Satisfaction of mall shoppers: A study on perceived utilitarian and [630091]

Satisfaction of mall shoppers: A study on perceived utilitarian and
hedonic shopping values
Bikrant Kesari, Sunil Atulkarn
Department of Management Studies, Maulana Azad National Institute of Technology (MANIT), Bhopal 462003, Madhya Pradesh, India
article info
Article history:
Received 1 June 2015Received in revised form3 February 2016Accepted 14 March 2016
Available online 24 March 2016
Keywords:
Shopping malls
Shopping values
Utilitarian shopping valueHedonic shopping valueShopping behaviorCustomer satisfactionabstract
Declining consumer footfall and diminishing sales in Indian metro cities have guided the expansion of
malls in cities of central India. Shoppers of these cities are unfamiliar with the mall concept and havelimited exposure of shopping values in the past. The present research focused on the in fluence of uti-
litarian and hedonic shopping values on satisfaction of mall shoppers of central India Bhopal by estab-
lishing a proposed research framework based on 288 responses from two shopping malls, using utili-tarian and hedonic dimensions of shopping values. Con firmatory factor analysis and structural equation
modeling (SEM) are used to analyze and validate the proposed research framework. The result supports
the relationship between shopping values and customer satisfaction, where both the shopping values
show positive signi ficant in fluences on customer satisfaction. Therefore this research paper would help
mall owners to focus on these shopping values effectively and ef ficiently while planning malls in central
India for gaining competitive advantage, attracting new customer and hold their pro fitable customers by
enhancing customer satisfaction with shopping values in the current retail scenario.
&2016 Elsevier Ltd. All rights reserved.
1. Introduction
Mall culture plays a signi ficant 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 in fluence 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 torepresent 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,1994 ;Wake field and Baker, 1998 ) representing hedonic shopping
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 in fluences. Therefore the different seg-
ment of consumers' re flects 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 thatmalls 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 ).Contents lists available at ScienceDirect
journal homepage: www.elsevier.com/locate/jretconserJournal of Retailing and Consumer Services
http://dx.doi.org/10.1016/j.jretconser.2016.03.005
0969-6989/ &2016 Elsevier Ltd. All rights reserved.
nCorresponding author.
E-mail address: sunilatulkar3030@gmail.com (S. Atulkar).Journal of Retailing and Consumer Services 31 (2016) 22 –31

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 ;Wake field 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 orhave 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 in fluence 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 in fluenced 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 recognizeutilitarian 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 theentertainment and enjoyment. Babin et al. (1994) defined utilitarian
shopping values as acquiring the bene fit of the product needed
effortlessly during the shopping process, where hedonic shoppingvalue include the joy and excitement of shopping. Generally, it isbelieved that customers purchase not only for utilitarian values ofthe products, but also for receiving satisfaction during shoppingprocess. So it is clear that both the shopping values, utilitarian andhedonic value, ( Babin et al., 1994 ,2005 ;Babin and Darden, 1995 ;
Wake field and Baker, 1998 ;
Rintamaki et al., 2006 ;Kaul, 2007 )a r e
important for satisfaction of mall shoppers. Then the question iswhat 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 ortask, and the perceived bene fit depends on whether the mission is
completed ef ficiently 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 sacri fice 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 satis fied 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 ofhigh quality branded merchandise to customers to shop fromshopping malls. Therefore, the shoppers will have the opportunityof 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.H1
H2
H3
H4 H9
H5 H10
H6
H7
H8ExplorationCustomer
Satisfaction
Hedonic
ValueUtilitarian
Value
EntertainmentSelection
ConvenienceMonetary saving
Place AttachmentCustomized product
Social Status
Fig. 1. Research Framework.B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22 –31 23

2.1.1. Monetary saving
Customers perceive monetary savings as a utilitarian bene fit,
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 lowerand competitive prices ( Bell and Lattin, 1998 ;Heerde et al., 2008 ). This
will help customers to draw different bene fits 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, ef ficiently and
effortlessly ( Babin et al., 1994 ;Babin and Darden, 1995 ). Therefore, this
study presents the following hypothesis:
H1. Monetary saving has a signi ficant positive in fluence on utili-
tarian shopping value.
2.1.2. Selection
In mall shopping behavior, retailers offer multiple brands, carry
variety of high quality merchandise ( Wake field 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 ( Wake field 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 pro fitable 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 signi ficant positive in fluence 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 )a n ds e c u r i t y( 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 (likeelevators, 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 perceivesmore utility and values from the shopping process. Therefore, the
study presents the following hypothesis:
H3. Convenience has a signi ficant positive in fluence on utilitarian
shopping value.
2.1.4. Customized products
Introducing customized products is one of the major competitive
advantages regarded by academicians ( Wake field and Baker, 1998 ;To
et al., 2007 ). Customization in the product is based on customervisiting 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 speci fications, product quality, product packaging, de-
sign etc. that ful fill 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 )w i t ht h ep r o –
ducts during shopping at mall. Malls increase customer patronage by
offering large variety of high quality merchandise ( Wake field 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 signi ficant positive in fluence 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 andemotional aspects of shopping experience with the products ( Hirsch-
man and Holbrook, 1982 ). Hedonic shoppers satis fied 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 socialstatus 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 andenjoyment ( Wake field 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 ( Wake field 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 ;Wake field
and Baker, 1998 ) or roaming around the stores. Therefore, this study
presents the following hypothesis:
H5. Entertainment has a signi ficant positive in fluence 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 duringB. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22 –31 24

shopping process ( Sherry et al., 1993 ).Webster et al., (1993) shows
that customers would experience a s ense of curiosity and excitement
enhances fun and pleasure of shopping ( Babin et al., 1994 ;Wake field
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 )o fs h o p p i n g
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 ( Wake field and Baker, 1998 ). Therefore, this study presents the
following hypothesis:
H6. Exploration has a signi ficant positive in fluence 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 andcleanliness) and excellent customer services are prominent con-
tributors towards attracting customer to shop ( Yavas, 2003 ) which
play a signi ficant 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 signi ficant positive in fluence 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 followedby 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 )i n –
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 incr eases the status and self-esteem of
customer in the society ( Holbrook, 1999 ;Chandon et al., 2000 )p r e –
ferred mostly by the hedonic shoppers. Therefore, this study presents
the following hypothesis:
H8. Social status has a signi ficant positive in fluence 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 ), whenthe 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 ;Wake field 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 satis fied 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 in fluences 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 ;Wake field 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 in flu-
enced by hedonic aspects than utilitarian aspects of shopping.
Thus, customer satisfaction is strongly associated with utilitarian
and hedonic shopping values speci fically in shopping malls.
Therefore, this study presents the following hypothesis:
H9. Utilitarian shopping value has a signi ficant positive in fluence
on customer satisfaction.
H10. Hedonic shopping value has a signi ficant positive in fluence
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 modi fied according to shopper's satisfaction
at mall described in Table 2 . All the items have been modi fied 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. ”Thefinal 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.B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22 –31 25

3.2. Sampling design and data collection
In order to test the hypothesis, researcher visited two most
popular shopping malls located in central India (Bhopal) for datacollection. 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-screenmultiplex, 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 selectedshopping mall shoppers near the exit of malls. The questionnaireswere distributed by using convenience sampling method (a type ofnon-probability sampling) to the respondents who are moreconvenient 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
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 identi fies 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 statisticalsignificance of factor loadings and path coef ficients ( Chin, 2001 ;
Davison et al., 2003 ) using non-parametric bootstrap procedure.
4.1. Scale validity and reliability
To examine the construct validity of each latent construct in the
measurement model ( Hair et al., 1998 ) through convergent validity
and discriminant validity, a con firmatory factor analysis (CFA) was
conducted. In convergent validity Fornell and Larcker (1981) sug-
gest that if the value of outer factor loadings and average variance
extracted (AVE) is greater than 0.50 in both cases ( Bagozzi and Yi,
1988 ,Lin and Ding, 2006 ), the explained variance is greater than
the measurement error. Therefore, the resulted values of factor
loadings lies in between 0.54 and 0.96, and for AVE it is from 0.56to 0.85 ( Table 2 ). However the discriminant validity, methodology
proposed by Fornell and Larcker (1981) shows that the value of
square root of AVE should exceed the construct correlations withall other constructs ( Table 3 ). The internal consistency of con-
structs is measured by composite reliability (CR) ( Werts et al.,
1974 ;Raykov, 1997 ) and Cronbach's alpha supposed to be under-
estimated scale reliability with the recommended threshold cri-
terion of 0.70 for both ( Nunnally, 1978 ).Table 2 shows that the
value of composite reliability lies between 0.70 and 0.93 and for
Cronbach's
α, the values is in between 0.71 and 0.88. All these
values are computed from a con firmatory factor analysis using
SmartPLS ( Ringle et al., 2005 ) which show that the measurement
model re flects good construct validity and reliability.
4.2. Structural model assessment
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:
=× R GoF AVE2
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 R2is 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); GoF ¼0.25 (medium); and
GoF¼0.36 (large).
To conquer the multicollinearity affects on the result, tolerance
and variance in flation 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 thelatent 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 shouldnot 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.
4.3. Main effects and path coef ficients
A non-parametric bootstrap procedure with 2000 resample was
done to drive the statistical signi ficance of factor loadings and path
coefficients ( Chin, 2001 ;Davison et al., 2003 ).Table 4 shows the
value of standardized path coef ficients (
β),t-value and associated
significance levels for all relationships. The path coef ficient is sig-
nificant, if the t-value is greater than 1.96, with a signi ficance level
of 5%, using a two-tailed t-test in IBM SPSS 20 software ( Fig. 2 ).Table 1
Demographic breakdown of respondents.
Category N Percentage (%)
Gender
Male 163 57Female 125 43
Age
16–25 83 28.82
26–35 113 39.24
36–45 51 17.71
46–55 24 8.33
455 17 5.90
Occupation
Business 41 14.24Service 117 40.63Profession 65 22.57Students 43 14.93
Others 22 7.64
Salary structure
0–200,000 lakh (INR) 49 17.01
200,000 –400,000 lakh (INR) 56 19.44
400,000 –600,000 lakh (INR) 112 38.89
600,000 –800,000 lakh (INR) 47 16.32
4800,000 lakh (INR) 24 8.33B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22 –31 26

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. 0.93Mall offers me quality product in discounted rates. 0.70I visit the mall perceive maximum value of time spent on searchingproducts.0.93
Selection (Wake field 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
I visit the mall because of its convenient location and parking facility. 0.93Spacious retail and physical facility attract me to visit the mall. 0.92
Customized product (Wake field 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. 0.66Customization in the products creates uniqueness to me. 0.92
Entertainment (Bloch et al., 1994 ;Wake field and Baker, 1998 ;Arnold and Reynolds, 2003 ;Deb,
2012 )0.71 0.88 0.77
While shopping I enjoy the soft music and entertaining environment in
the mall.0.59
Entertaining retail environment makes me relaxed from daily stressful life
style.0.94
I visit the mall as recreational center to enjoy my weekend along with my
family.0.94
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. 0.95Certain store creates curiosity and excitement for the product andservices.0.80
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. 0.96The mall ambience (lighting, decoration, facilities, etc.) creates attachment
toward store.0.70
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. 0.87Shopping from mall feel me the state of social status and increase self-esteem.0.54
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 ;Wake field and Baker, 1998 ;
Babin et al., 2005 ;Rintamaki et al., 2006 )0.85 0.92 0.83
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 ;Wake field
and Baker, 1998 )0.74 0.85 0.73
I got every essential product and services which satis fied needs because of
one stop shopping place.0.79
Responsiveness of sales personal creates bonding with the store in the
mall.0.95
Note: AVE ¼average variance extracted, CR ¼composite reliability.B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22 –31 27

Table 3
Latent variable correlation.
Monetary
SavingSelection Convenience Customized
productsEntertainment Exploration Place
attachmentSocial
statusHedonic
valueUtilitarian
valueCustomer
satisfaction
Monetary
saving0.86a
Selection 0.38 0.89a
Convenience 0.21 0.31 0.92a
Customized
product/C00.27 /C00.24 0.22 0.84a
Entertainment 0.25 /C00.06 0.25 0.61 0.84a
Exploration 0.47 0.89 0.36 /C00.26 /C00.08 0.90a
Place
attachment0.32 0.61 0.30 /C00.25 0.09 0.80 0.75a
Social status /C00.13 0.00 /C00.17 0.14 0.08 /C00.10 /C00.15 0.85a
Hedonic value 0.35 0.61 0.26 /C00.23 /C00.03 0.77 0.98 /C00.14 0.92a
Utilitarian value 0.26 0.31 0.21 0.22 0.25 0.36 0.30 /C00.17 0.26 0.87a
Customer
satisfaction0.71 0.84 0.27 /C00.21 0.09 0.91 0.56 /C00.11 0.56 0.27 0.86a
aDiagonal elements are squared AVE.
Table 4
Structure model estimates (path coef ficient).
Path Coef ficients t-value p-Value Tolerance VIF Result
H1:Monetary Saving- 4Utilitarian Value .145 2.841 .005* .803 1.245 Accepted
H2:Selection- 4Utilitarian Value .484 8.805 .000* .695 1.438 Accepted
H3:Convenience- 4Utilitarian Value .139 2.695 .008* .793 1.261 Accepted
H4:Customized Products- 4Utilitarian Value /C0.103 /C02.042 .042 .828 1.207 Rejected
H5:Entertainment- 4Hedonic Value .293 5.586 .000* .988 1.013 Accepted
H6:Exploration- 4Hedonic Value .363 4.141 .000* .353 2.831 Accepted
H7:Place Attachment – 4Hedonic Value .152 2.876 .004* .970 1.031 Accepted
H8:Social Status- 4Hedonic Value /C0.108 /C01.437 .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
0.145 (2.841)*
0.484 (8.805)*
0.139 (2.695)* 0.521 (10.341)*
-.103 (-2.042)
0.293 (5.586)*
0.363 (4.141)* 0.498 (2.602) *
0.152 (2. 876)*
-.108 (-1.437) ExplorationCustomer
Satisfaction
Hedonic
ValueUtilitarian
Value
EntertainmentSelection
ConvenienceMonetary saving
Place AttachmentCustomized product
Social Status
Fig. 2. Structural model. (Note: t-values is in bracket with beta coef ficient and * positive signi ficance in fluence).B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22 –31 28

The resulted value indicates that monetary saving ( β¼0.145; t-
value¼2.841; p¼0.005), selection ( β¼0.484; t-value ¼8.805;
p¼0.000) and convenience ( β¼0.139; t-value ¼2.695; p¼0.008),
had a positive and signi ficant effects on utilitarian value. Resulted
values for entertainment ( β¼0.293; t-value ¼5.586; p¼0.000),
exploration ( β¼0.363; t-value ¼4.141; p¼0.000) and place at-
tachment ( β¼0.152; t-value ¼2.876; p¼0.004) shows positive and
significant effect on hedonic value. Therefore the utilitarian value
(β¼0.521; t-value ¼10.341; p¼0.025) and hedonic value
(β¼0.498; t-value ¼2.602; p¼0.010) shows positive and sig-
nificant effect on customer satisfaction. Thus, H1, H2, H3, H5, H6,
H7, H9 and H10 were accepted. However, customized product
(β¼/C0.103; t-value ¼/C02.042; p¼0.042) shows negative sign, so
there is no signi ficant effect on utilitarian value where as social
status ( β¼/C0.108; t-value ¼/C01.437; p¼0.151) shows negative sign,
so there is no signi ficant 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 in fluence 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 signi ficant 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 in fluenced 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 ful fill the need of Indian shoppers during weekends
and festive seasons. These activities inspire customer to save their
money by gaining pro fits (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 ( Wake field
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 in fluences 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 widevariety but at the time of billing it may generate decision con flict,
confusion, frustration and dif ficulty 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 ful fill 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 in fluences shopping behavior of customer ( Wake field 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 ( Wake field 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. Wake field and Baker (1998)
identify that the increasing attraction towards malls is the result of
constant efforts to attract customers by creating shopping moreadventurous and exciting place. Therefore, the resulted values
support the positive in fluence 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 signi ficant 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 signi ficant positive in fluence 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 signi ficant positive in fluence on utilitarian value, whereas
the customization shows negative in fluence. On the other hand
entertainment, exploration and place attachment shows sig-
nificantly positive in fluence on hedonic values, whereas social
status shows negative in fluence. Utilitarian customers necessitate
more utility and value from the purchased product which satisfy
the shoppers need effortlessly ( Batra and Ahtola, 1991 ;SherryB. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22 –31 29

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 signi ficant
positive in fluence 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
toJones et al. (2006) satisfaction is more likely to be in fluenced by
hedonic aspects of shopping. Therefore, the study finding for he-
donic shopping values shows signi ficant positive in fluence of
customer satisfaction. Thus the customer satisfaction is strongly
associated with both utilitarian and hedonic shopping values
speci fically 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'slife style. Study shows that by creating and delivering discussed
factors and related items of both the shopping values ef ficiently
and effectively helps in producing satisfaction in mall shoppers. So,
it is clear that utilitarian factors make shopping process more ef-
fective, ef ficient 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 in fluence 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 speci fic 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 wehave 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 identi fied in the study ta-
ken for mall shoppers helps academicians, researcher and retailers
to understand the satisfaction level of shoppers during shoppingprocess.
This study shows the in fluence 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 socialstatus 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 in fluence the shopping value of customers. On the
other hand, customers with different age group, gender, educationand 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 theinfluence 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 con firm 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 haspublished numbers of article on National and International Journal on these re-
spective areas. In Addition, working as University of ficer 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.B. Kesari, S. Atulkar / Journal of Retailing and Consumer Services 31 (2016) 22 –31 31