Millennials and repurchasing behaviour: a collectivist emerging market
International Journal of Retail & Distribution Management
ISSN: 0959-0552
Article publication date: 22 September 2021
Issue publication date: 3 May 2022
Abstract
Purpose
This study explains how retailers can use the knowledge function of attitudinal theories to understand how millennials in a collectivist emerging market, trade-off between a satisfactory customer service experience versus price when repurchasing a smartphone.
Design/methodology/approach
356 usable questionnaires (86% response rate) were collected and analysed using structural equation modelling (SEM), AMOS.
Findings
Millennials in Vietnam tend to adopt an individualistic approach when repurchasing a smartphone and utilise their knowledge of the product. However, they value personalised customer service that is specific to their needs, especially interactions with sales staff that raises their confidence and self-esteem. The unique interaction allows authorised retailers to distinguish themselves from unauthorised retailers. Repurchase behaviour is encouraged by low uncertainty avoidance in conjunction with price sensitivity; and the desire to be seen as achieving a high social status.
Research limitations/implications
The data for the study was collected in Hanoi, the main city of Vietnam and is representative only of urban-based millennials.
Practical implications
Retailers considering entering an collectivist emerging market need to understand that millennials are price sensitive and may repurchase from unauthorised retailers. Accurate information and sales promotions can be used to stimulate demand for a high involvement product.
Originality/value
Functional theories of attitudes is used to link the concept of customer service with knowledge function utilisation in order to establish how customers in a collectivist emerging market process information and share knowledge through socialisation.
Keywords
Acknowledgements
The authors would like to express their gratitude to the reviewers for the advise and guidance provided.
Citation
Lee, Y.-I., Vu, A. and Trim, P. (2022), "Millennials and repurchasing behaviour: a collectivist emerging market", International Journal of Retail & Distribution Management, Vol. 50 No. 5, pp. 561-580. https://doi.org/10.1108/IJRDM-12-2020-0506
Publisher
:Emerald Publishing Limited
Copyright © 2021, Emerald Publishing Limited