Influence of perceived risk on store brand proneness

Abstract

Purpose

The purpose of the present study is to test that perceived risk is a multidimensional concept both when it is associated to the purchase of store brands and national brands and analyzes the effect of perceived risk on store brands proneness.

Design/methodology/approach

In order to achieve its objective the paper used a confirmatory factor analysis to validate the proposed perceived risk scale and three regression analysis were carried out to evaluate the effect of perceived risk on store brands proneness.

Findings

The results of the study show significant differences between store and national brands and, on the other hand, it has been confirmed that these differences contribute to decrease store brand proneness, the latter being measured through three variables: actual store brands purchase, consumption intensity and future purchase intention.

Originality/value

Previous empirical research has focused primarily on the perceived risk associated with store brands individually. On the contrary, this paper considers the perceived risk difference between store and national brands, believing that the difference between brands is what will really make the consumer choose a store brand or a national brand. On the other hand, the present study will permit the evaluation of the effects of the evolution of store brands in Spain, effects that can be replicated in other Mediterranean countries.

Citation

González Mieres, C., María Díaz Martín, A. and Trespalacios Gutiérrez, J.A. (2006), "Influence of perceived risk on store brand proneness", International Journal of Retail & Distribution Management, Vol. 34 No. 10, pp. 761-772. https://doi.org/10.1108/09590550610691347