Date of Graduation
8-2024
Document Type
Dissertation
Degree Name
Doctor of Philosophy in Business Administration (PhD)
Degree Level
Graduate
Department
Marketing
Advisor/Mentor
Gauri, Dinesh K.
Committee Member
Chen, Jialie
Second Committee Member
Ma, Yu
Third Committee Member
Bhave, Ashutosh
Keywords
Club stores; Membership stores; Mobile checkout; Retailing; Scan and Go
Abstract
The retail industry in the United States has experienced significant and sustained growth, with sales surpassing $7 trillion in 2022, reflecting a dynamic and competitive landscape. This growth has been particularly evident in the evolution of retail formats over the past four decades, marked by a decline in the market share of grocery stores and a corresponding increase in the dominance of supercenters and membership clubs. Membership club stores such as Sam’s Club, Costco, and BJ’s have emerged as key players, offering consumers access to large quantities of goods at lower prices, albeit requiring an annual membership fee. This dissertation focuses on the membership retail format, particularly exploring the dynamics of subscription choices offered by retailers. While prior studies have extensively examined various retail formats, research on membership stores remains limited. In the first essay, critical managerial issues related to membership retention and upgrading/downgrading decisions are addressed through a proposed discrete choice model. Empirical testing of this model, utilizing individual-level data from a leading national retailer, reveals insights into customer behavior regarding membership programs, highlighting the challenges associated with premium memberships and the importance of promoting membership usage to enhance consumer engagement. In the second essay, the factors driving the trial and adoption of mobile checkout are investigated. Mobile checkout technology, increasingly popular among retailers, offers customers convenience and efficiency in their shopping experience. Utilizing the theoretical framework of transaction cost economics and store transaction data from a major US retailer, the study identifies key factors influencing the trial and adoption of mobile checkout. Insights into customer segments and adoption patterns provide valuable guidance for retailers seeking to enhance the adoption of mobile checkout and improve overall customer satisfaction. Overall, this dissertation contributes to the understanding of membership retail formats and offers practical insights for retailers aiming to optimize subscription choices and adopt emerging technologies to enhance the shopping experience. The findings underscore the importance of customer-centric strategies in navigating the evolving retail landscape and driving sustainable growth in the competitive market environment.
Citation
Pandey, A. (2024). Essays on Membership Retailing in Omnichannel World. Graduate Theses and Dissertations Retrieved from https://scholarworks.uark.edu/etd/5396
