor’s brand constitutes a
powerful tool to create an image of the favorable establishment, because it is able to
offer the client greater information on products and at the same time guarantee a good
quality–price relation on products (Corstjens and Lal, 2000). The importance of the
brand is so within the retailing mix that nowadays distributors have left
commercializing own brands for reasons of profitability to manage own brands with
brand identity. Thus, in order to consolidate the brand identity, distributors have begun
to intensify their efforts to increase the quality of their brands. They also intensify the
presence of competing brands in their lines or intensify their efforts in marketing

34
communications (Medina, Mendez & Rubio, 2004).
Convenience
Convenience refers to the additional services offered by the retail establishment.
Most consumers will look for a modern environment where there is a convenient,
well-lighted and safe parking area (Grewal, Berry & Seiders, 2002).The perception of
time and effort made by the consumers interacts to influence their perceptions of service
convenience and the retail facilities can be implemented to affect the perceptions on
time and effort. For example, a location near to the home reduces transaction costs
associated with the purchase (e.g., transport costs, time spent, etc.). The law of retail
gravitation (Reilly, 1931) suggests that the draw to a shopping center must be assumed
as inversely proportional to the time of travel from the consumer’s home to the
shopping mall. The ‘‘central place theory’’ (Craig, Ghrosh & MLafferty, 1984) suggests
that central business districts and regional shopping malls that offer one long
agglomeration of goods and services attract consumers from greater distances than the
shopping malls in the vicinity that offer less goods and services. In addition to a
convenient location, other convenience incentives provided by the retail distributors,
such as longer opening hours, can draw purchase patterns to an establishment.
Store Atmosphere
The atmosphere of the store also constitutes a distinctive element in the

35
strategies. It is possible to indicate that store atmospherics deal strictly with the physical
store attributes such as those that appeal to the sense of sight, hearing, smell and feeling.
Many consumers are prone to make their purchases based on their attitudes towards the
atmosphere of the shopping mall. An example of this would be recreational buyers that
enjoy buying for leisure can buy impulsively and give greater importance to the
decoration of the establishment. These establishments would have to provide rest areas
and a suitable ambient temperature. The excitation (i.e., arousal) that can be provoked
from the store atmosphere intensifies as much pleasure as displeasure, for this reason
time and spending diminish in disagreeable environments and increase in pleasant
environments.
The research of Nikhashemi, Tarefder, Gaur and Haque (2016) examined the
effect of store attributes on perceived value to win customer brand loyalty in retailing
(Hypermarket) industry among Malaysian customers. The outcome of the study
revealed that store attributes are found to be related to perceived value, and contribute
directly and indirectly towards customer brand loyalty. Besides, the study demonstrated
that store attributes play a major role in boosting customer value perception.
More importantly, this study suggests that the functional value can be judged by
customers via store attributes which can also add symbolic value. The relationship
between store attributes and perceived value can be understood through the fact that
regular customers of a particular hypermarket know what to value. In other words,

36
customers are very satisfied when varieties of products and satisfactory service to the
customers are provided, resulting in positive evaluation towards brand and store itself.
The customers gain confidence that they will have a pleasant shopping experience each
time they visit the hypermarket outlet and know that the hypermarket provides quality
and varieties of product, service and pleasant environment for its customers. It is
believed that customers judge their value perceptions through these elements which are
associated with store attributes in terms of functional value and also symbolic value.
Related research to the current study is that of Chen and Hsieh (2011) which
explored the theme of creating and managing store atmosphere of chain store
supermarkets from customers’ point of view. The findings from the study indicated the
following: (1) The customer- perceived factors of store atmosphere of supermarket
include 6 factors in 3 categories, that is, design factors, ambient factors (including
intangible factors and visual stimulus) and social factors (including image of service
personnel, image of other customers and environmental crowding); (2) Store
atmospheric factors have significant positive correlation with customer approach
behaviors, design factors being the most significant impact among all factors. Store
atmospheric factors will influence not only customer emotions but also customer
cognitive valuations of commodities and services. Customer cognitive valuations and
emotional responses will affect customer approach behaviors significantly; meanwhile,
customers’ cognitions and emotional responses will moderate the impact of store
37
atmosphere on customer behaviors partially; (3) Customers with various characteristics
(including different shopping planning, time urgency, environmental familiarity etc.)
have significant differences in customer perceptions and behaviors in general. Finally,
this study proposes specific suggestions and measures of how to create a pleasant store
atmosphere in chain store supermarket according to results of empirical analyses.
Sirgy, Dewal and Mangeburg (2000) suggest that the overall atmosphere of a
store can create a favorable consuming context and generate positive perceptive
emotions about the store among consumers. Store environmental factors can influence
the subjective feelings experienced by consumers in the store and influence the
shopping intention, consumption amount, perceived quality, satisfaction, and shopping
value (Babin & Darden 2000). A pleasant store atmosphere can prolong the time
consumers spend in the store, increasing the likelihood that the consumer will find
something he or she needs, as well as increasing impulse buying.
All store atmospheric factors, except for environmental crowding, have
significant impact on customer approach behaviors. Ordering from high to low
according to the extent of impact, the factors are design factors, intangible factors,
image of service personnel, visual stimulus and image of other customers. This reveals
that the design factor of a store is the biggest environment factor that impacts customer
approach behaviors; its power of influence and interpretation are significantly higher
than other factors.

38
Customers pay special attention to the designing in a supermarket, including
whether the layout and overall structure is reasonable, how is the interior decoration,
whether the signs and marks are clear, whether the display of commodities in corridor
space, commodity information and classification is complete and convenient.
All the aforementioned factors have significantly positive correlation with
customer approach behaviors, indicating that customer behaviors in supermarkets are
mainly affected by the environment factors that have biggest relevance with commodity.
Intangible factors and image of service personnel, that is, music, noise, room
temperature, clothing and attitude of service personnel etc. are also considered by
customers as critical factors that will influence their behaviors.
The only environment factor that does not enter into stepwise regression
equation is crowding perception. The major reason why crowding perception would not
influence customer approach behaviors may be because crowdedness is a common
phenomenon in Taiwan and people have already got used to it. Therefore, Taiwan
consumers’ tolerance on crowding perception is higher than overseas consumers;
crowdedness will not significantly influence customer approach behaviors (Chen &
Hsieh, 2011).
Customer Loyalty as Store Loyalty
Managers operate exhaustive marketing campaigns for captivating customers to

39
their own supermarkets (Duman & Yagci, 2006) because according to Rhee and Bell
(2002), customer loyalty is a significant sign of store health, since it defines one way in
which customers are attached to supermarkets. Customer loyalty in store setting is more
commonly known as store loyalty (Knox & Denison, 2000).
Customer loyalty is considered an important key to organizational success and
profit. Firms with large groups of loyal customers have been shown to have large
market shares, and market share, in turn, has been shown to be associated with higher
rates of return on investment as suggested that brand loyalty stimulates positive worth
of mouth and makes loyal customers more resistant towards competitive strategies.
Olsen and Johnson (2003) indicate that the link between satisfaction and loyalty
is non-linear but have positive relationship. They measured loyalty as the customer’s
state of intent to repurchase; they found that moving customers to a higher level of
satisfaction helps to develop long-term loyalty. They found a positive relationship
between satisfaction and loyalty and found that equity had a mediating effect on loyalty.
Ranaweera and Prabhu (2003) examined the combined effects of customer
satisfaction and trust on customer retention and positive word of mouth (one element of
loyalty). Their data from this large-scale survey confirmed that both satisfaction and
trust have a strong positive association with customer retention and word of mouth.
There are three types of brand loyalty namely, attitudinal, behavioral, and
40
composite loyalty. Attitudinal loyalty refers to the psychological component of brand
loyalty. It includes preferences of the consumers, promise or purchase. (Bennett et al.,
2014). On the contrary, behavioral researchers claim that a recurrence of transactions
exemplifies a consumer’s brand loyalty (Fung, King, Sparks & Wang, 2013). Although
attitudinal loyalty considerations assist in differentiating brand loyalty from frequent
purchases, it does not focus on actual purchases; rather relying on consumer
testimonies, which is why it may not be a precise exemplification of reality. In other
words, actual purchases may not be guaranteed by a positive brand attitude.
On the other hand, loyalty is regarded as a subjective behavioral purchase
exercise because it is a psychological process. Accordingly, a few scholars (Fung et al.,
2013) recommend a composite approach whereby the assessment of a consumer’s
loyalty to a specific brand necessitates consideration of both purchasing behavior and
attitudes. Some of the previous studies on brand loyalty have accessed and
acknowledged the composite view (Harris & Goode, 2004; Petrick, 2008) and it is
applied in this study too as it accomplishes presenting a comprehensive explanation of
the loyalty concept.
According to the other research of Noyan and Simsek (2014), retaining an
existing customer provides greater profitability than attracting a new customer;
Ehrenberg (2000) states that the few shoppers who remain exclusively store loyal are
generally light shoppers. In this study, customer loyalty is measured using parameters
41
such as customers’ willingness and intention to purchase in future and, their choice
behavior. The main propose of this research is to determine the antecedents that affect
supermarket customers loyalty and to test the relationship among these.
Based on the previous research on supermarket customers’ behavior, the effects
of six different major antecedents (comparative price perceptions, discount perceptions,
product quality perceptions, service quality perceptions, value perceptions and customer
satisfaction) on customer loyalty are tested.
With this truth, loyalty models gain great importance especially in retailing
sector. In this study, the intentions to “go on purchasing”, “improve future purchases”
and “advise store to others” are used as customer loyalty intention measures at a
supermarket retailer. The study modeled the linkages between antecedents (formulated
as latent constructs) such as the comparative price perceptions, discount perceptions,
product quality perceptions, service quality perceptions, value perceptions and customer
satisfaction and estimate their effects on current customers' loyalty intentions, using
structural equation modeling. The results from this latent variable structural equation
model assist supermarket managers providing beneficial information. Perceived service
quality affects value perception and customer satisfaction, besides perceived product
quality is also affected by the perceived service quality. The indirect effects of perceived
service quality are more influential than the direct effect of discount perceptions.
Therefore, the store managers consider quality (both service and product) as basics of
42
customer satisfaction along with customer loyalty.
Customer loyalty has also been defined by Lee, Lee and Feick (2001) as
involving word-of-mouth recommendation to others and an increased likelihood of
buying the brand as well as repeated purchase of the goods or services offered by the
company. A number of other studies have also established that customer satisfaction is
positively related to customer loyalty/retention (Ehigie 2006). Marzocchi and Zammit
(2006) found that satisfaction with self-checkouts positively influenced consumers’
patronage intentions toward store. On the other hand, Caruana (2002) argued that
customer satisfaction played a moderating role between service quality and loyalty.
Perceived Value
The study of Nikhashemi, et al. (2013) involving hypermarket customers
empirically supports the finding that perceived value plays an important role in
influencing brand customer loyalty. It is important to highlight that the study has
adopted the multi- dimensional approach. This study acknowledged that perceived
functional values as well as perceived symbolic value are the major predictors of
customer brand loyalty. Besides, the findings enable this study to expand existing
knowledge of the value perceived by the customer during their shopping from particular
hypermarket, by comparing the different value perceptions. Compared to previous
studies which view value for money as functional value to influence customer loyalty
(Sweeney & Soutar, 2001), the findings of this study reveal that symbolic value
43
involving how a customer can improve the way they are perceived and how they gain
pleasure in an appealing and stylish store with a good reputation is a determinant of
value perception beyond the functional value in the prediction of customer brand
loyalty.
Perceived value is not simply a trade-off between quality and price. Perceived
value is more complex; that a multi-dimensional approach of value perceptions should
be considered by scholars and managers; and that customer choice is the result of
multiple value perceptions (Petrick, 2008). There are two motives that are applicable to
consumer behavior as given by Chen and Hu (2010); the first one is functional motives
which refer more to tangible need such as price, convenience, quality and the second
one is non-functional motives which is more related to intangible wants such as
emotional and social needs. Nikhashemi, et al. (2016) define functional value as the
overall assessment of consumers about the quality of the products which they purchase
from the hypermarket, and the money they pay for it whether worth and symbolic value
refers more about overall of perception from emotional and social, and reputation
perspective. As an excellent customer goal, perceived value can potentially control
customer actions targeting behavioral loyalty (Sirdeshmukh, Singh, & Sabol, 2002).
Customer perceived value is found to affect purchase intention commitment and
customer brand loyalty.
In order to establish a long, stable and sound relationship with target customers,
44
retail enterprises should provide customers with more complete experience values
(Spiegelman, 2000). The shopping value under a retail context should include tangible
shopping results and intangible value perceptions as well as customer emotions.
Customers’ shopping behaviors should be considered from the acquisition view of
overall experience value.
Another strategy to harness store loyalty among customers is the use of loyalty
programs in the form of reward programs and loyalty cards. Reward programs were the
first loyalty programs to appear in grocery retailing. They provide customers with
points depending on the money spent over a period of time which can be exchanged in
the form of gifts or coupons related to cash discounts. But according to the study of
Gomez, Arranz and Cillan (2012), although being a loyal client in terms of sales is
necessary, it is no guarantee that a client will join a loyalty program. Of the
characteristics analyzed, shopping enjoyment, motivation, perceived disadvantages in
schemes, and individual’s desire for privacy act as inhibiting factors which deter joining
loyalty programs. Price sensitivity and search for variety prove irrelevant when
accounting for customer involvement in retailer loyalty program.
Supermarket retailers need to focus their efforts on designing loyalty programs
which contribute to improving perception that consumers have; that is to offer a variety
of incentives to consumers, comprising of tangible (i.e. product price reductions or
gifts) and intangible rewards (preferential treatment, information, or the possibility to

45
interact with other participants virtually by social networks of in the real world in
events). Loyalty programs’ success depends strongly on the value a system of
gratification offers as buyers adopt a scheme, change their buying behavior, only if they
judge the value as higher than the associated costs (joining expenses, personal data
offered, switching costs (Meyer-Waarden & Benavent, 2009).
Time stress
A research related to the current study is that of Kongarchapatara and Shannon
(2016) conducted in Bangkok, Thailand which provided empirical evidence regarding
the influences of time stress on customer loyalty and the understanding of motivations
underlying the particular behavior chosen for coping with stress. In today’s competitive
society, people are often overwhelmed by work and family duties. Most individuals
endure chronic and pervasive time pressure (Kim & Kim, 2008) that time demands
increase in role conflict and role ambiguity. Consumers are more time-stressed when
work deadlines approach and feel relieved when those laborious periods have passed.
The authors found that time stress is positively associated with store loyalty with
standardized regression of .58. One of the alternative explanations is that when
shoppers experience time constraints, they prefer to shop at the same store to avoid an
unfamiliar environment that would require additional time for shopping. When
consumers have low perceived time pressure, they tend to look for discounts in
46
shopping; while shoppers with high-time pressure stress tend to shop at their preferred
store; this eliminates the stress of unfamiliar store environments.
The same research identified two kinds of motivations of the respondents: the
utilitarian motivation with two dimensions – the efficiency and achievement; and the
hedonic shopping motivation – with six dimensions, adventure shopping, gratification,
role shopping, value shopping and idea shopping.
Trust
The construct of trust has taken on a more important role in the marketing
literature over the last decade (Brashear, Boles, Bellenger & Brooks, 2003), it is the
confidence to rely on an exchange partner, it may be in the form of a belief, a word or a
promise that the other party will fulfill his obligations in the exchange relationship.
Reichheld and Schefter (2000) state that “To gain the loyalty of customers, you must
first gain their trust”. Loyalty to the firm increases when consumers have perceptions of
trust in the service provider, it is something that cannot be copied by competitors.
Shoppers’ Characteristics
The study of Orel and Kara (2013) is related with the current study since it
considered also the profile of the respondents in determining customer satisfaction and
loyalty based on the self-check-out service of supermarkets. Out of 275 total
respondents, there were more female shoppers (60.7%) as against male shoppers
47
(39.3%) which according to him is a reasonable representation of the grocery shoppers
in Turkey. The majority of the shoppers were between the ages of 25-45, the age group
that use self- check-out counters. The majority of the respondents (60.4%) had a college
degree or higher, the most important characteristic of those who use self -checkout
counters.
Another study that considered the respondents’ profile is that of
Kongarchapatara and Shannon (2016) that had 390 respondents. 62.35 are female while
there were only 37.85 males. Majority of the shoppers were young (45.6%), followed
by middle-aged and mature adults (30.6%), next were teen-agers and first jobbers
(20.2%) and only 3.69% were older adults. Majority of the shoppers were employed,
belong to the middle-income group earning between 9,000 to 18,000 dollars annually
and majority were married. As per household structure, the majority contained 3 to 4
members and surprisingly 605 of them were childless.
Competitive Benchmarking
Competitive benchmarking in the service sector is known to improve service
performance by as much as 60 percent in less than a year (Min, Min & Chung, 2002).
Even though the application of competitive benchmarking to the service sector is
challenging due to the intangible nature of service quality and the subsequent lack of
universal service standards, competitive benchmarking has been successfully applied to

48
various service organizations such as hotels and restaurants. However, no prior
literature to date has reported any benchmarking studies on supermarkets. In fact,
supermarket benchmarking is not on the list of periodic service benchmarking studies
conducted by the Customer Service Benchmarking Association (2008).
Retailers are now looking for marketing strategies to prevent consumers from
switching store formats therefore that leads to a new form of competition that goes
beyond the traditional boundaries of retail establishments. This new market concept is
also defined as competitive convergence (Ancarani & Costabile, 2009). This new
phenomenon aims to develop new market strategies by extending target markets
Supermarkets cannot improve service performances unless they understand what
the leading organizations do in the market and what level of service gaps exists between
current performances and best practices. That is to say, one of the most is the provisions
of wide assortment of products with known brands and corresponding quality marks.
Part of the choices of customers may be the own brand of the supermarket.
Identified as determinants of supermarket service quality for benchmarking by
Banning & Weber (1994) and Min (2006) are: product quality, product variety,
cleanliness of the supermarket, supermarket location, price, price labeling, fast
checkout, easy payment, employee courtesy, store operating hours, and the availability
of special departments such as meat, fish, and delicatessen departments. Absent from
49
this list includes store reputation that may influence the grocery shopper’s supermarket
choice/patronage, but not necessarily the grocery shopper’s extent of satisfaction with
the supermarket (Ou and Abratt, 2006).
Min’s (2006) discovered that a service attribute considered most important to the
supermarket customers’ impressions of service quality is product quality. Upon the
analysis of service attributes “atmospheric” impression such as cleanliness of the store
seems to be significant, because grocery items displayed in the cleaner store may look
more sanitary to the customers. That is to say, freshly cleaned floors in the supermarket
can play a significant role in improving its customers’ impressions of service quality
and thereby retaining its customers.
Even though competitive price is not the most important attribute, the
supermarket customer was very sensitive to price changes. This finding indicates that
the supermarket customers are still looking for bargain shopping. In particular, in this
era of economic downturns and rising food prices, a significant price increase without
noticeable improvement in product quality and store environments can undermine the
supermarket’s competitiveness. The research recommended that the supermarket should
focus more on “every-day low price” strategy than on “occasional discount sales” to
obviate customer defections and phantom demand. Also, to sustain the high quality of
grocery items without increasing sourcing costs, the supermarket may consider reducing
its supplier bases and certifying its selected suppliers for quality assurance at the source.
50
Second, as expected, the overall leader of supermarket service quality turned out
to be the one that satisfied the customer most. The research discovered a direct
correlation between the relative service performance of the supermarket and its level of
customer satisfaction. Similarly, a pattern of the correlation between the relative service
performance of the supermarket and its brand recognition as evidenced by the top three
priority rankings of Meyer, Kroger, and Wal-Mart. That is to say, supermarket branding
can foster positive images of its service quality and subsequently help enhance its
competitiveness. Thus, this finding reaffirms earlier discoveries by Ou and Abratt
(2006) and Balmer (2001) that corporate reputation or branding could have a
long-lasting impact on store patronage, competitiveness, and business survival. Also,
survey result indicated that nearly half (46.4 percent) of the surveyed customers, who
were disappointed with the service quality of a supermarket, would not return to the
same supermarket. Thus, sustaining the high level of service quality is essential for
customer retention. More importantly, it should be reminded that good branding has a
lasting impact on the customer’s loyalty to a particular supermarket. In fact, Rhee and
Bell (2002) observed that many grocery shoppers had a primary affiliation to a “primary
store” that captured the majority of their purchases despite being presented with a
significant inducement to shop elsewhere. Thus, it was recommend that the supermarket
should develop a long- term branding strategy to prevent service failures and foster its
nice images. Such a strategy may include: generous return policy, special discounts for
51
loyal patrons, and quick attention to service failures (e.g., customer complaints).
Third, the customers tend to be more favorable to large- scale and national
supermarket franchises such as Meijer, Kroger, and Wal-Mart than small-scale and
regional counterparts such as Pic-Pac, Aldi and Save-A-Lot. This tendency may have
something to do with the trend that today’s time-conscious customers prefer to have
one-stop shopping at the same store without hopping from one store to another for
necessary items. In the wake of recent gasoline price hikes, a growing number of
customers would be inclined to exploit the convenience of one-stop shopping from
large- scale supermarkets without additional trips to other grocery stores. As a matter of
fact, survey results showed that large-scale supermarkets such as Meijer, Kroger and
Wal-Mart were believed to be better in offering the wide assortment of products
(product variety) than their small counterparts such as Aldi, Pic-Pac and Save-A-Lot.
They also can take advantage of economies of scale and thus maintain price edge over
their smaller counterparts. Considering this finding, the research recommended that
small and regional supermarkets should offer niche-oriented services that focus on the
freshness and quality of perishable groceries such as meat, deli, produce, and seafood
by sourcing those exclusively from local farmers and fishermen. This strategy will also
help the supermarket build a nice public image by contributing to the local economy.
As summarized above, this study incorporated the customers’ perception of
service quality into the supermarket benchmarking process and then evaluated “what-if”
52
scenarios associated with changes in the customers’ perception of service quality (i.e.,
changes in relative importance of service attributes).
Min (2006) mentioned in his research that service attributes such as competitive
price and convenience of store location can be differentiators for enhancing the store’s
competitiveness. Sales promotions through deep discounts and grocery coupons can
attract more customers. Another to consider is the location of the supermarket to be in
close proximity to high density population centers like residential neighborhoods,
schools, office complexes may enhance the supermarket’s competitive position.
Synthesis of Related Literatures
Shopping process in supermarkets will bring different experiences to customers.
Satisfaction of customers that come from the different attributes of the store are very
significant because these could lead to customer loyalty that is translated to store
loyalty.
Attributes of the store may be categorized as to store atmosphere that concern
the perceived value that customers attach to the quality and assortment of merchandise
and services of the supermarket, the overall image of the supermarket particularly the
cleanliness and the value of money, time and effort associated with shopping in the said
store.
53
The second attribute is that of the store image that concern the perceived value
that customers attach to the quality and assortment of merchandise and services of the
supermarket, the overall image of the supermarket particularly the cleanliness and the
value of money, time and effort associated with shopping in the said store.
The third attribute is convenience that include the strategic location of the store
both for pedestrian and transportation traffic; the facilities within the supermarket in
particular the service counters, payment options and shelves. Services for convenience
should extend to senior citizens and people with disabilities (PWDs).
Fourth attribute is lifestyle that concerns the different sections intended for
healthy foods, apparels and clothing, sports and leisure.
Customer loyalty in store setting is more commonly known as store loyalty
(Knox & Denison, 2000). One of the dimensions of store loyalty is the perceived value
attached by the customer to his shopping experience. Perceived value is not simply a
trade-off between quality and price. Perceived value is more complex; that a
multi-dimensional approach of value perceptions should be considered by scholars and
managers; and that customer choice is the result of multiple value perceptions (Petrick,
2002). There are two motives that are applicable to consumer behavior as given by
Chen and Hu (2011); the first one is functional motives which refer more to tangible
need such as price, convenience, quality and the second one is non-functional motives
54
which is more related to intangible wants such as emotional and social needs. This also
includes the intention of the customer for a repeat purchase and the prioritization of
shopping over other alternatives.
Time stress is positively associated with store loyalty. One of the alternative
explanations is that when shoppers experience time constraints, they prefer to shop at
the same store to avoid an unfamiliar environment that would require additional time
for shopping. When consumers have low perceived time pressure, they tend to look for
discounts in shopping; while shoppers with high-time pressure stress tend to shop at
their preferred store; this eliminates the stress of unfamiliar store environments.
To gain the loyalty of customers, it is important to gain their trust. Loyalty to
the firm increases when consumers have perceptions of trust in the service provider, it is
something that cannot be copied by competitors.
Retailers are now looking for marketing strategies to prevent consumers from
switching store formats therefore that leads to a new form of competition that goes
beyond the traditional boundaries of retail establishments. This new market concept is
also defined as competitive convergence (Ancarani & Costabile, 2009). This new
phenomenon aims to develop new market strategies by extending target markets.
Identified as determinants of supermarket service quality for benchmarking by Banning
Min (2006) are: product quality, product variety, cleanliness of the supermarket,
55
supermarket location, price, price labeling, fast checkout, easy payment, employee
courtesy, store operating hours, and the availability of special departments such as meat,
fish, and delicatessen departments. Absent from this list includes store reputation that
may influence the grocery shopper’s supermarket choice/patronage, but not necessarily.
Conceptual Framework
56
Figure 1 Conceptual Framework
This study is anchored on the research paradigm stating that the supermarket
attributes affect customers’ satisfaction but still needs to be proven if there exists
differences on the satisfaction level of the respondents when their profile is considered.
Customer satisfaction can lead to store loyalty based on three motives: perceived value,
time stress and trust.

57
Based from the results of the study, the best attributes of the supermarkets and
the most significant motive for store loyalty were used as the benchmark for
competitiveness for new target customers and retention of existing customers.
Statement of the Problem
This study determined the different attributes of selected supermarkets to become a
competitive benchmark for customer satisfaction and store loyalty. Specifically, it
addressed the following questions:
1. What is the profile of the customers in terms of:
1.1 Gender;
1.2 Age;
1.3 Civil Status;
1.4 Household structure;
1.5 Source of Income; and,
1.6 Frequency of shopping?
2. What is the level of satisfaction of the customers on the following attributes of
supermarket:
2.1 Store atmosphere;
2.2 Store image;

58
2.3 Convenience; and
2.4 Lifestyle?
3. What is the level of agreement pertaining to store loyalty of the customers on the
selected supermarket in terms of:
3.1 Perceived Value;
3.2 Trust; and,
3.3 Time Stress?
4. Is there a significant difference on the customers’ level of satisfaction on the
store attributes of supermarket when their profile is considered?
5. Is there a significant difference on the store loyalty of the customers when their
profile is considered?
6. Is there significant difference on the level of customer satisfaction and their
store loyalty?
7. Is there significant relationship between the customers’ level of satisfaction and
their store loyalty?
8. What store attributes and motives for store loyalty can be used as benchmark for
establishing a retail store?
Hypotheses:
Ho1: There is no significant difference on the customers’ level of satisfaction on the
store attributes of supermarket when their profile is considered.

59
Ho2: There is no significant difference on the customers’ store loyalty when their
profile is considered.
Ho3: There is no significant difference on the level of customer satisfaction and their
store loyalty.
Ho4: There is no significant relationship between the customers’ level of satisfaction
and their store loyalty.

60
CHAPTER III
RESEARCH METHODS
This chapter dealt with the methods by which the researcher formulated the
study. It dealt with the research design, the locale of the study and the sampling
techniques that were utilized. It also explained the instrument used for the gathering of
the data and the statistical tools used that determine analysis of the data gathered.
Research Design
This study is a descriptive research that used two designs, the exploratory and
the correlational. This explored the research topic with varying levels of depth. It has
been noted that “exploratory research is the initial research, which forms the basis of
more conclusive research. It can even help in determining the research design, sampling
methodology and data collection method”, (Singh, 2007). It tended to tackle new
problems on which little or no previous research has been done as in the case of
benchmarking.
This made use of correlational design since there are two quantitative variables
from the same group of respondents, the level of satisfaction on the store attributes and
the store loyalty. The researcher tried to determine if there is a relationship or

61
co-variation between the two variables or a similarity between them, not a difference
between their means.
Locale of the Study
This study covered the eight leading supermarkets in Metro Manila scattered in
different cities. According to primer.com.ph (2016), the top supermarkets in Metro
Manila with their chains also in other parts of the country are the following: Robinson’s
Supermarket, The Landmark Supermarket, Waltermart Supermarket, Puregold
Supermarket, S&R Membership Shopping, SM Supermarket, Rustan’s Supermarket,
and Super 8 Supermarket. It is expected by the researcher that since these are situated
in different cities, the customers are grouped heterogeneously according to social
classes.
Respondents of this study were shoppers from the supermarkets chosen by the
researcher based on convenience and quota sampling. Shoppers were chosen regardless
of gender, perceived to be of legal matured age perhaps responsible for household
shopping or marketing. A sample of at least 30 respondents per supermarket were
surveyed. Children and teen-age shoppers were excluded from the survey since they
may not be regular shoppers of the said stores.

62
Table 1
Distribution of Respondents According to Shopping Preference
Supermarket Frequency Percent
Supermarket A 30 12.5
Supermarket B 30 12.5
Supermarket C 30 12.5
Supermarket D 30 12.5
Supermarket E 30 12.5
Supermarket F 30 12.5
Supermarket G 30 12.5
Supermarket H 30 12.5
Total 240 100.0
Research Instrument
This study utilized a researcher-made questionnaire culled from the different
researches related to the current study. Questionnaire is divided into 3 parts: the profile
of the respondents; the level of customer satisfaction on the store attributes which are
generalized into five categories, store atmosphere, store image, lifestyle, convenience
and merchandise; the last part deals with the dimensions of customer loyalty –
perceived value, trust and time stress which are considered to be the determining factor
for store repurchase despite other alternatives. Part B and C are answered using Likert
Scaling.
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Table 2
Interpretation
Scale Range Weighted

Level of
Mean Extent of agreement
satisfaction
5 4.21 – 5.00 Extremely Strongly agree

satisfied
4 3.41 – 4.20 Very satisfied Agree
3 2.61- 3.40 Moderately Somewhat agree

Satisfied
2 1.81 – 2.60 Disagree
Slightly satisfied
1 1.00 – 1.80 Not at all Strongly disagree

satisfied
5-Point Likert Scale and Interpretation
Pilot-testing of the instrument was done to a group of the same class of
respondents. The Cronbach’s alpha reliability coefficient value of 0.947 indicated
excellent internal consistency of the questionnaire items (George and Mallery, 2003).
Data Gathering Procedure

64
Permission was sought from the administrators of the supermarket.
Administration of the questionnaires was done during the lax hours (between 10:00 AM
– 3:00PM) to ensure that shoppers are not in a hurry. Small tokens were given to all
shoppers who filled up the questionnaire.
In the initial administration of the questionnaires, the researcher experienced
difficulty in convincing shoppers to participate in the study. Most of the participants
were reluctant to read the informed consent form and some even completely ignored the
researcher. The supermarket administrator advised the researcher to employ the help of
students in fielding the questionnaires as the shoppers are more likely to warm up with
students wearing proper identification cards. The accomplished questionnaires were
collected by the researcher from the participants before they leave the supermarket
premises.
Ethical Considerations
Before the administration of the questionnaire, the participants were asked to
sign an informed consent form (Appendix No. 2) for them to know exactly what they
were being asked to do. Incentives to take part was provided. Participants were given
the option not to take part if they feel the questionnaire is unethical and too demanding
on their part.
65
Even when Consent Form has been signed, participants were made aware that
they were free to withdraw from the study at any time, without giving a reason. They
were given the option to request that the data they have given be removed from the
study.
‘Confidentiality’ relates to the protection of the data collected. Where the aim of
the research is specifically to access private feelings, stories, and concerns, there is a
need to be clear about how the confidentiality of that data was respected and the
respondents were assured of that.
On the part of the supermarkets, anonymity was observed and confidentiality of
results is limited to academic purposes.
Statistical Treatment
Data collected was processed using SPSS version 19.1. Frequency, percentage
and mean were used for the description of the profile of respondents and their level of
satisfaction on the store attributes and level of agreement on the criteria for store
loyalty.
Statistical testing such as t-test, Analysis of Variance or ANOVA were utilized
for test of significant differences on the ratings when respondents’ profile were
considered.
In correlating the variables of the study, Pearson r was used in measuring the
66
strength of the relationship between the variables level of satisfaction and agreement
variables and test its significance at 0.01 level of significance. Correlation is an effect
size and so can verbally describe the strength of the correlation using the guide that
Evans (1996) suggests for the absolute value of r:
R Interpretation
+/- .00-.19 - “very weak”
+/- .20-.39 - “weak”
+/- .40-.59 - “moderate”
+/- .60-.79 - “strong”
+/- .80-1.0 - “very strong”

67
CHAPTER IV
RESULTS AND DISCUSSIONS
This chapter presents the results of the data gathered among customers of the
eight selected supermarket. The chapter includes the customers’ profile, customers’
level of satisfaction on the different attributes of the supermarkets that were
correlated with their respective profile, the determining factors that lead to store
loyalty. The findings were culled to determine which among the supermarkets can be
the basis for benchmarking for those intending to engage in the same kind of
business.
1. Profile of the Respondents
The distribution of the respondent-customers of selected supermarkets
are presented on Tables 3 to 8 in terms of their profile.

68
Table 3
Distribution of Respondents According to Gender
Gender Frequency Percent
Female 133 55.42
Male 107 44.58
Total 240 100.0
It is evident on Table 3 that there were more female respondents (133 or 55.42
percent) than male (107 or 44.58 percent). Consumer behavior patterns are influenced
by the culture, the psychology, the social and financial status of the person making a
shopping excursion. As part of the Filipino culture, family grocery shopping is the
accepted domain of women, it is still the woman who “holds the purse” and the expert
when it comes to household needs.
Table 4
Distribution of Respondents According to Age
Age Frequency Percent
Below 20 years old 31 12.90

21 - 25 61 25.40
26 – 30 13 5.40
31 – 35 39 16.30
36 – 40 39 16.30
41 – 45 17 7.10
46 – 50 21 8.80
69
51 – 55 13 5.40
56 – 60 5 2.10
61 and above 1 0.40
Total 240 100.0
As shown on Table 4, aged 21 to 25 got the most number of the respondents
with 61 or 25.40 percent followed by 31 to 35 and 36 to 40 years old with both of them
represented by 39 or 16.30 percent, while 31 or 12.90 percent for those below 20 years
old. The lower number of respondents belongs to aged 46 to 50 with 21 or 8.80 percent,
41 to 45 with 17 or 7.10 percent, 51 to 55 with 13 or 5.40 percent, 56 to 60 with 5 or
2.10 percent and lastly, aged 61 and above only 1 or 0.40 percent.
Cultural and social shifts over the last few decades point to a noticeable increase
of younger male grocery shoppers is evident because the samples appear to have a
higher proportion of younger males under the age of 54 years. Other views suggest that
there was more joint sharing or primary undertaking of grocery shopping among
younger respondents. Age can impact on enjoyment levels. Because younger men
appear disengaged and are generally unhappy when shopping; older men are either
bored or disinterested (Otnes and McGrath 2001).
Table 5
Distribution of Respondents According to Source of Income

70
Source of Income Frequency Percent
Employment 158 65.8
Self-Employed 82 34.2
Total 240 100.0
Employment as source of income of the respondents was more prominent than
those who are self-employed which was represented by 158 or 65.80 percent and 82 or
34.20 percent, respectively.
Women have access to improved levels of income and are often engaged in
professional occupations. There is now a greater acceptance of working mothers and,
alternatively, fathers choosing to be home-stay parents and are either voluntarily or by
necessity engaging in supermarket shopping (Richbell and Kite 2007). The Philippines,
as a result of changes in the labor market, is beginning to identify new family role
structures characterized by a more egalitarian division of labor at home and in the
workplace. Simply, the labor-force participation of women aligns with the acceptance of
less traditional gender role attitudes and is the most widely accepted reason for the
increase of men shopping in supermarkets (Otnes and McGrath 2001; Richbell and Kite
2007).
Table 6
Distribution of Respondents According to their Civil Status

71
Status Frequency Percent
Single 110 45.83
Married 117 48.76
Separated 8 3.33
Widow/Widower 5 2.08
Total 300 100.0
Presented on Table 4 is the civil status of the respondents and it shows that the
numbers of single and married were quite close with 110 or 45.83 percent and 117 or
48.76 percent, respectively. There were small numbers for separated (8 or 3.33 percent)
and widow/widower (5 or 2.08 percent).
Increasingly, education has been seen as a life-long learning process, with the
higher education system not only providing for the 17–19 years age group, but also as a
community resource with the flexibility and adaptability to cope with the needs of
different people at different stages of their lives and careers . Recent social and
demographic movements initiated changes to traditional gender roles within the
household (Richbell and Kite 2007).
Table 7
Distribution of Respondents in Terms of Number of Household Members

72
Number of Household Members Frequency Percent

None 4 1.7
1 to 2 33 13.8
3 to 4 92 38.3
5 to 6 85 35.4
7 and more 26 10.8
Total 240 100.0
It is evident on Table 7 that there were more respondents with either 3 to 4
household members (92 or 38.5 percent) or 5 to 6 household members (85 or 35.4
percent). With 1 to 2 household members was represented by 13.8 percent (33),
while with 7 and more household member were 26 or 10.8 percent and only 4 or 10.8
percent for no household members at all.
It is ironic that the more the members of the household, the lesser is the
frequency of grocery shopping among the respondents. Implication of this might be the
tight budget of the number of family members or it might be that there might be other
members of the households who are assigned to such task. Those with 3-4 members
may be nuclear families who will ultimately be responsible for their household needs.
Table 8
Percentage Distribution of Respondents According to Frequency

of Shopping per Month
How often Frequency Percent
Once a Week 71 29.6

Every 15 days 37 15.4
73
Once a Month 35 14.6

As necessary 95 39.6
Others 2 .8
Total 240 100.0
Respondents divulged that majority of them went to supermarket as necessary
with 95 or 39.6 percent for their household needs, followed by at least once a week with
71 or 29.6 percent of the respondents. Only few who shopped every 15 days to be
specific 37 or 15.4 percent and once a month with 35 or 14.6 percent. There were 2 or
0.8 percent of the respondents who shopped other than those identified.
Filipino shoppers traditionally go to the supermarkets twice a month, usually on
paydays, for bulk shopping. For some basic items, however, Filipinos often buy from
sari-sari stores, local convenience shops. With the increasing number of supermarkets
across the country, however, a recent Nielsen survey observes that Filipino shopping
habits are shifting: shoppers are making “top-up” shopping trips in supermarkets more
frequently, and visiting the supermarket more often is becoming the norm due to the
increased number of supermarkets, their proximity to their place of work or even their
residences and the accessibility due to transportation.
This recent change in consumer behavior is pronounced, with major grocery
shopping trips giving way to a rise in buying only what is needed. On average, the
frequency with which Filipino shoppers replenish their pantries decreased from three
74
times per month in 2011 to two times per month in 2012. Meanwhile, the average
number of top-up shopping trips increased from three times per month in 2011 to seven
times per month in 2012 This recent increase in shopping frequency is providing more
opportunities for retailers and manufacturers to interact more often with the shoppers
(Nielsen.com, 2013)
2. Customers’ Level of Satisfaction on the Attributes of Supermarket:
Level of customers’ satisfaction on the attributes of selected supermarket in
terms of its atmosphere, image, convenience and lifestyle are presented on Tables 9, 10
and 11, respectively.
Store Atmosphere
Table 9
Store Attributes Rating Standard Verbal Interpretation

Deviation
1. Provides a pleasant shopping 4.25 0.66 Extremely satisfied
experience.
2. The place is well-lighted. 4.38 0.67 Extremely satisfied
3. Provides music that makes 4.07 0.88 Very satisfied
shopping less tiring
75
4. The decorations regularly adapts 4.27 0.78 Extremely satisfied

to the occasion providing good
ambiance.
5. The spaces between shelves are 4.14 0.79 Very satisfied
enough that customers do not
crowd even during peak seasons.
6. Image of other shoppers are not 4.15 0.74 Very satisfied
threatening.
7. Staff have clean and presentable 4.30 0.72 Extremely satisfied
appearance.
8. Staff are approachable. 4.10 0.80 Very satisfied
9. Staff are alert and can easily 4.10 0.83 Very satisfied
assist the customers.
10. Staff are polite and respectful. 4.17 0.75 Very satisfied
Mean Rating 4.19 Very satisfied
Level of Satisfaction of the Customers on the Atmosphere of Supermarket
Respondents divulged that they were “extremely satisfied” with the supermarket
being well-lighted (4.38), the staff as they have clean and presentable appearance
(4.30), t the decorations regularly adapts to the occasion providing good ambiance
(4.27) and they provides a pleasant shopping experience (4.25).
Respondent-customers assessed the following attributes of selected supermarket
“very satisfied”, to wit: staff are polite and respectful (4.17), image of other shoppers
are not threatening (4.15), the spaces between shelves are enough that customers do not
crowd even during peak seasons (4.14), staff are approachable (4.10), staff are alert and
can easily assist the customers (4.10) and provides music that makes shopping less
tiring (4.07).
76
Generally, the respondent-customers were “very satisfied” with the atmosphere
of the selected supermarket.
Consumers’ perception of store attributes influenced by retail formats, type of
products, cultural value, shopping intention and customer base (Paulins and Geistfeld,
2003). Female consumers perceived product quality, availability of new products,
service quality and convenience of store to be more important, whilst for male
important factors were price and store appearance. Store atmosphere, location, parking
facilities, and friendliness of store people are the salient factors that influence consumer
store patronage. As a result store attributes such as service offering, activities, facilities
and convenience have major influence on customer satisfaction and loyalty (Chang and
Tu, 2005).
While there is a strong sentimental attachment among Filipinos for their old
reliable sari-sari stores, many among the younger generation are increasingly attracted
to modern supermarkets—now suddenly more accessible in their
neighborhoods—which offer convenience, safety and a clear, air-conditioned
environment.
Store Image
Table 10
Level of Satisfaction of the Customers on the Image of Supermarket
Deviation
77
1. Offers a large assortment of 4.22 0.72 Extremely satisfied

products that fit customers’
tastes and preferences.
2. Merchandise offered are 4.25 0.69 Extremely satisfied
known for their brands and
quality.
3. Provides own brand for some 4.01 0.82 Very satisfied
important products.
4. Provides a variety and wide 4.18 0.72 Very satisfied
assortment of products.
5. Dried goods offered in this 4.15 0.73 Very satisfied
supermarket are known to
have high quality.
6. Wet and frozen goods offered 4.19 0.77 Very satisfied
in this supermarket are known
to have high quality.
7. I get the value for my money, 4.17 0.78 Very satisfied
time and effort in shopping in
this supermarket.
8. The supermarket is clean and 4.28 0.73 Extremely satisfied
the goods are neatly arranged
in the shelves.
9. The supermarket provides 4.08 0.85 Very satisfied
good price-labelling.
As evident on Table 10, the respondents were “extremely satisfied” with the
image of selected supermarket because of its cleanliness and the goods are neatly
arranged in the shelves (4.28), merchandise offered are known for their brands and
quality (4.25), offers a large assortment of products that fit customers’ tastes and
preferences (4.22).
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Rated “very satisfied” by the respondents were the following: wet and frozen
goods offered in this supermarket are known to have high quality (4.19), provides a
variety and wide assortment of products. (4.18), they get the value for my money, time
and effort in shopping in this supermarket (4.17), dried goods offered in this
supermarket are known to have high quality (4.15), provides good price-labelling (4.08)
and provides own brand for some important products (4.01).
As a whole, the image of supermarket based on identified variables was assessed
by the respondent-customers as “very satisfied” with numerical rating of 4.17. When
shoppers enter the supermarket, they are greeted by the produce section with its curving
displays. Apples, oranges, bananas, tomatoes, cabbage, lettuce, string beans, prepared
salads, etc. — all are displayed in an appetizing manner. The same with the wet section
for fish, poultry, meats and seafood.
Consumers usually perceive importance of only one item, stable prices; but
consumers want to see and make a choice from variety of products whether they are
imported or locally produced. The Philippines is the largest market in Southeast Asia
U.S. consumer-oriented food and beverage (f&b) for in products and one of the fastest
growing markets in the world, importing $898.4 billion in U.S. f&b products 2015
(gain.fas.usda.gov, 2016).
79
Importance is also attributed to quality fresh food and their perception towards
out-of-stock”. Specials and regular promotions were also considered with varying
degrees of importance, dependent upon the shoppers’ gender, education and occupation
(Mortimer & Clarke, 2011). Added to the above, the supermarkets are air-conditioned
that create a cool atmosphere for customers, store operating hours average from 9am to
11pm, it helps busy people have time to go shopping. Anytime the commodities are
always available, it helps them can buy anything they want.
Store Convenience
Table 11
Level of Satisfaction of the Customers on the Convenience of Supermarket

Deviation
80
1. Check-out lines are enough 4.02 0.84 Very satisfied

for the number of customers.
2. Payment counters provide 4.01 0.85 Very satisfied
fast service and multiple
payment options (e.g. use of
credit and debit cards, POs
and gift checks)
3. Express counters are enough 4.06 0.86 Very satisfied
for those with few items.
4. Shelves are not too high that 4.06 0.77 Very satisfied
customers can reach for the
items easily.
5. There is a convenient and 4.07 0.90 Very satisfied
safe parking area.
6. Parking area is free for its 3.94 1.07 Very satisfied
customers.
7. The supermarket is 4.35 0.77 Extremely satisfied
conveniently located (any
mode of transportation can
be used to reach it).
8. Provides a separate section 4.33 0.78 Extremely satisfied
for senior citizens and
PWDs.
9. Staff are ready to assist 4.35 0.76 Extremely satisfied
customers with heavy load;
the PWDs and senior
citizens.
Mean Rating 4.23 Extremely satisfied
The respondents said that in terms of convenience of selected supermarket, they
were “extremely satisfied” in particular for its being conveniently located (any mode of
transportation can be used to reach it) (4.35). The presence of supermarkets near
residential areas is a primary influence in this shopper behavior. Filipino shoppers say
that they prefer supermarkets that are easily accessible from their homes via jeepney,
tricycle and even by foot.

81
Other items by which consumers are extremely satisfied are: staff are ready to
assist customers with heavy load; the PWDs and senior citizens (4.35) and provides a
separate section for senior citizens and PWDs (4.33). In the Philippine supermarkets,
baggers are present and there is an additional service of “hatid” especially among the
seniors and PWDs. SM supermarket is one of those that do not even accept tips for
extra services rendered.
On the other hand, the respondents disclosed that they were “very satisfied” in
convenient and safe parking area (4.07), express counters are enough for those with few
items (4.06), shelves are not too high that customers can reach for the items easily
(4.06), check-out lines are enough for the number of customers (4.02), payment
counters provide fast service and multiple payment options (e.g. use of credit and debit
cards, POs and gift checks) (4.01) and parking area is free for its customers (3.94). The
key service encounter in supermarkets is the friendliness of the service personnel
together with accuracy and speed of the checkout experiences (Helgesen and Nesset,
2010).
First of all, shopping in supermarkets helps consumer feel comfortable. The
foods in the supermarket are of good quality and safety [safe] sic and hygiene sic
[hygienic]. Moreover, the prices between supermarkets and markets does not differ that
much, in some extreme cases the prices of the commodities in the supermarkets are
even cheaper than that of the market. Secondly, the services in supermarket are good.
82
The service staff is very careful, thoughtful and full of enthusiasm sic [enthusiastic].
Finally, supermarkets often have great promotions and costumers will have the
opportunity to receive attractive gifts which makes the costumer feel excited. The
presence of commodities in supermarkets are abundant and varied from high to
moderate that fit each consumer pocket (Truong, 2015). Safety, hygienic, and
enthusiastic are factors that can be considered by retailers in designing marketing
strategies to create customer traffic in their supermarket. Retailers must provide an
ambience where the customers will feel safe while doing their shopping, merchandise
especially food items must be fresh and hygienic, promotions are excellent marketing
strategies that attract shoppers to visit or even become regular patron of a certain
supermarket. Promotional strategies may it be in the form of price reduction, buy one
take one, or even loyalty rewards are conducted in order to increase customer traffic in
their supermarket. Ultimately excellent service provided by the employees to the
customers is also a big factor as it creates added value.
Store Lifestyle
Table 12
Level of Satisfaction of the Customers on the Lifestyle of Supermarket

83

Deviation
1. There is great selection 4.29 0.75 Extremely satisfied
of healthy foods.
2. Merchandise are offered 4.20 0.77 Very satisfied
in wide variety with
different brands that one
can choose from.
3. My shopping needs for 4.18 0.83 Very satisfied
all occasions are found in
this supermarket.
4. The supermarket 4.09 0.94 Very satisfied
provides different
sections for life’s
activities (e.g. leisure,
sports, etc.)
5. The section for 3.92 1.01 Very satisfied
apparel/clothing have
complete selections.
6. Provides a gift-wrapping 3.33 1.32 Moderately satisfied
section.
As shown on Table 12, the lifestyle of supermarket generally assessed by the
respondents as “very satisfactory” with numerical value of 4.00.
“Extremely satisfied” was the rating given the respondents when it comes to there
is great selection of healthy foods (4.29).
The respondents were “very satisfied with the selected supermarket because the
merchandise offered are in wide variety with different brands that one can choose from
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(4.20), their shopping needs for all occasions are found in this supermarket (4.18), the
supermarket provides different sections for life’s activities (e.g. leisure, sports, etc.)
(4.09), the section for apparel/clothing have complete selections (3.92).
Lastly, “moderately satisfied” rating was given for the category supermarket
provides a gift-wrapping section (3.33).
Since supermarkets are conveniently located, it is a big relief on the part of
working parents that they can buy emergency needs for different occasions. These
supermarkets have school supplies and even gift items in cases where there is an
emergency need for these items and there is no time to visit the mall, parents would
normally resort to buying these items from the nearby supermarket. Clothing for
different occasions are also made available that make it convenient to do grocery
shopping and lifestyle shopping at the same time.
3. Level of Agreement of the Respondents on the Criteria Pertaining to Store
Loyalty
85
Perceived Value
Table 13
Respondents’ Level of Agreement on the Perceived Value

of Selected Supermarket As Criterion on Store Loyalty
Criteria for Perceived Value Rating Standard Verbal

Deviation Interpretation
1. The supermarket provides 4.35 0.69 Strongly Agree
the style, appeal and good
reputation.
value for my money, time
and effort for the quality of
goods.
the quality of service I expect
to receive.
4. I feel safe and secured doing 4.29 0.72 Strongly Agree
my shopping in this
supermarket.
5. The supermarket provides 3.71 1.31 Agree
loyalty programs such as
rewards points for my
purchases.
Mean Rating 4.17 Agree
Table 12 divulged that four out of five given perceived value for selected
supermarket were rated “strongly agree” by the respondents as to the supermarket
provides the style, appeal and good reputation (4.35), the supermarket provides value
for my money, time and effort for the quality of goods (4.25), the supermarket provides
the quality of service I expect to receive (4.26), I feel safe and secured doing my
86
shopping in this supermarket (4.29). In terms of supermarket provides loyalty programs
such as rewards points for my purchases (3.71), the respondents rated it as “agreed”
Regarding retail establishments in general, Sheth, Mittal and Newman (2001)
affirm that loyalty results from two sets of factors, called “what” and “how”. The first is
determined by the variables quality of merchandise, variety of products, price and
brands. The second is determined by the variables ease of self-selection, information
and assistance in the store, convenience, resolution of problems and personalization. It
is revealed that loyalty programs and rewards come only secondary.
One of the supermarkets under study has ongoing promos of grocery products
every week. They have scheduled promos with their suppliers, so any day of the week a
shopper comes in to do their weekly or bimonthly groceries, they can get bargains from
the different categories. When the supermarket was launched last year, Unilever gave
away prices every hour. Every week there’s a raffle, bundling of products, and offers at
50 percent off or buy-one-take-one promos. (Lara, 2008)
Time Stress
87
Table 14
Respondents’ Level of Agreement on the Time Stress

of Selected Supermarket As Criterion on Store Loyalty
Criteria for Time Stress Rating Standard Verbal Interpretation

Deviation
1. The supermarket is 4.28 0.77 Strongly Agree
conveniently located and easily
accessible with different modes
of transportation.
2. I am familiar with the store 4.11 0.77 Agree
lay-out and the arrangement of
the different sections.
3. Just doing my shopping around 4.18 0.81 Agree
gives me a feeling of relief from
my stress.
4. The wide assortment of 4.21 0.76 Strongly Agree
merchandise in different brands
saves my time in searching in
other stores.
With regard to time stress, the respondents said they “strongly agreed” in the
supermarket is conveniently located and easily accessible with different modes of
transportation (4.28) and the wide assortment of merchandise in different brands saves
their time in searching in other stores (4.21).
On all measures, shoppers considered convenient locations important, however,
men did not rate this level of importance as highly as did women. On the specific
88
measure of easy to get to, shoppers are not deterred by the difficulties of getting to a
supermarket, as long as it is easy to find and built in a convenient location. The
difficulties in getting to the supermarket may include transport issues, work constraints
and other temporal barriers.
On the other hand, respondents only gave a rating of “agree” on measure
pertaining to just doing their shopping around gives them a feeling of relief from stress
(4.18) and they are familiar with the store lay-out and the arrangement of the different
sections (4.11).
The result implies that loyal customers give more consideration on factors like
accessibility of the supermarket to different modes of transportation and wide
assortment of merchandise in different brands. Customers are very sensitive when it
comes to spending a lot of time transferring from one supermarket to another if only to
find items that they need. They normally prefer to do their shopping task in one
supermarket which houses everything that they need.
Trust
89
Table 15
Respondents’ Level of Agreement on the Trust

For Selected Supermarket as Criterion on Store Loyalty
Criteria for Trust Rating Standard Verbal

1. The discounts offered are 4.24 0.72 Strongly Agree
realistic and reliable.
2. The quality of goods 4.23 0.70 Strongly Agree
commensurate with the
price I pay.
3. Poultry, meat, fish, 4.25 0.74 Strongly Agree
vegetables are fresh and
good in quality.
4. The staff are honest with 4.23 0.71 Strongly Agree
all their dealings with the
customers.
Mean Rating 4.24 Strongly Agree
As presented on Table 15, all statements indicating the trust of the
respondent-customers to the selected supermarket were rated “strongly agreed”, to wit:
the discounts offered are realistic and reliable (4.24), the quality of goods
commensurate with the price I pay (4.23), poultry, meat, fish, vegetables are fresh and
good in quality (4.25) and the staff are honest with all their dealings with the customers
(4.23).
This result implies that honesty and fairness when it comes to what they expect
as to the quality of products they deserve comes very important to the consumers.
Révillion (2000) also evaluates customer satisfaction with supermarkets,

90
identifying three dimensions responsible for satisfaction. The first, called comfort and
convenience, is composed of the indicators: presence of a bagger; different payment
options; store cleanliness; decoration/design and modernity; and efficiency of the
equipment. The second dimension is called internal organization, composed of the
variables: organization of each section; quality of the meats, cold cuts and dairy
products; range of imported products; supermarket technology; and visibility of product
prices. The third dimension, called services, contains the indicators: ease of obtaining a
store credit card; availability of bar code price readers; sales via telephone, fax or
Internet; competence of the employees and services; and home delivery of groceries.
What is the ranking of the factors leading to store loyalty? It is no longer
surprising that trust comes first which means that the customers sees the discounts being
offered as realistic and reliable, the staff are honest in all their dealings with the
customers and they value the freshness of their meat, fish, poultry and fruits and
vegetables sold in the supermarket; time stress came in second which implies that
customers preferred a conveniently located and accessible store and that there is a wide
assortment of merchandise in different brands; and the last being perceived value which
means the supermarket provides the appeal, style and good reputation as well as value
for the shoppers’ money, time and effort.

91
Store Loyalty
Table 16
Respondents’ Level of Agreement on the Statements Pertaining to their

Loyalty to Selected Supermarket
Criteria for Store Loyalty Rating Standard Verbal

1. I do my regular shopping in 3.99 0.87 Agree
this supermarket.
2. I will do my future shopping 4.09 0.78 Agree
in this supermarket despite
other alternatives.
3. This supermarket is my first 3.89 0.85 Agree
priority in doing my
shopping.
4. I am willing to refer this 4.05 0.79 Agree
supermarket to the other
shoppers.
Table 16 presents the loyalty of the respondent-customers to the selected
supermarket since the statements under this were rated “agree” They agreed that they
will do their future shopping in this supermarket despite other alternatives (4.09), they
are willing to refer this supermarket to the other shoppers (4.05), they do regular
shopping in this supermarket (3.99), and the supermarket is their first priority in doing
my shopping (3.89).
92
It is interesting to note that the customers only rated “agree” to their store
loyalty despite the positive attributes they perceived. This may be due to the reason that
there are a lot of choices, there is a stiff competition coupled with easy accessibility of
other establishments. Modern retail markets such as supermarkets, hypermarkets and
convenience stores (including ‘minimarts) have become more essential especially to
those living in Metro Manila and other large cities as customers demand more
convenience and flexibility. These modern markets have expanded both in urban and
rural areas, close to residential and commercial communities. This is because modern
retail markets are usually cleaner, more comfortable, spacious and well-maintained.
Moreover, supermarkets offer a wider range of choices for the consumers, including
both perishable and non-perishable goods. Wet markets retain an advantage in fresh
product, including meat and seafood, but especially fresh fruit and vegetables.
The presence of too many supermarkets intensifies competition among the
players in the retail industry and as such empowers the customers to choose from the
many options available. Since there is no differentiation in terms of product offering and
there is little if at all no cost in shifting from one supermarket to another store loyalty
becomes very difficult to attain.

93
4. Significant Difference on Customers’ Level of Satisfaction on the Attributes of
Supermarket When They Are Grouped According to Their Profile.
Table 17
ANOVA for Customers’ Level of Satisfaction on the Attributes

of Selected Supermarkets
Supermarket Mean Rating Ranking
S –A 4.15 5
S–B 4.30 3.5
S–C 4.45 1
S–D 4.03 6
S-E 3.91 7
S-F 4.30 3.5
S-G 3.81 8
S-H 4.31 2
p-value*
0.000
Decision
Reject Ho
Interpretation
With significant difference
* at 0.05 level of significance
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The results on Table 17 shows that that the customers were “extremely satisfied”
with the store attributes of Supermarket C with a rating of 4.45 (rank 1), followed by
Supermarket H (rating=4.31, rank 2), then Supermarket B and Supermarket F both got a
rating of 4.30 (rank 3.5).
When the above ratings were subjected to statistical testing with the use of
ANOVA, it was revealed that significant difference exists among supermarkets.
Table 18
t-test for Customers’ Level of Satisfaction on the Attributes

of Selected Supermarkets When they are Grouped According to Gender
Mean Rating
Gender
Female 4.03
Male 4.30
p-value* 0.045
Decision Reject Ho
Interpretation With significant difference
As shown on Table 18, when the respondents were grouped according to their
gender and subjected to statistical testing, the result shown that there is a significant
difference on the level of satisfaction of female and male respondents with regard to the
store attributes of selected supermarket. Table 17 further shows that male customers
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were extremely satisfied (mean rating=4.30), while female customers were very
satisfied (mean rating=4.03). The result is already expected by the researcher since
generally male are less conscious or does not give too much attention to nitty-gritty as
compared to female that is why their level of satisfaction is higher than the latter. Male
shoppers are expected to go directly to the aisle which holds the items they are
intending to purchase without bothering to compare one brand to another. Female
shoppers on the other hand would take time paying attention to the smallest details of
the product. They are more likely to compare product benefits as well as prices of the
merchandise.
Based from the research of Montimer and Clarke (2011), there are three
stereotypical models of male shopping behavior: grab and go; whine and wait; and fear
of the feminine. They further contended that men search deliberately, limit
price-comparison shopping and browse infrequently. Men took less time to complete the
shopping task, purchased fewer items than women but paid a higher price per item.
When comparing the speed of the shopping task with the number of items purchased,
men appeared to take less time to select products then women.

96
Table 19

of Selected Supermarkets When they are Grouped According to Age
Age Group Mean Rating Ranking

21-25 3.94 9
26-30 4.11 7
31-35 4.10 8
36-40 4.38 4
41-45 4.20 5
46-50 4.18 6
51-55 4.41 3
56-60 4.51 1
61 and above 4.49 2
p-value* 0.01
Decision Reject Ho
The level of satisfaction of respondents on supermarket attributes at their given
age were subjected to a test of significant difference using ANOVA. The computed
p-value of 0.01 is less than its 0.05 level of significance which resulted to the rejection
of the null hypothesis stated in Chapter 1. This implies that significant differences
exist.
Looking at Table 19, the three highest mean ratings (rank 1, 2 and 3 with the
ratings of 4.51, 4.49 ad 4.41, respectively) belong to aged 51 and above which
interpreted as extremely satisfied. While the three lowest mean ratings (rank 9, 8 and 7
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with mean ratings of 3.94, 4.11 and 4.10, respectively) belong to aged 21 to 35. It
seems that the level of satisfaction of the older customers is higher than the younger
ones. This is similar to the result of the study conducted by Parment (2013) which
suggested that Generation Y’s level of satisfaction is based on their choice of retailer
either on the lowest price or on convenience attributes, such as buying grocery items in
a store that they pass by in the way home from work while Baby Boomers are more
likely to enjoy shopping in one store as much as possible, something that they see as
convenient and easy.
Younger one still have the options to look for other supermarkets offering
discounts and rewards and are more adventurous in looking for new product offerings.
The older generation may just consider convenience, location and are price sensitive.
Service provision may also be an important consideration.
Table 20
t-test for Customers’ Level of Satisfaction on the Attributes

of Selected Supermarket When they are Grouped
According to Source of Income
Source of Income Mean Rating
Employment 4.13
Self-employed 4.15
p-value* 0.776
Decision Accept Ho
Interpretation No significant difference
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*at 0.05 level of significance
When the source of income of respondents were considered for a test of
significant difference, it was revealed on Table 20 that there is no significant differences
on the level of satisfaction of those employed and self-employed with regard to the
identified attributes of selected supermarket. This finding is quite different from the
findings in the study conducted by Alard et.al. (2009) which provide empirical
confirmation of differences in the shopping values and level of satisfaction based on
income in explaining customer’s attitudes toward a retail environment. The same
contention has been posited in the study conducted by Sivesan and Karunanithy (2013).
The main objective of the said study was to examine the relationship between personal
demographical factors (age, sex, gender, income level, educational level, and marital
status) and customer satisfaction. The study revealed that there exist a significant
difference on the source of income and customer satisfaction.
Differences were detected between age and occupation groups and the level of
importance placed on convenience, location and trading times. Respondents, employed
in blue collar or trade occupations were more aligned to supermarkets offering greater
99
levels of convenience, than respondents employed in professional roles. Younger,
trade-qualified customers considered convenience most importantly. Combining age,
income and occupation variables, significant differences existed on the level of
importance placed on consistent, reliable and stable pricing. There was an expectation
that younger respondents, employed in blue collar occupations, would patronize
supermarkets offering consistent, stable, low prices.
Table 21

of Selected Supermarket When they are Grouped According to Civil Status
Civil Status Mean Rating Ranking

Single 4.03 3
Married 4.24 2
Separated 3.99 4
Widow/er 4.59 1
p-value* 0.009
Decision Reject Ho
*at 0.05level of significance
When the respondents were group as to their civil status, the computed p-value
is less than its 0.05 level of significant which implies that there is a significant
difference on their level of satisfaction on the identified attributes of selected
supermarkets. This however is in contrast with the findings of Sivesan and Karunanithy
(2013) which posited that there is no significant difference on personal demographic

100
factors such as marital status and customer satisfaction. However, the study conducted
by Mirzagoli and Memarian (2015) suggested that there is a significant difference on
marital status and customer satisfaction. Out of all the demographic profile considered
in the study, marital status is one of the five factors which generated greatest impact on
customer satisfaction.
Married and widow/er respondents disclosed that they were extremely satisfied
while the singles and separated were very satisfied with the different attributes of
selected supermarket. Married individuals will be more sensitive with price, services,
convenience and locations since their time for shopping is restricted with family
obligations.
Table 22
ANOVA for Customers’ Level of Satisfaction on the Store Attributes

of Supermarket When they are Grouped According
to Number of Household Members
No. of Household Members Mean Rating

1-2 4.26
3-4 4.07
5-6 4.16
7 and more 4.18
p-value* 0.421
Decision Accept Ho

101
As shown on Table 21, the computed p-value of 0.421 is greater than its 0.05
level of significance. This implies that there is no significant differences on the level of
satisfaction of respondents when they were grouped according to the number household
members. The number of household members does not have an impact on customer
satisfaction.
Table 23

of Selected Supermarket When they are Grouped
According to Frequency of Visit
Frequency of Visit Mean Rating Ranking

Once a week 4.27 1
Every 15 days 4.08 4
Once a month 4.21 3
As necessary 4.04 5
Others 4.22 2
p-value* 0.054
Decision Accept Ho
As shown on Table 23 the computed p-value of 0.054 is greater than its 0.05
level of significance. This implies that there is no significant difference on the level of
satisfaction of respondents when they were grouped according to the frequency of visit.
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The frequency of the respondents visit to the selected supermarket does not have an
impact to customers’ level of satisfaction.
Table 24

of Selected Supermarket When they are Grouped According to the
Only Supermarket Where They Go Shopping
This Supermarket Only Mean Rating

4.31
Yes
4.10
No
p-value* 0.010
Decision Reject Ho
When the respondents were asked if they only shop in a particular supermarket,
their responses were subjected to statistical treatment using ANOVA. As shown on
Table 23, the p-value of 0.010 is less than its 0.05 level of significance and this implies
that the difference between the yes and no responses is significant.

103
Those who answered yes disclosed that they were extremely satisfied with the
attributes of selected supermarket while those who answered no said they were very
satisfied. It is apparent that customer satisfaction is a determinant for store loyalty. This
differs from the results of the study by Koistinen and Jarvinen, 2009 which posited that
consumers have one primary store, which is often a hypermarket or a supermarket and
in addition, they shop in several supplementary stores close to their home. This study
suggested that Finnish consumers are used to multi-channel choices and they are
capable of taking advantage of channel competition strategies. Their loyalty is not
limited to one store but also to their supplementary choices, even if they choose a
variety of them, they know exactly what to get in each shop.
5. Significant Difference on Level of Agreement of the Respondents on the
Criteria for Store Loyalty When They Are Grouped According to Their Profile.
Table 25
ANOVA for Customers’ Level of Agreement on the

Criteria for Store Loyalty of Selected Supermarkets
Supermarket Mean Rating Ranking
S-A 4.02 7
S-B 4.27 4
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S-C 4.50 1
S-D 4.07 6
S-E 4.12 5
S-F 4.30 3
S-G 3.85 8
S-H 4.44 2
p-value*
0.000
Decision
Reject Ho
Interpretation
With significant difference
The results on Table 25 shows the result of the ANOVA for a test of significant
difference on the level of agreement on the criteria for store loyalty among selected
supermarket. The p-value of 0.000 is greater than its 0.05 level of significance which
means that significant difference exists on the customers’ level of agreement on the
identified criteria for store loyalty among supermarkets.
Table 24 further shows that with this regard, the Supermarket C got rank 1 with
a rating of 4.50, followed by S - H, rank 2 with a rating of 4.44, then Supermarket F
rank 3 (rating=4.30) and S - B, rank 4 with a rating of 4.27.
The results indicated that supermarkets which provided high satisfaction to their
customers are likely to benefit from store loyalty.

105
Table 26
t-test for Customers’ Level of Agreement on the Criteria for Store Loyalty
When they are Grouped According to Gender
Mean Rating
Gender
Female 4.15
Male 4.28
p-value* 0.329
Decision Accept Ho
As shown on Table 26, when the respondents were grouped according to their
gender and subjected to statistical testing, the result shown that the computed p-value of
0.329 is greater than its 0.05 level of significance. This could be interpreted that the
level of agreement of male and female with regard to criteria for store loyalty has no
significant difference.
This is in contrast to the findings of Das (2013) in which the study explored the
moderating role of gender with retail brand personality and store loyalty. The study
suggested that gender plays an important role in consumer retail buying behavior. The
result of the study revealed that for female respondents the relationship between retail
brand personality and self -congruity to store loyalty is weaker than male. Further it
posited that retailers for males can rely more on retail brand personality over
self-congruity to encourage customer loyalty while retailers for females can rely more
on self-congruity over retail brand personality to enhance store loyalty. Similarly Noble
106
et al. (2006) explored gender theories and shopping motivation to identify drivers of
consumer local merchant loyalty. Results indicated that gender significantly influences
shopping motives and shopping motivation differences influence local merchant loyalty.
However Stan (2015) contended that gender although often perceived as a main
predictor of differential outcomes in social psychology literature, it is not yet clear how
these differences impact customer loyalty and its antecedents as factors that influence
shopper’s choice behavior.
In demonstrating a preference for store loyalty, men routinely patronized the
same store while women were more inclined to shop around for the best buy. Men
favored a wide product range with quality fresh produce and meat together with clearly
identifiable pricing. As such, men consider objective criteria more important than
subjective criteria in the decision- making process.
Whereas female customers are relatively more loyal to individuals, such as
individual service providers, male customers are relatively more loyal to groups and
group-like entities, such as companies. It suggests that female consumers are more loyal
than male consumers to individuals but that the opposite effect occurs when the object
of loyalty is a group. In turn, this may imply that women are more loyal to individual
employees but that men are more likely to be loyal to companies, which may be
construed as a more group-like phenomenon.
Table 27
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ANOVA for Customers’ Level of Agreement on the Criteria

for Store Loyalty When they are Grouped According to Age
Age Group Mean Rating Ranking

21-25 4.05 8
26-30 3.99 9
31-35 4.21 5
36-40 4.07 7
41-45 4.41 2
46-50 4.30 4
51-55 4.14 6
56-60 4.30 3
61 and above 4.54 1
p-value* 0.002
Decision Reject Ho
Presented on Table 27 shows that given the ages of the respondents, their level of
agreement to the criteria for store loyalty differs. This is due to the result of ANOVA
that the p-value of 0.002 is less that its 0.05 level of significance which means that there
is significant difference on the level of agreement of the respondents on the criteria for
store loyalty when their ages were considered.
As shown on Table 27, respondents aged 61 and above expressed their strong
agreement with the criteria on store loyalty with the highest rating of 4.54. While the
lowest rating of 3.99 (agree) belongs to age group 26-30. This may be due to the fact
that in recent times shopping has turned into source of entertainment and recreation
more than just a routine shopping. Older groups may be more loyal since study
underlines that how consumers usually consider crowded shopping centers and long
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queues as major shopping stressors. Consumers have progressively resorted more to
large, structured retailing stores with a spacious variety of products for “One stop shop‟.
However, it is evident on said Table that no trend could be established as to the
general classification of respondents such as the younger, middle and older groups. At
micro level, an individual customer is influenced by many variables when he or she
decides to shop at a supermarket instead of the traditional mom-and-pop stores.
Age has a tremendous impact on consumer behavior (Yoon and Cole, 2008). It
has a bearing on how consumers interpret experiences and form attitudes toward
marketing communication. When compared to younger customers, older customers are
less likely to change their purchasing patterns and product preferences and have less
desire to switch providers (Yoon and Cole, 2008; Patterson, 2007). However, despite the
contributions to consumer literature that signal differences on consumer behavior there
is still a notable absence of literature that assess the impact of age on loyalty (Ndubisi,
2006).
Table 28
t-test for Customers’ Level of Agreement on the Criteria for Store Loyalty
When they are Grouped According to Source of Income
Source of Income Mean Rating
Employment 4.15
Self-employed 4.16
p-value* 0.951
Decision Accept Ho
109

The result of t-test on Table 28 shows that p-value of 0.951 is above its level of
significance of 0.05 which means that the difference between level of agreement of
respondents, whether he/she is employed or self-employed on the given criteria for store
loyalty is insignificant.
Individuals tend to be loyal to a particular supermarket because of its attributes
like convenience, service provision quality and assortment of goods and even location.
Whether employed or self-employed, the condition is the amount of money in their
pockets.
Table 29

for Store Loyalty When they are Grouped According to Civil Status
Civil Status Mean Rating Ranking

Single 4.07 3
Married 4.24 1
Separated 3.98 4
Widow/er 4.22 2
p-value* 0.037
Decision Reject Ho
Presented on Table 29 is the result of ANOVA between the respondents’ level of
agreement on criteria for store loyalty and their civil status. It is evident that the
110
p-value of 0.037 is greater than its 0.05 level of significance which resulted to the
corresponding null hypothesis stated in Chapter 1. This result indicated that the level of
agreement of the respondents on the criteria for store loyalty could be associated to the
civil status of respondent.
As shown on Table 29, married and widow/er respondents (mean ratings of 4.24
and 4.22, respectively) strongly agreed on identified criteria for store loyalty, while
single and separated respondents (4.07 and 3.98, respectively) just simply agreed on
same criteria.
Married and those who have been married (widowed or divorced) were more
loyal than single shoppers were. The greater the shopping frequency and the more
purchasing per store visit are factors that increase their customer loyalty. Single
shoppers tend to shop at other department stores, and this causes a negative influence on
their loyalty. Price deals were an important, and the only significant marketing strategy
that increases customer loyalty. Shoppers may not perceive a significant amount of
value at the chosen supermarket, but there may be a high level of trust and some degree
of satisfaction and commitment.
Table 30

for Store Loyalty When they are Grouped According to
No. of Household Members Mean Rating
None 4.09
1-2 4.19
111
3-4 4.15
5-6 4.16
7 and more 4.14
p-value* 0.991
Decision Accept Ho
The result of ANOVA on Table 29 shows that p-value of 0.991 is above its level
of significance of 0.05 which means that the difference between level of agreement of
respondents on the given criteria for store loyalty and number of household members is
insignificant. This however is in contrast with the findings of the study conducted by
Mishra and Prasad (2015) that identified the linkages between consumers’ brand loyalty
with respect to various product categories and socio demographic variables in order to
appreciate customer relationship marketing (CRM) strategies in the changing Indian
context. The study revealed that there is moderately strong relationship between the
number of members of a family and customer loyalty. Further it implies that the higher
the number of family members, the higher the loyalty factor to the identified product
categories. The result suggested that in these two categories of product the family
prefers to buy the same product or brand than to opt for variety. However the contention
is that the study is limited to specific product categories offered for sale in
supermarkets, the case might not be the same if customer loyalty is directed to a
particular supermarket.
112
Table 31
ANOVA for Customers’ Level of Agreement on the Criteria for Store

Loyalty When they are Grouped According to Frequency of Visit
Frequency of Visit Mean Rating

Once a week 4.23
Every 15 days 4.11
Once a month 4.25
As necessary 4.09
Others 3.61
p-value* 0.114
Decision Accept Ho
As shown on Table 30, the p-value of 0.114 is greater that its level of significance
of 0.05 which means that the difference between the level of agreement of the
respondents on the given criteria for store loyalty is insignificant, when their frequency
of visits were considered.
Table 32

for Store Loyalty When they are Grouped According
to the Only Supermarket Where They Go Shopping
This Supermarket Only Mean Rating

4.37
Yes
4.10
No
113
p-value* 0.000
Decision Reject Ho
In Table 32, the respondents were grouped as to yes and no responses if they
only shop on a particular selected supermarket. The ANOVA result shows that the
difference between the yes and no ratings is significant at 0.05 level of significance
where p-value of 0.000 is less than 0.05.
Respondents who go shopping to a particular supermarket strongly agreed, with
a mean rating of 4.37 on the criteria for store loyalty, while those who responded no
gave a mean rating of 4.10 which interpreted as agreed only on the same criteria. This
indicates that there is always a tendency for a shopper to look for alternative
supermarket considering other attributes not found in their previous choice.
6. Relationship Between the Respondents’ Level of Satisfaction and their Store
Loyalty
Table 33
Correlation between Respondents

Level of Satisfaction and their Store Loyalty
Sig.
r Degree of (2-tailed) Decision Interpretation
Relationship α=0.01
Significant
**
0.732 High 0.000 Reject Ho relationship
**. Correlation is significant at the 0.01 level (2-tailed).
114
Table 33 shows the correlation between the respondents’ level of satisfaction on
the given attributes of selected supermarket and their level of agreement with the
criteria for store loyalty. It is evident that there is a positive high relationship between
the two variables. When the computed correlation was subjected to its significance,
the p-value of 0.000 is less that its 0.01 level of significance which means that the
relationship between the level of satisfaction and agreement on the criteria for store
loyalty is significant.
The result further implies that as the customers’ level of satisfaction on the
attributes of selected supermarket increases, the level of agreement on the criteria for
store loyalty also increases.
The above is supported by the findings of Bloemer and Odekerken-Schröder
(2002) when they examined causal relationships between the marketing mix elements
(store image, customer relationship proneness, positive affect), store satisfaction, trust,
commitment and customer loyalty (word-of-mouth communication, price insensitivity,
purchase intentions) in Belgium mid-sized supermarket stores. The results show that (1)
store image, consumer relationship proneness and positive affect have a significant
effect on customer satisfaction; (2) trust and commitment play an important mediating
role between satisfaction and customer loyalty; and (3) commitment has the strongest
impact on customer loyalty. The authors recommended future studies measure the
marketing mix elements as product, price, place and promotion, rather than store image,
115
customer relationship proneness and positive affect.
A similar study conducted by Anyadighibe (2014) supports the findings in
which it was revealed that there subsist significant relationships between customer
satisfaction and: loyalty, customer patronage and customer retention. It is recognized
that with improvement of customer satisfaction a firm will find customers that are more
loyal. Based on the study, firm managers are advised to satisfy and better manage their
relationships through quality product and service offerings to their customers as a
competitive policy in the marketplace. These offerings are required to meet or surpass
consumers’ expectations in order to enhance customer loyalty. Several marketing
literature has been consistent in recognizing customer satisfaction as a vital forebear to
loyalty. In the context of service industry also, customer satisfaction has repeatedly and
consistently been identified as a significant factor in determination of customer loyalty
(Boshoff and Gray, 2004; Lam et al., 2004; Mittal and Lassar, 1998). Studies also
pointed that customer satisfaction is the most researched antecedent of customer loyalty
(Eshghi et al., 2007; Cooil et al., 2007); García and Caro, 2009). Studies found a
positive relationship between customer satisfaction and customer loyalty (Anderson and
Mittal, 2000) and revealed that customer satisfaction also impacts the main pointers of
customer loyalty (Kandampully and Suhartanto, 2003; Lin and Wang, 2006; Mittal and
Kamakura, 2001). Lam et al. (2004) opined that satisfaction can affect a customer's
attitude to a degree where he/she not only feels motivated to re-buy but also offer
116
recommendations to the service provider. Kandampully and Suhartanto (2000) carried
out their study in hotel industry and established significant positive impact of customer
satisfaction on customer loyalty.
7. Store attributes and motives for store loyalty can be used as benchmark for
establishing a retail store.
Benchmarking Store Attributes
Among the eight selected supermarket, the Supermarket C got rank 1, as
presented on Table 16 in terms of customers’ satisfaction on the store attributes such as
its atmosphere, image, lifestyle and convenience. This rating of supermarket C was
compared with the other selected supermarket and subjected to statistical test to
determine the significance of the rating with the used of ANOVA. ANOVA result
revealed that the level of satisfaction of customers on the attributes of Supermarket C
was far from the other selected supermarket.
In view of this, the researcher recommends that Supermarket C as a benchmark
on store attributes in particular, its atmosphere, image, lifestyle and customer
convenience in order to improve satisfaction of their customers.
Benchmarking Motives for Store Loyalty

117
Relationship between customers’ satisfaction and agreement on the criteria for
store loyalty marked as high with computed correlation of 0.732 and this correlations is
said to be significant at 0.01 level of significance (Table 33).
Since Supermarket C was ranked 1 in customers’ satisfaction on the store
attributes, it is not surprising that the same supermarket likewise got rank 1 in terms of
motives for store loyalty with a mean rating of 4.50. Furthermore, said rating was
compared to other selected supermarket and subjected to ANOVA to determine its
significance. ANOVA result revealed that the rating for Supermarket C with regard to
criteria for store loyalty is truly different from other selected supermarket (see Table
25).
At this point, it is recommended that Supermarket C as benchmark in terms of its
motives to develop store loyalty. The said supermarket was the first major retailer to
promote health and wellness, Supermarket C commits to bring together healthy options
and affordable prices in a refreshingly clean and organized shopping destination. One of
the country's largest supermarket chains, the Supermarket makes a bold lifelong
commitment to educate and empower its customers to make healthy choices.
Raising the standard of shopping experience, Supermarket C synergizes
refreshing colors with very clean aisles and organized displays. This translates to more
space and freedom for relaxed grocery shopping. It commits to become the
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supermarket of choice, known for fresh and healthy foods at competitive prices, and
excellent customer service.
CHAPTER V
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
This chapter presents the summary of findings, the conclusions as answer to the
hypotheses formulated and the corresponding recommendations based from the
findings.
Summary of Findings
119
1. Profile of Respondents
As to the profile of the respondents there were more female respondents (133 or
55.42 percent) than male (107 or 44.58 percent). Aged 21 to 25 got the most number of
the respondents with 61 or 25.40 percent followed by 31 to 35 and 36 to 40 years old
with both of them represented by 39 or 16.30 percent, while 31 or 12.90 percent for
those below 2o years old. The lower number of respondents belongs to aged 46 to 50
with 21 or 8.80 percent, 41 to 45 with 17 or 7.10 percent, 51 to 55 with 13 or 5.40
percent, 56 to 60 with 5 or 2.10 percent and lastly, aged 61 and above only 1 or 0.40
percent.
Employment as source of income of the respondents was more prominent than
those who are self-employed which was represented by 158 or 65.80 percent and 82 or
34.20 percent, respectively.
The numbers of single and married were quite close with 110 or 45.83 percent
and 117 or 48.76 percent, respectively. There were small numbers for separated (8 or
3.33 percent) and widow/widower (5 or 2.08 percent).
There were more respondents with either 3 to 4 household members (92 or 38.5
percent) or 5 to 6 household members (85 or 35.4 percent). With 1 to 2 household
members was represented by 13.8 percent (33), while with 7 and more household
member were 26 or 10.8 percent and only 4 or 10.8 percent for no household members
at all.
120
Respondents divulged that majority of them went to supermarket at least once a
week (71 or 29.6 percent) for their household needs, followed by as necessary with 95
or 39.6 percent of the respondents. Only few who shopped every 15 days to be specific
37 or 15.4 percent and once a month with 35 or 14.6 percent. There were 2 or 0.8
percent of the respondents who shopped other that those identified.
2. Customers’ Level of Satisfaction on the Attributes of Supermarket
Store Atmosphere
Respondents divulged that they were “extremely satisfied” with the staff as they
have clean and presentable appearance (4.30), the place is well-lighted (4.38), the
decorations regularly adapts to the occasion providing good ambiance (4.27) and they
provides a pleasant shopping experience (4.25).
Respondent-customers assessed the following attributes of selected supermarket
“very satisfied”, to wit: staff are polite and respectful (4.17), image of other shoppers
are not threatening (41.5), the spaces between shelves are enough that customers do not
crowd even during peak seasons (4.14), staff are approachable (4.10), staff are alert and
can easily assist the customers (4.10) and provides music that makes shopping less
tiring (4.07).
Generally, the respondent-customers were “very satisfied” with the atmosphere of
the selected supermarket.

121
Store Image
The respondents were “extremely satisfied” with the image of selected
supermarket because of its cleanliness and the goods are neatly arranged in the shelves
(4.28), merchandise offered are known for their brands and quality (4.25), offers a large
assortment of products that fit customers’ tastes and preferences (4.22).
Rated “very satisfied” by the respondents were the following: wet and frozen
goods offered in this supermarket are known to have high quality (4.19), provides a
variety and wide assortment of products. (4.18), they get the value for my money, time
and effort in shopping in this supermarket (4.17), dried goods offered in this
supermarket are known to have high quality (4.15), provides own brand for some
important products (4.01), provides a variety and wide assortment of products (4.01).
As a whole, the image of supermarket based on identified variables was assessed
by the respondent-customers as “very satisfied” with numerical rating of 4.17.
Store Convenience
In terms of convenience of selected supermarket, they were “extremely
satisfied” in particular for its being conveniently located (any mode of transportation
can be used to reach it) (4.35). Other items by which consumers are extremely satisfied
are: staff are ready to assist customers with heavy load; the PWDs and senior citizens
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(4.35) and provides a separate section for senior citizens and PWDs (4.33).
The respondents disclosed that they were “very satisfied” in convenient and safe
parking area (4.07), express counters are enough for those with few items (4.06),
shelves are not too high that customers can reach for the items easily (4.06), check-out
lines are enough for the number of customers (4.02), payment counters provide fast
service and multiple payment options (e.g. use of credit and debit cards, POs and gift
checks) (4.01) and parking area is free for its customers (3.94)
Store Lifestyle
“Extremely satisfied” was the rating given the respondents when it comes to the
supermarket offering great selection of healthy foods (4.29).
The respondents were “very satisfied with the selected supermarket because the
merchandise are offered in wide variety with different brands that one can choose from
(4.20), their shopping needs for all occasions are found in this supermarket (4.18), the
supermarket provides different sections for life’s activities (e.g. leisure, sports, etc.)
(4.09), the section for apparel/clothing have complete selections (3.92),
Moderately satisfied rating on the other hand was given to the supermarket
providing a gift-wrapping section (3.33).
Ranking the different store attributes according to the categories, the highest
level of satisfaction is attributed to store convenience with the attributes as being

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conveniently located and accessible to all kinds of transportation and to the store’s
service of giving assistance to seniors and PWDs. Second is store atmosphere
particularly on the characteristic of the supermarket as being well-lighted. Third is the
store image with the supermarket’s attributes of being clean and having neatly arranged
merchandise. Fourth is the store lifestyle with the attribute of providing a wide selection
of healthy foods.
3. Level of Agreement of the Respondents on the Criteria Pertaining to Store
Loyalty
Perceived Value
Four out of five given perceived value for selected supermarket were rated
“strongly agree” by the respondents as to the supermarket provides the style, appeal and
good reputation (4.35), I feel safe and secured doing my shopping in this supermarket
(4.29), the supermarket provides the quality of service I expect to receive (4.26), and the
supermarket provides value for my money, time and effort for the quality of goods
(4.25). In terms of supermarket provides loyalty programs such as rewards points for
my purchases (3.71), the respondents rated it as “agreed”
Time Stress
With regard to time stress, the respondents said they “strongly agreed” in the

124
transportation (4.28) and the wide assortment of merchandise in different brands saves
their time in searching in other stores (4.21). On the other hand, respondents “agreed”
that just doing shopping around gives them a feeling of relief from stress (4.18) and
they are familiar with the store lay-out and the arrangement of the different sections
(4.11).
Trust
All statements indicating the trust of the respondent-customers to the selected
supermarket were rated “strongly agreed”, to wit: poultry, meat, fish, vegetables are
fresh and good in quality (4.25), the discounts offered are realistic and reliable (4.24),
the quality of goods commensurate with the price I pay (4.23), and the staff are honest
with all their dealings with the customers (4.23).
Store Loyalty
The customers agreed that they will do their future shopping in this supermarket
despite other alternatives (4.09), they are willing to refer this supermarket to the other
shoppers (4.05), they do regular shopping in this supermarket (3.99), the selected
supermarket is their first priority in doing my shopping (3.89). In general, the
statements under store loyalty were just rated by the customers as “agreed”.
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4. Significant Difference on Customers’ Level of Satisfaction on the
Attributes of Supermarket When They Are Grouped According to Their
Profile.
Gender
When the respondents were grouped according to their gender and subjected to
statistical testing, the result shown that the computed p-value of 0.045 is less than its
0.05 level of significance. This could be interpreted that the level of satisfaction of
male and female with regard to the store attributes has a significant difference.
Age
There is significant difference on the level of satisfaction of the respondents on
the store attributes when their ages were considered. Respondents aged 56-60 and above
expressed their extreme satisfaction with the store attributes with the highest rating of
4.51. While the lowest rating of 3.94 (very satisfied) belongs to age group 21-25.
Source of Income
The difference between level of satisfaction of respondents, whether he/she is
employed or self-employed on the store attributes of selected supermarket is
insignificant.
126
Civil Status
The result indicated that the level of satisfaction of the respondents on the store
attributes could be associated to the civil status of respondent. Married and widow/er
respondents (mean ratings of 4.24 and 4.59, respectively) are extremely satisfied with
the identified attributes of selected supermarket, while single and separated respondents
(4.03 and 3.99, respectively) are very satisfied on the store attributes.
The result of ANOVA showed that p-value of 0.421 is above its level of
significance of 0.05 which means that the difference between the level of satisfaction
of the respondents on the identified store attributes and number of household members
is insignificant.
Frequency of Visit
The level of satisfaction of the respondents on the store attributes of selected
supermarket is insignificant, when their frequency of visits were considered.
5. Significant Difference on Level of Agreement of the Respondents on the Criteria
for Store Loyalty When They Are Grouped According to Their Profile.
Gender
127
When the respondents were grouped according to their gender and subjected to
statistical testing, the result shown that the computed p-value of 0.329 is greater than its
0.05 level of significance. This could be interpreted that the level of agreement of male
and female with regard to criteria for store loyalty has no significant difference.
Age
There is significant difference on the level of agreement of the respondents on
the criteria for store loyalty when their ages were considered. Respondents aged 61 and
above expressed their strong agreement with the criteria on store loyalty with the
highest rating of 4.54. While the lowest rating of 3.99 (agree) belongs to age group
26-30.
Source of Income
The difference between level of agreement of respondents, whether he/she is
employed or self-employed on the given criteria for store loyalty is insignificant.
Civil Status
The result indicated that the level of agreement of the respondents on the criteria
for store loyalty could be associated to the civil status of respondent. Married and
widow/er respondents (mean ratings of 4.24 and 4.22, respectively) strongly agreed on
128
identified criteria for store loyalty, while single and separated respondents (4.07 and
3.98, respectively) just simply agreed on same criteria.
The result of ANOVA showed that p-value of 0.991 is above its level of
significance of 0.05 which means that the difference between level of agreement of
respondents on the given criteria for store loyalty and number of household members is
insignificant.
Frequency of Visit
The level of agreement of the respondents on the given criteria for store loyalty is
insignificant, when their frequency of visits were considered.
6. Relationship Between the Respondents’ Level of Satisfaction and their Store
Loyalty
There is a positive high relationship between the level of customers’ satisfaction
and store loyalty. When the computed correlation was subjected to its significance, the
p-value of 0.000 is less that its 0.01 level of significance which means that the
relationship between the level of satisfaction and agreement on the criteria for store
loyalty is significant.
7. Store Attributes for Benchmarking

129
Among the supermarkets under study, Supermarket C got the highest scoring
from the customers in terms of the different aspects for customer satisfaction. As to the
different store attributes that can be used for benchmarking are the following: For (1)
store atmosphere, it is very important that supermarket provides a pleasant shopping
experience by having the place well-lighted with decorations befitting of the occasions
celebrated and not to be discounted are staff who are clean and presentable in
appearance; (2) store image, customers are extremely satisfied with clean supermarkets
with wide variety and assortment of quality products that are neatly arranged in their
shelves or gondolas; (3) store convenience, location is a very important determinant of
customer satisfaction and loyalty especially if the supermarket can be reached with all
modes of transportation. It also becomes an advantage when the supermarket has
separate section for senior citizens and PWDs with staff who are ready to give their
assistance to the above; store lifestyle, shoppers consider the wide assortment of healthy
foods, and the variety of brands for the different merchandise.
Conclusions:
1. There are more female supermarket shoppers than male and most of them are within
the age range of 21-40. Majority of the shoppers are married, employed and having
household members between3-6. Majority of the shoppers do shopping as necessary.

130
2. Customers have the highest level of satisfaction on store atmosphere as to its lighting
and decorations; for store image are the cleanliness and the neat arrangement of goods;
for store convenience consumers equally consider the location and the assistance of the
staff to the senior citizens and the PWDs; for store lifestyle, shoppers are extremely
satisfied to the wide assortment of healthy foods.
3. Customers tend to be loyal to the store when their perceived value of the supermarket
is high as to its style, appeal and good reputation, when it provides the value for their
money, time and effort for the quality of goods and service they expect and when they
feel safe and secured while shopping. As to time stress, shoppers tend to be loyal when
transportation, an array of choices for merchandise and the experience provides a relief
from work and household stress. Trust is another strong indicator of store loyalty when
shoppers feel genuine service, and quality of goods. Despite everything, there is always
a feeling of ambivalence as to continuous patronage of the selected supermarket.
4. There is a significant difference on the level of satisfaction of the supermarket
shoppers when their gender, age, and civil status are considered.
No significant difference was found between level of satisfaction and source of income,
and number of household members.

131
5. There is no significant difference on the level of agreement for store loyalty when the
gender, source of income, number of household members, and frequency of visits are
considered.
The level of agreement for store loyalty has significant difference when age and the
civil status of the shopper is considered.
6. There is significant correlation between the satisfaction of supermarket shoppers on
the different attributes of the supermarket and their store loyalty.
7. From the assessment of the supermarket shoppers, the store attributes of Supermarket
C can be the basis for benchmarking
Recommendations
With the growing number of supermarkets, the business environment provides
great rivalry. Since the environment in which customer satisfaction occurs is dynamic,
it is imperative, both in academic and management terms, to include new variables in
the analysis, providing constant updating and enrichment of the theory and practice.
Understanding to what measure what consumers desire and value, the offer of various
attributes is fundamental to the strategy of any retail establishment. Offering those

132
attributes that really are valued by consumers can generate satisfaction that can translate
into loyalty.
Customers are dynamic and thus their behavior keeps changing influenced by
their tastes and preferences, change in the economy and the various products and
services promotion programs, thus what could be drawing them to develop loyalty for a
particular supermarket could change by a provision of another appealing taste in another
supermarket. There should be continuous provision of promotion practices,
improvement of the structure, facilities and services.
Since consumers now are more health-conscious, the quality of healthy foods
should be the number one consideration of supermarkets taking into consideration also
the price sensitivity of the shoppers.
To enhance customer satisfaction, the following are the recommended store
attributes that can serve as basis for marketing strategies of supermarkets:
Store Convenience –The supermarket must be situated in a convenient location that is
accessible to all forms of public transportation. PWDs and senior citizens must be taken
into consideration in terms of store layout and there must be a separate payment section
for them. Consideration should also be given on the height of shelves, free and safe
parking area, and express counters

133
Store Atmosphere- Supermarket managers must make provisions for a well-lighted
selling area, ensure that decorations in the store adapts to the different occasions/
celebrations, it is also important for the staff to have a presentable appearance, and
ultimate goal is for the shoppers to have a pleasant shopping experience.
Store Image- Supermarket managers should secure clean and neat arrangement of
merchandise in the selling area and offer large assortment of merchandise that are
known for their brands and quality. It is also important to provide value for time, money
and effort of the shoppers as well as good price labelling for all merchandise.
Lifestyle – There must be provisions for a wide variety of healthy options/foods and
supermarket must also offer merchandise with different brands for the shoppers to
choose from.
In terms of dimensions for store loyalty, the following are the recommended
areas to consider for benchmarking that can serve as basis for marketing strategies of
supermarkets:
Trust- This factor is considered as a very critical criteria for store loyalty. The
supermarket managers must see to it that when offering discounts it has to be reliable
and realistic. The price should commensurate the quality and freshness of goods. It is
also vital that the supermarket employees practice honesty in dealing with the shoppers.
134
Time Stress- The supermarket should be situated in a strategic location that is
accessible to different modes of transportation. It should not be laborious for the
customers to visit the supermarket neither should they spend long hours commuting
from their place of residence to the supermarket. There should be a wide assortment of
merchandise offerings in different brands so that the customers will not find a reason to
go to other supermarkets.
Perceived Value- The supermarket managers must provide style, appeal and good
reputation of the store so that the customers will have a favourable attitude towards the
supermarket. It is also important to offer merchandise of good quality hence value for
the shopper’s money. Quality service should also be observed as well as safety and
security for the shoppers while in the store premises as this adds value to the
supermarket in the minds of the customers.

135
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APPENDIX 1
QUESTIONNAIRE
Dear Respondent:
I am currently doing my dissertation, “Attributes of Selected Supermarkets:

A Competitive Benchmark for Customer Satisfaction and Store Loyalty”, as a
partial requirement for my degree in Doctor in Business Administration. This research
aims to find out the attributes of selected supermarkets to be the basis for a benchmark
for store loyalty.
May I request you to spare your precious time to answer the attached
questionnaire for my data-gathering. Rest assured that your responses will be treated
with confidentiality. You may also withdraw from answering the questionnaire anytime
should you find it prejudicial and intimidating on your part.
Thank you very much.

Researcher
______________________________________________________________________
A. PROFILE OF THE RESPONDENTS
1. Supermarket : ______________________________
2. Gender: _____ Male ______ Female
3. Age: _____ Below 20 ______ 21-25 ______ 26 – 30
146
_____ 31 – 35 ______ 36 – 40 ______ 41 – 45

_____ 46 – 50 ______ 51 – 55 ______ 56 – 60
_____ 61 and above
4. Source of income: ______ Employment ______ Self-employed
5. Civil Status: ______ Single ______ Married
______ Separated ______ Widow/Widower
6. Number of household members:
______ None ______1- 2 ______ 3-4 ____5-6 ____7 & more
7. Frequency of visit: How often do you go shopping in this supermarket?

______ once a week ______ every 15 days _______ once a month
______ as necessary ______ others (pls. specify)____________________
8. Is this the only supermarket where you go shopping?
______ Yes ______ No
B. Store Attributes: The following statements would like to assess your level of
satisfaction on the different store attributes of the supermarket. Kindly check
the box that corresponds to your answer.
Extremely Very Moderately Slightly Not at

STORE ATTRIBUTES satisfied Satisfied Satisfied satisfied all
(5) (4) (3) (2) satisfied
(1)
Store Atmosphere
1. Provides a pleasant shopping
experience.
2. The place is well-lighted.
3. Provides music that makes
shopping less tiring
4. The decorations regularly
adapts to the occasion
providing good ambiance.
5. The spaces between shelves
are enough that customers do
not crowd even during peak
seasons.
147
6. Image of other shoppers are

not threatening.
7. Staff have clean and
presentable appearance.
8. Staff are approachable.
9. Staff are alert and can easily
assist the customers.
10. Staff are polite and
respectful.
Store image
1. Offers a large assortment of
products that fit customers’
tastes and preferences.
2. Merchandise offered are
known for their brands and
quality.
3. Provides own brand for
some important products.
4. Provides a variety and wide
assortment of products.
5. Dried goods offered in this
supermarket are known to
have high quality.
6. Wet and frozen goods
offered in this supermarket
are known to have high
quality.
7. I get the value for my
money, time and effort in
shopping in this supermarket.
8. The supermarket is clean and
the goods are neatly arranged
in the shelves.
9. The supermarket provides
good price-labelling.
Lifestyle
1. There is great selection of
healthy foods.
148
2. Merchandise are offered in

wide variety with different
brands that one can choose
from.
3. My shopping needs for all
occasions are found in this
supermarket.
4. The supermarket provides
different sections for life’s
activities (e.g. leisure, sports,
etc.)
5. The section for
apparel/clothing have
complete selections.
6. Provides a gift-wrapping
section.
Convenience
1. Check-out lines are enough
for the number of customers.
2. Payment counters provide
fast service and multiple
payment options (e.g. use of
credit and debit cards, POs
and gift checks)
3. Express counters are enough
for those with few items.
4. Shelves are not too high that
customers can reach for the
items easily.
5. There is a convenient and
safe parking area.
6. Parking area is free for its
customers.
7. The supermarket is
conveniently located (any
mode of transportation can
be used to reach it).
8. Provides a separate section
for senior citizens and
PWDs.
149
9. Staff are ready to assist

customers with heavy load;
the PWDs and senior
citizens.
10. Customer Service counter
have enough staff that can
easily assist customers.
C. Store Loyalty. The following refer to the level of agreement you associate to the
statements pertaining to store loyalty. Please check the box corresponding to
your response.
Strongly Agree Somewhat Disagree Strongly

Criteria for Store Loyalty Agree (4) Agree (2) Disagree
(5) (3) (1)
Perceived Value. I will repeat my purchase/shopping in this supermarket because .
.
1. The supermarket
provides the style,
appeal and good
reputation.
2. The supermarket
provides value for my
money, time and effort
for the quality of goods.
3. The supermarket
provides the quality of
service I expect to
receive.
4. I feel safe and secured
doing my shopping in
this supermarket.
5. The supermarket
provides loyalty
programs such as
rewards points for my
purchases.
150
Time Stress. I will repeat my purchase/shopping in this supermarket because . . .

1. The supermarket is
conveniently located and
easily accessible with
different modes of
transportation.
2. I am familiar with the
store lay-out and the
arrangement of the
different sections.
3. Just doing my shopping
around gives me a
feeling of relief from my
stress.
4. The wide assortment of
merchandise in different
brands saves my time in
searching in other stores.
Trust. I will repeat my purchase/shopping in this supermarket because . . .
1. The discounts offered
are realistic and reliable.
2. The quality of goods
commensurate with the
price I pay.
3. Poultry, meat, fish,
vegetables are fresh and
good in quality.
4. The staff are honest with
all their dealings with
the customers.
Therefore . . .
1. I do my regular
shopping in this
supermarket.
2. I will do my future
shopping in this
151
supermarket despite
other alternatives.
3. This supermarket is my
first priority in doing my
shopping.
4. I am willing to refer this
supermarket to the other
shoppers.
Thank you very much.
APPENDIX 2
INFORMED CONSENT FORM
Project Title: ATTRIBUTES OF SELECTED SUPERMARKETS: A

COMPETITIVE BENCHMARK FOR CUSTOMER SATISFACTION AND
STORE LOYALTY
I volunteer to participate in a research project conducted by MA. ELENA C.

ESTEBAL from the Colegio de San Juan de Letran. I understand that the project is
designed to gather information about customer satisfaction and store loyalty of
supermarket shoppers. I will be one of 240 respondents for this research.
Participant’s Statement
I agree that:
● I understand that if I decide at any time that I no longer wish to take part in this
project, I can notify the researcher involved and withdraw immediately.
● I consent to the processing of my personal information for the purposes of this

research study.
● I understand that such information will be treated as strictly confidential

152
● I agree that the research project named above has been explained to me to my
satisfaction and I agree to take part in this study.
_____________________
My Signature
_____________________
My Printed Name
For further information, please contact:

elenaestebal@yahoo.com
0922 8117085
APPENDIX 3
LETTER REQUEST TO CONDUCT SURVEY
[Date]
[Name of Contact Person]

[Position]
[Name of Supermarket]
Dear Sir/Madam:
Warmest greetings!
I would like to ask your permission to allow me to conduct a survey among the
shoppers of your supermarket. This is in view of my dissertation, entitled, “Attributes
of Selected Supermarkets: A Competitive Benchmark for Customer Satisfaction
and Store Loyalty”. I am conducting a survey among shoppers from eight top
supermarkets in Metro Manila. Attached herewith is the survey questionnaire for this
study.
The survey will be conducted from 10:00 am to 3:00 pm in order to make sure that the
shoppers are not in a hurry. Participation in this survey is entirely voluntary and there
are no known or anticipated risks to participation in this study. All information provided
153
will be kept in utmost confidentiality and would be used only for academic purposes.
The name of your supermarket and the names of the respondents will not appear in any
publication resulting from this study unless agreed to.
Your approval to conduct this study will be greatly appreciated. Thank you in advance
for your interest and assistance with this research.
Should you require any further information, please do not hesitate to contact me. My
contact details are as follows:
elenaestebal@yahoo.com 09228117085
Sincerely,
Ma.Elena C. Estebal
APPENDIX 4
TIMETABLE OF THE RESEARCH
STAGE ACTIVITY START DATE END DATE

Research Finalize research May 2, 2016 May 7,2016
Design and problem/questions
Planning Develop research design May 10, 2016 May 15, 2016
Literature Search, capture and May 2016 August, 2016
Review synthesize relevant literature
Prepare draft literature September 1, 2106 September 8, 2016
review
154
Completion Submit Chapters 1, 2, and 3 January 18, 2017 January 18, 2017
of Chapters for research proposal
1, 2, and 3 schedule
Research Present research proposal to January 29, 2017 January 29, 2017
Proposal the panel
Data Finalize sampling plan February 2017 February 2017
Collection
Develop data collection February 8, 2017 February 15, 2017
instrument
Pre-test/pilot data collection February 16, 2017 February 24, 2017
instrument
Carry out data collection February 27, 2017 March 27, 2017
Data Prepare data for analysis March 28, 2017 March 31, 2017
Analysis
Analyze data April 1, 2017 April 15, 2017
Draw conclusion and April 16, 2017 April 29, 2017
recommendations
Writing up Final draft or report May 1, 2017 May 3, 2017
Review draft with adviser May 6, 2017 May 6. 2017

155
Submission of final draft at May 13, 2017 May 13, 2017
the Letran Graduate School
Office
Final Presentation of the results May 21, 2017 May 21, 2017
Defense and findings to the panel
Final editing Inclusion of the suggestions May 2017 June 2017
of the panel in the final
paper
Colloquium Presentation of the paper for June 2017 June 2017
colloquium purposes
Printing, binding, and final July 2017 July 2017
submission
156
APPENDIX 5
BUDGETARY REQUIREMENTS
TYPE OF EXPENSE AMOUNT
PRE ORAL DEFENSE P 15,000
STATISTICIAN’S FEE P 10,000
ENGLISH EDITOR’S FEE P 5,000
TOKEN FOR RESPONDENTS P 12,000
TRANSPORTATION COST P 5,000

157
PRINTING COST P 4,000
ALLOWANCE FOR RESEARCH ASSISTANTS P 6,000
FINAL DEFENSE P 17,400
TOTAL EXPENSES P 74,400
APPENDIX 6
STATISTICAL RESULTS
Descriptive Statistics for Satisfaction on Store Attributes
Store Atmosphere
N Minimum Maximum Mean Std. Deviation
Atmosphere 1.1 240 3.00 5.00 4.2542 .65806
Atmosphere 1.2 240 2.00 5.00 4.3833 .66827
Atmosphere 1.3 240 1.00 5.00 4.0667 .87965
Atmosphere.4 240 2.00 5.00 4.2667 .78408
Atmosphere 1.5 240 1.00 5.00 4.1375 .78815
Atmosphere 1.6 240 2.00 5.00 4.1542 .73552
Atmosphere 1.7 240 2.00 5.00 4.3000 .71564
Atmosphere 1.8 240 2.00 5.00 4.1042 .80375
Atmosphere 1.9 240 2.00 5.00 4.1042 .83440
Atmosphere 1.10 240 2.00 5.00 4.1667 .75249
Valid N (listwise) 240
158
Store Image
Image2.1 240 1.00 5.00 4.2167 .72242
Image2.2 240 2.00 5.00 4.2500 .69367
Image2.3 240 2.00 5.00 4.0125 .82066
Image2.4 240 2.00 5.00 4.1833 .72010
Imagw2.5 240 2.00 5.00 4.1500 .73354
Image2.6 240 2.00 5.00 4.1875 .76689
Image2.7 240 2.00 5.00 4.1708 .78158
Image2.8 240 2.00 5.00 4.2792 .73267
Image2.9 240 2.00 5.00 4.0833 .84915
Lifestyle
Lifestyle3.1 240 1.00 5.00 4.2917 .74761
Lifestyle3.2 240 1.00 5.00 4.2042 .76808
Llifestyle3.3 240 1.00 5.00 4.1833 .82820
Lifestyle3.4 240 1.00 5.00 4.0875 .93996
Lifestyle3.5 240 1.00 5.00 3.9208 1.00936
Lifestyle3.6 240 1.00 5.00 3.3333 1.32459
Convenience
Convenience 4.1 240 2.00 5.00 4.0167 .84322
Convenience 4.2 240 1.00 5.00 4.0125 .85070
Convenience 4.3 240 1.00 5.00 4.0625 .85829
Convenience 4.4 240 2.00 5.00 4.0583 .77401
Convenience 4.5 240 1.00 5.00 4.0667 .90312
Convenience 4.6 240 1.00 5.00 3.9417 1.06520
Convenience 4.7 240 2.00 5.00 4.3542 .77323
Convenience 4.8 240 2.00 5.00 4.3250 .78333
Convenience 4.9 240 2.00 5.00 4.3458 .76069
Convenience 4.10 240 2.00 5.00 4.2250 .79709
159
Descriptive Statistics for Agreement on Store Loyalty
Perceived Value
Perceived Value 1.1 240 2.00 5.00 4.3458 .68546
Perceived Value 1.2 240 3.00 5.00 4.2542 .68302
Perceived Value 1.3 240 2.00 5.00 4.2625 .75563
Perceived Value 1.4 240 2.00 5.00 4.2917 .72488
Perceived Value 1.5 240 1.00 5.00 3.7083 1.31229
Time Stress
Time Stress 2.1 240 2.00 5.00 4.2833 .77279
Time Stress 2.2 240 2.00 5.00 4.1125 .76526
Time Stress 2.3 240 2.00 5.00 4.1833 .81290
Time Stress 2.4 240 2.00 5.00 4.2125 .76032
Trust
Trust 3.1 240 1.00 5.00 4.2375 .71873
Trust 3.2 240 2.00 5.00 4.2250 .70221
Trust 3.3 240 2.00 5.00 4.2542 .73609
Trust 3.4 240 2.00 5.00 4.2250 .71403
Therefore
Therefore 4.1 240 1.00 5.00 3.9917 .86780
Therefore 4.2 240 2.00 5.00 4.0875 .78469
Therefore 4.3 240 2.00 5.00 3.8875 .85316
Therefore 4.4 240 2.00 5.00 4.0500 .79064
Statistics
Supermarket Gender Age Income Civil Household Frequency Only
Source Status Members of visits this
Valid 240 240 240 240 240 240 240 240
N
Missing 0 0 0 0 0 0 0 0
Mean 4.5000 4.5000 3.9625 1.3417 1.6208 3.4000 2.6667 1.7958
Std. Deviation 2.29608 2.29608 2.24136 .47526 .67376 .91386 1.28937 .40393
Supermarket
160
Frequency Percent Valid Percent Cumulative

Percent
1.00 30 12.5 12.5 12.5
2.00 30 12.5 12.5 25.0
3.00 30 12.5 12.5 37.5
4.00 30 12.5 12.5 50.0
Valid 5.00 30 12.5 12.5 62.5
6.00 30 12.5 12.5 75.0
7.00 30 12.5 12.5 87.5
8.00 30 12.5 12.5 100.0
Total 240 100.0 100.0
Gender
Percent
1.00 30 12.5 12.5 12.5
2.00 30 12.5 12.5 25.0
3.00 30 12.5 12.5 37.5
4.00 30 12.5 12.5 50.0
Valid 5.00 30 12.5 12.5 62.5
6.00 30 12.5 12.5 75.0
7.00 30 12.5 12.5 87.5
8.00 30 12.5 12.5 100.0
Total 240 100.0 100.0
Age
Percent
1.00 31 12.9 12.9 12.9
2.00 61 25.4 25.4 38.3
3.00 13 5.4 5.4 43.8
4.00 39 16.3 16.3 60.0
5.00 39 16.3 16.3 76.3
Valid 6.00 17 7.1 7.1 83.3
7.00 21 8.8 8.8 92.1
8.00 13 5.4 5.4 97.5
9.00 5 2.1 2.1 99.6
10.00 1 .4 .4 100.0
Total 240 100.0 100.0
Income source
Percent
1.00 158 65.8 65.8 65.8
Valid 2.00 82 34.2 34.2 100.0
Total 240 100.0 100.0
161
Civil Status
Percent
1.00 110 45.8 45.8 45.8
2.00 117 48.8 48.8 94.6
3.00 8 3.3 3.3 97.9
Valid 4.00 4 1.7 1.7 99.6
5.00 1 .4 .4 100.0
Total 240 100.0 100.0
Household Members
Percent
1.00 4 1.7 1.7 1.7
2.00 33 13.8 13.8 15.4
3.00 92 38.3 38.3 53.8
Valid 4.00 85 35.4 35.4 89.2
5.00 26 10.8 10.8 100.0
Total 240 100.0 100.0
Frequency of Visits
Percent
1.00 71 29.6 29.6 29.6
2.00 37 15.4 15.4 45.0
3.00 35 14.6 14.6 59.6
Valid 4.00 95 39.6 39.6 99.2
5.00 2 .8 .8 100.0
Total 240 100.0 100.0
Only this Supermarket

Percent
1.00 49 20.4 20.4 20.4
Valid 2.00 191 79.6 79.6 100.0
Total 240 100.0 100.0
162
Loyalty When Grouped According to Gender

Group Statistics
gender N Mean Std. Deviation Std. Error Mean
Mean 1.00 30 4.1400 .66675 .12173
Value 2.00 30 4.4733 .47411 .08656
Mean 1.00 30 4.1917 .66851 .12205
Stress 2.00 30 4.3000 .49306 .09002
Mean 1.00 30 4.1000 .64193 .11720
Trust 2.00 30 4.3583 .61126 .11160
Mean 1.00 30 4.1833 .62261 .11367
Therefore 2.00 30 3.9500 .62767 .11460
Loyalty When Grouped According to Age
ANOVA
163
Sum of Df Mean Square F Sig.

Squares
Between Groups 6.810 9 .757 2.799 .004
Mean Within Groups 62.170 230 .270
Atmosphere
Total 68.981 239
Between Groups 6.516 9 .724 2.716 .005
Image
Total 67.828 239
Between Groups 7.831 9 .870 1.999 .040
Lifestyle
Total 107.934 239
Between Groups 9.432 9 1.048 3.081 .002
Convenience
Total 87.660 239
Loyalty When Grouped According to Source of Income

ANOVA
Squares
Between Groups .147 1 .147 .507 .477
Atmosphere
Total 68.981 239
Between Groups .284 1 .284 1.002 .318
Image
Total 67.828 239
Between Groups .096 1 .096 .211 .646
Lifestyle
Total 107.934 239
Between Groups .029 1 .029 .078 .780
Convenience
Total 87.660 239
Loyalty When Grouped According to Civil Status
ANOVA
Squares
Between Groups 3.401 4 .850 3.047 .018
Atmosphere
Total 68.981 239
Between Groups 3.573 4 .893 3.266 .012
Image
Total 67.828 239
Between Groups 4.665 4 1.166 2.654 .034
Lifestyle
Total 107.934 239
164
Between Groups 3.193 4 .798 2.221 .068

Convenience
Total 87.660 239
Loyalty When Grouped According to Household Members

ANOVA
Squares
Between Groups 2.059 4 .515 1.808 .128
Atmosphere
Total 68.981 239
Between Groups .920 4 .230 .808 .521
Image
Total 67.828 239
Between Groups .950 4 .238 .522 .720
Lifestyle
Total 107.934 239
Between Groups 1.265 4 .316 .860 .488
Convenience
Total 87.660 239
Loyalty When Grouped According to Frequency of Visits
ANOVA
Sum of df Mean Square F Sig.
Squares
Between Groups 2.875 4 .719 2.555 .040
Atmosphere
Total 68.981 239
Between Groups 3.828 4 .957 3.514 .008
Image
Total 67.828 239
Between Groups 2.627 4 .657 1.465 .213
Lifestyle
Total 107.934 239
Between Groups 1.602 4 .400 1.093 .361
Convenience
Total 87.660 239
Loyalty When Grouped According to Only This Supermarket

ANOVA
Sum of df Mean F Sig.
Squares Square
165
Between Groups 1.769 1 1.769 6.265 .013

Atmosphere
Total 68.981 239
Between Groups 1.337 1 1.337 4.784 .030
Image
Total 67.828 239
Between Groups 2.914 1 2.914 6.605 .011
Lifestyle
Total 107.934 239
Between Groups 1.329 1 1.329 3.664 .057
Convenience
Total 87.660 239
Mean Rating Per Supermarket
Descriptive Statistics
S-A value 30 3.00 5.00 4.1400 .66675
S-A stress 30 3.00 5.00 4.1917 .66851
S-A trust 30 3.00 5.00 4.1000 .64193
S-A therefore 30 3.00 5.00 4.1833 .62261
S-A atmosphere 30 2.90 5.00 4.0567 .66782
S-A image 30 2.89 4.89 3.9810 .60402
S-A lifestyle 30 2.33 5.00 4.0223 .69173
S-A convenience 30 2.70 4.90 4.0367 .68354
loyalty 30 3.00 4.94 4.1537 .57562
satisfaction 30 2.86 4.86 4.0260 .62109
166
S-B value 30 3.20 5.00 4.4733 .47411
S-B stress 30 3.00 5.00 4.3000 .49306
S-B trust 30 3.00 5.00 4.3583 .61126
S-B therefore 30 2.25 5.00 3.9500 .62767
S-B atmosphere 30 3.30 4.90 4.2933 .36853
S-B image 30 3.11 4.89 4.3330 .40848
S-B lifestyle 30 2.83 5.00 4.3337 .51611
S-B convenience 30 3.00 4.90 4.2533 .52308
S-B loyalty 30 3.41 4.88 4.2823 .42509
S-B satisfaction 30 3.17 4.83 4.2983 .37715
S-C value 30 3.20 5.00 4.5067 .38501
S-C stress 30 3.75 5.00 4.5250 .32397
S-C trust 30 3.75 5.00 4.5583 .33272
S-C therefore 30 3.50 5.00 4.4167 .44689
S-C atmosphere 30 3.50 5.00 4.4200 .44053
S-C image 30 3.33 5.00 4.4757 .41849
S-C lifestyle 30 3.50 4.83 4.4120 .33569
S-C convenience 30 3.50 5.00 4.4867 .39369
S-C loyalty 30 3.88 5.00 4.5017 .26745
S-C satisfaction 30 3.51 4.91 4.4510 .36486
S-D value 30 3.00 5.00 4.1600 .58581
S-D stress 30 2.75 5.00 4.2333 .54509
S-D trust 30 3.25 5.00 4.2250 .61360
S-D therefore 30 2.25 5.00 3.9500 .75829
S-D atmosphere 30 2.70 5.00 4.0700 .54907
S-D image 30 2.67 4.89 4.1453 .52952
S-D lifestyle 30 2.50 5.00 3.8327 .67798
167
S-D convenience 30 2.50 4.90 3.9967 .64513

S-D loyalty 30 3.29 5.00 4.1430 .49567
S-D satisfaction 30 2.60 4.86 4.0273 .52066
S-E value 30 3.20 5.00 4.1933 .55704
S-E stress 30 3.00 5.00 3.9500 .63109
S-E trust 30 3.00 5.00 3.9250 .60937
S-E therefore 30 2.75 5.00 3.8333 .74375
S-E atmosphere 30 2.50 5.00 4.1233 .55066
S-E image 30 2.78 5.00 3.9060 .58216
S-E lifestyle 30 1.00 5.00 3.5280 .88603
S-E convenience 30 2.50 4.80 3.9233 .53671
S-E loyalty 30 3.29 5.00 3.9873 .47467
S-E satisfaction 30 2.57 4.57 3.9090 .46327
S-F value 30 3.40 5.00 4.0267 .39561
S-F stress 30 2.50 5.00 4.3667 .72139
S-F trust 30 3.50 5.00 4.5500 .51024
S-F therefore 30 2.25 5.00 3.8167 .70385
S-F atmosphere 30 3.20 5.00 4.3000 .46461
S-F image 30 3.44 5.00 4.3220 .38846
S-F lifestyle 30 2.33 5.00 4.0320 .53134
S-F convenience 30 2.90 5.00 4.4267 .51658
S-F loyalty 30 3.12 5.00 4.1797 .42438
S-F satisfaction 30 3.17 4.89 4.2967 .34701
S-G value 30 2.60 5.00 3.8133 .67861
S-G stress 30 2.50 5.00 3.7917 .65021
S-G trust 30 2.50 5.00 3.8833 .61143
S-G therefore 30 2.50 5.00 3.6333 .75354
168
S-G atmosphere 30 2.80 5.00 3.8500 .57280

S-G image 30 2.78 5.00 3.8377 .52282
S-G lifestyle 30 2.50 5.00 3.6497 .58413
S-G convenience 30 2.30 5.00 3.8233 .70402
S-G loyalty 30 2.76 5.00 3.7813 .57529
S-G satisfaction 30 2.60 5.00 3.8053 .54262
S-H value 30 3.00 5.00 4.0667 .46781
S-H stress 30 2.50 5.00 4.2250 .62405
S-H trust 30 3.50 5.00 4.2833 .43417
S-H therefore 30 3.00 5.00 4.2500 .49130
S-H atmosphere 30 3.50 5.00 4.4367 .39434
S-H image 30 3.33 5.00 4.3643 .42130
S-H lifestyle 30 3.00 4.83 4.2173 .51825
S-H convenience 30 2.90 4.90 4.1800 .50131
S-H loyalty 30 3.24 4.71 4.1983 .38131
S-H satisfaction 30 3.34 4.91 4.3077 .39773
169
GLOSSARY
Competitive benchmarking. A way to understand what the leading organizations do
in the market and what level of service gaps exists between current performances and
best practices. It is the provisions of wide assortment of products with known brands
and corresponding quality marks added to that may be the services that may become a
mark that customers may choose as the reason for return purchase.
Convenience. Includes the strategic location of the store both for pedestrian and
transportation traffic; the facilities within the supermarket in particular the service
counters, payment options and shelves. Services for convenience should extend to
senior citizens and people with disabilities (PWDs).
Convenience Retailer. Usually located in residential areas this type of retailer offers a
limited range of products at premium prices due to the added value of convenience.
Such stores enable consumers to make purchases quickly, without having to search
through a large store and wait in a long checkout line.
Department Store. This is a type of retail store that carry a broad variety and deep
170
assortment, offer customer services, and organize their stores into distinct departments
for displaying merchandise.
Discount Retailer. This type of retailer offers a broad variety of merchandise, limited
service, and low prices. It offers both private labels and national brands.
E-Retailer. This type of retailer enables customers to shop on-line via the internet and
buy products which are then delivered. This type of retailer is highly convenient and is
able to supply a wider geographic customer base. E-retailers often have lower rent and
overheads so offer very competitive pricing.
Lifestyle. Concerns the different sections intended for healthy foods, apparels and
clothing, sports and leisure.
Merchandise. It is the provisions of wide assortment of products with known brands
and corresponding quality marks. Part of the choices of customers may be the own
brand of the supermarket.
Retail Stores. A business that sells products and/or services to consumers for personal
or family use. It performs value creating activities by means of providing an assortment
of products and services, breaking bulk, holding inventory, and providing services.
171
Specialty Retailers. Specializes on a limited number of complementary merchandise
categories and provide a high level of service. They tailor their retail strategy toward
very specific market segments by offering deep but narrow assortments and sales
associate expertise.
Store Attributes. General characteristics of a retail establishment that affect the
consumers’ attitudes toward marketing strategies. Store attributes include
environmental factors such as: (1) ambient cues or ambient conditions which include
temperature, music, noise and lighting; (2) design cues that refer to aesthetic feelings
which include style, layout and architectural. This also refer to the spatial arrangement
or the layout of mechanical equipment, facilities, furniture, even the sign, symbols and
signboards used to communicate with customers; and the (3) social cues, referring to
factors related to people in the environment, including customers and store employees,
their number, type and behavior.
Store atmosphere. Concerns the perceived value that customers attach to the quality
and assortment of merchandise and services of the supermarket, the overall image of the
supermarket particularly the cleanliness and the value of money, time and effort
associated with shopping in the said store.
Store image. Concerns the perceived value that customers attach to the quality and
assortment of merchandise and services of the supermarket, the overall image of the
172
supermarket particularly the cleanliness and the value of money, time and effort
associated with shopping in the said store.
Store loyalty. This simply means customer loyalty also or in marketing as a brand
loyalty. This entails the intention of the buyer for a repeat purchase on the same
supermarket and the intention to make shopping on the said supermarket as a priority
despite other alternatives.
Supermarket. A large, self-service retail food store offering groceries, meat, and
produce, as well as nonfood items, such as health and beauty aids and general
merchandise.
Time stress. Low perceived time pressure experienced by a customer in shopping.
This includes familiarity in the layout of merchandise, strategic location and the value
for money in shopping which are also offered by discounts.
Trust. A feeling of confidence and reliance on the availability, quality and prices of the
merchandise offered by the supermarket.
Warehouse retailers. This type of retailer offers a limited and irregular assortment of
food and general merchandise with little service at low prices for ultimate consumers
and small businesses.

173
Ma. Elena Cortez Estebal
elenaestebal@yahoo.com

11 Don Jose Ext. cor Samonte Road Brgy Holy Spirit
Diliman, Quezon City
(0922) 8117085, 932 7845
Education
DOCTOR OF BUSINESS ADMINISTRATION

DBA Candidate Colegio de San Juan de Letran
TEACHING CERTIFICATE PROGRAM

October 2011 graduate Technological Institute of the Philippines
MASTERS IN BUSINESS ADMINISTRATION

MAJOR IN HUMAN RESOURCE MANAGEMENT
174
May 2006 graduate National College of Business and Arts
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION

MAJOR IN MANAGEMENT
May 2000 graduate National College of Business and Arts
Appointments
Advisory Board Human Resource Development Management

Business Education Instructor
Technological Institute of the Philippines, Cubao Quezon City, June 2011 to present
Business Administration Instructor

National College of Business and Arts, Taytay Rizal, March 2002 to March 2011
Part time Lecturer, Trent Information First , Taytay Rizal, June 2008 October 2009
Store Supervisor, Parco Department Store, Greenhills March 2002 to November 2002
Secretary, Eunice Incorporated August 2001-February 2002
Job Summary
1. As a faculty member, teaches major subjects in Management (Production,

Human Resource, Supervisory and Strategic), Marketing (Basic Principles,
retailing, and sales), Finance (Credit, Financial Institutions, and Banking
System), Economics and Entrepreneurship.
INSTRUCTIONAL RESPONSIBILITIES
Plan the lesson methodically by observing the prescribed syllabi, stimulate

academic excellence and diligence among students by training them to think
creatively and communicate clearly, and evaluate student’s performance within
the school’s established policies and grading system.
ADMINISTRATIVE DUTIES
175
Help enforce school rules and regulations, serve as role model of the values I
teach, devote free time for consultations by students outside their class hours
and attend all official meetings and school related activities.
2. As a store supervisor, meets with some suppliers from time to time, responsible
for interviewing and hiring applicants and supervises all staff.
3. As a secretary and receptionist, responsible in handling telephone inquiries of

clients, maintains a neat file of company’s affair regarding the Chamber of
Cosmetics Industry of the Philippines and monitors daily time record of all
employees.
Publications
● Passion for Education: But at What Cost?

WDI Publishing, University of Michigan
Publication Date: March 10, 2017
● Fire in July
WDI Publishing, University of Michigan
Publication Date: March 10, 2017
Seminars
● 11TH LOGISTICS MANAGEMENT FORUM

Technological Institute of the Philippines, February 2012
● OUTCOMES BASED TEACHING AND LEARNING FORUM
Technological Institute of the Philippines, February 2012
● SEMINAR ON AUTHENTIC ASSESSMENT IN OUTCOMES
BASED TEACHING AND LEARNING
Technological Institute of the Philippines, March 2012
● LEARNINGMANAGEMENT STYLES
Technological Institute of the Philippines, October 2012
● SMP TRAIN THE TEACHERS PROGRAM: SERVICE CULTURE
College of St. Benilde, April 2015
● RESEARCH COLLOQUIUM
CHED Auditorium, July 2015
176
● ALIGNING BUSINESS EDUCATION IN THE CONTEXT OF

ASEAN ECONOMIC INTEGRATION
AVR Penthouse Board of Investments, August 2015
● WRITING A GREAT PAPER AND GETTING IT PUBLISHED IN
A RESEARCH JOURNAL
Discovery Suites, October 2015
● STRATEGY CONSULTING
Colegio de San Juan de Letran, February 2016
● SUSTAINABILITY MANAGEMENT
Colegio de San Juan de Letran, February 2016
● CASE WRITING WORKSHOP
Radisson Blu, Cebu City, September 2016
● USE OF MOBILE GADGETS IN CLASSROOM TEACHING
Technological Institute of the Philippines, March 2017
References
Dr. Angeles G. De Guzman Dean, College of Business Education

Ms. Joemy C. Lopez Area Chairman

College of Business Education
Community Services
Training Committee Head, LECCOM

St. Peter Shrine, Commonwealth Quezon City
Adviser, JMEO TIP Chapter
Assisted in Kaizen project on Financial Literacy (TIP)

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1

ATTRIBUTES OF SELECTED SUPERMARKETS: A COMPETITIVE

Ma. Elena Cortez Estebal

In partial fulfillment of the requirements for the degree DOCTOR OF BUSINESS

PROF. IMELDA C. SANTIAGO, PhD

THE EXAMINING TRIBUNAL

PROF. MA. VICTORIA U. ROSAS, PhD

PROF NANCY C. BARTOLOME, PhD PROF. ERIC G. PASQUIN, PhD

PROF. DOLORES N. YU, PhD

EUNICE MARETH Q. AREOLA, PhD HSG

In recognition for ingenuity and preservation of individual work, I

“ATTRIBUTES OF SELECTED SUPERMARKETS: A COMPETITIVE

is a product of the researcher’s inquisitiveness founded on diverse theoretical

Any portion of the content of the manuscript has never been

CERTIFICATE OF ENGLISH EDITING

This is to certify that I have edited this Dissertation entitled:

“ATTRIBUTES OF SELECTED SUPERMARKETS:

A COMPETITIVE BENCHMARK FOR CUSTOMER

SATISFACTION AND STORE LOYALTY”

prepared by Ma. Elena C. Estebal

CERTIFICATE OF THE STATISTICIAN

This is to certify that I have edited this Dissertation entitled:

“ATTRIBUTES OF SELECTED SUPERMARKETS:

A COMPETITIVE BENCHMARK FOR CUSTOMER

SATISFACTION AND STORE LOYALTY”

prepared by Ma. Elena C. Estebal

and has provided the statistical treatment and data analysis.

expertise, experiences, and insights.

very accommodating. Thank you and God bless!

Also, the researcher gratefully acknowledges the crucial contribution of her

up the collaboration in the future.

and support helped her in this ordeal.

that she was not able to mention personally one by one.

Attributes of Selected Supermarkets: A Competitive

Ma. Elena C. Estebal

Retail supermarkets are constantly expanding within Metro Manila as well as

demand a one-stop shopping offered by supermarkets. Driven by rapidly changing retail

environments, more demanding customers, intensified competition, and slow- growth

This study determined the level of satisfaction and loyalty of supermarket

customers on the different attributes of eight supermarkets of Metro Manila:

Waltermart, SM Supermarket, Robinson’s Supermarket, Puregold Supermarket,

Rustan’s Supermarket, Super 8 Supermarket, S & R Supermarket, and Landmark

supermarket. Store image as another attribute is the overall perception of customers;

significant motives shall be used for competitive benchmarking.

level of satisfaction is attributed to store convenience with the attributes as being

service of giving assistance to seniors and PWDs. Second is store atmosphere

particularly on the characteristic of the supermarket as being well-lighted. Third is the

always ready to shift their loyalty and purchase in other supermarkets.

store loyalty also increases.

There is a significant difference on the level of customer satisfaction of the

respondents’ source of income, number of household members, and frequency of visits.

There is no significant difference on the level of agreement for store loyalty

From the assessment of the supermarket shoppers, the store attributes of

Supermarket C can be the basis for benchmarking.

Keywords: Supermarkets, Customer Satisfaction, Store Attributes, Store Loyalty

17 ANOVA for Customers’ Level of Satisfaction on the Attributes 73

Store Loyalty When they are Grouped According to Frequency of

Chapter I THE PROBLEM RATIONALE