STORE PATRONAGE AND CUSTOMER LOYALTY IN DISCOUNT STORES- AN ANALYSIS

ABSTRACT

                           Retail has been an important contributor to a nation’s GDP, especially for the developing nations where the purchasing power of the people is largely affected by the format of retail and the pricing decisions of the retailers. Discount retail is an integral part of retail across the world and likewise in India also. Discount stores which were simply dump yards for factory seconds a few years ago have emerged as a new business opportunity for Indian retailers. These stores no longer stock export surplus rejects but offer a great value proposition to the savvy, price sensitive Indian customer’s ambience, service and overall shopping experience. This paper documents the importance of store patronage and examines how a discount store can gain customer loyalty. It highlights the impact of loyalty programs on store patronage and brings forth the factors related to store convenience and employee’s attention on image of the store.

Key Words: Patronage, Brand Awareness, Loyalty, Store Attribute, Discount, Store Convenience