Literature DB >> 35402668

Data modelling of subsistence retail consumer purchase behavior in South Africa.

Valencia Melissa Zulu1, Andriaan Mpho Nkuna1.   

Abstract

The purpose of the data is to model the purchase behavior of the subsistence consumer within the retail environment in one of the largest townships in South Africa. The data was collected using a self-administered questionnaire from a sample of 281 consumers. The Partial Least Squares Structural Equation Modelling (PLS-SEM) approach was adopted using the SmartPLS 3 software to analyze the data. The insights from the dataset identify convenience, price sensitivity, perceived product quality, customer trust, and perceived value as factors that stimulate purchase behavior. Furthermore, perceived value only mediates the relationship between perceived product quality and purchase intention. Researchers could use the data to position customer trust as a dependent variable to unearth more valuable insights. Additionally, the segment in question is also known to be price-sensitive. It would be intriguing to find out the role of price sensitivity as a moderator.
© 2022 The Author(s). Published by Elsevier Inc.

Entities:  

Keywords:  Bottom of the pyramid; Purchase behavior; Retailing; South African Townships; Subsistence consumer

Year:  2022        PMID: 35402668      PMCID: PMC8989704          DOI: 10.1016/j.dib.2022.108094

Source DB:  PubMed          Journal:  Data Brief        ISSN: 2352-3409


Specifications Table

Value of the Data

The dataset is essential because it provides insights into the consumer buying behavior of a segment worth billions in terms of spending power. This segment is often called the base of the pyramid, the resource-constrained, the impoverished, and the subsistence consumer. The dataset can be used to identify the consumer behavior factors that influence the purchase of products in retail stores. The dataset can benefit researchers in retailing and consumer services as the data provides insights on direct relationships between constructs explored and the mediating effect. The data sheds some light on empathy, convenience, price sensitivity, physical environment, perceived product quality, customer trust, and their influence on perceived value and purchase intention. Furthermore, the data highlights the importance of perceived value as a mediator. The dataset is also beneficial to retailers interested in servicing the subsistence consumer because it provides insights into which factors the consumers consider as a stimulator of purchase intention. Secondly, given that the study was carried out in a township setting, small informal retailers can benefit from these insights, which means that small business government agencies and policymakers could use the data to inform strategies to assist the commercialization efforts of the township economy. Such methods will also benefit the rural economies. For further insights, the data can be used to identify other constructs that can moderate the relationship between perceived value and purchase intention. For example, the moderating role of price sensitivity, given how price-sensitive the segment is. Customer trust can also take a function of a dependent variable to unearth valuable insights.

Data Description

Fig. 1 demonstrates the proposed conceptual model. The conceptual model suggests a connection between empathy, convenience, price sensitivity, physical environment, perceived product quality, customer trust, and purchase intention, and that perceived value mediates these relationships. A self-administered questionnaire (using a 5-Likert scale) was distributed to consumers regarding their purchase behavior. Table 1 provides the demographic profile and characteristics of respondents. Although most respondents were females (47.7%), the gap was insignificant to male respondents (47.3%). The majority of the participants were single (58.4%). There was a fair representation of age distribution as shown in Table 1.
Fig. 1

Conceptual Model.

Table 1

Profile of respondents.

CategoryCharacteristicFrequencyPercentage (%)
GenderFemale13447.7
Male13347.3
I prefer not to say145
Marital StatusMarried7928.1
Single16458.4
I prefer not to say3813.5
Age18–226422.8
23–286824.2
29–354716.7
35–495419.2
50–654817.1
Level of educationNo formal education3412.1
Basic education12845.6
Diploma6924.6
Degree4716.7
Postgraduate degree31.1
Employment statusEmployed14752.3
Unemployed13447.7
Type of customerRegular23282.6
Need-based4917.4
Shopping frequency1–2 times per week11239.9
2–3 times per week7526.7
3–4 times per week4616.4
5–6 times per week269.3
6–7 times per week227.8
Conceptual Model. Profile of respondents. On the other hand, the majority of the respondents had basic education. Regarding employment status, 52.3% were employed, and 47.7% were unemployed. About 82.6% of consumers indicated that they were regular customers of the grocery stores, with approximately 40% of the consumers indicating that they visit the grocery stores at least 1–2 times per week, and 27% visit the store 2–3 times per week. Table 2 outlines the measurement instruments which were adapted from prior studies. Furthermore, Table 3 shows the assessment of the reflective model, which includes construct reliability and validity tests, while Fig. 3 presents the output of the measurement models with relevant statistics. Tables 4, 5, and 6 show the data analysis for the discriminant validity test, and Fig. 3 demonstrates the structural model output, highlighting the R2 and Q2 values. Additionally, Table 7 provides a detailed insight into the hypotheses testing in terms of the direct relationships, and Table 8 provides the mediation assessment and indirect effects. The questionnaire and data are provided on Mendely Data. Fig. 2 demonstrates the measurement model output (indicator loadings).
Table 2

Measurement instruments.

ConstructAdapted ItemsSource
EmpathyE1The employees of the grocery store understand the specific needs of their customers[1]
E2The grocery store understands what I need and strives to accommodate me
E3The grocery store has employees who give customers personal service
E4The employees of the grocery stores are very efficient

ConvenienceC1The grocery store layout makes it easy for me to find what I need[2]
C2The grocery store layout makes it easy for me to move around
C3The grocery store always has merchandise available

Price SensitivityPS1I will continue to buy from the grocery store even if prices increase[3]
PS2I am willing to pay a higher price for the benefit of having the grocery store located close to me
PS3I am willing to stick with the grocery store and not travel to other competitors outside the township who might offer reasonable prices

Physical EnvironmentPE1The store overall has an appealing looking appearance[4]
PE2The grocery store provides a clean shopping environment
PE3The grocery store has wide and open aisles
PE4The grocery store has well-marked aisle signage
PE5The grocery store provides a pleasant shopping environment
PE6The grocery store's environment feels safe and secure
Perceived Product QualityPPQ1The overall quality of products I buy from the grocery store is good[4]
PPQ2The quality of the produce department in the grocery store is good
PPQ3The quality of the meat department in the grocery store is good
PPQ4The quality of in-store bakery is good

Customer TrustCT1The grocery store always meets my expectations[5]
CT 2I can count on the store to meet my grocery needs
CT 3The grocery store is reliable
CT4The grocery store can always be trusted
CT5The grocery store consistently provides good quality products and services
CT6The grocery store's offerings are worth the money I spend
CT7The grocery store helps me save time

Perceived ValuePV1The grocery store products have a good value for money[6]
PV2The grocery store products are affordable
PV3In this grocery store, compared to other stores outside the township, I can save money

Purchase IntentionPI1I intend to purchase from this grocery store[7]
PI2I would like to repeat my experience in this kind of grocery store
PI3I would purchase from this grocery store in the future
PI4I would recommend purchasing in this grocery store to others
Table 3

Reflective measurement model analysis.

ConstructsOuter Loadings(> 0.7)Cronbach's Alpha(> 0.7)rho_A (> 0.7)Composite Reliability (CR)(> 0.7)Average Variance Extracted (AVE) (> 0.5)Variance Inflation Factor (VIF)(< 5)
Empathy (E)E10.8210.8080.8220.8720.6311.924
E20.7511.799
E30.8331.852
E40.7701.648

Convenience (C)C10.8590.7800.7970.8720.6951.760
C20.8781.879
C30.7581.432

Price Sensitivity (PS)PP20.8360.7690.7710.8660.6831.750
PP30.8401.862
PP40.8031.376

Physical Environment (PE)PE10.7850.7750.7900.8540.5951.594
PE20.7981.463
PE40.7261.498
PE60.7731.575

Perceived Product Quality (PPQ)PPQ10.8950.8860.8930.9210.7452.631
PPQ20.8742.517
PPQ30.8422.214
PPQ40.8412.055

Customer Trust (CT)CT10.8110.9130.9160.9320.6972.317
CT20.8332.611
CT30.8432.501
CT40.8563.037
CT50.8552.599
CT60.8092.167

Perceived Value (PV)PV10.8220.7610.7670.8630.6771.613
PVE0.7691.404
PV30.8741.836

Purchase Intention (PI)PI10.9720.9400.9410.9710.9434.660
PI30.9704.660
Fig. 3

Structural model output.

Table 4

Discriminant validity - Fornell-Larcker criterion.

CCTEPVPPQPEPSPI
C0.834
CT0.6370.835
E0.5230.5710.794
PV0.5580.6020.4050.823
PPQ0.6900.7620.4940.6880.863
PE0.6680.7520.5830.5750.7700.771
PS0.3570.5170.4410.3810.4500.4260.826
PI0.4420.4230.3580.6640.5390.4780.5430.971

Note(s): Convenience (C); Customer Trust (CT); Empathy (E); Perceived Value (PV); Perceived Product Quality (PPQ); Physical Environment (PE); Price Sensitivity (PS); Purchase Intention (PI).

Table 5

Discriminant validity - Heterotrait-monotrait ratio (HTMT).

CCTEPVPPQPEPSPI
C
CT0.762
E0.6450.664
PV0.7230.7220.486
PPQ0.8300.8490.5650.832
PE0.8690.8880.7350.7290.916
PS0.4490.6090.5730.4910.5430.543
PI0.5080.4530.4060.7840.5860.5510.631

Note(s): Convenience (C); Customer Trust (CT); Empathy (E); Perceived Value (PV); Perceived Product Quality (PPQ); Physical Environment (PE); Price Sensitivity (PS); Purchase Intention (PI).

Table 6

Cross-loadings.

CCTEPEPIPPQPSPV
C10.8590.5160.4290.5330.3680.6150.3020.514
C20.8780.5130.4650.5640.4560.6050.3190.456
C30.7580.5830.4150.5900.2620.4970.2680.422
CT10.5090.8110.5210.6470.2430.5990.3970.445
CT20.5110.8330.4610.5910.3880.6210.3710.466
CT30.5210.8430.5060.6110.2930.6240.4550.579
CT40.4490.8560.4160.5850.3570.6090.4030.501
CT50.6210.8550.4920.7180.4100.6660.4340.538
CT60.5690.8090.4690.6110.4080.6920.5210.469
E10.4650.4960.8210.4860.2550.4480.2850.403
E20.3070.4250.7510.3830.2370.2550.4420.159
E30.4070.3980.8330.5100.3170.4220.3030.345
E40.4480.4930.7700.4510.3170.3980.4200.319
PE10.5080.5430.4580.7850.3180.5360.2700.439
PE20.5340.6350.3950.7980.4290.6830.3700.556
PE40.5300.5690.4550.7260.3300.5130.3470.314
PE60.4950.5630.5140.7730.3790.6130.3250.418
PI10.4290.4000.3610.4760.9720.5380.5210.662
PI30.4300.4230.3350.4510.9700.5080.5350.627
PPQ10.5930.6430.4510.6660.5430.8950.4880.657
PPQ20.5760.7450.3770.6820.4190.8740.3470.578
PPQ30.6510.6610.4740.6470.4480.8420.3750.507
PPQ40.5730.5950.4070.6680.4390.8410.3300.618
PS10.3310.4230.4380.4330.4450.4400.8360.327
PS20.1910.3800.3060.2740.3790.3900.8400.299
PS30.3440.4670.3430.3400.5080.2930.8030.314
PV10.4610.5670.4330.5350.4960.6040.3840.822
PV20.4150.4900.1860.4360.5220.5110.1990.769
PV30.4980.4350.3700.4510.6170.5810.3470.874
Table 7

Assessment of the structural model.

HypothesesPathPath Coefficient(β)T-valuesP-valuesDecision
H1Empathy -> Purchase Intention−0.0050.0800.936 nsNot supported
H2Empathy -> Perceived Value0.0080.1370.891 nsNot supported
H3Convenience -> Purchase Intention0.0460.3170.751 nsNot supported
H4Convenience -> Perceived Value0.1241.9280.054*Supported
H5Price Sensitivity -> Purchase Intention0.3786.3690.000***Supported
H6Price Sensitivity -> Perceived Value0.0521.0030.316 nsNot supported
H7Physical Environment -> Perceived Value0.0050.0750.940 nsNot supported
H8Physical Environment -> Purchase Intention0.1221.8070.072 nsNot Supported
H9Perceived Product Quality -> Perceived Value0.4757.0590.000***Supported
H10Perceived Product Quality -> Purchase Intention0.0971.0900.276 nsNot supported
H11Customer Trust -> Perceived Value0.1251.3690.171 nsNot supported
H12Customer Trust -> Purchase Intention0.2823.7770.000***Supported
H13Perceived Value -> Purchase Intention0.5297.9980.000***Supported

Notes: ***p < 0.001; *p < 0.05, (ns): not significant.

Table 8

Mediation Assessment.

HypothesesPathPath Coefficient(β)T-valuesP-valuesDecision
H14Empathy -> Perceived Value-> Purchase Intention0.0040.1340.894 nsNot supported
H15Convenience -> Perceived Value -> Purchase Intention0.0661.8360.066 nsNot supported
H16Price Sensitivity -> Perceived Value -> Purchase Intention0.0280.9660.334 nsNot supported
H17Physical Environ -> Perceived Value -> Purchase Intention0.0030.0740.941 nsNot supported
H18Perceived Product Quality -> Perceived Value -> Purchase Intention0.2524.6700.000***Supported
H19Customer Trust -> Perceived Value -> Purchase Intention0.0661.3800.168 nsNot supported

Notes: ***p < 0.001; (ns): not significant.

Fig. 2

Measurement model output

Measurement instruments. Reflective measurement model analysis. Discriminant validity - Fornell-Larcker criterion. Note(s): Convenience (C); Customer Trust (CT); Empathy (E); Perceived Value (PV); Perceived Product Quality (PPQ); Physical Environment (PE); Price Sensitivity (PS); Purchase Intention (PI). Discriminant validity - Heterotrait-monotrait ratio (HTMT). Note(s): Convenience (C); Customer Trust (CT); Empathy (E); Perceived Value (PV); Perceived Product Quality (PPQ); Physical Environment (PE); Price Sensitivity (PS); Purchase Intention (PI). Cross-loadings. Measurement model output Structural model output. Assessment of the structural model. Notes: ***p < 0.001; *p < 0.05, (ns): not significant. Mediation Assessment. Notes: ***p < 0.001; (ns): not significant.

Experimental Design, Materials and Methods

The dataset [8] presented is quantitative and collected through a self-administered questionnaire. The questionnaire consisted of sections, namely, sections A and B. Section A contained information about the demographic profile of respondents, including gender, marital status, age, level of education, employment status, type of customer, and shopping frequency. For the demographic profile of respondents, the Statistical Package for the Social Sciences (SPSS) was used to analyze the data. Section B included the measurement instruments used for the constructs (empathy, convenience, price sensitivity, physical environment, perceived product quality, customer trust, perceived value, and purchase intention). A non-probability convenience sampling technique was used to obtain data from consumers of grocery stores located in the largest township in South Africa, Soweto, in the city of Johannesburg [9]. Soweto is an acronym for South-Western Townships, and comprises about forty periurban townships [10]. There was no sampling frame to draw from; hence, a convenience approach was more suitable. To increase the response rate, the participants were approached in different settings (in and outside the grocery stores, the comfort of their homes, and the streets of Soweto). Therefore, the convenience sampling approach enabled the researchers to target specific respondents with crucial information and shopping experience in township based grocery stores to provide relevant feedback to enrich the data [11]. However, since the research applies a convenience sampling technique, the results can only be generalized to the subpopulation from which the sample was drawn [12]. The targeted sample size was initially 300, and only 281 data points were usable, indicating a response rate of 94%. Partial Least Squares Structural Equation Modellssing (PLS-SEM) can work with an extensive range of sample sizes efficiently, from small (n< 100) to large, indicating that 281 data points are adequate to perform PLS-SEM [13]. SmartPLS 3 software was used to analyze the data. A pilot test was conducted to ascertain the reliability and validity of the measurement instruments in preparation for the full-scale data collection. Before assessing the measurement model, the common method variance (CMV) was evaluated. Harman's one-factor test was conducted to assess the possibility of common method bias. The results demonstrated that the total variance explained by a single factor was 42.24%, which is below the recommended threshold of 50% [14,15], implying that there are no issues of common method bias. The first step in PLS-SEM is assessing the reflective measurement model [16]. This includes evaluating the measurement model, which contains estimating indicator loadings (> 0.70) as shown in Fig. 2, which were all acceptable [16] as outlined in Table 3. The second phase is the composite reliability (CR) for internal consistency assessment, which should be (>0.70) and Cronbach's alpha (> 0.70) [17]. As shown in Table 3, all conditions were met. The third phase of the reflective measurement model assessment includes evaluating the convergent validity of constructs, which is tested using the average variance extracted (AVE), which should be (> 0.50) [14], as demonstrated in Table 3. All the AVE values were above 0.50 and met the conditions. The fourth phase of the reflective measurement model evaluation assesses the discriminant validity using the Fornell and Larcker (1981), Heterotrait-Monotrait (HTMT), and cross-loadings as indicated in Tables 45, and 6, respectively. The discriminant validity for all the tests was confirmed [14], [16], [18]. To analyze the proposed hypotheses, the structural model was assessed. Before proceeding with the analysis, it is crucial to check multicollinearity. To check multicollinearity, the Variance Inflation Factor (VIF) values were evaluated, and all the values for VIF were (< 5) as outlined in Table 3, indicating that there are no issues of collinearity [14]. VIF values greater than or equal to 5 indicate critical collinearity issues [16]. The R2 and Q2 assessments for perceived value and purchase intention were (0.497; 0.324) (0.566; 0.519) and demonstrated a moderate and medium effect [16], as shown in Fig. 3. The Standardized Root Mean Square Residual (SRMR) was also acceptable at 0.077, which is below the recommended threshold of (< 0.080) [19]. To assess the significance of the hypothesized relationships, bootstrapping was used with a minimum sample of 5 000. The direct effects and mediation tests are presented in Tables 7 and 8.

Ethics Statement

Informed participant consent was obtained. The participants were informed that participation was voluntary and could withdraw at any given point from the survey. Anonymity was also guaranteed as no personal identifiable information was requested. The School of Business Sciences ethics committee (Wits University) approved the ethics clearance certificate under protocol number (CBUSE/1270).

CRediT authorship contribution statement

Valencia Melissa Zulu: Conceptualization, Methodology, Supervision, Investigation, Software, Formal analysis, Writing – review & editing. Andriaan Mpho Nkuna: Conceptualization, Methodology, Investigation, Data curation.

Declaration of Competing Interest

The authors declare that they have no known competing financial interests or personal relationships, which have, or could be perceived to have, influenced the work reported in this article.
SubjectMarketing
Specific subject areaBottom of the pyramid, consumer behavior, retail environment
Type of dataTables and figures
How data were acquiredA structured questionnaire was used to collect data from consumers in one of the largest townships in South Africa
Data formatRaw, descriptive, and analyzed
Parameters for data collectionThe sample consisted of grocery store consumers from one of the largest townships in South Africa, Soweto, in Johannesburg. Soweto is an acronym for South-Western Townships and comprises several periurban townships
Description of data collectionFace-to-face self-administered questionnaires were distributed to participants in different settings. This included outside and inside the grocery stores and in the comfort of their homes. The purpose of the research was explained to participants, and consent was obtained before distributing the survey. A non-probability convenience sampling technique was used as there was no database to draw from for a probability sampling approach to be possible. The research data and questionnaire are available in the repository [8]. The questionnaire consists of Section A (demographic information), and Section B (measurement instruments). The data is quantitative and includes descriptive statistics and responses based on a 5-point Likert scale.
Data source locationUniversity of the Witwatersrand, Johannesburg, South Africa
Data accessibilityRepository name: Mendeley DataData identification number: 10.17632/5z37z85jck.1Direct URL to data: https://data.mendeley.com/datasets/5z37z85jck/1
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