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This study aims to evaluate the loyalty formation model on e-grocery service incorporating food quality, e-grocery quality and relationship quality as determinants of loyalty.

The quantitative approach was used by using 353 data from young Indonesian customers with purchasing experience of local food through e-grocery service. The hypothesized relationships between variables were tested using partial least squares structural equation modeling.

The results confirm that local food quality, e-grocery service quality and the relationship quality elements of a sense of community and attitudinal attachment, are all loyalty drivers. Next, mediation tests reveal that local food quality and e-grocery service quality influence customer loyalty through customers’ attitudinal attachment and a sense of community.

This study recommends that managers of e-grocery services of local food businesses could benefit from the development of attachment and a sense of community among their young clients. Furthermore, to develop loyalty among young customers, offering high-quality local food as well as e-grocery services is suggested.

To the best of the author’s knowledge, this is the first examination of the e-grocery service loyalty in the context of local food.

The structure of the UK food manufacturing industry is highly fragmented and consists of some 5,000 firms. Of these, however, the ten largest companies are estimated to account for one‐third of all sales. The importance of the 100 largest private sector firms has traditionally been relatively high within the industry and in 1975, for example, they produced 55 per cent of the food sector's net output, compared with the 40 per cent provided by a similar sample in the total manufacturing sector. Similarly, evidence from both Ashby and Mordue demonstrates that during the 1970s the average size of food manufacturers/processors overtook that of manufacturers as a whole in terms of numbers employed. By the same measure, businesses with more than one hundred employees continued to expand at a faster rate in food than the average for all manufacturers, so that the mean employment size of these larger food enterprises in the late 1970s was more than one‐third greater than in all manufacturing. Smaller establishments, by contrast, are relatively under‐represented in the UK food, drink and tobacco sector, both in comparison with the average for all manufacturers and internationally.

Retailing in India is an unchartered territory. Food and grocery is the most promising area for setting up retail business in India. An understanding of shopper retail format choice behaviour will enable retailers to segment their market and target specific consumer groups with strategies premeditated to meet their retail needs. The purpose of this paper is to make a detailed study on the effect of shoppers' demographic, geographic and psychographic dimensions in terms of format choice behaviour in the fast growing Indian food and grocery retailing.

Descriptive research design is adopted applying mall intercept survey method using structured questionnaire for data collection. Both descriptive (mean and standard deviation) and inferential statistical tools like χ², factor analysis and multivariate analysis are used to analyse the data collected from 1,040 food and grocery retail customers from upgraded neighbourhood kirana stores, convenience stores, supermarkets and hypermarkets in conjoint cities of Secunderabad and Hyderabad in Andhra Pradesh in India.

The findings suggest that shoppers' age, gender, occupation, education, monthly household income, family size and distance travelled to store have significant association with retail format choice decisions. The choice decisions are also varied among shoppers' demographic attributes. The findings from shoppers' psychographic dimensions like values, lifestyle factors and shopping orientations resulted in segmentation of food and grocery retail consumers into hedonic, utilitarian, autonomous, conventional and socialization type.

The study has practical implications for food and grocery retailers for better understanding the shopper behaviour in the context of changing consumer demographic and psychographic characteristics in an emerging Indian retail market. The findings may help the retailers to segment and target the food and grocery retail consumers and, as a consequence, to undertake more effective retail marketing strategies for competitive advantage.

Given the absence of published academic literature and empirical findings relating to store format choice behaviour in food and grocery retailing in India, this study may serve as a departure point for future studies in this area of concern. The research is also relevant to retail marketers in terms of format development and reorientation of marketing strategies in the fastest growing Indian retail market.

In this paper, we provide a simple conceptual framework with empirical analysis to investigate the effect of product attributes and e-vendor characteristics that are potentially included in the online shopper’s information search on their online shopping behavior in China.

This paper examines consumers’ online shopping frequency for food/grocery using an ordered logit model and for fresh food (a subcategory of food/grocery) using a two-part model, considering product attributes, e-vendor characteristics, and consumer perceptions and characteristics.

The results show that product origin is an influencing factor in shopping for fresh food online, reflecting consumers’ growing interests in imported food or specialty food from other areas. Consumers are more likely to shop online for fresh food if they perceive online shopping as having a price advantage. But consumers who view price as a top factor are less likely to buy fresh food online frequently. Thus competitive prices might be a motive for online fresh food shopping, but consumers concerned about price do not necessarily shop frequently. Negative perceptions of product freshness reduce consumers’ likelihood and frequency of shopping for fresh food online. Concerns on food quality and e-vendors’ credibility prevent consumers from frequently shopping for fresh food online. Social and demographic characteristics also influence consumers’ decisions.

This paper provides a better understanding of consumer’s online grocery shopping preferences and sheds light on policy and regulation design and implementation in the e-commerce industry, which will ultimately protect and benefit consumers.

The purpose of this paper is to develop a marketing strategy for a modern food/grocery market based on consumer preferences and behaviour.

A total of 101 households having sufficient purchasing power were personally surveyed with a structured questionnaire. These households are spread across the well‐developed Gomtinagar area of Lucknow city. Simple statistical analysis such as descriptive statistical analysis, frequency distribution, cross tabulation, analysis of variance, and factor analysis to assess the consumers' preferences for food and grocery products and market attributes were carried out.

The preferences of the consumers clearly indicate their priority for cleanliness/freshness of food products followed by price, quality, variety, packaging, and non‐seasonal availability. The consumers' preference of marketplace largely depends on the convenience in purchasing at the marketplace along with the availability of additional services, attraction for children, basic amenities and affordability. Results suggest that most of the food and grocery items are purchased in loose form from the nearby outlets. Fruits and vegetables are mostly purchased daily or twice a week due to their perishable nature, whereas grocery items are less frequently purchased.

This paper analyses the buying behaviour of the consumers under survey with respect to food and grocery items. These consumers are in a relatively advantageous position in terms of purchasing power and awareness of health and nutrition.

The results may help the food processors and outlet owners to understand a diversified set of preferences for products and market attributes, so that they can make better decisions in the emerging organized food and grocery retail environment.

The topic is relatively less researched in emerging markets especially where organized retail is still in its early stages.

This case focuses on valuation using various methods to price a firm. Students attempting this case should know the basics of how to value a company using discounted cash flow, comparable multiples and comparable transactions. Students will need to calculate the weighted average cost of capital using comparable companies and the capital asset pricing model and determine differences in value created by an acquisition vs a leveraged buyout (LBO). The case also discusses qualitative issues in mergers, such as fit between target and acquirer, integration issues, potential high debt from LBO.

This case was library-researched, using Amazon and Whole Foods public filings and business press papers.

Whole Foods Markets received a buyout offer from Amazon. Whole Foods could solicit offers from other firms, including firms more directly in the grocery business. Whole Foods also considered a management buyout or purchase by a private equity firm. Whole Foods had underperformed, with a falling stock price and reduced profitability. Amazon’s bid was attractive, a premium of about 40 per cent over Whole Foods’ pre-merger stock price. Whole Foods also wanted to consider issues such as culture. Whole Foods’ strategy was to sell organic foods at premium prices, while Amazon was a retail discounter with a largely online business.

This case is appropriate for graduate students at the end of their introductory course or for graduate or undergraduate students in a corporate finance elective, particularly a merger/restructuring elective. The case has been used in an advanced undergraduate finance elective, with a team presenting the case to the class, with remaining students in the class required to write case summaries and questions for the presenting group.

Elder German grocery shoppers are a growing, heterogeneous, and highly relevant and attractive, but under-researched market segment. In order to understand them and their grocery shopping motivations better and target them efficiently and effectively, the purpose of this paper is to identify dimensions of their shopping motivations and segment them based on these dimensions.

In total, 26 grocery store-choice criteria were identified in a thorough literature review and focus-group interviews with 36 elder German consumers aged 65 and older. In a subsequent survey, the importance of these criteria was rated by 1,288 German shoppers of the same age group. A principal component and cluster analysis were performed to identify dimensions of store-choice criteria and segments of elder German grocery shoppers. Multivariate analysis of variance, analysis of variance and discriminant analysis were used to test for statistically significant differences between the clusters.

Basic quality considerations, shopping experience and social interaction, service and assistance, price consciousness, product orientation, convenient location and quick service and packaging requirements influence the grocery store choice of elder German consumers in decreasing order of variance explained. The cluster analysis revealed indifferent, leisure, convenience, assistance-oriented, no frills, product-oriented and service-oriented elder German shoppers, which differ in their shopping motivations statistically and significantly. These clusters are described and contrasted in detail to derive managerial implications.

This research provides the first store-choice component analysis and cluster analysis for elder German grocery shoppers. This can help food retail to reach this attractive target group more efficiently and effectively and improve the food supply of elder German consumers.

Is the price war in grocery a crisis which will eventually be overcome so that the grocery trade may revert to its previous state of higher margins and comfortable trading? The authors of this special feature argue that this is not the case; they see the price war as a symptom of more fundamental change inherent in the trade. What of the future? Growth will continue to be led by multiples and larger co‐ops, and this is likely to put significant pressure on the multiple sector itself. Large store operation will ensure the continuation of price competition, and there will be no competition between superstores at a local level. Moves into non‐grocery lines will continue. And there will, inevitably, be casualties. But there may be more fundamental changes. With the widening of the product mix into non‐food, some grocery operators might find themselves in the role of department store and variety chain. And there will very probably be more of the convenience 7–11 type store with its combination of basic grocery lines with CTN and toiletries.

The advent of grocery sales through online channels necessitates that bricks-and-mortar retailers redefine their logistics networks if they want to compete online. Because the general understanding of such bricks-and-clicks logistics systems for grocery is still limited, the purpose of this paper is to analyze the internal logistics networks used to serve customers across channels by means of an exploratory study with retailers from different contexts.

A total of 12 case companies from six European countries participated in this exploratory study. Face-to-face interviews with managers were the primary source for data collection. The heterogeneity of the sample enabled the authors to build a typology of logistics networks in grocery retailing on multiple channels and to understand the advantages of different warehousing, picking, internal transportation and last-mile delivery systems.

Bricks-and-mortar grocery retailers are leveraging their existing logistics structures to fulfill online orders. Logistics networks are mostly determined by the question of where to split case packs into customer units. In non-food logistics, channel integration is mostly seen as beneficial, but in grocery retailing, this depends heavily on product, market and retailer specifics. The data from the heterogeneous sample reveal six distinct types for cross-channel order fulfillment.

The qualitative analysis of different design options can serve as a decision support for retailers developing logistics networks to serve customers across channels.

The paper shows the internal and external factors that drive the decision-making for omni-channel (OC) logistics networks for previously store-based grocery retailers. Thereby, it makes a step toward building a contingency and configuration theory of retail networks design. It discusses in particular the differences between grocery and non-food OC retailing, last-mile delivery systems and market characteristics in the decision-making of retail networks design.

The purpose of this paper is to report on the findings of completed case studies of two major multi‐channel grocery retailers in South Africa. The aim of the research was to establish the potential that online grocery retail has to undermine traditional retail by decreasing foot traffic and undermining rental income.

The growth of online shopping in the retail sector is a matter of concern for those involved in the development and management of shopping centres. Non‐probability convenience sampling was employed to interview shoppers in the five largest regional shopping centres in Cape Town tenanted by the two major grocery “e‐tailers” in South Africa.

The findings show that the online grocery market is an expanding market segment. Furthermore, diminished foot traffic is likely to affect the ability of smaller retailers to pay turnover rentals. Miller's revised rent model is adapted and used to illustrate the potential savings that may be generated by changing the rent models currently in use.

Future research into exactly what consumers buy online from food retailers needs to be undertaken in order to establish the maximum potential reduction in foot traffic attracted by food anchors.

It is concluded that the South African retail industry is heavily reliant on traditional retail centres and although the loss in rentals resulting from online grocery sales is not currently considerable, it does represent a potential future threat.

The paper speculates about the effects of growth in online buying on rental agreements in shopping centres. The paper would appeal to property investors, property developers and facilities managers.