Conclusion and Implication
This study could be considered as the first
research exploring how convenience, store
layout, price and digital technology can create
differences in the buying behavior of different
Millennial groups in the convenience store in
Vietnam. This study contributes to enrich
knowledge and understanding about the
consumer behavior field in convenience store
retailing. In fact, there is a large number of
researchers who have investigated factors
impacting on consumer behavior in this market
sector. However, very few scholars focused on
Millennials, who demonstrate a tremendous
purchasing power, especially in Vietnam. Thus,
this paper is the first research testing whether
these factors leave different impacts on
different millennial groups' buying decisions in
the Vietnam convenience store market.
By conducting an online survey with 250
valid respondents living in Vietnam, the
quantitative data collection was analyzed by
SPSS software while the qualitative data from
three open-ended questions were also displayed,
immersed, coded and analyzed. Finally, some
key findings were highlighted and discussed.
This study critically confirms the previous
studies about factors influencing consumer
decisions to shop; including convenience, store
layout, price and technology. Also, this paper
found the difference in the shopping behavior
between males and females as well as young
Millennials and old Millennials under the
impact of price. Convenience was found to be
the only factor that can make a difference in the
shopping behavior among different occupation
groups of Millennials.
This study raises some ideas of adding more
convenient products and services in the
convenience store in Vietnam in order to
develop further convenience characteristics and
strengthen its comparative advantage compared
to other grocery formats. By finding out the
most significant affecting level of Convenience
factors on consumer buying decision, retailers
should pay more attention to develop the
“convenience features” of their stores, such as
advanced payment methods, self-service pointof-sales, nice seating areas as well as
convenient products and services. Business
strategies relating to product development,
marketing and store location planning could be
built based on the preference of the office
worker group, which is currently confirmed as
the target customer of Vietnamese convenience
stores in this research; particularly, developing
a varied ready-to-eat food menu or store
location planning in office buildings and
industrial zones.
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VNU Journal of Science: Economics and Business, Vol. 36, No. 2 (2020) 39-51
39
Original Article
How Convenience, Price, Store Layout and Technology
Influence Buying Behavior of Different Millennial Groups
in the Convenience Stores in Vietnam
Dam Thi Phuong Thao*
VNU University of Economics and Business, Vietnam National University, Hanoi,
144 Xuan Thuy, Cau Giay, Hanoi, Vietnam
Received 18 April 2020
Revised 11 June 2020; Accepted 11 June 2020
Abstract: It is undeniable that convenience stores have expanded rapidly in the Vietnam retail
market in recent years [1]. Convenience store chains such as Circle K, 7-Eleven, VinMart and B’s
Mart have been popular grocery shopping destinations for shoppers in Vietnam because of the
busy modern life and the restricted time for shopping. Noticeably, Millennials with tremendous
spending power have become an important shopper group of the convenience store. This research
analyses the buying behavior of Millennials and the influential levels of factors including
convenience, store layout, price and technology on different Millennial groups in this market.
Keywords: Convenience stores, millennials, buying behavior, convenience, store layout, price,
technology, Vietnam.
1. Introduction *
In the Vietnamese grocery market, the
convenience store segment has witnessed the
fastest growth compared to other modern
retailing formats; and Vietnam’s convenience
store market is also expected to be Asia’s
fastest-growing convenience market reaching
37.4% by 2021 [1, 2]. Numerous convenience
stores have been opened by foreign retailers,
such as Family Mart (Japan), B'smart
_______
* Corresponding author.
E-mail address: damphuongthao2302@vnu.edu.vn
https://doi.org/10.25073/2588-1108/vnueab.4374
(Thailand), Ministop, Circle K and 7-Eleven
(US), competing against local operators, such
as VinMart, and Co.op Food, thus creating a
huge network with over 3000 convenience
stores in the whole country [3]. Local players
such as VinMart+ have established an
enormous convenience store network with over
1,500 stores in 2019 [3], and Saigon Co.op, a
leading state-owned retailer, also launched its
convenience banner Co.op Smile and planned
to add 200-300 outlets in 2018 [4]. The
objective reasoning for this incredible growth is
the domination of a young urban population and
the increasing pace of life in urban cities
fuelling demand for a convenient shopping
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style, especially in the big cities such as Hanoi
and Ho Chi Minh City [5].
In fact, according to the Vietnam General
Statistics Office (2018), Vietnam is currently
experiencing a “golden population structure”
with nearly 40% of the population from 18-35
years old. This group, named Millennials, is
characterized by individuals who are
Internet-savvier, information seekers and
recreational quality seekers, and strongly
consumption-oriented [6]. As a main labour
force of a society, Millennials also have a fair
disposable income level for shopping
expenditure and the convenience store has
become a favourite shopping destination for
Millennials thanks to well-designed seating
areas, in-store free Wi-Fi and high-quality
products [7]. Therefore, Millennials are “the
future” of 21st century retailing as well as an
important customer group of convenience stores
in particular. Thus, retailers in this sector need to
understand the factors encouraging Millennial’s
purchasing decisions during their shopping
journey in convenience stores in Vietnam.
Many studies have proven factors such as
convenience, price, store layout and digital
technology as directly or indirectly influencing
customers' purchasing behavior in grocery
retailing. However, most previous researches
have been conducted in customer behavior in
the Asian convenience store, focusing on
Taiwan [8-10], China [11, 12] and Japan [13],
while the growing Vietnamese convenience
store market has not been sufficiently explored.
For the Vietnamese grocery market, previous
researches have mainly focused on the buying
behavior of Vietnamese consumers in other
grocery retailers such as supermarkets and
traditional markets [14, 15]. Only limited
researches have examined convenience stores
and customer behavior in the convenience store
in Vietnam, but have not focused on Millennial
groups. There is a scarcity of studies
investigating the impact of convenience, price,
store layout and technology on Millennials’
shopping behavior in the convenience store.
Especially, no previous researches have
examined whether these factors leave a different
impact on different Millennial groups’ buying
decisions in the Vietnamese convenience store
market. Thus, this paper was designed to explore
how convenience, store layout, price and digital
technology can create differences in the buying
behavior of different Millennial groups in the
convenience store in Vietnam.
2. Literature Review
2.1. Theories of Consumer Behavior
2.1.1. The buying decision-making process
The buying decision process is a
decision-making process executed by customers
corresponding to a potential market transaction,
before, during and after the purchase of
products and services [16]. In particular, this
process is how buyers collect and assess
information and then make a selection of
products and services after comparing all
alternatives. Engel et al. (2006) proposed a
five-stage decision-making process that
consumers go through in any purchases,
encompassing need recognition and problem
awareness, information search, alternatives
evaluation, purchase decision and post-purchase
behavior (Figure 1) [17].
Figure 1. Five-stage decision-making progress.
Source: Engel et al. (2006) [17].
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Engel et al. (2006) contend that thanks to
focusing on motivational factors, the five-stage
model supports the user to more easily find out
customers' motives underlying all stages of the
purchasing decision process [17]. That is the
reason why this five-stage model is more
precise and suitable for researchers to
investigate customer buying decision-making.
Table 1. Descriptions of the five-stage decision-making process
Stages of progress Descriptions
Need recognition Consumers’ searching for changes in current states when they realize dissatisfaction.
Information search
Internal search Consumer’s personal experiences, culture and beliefs.
External search
The media, advertising and feedback from reference groups.
Or, classified as a personal source, business source, public
source and experience source.
Alternatives evaluation
Consumers’ evaluation of different products available from the perspectives of
functional and psychological benefits.
Purchase
Is final purchase action based on the results of the alternative evaluation,
environment factors, and the choice of stores?
Post-purchase
Evaluation
Examining and comparing product features such as price, quality and service.
Source: Adapted from Engel et al. (2006) [17].
2.1.2. Theory of buyer behavior
While many theories of consumer behavior
have been proposed in the last 50 years, the
Theory of Buyer Behavior of Howard and
Sheth (1969) is one of the few models to have
been commonly used and tested in-depth [18].
This theory demonstrates “a sophisticated
integration of the various social, psychological
and marketing influences” on consumers’
buying decisions. As an integrative model that
incorporates many of the aspects of consumer
behavior, the Theory of Buyer Behavior
supports researchers to create hypotheses and
further investigate consumer behavior.
In this theory, the influence factors of a
consumer's purchasing behavior are divided
into four major types, including stimulation
(input factors), external factors (exogenous
variables), internal factors (hypothetical
constructs), and reflection (output factors).
Stimulation variables are elements that directly
influence the information-searching process,
which are the environmental stimuli that the
consumer is subjected to, and is communicated
from a variety of sources [18]. The model holds
that input factors arouse the motivation, which
further influences the consumer's psychological
activities (internal factors). By experiencing
buying action, consumers create a range of
reactions of buying tendency and attitude
toward a brand/store (response variables).
Associating with other factors, buying behavior
is established, which will play an important
contribution to the next purchase [16].
In general, the Theory of Buyer Behavior
determines elements of the buyer decision
process, makes an observation of the changes
occurring in them over time on account of their
repetitious nature, and exhibits how the
decision element combination influences the
search processes and the information
consolidation from the consumer’s commercial
and social environment (Figure 2) [18].
2.2. Shopping Behavior of the Millennial
Generation
Considering the selected age structure of
this research, 18 to 35, it is possible to assign
some characteristics of the so-called
Millennials: the generation of people born
between the early 1980s and the early 2000s
[19]. As constituting more than 25% of the
world population, this generation plays a role as
an important group and target customer for
retailers and grocery companies thanks to their
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enormous number and the significance of both
their current and future spending power [20]. In
terms of Millennials’ shopping styles,
Millennials consider shopping not as the simple
act of purchase, but as a form of leisure [21].
Millennials see themselves as functional
shoppers, and pursue purchasing experiences
containing entertainment.
O
Figure 2. Major components of the theory of buyer behavior.
Source: Howard and Sheth (1969) [18].
Besides, Millennials are eager to seek a
combination of the best quality and the best
price. However, Bakewell and Mitchell (2003)
contend that younger generations are more
likely to associate higher prices with higher
quality, and they are more motivated to “trade
up” price-quality compared with the older
generation [22]. As a consumer group,
Millennials have been raised in a consumption-
driven society and represents tremendous
spending power [23]. Millennials play a main
role in their families in decision-making
compared to other generations. In particular,
they are the most consumption-oriented
generational cohort of all groups. Typically,
Millennials are considered highly sociable,
Internet-savvy and techno-literate and more
importantly, they grew up with technology [24].
As stated by Palmer (2009), Millennials are the
first generation of digital natives [25]. Being
born and living in the information era with the
nonstop influence of the Internet as well as new
technological devices such as computers,
laptops, digital cameras, mobile phones and
other digital tools, these external conditions,
directly and indirectly, affect Millennials’
shopping habits and the buying decision-
making process [26].
2.3. Factors Impacting Consumer Behavior in
the Convenience Store
2.3.1. Convenience
The term “convenience” refers to
time-saving and effort-saving in the purchasing
process, which is the customers’ priority
[27, 28]. Critical elements leading consumers to
shop in a convenience store include extended
operating hours [29, 30], easy access [28],
parking availability and impulse purchases [26,
31]. In terms of trading hours, several studies
show that due to permitted hours of opening in
the UK, Spain, Germany, Austria and the
Netherlands, the supermarket sector in these
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countries has been facing increasing
competition from local stores, which offer
convenience by opening early and closing late.
IGD retail analysis in 2018 [1] reported that
more than 90% of new convenience stores
operate 24 hours per day and seven days a week
to meet customer demand, especially early
morning and late-night shopping. Early
morning and late-night consumers depend on
stores providing them with essential items
which are not available in other stores.
There have been several studies
investigating convenience stores’ location,
which have identified that the right location can
help increase store sales [28, 32]. Critically, the
proximity location presents an intensely
important determinant for convenience stores,
which attracts customers to come and shop in
these stores [33]. Fitrianto and Daud (2017)
contend that an ideal store should be located in
a place that is very easy to reach so that
consumers have ease of access, parking lots,
and security [34]. As reported by Retail News
Asia in 2016 [5], 75% of citizens showed they
want to shop in a convenience store located in
or near their neighborhood. Taking into account
the restricted time buyers spend on shopping
activities, convenience stores within walking
distance from their accommodation could create
a strong incentive for consumers to visit [33].
2.3.2. Store layout
Store layout, referring to the store's
merchandise presentation, is a crucial factor in
store image creation [35]. This includes “doors,
merchandise placement, shelf orientation,
music, check-out counters, interior decorating,
staff attitude, lighting and location of the
loading facilities”. Placing significant influence
on in-store traffic, store atmosphere, shopping
behavior and operating efficiency, a well-
designed layout is a critical element in building
store success [31, 35]. Many studies have been
undertaken into specific elements of store
layout and their roles in enticing customers to a
shop; including color, atmosphere, music and
light, merchandise and in-store convenience
[31]. Acknowledging the significance of
product presentation in a store, marketing
experts can easily allure consumers to drop in
and shop [36]. Besides traditional grocery
retailing, the format of convenience stores,
combining both shopping and dining (called
“hybrid convenience stores”), contributes to
increasing store patronage and customer
preference for convenience stores [37, 38].
Tlapana (2009) demonstrated an overall
overview of a store’s layout characteristics and
how important merchandise display in a
convenience store is in enticing consumers to
browse through the store and derive buying
action [31]. Proper merchandising, at the same
time, supports impulse buying in a convenience
store. The mere basic product consisting of candy,
gum, mints, chips or small packs of tissues
displayed at the checkout aisles can induce
consumers to buy with no conscious planning or
prior thought. Hence, merchandise layout could
contribute significantly to a store's sale, thanks to
its momentous influence on customer buying
behavior; especially, for this research's target
consumer - the Millennials who are seeking a
recreational shopping style [16, 20].
2.3.3. Price
As Millennials have a strong consideration
of the competitive price or “good deal” as well
as exposing a compelling bargaining power,
price is a crucial factor influencing their
shopping decisions toward a store. However,
price has been described as both a sacrifice
needs indicator as well as a quality level
indicator by many authors [39]. Diallo
introduced a paradoxical situation in which a
good with a more competitive price could be
more appealing to the customer than its
substitutes because of its cheaper price and less
appealing because customers suppose it to be an
inferior quality product [39].
In terms of an indicator of sacrifice of
needed amount, Diallo [39] states that a more
expensive price presents an expenditure amount
that needs to be sacrificed to obtain an item,
leading to a reduced willingness to buy. Price is
one of the important significates [11], in the
conceptualization of variables and shapes
consumer choices and affects impulse. The
more the product cost increases, the less the
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product consumption will be [40]. Besides,
some researches contended that there is a
difference in the shopping behavior of males
and females under the impact of the price factor
[20, 41], particularly; female shoppers are more
price-sensitive than male shoppers.
However, price problemsatically influences
a customer's perception of a product's quality
level [42]. Theoretical rationales emphasize an
expected positive price-quality relationship
based on the market expectation that high-
quality commodities often require a larger
production cost than low-quality commodities.
Hence, higher priced items mean higher
perceived quality, which, as a consequence,
creates a greater willingness to buy [42, 43].
2.3.4. Technology
Millennials are described as very
Internet-savvy [7, 23], are information seekers
through multiple channels and have grown up
with technology [24]. Millennials are highly
influenced by the social media, with more than
50% indicating they have been influenced by
social media for purchases [44]. Social media is
known as the wide range of “online word-of-
mouth forums and information-sharing formats
including blogs, microblogging sites, company-
sponsored discussion boards, chat rooms,
customer-to-customer emails, consumer product
or service rating emails and creativity
work-sharing and social networking sites” [45].
Ozer (2012) and Lenhart (2018) studied how
social communication tools and search engines
can be influential in the purchase decision-making
process by generating and sharing product-related
opinions [46, 47]. Digital technology strongly
supports the process of transferring product
information and brands’ symbolic stimuli also
encourage social stimuli by supporting
communication between consumers and their
reference group [11].
Hershatter and Epstein (2010) contend that
Millennials regularly use blogs, reviews, and
social networks to openly express their interests
and feelings [48]. Besides, technology application
in business also promotes the buying d
ecision-making process and then increases
customer satisfaction towards that retailer [45]. In
particular, an informative website allows
Millennials to do information searches more
easily, which helps them as consumers to make
buying decisions more quickly and leverage the
purchase volume [7]. In other words, technology
contains both direct and indirect impulse factors
impacting on consumers’ decision-making as it
encourages the communication process among
social stimuli elements.
3. Methodology
3.1. Data Collection and Questionnaire Design
Quantitative data is important because it
supports researchers to measure and compare
data of a significant population. However, it is
important to have some open-ended questions
to ensure that all participants’ views can be
fully understood, which contributes to in-depth
analysis in the following part. Thus, this
questionnaire survey contains three main parts
plus two filter questions. The filter questions
about age and current country of residence were
crucial to guarantee the validity of the survey
participants as Millennials living in Vietnam
since this group is the targeted subject of this
study. The first part comprised three
open-ended questions relating to Millennials'
attitude towards and opinion of the convenience
store. This helped the author to understand
consumer insights more deeply, which
contributes to in-depth analysis in the following
chapter. The second part was designed to ask
participants about convenience (8 items), store
layout (6 items), price (5 items) and technology
usage (6 items). The five-point Likert scale was
applied, ascending from 1 to 5 according to the
level of agreement [49]. The third part focused
on collecting demographic information such as
age, gender, income, marital status, and
occupation. The demographic information may
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say something about participant buying
behavior and fulfil the customer persona [49].
Considering this research subject, for
Millennials who are technology-savvy and
access the Internet as well as social networks as
daily needs. This self-administered
questionnaire was the perfect tool applied in
this research. The survey was designed and
distributed on the website
https://www.onlinesurveys.ac.uk/ in English
and Vietnamese and pretested on fifteen
Vietnamese Millennials. Next, it was forwarded
widely to respondents who are initial contacts'
acquaintances living in Vietnam via social
networks or email. The official number of valid
observations in this study was 250.
3.2. Method of Analysis
The questionnaire contained one dependent
variable (buying behavior), four independent
variables (convenience, store layout, price and
technology usage), and six control variables
(gender, age, marital status, occupation,
monthly income and level of education). Each
of the dependent and independent variables was
analyzed by a group of observed variables,
which matched them to item sets of each
construct in the questionnaire. All items were
measured by 5-point Likert scales, which were
5 - strongly agree, 4 - agree, 3 - not sure,
2 - disagree and 1 - strongly disagree. Then, all
collected data were analyzed by factor loading,
Kaiser-Meyer-Olkin (KMO) & Bartlett,
Variance, Cronbach’s Alpha, Mann-Whitney
U Test and the Kruskal-Wallis Test.
In addition, the administered survey contained
three open-ended questions which provide
qualitative data to be handled. The author
followed the standard technique of qualitative
data analysis including data collection, data
display, data immersion, data reduction, data
analysis and drawing conclusions [50]. In-depth
analysis of open-ended questions can contribute to
detect valuable findings, raise discussion and
draw conclusions.
4. Research Finding
4.1. Demographic Data
In this section, descriptive statistics were
employed to examine the demographic
information of the participants. Based on the
analysis of demographic data, the most typical
Millennial customer persona of the Vietnamese
convenience store market is described as a
single female working as an office worker with
a monthly income under 10 million VND and
with a bachelor degree as the highest level
of education.
4.2. Factor Analysis
4.2.1. Rotated component matrix
All observed items describing similar
concepts are classified in the same group which
represents one variable. In this study, four
different components are emerged on the basis
of 20 observed items, which are considered as
four independent variables; particularly, CON
(including CON1 to CON5), LAY (including
LAY1 to LAY5), PRI (including PRI1 to PRI5)
and TEC (including TEC1 to TEC5). As a
result of running factor loading, a clear
structure was demonstrated without any cross-
loading phenomenon. Based on the study of
Hart et al. (2010), the cut-off value was set at
0.5, which guaranteed the statistical
significance of each factor. Excepting for TEC1
and PRI5 failing to reach the cut-off level, all
factors ranged from 0.888 to 0.547. Meanwhile,
all observed items are good to ensure the data
convergent validity.
4.4.2. Reliability and validity
In this research, the KMO value is 0.924
and the sig. value in Bartlett’s Test is at an
acceptable level (< 0.05). Cronbach's alpha of
all variables all reach the requirements with the
value from 0.814 to 0.894, which are good
enough for investigation [51]. In particular,
Store layout shows the highest figure;
by contrast, the lowest position belongs
to Technology.
f
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46
H
Table 2. Demographic information of respondents (Number of responses: 250)
Variable Level Frequency Percentage
Gender
Male 103 41.2
Female 147 58.8
Age
Young Millennials (18-24 years old) 125 50
Old Millennials (25-35 years old) 125 50
Occupation
Student 56 22.4
Office workers 152 60.8
Other 41 16.4
Individual monthly income
Under 10 million VND 120 48
From 10 million to 20 million VND 90 36
Over 20 million VND 30 12
Marital status
Single 212 84.8
Married 38 15.2
Education level
High school study 26 10.4
Bachelor degree 175 70
Master degree 49 19.6
Source: Results of SPSS analysis
Table 3. The result of factor loading
Items Scales Factor loading
Convenience - CON (Cronbach’ Alpha = 0.875)
CON3 Proximity to home or workplace 0.856
CON1 Acceptable traffic flow near the store area 0.849
CON4 Long opening hours 0.732
CON5 Convenient packaging products and sets 0.722
CON2 Convenient parking area 0.584
Store layout - LAY (Cronbach’ Alpha = 0.894)
LAY5 Nice dining area 0.801
LAY4 Clear notice/direction boards in store 0.711
LAY2 Pleasant store layout in general 0.691
LAY3 Pleasant store atmosphere 0.626
LAY1 Attractive visual display of products 0.564
Price - PRI (Cronbach’ Alpha = 0.868)
PRI2 Cheaper price compared to other grocery stores 0.888
PRI3 High quality with cheap price product 0.863
PRI1 Easy to get cheap products Nice dining area 0.803
PRI4 High-quality products with reasonable prices 0.547
PRI5 Good deal and promotion
Technology - TEC (Cronbach’ Alpha = 0.814)
TEC4 A high rating in food review pages and website 0.774
TEC2 Reachable store information on social media 0.709
TEC3 Check-in online destination 0.683
TEC5 Online WOM recommendation 0.647
TEC1 Application of loyalty apps and loyalty scheme
Source: Results of SPSS analysis
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Table 4. KMO and Bartlett’s Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. 0.924
Bartlett’s Test of Sphericity
Approx. Chi-Square 2968.153
Df 171
Sig. 0.000
Source: Results of SPSS analysis.
In summary, factor analysis effectively
made the mass of data cleaner, simpler and
more manageable as well as eliminating the
possibility of some invalid items. Significantly,
the tests applied have found the data to be
consistent and four interpretable factors have
emerged to enable further analysis.
4.3. Shopping Behavior Comparison
Between Groups
The research also examined whether there
were any differences in the shopping behavior
between different demographic groups
including Gender, Age, Occupation, Income,
Education and Marital status in terms of the
four testing factors. The Mann-Whitney U test
and Kruskal-Wallis test were applied.
4.3.1. Gender
The test results showed all p-values > 0.05,
excepting for PRI (U = 6087, p = 0.018). Thus,
only the Price factor can make a difference in
shopping behavior between males and females
in the convenience store. Moreover, the median
of males (0.183) is larger than the median of
females (-0.257). Males tend to shop in
convenience stores due to price impact rather
than females. To sum up, there are no
significant differences between the genders in
purchasing behavior in the convenience store
respecting Convenience, Store layout and
Technology. By contrast, males and females
express that the difference in purchasing
behavior is because of price.
4.3.2. Age (Table 6)
The test results showed the significance
levels of all observed variables were higher
than 0.05, except for PRI (U = 6286, p = 0.022).
Hence, there are no significant differences
between young Millennials and old Millennials
in purchasing behavior in the convenience store
as regards Convenience, Store layout and
Technology. By contrast, old Millennials tend
to shop in convenience stores rather than young
Millennials under the effect of Price.
4.3.3. Occupation (Table 7)
The test results demonstrated that no
statistical significance was found among
different occupation groups (p-value > 0.05)
excluding CON (p = 0.021). Thus, regarding
Layout, Price and Technology, there were no
differences among the occupation groups of
Millennials in the buying decision in the
convenience store.
In terms of Convenience, a statistical
significance among different occupation groups
was found. The author continued to utilize the
Mann-Whitney U test to examine the difference
between each pair of student-officer, officer-
other and student-other toward Convenience.
The result showed no statistical differences
between office workers and “other”.
Table 5. Shopping behavior comparison between gender groups
CON LAY PRI TEC
Mann-Whitney U 6536.000 7390.000 6087.000 6659.000
Z -1.554 -0.009 -2.366 -1.331
Asymp. Sig. (2-tailed) 0.120 0.993 0.018 0.183
Source: Results of SPSS analysis.
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Table 6. Shopping behavior comparison between young millennials (from 18-24 years old)
and old millennials (from 25-35 years old)
CON LAY PRI TEC
Mann-Whitney U 7184.000 7290.000 6286.000 6706.000
Z -0.674 -0.484 -2.284 -1.531
Asymp. Sig. (2-tailed) 0.500 0.628 .022 0.126
Source: Results of SPSS analysis.
Table 7. Shopping behavior comparison among occupation groups (students, office workers and others)
Kruskal Wallis Test
CON LAY PRI TEC
Chi-Square 7.757 0.044 1.345 2.794
df 2 2 2 2
Asymp. Sig. 0.021 0.978 0.510 0.247
Source: Results of SPSS analysis
However, there is a medium statistical
difference between students and other groups.
Students with a higher median (median = -
0.066) are likely to shop in convenience stores
because of Convenience rather than the “other”
group (median = -0.223).
4.3.4. Income, education and marital status
The author continued to test the differences
between income (Kruskal-Wallis test),
education levels (Kruskal-Wallis test) and
marital status (Mann-Whitney U test) on
importance of purchasing behavior, but no
significant differences were found.
To sum up, there is a significant difference
in purchasing behavior in convenience stores
between Gender and Age in terms of Price. The
differences in purchasing behavior among
different occupation groups are statistically
significant regarding Convenience. While no
significant differences were found between
Income, Education levels and Marital status on
the importance of purchasing behavior.
4.4. Key Finding of Qualitative Data: Expected
Convenient Services in the Convenience Store
In fact, convenience is the main reason that
consumers come and shop in convenience
stores; so, if retailers can create more
“convenience” in their stores, they will have the
chance to attract more consumers. Quantitative
data proved that the convenience factor can
make differences in the shopping behavior of
different occupation groups of Millennials.
Qualitative data suggested some ideas of value-
added convenient services raised among survey
participants, who had a chance to experience
convenience stores in Korea and Japan. In
particular, services such as photocopying
services, photo printing, a parcel delivery
service and a click-and-collect service should
be added in convenience stores. By providing a
parcel delivery service, the convenience store
acts as a 24/7 post office (24 hours a day, 7
days a week), which is suitable for a busy
modern life. The office worker group has the
biggest consideration toward the convenience
store because of its convenience characteristics
according to the primary test result. The
working time of a typical office worker in
Vietnam is from 9 a.m. to 5 p.m., from Monday
to Friday or even extra on Saturday mornings
[5]. Office workers have trouble finding a little
free time to go to a post office during its
operating time. A delivery service provided by
a convenience store opening 24/7 could become
their first and only choice.
Regarding a Click-and-collect service, this
is a very popular service in convenience stores
in Japan and Korea, which allows consumers to
D.T.P. Thao / VNU Journal of Science: Economics and Business, Vol. 36, No. 2 (2020) 39-51
49
shop online, then collect their purchases at the
nearest convenience store. In Korea and Japan,
convenience stores coordinate with other
retailers providing the Click-and-Collect
service. If the customer suddenly needs a white
shirt, then he can quickly order one in UNIQLO
or any fashion brand and collect it in the nearest
convenience store. Challengingly, this Click-
and-Collect service can only run properly based
on good cooperation between the convenience
store chain and its partners who wish to develop
an online shopping format such as for fashion
brands, cosmetic brands and home utensil
brands. If this is applied successfully, the retail
market will be more unified and it is suitable
with the modern retailing trend of “easy
shopping” as indicated in the literature chapter.
These services can help to increase store
patronage as well as strengthen its “convenience”
characteristic - the most outstanding feature of the
convenience store in Millennials’ mindset, which
could be added in convenience stores in Vietnam
in the near future.
5. Conclusion and Implication
This study could be considered as the first
research exploring how convenience, store
layout, price and digital technology can create
differences in the buying behavior of different
Millennial groups in the convenience store in
Vietnam. This study contributes to enrich
knowledge and understanding about the
consumer behavior field in convenience store
retailing. In fact, there is a large number of
researchers who have investigated factors
impacting on consumer behavior in this market
sector. However, very few scholars focused on
Millennials, who demonstrate a tremendous
purchasing power, especially in Vietnam. Thus,
this paper is the first research testing whether
these factors leave different impacts on
different millennial groups' buying decisions in
the Vietnam convenience store market.
By conducting an online survey with 250
valid respondents living in Vietnam, the
quantitative data collection was analyzed by
SPSS software while the qualitative data from
three open-ended questions were also displayed,
immersed, coded and analyzed. Finally, some
key findings were highlighted and discussed.
This study critically confirms the previous
studies about factors influencing consumer
decisions to shop; including convenience, store
layout, price and technology. Also, this paper
found the difference in the shopping behavior
between males and females as well as young
Millennials and old Millennials under the
impact of price. Convenience was found to be
the only factor that can make a difference in the
shopping behavior among different occupation
groups of Millennials.
This study raises some ideas of adding more
convenient products and services in the
convenience store in Vietnam in order to
develop further convenience characteristics and
strengthen its comparative advantage compared
to other grocery formats. By finding out the
most significant affecting level of Convenience
factors on consumer buying decision, retailers
should pay more attention to develop the
“convenience features” of their stores, such as
advanced payment methods, self-service point-
of-sales, nice seating areas as well as
convenient products and services. Business
strategies relating to product development,
marketing and store location planning could be
built based on the preference of the office
worker group, which is currently confirmed as
the target customer of Vietnamese convenience
stores in this research; particularly, developing
a varied ready-to-eat food menu or store
location planning in office buildings and
industrial zones.
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