Literature Pertaining to the Study of Innovations in Technologies In-Store Technologies:
The current trend in the retail industry revolves around seamlessly integrating the latest technological advancements with existing in-store technologies to enhance the overall shopping experience for both new and existing customers (Jung & Dieck, 2018). An excellent example of this integration is the incorporation of self-service technologies (SST) into price-check and checkout processes, which has gained widespread popularity due to its time-saving and convenience-enhancing capabilities (Demoulin & Djelassi, 2016). Self-checkout kiosks, for instance, allow customers to scan product labels themselves and complete transactions using various payment methods such as cash, credit cards, or mobile devices. These self-checkout systems significantly streamline the retail checkout process, reducing wait times and minimizing cases of customers abandoning their shopping carts in frustration (Yarrow, 2014). Retailers are continuously embracing emerging technologies (Pantano & Priporas, 2013) to elevate the in-store shopping experience (Yarrow, 2014).
Furthermore, present-day payment alternatives like Apple Pay, PayTM, Google Pay, Samsung Pay, and digital wallets, which facilitate seamless connections between mobile devices and consumer payment cards, are poised for mass adoption (Taylor, 2016). This widespread usage aligns with the substantial increase in global mobile payment users, projected to reach 663.8 million by 2021 (Statista report, 2019; Lai & Chuah, 2014).
Retail 5.0 – Customer-Centric Approach in the New Digital Economy:
The retail landscape is undergoing a massive transformation, with retailers now prioritizing the customer more than ever (Kowalkiewicj, 2017). Customers have the flexibility to shop online, on mobile devices, or in physical stores, with options for home delivery, in-store pickup, or location-based delivery. The concept of “everywhere commerce” is gaining prominence in the retail sector (Deloitte Report, 2018).
To engage customers in this increasingly digitalized world, retailers must leverage upcoming technological innovations to attract shoppers to their physical stores (Pantano, et al., 2016). The latest innovations that have captured consideration for the sellers include visual technologies like virtual and augmented reality.
Past studies on Consumer Behaviour:
The organized retail sector is making inroads in the Indian market (Rokade & Rashid, 2015). Considering that the majority of Indians under 25 are younger and have grown up with technology, organized retail is already displacing the unorganized sector with a sizable portion of the market. Mooij, (2019) in the book describing the consequences or impact of consumer culture and behaviour on the company’s Global Marketing and Advertising has described that in the last 15 years, people’s lives across the globe have embraced the Internet and there is a difference in the usage of the Internet across geographies for making purchase decisions. As the middle class grows, so does disposable money, and cultural differences exist in how individuals view different things.
Janaki & Shanthi (2013) in a publication on the stimuli of purchasing behaviour of durable goods like home appliances based on the perspectives of consumers, reveal that the strategies adopted by marketing teams are the game plan that firms must maneuver to beat the competition and achieve the desired objectives. The study assessed customers' behaviors in making home appliance purchases and examined how they responded to the reasons why people buy durable products like appliances through their marketing tactics. They used a random sample approach to carry out their investigation and concluded that the two main factors influencing consumers of durable goods at every step of the buying process are income and education.
Stoica and colleagues (2017) pointed out that consumers sometimes make last-minute decisions to purchase or not purchase a product without apparent reasons. These decisions are influenced by various factors, including the information available about the product, the nature of the goods, and their appearance. It is crucial for a company's marketing strategy to consider consumer demographics, market size estimation, product novelty, advertising tactics, and the marketing mix. In their study on the role of washing machines in consumers' daily lives, Kumar et. al., (2013) emphasized how technological advancements have simplified people's daily routines while reducing manual labor. Godey and colleagues (2016) indicated that the impact of social media marketing practices on brand value development and customer attitudes towards a brand remains inconclusive. They used a structural equation model, the model investigated the relationships between marketing tactics and the results of social media interaction, such as pricing, brand choice, and loyalty.
Past Study of Technology Influences on Consumer Behaviour
Consumer behavior is often subject to a range of influences, both external and internal (Chung et al., 2014). While internal variables are derived from the individual experiences of a customer, external factors are derived from the larger environmental context. Together, these many elements influence how a customer behaves. On the other hand, internal factors involve various psychological processes, encompassing attitudes, learning, perception, motivation, self-image, and semiotics (Peter et al., 2004).
Additionally, Sheth and colleagues (2013) highlighted that consumer motivations in the context of shopping can be classified into two primary forms: functional and non-functional motives. Functional motives typically revolve around considerations such as when to make a purchase, the choice of shopping location or store, and fulfilling the consumer's specific needs, which may lead to preferences for one-stop shopping to save time. Factors related to the shopping environment, including free parking, affordability of products, and access to a diverse range of items, are also vital to consumers.
Conversely, non-functional motives are more closely associated with consumers' perceptions and experiences. These may include factors like the reputation of a brand, the appearance of a store, and the usability of websites. These considerations play a significant role in shaping consumer behavior in the retail environment.