Comparing Flagship and Conventional Store effects on Purchase Intention: Insights from Brazil
(A2023-114057)

AUTHORS

Carlos Lourenco, Fundacao Getulio Vargas; Jullianne Madeira, Fundação Getulio Vargas; Vanessa Santos, Fundação Getulio Vargas

ABSTRACT

In recent years, the concept of customer experience (CX) has become a decisive factor for retail success, particularly in emerging countries such as Brazil, where competition is intense, and the market is changing rapidly. This study aims to explore factors that influence the perception and experience of the customer in physical retail stores and empirically assessing the experience both in flagship and conventional stores. To this end, a survey collected data using the customer base from a fitness store chain in Brazil. A second-order model was used to determine CX effect on Purchase Intention. Data were modelled using PLS-SEM and a multigroup approach. The results show the constructs are relevant to the determination of CX with high effect size. However, there was no difference between the flagship and conventional stores. A nuanced variation between the coefficients indicates the need for further studies on flagship stores often serve as testbeds for new products, services, and technologies.