Nowadays, modern retail formats, which include supermarkets and hypermarkets, are
making strong inroads into developing countries including India. Thus, an increasing
number of modern retail outlets are being seen in our country. These modern retailers are
adding newer service dimensions to create unique shopping experiences for their
customers. A sharp rise in consumers’ disposable incomes and changing lifestyles are
driving them towards modern retail stores for shopping. With their divergent lifestyles,
customers are choosing retail stores which meet their preferences. With the emergence of
new retail outlets, consumers are reviewing where they will do the major portion of their
shopping. Perceptions about stores are driven substantially by their physical characteristics,
such as format or list size, proximity of the store, as well as store ambience. In fact, Indian
retail space is likely to witness sharp growth due to the emergence of modern retail
formats. It therefore becomes necessary for retailers to understand what factors influence
consumers to choose a particular retail store.
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