Journal of Retailing and Consumer Services 31 (2016) 22–31

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Journal of Retailing and Consumer Services

journal homepage: www.elsevier.com/locate/jretconser

Satisfaction of mall shoppers: A study on perceived utilitarian and

hedonic shopping values
Bikrant Kesari, Sunil Atulkar n
Department of Management Studies, Maulana Azad National Institute of Technology (MANIT), Bhopal 462003, Madhya Pradesh, India

art ic l e i nf o a b s t r a c t

Article history: Declining consumer footfall and diminishing sales in Indian metro cities have guided the expansion of
Received 1 June 2015 malls in cities of central India. Shoppers of these cities are unfamiliar with the mall concept and have
Received in revised form limited exposure of shopping values in the past. The present research focused on the influence of uti-
3 February 2016
litarian and hedonic shopping values on satisfaction of mall shoppers of central India Bhopal by estab-
Accepted 14 March 2016
lishing a proposed research framework based on 288 responses from two shopping malls, using utili-
tarian and hedonic dimensions of shopping values. Confirmatory factor analysis and structural equation
Keywords: modeling (SEM) are used to analyze and validate the proposed research framework. The result supports
Shopping malls the relationship between shopping values and customer satisfaction, where both the shopping values
Shopping values
show positive significant influences on customer satisfaction. Therefore this research paper would help
Utilitarian shopping value
mall owners to focus on these shopping values effectively and efficiently while planning malls in central
Hedonic shopping value
Shopping behavior India for gaining competitive advantage, attracting new customer and hold their profitable customers by
Customer satisfaction enhancing customer satisfaction with shopping values in the current retail scenario.
& 2016 Elsevier Ltd. All rights reserved.

1. Introduction 1994; Wakefield and Baker, 1998) representing hedonic shopping

Mall culture plays a significant role in consumers' lifestyle (Bloch
et al., 1994; Terblanche, 1999) and it is essential for mall managers
to design the mall ambience along with entertainment facilities,
assortment of products and services by targeting customer pre-
ferences (Robertson, 1995) and shopping values (Babin et al., 1994,
2005; Babin and Darden, 1995). Study of Babin et al., (1994) verifies
the existence of hedonic and utilitarian shopping value and shows
that the satisfaction procured will influence consumer behavior. In
utilitarian shopping values, shoppers consider shopping as a mis-
sion-oriented experience and only by acquiring each product or
service he completes this mission (Batra and Ahtola, 1991; Babin
and Darden, 1996). For example, shoppers perceive greater utili-
tarian shopping value only when they need to buy something; they
buy it and then leave. Velitchka and Barton (2006) study shows that
the task-oriented shoppers derive shopping value from the outcome
of the shopping activity itself and not necessarily by buying a
product or services. Academicians believe that studying about the
procurement of product or completion of mission is not enough to
represent shopping value. It has been found that some customers
enter the mall primarily to get value of sensual and emotional sa-
tisfaction during shopping process, (Batra and Ahtola, 1991; Roy,
n
Corresponding author.
E-mail address: sunilatulkar3030@gmail.com (S. Atulkar).
values. These shoppers love the fun and enjoyment of shopping
process and viewed shopping malls as a place of entertainment and
exploration (Bloch et al., 1994). According to Khare (2011) shopping
behavior of Indian consumer is affected by shopping orientations,
personal values, and social influences. Therefore the different seg-
ment of consumers' reflects different shopping behavior and values.
For example, shopping behavior of younger consumers’ are more
focused towards seeking entertainment and exploration while older
consumer focuses on convenience and monetary savings.
Today the malls in Indian metro cities experienced decrease in
consumer footfall and diminishing sales, therefore the mall op-
erators explore their operational activities in Indian smaller cities.
These smaller cities are attractive due to low rental and operating
costs (KPMG, 2009) and private companies are investing large
amounts of money in developing and designing shopping malls to
fulfill the shopper's desire of global brands, multiplex, food court,
hotel and restaurants, gaming zone etc. with motivational and
relaxing retail environment. The shopper of small city feels that
malls in their city have helped them get access to better quality
branded. The sensual pleasure and experiences are enhanced in
malls as touching, sensing, and feeling new products affects the
consumer shopping behavior (Khare, 2011). Shopping motives of
Indian consumers are governed by their role in society and duties
they have to perform towards their family. For example, the uti-
litarian shopper visits mall for performing their responsibilities of
being a father, mother, wife or husband (Khare, 2011).

http://dx.doi.org/10.1016/j.jretconser.2016.03.005
0969-6989/& 2016 Elsevier Ltd. All rights reserved.
 B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22–31
Monetary saving
H1
Selection H2
Utilitarian
H3
Convenience
H4
Customized product
Entertainment
H5
Exploration
H6
Place Attachment H7
H8
Social Status
Fig. 1. Research Framework.
Prior to this, researchers have focused on the effects of shopping
values on consumer buying behavior (Batra and Ahtola, 1991),
customer preferences (Robertson, 1995) and customer satisfaction
(Babin et al., 1994, 2005; Roy, 1994; Wakefield and Baker, 1998)
mostly in the USA, European countries (Jin and Kim, 2003; Li et al.,
2004) and metro cities of India (Kuruvilla and Joshi, 2010; Khare
and Rakesh, 2011; Deb, 2012; Tripathi and Dave, 2013), but very
little attention has been given to cities of central India. Most of the
shoppers in Bhopal city are unfamiliar with the mall concept or
have limited exposure of shopping values in the past, as the mall
culture starts its operations in central India (Bhopal) with DB city
mall (First mall) in August 2010. Understanding of utilitarian and
hedonic shopping values perceived by shoppers will help retailers
to design their retail store environment in a more attractive man-
ner, where both the shopping values are addressed. Therefore, the
main objective of this study is to identify the influence of perceived
utilitarian and hedonic shopping values on satisfaction of mall
shoppers with the help of proposed research framework (Fig. 1).
Discussing various factors of both the shopping values researchers
try to focus on the importance and how these shopping values in-
fluence satisfaction of mall shoppers in cities like Bhopal. The re-
searcher applies a structural equation modeling to verify the re-
lationship amongst various factors in the research framework.
2. Literature review and hypothesis
Several researches suggest that customer satisfaction provided
by mall owners have the combination of both utilitarian and he-
donic shopping value (Babin et al., 1994, 2005; Babin and Darden,
1995). A review on these shopping values indicates that mall
shopping behavior is influenced by customer values (Babin et al.,
1994) provided by retailers in the mall and it is argued that creating
and delivering customer value is essential for producing satisfaction
in mall shopper, as well as for the retailers to survive in today's
competitive marketplace (Swinyard, 1993). Customers recognize
23
Value
H9
Customer
Satisfaction
H10
Hedonic
Value
utilitarian shopping value by receiving more valuable products that
fulfill the needs (Oliver, 1987; Fornell, 1992), at the same time
customer also perceives hedonic shopping value coupled with the
entertainment and enjoyment. Babin et al. (1994) defined utilitarian
shopping values as acquiring the benefit of the product needed
effortlessly during the shopping process, where hedonic shopping
value include the joy and excitement of shopping. Generally, it is
believed that customers purchase not only for utilitarian values of
the products, but also for receiving satisfaction during shopping
process. So it is clear that both the shopping values, utilitarian and
hedonic value, (Babin et al., 1994, 2005; Babin and Darden, 1995;
Wakefield and Baker, 1998; Rintamaki et al., 2006; Kaul, 2007) are
important for satisfaction of mall shoppers. Then the question is
what actually constitutes these shopping values?
2.1. Utilitarian shopping value
Utilitarian shoppers have a greater desire to get more value for
their purchases. Utilitarian shopping value starts with a mission or
task, and the perceived benefit depends on whether the mission is
completed efficiently during the process or not (Sherry et al., 1993;
Babin et al., 1994). The basic criterion of Indian customer is to shop
economically and they do not want to sacrifice their time, efforts
and money for shopping process (Bettman, 1979). Customers
perceive more utility and value (Batra and Ahtola, 1991; Sherry
et al., 1993; Babin et al., 2005) when they feel satisfied after get-
ting a branded product at discounted rates with effortless shop-
ping (Babin and Darden, 1995; Babin and Darden, 1996). For in-
creasing utilitarian shopping values, retailers offer wide range of
high quality branded merchandise to customers to shop from
shopping malls. Therefore, the shoppers will have the opportunity
of monetary saving (Chandon et al., 2000) by selecting products
from available product choices with convenience (Chandon et al.,
2000). These studies categorize utilitarian shopping values into
monetary saving, selection, convenience and customized products.
24 B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22–31
2.1.1. Monetary saving
Customers perceive monetary savings as a utilitarian benefit,
which can enhance the satisfaction of mall shoppers. Traditionally, the
Indian customers are variety seekers and they perceive more value for
the invested money when they obtain demanded products in lower
and competitive prices (Bell and Lattin, 1998; Heerde et al., 2008). This
will help customers to draw different benefits of shopping malls. So
the monetary savings are found to be an important criterion for them
(Chandon et al., 2000). Customers receive more utility and value when
they get quality products (Bettman, 1979; Sinha and Banerjee, 2004)
for relatively competitive and discounted rates, for which, they do not
want to waste their valuable time, effort and money during shopping
process (Bettman, 1979; Chandon et al., 2000). Utilitarian shopping
values increases when the required products are available at compe-
titive prices and the purchase is completed promptly, efficiently and
effortlessly (Babin et al., 1994; Babin and Darden, 1995). Therefore, this
study presents the following hypothesis:
H1. Monetary saving has a significant positive influence on utili-
tarian shopping value.
2.1.2. Selection
In mall shopping behavior, retailers offer multiple brands, carry
variety of high quality merchandise (Wakefield and Baker, 1998;
Sinha and Banerjee, 2004; Khare and Rakesh, 2011) for the cus-
tomer to select. In shopping malls, customers get a wide range of
branded retail stores (Wakefield and Baker, 1998; Sinha and
Banerjee, 2004) for selection, such as departmental stores, apparel
stores, grocery stores and leisure facilities (Sinha and Banerjee,
2004) for doing profitable business activities in one place. Wake-
field and Baker (1998) suggest that varieties of shops like branded
showrooms, apparel stores, book stores, household products etc.
along with facilities (Bloch et al., 1994) like food courts, gaming
area, sitting area and cinema halls under one roof generate posi-
tive effect and enable customers to prefer the mall (Khare, 2011).
Offering novel and latest merchandise branded stores, coupled
with best parking and eateries in Indian malls is responsible for
attracting customers to the particular mall (Khare, 2011). There-
fore, this study presents the following hypothesis:
H2. Selection has a significant positive influence on utilitarian
shopping value.
2.1.3. Convenience
Convenience in shopping means effortless shopping, amount of
time consumed in search of location, store, product and information
(Holbrook, 1999; Seiders et al., 2000). Before going to shop in malls,
customers look first for parking facilities (Bearden 1977; Yan and
Eckman, 2009) and to avoid negative aspects of shopping, mall owners
provide convenient store operating hours, parking facilities (Bearden,
1977; Yan and Eckman, 2009) and security (Bloch et al., 1994). Malls
are spacious, are located in prime locations and offer all kinds of
products under one roof (Berry et al., 2002; Khare, 2011), therefore the
mall owners invest more on store design and physical facilities (like
elevators, air conditioning, and washrooms) for providing shopping
convenience (Chandon et al., 2000; Berry et al., 2002; To et al., 2007). If
the shopping ends without much effort then the customer perceives
more utility and values from the shopping process. Therefore, the
study presents the following hypothesis:
H3. Convenience has a significant positive influence on utilitarian
shopping value.
2.1.4. Customized products
Introducing customized products is one of the major competitive
advantages regarded by academicians (Wakefield and Baker, 1998; To
et al., 2007). Customization in the product is based on customer
visiting patterns (Guijun et al., 2006) and shopping trip values (Diep
and Sweeney, 2008). Varieties in merchandise (Bearden 1977; Wake-
field and Baker, 1998; Yan and Eckman, 2009) motivate customers to
shop in malls. To et al., (2007) study shows that customization in-
cludes product specifications, product quality, product packaging, de-
sign etc. that fulfill the basic needs and assist customer to enjoy the
decision making process (Iyengar and Lepper, 2000). Therefore the
customers feel uniqueness (Iyengar and Lepper, 2000) with the pro-
ducts during shopping at mall. Malls increase customer patronage by
offering large variety of high quality merchandise (Wakefield and
Baker, 1998) to shoppers to compare and select products form avail-
able product categories (To et al., 2007). Therefore, this study presents
the following hypothesis:
H4. Customized products have a significant positive influence on
utilitarian shopping value.
2.2. Hedonic shopping value
In contrast, some shoppers visit malls only because of hedonic
shopping values (Jones et al., 2006). For them, shopping malls are
viewed as a place for recreation and entertainment (Bloch et al., 1994;
Deb, 2012). Velitchka and Barton (2006) study shows that hedonic
shopping values include fun, enjoyment and excitement of shopping
at a mall. Hence, the hedonic values are more personal and subjective
than utilitarian value, resulting in fun, fantasy, multisensory and
emotional aspects of shopping experience with the products (Hirsch-
man and Holbrook, 1982). Hedonic shoppers satisfied with themed
environments, events and contests, food courts, gaming zone, music,
aroma, seating space, and overall store atmospherics that make
shopping experience more entertaining and exploring (Holbrook,
1999; Chandon et al., 2000; Deb, 2012). Mall ambience and en-
tertaining facilities provided by the mall owners create place attach-
ment (Yavas, 2003) and the purchase from mall increase social status
of the customer in the society (Deb, 2012). Therefore, the researchers
considered entertainment, exploration, place attachment and social
status factors for hedonic shopping values.
2.2.1. Entertainment
The entertainment factor of hedonic shopping value is considered
as the most important competitive tool which enables customers to
select any mall for shopping (Arnold and Reynolds, 2003). Bloch et al.,
(1994) shows that hedonic shopping values are recognized through
entertainment facilities like music, events, refreshment facility, re-
creational centers and gaming areas. They generate excitement and
enjoyment (Wakefield and Baker, 1998; Arnold and Reynolds, 2003;
Deb, 2012) of shopping process. Sinha and Banerjee (2004) found that
shoppers in the category of leisure stores (lifestyle, books and music)
may place greater importance for entertainment value. Malls are at-
tractive due to bright colors, lighting, air-conditioned, cleanliness
(Babin and Attaway, 2000), aroma, music and sitting areas (Yan and
Eckman, 2009) encourage customers to relax (Wakefield and Baker,
1998; Deb, 2012) and refresh their mood. Most of the customers vis-
ited malls in weekend only for recreation (Bloch et al., 1994; Wakefield
and Baker, 1998) or roaming around the stores. Therefore, this study
presents the following hypothesis:
H5. Entertainment has a significant positive influence on hedonic
shopping value.
2.2.2. Exploration
Exploration offers hedonic shopping value when the customers
appreciate the excitement of product or information search (Babin
et al., 1994; Chandon et al., 2000, Deb, 2012). Today customer desires
adventure, joy of exploration (Westbrook and Black, 1985; Khare,
2011) and sensual excitement more for the product itself during
 B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22–31
shopping process (Sherry et al., 1993). Webster et al., (1993) shows
that customers would experience a sense of curiosity and excitement
enhances fun and pleasure of shopping (Babin et al., 1994; Wakefield
and Baker, 1998). Mall impression is based on the facilities provided to
the customer in the form of functional factors and psychological fac-
tors (Arnold and Reynolds, 2003). Hedonic shopper loves the fun and
fantasy (Babin et al., 1994; Arnold and Reynolds, 2003) of shopping
experience which they share with their friends and family members.
Shoppers' emotions are associated with shopping process; the plea-
sure of shopping (Hirschman and Holbrook, 1982; Webster et al.,
1993), escape from daily routine and spending time in an enjoyable
way (Wakefield and Baker, 1998). Therefore, this study presents the
following hypothesis:
H6. Exploration has a significant positive influence on hedonic
shopping value.
2.2.3. Place attachment
Customer likes to shop at mall to which they are loyal and
emotionally attached. Place attachment is associated with positive
evaluation of a retail setting, excellent customer services and
loyalty (Westbrook and Black, 1985; Kyle et al., 2004; Alexandris
et al., 2006; To et al., 2007) which generates positive attitude and
comforts to shop at mall. Researchers in the past, examined mall
ambience (Swait and Sweeney, 2000; Darian et al., 2001; Yavas,
2003), customer services and facilities and have concluded that
they contribute towards mall attractions and attachment (Darian
et al., 2001) where the traditional selling activities are combined
with additional motivating customer services. Mall ambience
(store layout, interiors, lighting, aisle, store size, music and
cleanliness) and excellent customer services are prominent con-
tributors towards attracting customer to shop (Yavas, 2003) which
play a significant role in generating customers loyalty (Kyle et al.,
2004; Alexandris et al., 2006). As a result, malls producing emo-
tional attachment with its customers would receive positive eva-
luation. Therefore, this study presents the following hypothesis:
H7. Place attachment has a significant positive influence on he-
donic shopping value.
2.2.4. Social status
Customer realizes hedonic shopping values when the shopping is
appreciated in its own right and they perceive status from receiving
excellent customer service (Westbrook and Black, 1985; Kyle et al.,
2004). During shopping process customer obtains positive feeling and
belief (Hirschman and Holbrook, 1982) which they can share with
their family member and friends, realize them the state of social status
(Holbrook, 1999; Deb, 2012). Hirschman and Holbrook (1982) con-
sidered malls as a central point of community entertainment followed
by boosting social status of the customer. Shopping malls are attractive
locations offering status and taste which are actively pursued, inten-
tional and instrumental (Holbrook, 1999; Chandon et al., 2000) in-
creases self-esteem in the shoppers motivated by hedonic values.
Shopping malls provide an opportunity to shop merchandise from
branded retail stores hold status and self-esteem (Deb, 2012). There-
fore the association with mall increases the status and self-esteem of
customer in the society (Holbrook, 1999; Chandon et al., 2000) pre-
ferred mostly by the hedonic shoppers. Therefore, this study presents
the following hypothesis:
H8. Social status has a significant positive influence on hedonic
shopping value.
2.3. Shopping value and customer satisfaction
Customer satisfaction is a response to an evaluation process
(Howard and Sheth, 1969; Oliver, 1980, 1987; Fornell, 1992), when
25
the customer's goal related to purchase and use of products and
services is satisfactory, represents an achievement. After pur-
chasing and use of the product, customer evaluates the experi-
ences and performance of the product with their expectations.
Customer obtains maximum value of time (Bettman, 1979) and
better customer services coupled with a product for which they
pay, generate customer satisfaction. Several researchers explain
the association and effects of utilitarian and hedonic shopping
value on customer satisfaction (Babin et al., 1994; Roy, 1994; Babin
and Darden, 1995; Wakefield and Baker, 1998). Utilitarian custo-
mers perceive more utility and value (Batra and Ahtola, 1991;
Sherry et al., 1993; Babin et al., 2005) when they get branded
products in discounted and relatively competitive rates with ef-
fortless shopping (Babin et al., 1994; Babin and Darden, 1995).
Shoppers are associated with a particular mall for a longer period
of time are satisfied with its shopping values (Oliver, 1980; Fornell,
1992) and this in turn creates emotional bonding between retail
store and shoppers (Berry et al., 2002; Rintamaki et al., 2006).
Several other studies observe the influences of hedonic shopping
values on satisfaction to a greater extent than the utilitarian
shopping value (Babin et al., 1994; Arnold and Reynolds, 2003).
Hedonic shopper considered mall as a place where they can re-
move their strain, negative emotions, create emotional bonding
and enjoy (Rintamaki et al., 2006) the shopping process. Bloch
et al., (1994) show that mall patrons with stronger hedonic mo-
tives experience higher pleasure and arousal feelings (Hirschman
and Holbrook, 1982; Wakefield and Baker, 1998) create belief in
customers which they share with their natives. Similarly, Jones
et al., (2006) explain that satisfaction is more likely to be influ-
enced by hedonic aspects than utilitarian aspects of shopping.
Thus, customer satisfaction is strongly associated with utilitarian
and hedonic shopping values specifically in shopping malls.
Therefore, this study presents the following hypothesis:
H9. Utilitarian shopping value has a significant positive influence
on customer satisfaction.
H10. Hedonic shopping value has a significant positive influence
on customer satisfaction.
3. Methodology
3.1. Measurement instrument
Several studies suggest that customer satisfaction at shopping
malls have the combination of both utilitarian and hedonic
shopping value (Babin et al., 1994; Babin and Darden, 1995).
Therefore, the factors (constructs) and the observable items used
in developing research framework is derived from previous lit-
erature reviews and modified according to shopper's satisfaction
at mall described in Table 2. All the items have been modified for
this study to better fit the research topic. The final set of 25 items
used by the researcher for research framework development and
sample data collection, by developing structured questionnaire
and examined through structural equation modeling (SEM). The
questionnaires were pre-tested with 25 respondents to ensure
that the question formats were clear and fine-tuned for further
final data collection process. Minor changes have been made in the
questionnaire based on feedback from the pilot study. All the items
were measured on a 5-point Likert scale, ranging from “strongly
disagree” to “strongly agree.” The final set of questionnaires con-
sist of two sections, the first section consists of respondents de-
mographic characteristics (gender, age, occupation and salary
structure) (Table 1) and the second section contains the questions
related to customer satisfaction.
26 B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22–31

Table 1 significance of factor loadings and path coefficients (Chin, 2001;

Demographic breakdown of respondents. Davison et al., 2003) using non-parametric bootstrap procedure.
Category N Percentage (%)
4.1. Scale validity and reliability
Gender
Male 163 57 To examine the construct validity of each latent construct in the
Female 125 43
measurement model (Hair et al., 1998) through convergent validity
and discriminant validity, a confirmatory factor analysis (CFA) was
Age conducted. In convergent validity Fornell and Larcker (1981) sug-
16–25 83 28.82
gest that if the value of outer factor loadings and average variance
26–35 113 39.24
36–45 51 17.71 extracted (AVE) is greater than 0.50 in both cases (Bagozzi and Yi,
46–55 24 8.33 1988, Lin and Ding, 2006), the explained variance is greater than
455 17 5.90 the measurement error. Therefore, the resulted values of factor
loadings lies in between 0.54 and 0.96, and for AVE it is from 0.56
Occupation to 0.85 (Table 2). However the discriminant validity, methodology
Business 41 14.24 proposed by Fornell and Larcker (1981) shows that the value of
Service 117 40.63
square root of AVE should exceed the construct correlations with
Profession 65 22.57
Students 43 14.93 all other constructs (Table 3). The internal consistency of con-
Others 22 7.64 structs is measured by composite reliability (CR) (Werts et al.,
1974; Raykov, 1997) and Cronbach's alpha supposed to be under-
Salary structure estimated scale reliability with the recommended threshold cri-
0–200,000 lakh (INR) 49 17.01 terion of 0.70 for both (Nunnally, 1978). Table 2 shows that the
200,000–400,000 lakh (INR) 56 19.44 value of composite reliability lies between 0.70 and 0.93 and for
400,000–600,000 lakh (INR) 112 38.89
Cronbach's α, the values is in between 0.71 and 0.88. All these
600,000–800,000 lakh (INR) 47 16.32
4800,000 lakh (INR) 24 8.33
values are computed from a confirmatory factor analysis using
SmartPLS (Ringle et al., 2005) which show that the measurement
model reflects good construct validity and reliability.

3.2. Sampling design and data collection 4.2. Structural model assessment

In order to test the hypothesis, researcher visited two most
popular shopping malls located in central India (Bhopal) for data
collection. The first one, DB city mall a subsidiary of the Dainik
Bhaskar Group, the first shopping mall of Bhopal and one of the
largest shopping centers in central India housing over 135 Indian
and international brands under one roof, witnessing over 10 lakh
(1 million) footfall per month which goes up-to 18 lakh (1.8 mil-
lion) during festive seasons. This shopping mall facilitate 6-screen
multiplex, 5 restaurants, 30,000 sq. ft. food court, 15,000 sq. ft.
family entertainment center, 7 anchor shops and 135 retail shops
(http://www.dbcity.in/about-us.html). The second is Aashima
mall, a subsidiary of ARK group of companies located in Hoshan-
gabad road Bhopal. The primary data were collected by the re-
searcher itself by distributing the questionnaires to selected
shopping mall shoppers near the exit of malls. The questionnaires
were distributed by using convenience sampling method (a type of
non-probability sampling) to the respondents who are more
convenient to answer the questions. Total numbers of 315 ques-
tionnaires out of 500 were collected within the months of Jan-
uary–February 2015, out of which 288 were found to be com-
pletely and accurately filled, and were therefore usable for struc-
tural equation modeling analysis.
4. Data analysis and findings
Goodness of fit (GoF) proposed by Tenenhaus et al., (2005) was
used to assess the structure model, as the smartPLS 2.0 software
does not provide the assessment of overall model fit (Chin, 1998).
So the geometric mean of average AVE and the average R2 (for
endogenous constructs) is used for the calculation of GoF Value.
The proposed GoF criterion is as:
GoF = AVE × R2
The resulted value of GoF for the Model is 0.49, where the
calculated value of average AVE is 0.75 and the value of R2 is 0.32,
which indicates a very good model fit for the study. The cut-off
values proposed by Wetzels et al. (2009) for assessing the result of
GoF analysis is: GoF ¼0.10 (small); GoF¼0.25 (medium); and
GoF¼0.36 (large).
To conquer the multicollinearity affects on the result, tolerance
and variance inflation factor (VIF) values have been examined. IBM
SPSS 20 software were used for multicollinearity assessment, as
the SmartPLS software does not provide these values, where the
latent variable scores (calculated by SmartPLS) used as input for
multiple regressions to get the values of tolerance and VIF. Table 4
shows the values of VIF and tolerance for variables, which should
not exceed 5 for VIF (Variable values o2.831) and for tolerance
level it should be 40.2 (Grewal et al., 2004; Hair et al., 2011). So,
the result shows there is no multicollinearity between the in-
dependent variables.

The research framework used in the study was developed by
partial least square (PLS) model using SmartPLS 2.0 (Ringle et al.,
2005) software focusing on one dependent variable that is custo-
mer satisfaction. The model serves two purposes, first it de-
termines the association of constructs with dependent variable
and secondly it identifies the effects of each measuring construct
on customer satisfaction. SmartPLS 2.0 (Ringle et al., 2005) soft-
ware is used to measure and structural model estimates (Henseler
et al., 2009). Parallel to this it also estimates the statistical
4.3. Main effects and path coefficients
A non-parametric bootstrap procedure with 2000 resample was
done to drive the statistical significance of factor loadings and path
coefficients (Chin, 2001; Davison et al., 2003). Table 4 shows the
value of standardized path coefficients (β), t-value and associated
significance levels for all relationships. The path coefficient is sig-
nificant, if the t-value is greater than 1.96, with a significance level
of 5%, using a two-tailed t-test in IBM SPSS 20 software (Fig. 2).
Table 2
Constructs, observable items and model summary.

Construct Observable items Factor loading AVE CR Cronbach's alpha

Monetary saving (Chandon et al., 2000) 0.74 0.89 0.81

I visit the mall to get competitive pricing of products. 0.93
Mall offers me quality product in discounted rates. 0.70
I visit the mall perceive maximum value of time spent on searching 0.93
products.
Selection (Wakefield and Baker, 1998; Sinha and Banerjee, 2004; Khare, 2011) 0.80 0.89 0.75
Mall is a good place to assess multiple brands. 0.87
Mall is a good place which offers wide range of stores in one roof. 0.91
Convenience (Chandon et al., 2000; Seiders et al., 2000; Berry et al., 2002; Khare, 2011) 0.85 0.92 0.82

B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22–31

I visit the mall because of its convenient location and parking facility. 0.93
Spacious retail and physical facility attract me to visit the mall. 0.92
Customized product (Wakefield and Baker, 1998; To et al., 2007; Yan and Eckman, 2009) 0.71 0.81 0.73
I get varieties in merchandise in the mall. 0.66
Customization in the products creates uniqueness to me. 0.92
Entertainment (Bloch et al., 1994; Wakefield and Baker, 1998; Arnold and Reynolds, 2003; Deb, 0.71 0.88 0.77
2012)
While shopping I enjoy the soft music and entertaining environment in 0.59
the mall.
Entertaining retail environment makes me relaxed from daily stressful life 0.94
style.
I visit the mall as recreational center to enjoy my weekend along with my 0.94
family.
Exploration (Westbrook and Black, 1985; Khare, 2011) 0.82 0.93 0.88
Shopping from mall is always a new experience to get new things. 0.95
Certain store creates curiosity and excitement for the product and 0.80
services.
I enjoy the fun and fantasy of shopping process. 0.95
Place attachment (Swait and Sweeney, 2000; Darian et al., 2001; Yavas, 2003; Kyle et al., 2004) 0.72 0.83 0.71
An excellent customer service from sale personal creates loyalty. 0.96
The mall ambience (lighting, decoration, facilities, etc.) creates attachment 0.70
toward store.
Social status (Hirschman and Holbrook 1982; Holbrook, 1999; Deb, 2012) 0.56 0.70 0.79
The positive environment in the mall produces positive feeling and belief. 0.87
Shopping from mall feel me the state of social status and increase self- 0.54
esteem.
Utilitarian shopping value (Babin et al., 1994; Babin and Darden, 1995) 0.77 0.87 0.71
While shopping I perceive more utility and value for the purchase. 0.91
Mall is place to shop effortlessly. 0.83
Hedonic shopping value (Babin et al., 1994; Babin and Darden, 1995; Wakefield and Baker, 1998; 0.85 0.92 0.83
Babin et al., 2005; Rintamaki et al., 2006)
I always visit the mall to remove strain and negative emotions. 0.93
I feel pleasure to shop from shopping malls. 0.92
Satisfaction (Oliver's, 1980; Fornell, 1992; Babin et al., 1994; Babin and Darden, 1995; Wakefield 0.74 0.85 0.73
and Baker, 1998)
I got every essential product and services which satisfied needs because of 0.79
one stop shopping place.
Responsiveness of sales personal creates bonding with the store in the 0.95
mall.

Note: AVE ¼average variance extracted, CR ¼composite reliability.

27
28 B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22–31

Table 3
Latent variable correlation.

Monetary Selection Convenience Customized Entertainment Exploration Place Social Hedonic Utilitarian Customer
Saving products attachment status value value satisfaction

Monetary 0.86a
saving
Selection 0.38 0.89a
Convenience 0.21 0.31 0.92a
Customized  0.27  0.24 0.22 0.84a
product
Entertainment 0.25  0.06 0.25 0.61 0.84a
Exploration 0.47 0.89 0.36  0.26  0.08 0.90a
Place 0.32 0.61 0.30  0.25 0.09 0.80 0.75a
attachment
Social status  0.13 0.00  0.17 0.14 0.08  0.10  0.15 0.85a
Hedonic value 0.35 0.61 0.26  0.23  0.03 0.77 0.98  0.14 0.92a
Utilitarian value 0.26 0.31 0.21 0.22 0.25 0.36 0.30  0.17 0.26 0.87a
Customer 0.71 0.84 0.27  0.21 0.09 0.91 0.56  0.11 0.56 0.27 0.86a
satisfaction

a
Diagonal elements are squared AVE.

Table 4
Structure model estimates (path coefficient).

Path Coefficients t-value p-Value Tolerance VIF Result

H1: Monetary Saving- 4Utilitarian Value .145 2.841 .005* .803 1.245 Accepted
H2: Selection- 4 Utilitarian Value .484 8.805 .000* .695 1.438 Accepted
H3: Convenience-4 Utilitarian Value .139 2.695 .008* .793 1.261 Accepted
H4: Customized Products- 4Utilitarian Value  .103  2.042 .042 .828 1.207 Rejected
H5: Entertainment-4 Hedonic Value .293 5.586 .000* .988 1.013 Accepted
H6: Exploration-4 Hedonic Value .363 4.141 .000* .353 2.831 Accepted
H7: Place Attachment - 4 Hedonic Value .152 2.876 .004* .970 1.031 Accepted
H8: Social Status- 4 Hedonic Value  .108  1.437 .151 .397 2.520 Rejected
H9: Utilitarian Value- 4Customer Satisfaction .521 10.341 .025* .934 1.071 Accepted
H10: Hedonic Value- 4Customer Satisfaction .498 2.602 .010* .934 1.071 Accepted

Monetary saving

0.145 (2.841)*
Selection

0.484 (8.805)* Utilitarian

Value
Convenience 0.139 (2.695)* 0.521 (10.341)*

-.103 (-2.042)
Customized product
Customer
Satisfaction

Entertainment 0.293 (5.586)*

0.363 (4.141)* 0.498 (2.602)*

Exploration Hedonic
Value
0.152 (2. 876)*
Place Attachment
-.108 (-1.437)

Social Status

Fig. 2. Structural model. (Note: t-values is in bracket with beta coefficient and * positive significance influence).
 B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22–31
The resulted value indicates that monetary saving (β ¼0.145; t-
value ¼ 2.841; p¼ 0.005), selection (β ¼0.484; t-value ¼ 8.805;
p ¼0.000) and convenience (β ¼0.139; t-value ¼2.695; p ¼0.008),
had a positive and significant effects on utilitarian value. Resulted
values for entertainment (β ¼ 0.293; t-value ¼5.586; p ¼0.000),
exploration (β ¼0.363; t-value ¼ 4.141; p ¼0.000) and place at-
tachment (β ¼ 0.152; t-value ¼2.876; p¼ 0.004) shows positive and
significant effect on hedonic value. Therefore the utilitarian value
(β ¼0.521; t-value ¼10.341; p ¼0.025) and hedonic value
(β ¼0.498; t-value ¼ 2.602; p ¼0.010) shows positive and sig-
nificant effect on customer satisfaction. Thus, H1, H2, H3, H5, H6,
H7, H9 and H10 were accepted. However, customized product
(β ¼ .103; t-value ¼  2.042; p ¼0.042) shows negative sign, so
there is no significant effect on utilitarian value where as social
status (β ¼  .108; t-value ¼  1.437; p ¼0.151) shows negative sign,
so there is no significant effect on hedonic values. Therefore H4
and H8 were rejected.
5. Discussion and conclusion
This research provides insight about the utilitarian and hedonic
shopping values proposed by Babin et al., (1994) broadly applied
to shopping mall at central India Bhopal, showing the influence of
utilitarian and hedonic shopping values on customer satisfaction.
This research paper tries to extend the earlier research majorly
focused on shopping value and customer satisfaction (Babin et al.,
1994), by providing findings that support the significant connec-
tions between shopping value and customer satisfaction. While
shopping from malls customer not only get product satisfaction,
but also enjoy the shopping experiences (Westbrook and Black,
1985). This study shows that the values perceived by the customer
at shopping mall is influenced by various factors of utilitarian
shopping values (monetary saving, selection, convenience and
customized products) and hedonic shopping values (entertain-
ment, exploration, place attachment and social status).
Most of the Indian customer visited malls on Saturday and
Sunday with their families together to shop and enjoy their
weekends. Mall shoppers visited malls to purchase high quality
branded products in discounted rates during shopping process,
therefore the Indian malls frequently offer competitive pricing
with discounts, schemes and offers on products (Khare, 2011)
especially to fulfill the need of Indian shoppers during weekends
and festive seasons. These activities inspire customer to save their
money by gaining profits (Chandon et al., 2000) from shopping
process. Therefore, the resulted values for monetary savings po-
sitively contribute to utilitarian shopping value (Babin et al., 1994).
Varieties of branded retail outlets, apparel stores, grocery stores,
book stores, food courts, cinema halls, gamming areas, leisure fa-
cilities, sitting space attract customers to select a particular mall
over others. Shopping malls are viewed as one-stop shopping
centers offering branded and high quality merchandise (Wakefield
and Baker, 1998) minimizing the time and effort spent in search of
a product and enabling them to make appropriate choices (Khare,
2011). Thus, the resulted values for selection also show positive
influence on utilitarian shopping value.
The resulted value for convenience positively influences utili-
tarian shopping value. It is found that malls in Bhopal are located
in prime locations therefore to reduced the congestion and crowd
mall owners invest more on spacious designing (Berry et al., 2002)
with various physical facilities like parking, elevators, lifts, air
conditioning, ATM, sitting-space, washrooms, cleanliness, secu-
rities etc. all under one roof, for providing shopping convenience
(Chandon et al., 2000; To et al., 2007) and enable customer and
their families to escape from shopping tribulations. The customer
visits the mall to enjoy the liberty to choose products from a wide
29
variety but at the time of billing it may generate decision conflict,
confusion, frustration and difficulty in choice (Diep and Sweeney,
2008), it results into fewer customer likely to make purchases
(Iyengar and Lepper 2000). Branded retail stores in the mall not
only offer customization in product which fulfill shoppers basic
needs but also enable them to compare products, avail of discount
offers and assist them to enjoy the decision making process which
creates uniqueness (Iyengar and Lepper, 2000), but this concept is
supported by only a few customers. Therefore, the study findings
do not support product customization.
Customers recognize hedonic values when the overall store
atmosphere facilitate with entertainment facilities (Bloch et al.,
1994) like music, events, refreshment facility, recreational centers,
gaming areas etc. makes the shopping more entertaining. The
findings support the importance of entertainment facilities in
malls which enhances excitement and enjoyment of shopping and
also influences shopping behavior of customer (Wakefield and
Baker, 1998). Attraction towards mall is the result of attractive
bright colors, lighting, air-cooling, cleanliness, aroma, luxurious
sitting-areas and promotional events. Enjoyable and exciting en-
vironment can persuade customer to relax (Wakefield and Baker,
1998; Deb, 2012) and refresh their mood from routine stress full
activities by enjoying their weekend in recreational and en-
tertaining environment (Arnold and Reynolds, 2003). Malls with a
variety of stores enable customer to acknowledge new arrivals of
global brand, generate shopping adventure and joy of exploration
during shopping process (Westbrook and Black, 1985; Khare,
2011). In cities like Bhopal customer loves the fun and fantasy of
shopping with their family members and friends. For them malls is
not a place of purchasing products but also for experiencing the
pleasure of shopping and enjoyment. Wakefield and Baker (1998)
identify that the increasing attraction towards malls is the result of
constant efforts to attract customers by creating shopping more
adventurous and exciting place. Therefore, the resulted values
support the positive influence of exploration on hedonic value.
As the mall concept is new for the customer living nearby
Bhopal city, therefore the mall ambience such as store layout, store
design, interiors, lighting, aroma, music, cleanliness and various
entertainment facilities (Bloch et al., 1994) plays a significant role
in place attachment. It has been found that customer likes to visit
malls especially in weekends not only to purchase product or
services, but also for enjoying their free time with their family
member and friends together. Most of the customers are emo-
tionally attached by receiving better customer services (Westbrook
and Black, 1985; Kyle et al., 2004). Therefore, the resulted values
for place attachment show significant positive influence on he-
donic shopping values. Shopping from malls suggests personal
association of customers (Rintamaki et al., 2006) and it becomes
an essential part of their shopping behavior. Therefore, shopping
malls offer branded retail stores and products hold self-esteem
(Deb, 2012) and social status of customer in the society. It is found
that most of the customer likes to visit the malls for either shop-
ping or entertainment (Khare, 2011) in lively and fun-filled en-
vironment. They do not think about the social status from shop-
ping process as the mall environment generates positive feeling in
customers. So, the study finding for social status shows negative
influence of hedonic value.
Discussion on various factors of both the shopping values it has
been found that monetary savings, selection and convenience
show significant positive influence on utilitarian value, whereas
the customization shows negative influence. On the other hand
entertainment, exploration and place attachment shows sig-
nificantly positive influence on hedonic values, whereas social
status shows negative influence. Utilitarian customers necessitate
more utility and value from the purchased product which satisfy
the shoppers need effortlessly (Batra and Ahtola, 1991; Sherry
30 B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22–31
et al., 1993; Babin et al., 2005). After purchasing and use of the
product, customer always evaluates the performance of product
with their expectations (Fornell, 1992). Therefore, the retailers in
the mall provide varieties of branded merchandise for selection
from best alternatives in discounted rates at one place which
minimizes the money, time and effort spent on shopping. Mall also
facilitates convenient physical facilities which create shopper sa-
tisfaction (Oliver, 1980; Fornell, 1992) and association of customer
with particular mall for a longer period of time. Therefore, the
resulted values for utilitarian shopping values show significant
positive influence on customer satisfaction. Research study shows
that the hedonic customer visit the malls to remove their strain,
negative emotions and for creating emotional bonding (Rintamaki
et al., 2006). Hedonic customer shows their interest in search of
sensing and feeling the enjoyment and excitement of shopping
behavior. For them mall is a place to experience higher pleasure
and excitement of shopping process. Thus, the retailers facilitate
entertainment and exploration facilities (Bloch et al., 1994) to the
customer for refreshing their minds which creates belief in the
customers and they share their experience (Hirschman and Hol-
brook, 1982) with natives, enhanced place attachment. According
to Jones et al. (2006) satisfaction is more likely to be influenced by
hedonic aspects of shopping. Therefore, the study finding for he-
donic shopping values shows significant positive influence of
customer satisfaction. Thus the customer satisfaction is strongly
associated with both utilitarian and hedonic shopping values
specifically in mall shopping. To be successful in central Indian
market and to satisfy typical needs of the shoppers for creating
bonding between retailers and the shoppers, retailers have to
understand the shoppers' characteristics and attitudes toward
both the shopping values.
Finally this paper concludes that, both the shopping values
utilitarian and hedonic play an important role in the customer's
life style. Study shows that by creating and delivering discussed
factors and related items of both the shopping values efficiently
and effectively helps in producing satisfaction in mall shoppers. So,
it is clear that utilitarian factors make shopping process more ef-
fective, efficient and utility based by providing the facility of
monetary saving, selection and convenience, whereas the hedonic
factors make shopping process more entertaining, exploring and
attractive by producing pleasure, excitement and enjoyable retail
environment during the shopping process. The satisfaction level of
customer differs from customer to customer with shopping values;
therefore the understanding about these shopping values could be
used as a reference for retailers to design the mall ambience with
attractive and motivational facilities to satisfy the particular needs
of shoppers, as well as to survive in today's competitive retail
environment.
6. Limitations and future research direction
This study focuses on the influence of utilitarian and hedonic
shopping values on the satisfaction of mall shoppers and all the
factors and the related items are derived from previous studies
reorganized by the authors. Despite all the efforts and attentive-
ness, the researcher faces some limitations while designing these
factors for specific location (Bhopal), though he gets valuable
guidance from previous researchers on utilitarian and hedonic
shopping values of mall shoppers with satisfaction. On the basis of
these factors researcher proposed the research framework, which
cleared the assessment test and the result incurred are acceptable.
This study is limited to only one city Bhopal (Madhya Pradesh)
with the sample size of 288 respondents shopping from two dif-
ferent shopping malls, where the convenient sampling method is
used for the data collection. Results cannot be generalized as we
have taken only one city into consideration. Therefore, the scope of
this study is also limited to shopping malls of Bhopal city. The
applications of theses shopping values identified in the study ta-
ken for mall shoppers helps academicians, researcher and retailers
to understand the satisfaction level of shoppers during shopping
process.
This study shows the influence of some limited factors of uti-
litarian shopping value such as monetary saving, selection, con-
venience and customized products and hedonic shopping values
such as entertainment, exploration, place attachment and social
status on customer satisfaction, that the retailer offers to the
customer during shopping process. There are some more factors
such as buying patterns, paying capacity, personality and lifestyle
etc. which all influence the shopping value of customers. On the
other hand, customers with different age group, gender, education
and purchase intension should have diverse effects on shopping
values and satisfaction. So, the future researchers could focus on
these factors to some other retail store formats and also should
makes a comparative study between physical stores shoppers and
Internet shoppers, as few studies have been conducted on the
influence of utilitarian and hedonic values on internet shopping. It
is also interesting to see the comparison between Indian shoppers
and the western shoppers based on shopping values. The same
study should carry out to confirm its applicability in other orga-
nized retail formats like hypermarket, supermarket and depart-
mental stores etc.
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Dr. Bikrant Kesari is an Assistant professor in the Department of Management
Studies, Maulana Azad National Institute of Technology (MANIT) Bhopal Madhya
Pradesh (An Institute of National Importance Established by MHRD Government of
India). He was having 14 year of work experience in both Teaching and Industry.
The major working areas are Marketing Management, Human Resource Manage-
ment, Rural Development, Retail Marketing and Consumer.Behavior. The author has
published numbers of article on National and International Journal on these re-
spective areas. In Addition, working as University officer of MANIT for All India
Survey Higher Education Govt. of India which includes collection and analysis of
data, remain as Departmental Exam-coordinator for four years, currently acting as
SC/ST Coordinator in MANIT for the overall development of weaker section of the
society.
Mr. Sunil Atulkar is a Senior Research Fellow in Department of Management
Studies MANIT Bhopal Madhya Pradesh, under the supervision of Dr. Bikrant Kesari
(Assistant professor). He had an teaching experience of 3.5 years in different sub-
jects of Marketing Specialization. Retailing, Customer Relationship Marketing,
Consumer Behavior and Rural Marketing are his area of interest and published
number of articles in National and International Journal in these areas.