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A STUDY ON THE IMPACT OF STORE ATMOSPHERIC ATTRIBUTES ON

CUSTOMERS EXPERIENCES AND THEIR BEHAVIORAL INTENTION AT SIME


DARBY AUTO BAVARIA SDN BHD, GLENMARIE, SHAH ALAM

AKMAL SYALWANI BINTI IDRIS


2010132513

BACHELOR OF BUSINESS ADMINISTRATION


WITH HONOURS (RETAIL MANAGEMENT)
FACULTY OF BUSINESS MANAGEMENT
UNIVERSITI TEKNOLOGI MARA
SHAH ALAM

DECEMBER 2013

A STUDY ON THE IMPACT OF STORE ATMOSPHERIC ATTRIBUTES ON


CUSTOMERS EXPERIENCES AND THEIR BEHAVIORAL INTENTION AT SIME
DARBY AUTO BAVARIA SDN BHD, GLENMARIE, SHAH ALAM

AKMAL SYALWANI BINTI IDRIS


2010132513

Submitted in Partial Fulfillment of the


Requirement for the
Bachelor of Business Administration with Honours (Retail Management)

FACULTY OF BUSINESS MANAGEMENT


UNIVERSITI TEKNOLOGI MARA
SHAH ALAM

DECEMBER 2013
DECLARATION OF ORIGINAL WORK

BACHELOR OF BUSINESS ADMINISTRATION


WITH HONOURS (RETAIL MANAGEMENT)
FACULTY OF BUSINESS MANAGEMENT
UNIVERSITI TEKNOLOGI MARA

"DECLARATION OF ORIGINAL WORK"

I, AKMAL SYALWANI BINTI IDRIS, (I/C Number: 911026105140)

Hereby, declare that:

This work has not previously been accepted in substance for any degree, locally or

overseas, and is not being concurrently submitted for this degree or any other degrees.

otherwise stated.

This project-paper is the result of my independent work and investigation, except where

All verbatim extracts have been distinguished by quotation marks and sources of my
information have been specifically acknowledged.

Signature: _________________________ Date: ______________________

ii

LETTER OF SUBMISSION

Date of Submission: December 2013

The Programme Coordinator,


Bachelor of Business Administration (Hons) Retail Management
Faculty of Business Management
Universiti Teknologi MARA
40450 Shah Alam
Selangor.

Dear Sir/Madam,

SUBMISSION OF PROJECT PAPER

Attached is the project paper titled A STUDY ON THE IMPACT OF STORE ATMOSPHERIC
ATTRIBUTES

ON

CUSTOMERS

EXPERIENCES

AND

THEIR

BEHAVIORAL

INTENTION AT SIME DARBY AUTO BAVARIA SDN BHD, GLENMARIE, SHAH


ALAM to fulfill the requirement as needed by the Faculty of Business Management, MARA
University of Technology.

Thank you

Your sincerely

AKMAL SYALWANI BINTI IDRIS


2010132513
Bachelor of Business Administration (Hons) Retail Management
iii

ACKNOWLEDGEMENT

All praise due to Allah SWT, the Lord of the world that makes it possible for me to
complete this project paper. Blessing and salutation also be on Prophet of Allah SWT,
Muhammad SAW. I would like to take this opportunity to express my gratitude and appreciation
to the following individuals whose gave their guidance, advice and contribution in preparing this
research paper.
.
First of all, I would like to express my gratefulness and appreciation to my advisor, Dr.
Lennora Putit for her guidance, encouragement and advices throughout the process of
completing this project paper. Without her, this paper work cannot be complete successfully.
Word of appreciation also goes to my supervisor of practical training, Mr Mohd Sykhed Fadly
Bin Mat Husin, the Business Operation & Distribution Executive at Auto Bavaria Glenmarie and
all the staffs Auto Bavaria Glenmarie for their cooperation and tolerance.

Very special thanks to my beloved parents, Encik Idris Bin Ramli and Puan Maznah Binti
Yahya for their constant love and moral supports throughout my years of study. I also would like
to thanks to my beloved friends that always supports and gave encouragement to complete this
study. I also like to thank to all respondents of this study which this study would not have been
successful. Last but not least, my thanks to all who are involved direct and indirectly in the
process of completing this study.

Thank you.

iv

TABLE OF CONTENTS
Page
TITLE PAGE.................................................................................................................................. i
DECLARATION OF ORIGINAL WORK....................................................................................ii
LETTER OF SUBMISSION..........................................................................................................iii
ACKNOWLEDGEMENT..............................................................................................................iv
TABLE OF CONTENT...................................................................................................................v
LIST OF FIGURES.........................................................................................................................x
LIST OF TABLES ........ xi
LIST OF ABREVIATIONS ... xiii
LIST OF APPENDICES

xv

ABSTRACT .. xvi

CHAPTER 1 INTRODUCTION
1.0

Background of study .......................................................................1

1.1

Background of company .................................................................5


1.1.1

About Auto Bavaria ........................................................5

1.1.2

Auto Bavaria - Product & Service ..............................6

1.2

Problem Statement...........................................................................7

1.3

Research Questions..........................................................................9

1.4

Research Objectives.........................................................................9

1.5

Hypothesis of Study...................................................................... 10

1.6

Theoretical Framework................................................................. 10
v

1.7

1.8

Significant of Studies

11

1.7.1

Auto Bavaria

12

1.7.2

Auto Dealership Industry..13

1.7.3

Customers .................13

Scope of Study ..........................................................................14


1.8.1

1.9

1.10

Gap of Knowledge.............................................................14

Limitations of Study......................................................................15
1.9.1

Respondents.......................................................................15

1.9.2

Sampling Location.............................................................15

1.9.3

Secondary Sources............................................................16

Definition of Terms.......................................................................18
1.10.1 Lighting .............................................................18
1.10.2 Background Music ............................................................18
1.10.3 Color .........................................................................18
1.10.4 Visual Merchandising .......18
1.10.5 Customer Experience ................................................19
1.10.6 Customer Behavioral Intention .19

CHAPTER 2 LITERATURE REVIEW


2.0

Introduction...............................................................................................20

2.1

Review of literature....................................................................................20
2.1.1

Store Atmosphere..............................................................20

2.1.2

Lighting .............................................................21

2.1.3

Background Music ............................................................23

2.1.4

Color .................................................................24

2.1.5

Visual Merchandising .......25

2.1.6

Customer Experience ... 26


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2.1.7

Customer Behavioral Intention..........................................27

CHAPTER 3 METHODOLOGY
3.0

Introduction............................................................................................... 29

3.0.1

Research Design ... 29

3.0.2

Quantitative Design ..... 29

3.1 Data Collection Method.... 30


3.1.1

Primary Data..... 30

3.1.2

Secondary Data..... 30

3.2 Sampling Design... 31


3.2.1

Target Population.. 31

3.2.2

Sampling Frame and Sampling Location.. 31

3.2.3

Sampling Elements....... 32

3.2.4

Sampling Technique..... 32

3.2.5

Sampling Size... 33

3.3 Research Instrument.............................................................................................. 33


3.3.1

Questionnaire Design........ 34

3.4 Construct Measurements....... 35


3.4.1

Scale Definitions....... 35

3.4.2

Sources of Measurements. 36

3.4.3

The survey instruments ....... 37

3.5 Getting the data for analysis..... 39


3.6 Data Analysis.... 40
vii

3.6.1

Descriptive Analysis. 40

3.6.2

Scale Measurements...... 41
3.6.2.1 Reliability Test.. 41
3.6.2.2 Exploratory Factor Analysis .... 42

3.6.3

Inferential Analysis... 42
3.6.3.1 Pearson Correlation Analysis.... 43

3.6.4

Multiple Regression Analysis... 43

CHAPTER 4 DATA ANALYSIS


4.1 Preamble .... 45
4.2 Demographic Profile .. 45
4.3 General Information ... 52
4.4 Exploratory Factor Analysis .. 56
4.5 Reliability Test ....... 60
4.6 The Central Tendencies Measurement of Construct .. 61
4.7 Correlation Matrix ..... 67
4.8 Multiple Regression Analysis 72
4.9 Multiple Regression Equation .... 76

CHAPTER 5 CONCLUSION AND RECOMMENDATION


5.0 Preamble .... 78
5.1 Discussions 78
5.1.1

Lighting 78

5.1.2

Background Music ... 79


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5.1.3

Color .... 79

5.1.4

Visual Merchandising .. 80

5.1.5

Customer Experience & Behavioral Intention


& the Best Atmospheric Factors .... 80

5.2 Conclusions 81
5.2.1

Lighting 82

5.2.2

Background Music... 83

5.2.3

Color 84

5.2.4

Visual Merchandising .. 84

5.2.5

Customer Experience ... 85

5.2.6

Customer Behavioral Intention .... 86

5.3 Implication of Study .. 86


5.4 Recommendations for Sime Darby Auto Bavaria Sdn Bhd ... 88
5.4.1

Lighting .... 89

5.4.2

Background Music.... 90

5.4.3

Color 91

5.4.4

Visual Merchandising .. 92

5.5 Recommendations for Future Research . 93

REFERENCES ..96

APPENDICES ............ 99

ix

LIST OF FIGURES
Page
Figure 1.1: The effect of design factors on store image and consumers expectation of
merchandise quality by Jungmi Oh 2
Figure 1.2: The relationship between the store atmospheric cues and the effect on consumer by
Ishwar Kumar ......3
Figure 1.3: The Mehrabian-Russell model on the effect of environmental stimuli on emotional
state and customer behavior ... 4
Figure 1.4: The theoretical framework of relationship between the store atmospherics attributes,
experience perceived by the customer and their behavioral intention ..... 11
Figure 4.1: Percentage of Respondents based on Gender.... 45
Figure 4.2: Percentage of Respondents based on Age......46
Figure 4.3: Percentage of Respondents based on Nationality ......47
Figure 4.4: Percentage of Respondents based on Race ....... 47
Figure 4.5: Percentage of Respondents based on Highest Academic Qualification ... 48
Figure 4.6: Percentage of Respondents based on Employment Status ... 49
Figure 4.7: The Percentage of the Respondents First Product Purchase ....... 52
Figure 4.8: The Percentage of the Respondents Second Product Purchase ....... 53
Figure 4.9: The Percentage of the customers rating whether Auto Bavaria needs atmosphere
changes or not? .... 54
Figure 4.10: The Percentage of the medium that respondent knows Auto Bavaria (1) .. 54
Figure 4.11: The Percentage of the medium that respondent knows Auto Bavaria (2) .. 55

LIST OF TABLES
Page

Table 3.1: Sources of Measurement..... 36


Table 3.2: The Survey Instruments ..... 37
Table 3.3: The Rule of Thumb for Cronbachs Alpha Coefficient Value 41
Table 4.1: Summary of Demographic Profile ..... 50
Table 4.2: KMO and Bartletts Test .... 56
Table 4.3: Total Variance Explained ... 57
Table 4.4: Rotated Component Matrix .... 58
Table 4.5: Summary of Reliability Analysis ... 60
Table 4.6: Summary of Central Tendency for Lighting ...... 61
Table 4.7: Summary of Central Tendency for Background Music ..... 62
Table 4.8: Summary of Central Tendency for Color .......... 63
Table 4.9: Summary of Central Tendency for Visual Merchandising ............ 64
Table 4.10: Summary of Central Tendency for Customer Experience ... 65
Table 4.11: Summary of Central Tendency for Customer Behavioral Intention ............ 66
Table 4.12: The Correlations between the Store Atmospheric Attributes and the Customers
Experiences .. 67
Table 4.13: Correlation between Customers Experiences and their Behavioral Intention ........ 68
Table 4.14: The Correlation between the Customers Experiences and the Behavioral Intention
(Store Atmosphere helps me to make to make a decision) .. 69
xi

Table 4.15: The Correlation between the Customers Experiences and the Behavioral Intention
(The store atmosphere makes me comfort to stay longer in the store) .... 69
Table 4.16: The Correlation between the Customers Experiences and the Behavioral Intention
(The atmospheric factors in this store are successful in putting trust in me) ... 70
Table 4.17: The Correlation between the Customers Experiences and the Behavioral Intention
(I would like to recommend other peoples to come and buy product/services from this store)... 71
Table 4.18: The Correlation between the Customers Experiences and the Behavioral Intention
(I would like to purchase again in the future) ...... 71
Table 4.19: Multiple Regression Analysis; Model Summary (First Model) ... 72
Table 4.20: Multiple Regression Analysis; ANOVA (First Model) ... 72
Table 4.21: Multiple Regression Analysis; Coefficients (First Model) ...... 73
Table 4.22: Multiple Regression Analysis; Model Summary (Second Model) .. 74
Table 4.23: Multiple Regression Analysis; ANOVA (Second Model) ....... 75
Table 4.24: Multiple Regression Analysis; Coefficients (Second Model) .. 75
Table 4.25: Summary of hypotheses result for store atmospheric attributes and customer
experience (First Model) .. 76
Table 4.26: Summary of hypothesis result for customer experience and the customer behavioral
intention (Second Model) .... 76

xii

LIST OF ABBREVIATIONS

ANOVA

Analysis of Variance

BM

Background Music

Lighting

Colour

VM

Visual Merchandising

CBI

Customer Behavioral Intention

BI

Behavioral Intention

CE

Customer Experience

DV or Y

Dependent Variable

IV or X

Independent Variable

Hypothesis

Correlation Coefficient

R2

Coefficient of Determination

Beta

Std. Error/ SE

Standard Error

Sig.

Significant

SPSS

Statistical Package for Social Science

S.O.R

Stimulus Organism Response

BMW

Bayerische Motoren Werke


xiii

R&D

Research and Development

LED

Light Emitting Diode

ACCA

Association of Chartered Certified accountants

IT

Information Technology

PHD

The Doctor of Philosophy

BPS

BMW Premium Selection

LPGA

Ladies Professional Golf Association

KMO

Kaiser Meyer Olkin

xiv

LIST OF APPENDICES
Page
Appendix 1.0 Questionnaires....... 1
Appendix 2.0 SPSS Data Analysis .. 6
A. Frequency Distribution
B. Reliability Test
C. Central Tendencies Measurement of Construct
D. Exploratory Factor Analysis
Appendix 3.0 Pictures.................................................................................................................. 31

xv

ABSTRACT

The purpose of this study is to investigate the relationship between the store atmosphere factors,
customer experiences and behavioural intention at Auto Bavaria, Glenmarie. It also aims to
examine the influence and effect of having good and interesting store atmosphere towards
customer experiences and then will resulting to a positive behavioural intention. There are four
contributing factors of store atmosphere are being identified, which are lighting, background
music, colour and visual merchandising which is also the independent variables in this research,
while the experience perceived by the customer known as the mediating variable and the
customer behavioural intention as a dependent variables. Each of the store atmosphere attributes
was tested to determine and measure the relationship with customer experience and their
behavioural intention. Besides that, this study also wants to concentrate on the customers
perception and evaluation toward store atmosphere in Auto Bavaria, Glenmarie. Different SPSS
analyses such as reliability test, factor analysis, correlation and regression are carried in order to
interpret the customers response towards the atmospheric factors. The questionnaires were filled
by the respondents who already purchase products and also customer who come to Auto
Bavarias showroom and intend to buy cars, motorcycles, parts or accessories at Auto Bavaria.
For this quantitative research, a total of 170 respondents participated in the survey. The
participating respondents represented a return rate of 92% after distribute the questionnaire
directly to the respondents face to face, by email and mail.

Key words: Store atmospheric attributes, Customer experiences, Behavioural Intention, Auto
Bavaria

xvi

CHAPTER 1: INTRODUCTION
First of all, in Chapter One, researcher briefly explain the broad scope of this research which
includes the background of study, description of the company, problem statement, research
questions, research objectives, hypothesis of the study, theoretical framework, significant of
study, scope of study and limitation of study.

1.0

Background of Study

For retailers and store managers, shopping is the art of persuasion. Though there are many
attributes that can influence how and what the consumers will buy. However, visual cues such
as lighting, background music, color and visual merchandising being the strongest and most
persuasive factors compared to the other attributes (Bohl, 2011).
In 1973, Kotler has introduced the concept of store atmosphere, that is, the effort to design a
physical store environment that provides specific emotional effects to the customers that
encourages customer behavior. The buying process in a retail atmosphere is triggered when the
customer recognize that they put high expectation towards a store (Bohl, 2011).
Along with the trends toward retail innovation and evolution, retailers and store managers now
interested in how shoppers get experience while they come to the store. It has long been
recognized that consumers respond not only based on the product or service quality itself but
they also take much attention on the store environment. It is because; besides product and
services, the atmosphere of a store also one of the influential factors in the purchase experience
(Kotler, 1973). In fact, Turley & Milliman (2000) believed that store atmosphere contributes to
a business success or failure.
Store atmosphere encompass the attributes that aims to strengthen the store environment with
the combination of different cues such as lighting, color, background music, and scent. A study
found that 87% of Hungarian store managers take attention on retail styles, colors, and size of
the store as important part of tactical marketing (Jozsa et al,1999).

Kotler (1973), found that the earlier meaning for store atmosphere is like a purchase
environments was designed to produce specific emotional effects towards the customer and
then the purchase probability. Although increasing the sales and profits become the priority
objective and missions for most of the retail stores, the store managers have been realized that
the level of customers experiences and perceptions while having their visit in the store also
become the prime objectives to them. Thus, the retailer especially in the automotive dealership
industry wants to make the customer to stay longer in the store, so that customer can explore
the ideas and make decision to purchase more products or service since they already attracted
to the store atmosphere (dAstous, 2000).
In figure 1.1, based on Jungmi (2007), stimulus in the first box identified as independent
variables that used to create store atmosphere. The researcher put the measurement of design
factors, storefront design and information display as the main focus in this study. In this
framework, the independent and dependent variables are connected through the mediating
variables which are the consumers perception towards the store images, safety, convenience,
and entertainment. While the dependent variables is the response of the individuals expression
and the study concentrate on the consumers expectation towards the merchandise quality.

Figure 1.1: The effects of stimulus (design factors & information display) on store image and
consumers expectation towards the merchandise quality
Based on Ishwar Kumar (2010), retail atmospherics as shown in Figure 1.2 consisting of
selected atmospheric cues such as lighting that can be discuss about the bright or dim lighting,
background music whether it slow, ballads, classical or familiar music, attractive window
2

dressing and layouts, unique architectural design, freshness and nice fragrance, appropriate
temperature to build a cozy and comfortable environment, match and trendy color coordination,
captivating and memorable logo, an ideal type of good and merchandise crowd that can bring
behavioral effect to the current and future consumers (Smith and Burns, 1996).

The entire retail environment that includes the design of store brands can develop their own
brand messages and consumer experiences throughout the shopping endeavor. The retail
environment is harmoniously designed in order to communicate brand personality and the store
image. In order to create positive customer perceptions, the retailer can do some innovation
project for the store atmosphere and by doing that, the store will provide silent communication
with the customers about the retailer's brand value, each element of the retail environment also
need to be transformed so that it is differentiated from the other retailers. On the other hand,
retailer also can make it more standardized and thus tend to contribute the consumers' purchase
decision (Bohl, 2011).

Figure 1.2: The relationship between the store atmospheric cues and the effect on consumer
However, according to Baker (1987), he has identified those environmental cues in a store
which are ambient factors (temperature, humidity, background music, scent and cleanliness),
design factors (colour, decor, texture, style, pattern, layout, accessories and signage) and social
factors which is the influence of human presence in the store area. Based on Baker (1987)
study, the ambient factors such as background music and scent did not motivate the customer
3

purchase decisions, but it is important to simply meet the customer expectations and
experience.

Figure 1.3: The Mehrabian - Russell model on the effect of environmental stimuli on emotional
state and customer behaviour
Based on the above figure, it can be known as the model of Mehrabian - Russel which is an
approach of Stimulus-Organism-Response (S.O.R) model. There are two focus studies on
environmental psychology which is the effect of physical stimuli on individuals emotion and
the effect of physical stimuli on the individuals behaviors (Mehrabian & Russell, 1974).
Researcher found that, this model can be applied as valuable study to store environments and
atmosphere. In this research, the researcher also wants to adapt the Mehrabian - Russell model
into the retail scope in order to find the relation between store atmosphere and customers
experience.
Besides that, the framework shows that a particular atmosphere can cause certain emotional
response in an individual especially for customer in a retail sector. In other words, because of
certain atmosphere, it can cause an individual to approach or avoid the environment whether it
greater or in lesser degree (Billings, 1990).
In summary, atmosphere enhancement in a retail store is very essential since the customer will
observe the surrounding store area and it automatically can influence the customers experience
and perceptions. Besides, a business is impossible to hide their actual store atmosphere from
the customer to feel and see by their own.

1.1

Background of Company

1.1.1 Auto Bavaria


Auto Bavaria is the largest auto retail and service organization of BMW, MINI Cooper
and Motorrad (Motorcycle, Scooter & Superbike) in Malaysia. This is one of the
famous brands of Sime Darby Motors. Establish in 1988; Auto Bavarias organization
comprises of fully trained technicians and employees and has a wide range of parts and
accessories together with a comprehensive range of equipment that only an authorized
BMW dealer can provide. In order to give a good performance whether among the staff
or the customer, Auto Bavaria use centralized online system at all Auto Bavaria
branches, so it helps the employees to work more flexible and easily know the
customers service and product history with more efficiently and effectively.
Over the years, Auto Bavaria has successfully built BMW into one of the most desirable
luxury automotive brands in the country. Today, Auto Bavarias nationwide network
infrastructure comprises five branches, namely Glenmarie, Sungai Besi, Kuala Lumpur,
Penang and Johor Bahru. Auto Bavaria Glenmarie and Penang also houses the BMW
Motorrad and MINI Cooper showroom. In addition, our BMW Premium Selection
centre is in Glenmarie and Kuala Lumpur. Auto Bavaria has the competitive advantage
among the others competitors dealer in Malaysia such as Ingress, Quill, Pendragon,
Wearness Autohous, Regas and Tian Siang. It is because Auto Bavaria contributes
majority of shares in BMW Malaysia and also already being in the markets for 25 years.

Every Auto Bavaria branch is staffed with passionate professionals dedicated to


providing world class sales and aftersales service that beyond the customers
expectations. In benchmarking Auto Bavaria against the best BMW dealers in the
world, they make customer satisfaction as the top priority at Auto Bavaria. They record
possibly the highest man hours in training annually in the local automotive industry to
keep their staff on top of the latest innovations and technologies and constantly review
processes to improve efficiency. At Auto Bavaria, they are committed to making the
customers BMW experience extend beyond their purchase.
5

1.1.2 Products and services


Auto Bavaria products includes BMW cars (1 series, 3 series, 4 series, 5 series, 6 series,
7 series, x series, z4, m series, and hybrid cars) BMW Bikes and also known as
Motorrad (Sport, Competition, Tour, Roadster, Enduro, and Urban Mobility), MINI
Cooper (MINI S, MINI Coupe, MINI Cabrio, MINI Clubman, MINI Countryman,
MINI Paceman, MINI John Cooper, MINI Bayswater, and MINI Baker Street).

Besides providing new car from the factory, Auto Bavaria also offer used car for the
customer. This package is known as BMW Premium Selection (BPS) since 2008. Even
the customer owned used car from the BMW products especially at Auto Bavaria, they
will get full advantage of buying this type of car same with the customer who buy a new
car. It is because, Auto Bavaria only offer recent BMW models with low mileage and
complete service history will be considered. To make the cut, all vehicles then undergo
a thorough car services includes systems, mechanisms and safety components. Used car
prices with the new car security and warranty, which is the promise from Auto Bavaria.

In addition, the customer also can enhance their lifestyle through Auto Bavaria
Approved Body Shop and also buy BMW parts, accessories and gifts. Through Auto
Bavaria Body Shop, they provide top quality collision repair, painting solutions,
consultation and many other service for the customers. The customer also can enjoy the
exclusive parts and accessories design for their BMW and MINI Cooper. Auto Bavaria
only offers the original BMW accessories that undergo stringent quality and safety test
to fit seamlessly to the customers vehicles.
On the other hand, Auto Bavaria offers the customer opportunity to trade in their old
BMW car to a new one. Based on the terms and technical appraisals, Auto Bavaria will
be able to provide the customer with a fair trade in price for the customers to own a new
car.

In short, whether the customer are looking to buy or trade in, rest assured that Auto
Bavarias team of experts will personally help the customer browse for a car to suit their
6

finance and lifestyle. The customers trust and confidence in Auto Bavarias team
become the first priority and also committed in helping the customer enjoy the sheer
driving pleasure with BMW.

1.2

Problem Statement
In this globalization era, many companies found that, the store atmosphere plays
important roles in a store. Besides, it becomes a critical issue since the customer being
more alert, sensitive and also knowledgeable because of the exposure of the information
and news. From the previous studies, there are a lot of issues can be highlight in this
research such as the lighting problems, the incompatibility of stores colour
combination, the choice of background music are not appropriate, and the visual
merchandising arrangement are not suitable (Zeynep & Nilgun, 2011).
Nowadays, there are too much competition among the automotive dealership industry in
Malaysia whether by locally or internationally. Thus, those store manager need to take
an active part to make a different and creative ideas to be idealize in their respective
store atmosphere (Zakuan, 2009). According to Zeynep & Nilgun (2011), the store
manager can try to create attractive store atmosphere by using mix and matching
method from different store atmosphere factors. It means that, the manager can apply
different combination of various stimuli (colour, light, smell, background music and
visual).
Besides that, Auto Bavaria also competes with other BMW Malaysia car dealer such as
Ingress, Quill, Wearness Autohous, Regas and so on. The competition between the
BMW (Malaysia) car dealers mainly based on service pattern and quality, customers
experiences and expectation. Even though they sell the same product as Auto Bavaria,
being different in terms of store atmosphere compared to the other dealer is also can be
one of the strategies to give fascinate experience to the customer whenever they come to
the store (Nell,2013).
Good store atmospheres are important to give positive impact on customers who come
to Auto Bavaria. According Kotler (1973), the atmosphere of a place is more
7

influential than the product itself in the purchase decision. When a store features a
panoramic atmosphere plus with beautiful decoration, design, colour, lighting, and also
having convenient background music, it will create a different experience to the
customer (Banat et al, 2012). Today, we can see that, many store manager especially in
the automotive sector compete each other in order to accentuate a dynamic store
atmosphere. Some companies take the risk to invest a lot of money in their store
atmosphere enhancement activities for the sake of giving a good customer experience
(Kent, 2007).
On the other hand, in this case, Auto Bavaria offer luxury types of products and
services. So, the expectations from the customers are eventually high (Lamb, 2012). By
providing an appealing store atmosphere, it can make Auto Bavaria different from the
other car dealer. Actually, when the customer already put high expectations, the
company must alert on this issues. Auto Bavaria must show an exclusive and elegant
theme in the store since they are offering luxurious brand and products (Gutierrez,
2006).
So, with a convincing atmosphere, customer start to put confident and trust towards the
companys abilities and thus inclined and willing to spend more money to purchase the
companys products or services (Han, 2011). Therefore, in this research, there are a lot
of question can be roll out in order to maintain the exclusivity such as what are the key
factors that can influence Auto Bavarias store atmospheres? Does Auto Bavaria
manage to provide different impact on their customers, especially in terms of their
experiences during their visit in this store? Does Auto Bavaria know how customer
evaluates their store atmosphere? Does Auto Bavaria need any improvement regarding
to maintain or enhance their current store atmospheres? and what are the different
between Auto Bavaria and the other car dealer in term of store atmosphere?
In order to avoid being lag by other competitors, Auto Bavaria need to do something or
doing research on this topic. The best ways to collect the information are by letting the
customers evaluate the level of store atmosphere performance (Han et al, 2011).

1.3

Research Questions
In this study, there are few questions have been generate to answer the following
questions about the factors that can influence the store atmosphere and the effect on the
customer experience and behavioral intention. The research study will be guided by the
following research question for the investigations as follows:

What is the relationship between the store atmospheric attributes (lighting,


background music, color, visual merchandising) and the customers experience

in Auto Bavaria?
Which atmospheric factors that Auto Bavaria performs the best based on the
customers evaluation?
What is the relationship between the experience perceived by the customer at
Auto Bavaria and their behavioural intention?

1.4

Research Objectives
This study is undertaken to investigate the relationship between the store atmosphere
factors and its impact on customer experience and their purchase decision. It will focus
on the relationship of the four (4) independent variables of atmospheric factors which
are store lighting, background music, colour, and visual merchandising, customers
experience as the mediating variables and the identified dependent variable; customers
behavioural intention (Levy et al, 2009).

The objectives of the study are:

To determine the relationship between the store atmospheric attributes (lighting,


background music, color, visual merchandising) used in Auto Bavaria and the

customer experiences throughout their visit in this store.

intention at Auto Bavaria.

To know the relationship between customers experience and their behavioural

To identify which atmospheric factors that Auto Bavaria has performed the best
based on the customers evaluation from the questionnaire.
9

1.5

Hypotheses of the Study


This study will test the following hypotheses:H1: There is a significant relationship between store lighting, and customer experience
in Auto Bavaria, Glenmarie.
H2: There is a significant relationship between background music and customer
experiences in Auto Bavaria, Glenmarie.
H3: There is a significant relationship between colors and customer experiences in Auto
Bavaria, Glenmarie.
H4: There is a significant relationship between store visual merchandising and customer
experiences in Auto Bavaria, Glenmarie.
H5: There is a significant relationship between the customers experience and their
behavioral intention at Auto Bavaria, Glenmarie.

1.6

Theoretical Framework
A theoretical framework consists of concepts, variables, definitions, and existing
theories that are used by researcher for particular study. According to Dr Norzaidi
(2013), the selection of variables in a study must have the characteristics that can be
measured and it is important especially when creating and designing a questionnaire.
Theoretical framework must demonstrate an understanding of theories and concepts that
are relevant to the topic of research paper.

Theoretical framework is not something that can be found readily in a literature.


Researcher must review course readings and pertinent literature such as journals and
articles in order to search related theories and analytic models that are relevant to the
store atmospheres topic. Selection of a theory should depend on its appropriateness,
ease of application, and the explanation itself (Trochim, 2006).

10

Figure 1.4
The theoretical framework of relationship between the store atmospheric attributes, experience
perceived by the customer and their behavioral intention at Auto Bavaria
The framework above shows proposed framework to serve as foundation of this study.
It is modified from the Gajanayake,S & Surangi, (2011) on the research under the title
of The Impact of Selected Visual Merchandising Techniques on Patronage Intentions
and also based on adaptation of Thang and Tan (2003) S-O-R Model theory. Purpose of
this study is to examine the how the independent variables; lighting, color, background
music and visual merchandising of a store will bring impact to mediating variables,
customers experience and the dependent variables, customer behavioral intention when
they visit Auto Bavaria, Glenmarie.

1.7

Significance of Study
This study demonstrates how store atmosphere factors affect the customers experience
and behavioral intention when they visit to Auto Bavaria in Glenmarie, Shah Alam.
11

Therefore, it will give lots of benefits and advantages to several people and also several
parties such as:

1.7.1 Auto Bavaria


Due to the challenges of competitive markets, all retailers and managers try to build up
a meaningful shopping experience (Baker et al., 1992) in order to enchant and retain
customers as well as beat all the automotive competitors. Many researchers have
realized the significant impact of store atmosphere on customer experience and also
their behavioral intention (Baker et al., 2002; Bitner, 1992; Hoffman & Turley, 2002;
Mattila & Wirtz, 2001; Russell & Mehrabian, 1976).
Auto Bavaria is fiercely competes with many large car dealer/retailer in Malaysia.
There are also issues when there are many competitors all over Malaysia that offer the
same products and services such as Ingress Auto, Quill, Pendragon, Regas, Wearness
Autohous, Tian Siang and so on. Besides that, Auto Bavaria common competitors that
also offer the luxury type of brand such as Mercedes, Audi, and Volkswagen. Do not
forget the trend of Asian car production countries such as Japan and Korea that
produces a lot of great and quality car like Honda, Toyota, Hyundai, Suzuki and
Mitsubishi. Those car manufacturers from the east countries have been success to bring
big impact on the automotive industry (Zakuan, 2009).
A creative and compatible store atmosphere will help Auto Bavaria to create their own
store values and then automatically can attract the customer eyes and mind during their
stay in the store. A thorough study, follow with the store innovation also can turn Auto
Bavaria as the best automotive store in Malaysia.

In fact, with the attractive store atmosphere, it will give different customers experience
which will contribute to increase the sales and profits of the store (Rhee et al, 2012).
According to the previous studies, a pleasant store atmosphere can prolong the time
consumers spend in the store, increasing the likelihood that the consumer will find
something they needs, as well as increasing impulse buying (Tendai et al, 2009). So, it
12

will guide Auto Bavaria to improve the store atmosphere in order to gain satisfied
customers experience and also profits as well.

1.7.2 Auto Dealership (Automotive) Industry


Not only for the customers and Auto Bavaria itself, these researches also bring a
significant to the automotive industry out there. With the presence of this study, other
automotive companies can take it as reference for their companys research and
development activities (R&D). Since the literatures about this topic are only few of
them, it really can help those automotive industries to make analysis of store
atmosphere as a secondary data.

Besides that, by looking the research analysis and description, other companies also can
make this research as a source to make store atmosphere improvements, enhance the
store appearance, and know how it bring impact to the customer experiences through
the customer evaluation and know what are the customer want exactly (Kumar et al,
2010).

In addition, by conducting this research, we can know that the development of the
automotive industry by observing the demanding from the customer, the products and
brands innovation, the competitiveness between the automotive companies and so forth
(Zakuan, 2009).

1.7.3 Customers
When it comes to customer, it is indeed that they will be happy and feels comfortable
with the appealing store atmosphere (Turley & Milliman, 2000). Especially when
having a good store atmosphere, it can help the customer to make a right decision with
calm and relax mind and also having a good time to think at a comfortable sofa.

According to Turley and Milliman (2000), surrounding with a good lighting, which not
too bright and also not gloomy can create a nice atmosphere and also effect the
13

customers feeling as well. Besides that, compatible background music also helps the
customer to relax while selecting their dream car and enjoy their purchase and service.
Moreover, a nice color combination with the choice of elegance color, and of course not
a colorful store can bring the mood of exclusivity among the customers. Then, the
companies can tell message and stories through their dynamic visual merchandising in
the store and thus, from having all the combination of store atmosphere factors can
create a perfect store environment. So, it directly will give a great impact to the
customer who visit Auto Bavaria and give them some different experience which is like
entering the world of class.

1.8

Scope of Study
The scope of the study is basically to identify the store atmosphere factors which are
lighting, background music, color, and visual merchandising towards customer
experience and behavioral intention at Auto Bavaria. There were 170 questionnaires to
be distributed to the customers at Auto Bavaria at Glenmarie, Shah Alam who visited
and made purchase in the luxury store.

1.8.1 Gap of knowledge


To relate all the possible contribute factors of store atmosphere (lighting, background
music, colour and visual merchandising) in one single setting to investigate their
influences on the customer experiences and also from the customers experience to the
behavioral intention, which demonstrate the significant gap of knowledge.

In order to reduce the gap, there were four (4) identified hypotheses that will evaluate
the influence of store atmosphere factors toward the customer experience and their
behavioral intention. The first hypothesis is whether lighting is significant or no
significant with customers experiences. Second is whether background music is
significant or no significant with customers experiences while thirdly is whether color
in the store is significant or no significant with customer perceived experience and then
fourth hypothesis is whether there are relationship between store visual merchandising
and customer experience and last but not least the fifth hypothesis which is the second
14

model is whether customer experience has a significant relationship with behavioral


intention or not.

1.9

Limitation of Study

1.9.1 Respondents
Large samples tend to generate better result and minimize the probability errors
(Osborne, Jason, & Anna, 2004). In this study, questionnaire survey is conducted based
on 170 respondents which are limited and unable to produce a reliable result. The
potential that the respondents not return and return but send defective questionnaires are
high. Furthermore, the researcher select only 170 respondents due to the limited budget
as a full time student and time constraint since the period to finish up this research are
only 5 months.
Besides that, some respondents might misunderstand those questions and did not follow
the instruction that will in turn affect the results of study. By using five-point Likerttype scale for the questionnaire, respondents may confuse and not be able to express
their additional comments and opinions for this study. Moreover, the potential that the
respondents did not read the questionnaire properly are high since the researcher
provides a lot of questions for the respondents to answer.

1.9.2 Sampling Location


In this study, sampling location is a limitation to get a respond from the respondents.
The sampling location for the survey is made at Auto Bavaria which is the headquarter
that located at Glenmarie, Shah Alam. Auto Bavaria Glenmarie was chosen as the
sampling location because the Glenmarie is the biggest branch compared to the other
four branches. Therefore, the branch is the representative of all Auto Bavaria. In despite
of that, it may affect the result since respondents may have different perceptions and
opinions due to other different branches they visited such as Auto Bavaria Sungai Besi,
Auto Bavaria Kuala Lumpur, Auto Bavaria Johor Bahru and Auto Bavaria Penang.
15

Furthermore, there is a possibility of a cultural and lifestyle bias playing a role in the
outcome of the study.

1.9.3 Secondary Sources


Limited information sources and databases can be searched through for this topic of the
study. Moreover, some journals and articles may require payment. Due to limited
budget, researcher was unable to access those journals or articles that need to be
subscribe. In fact, there were only few local researches conducted the research that are
applicable to our study. Most of the journals and articles we referred to were based on
the topic in foreign countries. Thus, the findings of some journals or articles may not
applicable in this research. Thus, researcher had to find more journals to combine and
support for validity of the study (Labaree, 2013)

Zeynep & Nilgun (2011) noted that most of the studies only focused on one store
atmospheric stimulus or doing it as general research instead of examine few and
specific factors together at one time. Therefore, those literature reviews may not be
appropriate and slightly different for this research since it mostly discussed different
type of store itself.

Recently, this topic which is the study of store atmosphere seems to be quite popular
among researchers and retailers from different sectors and countries. For example, Sang
Lin Han, (2005) focus on the Korean retail market, Tsepo Peter, (2009) have research
on convenience store, Choong Rong Han, (2011) a study about the clothing store,
Katelijn Quartier, (2008) a research about food retailing, Wan Asyila, (2013) have study
a research about the MPH Bookstore, and Han Shen Chen, (2010), a study of chain
store supermarkets.

However, there are only few and limit researches that focus on the automotive
dealership industry. So, it is become the researcher limitation because different types of
stores must provide different combination of various factors of store atmosphere to
support the overall business of those stores. Since the auto dealership industry was been
16

not specifically focus in previous research, so in this research, the study will use the
relevant store atmosphere factors based on the automotive industry to interpret its effect
on experiences and also the behavioral intention. Therefore, it would be more accurate
to predict the factors that can give influence on store atmospheres which automatically
affects the customer experiences and behavioral intention.

In fact, some literature review for this study is limited especially on the color and visual
merchandising factors. Many researchers only concentrated their study on the areas of
background music and lighting. Limited source for these two factors which are colors
and visual merchandising make it difficult for researcher to have a detail investigation
and also have a constraint to make comparisons between the current study and the
previous one. Although many studies mentioned background music and lighting as one
of the variables to examine, those researchers seldom linked these factors to experience
and behavioral intention. There were not many researches and latest study regarding
customer experience. In despite of that, background music, lighting, colors, and visual
merchandising will be added as important elements in store atmosphere factors for the
industry and relate with experience and customer behavioral intention.
On top of that, this study had been done based on Malaysias automotive retailing
industry. From the previous studies, many researchers did their studies using the
retailing industries of foreign countries such as Korea, China, India, United States,
Greek, Hungary, and so on. Therefore, when local retailers apply the results of those
studies, sometimes it might be inaccurate and inappropriate to adopt into each particular
type of retailing industry especially in this case. It is because different countries have
different culture and perspective. The way of their thinking also are not same as
Malaysian. Using wrong application on store atmosphere may lead to reduce the
research quality. Therefore, the study regarding the issue is needed in depth on this area
based on Malaysias retail industry to help Auto Bavaria understand well about the
impact of store atmosphere on customer experiences.

17

1.10

Definition of Term

1.10.1 Lighting
Lighting can be defined as the kind of igniting or illuminating, the arrangement of lights
occurs usually by specific equipment in order to achieve various different of effects.
Besides that, lighting is also can refer as the functional use of light to achieve a practical
or aesthetic effect. Lighting includes the use of both artificial supplies light such as
lamps and light fixtures, as well as natural illumination by capturing light from the sun.

1.10.2 Background Music


Background music is the art of sounds arrangement in a time so that it can produce a
continuous, unified, and evocative composition, as through melody, harmony, rhythm,
tempo and timbre. It is also refers to various styles of music or also known as
soundscapes originally intended not to be actively listened to. It is also can be said as
supplement or additional features that are apply in a particular situation or event.
Background music that is usually played at a low volume and it is not the main focus to
be listened by the audience.

1.10.3 Color
Color and also known as hue is the element of art that is produced when light, striking
an object and it is reflected back to the eye or in other words is the property possessed
by an object of producing different effects on the eye as a result of the way it reflects or
emits the light.

1.10.4. Visual Merchandising


Visual merchandising are includes the combination of products, atmospheres and spaces
into a motivating and engaging displays and arranging goods and merchandise
assortments within a store to improve the layout and store appearance.

18

1.10.4 Customer Experience:


Customer experience is the sum of all experience a customer has with a supplier of
goods or services, over the duration of their relationship with the supplier. This aspect
includes the customers awareness, discovery, attraction, interaction, purchase, use,
transaction, observation and participation.

1.10.5 Customer Behavioral Intention


Customer behavioral intention can be defined as a course of action, aim and concern
that a consumer brings to deal on a current or future purchase activity. It is known as the
theory of reasoned action which is a model for the prediction of human behavior,
feeling and attitude. It is also a cognitive plan to perform a behavior that has created
through a choice or decision process that focuses on beliefs about the consequences of
the action.

19

CHAPTER 2: LITERATURE REVIEW


2.0

Introduction
This chapter presents the overview of current literature in the frame of the presented
research problem. Each of the bodies of literature is discussed which is focus on the
specific nature of the relevant literatures that relates to this study.
A literature review is a step-by-step process that involves the identification of published
and unpublished work from secondary data sources on the topic interest, the evaluation
of this work in relation to the problem and the documentation of this work (Sekaran &
Bougie, 2009, p.38). Therefore, in this study, each independent variables and a
dependent variable will be reviewed on previous studies that are related to this topic.

2.1

Review of literature

2.1.1 Store Atmosphere


According to Levy and Weitz (2009), store atmosphere is referred as the attribute that
aims to intensify the store environment with the combination of different cues such as
lighting, colour, background music, layout, space, design and scent. The store
atmosphere seems able to affect customer feeling and experiences. Besides, According
to Milliman, (1986) categorized atmosphere as a term that is used to explain customer
feeling towards the shopping experience which cannot always be seen. When the
customers receive fantastic experiences while visiting a store, then, they will pass a
positive word of mouth to their closed peoples such as friends and families. The
percentages of the customer to come back to the store are also high since they were
comfort with the store environment. In addition, Kotler (1973) was the first one that
used the atmosphere term described it as the design of store environment that can
stimulate buyers emotions and ultimately affect their purchase behaviour.
Developing a strong positive atmosphere has become important to the companies to
sustained competitive advantage. Birtwisle and Shearer (2009), has stated that research
20

about the store atmosphere has allowed retailers to create positioning strategies, develop
store image and enabled them to differentiate their stores in terms of the products and
services on offer. A dynamic store atmosphere also typically form a positive impression
of a retail store through various method of communication such as word of mouth,
personal experience, advertising, recommendation and so on (Estelami et al,2006).
Sirgy et al. (2000) suggest that a good combination atmosphere factors in a store can
create a favorable consuming context and generate positive perceptive emotions about
the store among consumers. Store environmental factors can influence the subjective
feelings experienced by consumers in the store and influence the shopping experience,
consumption amount, perceived quality, satisfaction, and shopping value (Babin &
Attaway, 2000). Therefore, a pleasant store atmosphere can affect the time consumers
spending in the store.
Based on Hu & Jasper (2006), store atmosphere also give impacts on the customer
minds. From years ago, store displays were mainly used only for the promotional
purposes. However, as customers nowadays became more sophisticated and
knowledgeable, store managers have discovered new roles for effective atmosphere.
The latest, store atmosphere play roles like communicating product information and
store image, assisting consumers in making purchase decisions and create exiting
shopping experience. Moreover, customers perceived that they would be more likely to
come a store that have more in-store displays together with high graphics dimension
and user friendly meaning (Mitchell & Oppewal, 2009).

2.1.2 Lighting
Lighting can be referred as the act of enhancing or illuminating, the light arrangement
to create particular effects, an effects occurred by the arrangement of lights, and the way
light falls upon a face, objects, products etc, in a various situation (Freyssinier et
al,2006). Based on Taylor (2006), lighting is a key design element that contributes to
the identity, comfort, and visual quality of a retail store. Reports from Varley (2006)
stated that, a high contributor to an appeal store atmosphere is the lighting used. For
21

many specialty stores, the lighting design reflects the stores image and as a tool to
feature the stores merchandise and business selling strategy
According to Hoyle (2003), a successful lighting at any retail store and business
environments has the potential and probability to dramatically affect sales since lighting
can increase the floor traffic, create visual interest, bring effect to the color of
merchandise and able to direct the customer going through the store either deeper.
Based on Perney (1974), ideal store lighting can draw the customers attention to
observe the products particularly. Mehrabian et al (1974), also stated that the lighting
which also one of the environmental psychology can bring impact to the customers
emotion and experience. Usually, retailer provide a bright lighting in their store
because, with this conditions, products are more often examined and touched compared
to the dim lighting conditions. Lighting also can influence the attractiveness of
products in a store (Magnum, 1998). In the customers eye, products with high light
levels were found to be more captivating than products with lower light levels.
Donnovan et al (1994), also stated that a bright light and compatible background music
can increased consumer arousal and their enthusiasm. For the perspective of Vaccaro
(2008), proper use of light is another method to attract customer attention on specific
products, capture certain experience and also hide any retail weakness and error.
Occasionally, hiding some parts of store to ensure those the dark areas are a strategy to
maintain good store image. In fact, store lighting can influence the consumers
perception, emotion, cosiness and experience of store image (Banat, 2012). Besides,
lighting also can give impact on consumers cognition, value and at last the purchase
decision making.
Lighting in a store did not only focus on the light itself, natural lighting from the glass
windows also plays its own role in a store. In automotive industry, most of the retailer
chose to have more natural lighting by having a large glass windows setting in their
store. People increasingly prefer naturalness as possible, which can be reflected in
important aspects like quality (Zumtobel, 2012). In this case, Auto Bavaria must to
avoid a fluorescent light because it really can create a low image of it since the
22

company involve in luxurious sectors. The company already applies the combination of
natural lighting, incandescent and LED type of lighting. The combinations succeed to
indicate the store elegance and exclusivity. For Pete (2013), incandescent light fixtures
are useful especially for put the customer attention to a certain goods or section in the
store. On the other hand, LED light fixtures are relatively new in retail industry. It has
many advantages compared to the traditional light fixtures since it is more energy
efficient, smaller and flexible to placed anywhere in the store (Pete, 2013). A study
from Freyssinier et al (2006), specialty stores like Auto Bavaria itself are rely on glass
windows in order to show the expensive and create the interest from the customer.

2.1.3 Background Music


Based on Yalch (1993), background music is the art of arranging sounds continuously,
unified, and evocative composition through the melody, harmony, rhythm, and timbre.
It consists of various style of music and soundscapes primarily intended to be passively
listen and hear by the store visitor. There are many studies show that background music
in a retail store can inspires customers to buy and make their shopping experience more
pleasant. A store can simply create the mood, able to stimulate the customers mind
with install the right music.
Since years ago many retailer set a background music in their store because the ability
to enhance the store atmosphere. Besides, music is popularly known as the influence
factors of customers emotion and behaviour (Milliman, 1982). Compatible background
music means that the store played the right music at the right time which is depends on
situation and season to create positive impact on the customer experience (Ruchi et al,
2010).
A lot of studies state that background music is capable of evoking emotional state,
leaving a lasting impression and behavioural responses in consumers (Matilla & Wirtz,
2001). Based on Kulkarni (2012), retailer should carefully select music genre, style and
tempo from their marketing toolbox. Morrison (2001) stressed that playing classical
23

background music can influence the decision making rather than the product itself. It
also can create prestigious store atmosphere, leading to a customer perception of luxury
merchandise.
According to Milliman (1982), instead of arousing the customers feeling, background
music also one of the effective tools to communicate with customers in non verbal way.
Playing a happy and upbeat background music can creates customers enthusiasm
towards particular products while or slow music able to create high purchase decision
and intention (Alpert et al, 1988). In Auto Bavaria, it is not appropriate to play a loud
music because the customers need a calm situation in order to think and make a right
decision when dealing and purchasing something expensive.

2.1.4 Color
According to Kouchekian (2012), many past researchers have been carried out a study
about the physiological effects of color towards the customer. It is disappointed when
there are still many retailer did not aware or did not know the use of color psychology
in their business. Color has a powerful subconscious effect on every part of human lives
(Zalanski, Paul & Fisher, 1989). Being understood about the meaning of color
especially in business gives the store manager an invaluable tool to create a successful
business by do the marketing, promotional efforts and receives best customer
experience and feedback.
Color can be defined as the visual perceptual property corresponding in humans to the
base categories that we called primary colors which are red, blue, and yellow (Bellizzi,
1992). Color derives from the spectrum of light interacting in the human eyes. With
colors the retailers can set mood, attract attention, and also make statement.
Colors also can use to energize and also to cool down. By selecting the right color
scheme, the store manager can create an ambience of elegance, warmth and tranquility
and convey an image. So, to make it simple, color can be the retailer most powerful
design element if they learn to use it effectively (Kemmis, 1998). Auto Bavaria prefers
24

the earth color tone as its theme of color. The colors draw from a palette color such as
browns, tans, warm, grey white and green. The advantage of having a neutral or earth
store color, it can be adapted to any style, from traditional, country and contemporary.
Earth tones and the warmth of wood and stone and along with the patina of various
metals are the set of the harmonious mood (Annemiek, 2008). By using a neutral color
as the store background, it can facilitate the store manager to decorate the store when it
come to the seasonal month such as Raya celebration, Chinese New Year, Deepavali,
independent day, Christmas and more.

2.1.5 Visual Merchandising


Based on Kouchekian & Gharibpoor (2012), Visual merchandising plays many
important roles in retail sector. It includes the activity of enhancing the products
presentation, support brands, increase store traffic and sales and adds visual excitement,
by having strategic arrangement and illuminated the focal destinations in a store
atmosphere.
Based on Pillai et al (2003), visual merchandising is the presentation of a store and its
merchandise to the customer through the teamwork of the stores advertising, display,
decoration, merchandise arrangement, special events, showroom coordination, and
merchandising departments in order to sell the goods and services offered by the store.
Visual merchandising is becoming more and more important in giving a store
competitive edge, since many stores share merchandise sources and therefore carry
similar items. In other words, good visual merchandising gives the merchant an
invaluable competitive edge as well as defining a stores personality in todays
marketplace (Mills et al, 1995).
Based on Moormann (1995), visual merchandising must attract and hold the passerby
until it can arouse the interest from the customers. If a display is sufficiently surprising
and unusual, a potential customer will view it more closely. Kim (2013) said that visual
merchandising can heighten the store images and increase sales efficiency. In order to
have a good visual merchandising, the retailer must establish a different strategy such as
25

create an enjoyment store atmosphere and organize the merchandise in the store
effectively.
Visual merchandising is integrated with the total planning and operation of a store. In
addition, top level executives such as store planning director and the visual
merchandising director who are the ones that responsible to meet with the corporate
executives of a company to determine such things such as the corporate image, changes
of physical facilities, seasonal projections and various other retailing innovations (Paul
et al, 1995).

2.1.6 Customer experiences


Every business provides a customer experience. That experience may be good, bad or
indifferent. Customer experience can be defined as a sum of all experiences and
perceptions a customer has while purchasing goods or services with a retailer based on
all interactions and thoughts about the business. In other words, it is an individual
experience whether conscious or subconscious while having a transaction in a store
(Gilboa et al, 2003). Customer experience consists of awareness, discovery, attraction,
interaction, purchase, communication, and emotion. When a retailer success to deliver
and create different experience to the customers, the probability for the customer to
spend in the store are high. Besides, experience also can inspire loyalty to the customers
(Richardson, 2010).
Based on SAS Institute (2013), customer experience refers to the practice of designing
and reacting to customer interactions to meet or exceed customer expectations and thus
increase the customer satisfaction, loyalty and advocacy. Good customer experience
management can strengthen the brand and store preference through different
experiences, boost revenue with incremental sales, improved the customer loyalty
through valued and memorable store atmosphere, and also can lower the cost by
reducing dissatisfied customer.

26

Based on Johnston & Kong (2011), customer experience also a phrase used to describe
the relationship a customer has with a business. Customer experience also an integral
part of customer relationship management (CRM), and it is important to company
because customers who have positive experiences tend to become repeat and loyal
customers of a business. Many previous studies stated that whatever the product or
service that a business organization offer to the customer to buy or receive, that
customer will have the experience whether it good, bad or indifferent (Johnston &
Kong, 2011).
There are an issue that companies cannot fully control experiences, because experiences
inevitably involve perception, feeling, emotion, and unexpected behavior from the
customers. According to Yoo, C.J., Park J.H., & Maclnnis D.J. (1998), to deliver
customer experience, the store manager has to know the customer better than ever
before. That means creating and maintaining complete customer profiles that help
managers to understand and measure the customers experience when dealing with a
business transaction. The more relevant the businesss offer, the closer the relationship
between the business and the customer (Yoo et al, 1998).

2.1.7 Customer Behavioral Intention


Customer behavior intention is driven by the combination of attitude toward the
purchase behavior and individuals beliefs and motivations toward the customer
behavior (Burnkrant & Page Jr, 1982). In retail perspective, the intentions usually will
be determined by the customer willingness to stay longer in the store, their willingness
to repurchase in the future and give the other peoples recommendation and good word
of mouth to visit and purchase at the store (Baker et al, 2002).
A model suggested by Mehrabian & Russell (1974), which is the S-O-R model, it is
about the customer behavioral response are from the customers intention to approach
or avoid a certain environment and it is also called as approach-avoidance behaviors.
Approach behavior occur when the customer show a positive response such as willing
27

to stay longer in the store, explore, interact, identify in the environment, having a good
impression on the environment and intend to return and come to feel the environment
again (Han, 2011).
A previous study from Grewal et al (2003), there are important relationship between
store environment cues, store choice criteria and the store patronage intention. As state
by Grewal at al. (2003), they have identified several amount of control over factors that
can contribute to consumers patronage intention. The factors include the social factors,
design factors and also the ambient factors (Grewal, 2003). Store managers can
creatively design the layout of the store and displaying the merchandise in attractive
way to give positive reaction and perception from the customer when being at the retail
store. In addition, the store manager also can enhance the stores atmospherics through
visual communications, lighting, colors and odor (Kouchekian et al, 2012).
Consumer behavior is a study about the way or attitude of the consumer when it comes
to purchase or spending pattern such as how, what, when, and why they buy. It is a
combination from various elements which are psychology, sociology, socio psychology,
anthropology and economics. Besides that, it attempts to understand the consumer
decision making process. The study also includes the consumer characteristics such as
their demographics, psychographics, and behavioral variables in order to understand the
consumers want (Sangvikar & Katole, 2012).
Based on Kang et al (2010), interesting environmental factors such as pleasant
background music, fresh scent, bright light and soft fabrics evoke pleasure and arousal
which is lead to patronage intention. Behavioral intention also includes the consumer
willingness to buy, spending more time and money, revisit intention, having thought to
recommend other peoples and trusting the environment component values (Wakefield &
Brodgett, 1996). Behavioral intention become a strong predictors of actual behaviors
have thoroughly been researched. Based on Kang et al (2010), 45% consumers are
driven to visit a retail store by recommendation by other peoples such as family and
friends.

28

CHAPTER 3: METHODOLOGY

3.0 Introduction
This chapter is focused on the approach of the study. Chapter Three will have discussion on
research design, data and information collection methods, the design of the questionnaire,
sampling design and so forth. On the other hand, the methods of data analysis which
consists of factor analysis, reliability test, descriptive statistics, mean aid on development of
hypotheses for this study.

3.0.1 Research Design


Research design is the important step to gather and analyze the imperative data and assist to
find the location of the study, sample size, population and so on. (Sekaran & Bougie, 2009).
It also includes the identifications of the four independent variables in this research namely
as lighting, background music, colour, and visual merchandising.

3.0.2 Quantitative Design


Quantitative research will be applied based on the nature of study to gather a representative
data from the targeted respondents. To better understand the impact of store atmosphere on
customer experience and behavioral intention through several factors that have been
selected, researchers have often focused on quantitative approaches by (Turley and
Milliman, 2000). It is used to quantify attitudes, opinions, expectations, experience and
behavioral intention of the customers that have been visited to Auto Bavaria. The advantage
of using quantitative research is that it produces reliable data that are usually qualified to
some large population. In this study, online and paper survey are used to collect the data
from the respondents (Wyse, 2011).

29

3.1 Data Collection Methods


In this study, there are two ways in gathering data which is through primary and secondary
data.
3.1.1

Primary Data

According to Naresh (2010, p. 132), primary data will be organized for the specific purpose
of addressing the problem on hand. The primary data that will be used is questionnaire
survey whether by online or manual. While distribute the questionnaire, the researcher need
cooperation and clarification from the respondents. Besides that, primary data refer as first
hand information or data obtained originally by the researcher on the variables of interest
for the specific purpose of the study (Sekaran & Bougie, 2009, p.180). The questionnaires
were distributed to the respondents whom their respond and answers may differentiate on
specific issues regarding to the topic. Questionnaires can be efficient data collection
mechanism of what and how to measure the selected variables. Those questionnaires were
distributed personally to the respondents.

3.1.2

Secondary Data

According to Sekaran & Bougie, (2009, p.184), secondary data refer to information
gathered by other party that already conduct a previous study. It helps researchers to get
better understand and define the problems. To obtain secondary data, the previous
researchers study can be obtained through online journal databases such as ProQuest,
EBSCOhost, Emerald Journal, Malaysian Thesis and other available databases which are
available in Universiti Teknologi MARA (UiTM) online databases. Furthermore, the
relevant articles and other sources through internet and online library are aiding in the
research. It requires inexpensive cost, time consuming and energy to the researcher. The
advance of technology helps a lot in finding resources especially the Internet.

30

3.2 Sampling Design


There are five steps under sampling design which are determining the target population,
setting sampling frame and location, deciding the sampling elements, selecting sampling
techniques and determining the sampling size of respondents.

3.2.1 Target Population


Target population is the group of people where researcher is interested in analyzing to get
relevant information for research purpose. The population refers to the entire group of
people, events, or things of interest that the researcher wishes to investigate. (Sekaran &
Bougie, 2009, p.262). On the other hand, convenience and simple random sampling has
been chosen in order to select the customer in Auto Bavaria Glenmarie which is the
respondents in this study. Convenience sampling a method of finding the data by selecting
people because of the ease of respondent volunteering or selecting units because of their
availability and easy access (Sedgwick, 2013). While simple random sampling is one of the
probability sampling which is randomly selected sample from a larger sample or population
(McCullagh, 2007).

3.2.2 Sampling Frame and Sampling Location


According to Sekaran & Bougie, (2009, p.267), the sampling frame is a (physical)
representation of all elements in the population from which the sample drawn. In this study,
the sampling frame will be the customers that are already made any purchase or the
potential customer at Auto Bavaria Glenmarie. In fact, the sampling location for the survey
is the various sales and customer area in Auto Bavaria Glenmarie such as the sales and
service area of BMW cars, Motorrad (Motorcycle, bike, & scooter), MINI Cooper cars and
after sales areas, parts, accessories and gift areas, customer services department, cars
service and so on . Auto Bavaria Glenmarie, which is a headquarter branch was selected as
the representative of all Auto Bavarias branches (Sg. Besi, Kuala Lumpur, Johor Bahru,
Penang) in Malaysia. Auto Bavaria Glenmarie has the advantage to do the customer survey
31

since it is headquarter, the biggest and also success to attract a lot of customers compared to
other branches. The store is located at Sime Darby Auto Bavaria Sdn Bhd, 3A, Persiaran
Kerjaya, Taman Industrial Park, Section U1, Glenmarie, 40150 Shah Alam, Selangor.

3.2.3 Sampling Elements


The respondents in this study referred to customers who perceived the service at Auto
Bavaria Glenmarie Branch. Total of 170 populations range from 20 to 70 years old were
selected in this study. Besides that, it also includes foreign respondents since Auto
Bavarias market are wide and international. The reason to choose these sampling elements
are because they are the main subject in this research since the research topic is about the
store atmosphere that can be experienced by the customer itself and in fact there are only
few obstacle in language issues since most of the customers understand and using English
very well.

3.2.4 Sampling Technique


In this study, convenience and simple random sampling technique was selected. To assess
customer's perceptions on store atmosphere factors at Auto Bavaria, researcher has to get
organized sampling frame. To accomplish this, researcher will go through companys
customer records and history to identify the customers information such as email, home or
office address (Knottnerus, 2003).
Since the researcher will distribute the questionnaire manually to the respondent,
convenience sampling is the best sampling technique where subjects are selected because of
their convenient accessibility, availability and proximity to the researcher (Crossman, 2013)
Then, researcher has to draw the sample. Decide on the number of respondents researcher
would like to have in the final sample. In this research, researcher want to select 170
respondents to survey and that there were thousands customers over the past 12 months.
Now, to draw the sample, researcher has several options. As stated by Chambers & Skinner,
32

(2003), a mechanical procedure is very feasible, effective and with the development of
inexpensive computers there is a much easier way. Here is a simple procedure that is
especially useful because researcher already have the customers information on the
computer. Many computer programs can generate a series of random numbers. It can be
done through EXCEL spreadsheet. Researcher can use the function =RAND() in formula
text box which is EXCEL's way selecting random sample. Simple random sampling is
simple to accomplish and is easy and a fair way to select a sample, it is reasonable to
generalize the results from the sample back to the population (Knottnerus, 2003).

3.2.5 Sampling size


Before distributing the real questionnaire to the selected respondents, researcher needs to
pre-test the questionnaires to the other people such as friends and family members. It is
important to ensure the respondents understand the questionnaires and to avoid any
misunderstanding issues occur in the future. Researcher distributes 5 questionnaires for this
pre-test (Israel, 2013). Besides, the researcher also conducts a preliminary study which is an
activity of conducting a simple interview about the knowledge of store atmospheric
attributes. The purpose of the interview is to know how far the comprehension knowledge
of the customer regarding to the atmospherics factors and it is important when the
researcher want to construct a questionnaire (Lennora, 2013). If any misunderstanding
about the questions, then researcher need to redo the questionnaire until it suits with the
purposes of the study.
A total of 170 questionnaires were distributed and 156 questionnaires were collected. It
means that, 92% rate of response the researcher success to collect in this survey. Israel
(2009) clarified that factors such as cost are critical in determining sample size. Thus, the
study will only conducted 170 questionnaires because of the limited budget and also
problem of the time constraint.

33

3.3 Research Instrument


Questionnaire survey has been used in this study. Questionnaires are defined as the series of
questions aim to gather prompt and accurate information from respondents. Thus, in order
to perform a good research, a good questionnaire must be designed. Hair, Babin, Money,
and Samouel (2003) mentioned that effectiveness and high response rate are the reasons for
researchers use questionnaire widely to collect primary data if the population of
respondents is well-educated.

3.3.1

Questionnaire Design

There are four basic question-response formats used in order to design a questionnaire
which are open, close-ended, scale-response and opinion type of question. According to
Hair, Bush, and Ortinau (2006), close-ended questions can be defined as a set of answers
that provide by the researcher for the respondent to choose. In this study, researcher decided
to apply close-ended questions because it can save respondents time and effort when
answering the questions. Respondents can easily pick up any answers from the five-point
Likert-type scale. The questionnaire was structured by simple English words and sentence
for the respondents easily understand each of the question ask and thus it will contributing
of getting accurate answer. The questions is direct, not confusing and only consists of one
element in each statement. The researcher attaches the sample of questionnaire in the
Appendix.
In the questionnaire, the respondents will answer some general question provided in the
Section A. While in Section B and C, there are six part of question that consist different
type of variables. The respondent will rate the questions by using five-point Likert-type
scale ranging from 1- strongly disagree to 5- strongly agree. Section D is about
respondents demographic information such as gender, age, nationality, race, academic
qualification, and status of employment. While in Section E, the researcher gives the
opportunity to the respondents to give their comments and opinion about the stores
atmosphere. In Section B, consists of questions that related to four (4) independent
variables tested in this research. The independent variables are lighting, background music,
34

colour and visual merchandising. Lastly, Section C is the questions about the customer
experience and their behavioral intention at Auto Bavaria based on store atmospheric
attributes stated above. All the provided questions are set in multiple choices to facilitate
the researcher get a specific response. The researcher also must be assured that all the
respondents responses and information are private, confidential and undisclosed no matter
any situation happen.

3.4 Constructs Measurement


3.4.1 Scale Definition
Before starting the process of collecting data, the researcher will study carefully which four
(4) types of scale which are nominal, ordinal, interval or ratio will be use in this research
(Stevens, 1946). In this study, the researcher only use nominal and ordinal in Section A and
D. For Section B and C, interval types of ratio are used. Questions in Section B and C are
created to test the independent, moderating and dependent variables.
Nominal scale is the lowest form of measurement among other scale. Usually, researcher
used with variables that are qualitative in nature rather that quantitative. This type of scale
referred as a way of categorical data or grouping behaviour, where the numerals are used
only as labels, type numbers, identifiers, words or letters (Grace, 2012). In addition, a
nominal scale also does not involve with any mathematical attributes of magnitude, equal
interval, or absolute zero point. It merely mutually exclusive categories and often used as
the tool to measures the percentage (Pagano, 2004).
On the other hand, ordinal scale becomes the next higher level of measurement after
nominal scale and actually ordinal scales are more accurate compared to nominal scale. As
a way of quantification, this type of scale was structured by a set of rankings and the
categories of ordinal scale must have a logical or ordered hierarchically to each other which
are the most significant characteristics (Brown, 2011). Based on Cliff & Keats (2003), an
ordinal data can be use as non-parametric statistics which is important to do the correlation
by measuring the association of the variables and it include median, mode, rank order

35

correlation and non parametric analysis of variance. The examples for this type of scale are
the rank of education qualification and the social economic class (low, middle or high).
Interval scale can be referred as a measurement scale of data where the difference between
two values are meaningful and can be quantified (Stevens,1946). According to Price &
Oswald (2006), interval scales also has the same rank characteristic as ordinal scales, but
interval scales show the differences between each data point which mean that the difference
between 1 and 2 on an interval scale is the same as the difference between 4 and 5, or 8 and
9. In interval scale, the research variables and element can be evaluate by those
measurement such as satisfaction, level of agreement, frequency, and subjective perception
of temperature (Kemp et al, 2012). In the perspective of psychology, a respondent will give
a rate to a statement on the Likert scale in which to know the respondents evaluation of
agree-disagree with the statement.

3.4.2 Sources of Measurement


In this questionnaire, there are seven constructs namely lighting, background music, color,
visual merchandising, customer experience and behavioral intention. The scales were
adopted from previous study due to the relevance of literature, context and compatibility
and reliability. The researcher use five-point scale as the response format with assigned
values, ranging from 1- strongly disagrees to 5- strongly agrees.

Table 3.1: Sources of Measurement


No.

Construct

Adapted from

1.

Lighting

Freyssinier, J.P. Frering, D. Taylor, J. Narendran,


N. & Rizzo, P. (2006)
Quartier, K. Christiaans, H. & Van Cleempoel, K.
(2008)
Choong, R.H. Kuang, S.L. Low, B.Y. Yap, S.F
(2011)

36

3.

Background Music

Areni,C.S. & Kim, D. (1994)


Alba, J.W. & Hutchinson, J.W. (1998)
Yalch, R.F. & Spangenberg, E.R. (2000)
Morrison, M (2003)

4.

Color

Singh, S. (2006)
Annemiek, V.E. (2008)
Kumar, I. Garg, R. & Rahman, Z. (2010)
Bellizi, J.A., Crowley, A.E., & Hasty, R.W.
(2001)

5.

Visual Merchandising

Kim, J.S. (2013)


Kouchekian, M. & Gharibpoor, M. (2012)
Pillai, K.R. Iqbal, A. Umer, Maqbool, A. & Sunil,
N (2011)

6.

Customer Experience

Johnston, R. & Kong, X. (2011)


Pantano, E. & Laria, G. (2012)
Yoo, C. Park, J.H. & Maclnnis, D.J. (1998)
Gilboa, S. & Rafaeli, A. (2003)

7.

Customer Behavioral Baker, J. Parasuraman, A. Grewal, D. & Voss,


Intention

G.B. (2003)
Sangvikar, B.V. & Katole, H.J. (2012)
Chen, H.S. & Hsieh, T (2011)
Gillani, F. (2012)
Kang, E. Boger, C.A. & Back, K.J. (2010)

37

3.4.3

The survey instruments

Table 3.2: The Survey Items of Construct


Multi-item of
Scale Measure
Lighting

No. of
Items
5

Sample items

Background
Music

Color

The type of lighting used is compatible with


environment of the store.
The lighting used in the store allows me to
examine the products clearly
The lighting level of brightness makes me
comfortable being in the store.
The lighting used in the store looks exclusive.
The combination of natural lighting in the store
is convenient.
The choices of the music genre are pleasant to
hear.
For me, the volume of the music background is
appropriate.
I really enjoy the rhythm of the music
background in the store.
The tempo of the music background makes me
want to stay longer in the store.
The music background played in the store can
enhance my interest.
Choices of the theme colors at the store
successfully to create attention.
The colors apply in the store shows a trendy
coordination.
The color of the furniture and its fabric also
looks elegance.
For me, the choices of the color combination
create a good emotion.
The color used in the store able to create desires
to purchase.

38

Visual
merchandising

Customer
experience

Customer
Behavioral
Intention

I am satisfied with the merchandise presentation


in the store.
The creative props used in the store give an
inspiring idea to me.
For me, the displays used in the store are very
convincing.
The store decorations also create an evocative
presentation.
The store visual merchandising success to create
confidence in me.
The lighting in the store gives an impact to me.
The background music creates an enormous
experience to me.
The colors in the store also bring a fascinating
experience to me.
The presentation of the visual merchandising
success in creating an impressive experience.
The atmospheric attributes success to create a
positive image in this store.
The atmospheric attributes in the store help me
to make a decision.
The store atmosphere makes me comfort to stay
longer in the store.
The atmospheric factors in this store are
successful in putting trust in me.
I would like to recommend other peoples to buy
their car in this store.
I would like to purchase again in the future.

3.5 Getting the data for analysis


Once researcher gets the data through questionnaires, it will be analyzed, keyed in and
edited (Sekaran & Bougie, 2009, p.306). In order to produce data that have the quality
standard, it will go through several processes. First, the researcher will code the data by
labelling a number to the participants responses for avoid any confusion and then
39

facilitate the researcher to fill up and categorize it in SPSS (Sekaran & Bougie, 2009,
p.306). For example, in Section D, the respondent profile for gender, male will be
coded as 1 and 2 for female. SPSS often used by the government surveyor, health
researchers, university lecturer, corporate and business researcher to assist the
interpretation of data collected (Sekaran & Bougie, 2009, p.308).
The data will go through editing process after coded and filled in the database. For
example, if any blank responses and inconsistently data need to be managed, check and
do follow up. Next, the data will be transformed from the original numerical
representative value to another value. (Sekaran & Bougie, 2009, p.310). So, in order to
avoid problems in the next analysis process, data will be corrected.

3.6 Data analysis


Data analysis is an important step that should be monitored to avoid any error that may
affect the results. The researcher has to determine if the characteristic and quality of
data have been met a standard analysis. Researcher can get the result from SPSS after
key-in and interpret the collected data from the questionnaires and explained by chart or
table (Siers, 2010).

3.6.1 Descriptive Analysis


According to Sekaran & Bougie (2009, p. 105), Descriptive research involves
transformation of raw data into a form that would provide information to describe a set
of factors in a situation. Descriptive study requires a sample of hundreds or thousands
of subjects to generate an accurate relationship between selected variables.
Descriptive statistics are used to explain the basic features of the data and present
quantitative description in a manageable form. The data will be reduced because it
provides simple summaries of sample or measures. Descriptive analysis is useful to
explore and check data before performing statistical test and data interpretation.
Descriptive research is more efficient and able to obtain information with reference to
40

test for hypotheses. Besides that, researchers also can know the research problem and
able to clearly define what should be measured on this research. It includes measures of
frequency, central tendency such as mean, median and mode and measures of dispersion
and variability through standard deviation, variance, kurtosis and skewness (Siers,
2010).
The responses receive from Section A, B, C and D in the questionnaire will be
interpreted by percentage. The central tendency of question in Section A and D
measured through mean, median, mode and standard deviation. Histograms, pie charts,
bar chart and line graph will be used for visually exploring data and statistics (Hon,
2008).
Based on Hon (2008), frequency distribution analysis is a representation of graphical or
tabular format such as pie charts based on the respondents demographic data. In a
period, only one variable is considered for non parametric scale (ordinal, nominal) data
and for example, the percentage of respondents age. From the frequency analysis,
tables of frequency counts, percentages, and cumulative percentages for all the
information regarding to demographic data will be generated by SPSS (Appendix 4.1).

3.6.2 Scale Measurement


3.6.2.1 Reliability Test
In order to avoid any bias and error, reliability test must be measured to get a consistent
result. The reliability of a research can be obtained from Cronbachs alpha. According
to Cavana et al (2001), Cronbachs alpha is useful for the multi-scaled items and able to
determine how well the items in a set are positively correlated to one another. The
coefficient alpha value can range from 0 to 1 and a value less than 0.6 shows
unsatisfactory internal consistency reliability while when the value is closer to 1, the
internal consistent reliability is high (Hair et al., 2006 & Malhotra, 2010).

41

Table 3.3: The Rule of Thumb for Cronbachs Alpha Coefficient Value
Alpha Coefficient Range

Strength of Association

<0.60

Poor

0.60 to <0.70

Moderate

0.70 to <0.80

Good

0.80 to <0.90

Very Good

0.90

Excellent

Source: Hair, J. F., Babin, B. Jr., Money, A. H., & Samouel, P. (2003), Essential of business
research methods, United Stated of America: John Wiley & Sons.

3.6.2.1 Exploratory Factor Analysis


According to Hall (2013), factor analysis is a statistical data reduction and analysis
technique that strives to explain the correlations among multiple variables and
components as the result of one or more underlying explanations or factors. The
technique involves data and variable reduction, as it attempts to represent a set of
variables by a smaller number. Factor Analysis also removes redundancy or duplication
from a set of correlated variables. In this analysis, the researcher will measure the
Kaiser Meyer Olkin (KMO) & Bartletts test, the communalities; total variance
explained that consists of Initial Eigenvalues, Component Matrix and Rotated
Component Matrix.

3.6.3 Inferential Analyses


Normally, inferential analysis used to analyze the parametric scales (Interval, Ratio) and
investigate the relationships between independent variables which are lighting,
background music, color and visual merchandising, customers experience as a
mediating and the dependent variable is customer behavioral intention. All hypotheses
will be tested through inferential analyses is Pearson Correlation (Elst, 2013).

42

3.6.3.1 Pearson Correlation Analysis


Correlation is a statistical analysis to measure the association strength between variables
that have been identified (Malhotra & Peterson, 2006). There must be two results from
correlation coefficient (r) which is magnitude of the linear relationship (-1 to 1) and the
direction of the relationship (- or +). The positive sign of r (+1), means there is positive
correlation between X and Y. When r is negative (-1), it shows negative relationship
between X and Y. While 0 result means there is no relationship between X and Y
(Taylor, 1990).
In Pearson Correlation test, the significance level is 0.05 means 95% of confidence
level. When the significant p-value is less than 0.05, then the hypothesis are accepted
(Malhorta, 2010).

3.6.4 Multiple Regression Analysis


According to Berger (2004), regression analysis is a statistical tool to examine the
relationships between variable while multiple regression is a technique that allows
additional factors to enter the analysis separately so that the effect of each variables can
be estimated. In general, multiple regression is to identify the relationship between one
variable on several other variables by analyzing coefficients for the equation in a
straight line (Faraway, 2002).
There are four questions can be develop in this part, whether the relationship between
the variables are exits or not, and if yes, how strong the relationship; does the
relationship is positively or negatively skewed and what is the proper method to
describe the relationship through the multiple regression analysis (Hair et al., 2006).
Coefficient of Determination (R2) is a vital tool in identifying the degree of linear
correlation of variables in regression analysis. The higher the value of R 2, the model
becomes more useful and it has better variance which is the dependent variables is
explained by the independent variables. Thus, it means that when R2 is high, the impact

43

of store atmospheric attributes on customer experience and purchase decision also high.
The values take between 0-1 (Brown, 2003).
Generally, ANOVA is one of the statistical analysis of the variation present in an
experiment. According to Faraway (2002), ANOVA can be referred as a hypothesistesting technique to test if statically significant differences between means of two or
more groups. For example, in this study, the researcher want to know whether there are
significant between the identified variables which are the atmospheric attributes,
customer experience and the purchase decision. ANOVA can be available at both
parametric and non parametric data. If the significant value is less than or equal to 0.05,
it means that there is a statistically significant difference between the two or more
variables (Taylor, 2011).
Through multiple regression analysis, there are equation can be used in this research to
determine the statistical significance of each variable. Like the analysis, equation is
used to find out the relationship exist between a set of variables.
First Model Equation: Y1= a + bX1 + cX2 + dX3 + eX4 + h
Second Model Equation: Y2 = a + fX5 + h
Based on the above linear equation, there are two model of equation based on variables
selected. In the first model equation, Y1 is the value of customer experience which is
the dependent variable, while a is fixed, constant and equals the value of Y when X1,
X2, X3, X4= 0. X1 is the value for lighting, X2 is the value for background music, X3
is the value for color and the last one is X4 which is the value for visual merchandising.
Then, b, c, d, and e are the slope of regression line. While h is a random term associated
with each of the observation.
On the other hand, for second model equation, it still has the same concept as the first
model. Y2 is the value of customer behavioral intention which is the dependent variable
for the second model. While a is fixed, constant and the value is equal to Y when X5 is
equal to 0. X5 is the value for customer experience. Then f is the slope of regression
line. While h is a random term associated with each of the observation.
44

CHAPTER 4: DATA ANALYSIS & FINDINGS


4.1 Preamble
In this chapter, after a complete 156 questionnaires have been collected, the researcher will do
the data analysis; present the results and having further explanation of the feedback from the
respondent. The researcher will analyze the entire element in the questionnaire such as
demographic profile, the store atmospheric attributes, the customer experience and also the
customer behavioral intention. Those responses will be organized and explained by using the
SPSS 20.0 software. In SPSS, the data will go through several analyses such as the frequency
distribution analysis, central tendencies measurement of construct which is the descriptive
statistics, reliability test, exploratory factor analysis (EFA), inferential analyses which is
Pearson Correlation Analysis, and also the multiple regression analysis. Then, from the result
of doing the analysis, the researcher will know the hypothesis results.

4.2 Demographic Profile


Figure 4.1: The percentage of the respondent based on gender

Gender

36%
Male
Female

64%

Based on the figure above, majority of the surveys respondent are male with 64% while the
remaining with 36% is female. Since it is not about household product, majority of the decision
45

making are made by male. Besides that, compared to female, male are more interested with this
technical product like automotive, gadget, electrical appliances and so on. Details of the result
are shown in Appendix.

Figure 4.2: The information about the age of the respondent

50
45
40

35
30
25
20
Age

15
10
5
0
Less than 25

26-30

31-40

41-50

51-60

The respondent age

61-65

More than
66

Based on figure 4.2, majority of the respondents come from age 41 - 50 years old with 29.5%,
the second highest is age 31 - 40 years old with 26.9%, while 15.4% come from respondent
with the age range from 51 - 60 years old, then 26 - 30 years old with 14.1%, then 7.7% is the
respondent age less than 25 years old, 3.8% of the respondent from at age 61 65 years old and
the last one is 2.6% which is the respondent that age more than 66 years old.
Majority of the respondents are age from 30 50 years old. It is because, at this age most of the
respondent already have their own career and also have a stable financial planning rather than
peoples with age less than 30 years old. For peoples age more than 66 years old, usually they
already have the assets and did not want to burden with loan anymore. Moreover, they have
children to take them anywhere they want to go. Details of the result are shown in Appendix.

46

Figure 4.3: The percentage of the respondents nationality

The Respondent Nationality


4%

Malaysian
Non Malaysian

96%

Figure 4.3 shows that majority with 96% of the respondents is Malaysian and only 4% are Non
Malaysian respondents. The Non Malaysian respondents are Australian, Finnish, American,
and Singaporean. It is not surprises since the surveys are conducted at Auto Bavaria, Malaysia
and Glenmarie are not like Kuala Lumpur which is the place that foreigner prefer more to
stayed and worked. If the survey is conducted at Auto Bavaria Kuala Lumpur, the potential to
get more Non Malaysian respondent are high compared to Auto Bavaria Glenmarie.
Figure 4.4: The percentage of the respondents race

The respondent race


5%
10%
Malay
Chinese
23%

Indian
62%

47

Others

According to the above figure, it shows 61.5% as the majority and it goes to Malay. While
23.1% of the respondents are Chinese, 10.3% of the respondents are Indian while 5.1 % are
others respondent that consists of different races like Sabahan, Sarawakian, Caucasian,
Eurasian, Sikh, and Irish. Glenmarie is under Shah Alam district, most of the Shah Alam
residents are Malay, followed by Chinese and Indian. Details of the result are shown in
Appendix.

Figure 4.5: The percentage of the respondent highest academic qualification

The respondent highest academic


qualification
3%
4%
15%

17%

PHD
Master

Bachelor
Diploma

19%

SPM
42%

Others

Based on figure 4.5, as expected majority of the respondent hold a degree with 42.3%, followed
by diploma holder with 18.6% of them, then 16.7% of the respondents hold for Masters, next is
SPM holder with 15.4%, others with 4.5% and PHD holder only 2.6% among all the
respondents.
Others in the list consist of peoples that take professional certificate such as ACCA, IT, specific
skills, management professional cert and so on. Majority of the Malaysian stop studying until
they receive their first degree and after that they continue their life in working phase. Details of
the result are shown in Appendix.

48

Figure 4.6: The percentage of the respondents employment status

The respondent employment status


The respondent employment status

48.1%

30.1%

5.1%

7.1%

7.70%

Pensioner

Others

1.9%
Government

Semi
Government/
Statutory Body

Self employed/
Businessman

Private Sector

According to figure 4.6, it can be concluded that majority of the respondents with 48.1% comes
from the private sectors. Second highest is 30.1% goes to those who are self employed and also
the businessman. Third fall to others with 7.7%, while 7.1% are pensioner and followed by
semi government or statutory body respondent with 5.1% and the last rank are those from
government with only 1.9%.
Others category comes from various type of respondent such as housewives, students,
unemployed, traveler, freelance, broker and so on. Many of the respondents are working at the
private sector since it gives more rewards and incentives. Some of the private companies
reward their employees based on their performance. For private sectors employees, usually
their bonus and allowance are high compared to those who work at government sectors. Details
of the result are shown in Appendix.

49

Table 4.1 Summary of Demographic Profile


Demographic Profile

Frequency

Percent

Gender
Male

100

64.1

Female

56

35.9

Less than 25 years old

12

7.7

26-30 years old

22

14.1

31-40 years old

42

26.9

41-50 years old

46

29.5

51-60 years old

24

15.4

61-65 years old

3.8

More than 66 years old

2.6

Malaysian

150

96.2

Non-Malaysian

3.8

Malay

96

61.5

Chinese

36

23.1

Indian

16

10.3

Others

5.1

PHD

2.6

Masters

26

16.7

Bachelor

66

42.3

Diploma

29

18.6

Age

Nationality

Race

Highest Academic Qualification

50

SPM

24

15.4

Others

4.5

Government

1.9

Semi Government/ Statutory Body

5.1

Self Employment/ Businessman

47

30.1

Private Sectors

75

48.1

Pensioner

11

7.1

Others

12

7.7

Employment Status

Based on the above summary of respondents demographic profile, majority of respondents are
male with significant percentage of 64.1% compared to the male respondents which only
consist of 35.9%. Then, many respondents fall into the age group between 41-50 years old with
29.5%. Small portion of respondents fall into the age group above 66 years old with only 2.6%.
Besides that, 96.2% of the respondents are Malaysian and only 3.8% of them are Non
Malaysian. By looking at their races, majority of the respondents are Malay which consists of
61.5% followed by Chinese respondents which are 23.1%, 10.3% of the respondents are Indian
and the other races consist of 5.1% which is the lowest percentages of respondents based on
race.
Besides that, most of the respondents hold Bachelors (42.3%) for their highest academic
qualification, second highest academic qualification fall to Diploma holder with 18.6% while
PhD holder only 2.6% of them become the research respondent. Last but not least, for the status
of employment, majority of the respondents come from various private sectors with 48.1%
while the lowest percentages come from the government sectors which are only 1.9%.

51

4.3 General Information


Figure 4.7: The percentage of the respondents first product purchase

First product purchase


First product purchase
63.5%

14.1%

11.5%
5.1%

4.5%

BMW Car

MINI Cooper

Motorrad

BPS

0.6%

0.6%

Parts &
Accessories

Gifts &
Souvenirs

Others

Based on the bar graph in figure 4.7 above, BMW Car achieved the highest product purchase
with majority 63.5%. The second rank goes to MINI Cooper Car with 14.1%, followed by
Motorrod (Motorcycles, Superbike, Scooter) with 11.5%, however 5.1% of the respondents are
not done any purchase or intended to buy, 4.5% are from BPS products which is BMW and
MINI Cooper used car. Last products are Parts & Accessories and Gifts & Souvenirs got the
same result with 0.6% respectively.
From the Auto Bavarias sales report, BMW cars are the main product that the customers
always want to purchase. Usually a family will buy sedan cars which is more comfortable and
can pack it with lot of things rather that small cars like MINI Cooper. For Motorrad, usually
they have special buyer like those peoples that have deep interest and hobby to motorspot.
Even the price are further low than new car, peoples usually want to buy new car rather than
used car as offered by BPS (BMW Premium Selection). It is due to the safety and also the
satisfaction. Details of the result are shown in Appendix.

52

Figure 4.8: The percentage for the respondents second product purchase

Second Product Purchase


Second Product Purchase
68.6%

11.5%
3.2%

5.8%

3.2%

MINI Cooper

Motorrad

BPS

Parts &
Accessories

7.7%

Gifts &
Souvenirs

None

For this survey, BMW car are excluded since it was the main product at Auto Bavaria and the
researcher already calculate for it at the firstplace. Based on the figure 4.8, majority of the
respondent do not have any second product purchase and achieve 68.6%. For example, after the
respondents buy the BMW car, since then they did not buy any other products beside BMW car
at Auto Bavaria.
11.5% of the respondents bought parts and accessories as their second purchase after they buy
the car, while 7.7% of the respondents bought the gifts and souvenirs. After that, the rank
followed by Motorrad with 5.8% among 156 respondents. It means that, the respondents
perhaps have bought two types of product at Auto Bavaria which is the car and motorcycle.
MINI Cooper and BPS shows the same rate which are 3.2% respectively and also the lowest
percentage among the other products. Details of the result are shown in Appendix.

53

Figure 4.9: The percentage of the customers rating whether Auto Bavaria needs atmosphere
changes or not?

Auto Bavaria Changes

Yes

49%
51%

No

Based on the above pie chart, 51% of the respondents said that Auto Bavaria really needs
changes in order to create an appeal store atmosphere, attract the customers attention, being
different and unique and so on. While 49% of the respondents said that there is no need to do
any changes at Auto Bavaria since they are already satisfied and comfortable with store
atmosphere. Details of the result are shown in Appendix.
Figure 4.10: The percentages of the medium that customer knows about Auto Bavaria

How the respondent know about Auto Bavaria (1)


4%
4%
34%
31%

Advertising
Peoples
Internet
Self Awareness

7%

20%

Events
Others

54

Based on the figure 4.10, 34% of the respondents which is the majority know Auto Bavaria
from the advertising like newspaper, magazines and billboard. While 30.8% of the respondents
know Auto Bavaria by themselves since Auto Bavaria already be in the market for more than
20 years old. Moreover, most all of the Auto Bavaria branches are located at strategic locations
and it includes with the Auto Bavaria Glenmarie.
19.9% of the respondents know Auto Bavaria from other peoples such as their own families
and also friends. It is proved that the effectiveness of word of mouth influences are never fails.
Next, internet likes the Auto Bavaria owns websites and BMW (Malaysia) websites are the
next medium that respondents know about Auto Bavaria with 7.7%. Besides that, events and
others medium have the same rate by the respondents which is 3.8% respectively. Details of the
result are shown in Appendix.

Figure 4.11: The percentage of the medium that respondent knows about Auto Bavaria

How the respondent know about Auto Bavaria (2)


19%
37%

Peoples
10%
9%

10%

Internet
Self Awareness
Events

15%

Others
None

Based on the above pie chart, it shows the second analysis that how the respondents know Auto
Bavaria. 36.5% of the respondents do not have their second medium how they know Auto
Bavaria. Most of the respondent that rates this is the customer that self awareness knows about
Auto Bavaria. Second ranks falls to respondent that know Auto Bavaria from the other peoples
such as family and friends with 19.2%. Then, the rank followed by events with 15.4%. Auto
55

Bavaria often involve in exclusive events like LPGA, Monsoon Cup, Sultan Cup and others.
10.3% respondents know Auto Bavaria from Internet, 9.6% of the respondents know Auto
Bavaria from others medium like catalogs, articles, television news and so on. While 9% of the
respondents self awareness know about Auto Bavaria. Since there are two analyses regarding to
the medium of knowing Auto Bavaria, so self awareness become the lowest percentage among
others because it already pick as first medium by the respondents.

4.4 Exploratory Factor Analysis


Table 4.2
KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy.

.887

Approx. Chi-Square
Bartlett's Test of Sphericity

3492.195

df

435

Sig.

.000

Based on the table 4.2 above, it is Kaiser- Meyer- Olkin measure of sampling adequacy and
Bartletts test of sphericity. The KMO statistic measurement is between 0 and 1. Any values
that closed to 0 means that the sum of partial correlations is large relative to the sum of
correlations, indicating diffusion in the pattern of correlations, thus, the value of factor analysis
that closed to 0 is inappropriate. On the other hand, values that near to 1 means that patterns of
correlations are relatively compact and so factor analysis should yield distinct and reliable
factors (Field, 2005)
Since the KMO value in this study is 0.887, it shows a good value, acceptable and also the
researcher should be confident that factor analysis is appropriate for these data. However, for
factor analysis to work the researcher need some relationships between variables and a
significant test tells that the R matrix is not an identity matrix. Then, the researcher must have a
significant value for this study. Bartletts measure tests are highly significant since p is 0.000
and it means that the factor analysis is appropriate.
56

Total Variance Explained


Component

Initial Eigenvalues

Total

% of

Cumulative

Variance

(%)

11.785

39.282

2.696

8.987

48.268

2.176

7.254

1.899

Extraction Sums of Squared

Rotation Sums of Squared

Loadings

Loadings

Total

% of

Cumulative

Variance

(%)

39.282 11.785

Total

% of

Cumulative

Variance

(%)

39.282

39.282

3.896

12.985

12.985

2.696

8.987

48.268

3.873

12.909

25.895

55.523

2.176

7.254

55.523

3.628

12.092

37.987

6.330

61.853

1.899

6.330

61.853

3.426

11.418

49.406

1.820

6.067

67.921

1.820

6.067

67.921

3.410

11.367

60.773

1.208

4.027

71.947

1.208

4.027

71.947

3.352

11.174

71.947

.918

3.061

75.008

.782

2.607

77.615

.654

2.180

79.795

10

.598

1.993

81.789

11

.553

1.842

83.631

12

.514

1.712

85.343

13

.475

1.585

86.927

14

.409

1.363

88.291

15

.383

1.278

89.568

16

.355

1.184

90.753

17

.343

1.143

91.896

18

.297

.990

92.886

19

.287

.958

93.844

20

.246

.821

94.665

21

.226

.755

95.420

22

.215

.716

96.136

23

.203

.676

96.812

24

.189

.630

97.442

25

.182

.607

98.048

26

.152

.507

98.555

27

.131

.435

98.990

28

.109

.363

99.353

29

.103

.345

99.698

30

.091

.302

100.000

Extraction Method: Principal Component Analysis.

Table 4.3

57

In table 4.3 shows all the factors extractable from the analysis along with their eigenvalues, the
% of variance attributable to each factor, and the cumulative variance of the factor and the
previous factors. Before extraction, SPSS has identified 30 linear components within the data
set. In the initial Eigenvalues there are first six components are meaningful as they have
Eigenvalues > 1. Components 1, 2, 3, 4, 5 and 6 explain 39.282%, 8.987%, 7.254%, 6.330%,
6.067% and 4.027% of the variance respectively with a cumulative total of 71.947% which is
acceptable. All the remaining components are not significant since less than 1.

Table 4.4: Rotated Component Matrix


Items

VM3

0.800

VM1

0.791

VM2

0.780

VM4

0.742

VM5

0.714

M4

0.832

M3

0.794

M5

0.777

M2

0.736

M1

0.692

C3

0.801

C2

0.754

C1

0.736

C4

0.699

C5

0.589

L2

0.852

L1

0.49

L3

0.827

L5

0.707

L4

0.578
58

CBI5

0.836

CBI4

0.820

CBI3

0.701

CBI1

0.644

CBI2

0.622

CE3

0.781

CE4

0.745

CE5

0.716

CE1

0.677

CE2

0.670
11.785

2.696

2.176

1.899

1.820

1.208

Cumulative 39.282

8.987

7.254

6.330

6.067

4.027

Eigenvalue
% of
explained
variance

Based on table 4.4 above, it is a table of rotated component (factor) matrix which is a matrix of
the factor loadings for each variable onto each factor. This rotation is to reduce the number
factors on which variables under investigation have high loadings. Rotation does not actually
change anything but makes the interpretation of the analysis become easier by clicking
suppression of loading less than 0.5 and sorted the variable by size at SPSS (Zikmund, 2003).
According to Hair et al (2006), factor loading that has value more than 0.5 were considered as
acceptable and as we can see at the table above, all components have higher factor loading and
(>0.5). Therefore, these factors can be used as variables and test the hypotheses for further
analysis. According to the analysis, visual merchandising loaded on component 1, background
music in the component 2, color in the component 3, lighting in the fourth component,
customer behavioral intention in component 5 and the last one is customer experience which is
in component 6.

59

4.5 Reliability Test


The following table shows the summary of reliability statistics for the first model includes four
independent variables which are lighting, background music, color and the visual
merchandising and one dependent variable which is customer experience. While in the second
model, customers experience becomes the independent variable while the customer behavioral
intention as the dependent variable. This reliability test will includes all items in each variable.
Table 4.5: Summary of Reliability Analysis
Number of Items

Cronbachs Alpha

1. Lighting

0.868

2. Background Music

0.897

3. Color

0.864

4. Visual Merchandising

0.917

Customer Experience

0.878

Customer Behavioral Intention

0.887

Construct

Store Atmospheric Attributes

Based on Table 4.5, the Cronbachs alpha value for lighting with five items is 0.868, while
background music also with five items is 0.897, color with five items is 0.864, visual
merchandising also have five items have 0.917 for the Cronbachs Alpha value, then customer
experience shows 0.878 and at last for the customer behavioral intention also have five items
got 0.887 for Cronbachs Alpha value. By referring to Table 4.2, all Cronbachs alpha values
for each constructs are more than 0.600. Thus, it can be concluded that all items for each
construct in this research are in the range of good and very good which shows high stability,
consistent results and also in the satisfactory level. Details of the result are shown in Appendix.

60

4.6 The Central Tendencies Measurement of Construct


4.6.1 Lighting
Table 4.6: Summary of Central Tendency for Lighting
No.

Description

Mean

1.

The type of lighting used is


compatible with environment of the
store.
The lighting used in the store allows
me to examine the products clearly.
The lighting level of brightness
makes me comfortable being in the
store.
The lighting used in the store looks
exclusive.
The combination of natural lighting
in the store is convenient.

2.
3.

4.
5.

Skewness

Kurtosis

3.87

Standard
Deviation
0.737

-0.370

0.070

3.91

0.694

-0.230

-0.055

3.94

0.793

-0.751

1.376

3.56

0.952

-0.326

0.140

3.87

0.809

-0.576

0.856

Table 4.6 demonstrates five statements for lighting. The lighting level of brightness makes me
comfortable being in the store scores the highest mean which is 3.94; while The lighting used
in the store looks exclusive scores the lowest mean which is 3.56.
For the standard deviation, The lighting used in the store looks exclusive scores the highest
standard deviation with 0.952; a higher standard deviation means that the data will be spread
much more and not too accurate. While The lighting used in the store allows me to examine
the products clearly scores the lowest standard deviation with 0.782. A low standard deviation
means the data is packed closer together which is more clustered, accurate and useful.
All of the lighting statements are negative skewness which is less than 0. It means for left
skewed distribution. When the skewness is equal to zero means the distribution is symmetrical
around the mean. For the kurtosis, all of the statements are positive except for the second
statement which is The lighting used in the store allows me to examine the products clearly.
Positive kurtosis means the distributions for the statements is more peaked than a normal
distribution. Details of the result are shown in Appendix.
61

4.6.2 Background Music


Table 4.7: Summary of Central Tendency for Background Music
No.

Descriptions

Mean

1.

The background music genres are


pleasant to hear.
For me, the volume of the
background music is appropriate.
I really enjoy the rhythm of the
background music in the store.
The tempo of the background
music makes me want to stay
longer in the store.
The background music played in
the store can enhance my interest.

2.
3.
4.

5.

Skewness

Kurtosis

3.66

Standard
Deviation
0.987

-0.741

0.575

3.66

1.013

-0.936

0.654

3.53

0.947

-0.583

-0.028

3.33

0.986

-0.385

-0.015

3.23

1.065

-0.312

-0.425

Table 4.7 demonstrates five statements for music background. The background music genre
are pleasant to hear and For me, the volume of the background music is appropriate both
have the same mean value and also scores the highest mean 3.66 respectively; while The
background music played in the store can enhance my interest scores the lowest mean 3.23.
For the standard deviation, The background music played in the store can enhance my
interest scores the highest standard deviation which is 1.065; a higher standard deviation
means that the data will be spread much more and not too accurate. While I really enjoy the
rhythm of the background music in the store scores the lowest standard deviation with 0.947.
A low standard deviation means the data is packed closer together which is more clustered,
accurate and useful.
All of the background music statements are negative skewness which is less than 0. It means
for left skewed distribution. For the kurtosis, there are three statements are positive while for
the first and second statement which is The background music genres are pleasant to hear and
For me, the volume of the background music is appropriate is negative. Negative kurtosis
indicates a flat distribution. Positive kurtosis means the distributions for the statements is more
peaked than a normal distribution. Details of the result are shown in Appendix.
62

4.6.3 Color
Table 4.8: Summary of Central Tendency for Color
No.

Items

Mean

1.

Choices of the theme colors at the


store successfully to create attention.
The colors apply in the store shows a
trendy coordination.
The color of the furniture and its
fabric looks elegance.
For me, the choices of the color
combination create a good emotion.
The color used in the store able to
create desires to purchase.

2.
3.
4.
5.

Skewness

Kurtosis

3.62

Standard
Deviation
0.911

-0.523

0.149

3.59

0.950

-0.422

0.025

3.58

0.930

-0.393

0.142

3.70

0.815

-0.554

0.666

3.31

0.976

-0.246

-0.57

Table 4.8 demonstrates five statements for stores color. For me, the choices of the color
combination create a good emotion scores the highest mean which is 3.70; while The color
used in the store able to create desires to purchase scores the lowest mean 3.31.
For the standard deviation, The color used in the store able to create desires to purchase
scores the highest standard deviation which is 0.976; a higher standard deviation means that the
data will be spread much more and not too accurate. While For me, the choices of the color
combination create a good emotion scores the lowest standard deviation with 0.815. A low
standard deviation means the data is packed closer together which is more clustered, accurate
and useful.
All of the color statements are negative skewness which is less than 0. It means for left skewed
distribution. For the kurtosis, there are four of the statements are shows positive values while
the last statement which is The color used in the store able to create desires to purchase is in
negative value. Negative kurtosis indicates a flat distribution. Positive kurtosis means the
distributions for the statements is more peaked than a normal distribution. Details of the result
are shown in Appendix.

63

4.6.4 Visual Merchandising


Table 4.9: Summary of Central Tendency for Visual Merchandising
No.

Descriptions

Mean

1.

I am satisfied with the merchandise


presentation in the store.
The creative props used in the store
give an inspiring idea to me.
For me, the displays used in the
store are very convincing.
The store decorations also create an
evocative presentation.
The store visual merchandising
success to create confidence in me.

2.
3.
4.
5.

Skewness

Kurtosis

3.46

Standard
Deviation
1.031

-0.557

-0.086

3.33

0.939

-0.288

0.060

3.53

0.987

-0.440

-0.117

3.57

0.984

-0.240

-0.609

3.63

0.917

-0.512

-0.112

Table 4.9 demonstrates five statements for stores visual merchandising. The store visual
merchandising success to create confidence in me scores the highest mean which is 3.63;
while The creative props used in the store give an inspiring idea to me scores the lowest
mean 3.33.
For the standard deviation, I am satisfied with the merchandise presentation in the store
scores the highest standard deviation which is 1.031; a higher standard deviation means that the
data will be spread much more and not too accurate. While The store visual merchandising
success to create confidence in me scores the lowest standard deviation with 0.917. A low
standard deviation means the data is packed closer together which is more clustered, accurate
and useful.
All of the visual merchandising statements are negative skewness which is less than 0. It means
for left skewed distribution. For the kurtosis, there are four of the statements are shows positive
values while the second statement which is The creative props used in the store give an
inspiring idea to me is in negative value. Negative kurtosis indicates a flat distribution.
Positive kurtosis means the distributions for the statements is more peaked than a normal
distribution. Details of the result are shown in Appendix.

64

4.6.5 Customer Experience


Table 4.10: Summary of Central Tendency for Customer Experience
No.

Items

Mean

1.

The lighting in the store gives an


impact to me.
The background music creates an
enormous experience to me.
The colors in the store also bring a
fascinating experience to me.
The presentation of the visual
merchandising successful in
creating an impressive experience.
The atmospheric attributes success
to create a positive image in this
store.

2.
3.
4.

5.

Skewness

Kurtosis

3.36

Standard
Deviation
0.795

0.044

0.352

3.37

0.888

-0.397

0.271

3.47

0.876

-0.485

0.622

3.52

0.905

-0.428

0.233

3.71

0.865

-0.372

0.143

Table 4.10 demonstrates five statements of customer experience. The atmospheric attributes
success to create a positive image in this store scores the highest mean which is 3.71; while
The lighting in the store gives an impact to me scores the lowest mean 3.36.
For the standard deviation, The presentation of the visual merchandising successful in creating
an impressive experience scores the highest standard deviation which is 0.905; a higher
standard deviation means that the data will be spread much more and not too accurate. While
The lighting in the store gives an impact to me scores the lowest standard deviation with
0.795. A low standard deviation means the data is packed closer together which is more
clustered, accurate and useful.
All of the customer experience statements are negative skewness which is less than 0 except for
the first statement which is The lighting in the store gives an impact to me is show positive
value. Positive skewness means it has right skewed distribution while for the negative skewness
it means for left skewed distribution. For the kurtosis, all of the statements are shows positive
values. Positive kurtosis means the distributions for the statements is more peaked than a
normal distribution. Details of the result are shown in Appendix.

65

4.6.6 Customer Behavioral Intention


Table 4.11: Summary of Central Tendency for Customer Behavioral Intention
No.

Items

Mean

1.

The atmospheric attributes in the


store help me to make a decision.
The store atmosphere makes me
comfort to stay longer in the store.
The atmospheric factors in this
store are successful in putting trust
in me.
I would like to recommend other
peoples to come and buy product or
service from this store.
I would like to purchase again in
the future.

2.
3.

4.

5.

Skewness

Kurtosis

3.32

Standard
Deviation
0.858

-0.298

0.202

3.47

0.876

-0.388

0.100

3.51

0.891

-0.649

0.598

3.75

0.808

-0.255

-0.359

3.72

0.891

-0.424

-0.219

Table 4.11 demonstrates five statements for the customer behavioral intention. I would like to
recommend other peoples to come and buy product or service from this store scores the
highest mean which is 3.75; while The atmospheric attributes in the store help me to make a
decision scores the lowest mean 3.32.
For the standard deviation, there are two statements which are The atmospheric factors in this
store are successful in putting trust in me and I would like to purchase again in the future
scores the highest standard deviation which both of the statements got 0.891; a higher standard
deviation means that the data will be spread much more and not too accurate. While I would
like to recommend other peoples to come and buy product or service from this store scores the
lowest standard deviation with 0.808. A low standard deviation means the data is packed closer
together which is more clustered, accurate and useful.
All of the customer behavioral intention statements are negative skewness which is less than 0.
It means for left skewed distribution. For the kurtosis, only two of the statements are shows
negative values which are I would like to recommend other peoples to come and buy product
or service from this store and I would like to purchase again in the future while the others
statements is in positive value. Negative kurtosis indicates a flat distribution. Positive kurtosis
66

means the distributions for the statements is more peaked than a normal distribution. Details of
the result are shown in Appendix.

4.7 Correlation Matrix


First Model
Table 4.12: The Correlations between the Store Atmospheric Attributes and the Customers
Experiences
Correlations
Lighting
Pearson Correlation
Lighting

Sig. (2-tailed)
N
Pearson Correlation

Music

Experience

.372**

.391**

.000

.000

.000

.000

156

156

156

156

.510**

.377**

.505**

.000

.000

.000

156

156

156

.557**

.440**

.000

.000

156

156

.398**

.510**

Sig. (2-tailed)

.000

.000

156

156

156

156

156

.372**

.377**

.557**

.596**

Sig. (2-tailed)

.000

.000

.000

156

156

156

156

156

.391**

.505**

.440**

.596**

Sig. (2-tailed)

.000

.000

.000

.000

156

156

156

156

Pearson Correlation
Experience

.464**

Merchandising

.398**

.000

Pearson Correlation
Merchandising

156

Colour

.464**

Sig. (2-tailed)

Pearson Correlation
Colour

Music

.000

156

**. Correlation is significant at the 0.01 level (2-tailed).

The researcher used the Pearson Correlation Matrix to indicate whether there are positive or
negative relationships between those variables. Positive value indicates positive relationship
while negative value indicates negative relationship. When the correlation values are close to -1
or +1, then the variables will more near to the perfect linear relationship. 0.7 1.0 shows a
strong relationship, 0.5 0.7 shows a moderate relationship, 0.3 0.5 shows weak relationship
and below 0.3 means there is little or no relationship between the variables.
67

According to Table 4.12, visual merchandising has the strongest positive association with the
dependent variable, customer experience which is r = 0.596. Then, it is followed by the positive
correlation between background music and customer purchase decision with r = 0.505. The
weakest level of positive association is between store lighting and customer experience with r =
0.391.

Second Model
Table 4.13: Correlation between Customers Experiences and their Behavioral Intention
Correlations
Experience
Pearson Correlation
Experience

Sig. (2-tailed)

.506**
.000

N
Pearson Correlation
Behavioral

Behavioral

156

156

.506**

Sig. (2-tailed)

.000

156

156

**. Correlation is significant at the 0.01 level (2-tailed).

From the result in table 4.13, for the second model, it shows that there is a moderate positive
association between the customer experience and customer behavioral intention. The
significant value is r = 0.506. So, it can be said that if the customer experience level increase,
then the customer behavioral intention also will increase with 50.6%.

68

Table 4.14: The Correlation between the Customers Experiences and the Behavioral
Intention (The store atmosphere helps me to make a decision)
Correlations
Experience

The atmosphere
help in make
decision

Pearson Correlation
Experience

.425**

Sig. (2-tailed)

.000

N
Pearson Correlation
The atmosphere help in make
decision

156

156

.425**

Sig. (2-tailed)

.000

156

156

**. Correlation is significant at the 0.01 level (2-tailed).

From the result in table 4.14, the researcher do a further description and analysis for second
model at each of the element been test, it shows that there is a moderate positive association
between the customer experience and customer behavioral intention (The store atmosphere help
the customer in make decision). The significant value is r = 0.425. So, it can be said that if the
customer experience level increase, then the customer can make decision with the help of store
atmosphere also will increase with 42.5%.

Table 4.15: The Correlation between the Customers Experiences and the behavioral
intention (The store atmosphere makes me comfort to stay longer in the store)
Correlations
Experience

The atmosphere
comfort to stay
long

Pearson Correlation
Experience

Sig. (2-tailed)
N
Pearson Correlation

The atmosphere comfort to stay


long

.000
156

156

.538**

Sig. (2-tailed)

.000

156

**. Correlation is significant at the 0.01 level (2-tailed).

69

.538**

156

From the result in table 4.15, it shows that there is a moderate positive association between the
customer experience and customer behavioral intention (The store atmosphere makes customer
comfort to stay longer in the store). The significant value is r = 0.538. So, it can be said that if
the customer experience level increase, then the customer behavioral intention (The store
atmosphere makes customer comfort to stay longer in the store) also will increase with 53.8%.

Table 4.16: The Correlation between the Customers Experiences and the Behavioral
Intention (The atmospheric factors in this store are successful in putting trust in me)
Correlations
Experience

The atmosphere
success put trust

Pearson Correlation
Experience

Sig. (2-tailed)
N
Pearson Correlation

The atmosphere success put


trust

.504**
.000

156

156

.504**

Sig. (2-tailed)

.000

156

156

**. Correlation is significant at the 0.01 level (2-tailed).

From the result in table 4.16, it shows that there is a moderate positive association between the
customer experience and customer behavioral intention (The store atmosphere successful in
putting trust to the customers). The significant value is r = 0.504. So, it can be said that if the
customer experience level increase, then the customer behavioral intention (The store
atmosphere successful in putting trust to the customers) also will increase with 50.4%.

70

Table 4.17: The Correlation between the Customers Experiences and the Behavioral
Intention (I would like to recommend other peoples to come and buy product/services
from this store)
Correlations
Experience

Recommend to
other peoples to
come and buy

Pearson Correlation
Experience

Sig. (2-tailed)
N
Pearson Correlation

Recommend to other peoples to


come and buy

.376**

.000
156

156

.376**

Sig. (2-tailed)

.000

156

156

**. Correlation is significant at the 0.01 level (2-tailed).

From the result in table 4.17, it shows that there is a weak positive association between the
customer experience and customer behavioral intention (The customers will recommend other
peoples to come and buy products at auto Bavaria). The significant value is r = 0.376. So, it can
be said that if the customer experience level increase, then the customer behavioral intention
(The customers will recommend other peoples to come and buy products at auto Bavaria) also
will increase with 37.6%.
Table 4.18: The Correlation between the Customers Experiences and the Behavioral
Intention (I would like to purchase again in the future)
Correlations
Experience

Purchase again in
the future

Pearson Correlation
Experience

Sig. (2-tailed)
N
Pearson Correlation

Purchase again in the future

.001
156

156

.253**

Sig. (2-tailed)

.001

156

**. Correlation is significant at the 0.01 level (2-tailed).

71

.253**

156

From the result in table 4.18, it shows that there is only small value of positive association
between the customer experience and customer behavioral intention (The customers will
purchase again at Auto Bavaria in the future). The significant value is r = 0.253. So, it can be
said that if the customer experience level increase, then the customer behavioral intention (The
customers will purchase again at Auto Bavaria in the future) also will increase only with
25.3%.

4.8 Multiple Regression Analysis


First Model: The relationship between the four factors of store atmosphere and the
experience perceived by the customers
Table 4.19: Multiple Regression Analysis; Model Summary (First Model)

Model

R Square

.673a

Adjusted R

Std. Error of the

Square

Estimate

.452

.438

2.66350

a. Predictors: (Constant), Merchandising, Lighting, Music, Colour

In the model summary above, it shows the list of the predictors which all are independent
variables for store atmospheric attributes. The R square shows 0.452 in value and it means that
45.2% of the variance in the customer experience was been significantly explained by the four
independent variables (lighting, music background, color and visual merchandising). The
remaining percent were explained by other factors.

Table 4.20: ANOVA (First Model)


Model

Sum of Squares
Regression

df

Mean Square

884.850

221.212

Residual

1071.227

151

7.094

Total

1956.077

155

a. Dependent Variable: Experience


b. Predictors: (Constant), Merchandising, Lighting, Music, Colour

72

F
31.182

Sig.
.000b

Based on table 4.20, the researcher find that the p value is 0.000 < 0.05, therefore it proved that
there is significant relationship between the selected store atmosphere attributes which is the
independent variables and also with the customer experience which is the dependent variable.

Table 4.21: Coefficients (First Model)


Model

Unstandardized Coefficients

Standardized

Sig.

Coefficients
B
(Constant)

Std. Error
4.583

1.422

Lighting

.093

.077

Music

.247

Colour
Merchandising

Beta
3.223

.002

.085

1.203

.231

.063

.292

3.929

.000

.006

.076

.006

.079

.937

.380

.062

.451

6.084

.000

a. Dependent Variable: Experience

Table 4.21 shows the findings of which among the four independent variables most influenced
to the customer experience. It shows that there were two independent variables that have below
0.05 significant levels, (95% confidence level).
The relationship between lighting and customer experience was not significant since the p
value is 0.231 and it is more than alpha value, 0.05. It shows that lighting is not significant
relationship with customer experience. Standardized coefficient beta for lighting was 0.085.
Therefore, the H2: There is significant relationship between lighting and customer
experiences in Auto Bavaria, Glenmarie is rejected
The relationship between background music and customer experience was significant at 0.000.
It shows that background music have significant relationship with customer experience.
Standardized coefficient beta for background music was 0.292. Therefore, the H2: There is a
significant relationship between background music and customer experiences in Auto
Bavaria, Glenmarie is accepted
73

The relationship between color and customer experience was not significant since the p value,
0.937 which is more than alpha value 0.05. It shows that color is not significant relationship
with customer experience. Standardized coefficient beta for lighting was 0.006. Therefore, the
H2: There is significant relationship between color and customer experiences in Auto
Bavaria, Glenmarie is rejected

The relationship between visual merchandising and customer experience was significant at
0.000. It shows that visual merchandising have significant relationship with customer
experience. Standardized coefficient beta for music background was 0.451. Therefore, the H4:
There is a significant relationship between store visual merchandising and customer
experiences in Auto Bavaria, Glenmarie is accepted

Second Model: The relationship between the customers experiences and their behavioral intention

Table 4.22: Model Summary (Second Model)


Model

R Square

.506a

.256

Adjusted R

Std. Error of the

Square

Estimate
.251

3.10633

a. Predictors: (Constant), Experience

The regression analysis also conducted to test the second model which is the relationship
between the customer experience and customer behavioral intention. In the model summary
above, it shows the predictor, Customer experience as the independent variable. The R square
shows 0.256 in value and it means that 25.6% of the variance in the customer behavioral
intention was been significantly explained by customer experience. Thus, the remaining percent
which is 74.4% were explained by other factors.

74

Table 4.23
ANOVAa
Model

Sum of Squares
Regression

df

Mean Square

510.598

510.598

Residual

1485.991

154

9.649

Total

1996.590

155

Sig.

52.916

.000b

a. Dependent Variable: Intention


b. Predictors: (Constant), Experience

Based on table 4.23, the researcher has find that the p value is 0.000 < 0.05, therefore it proved
that there is significant relationship between the customer experience which is the independent
variables and also with the customer behavioral intention which is the dependent variable.

Table 4.24
Coefficientsa
Model

Unstandardized Coefficients

Standardized

Sig.

Coefficients
B

Std. Error

(Constant)

8.880

1.249

Experience

.511

.070

Beta
7.112

.000

7.274

.000

1
.506

a. Dependent Variable: Intention

The relationship between customer experience and customer behavioral intention was
significant at 0.000. It shows that customer experience have significant relationship with
customer behavioral intention. Standardized coefficient beta for music background was 0.506.
Therefore, the H5: There is a significant relationship between the customers experience and
behavioral intention at Auto Bavaria, Glenmarie is accepted.

75

Table 4.25: Summary of hypotheses result for store atmospheric attributes and customer
experience (First Model)
No of
hypothesis
1.

Hypotheses

Result

There is a significant relationship between store


lighting, and customer experience in Auto
Bavaria, Glenmarie

Rejected

2.

There is a significant relationship between


background music and customer experiences in
Auto Bavaria, Glenmarie.

Accepted

3.

There is a significant relationship between


colors and customer experiences in Auto
Bavaria, Glenmarie

Rejected

4.

There is a significant relationship between store


visual merchandising and customer experiences
in Auto Bavaria, Glenmarie

Accepted

Table 4.26: Summary of hypothesis result for customer experience and the customer behavioral
intention (Second Model)
No of
hypothesis
5.

Hypothesis

Result

There is a significant relationship between the


customers experience and behavioral intention
at Auto Bavaria, Glenmarie.

Accepted

4.9 Multiple Regression Equation

First Model
R2 for the first model is 0.452 which means that 45.2% of the variation in the dependent
variable customer experience can be explained by four independent variables (lighting,
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background music, color and visual merchandising). F value for this model is 31.182 together
with 0.000 of significance level. According to the linear equation of this study, lighting,
background music, color and visual merchandising have significant positive relationship with
customer experience.

An equation is formed for this study:

CE = 4.583 + 0.093L + 0.247BM + 0.006C + 0.380M

Second Model
R2 for the first model is 0.256 which means that 25.6% of the variation in the dependent
variable which is the customer behavioral intention can be explained by an independent
variable which is the customer experience. F value in this second model is 52.916 and 0.000
significance level as stated at the table 4.20. According to the linear equation of this study,
customer experiences have significant positive relationship with customer purchase decision.

An equation is formed for this study:


CBI = 8.880 + 0.511CE

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CHAPTER 5: RECOMMENDATIONS AND CONCLUSIONS

5.0 Preamble
In this chapter the researcher will discuss the summary of the identified issues and major
findings based on the hypotheses, and from the discussion, researcher will clarify on the
implication of the study regarding to the all (4) four atmosphere attributes and draw conclusion.
Besides that, the researcher also provides several recommendations for Auto Bavarias perusal
and also the direction of the future research.

5.1 Discussion
This chapter highlights discussion of research findings based on the identified research
questions, hypotheses, and also the research objectives.

5.1.1 Lighting
First objective that will be discussed is to determine the relationship between the lighting used
in Auto Bavaria and the customer experiences throughout their visit in this store. Based on the
reliability test, with five numbers of items, lighting achieves 0.868 for the Cronbachs Alpha
value. It was above the satisfactory level. While based on the multiple regression models,
lighting significant value is 0.231 that is above p > 0.05 and the researcher need to accept the
null hypothesis which is the lighting as independent variables is not a significant predictor of
the dependent variable, the customer experience. For Pearson Correlation analysis, the
correlation is 0.391 which is positive and it means that it has weak level of association between
lighting and the customer experience. While positive value means that when the lighting at
Auto Bavaria give more satisfaction to the customers which is the value of the variable
increase, it also will increase 39.1% the perceived experience from the customers.

78

5.1.2

Background Music

Second objectives need to be discuss is to highlight the significant impact of background


music choice towards the customer experiences in Auto Bavaria Based on the reliability test,
same with the lighting, background music also have five numbers of items, the reliability test
achieves for the background music is 0.897. It was above the satisfactory level. While based on
the multiple regression analysis, the significant value for background music is 0.00 that was
below p < 0.05 and the researcher can reject the null hypothesis because the background music
as independent variables is a significant predictor for the dependent variable, which is the
customer experience. For Pearson Correlation analysis, the correlation is 0.505 which is in
moderate strong association with the dependent variables, customer experience. It is also
having positive value and it means that when the background music at Auto Bavaria gives more
satisfaction to the customer which is the value of the variables increase, it also will increase
50.5% the perceived experience to the customers.

5.1.3 Colour
While the third objective that need to be explained is to prove the significant relationship of
colour adaptation used in Auto Bavaria and the experiences perceived by the customer. Based
on the reliability test, colours also have five numbers of items and the value of Cronbachs
Alpha for this attributes is 0.864. It also was above the satisfactory level. While based on the
multiple regression analysis, the significant value for colour is 0.937 that which is above p >
0.05 and the researcher need to accept the null hypothesis which is the colour as independent
variables is not a significant predictor for the dependent variable, which is the customer
experience. On the other hand, based on Pearson Correlation analysis, the reading shows 0.440
which is positive in value and it means that when the stores colour at Auto Bavaria give
satisfaction to the customers which is the value of the variable increase, it also will increase
44% the perceived experience to the customers. Besides that it is also has moderate strong
association between colour and the customer experience.

79

5.1.4 Visual Merchandising


Fourth, the objective of the study is to explore the relationship between the store visual
merchandising and the experience acquired by the customer in Auto Bavaria. Based on the
reliability test, visual merchandising also has five numbers of items to be tested. Visual
merchandising becomes the most stable and consistent item among the other item since the
Cronbachs Alpha value is 0.917. It is also at the above satisfactory level. While based on the
multiple regression analysis, the significant value for visual merchandising is 0.00 same as the
music background significant value. That was below p < 0.05 and the researcher can reject the
null hypothesis since the visual merchandising which is the independent variables is a
significant predictor for the dependent variable, the customer experience. For Pearson
Correlation analysis, the correlation is 0.596 which is in positive value and it means that when
visual merchandising at Auto Bavaria success in giving satisfaction to the customers, it also
will increase 59.6% the perceived experience to the customers. Besides that, visual
merchandising also has the strongest association among the other attributes to the customer
experience.

5.1.5 Customers Experience & Behavioral Intention & The Best Atmospheric Factors
For the fifth objective need to be analysed is to know the relationship between customers
experience and their behavioral intention at Auto Bavaria. Based on the reliability test, same
with the other store atmospheric attributes, customer experience and behavioral intention also
have five numbers of items, the reliability test achieves for the customer experience is 0.878
while the value of Cronbachs Alpha for customer behavioral intention is 0.887. Both were
above the satisfactory level. While based on the multiple regression analysis, the significant
value for customer experience is 0.00 that was below p < 0.05 and the researcher can reject the
null hypothesis because the customer experience as the independent variables is a significant
predictor for the dependent variable, which is the customer behavioral intention. For Pearson
Correlation analysis, the correlation is 0.506 which is in positive value and it means that when
the customer perceived more positive experience at Auto Bavaria which is the value of the
variables increase, it also will increase 50.6% the value of the customer behavioral intention.
80

Besides that, it is also has strong association between customer experience and the customer
behavioral intention.

Lastly the sixth objective is to identify which atmospheric factors that Auto Bavaria has
performed the best based on the customers evaluation from the questionnaire. Based on the
reliability test, visual merchandising has the most stable Cronbachs Alpha value among the
other attributes. While based on the multiple regression analysis at standardized coefficients
(Beta), visual merchandising was the strongest attributes that influence the customer experience
which is 0.451. For the Pearson Correlation Analysis, visual merchandising also has best value
which is 0.596 which is the nearest value to 1. By the way, if the researcher calculate manually
(based on the customers perspectives) the attributes that have the most level of agreement
based on the customers evaluation at the questionnaire is lighting which is 70%.

5.2 Conclusions
As a conclusion, the aim of this study is to investigate the relationship between store
atmospheric attributes, customer experience and also the customers behavioral intention at
Auto Bavaria Glenmarie. There are three objectives in total that the researcher able to achieve
in this study.
Based on the first model, the researcher has found that there are positive relationships between
all the four store atmospheric attributes and only two independent variables (background music
and visual merchandising) that are significantly have the relationship with customer experience
at Auto Bavaria.
To explain the insignificant values for lighting and color elements, according to Chain Store
Age which is a magazine for retail executives, there are varieties elements of store atmosphere
that retailers must put attention in order to make an appeal store. Chain Store Age also has
conducted a survey among the customers and explore that the elements of cleanliness is to most
influence factors to store environment. While the lighting and background music fall to the
second and third tiers after the cleanliness factor (Chain Store Age, 2005). In addition, based on
81

the previous research by Choong et al (2011), their research also shows a not significant in the
p value because more than 0.05.
Based on the result, the positive and significant value for background music is fully supported
by Yalch & Spangenberg (2000). In the study state that genre, rhythm and the background
music volume was played in the retail store to manipulate and attract the customers in the store.
The stores visual merchandising becomes the main attributes that lead to the customer
experience. This shows that the result get by the researcher supported the previous study and
research. Visual merchandising is important elements that a retailer needs to be applied since it
can bring impact on customers mind and perception (Pillai et al, 2011).
Besides that, for the second model there is also a positive and significant relationship between
customer experience and the customer behavioral intention. So, based on the research results
that have been conducted, Auto Bavaria really needs to do innovation and improvements in
order to create an appeal store atmosphere and after that, other than create exciting experience
to the customers, Auto Bavaria also can be the competitive advantage among the other auto
dealership (Han et al, 2011).
From the analysis on store atmospheric attributes, as overall Auto Bavarias current atmosphere
still acceptable and the customer can purchase their product or wait for their cars service
comfortably. However Auto Bavaria still needs some improvement in order to be competitive
with the main competitors like Naza World, Ingress Auto, Audi, General Auto, and so on. A lot
of business scholars said that every company and organization need to follow the trend and
make paradigm movement from time to time or if possible making a small changes is better
than never (Hill & Kerremans, 2007). The following paragraph, the researcher has concluded
the respondent result based on the distributed questionnaire which is result from the
respondents perspectives.

5.2.1 Lighting
Based on the result, 73.1 % which is majority of the respondents are strongly agree/ agree that
the type of lighting used is compatible with environment of the store. While 75% of the
82

respondents agree that the lighting used in Auto Bavaria allow them to examine the products
clearly since most of the product such as the cars engine, specification and features need a
thorough observation and check. 75.6% of the respondents agree that the lighting brightness
level makes them comfortable being in the store. Due to the long waiting time for the customer
cars service, Auto Bavaria provide a lot of magazines, books and news for the customer to fill
their time. So, with the help of a bright lighting, the customer can read and stay at the store
comfortably. However only 50.6% of the respondents agree that the types of lighting use in
Auto Bavaria looks exclusive.

It is because Auto Bavaria only use the compact fluorescent

lamps (CFLs) and some LEDs. The lighting pattern also looks common and it is known as
recessed downlights. So, Auto Bavaria can take attention on this issue since Auto Bavaria is an
automotive luxury store and all elements in the store also must have the exclusive and
luxurious looks. By the way, a lot of respondents with 70.6% agree that the combination of
natural lighting and the artificial lighting in Auto Bavaria is convenient.

5.2.2 Background Music


Next, 61.5% of the respondent said that the types of background music genre played in the
store are pleasant to be heard. However, the remaining respondents are not agreed with the
background music. Since it was quite a big number, Auto Bavaria also needs to take a measure
on this issue. Besides that, for the appropriateness of background musics volume, 67.3% of
the respondent agreed with the volume which is not too loud and not too slow. While 58.9% of
the respondents are agreed with the music rhythms played in the store can create enjoyment. It
is because; a store that does not have background music sounds dull and creates a boring
situation especially for the customer in waiting. The tempo of the background music are not
succeed to makes the customer want to stay longer in the stay. Background music only achieves
44.9% among the respondents that agree with the statement. It is because only some customer
like customers who are waiting for their cars back from the service are really affect with the
background music. Even the music genres played in the store are pleasant to be heard, but the
background music in the store did not success to build interest among the respondents. Only
43% of the respondents are agreed with the statement. It is because majority of the customer
are age 30 to 50 are no longer have the interest to hear music like techno, modern which is
83

more suitable for the young generation. Classical music is preferable to them since it can bring
calmness to the customers.

5.2.3 Color
There are 60.2% of the respondents that are agreed the choices of the theme colors at auto
Bavaria successfully to create their attention. Some of the remaining respondents are even not
aware with the color in the store. Then, majority of the respondent with 55.8%, thoughts that
the color apply in the store shows a trendy coordination. But some of the respondent said that,
Auto Bavaria must put more color in the store to make it live and interesting. While for the
color for the furniture and its fabric, only 54.5% of the respondent agreed that color of the
furniture at Auto Bavaria looks elegance. It is important to serve elegance things at Auto
Bavaria since this is a luxury type of store and the customer already pay a high price with the
expectation to be served like a king. For the statement about the choices of the color
combination at Auto Bavaria can bring a good emotion or not, 64.1% of the respondents are
agreed with the statement. It is because, Auto Bavaria is play safe by having all white in color
for the wall and earth color for the furniture, parquet, and decorations. For the customer, it is
compatible since they have to wait for hours for their car. It is not a good choice for the red
color to be in Auto Bavaria since red is reflecting with fast, hot and speed. However, only
41.7% of the respondents agreed that color used in the store able to create desires to purchase
among the customers. Majority of them did not affect by the color and did not agree with the
statement. It is not because of the stores color they buy something due of that factor and some
of the respondents tell that before they came to Auto Bavaria, they already have the thought to
buy the car not because of the store atmosphere.

5.2.4 Visual Merchandising


54.5% of the respondents are satisfied with presentation of the merchandise in the store. The
respondent are satisfied with display car and bikes arrangement, the gifts like t-shirt, jacket,
blouse, toys and key chain, accessories like the travelling bag, mugs, bottle, thermos, parts like
sports rims, additional engine accessories and so on. For the remaining respondents, they are
not satisfied the merchandise presentation. Some of the customers ask to reduce the car display
84

and did not put the same model of car at a showroom and do enhancement at the accessories
part. Besides that, only 42.9% of the respondent agreed that the props used in the store can give
an inspiring idea to them. Majority of the respondents said that they are not affected with the
props at Auto Bavaria and some of them said that the props are not enough and they ask for
more props in order make Auto Bavaria as an appeal store. While 54.5% of the respondent
agreed that the displays used in the store are very convincing. Some of the potential customers
who come to Auto Bavaria still did not make any decision and they come to survey the
potential car. So, the display car present at the showroom more or less contributes a big help to
them in making any decision. Same with the display statement, the store decorations at Auto
Bavaria present such an evocative presentation also agreed by 54.5% of the respondents. The
decorations can be includes the frame, flowers, and so on. While 60.3% of the respondents are
agreed that the visual merchandising success to create confidence. It is like their confidence to
Auto Bavaria to be the main authorize dealer for BMWs product by supporting of visual
merchandising in the store.

5.2.5 Customer Experience


Customer experience is important since it can bring either positive or negative word of mouth
to the other consumers. It is bad when Auto Bavaria fail to give a good experience to the
customers. It was a bad news that the lighting only has 39.1% of the respondents that agree the
lighting can give impact to them. It is true that the lighting can assist the customers to check
technical product, makes them comfortable while being in the store but it does not even give
impact to the customer. Thus, Auto Bavaria can take revise back their marketing strategies
especially in the choice of lighting. Same goes to the music background that only get 45.5% for
the background music can create an enormous experience to the customers. Surprisingly, for a
statement that color at Auto Bavaria can bring fascinating experience to the customer, 50% of
the customers are agreed with it and 50% of the customers are not agreed with it. For the
presentation of the visual merchandising whether it successful to create impressive experience
or not, the response is 53.2% of the respondent are agreed with the statements. 60.8% of the
respondents said that the store atmosphere at auto Bavaria success to create a positive image for
85

the store. However, Auto Bavaria cannot ignore the other 39.2% of the respondents who did not
agreed with the statement.

5.2.6 Customer Behavioral Intention


Only 42.3% of the respondents said that store atmosphere can help them to response positive
behavioral intention. It is because the main factor that contributes to the behavioral intention is
the financial status of an individual and also an individuals interest on the best model offered
at Auto Bavaria which means the customer already decided what they want to buy before they
come to Auto Bavaria. Some of them, especially for those who are really had a stable financial
source agreed that the store atmosphere can help in make decision. 51.9% of the respondents
agreed that the store atmosphere makes them comfort while staying for a long period in the
store. While 55.8% of the customers agreed that the atmospheric factors at Auto Bavaria are
successful in putting trust to the customers. Trust among the customers is important to makes
the customers to come again in the future and spreading a good word of mouth to the other
peoples. Lastly 64.8% of the respondents will recommend other peoples who want to buy
BMWs product and 64.1% of the respondents will purchase again in the future at Auto Bavaria
since they are satisfied with the Auto Bavarias credibility plus with the best store atmosphere
presentation.

5.3 Implications of the Study


According to the analytical discussions and conclusion review, this study proposed suggestions
that can be taken as reference when retail industries especially in auto dealership want to make
marketing strategies. Empirical studies show Auto Bavarias atmospheric attributes are
positively correlated with the impact on customer experience and the other hand customer
experience also have positive correlation with customer behavioral intention (Gillani, 2012).
According to such conclusion that atmospheric factors significantly affect the customer
experience, Auto Bavaria should pay attention to highlight functional value of atmospheric
factors and promote customers perceived experience by reasonable display and also
information presentation (Chen & Hsieh, 2011).
86

The aim of this research project is to identify the effect of store atmospheric attributes towards
the customer experience and also their behavioral intention in Auto Bavaria Glenmarie can
make as the representative of automotive & showroom sectors. Nowadays, the topics that
related to the store atmosphere become a trend and popular topic among the researchers,
businessman, organization, managers and retailers. It is because, this peoples start to realize
that store atmosphere can reflect an image to a company (Gilboa & Rafaeli, 2003).
However, many of the researchers do general research about the store atmosphere and did not
specifically concentrate on the type of nature business or retail stores. Actually, different types
of stores have different perspective of atmosphere attributes because it based on the type of
product that the stores present. In this case, Auto Bavaria offer luxury and technical type of
product in their store and the atmosphere factors cannot be same as other retail store like
fashion and apparel store. By choosing luxury automotives as our research field, other
researchers can enlarge this topic of study for the next research. This research will be the
reference to all Malaysia automotive retailers especially in creating an appeal store atmosphere
and showroom. Not only that, this research also can make the retailer realize whether their
stores having a close gap with the current customers expectation or not.
For this study, there are four attributes of store atmosphere being tested in order to identify the
impact of each variable to the customer experience and also the customer behavioral intention
at Auto Bavaria, Glenmarie. Customers who were also the respondent of the survey already
gave their respond and having different feedbacks towards the 4 factors of store atmospheric
attributes in Auto Bavaria.
After the researcher do the research survey among the customers in Auto Bavaria, there are
weaknesses can be traced and it was something valuable that Auto Bavaria need to show
intensive care, improved and attention in term of enhancing the store atmosphere. Besides that,
based on the feedback from the distributed questionnaire, the customer that want changes in
order to create an appeal store atmosphere at Auto Bavaria is high which is 51% compared to
49% of the customer who are already satisfied with the current atmosphere . Besides that, this
research also becomes one of the ways to approach and know the customer well. It is not easy

87

to draw closer with customers if there are no reasons that we can get their information and
opinion especially when it comes to the high class and influential group.
Sometimes, a profit making organization did not view all this aesthetic value that can bring a
different experience to the customers. Based on Pantano & Laria (2012), a lot of customers
nowadays prefer the store atmosphere have the areas for relaxing, reading, eating, and drinking,
which can enhance more their experience and influence their permanence during their visit to a
store, So, because of that, Auto Bavaria can create a new position like retail officer that will
taking care about the store atmosphere and the customer relation management.
Besides that, Kumar, Garg & Rahman (2010) recommend that even when the store already in
the acceptable range in term of atmosphere value, there are still room for improvement that the
managerial must look for. It is true that conveying a competitive store image to customers is a
big investment and also quite challenging task especially the organization already stands for
more than 20 years in the market like Auto Bavaria. To build an enormous experience among
the customer, retailers need to take cost effective measures to periodically change these
significant factors. Although advertising and other promotional activities are important in
communicating brand value, the atmospherics also has contributes to long term effect because
they create a lasting impression on the consumers perception (Kumar et al, 2010).

5.4 Recommendations for Sime Darby Auto Bavaria Sdn Bhd


In this research, the atmospheric attributes in Auto Bavaria contributes 58.14% to the
customers experiences and also to the purchase decision. It means that to some extent the
atmosphere attribution study also help in build the customers experiences and also their
behavioral intention. Among all the store atmospheric attributes lighting with 70% be the most
attributes that gives impact to the customers in terms of experiences and the behavioral
intention. Followed equally by background music and colour with respectively 55% and the last
one is visual merchandising with 53% in giving impact to the customers at Auto Bavaria. Since
the research conduct is an empirical study at Auto Bavaria, the researcher also proposed some
recommendations to the company to improve and enhance the customer value through the store
atmospheric attributes. The recommendations will be separately proposed based on the four (4)
88

categories of atmospheric attributes which are lighting, background music, color, and the visual
merchandising.
Exclusive store atmosphere can be describes as the customers overall feeling of comfort,
warmth, courtesy, acceptance, unique and exclusive (Ehbauer et al, 2011). Dardem et al stated
that the physical attractiveness in a retail store contributes a higher impact on the store
patronage compared to the product quality, assortment and pricing.

5.4.1 Lighting
Based on OSRAM (2013), using the right light in a retail store is a fundamental importance.
Use the compatible lighting combination can attract the customers and also drive them in the
right mood to buy, wait for their cars repair and services, and also make the decision. Auto
Bavaria needs to present a very technical, complex and need a thorough product examination;
the use of the right light can expect more customers and higher sales. Based on Ehbauer &
Gresel (2011), the physical facilities of a retail store such as elevator, lighting, air conditioner
and washrooms also are very important to the store atmosphere. Modern and exclusive lighting
can helps in promotes shop interiors by creating a stage sets and makes the product become the
desire objects. Besides that, with modern electronic control gear allows lighting to be adjusted
with flexible movement and also change needs and requirements.

In addition, Auto Bavaria also can install more eco friendly LED lighting in the store in order
to support the world environment safe campaign. LED is the acronym for Light Emitting
Diode. LED is a new innovative solution and provides better lighting for the whole retail
environment. This type of lighting generates less heat and brings satisfaction brightness and it
can bring comforts to the store visitor. It was tiny but extremely bring and durable light
sources (Alaimo,2013)

Furthermore, the optimal application of prismatic daylighting/skylighting, glass windows and


display in the retail space giving more opportunities to disperse and diffuse natural light. In
Auto Bavaria, the store only uses the glass windows and display as their natural element but
89

still did not apply the prismatic skylighting. Some of the customers do not enjoy with exposing
too much of light and it also can bring effect to the human health, so combining the natural
lighting with the normal lighting are preferable and also bring convenient feeling to the
customers. In opposite, if Auto Bavaria uses the wrong lighting or conventional lighting, it will
result in making store and also their merchandise look sad and pale (RetailMerchandiser
Magazine, 2009).

5.4.2 Background Music


Good background music can create relaxed atmosphere, leads to customers spending more time
in the store, feels comfortable, drive to excellent and enjoyable experience, leads the customers
to visit the store again and also recommend to others (Kulkarni, 2012). Normally in auto
dealership store, there are several zone and compartment that consists of showroom, sales area,
service area, customer service, outdoor zone, mini bar, offices and so on. Many comments from
the Auto Bavarias customer said that volume of the background music sometime cannot be
heard due to the noise and low volume. Thus, Auto Bavaria needs to install a good
amplification, loudspeakers, signal processing & routing system.

While interviewing the customers, many of them did not even realize the present of the
background music. It is because the choice, volume, genre of the music did not successful to
create interest among the customers in Auto Bavaria. In addition, the feedback from
respondents shows only 67% of them agree/strongly agree that background music played in the
store can enhance their interest.

Besides installing regular background music which is circulate over and over and make the
customer bored, the other method that Auto Bavaria can use is creating their own radio station
and make it as the most powerful marketing tools (Morrison, 2003). Having own radio station
can entertain customer more live, fresh, trend, keeps customer engaged and informed during
their store visit. Instead of playing the radio at the store, Auto Bavaria also can create an access
for online radio in the companys website. When having own radio station, Auto Bavaria can
promotes their new model product, service packages, seasonal promotion, events, sponsorships
90

and so on. It is advice that did not expose too much advertisement in the radio, the radio must
punctuate alternately with appropriate song (RetailRadio LLC, 2013).

Besides that, Auto Bavaria also can buy music program from DMX Music that usually work
closely with retailers to create custom music program soundscapes. The purposes of the music
programs are to reach, excite and entertain the store visitors. DMX Music offer music expertise
and they are experts in choosing appropriate music, volume based on the types of retail store.
DMX Music also know how to develop a unique customised music solutions that make
strategic links with specific target markets, retail promotions, in store activities, events and
specific retail brands (Morrison, 2003).

5.4.3 Colour
Same with the music, colour also give 55% impact to the customer in term of experience and
also the purchase decision. Some of the customers comment that Auto Bavaria especially is
playing safe because they use all white in colour as their walls paint and also use the
combination of earth colour such as black, brown, blue and grey in their furniture, parquet,
showcase, and fabric. Besides that, the atmosphere is illuminated by few green plants which are
grown in all white vases (Singh, 2006).

Since Auto Bavaria is an authorize dealer for BMW motors, Auto Bavaria need to follow their
theme colour which is blue, black, and white. So, Auto Bavaria creatively needs to adjust the
colour compatible with the store environment. Actually Auto Bavaria have the benefit to select
their stores theme colour since they must be attach and synchronize with BMW colour. There
are many types of customers that come to Auto Bavaria which is customer that already make
their purchase and come to service or repair their cars, customers who want to purchase, and
the customer who want to survey their dream car and they still not decided whether they want
to buy or not. Because there are scenarios that the customers must to wait for their cars or time
to make decision, Auto Bavaria can help all this customers to calm and relax their mind by
providing an appeal atmosphere (Singh, 2006).

91

Since the customers have their waiting time and Auto Bavaria also has the benefits to use blue
as their theme colour, it is good Auto Bavaria can add up the blue elements in the store because
using light or medium blue can instill a sense of calm in peoples. It is also reminiscent of the
ocean and sky which is also the elements that build a sense of peace (Reynold, 2013).

On the other hand, all retailers especially Auto Bavaria normally has long understood about the
importance of store environments in enhancing the purchase experience. Nowadays, a lot of
companies invest in green building. One of the efforts to support the green campaign is putting
the green plants in the building. Green plants and flowers makes the store looks more
comfortable and realistic (Pantano et al, 2012). Green plants and landscapes in a retail store
able to create more healthy, friendly and favourable situations for retail activities compared to
the store that do not have or less green plants in the store (Engel et al.1990). It will create
healthy environment since green plant can reduce the carbon dioxide and also have been verify
by a lot of medical expertise such as Dr Virginia Lohr from Washington State University that
green plants significantly can reduce peoples stress and create a good emotion.
5.4.4 Visual Merchandising
Since visual merchandising performs the lowest percentage which is 53% from the customers
response, Auto Bavarias managers need to take more attention and do some improvement on
these issues. Some of the respondents said that the merchandise such as shirt, gift, accessories,
and parts in the shelf, showcase, and rack are not properly arranged. It automatically cannot put
confidence into the customers. While the showroom that presenting the display cars and
superbike are quite scattered and do not meet safety features. It is because the arrangement of
the display car in the store is stacked too close to each other. It will cause difficulties to divert
or move the vehicles if any emergencies cases like fire occur in the store. The respondent also
tells that the decorations in Auto Bavaria are not enough unless there are events and festive
seasons like Hari Raya, Charismas, Deepavali, Chinese New Year and so on.

Nowadays, retailers use visual merchandising as part of store decor and design. Based on White
(2012), Auto Bavaria need to take the challenge to be unique and different since unusual, big
displays, decoration, and props are really help in attracting the customers eyes and interest.
92

Besides that, customers nowadays are very alert on what the retailers can offer and show to the
customers. So, Auto Bavaria can take this opportunities to provide something novelty and
unique which is the visual merchandising presentation must have not seen in any auto
dealership before. Only then Auto Bavaria can provide an exciting and wonderful experience to
the customers (Pillai et al, 2011).

Next, present the visual merchandising in symmetry and keep it balance also will help the store
to be presentable and convincing. By keep it balances and orderly also will resulting in impulse
purchase since it looks worth of buying (White, 2012).

Visual merchandising is also going to be modern and digital. Since the appeal of immersive
technologies for visitors, retailers who introduce these ones would attract more visitors and
achieve more advantages over the other competitors. For example, flat screen TVs are being
utilized everywhere and even in Auto Bavaria also have it as their treat to the customer who
waits for a very long hours for their car to be service or repair. However, a lot of customer have
disappointed because the TV are not informative at all. It is because the TV only show news in
headline and it keep repeating over and over. Besides that, the TV also put automotive TV
program and show more or less like top gear, speed TV, and fifth gear but there is no point
since there are no subtitles or sounds that we can hear from it since the TVs are in mute setting.
It is because Auto Bavaria already has their own background music, so the TVs must be put in
mute setting. So, what auto Bavaria can do with the flat TV is presenting some qualities
advertisement and without sound also the visitors can understand it well (Dunne et al, 2011).

5.5 Recommendations for Future Research


When there are limitations of studies, it will create issues that are hardly to be resolved. So, the
researcher must put more effort and being more discipline in order to produce a valid result and
good research in the future. According to Wang, R.Y. et al (1995), in order to achieve more
accurate data, the researcher must choose more reliable sample or group of respondent by

93

having close relationship with the conducted research since the research covers all the opinion
of the respondent about a specific issues or information.

Furthermore, a few of open-ended type of questions should be put into the questionnaire since
it can provide more specific and detail responses from the respondents and a lot of
unanticipated findings can be discovered in the research (Naser, 2012). Apart from assisting in
create positive learning and sharing the information, having some open ended questions in a
questionnaire also can make the researcher become more creative in managing all the data since
there are different answers from various perspectives of peoples. Those unforeseen feedbacks
given by the respondents actually can improve the whole researchs result (Reja et al, 2003).
Based on Poswell & Hermann (2000), getting a good response in a research survey is important
to increase the validity and accuracy of the result. Powell & Hermann also said that a survey
must be done systematically and also having a standardized way of collecting data and
information from the respondents. Since there are various different methods to conduct a
survey, the researcher can use the way that best fits based on the purpose, topics, target
audiences and also the resources. The researcher also needs to spend adequate time planning in
order to make sure all the aspects are well thought out (Poswell & Hermann, 2000).
Based on Comrey et al (1992), a high response rate promotes the confidence in the researchs
result. Response rate can be defined as the proportion of people in a particular sample that
involve in a survey conducted. Lower response rates will result in biased results. Based on
James & Bollstein (1990), giving the appropriate incentives or gift up front can be an effective
method to encourage participation.

Back into the research topics, based on Crossman (2013), in the future, other researcher can
investigate structural or direct relationships for this study. For an example, to study the
relationship between the store atmospheric attributes, customers experiences and the
customers behavioral intention (SAA

CE

CBI). It is different from this study which

is investigate a separate relationship which is to study the relationship between the store
atmospheric attributes and the customers experiences (SAA
94

CE) and another model is to

study the relationship between the customer experiences and the customer behavioral intention
(CE

CBI). It was recommended because conducting a structural relationship will provide

a better result compared to investigate the relationships separately.

Besides that, the future research also can explore other factors of store atmosphere such as the
temperature, cleanliness, facilities, layout, design, and scent since all of these factors also are
important to create an appeal store atmosphere. Future research also can study other store
atmosphere from different retail industries or sectors such as fashion, electronic, convenient,
pharmacies and so on. Other than customers experiences and their behavioral intention, other
researcher also can see other element of customers evaluation such as in terms of loyalty,
retention, purchase decision, satisfaction, expectation, needs, wants, perception and many
more. On the other hand, the researcher also can do a specific research about one of the store
atmospheric factors. For an example, investigate the impact of visual merchandising to the
customers purchase decision. It is because conducting a more specific research can help the
researcher to focus on the selected topics without having a deviation problem.

95

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APPENDICES
1. Questionnaire
2. SPSS Data Analysis
3. Pictures

99

APPENDIX 1.0

MARA UNIVERSITY OF TECHNOLOGY


FACULTY OF BUSINESS MANAGEMENT
BACHELOR OF BUSINESS ADMINISTRATION (RETAIL MANAGEMENT)
Dear respondent,
I am Akmal Syalwani Binti Idris, a final year student from Universiti Teknologi Mara Shah
Alam. I would like to conduct a final year research on a project entitled The impact of store
atmospheric attributes on customers experience and their behavioral intention at Auto
Bavaria.
The main objective of this study is to know the customers perception about the contributing
factors to store atmosphere at Auto Bavaria and its effect to the customer in term of
experience and behavioral intention.
Your cooperation in completing this questionnaire is so appreciated. All information would
remain strictly confidential and only be used for research purpose.
Thank You.
SECTION A: GENERAL INFORMATION
Please tick (/) the answer that is most relevant to you.
1. What type of product did you intend to buy or already purchase at Auto Bavaria?
(You can tick two from the answers provided)
BMW Car
MINI Cooper
Motorrad (BMW Motorcycle/Bike/Scooter)
BPS (BMW Premium Selection)
BMW Part & Accessories
Gift and Souvenir
Others
2. Do you think Auto Bavaria needs to do some changes in order to create an appealing store
atmosphere?
Yes
No
1

3. How do you know Auto Bavaria?


(You can tick two from the answers provided)
Advertising
Family/ Friends
Internet
Self awareness
Event
Others
SECTION B: STORE ATMOSPHERIC ATTRIBUTION
This section is to acquire your opinions about each factors of store atmosphere on
background music, lighting, color, and visual merchandising.
Please indicate the level of agreement with each statement by ticking (/) in the appropriate
column.
1
Strongly Disagree

2
Disagree

3
Neutral

4
Agree

5
Strongly Agree

LIGHTING
Lighting is important as this is one of the key elements that contribute to identity, comfort,
concept, image, theme and visual quality of a retail store.
No.

Items

Mark your response

1.

4.

The type of lighting used is compatible with environment of the


store.
The lighting used in the store allows me to examine the products
clearly.
The lighting level of brightness makes me comfortable being in the
store.
The lighting used in the store looks exclusive.

5.

The combination of natural lighting in the store is convenient.

2.
3.

BACKGROUND MUSIC
Background music in a retail setting plays many important roles such as music has long been
known to be able to influence moods and lift the spirits.

No.

Items

Mark your response

1.

The background music genres are pleasant to hear.

2.

For me, the volume of the background music is appropriate.

3.

I really enjoy the rhythm of the background music in the store.

4.

The tempo of the background music makes me want to stay longer in


the store.
The background music played in the store can enhance my interest.

5.

COLOR
Color psychology becomes the critical issues in retail store since it can be the determinant of
customer purchase behavior.
No.

Items

Mark your response

1.

2.

Choices of the theme colors at the store successfully to create


attention.
The colors apply in the store shows a trendy coordination.

3.

The color of the furniture and its fabric looks elegance.

4.
5.

For me, the choices of the color combination create a good emotion.
The color used in the store able to create desires to purchase.

1
1

2
2

3
3

4
4

5
5

VISUAL MERCHANDISING
Visual merchandising are includes the combination of products, environments and spaces into
a motivating and engaging displays and arranging merchandise assortments within a store to
improve the layout and appearance.
No.

Items

Mark your response

1.

I am satisfied with the merchandise presentation in the store.

2.

The creative props used in the store give an inspiring idea to me.

3.

For me, the displays used in the store are very convincing.

4.
5.

The store decorations also create an evocative presentation.


The store visual merchandising success to create confidence in me.

1
1

2
2

3
3

4
4

5
5

SECTION C: CUSTOMER REVIEW


In this section, please evaluate various items by circling your answer based on your
experience during your visit at Auto Bavaria.

CUSTOMER EXPERIENCE
No.

Items

Mark your response

1.

The lighting in the store gives an impact to me.

2.

The background music creates an enormous experience to me.

3.

The colors in the store also bring a fascinating experience to me.

4.

The presentation of the visual merchandising successful in creating


an impressive experience.
The atmospheric attributes success to create a positive image in this
store.

5.

CUSTOMERS BEHAVIORAL INTENTION


No.

Items

Mark your response

1.

The atmospheric attributes in the store help me to make a decision.

2.

The store atmosphere makes me comfort to stay longer in the store.

3.

The atmospheric factors in this store are successful in putting trust in


me.
I would like to recommend other peoples to come and buy product or
service from this store.
I would like to purchase again in the future.

4.
5.

SECTION D: DEMOGRAPHIC PROFILE


Please mark (/) the appropriate respond in the box provided.
1. Gender:
Male
Female
2. Age:
Less than 25 years old
26 30 years old
31 40 years old
41 50 years old
51 60 years old
61 65 years old
More than 66 years old
3. Nationality:
Malaysian
Non- Malaysian
4

4. Race:
Malay
Chinese
Indian
Others (please specify)
_________________________

5. Highest academic qualification:


PhD
Masters
Bachelors
Diploma
Malaysian Certificate of Education (SPM)
Others (please specify)
___________________________
6. Employment status:
Government
Semi-government/ Statutory body
Self-employment/ Businessman
Private Sector
Pensioner
Others (please specify)
___________________________

SECTION E: RECOMMENDATIONS/COMMENTS
(The comment given must be related to the store)
_________________________________________________________________________
_________________________________________________________________________
_________________________________________________________________________
Thank you for your time & cooperation!
--------------------------------------------------The end -------------------------------------------------5

APPENDIX 2.0
A. FREQUENCY DISTRIBUTION ANALYSIS
Gender
Statistics
The respondents' gender
Valid

156

N
Missing

The respondents' gender


Frequency

Percent

Valid Percent

Cumulative
Percent

Male
Valid

100

64.1

64.1

64.1

56

35.9

35.9

100.0

156

100.0

100.0

Female
Total

Age
Statistics
The respondents' age
Valid

156

N
Missing

The respondents' age


Frequency

Percent

Valid Percent

Cumulative
Percent

Less than 25 years old

12

7.7

7.7

7.7

26-30 years old

22

14.1

14.1

21.8

31-40 years old

42

26.9

26.9

48.7

41- 50 years old

46

29.5

29.5

78.2

51-60 years old

24

15.4

15.4

93.6

61-65 years old

3.8

3.8

97.4

More than 66 years old

2.6

2.6

100.0

156

100.0

100.0

Valid

Total

Nationality

Statistics
The respondents' nationality
Valid

156

N
Missing

The respondents' nationality


Frequency

Percent

Valid Percent

Cumulative
Percent

Malaysian
Valid

Non Malaysian
Total

150

96.2

96.2

96.2

3.8

3.8

100.0

156

100.0

100.0

Race

Statistics
The respondents' race
Valid

156

N
Missing

The respondents' race


Frequency

Percent

Valid Percent

Cumulative
Percent

Valid

Malay

96

61.5

61.5

61.5

Chinese

36

23.1

23.1

84.6

Indian

16

10.3

10.3

94.9

Others

5.1

5.1

100.0

156

100.0

100.0

Total

Highest Academic Qualification


Statistics
The respondent highest academic
qualification
Valid

156

N
Missing

The respondent highest academic qualification


Frequency

Percent

Valid Percent

Cumulative
Percent

PHD

Valid

2.6

2.6

2.6

Masters

26

16.7

16.7

19.2

Bachelors

66

42.3

42.3

61.5

Diploma

29

18.6

18.6

80.1

SPM

24

15.4

15.4

95.5

4.5

4.5

100.0

156

100.0

100.0

Others
Total

Employment Status
Statistics
The respondent employment status
Valid

156

N
Missing

The respondent employment status


Frequency

Percent

Valid Percent

Cumulative
Percent

Government

1.9

1.9

1.9

5.1

5.1

7.1

47

30.1

30.1

37.2

Private sector

75

48.1

48.1

85.3

Pensioner

11

7.1

7.1

92.3

Others

12

7.7

7.7

100.0

Total

156

100.0

100.0

Semi Government/ Statutory


body
Self Employment/
Valid

Businessman

Respondents first product purchase


Statistics
First product purchase
Valid

156

N
Missing

First product purchase


Frequency

Percent

Valid Percent

Cumulative
Percent

BMW Car

99

63.5

63.5

63.5

MINI Cooper

22

14.1

14.1

77.6

Motorrad

18

11.5

11.5

89.1

BPS

4.5

4.5

93.6

Parts & Accessories

.6

.6

94.2

Gifts & Souvenirs

.6

.6

94.9

Others

5.1

5.1

100.0

156

100.0

100.0

Valid

Total

Respondents second product purchase

Statistics
Second product purchase
Valid

156

N
Missing

Second product purchase


Frequency

Percent

Valid Percent

Cumulative
Percent

Valid

MINI Cooper

3.2

3.2

3.2

Motorrad

5.8

5.8

9.0

BPS

3.2

3.2

12.2

Parts & Accessories

18

11.5

11.5

23.7

Gifts & Souvenirs

12

7.7

7.7

31.4

None

107

68.6

68.6

100.0

Total

156

100.0

100.0

Changes for appealing store atmosphere


Statistics
Auto Bavaria's changes
Valid

156

N
Missing

Auto Bavaria's changes


Frequency

Percent

Valid Percent

Cumulative
Percent

Valid

Yes

79

50.6

50.6

50.6

No

77

49.4

49.4

100.0

156

100.0

100.0

Total

The way respondents know about Auto Bavaria (1)


Statistics
How the respondents know Auto
Bavaria
Valid

156

N
Missing

How the respondents know Auto Bavaria


Frequency

Percent

Valid Percent

Cumulative
Percent

Valid

Advertising

53

34.0

34.0

34.0

Peoples

31

19.9

19.9

53.8

Internet

12

7.7

7.7

61.5

Self Awareness

48

30.8

30.8

92.3

Events

3.8

3.8

96.2

Others

3.8

3.8

100.0

156

100.0

100.0

Total

10

The way respondents know about Auto Bavaria (2)


Statistics
How the respondents know Auto
Bavaria
Valid

156

N
Missing

How the respondents know Auto Bavaria


Frequency

Percent

Valid Percent

Cumulative
Percent

Valid

Peoples

30

19.2

19.2

19.2

Internet

16

10.3

10.3

29.5

Self Awareness

14

9.0

9.0

38.5

Events

24

15.4

15.4

53.8

Others

15

9.6

9.6

63.5

None

57

36.5

36.5

100.0

Total

156

100.0

100.0

B. RELIABILITY TEST
Lighting

Case Processing Summary


N
Valid
Excludeda

Cases

Total

%
156

100.0

.0

156

100.0

a. Listwise deletion based on all variables in the


procedure.

Reliability Statistics
Cronbach's Alpha
.868

N of Items
5

11

Background Music
Case Processing Summary
N
Valid
Excludeda

Cases

Total

%
156

100.0

.0

156

100.0

a. Listwise deletion based on all variables in the


procedure.

Reliability Statistics
Cronbach's Alpha

N of Items

.897

Color
Case Processing Summary
N
Valid
Excludeda

Cases

Total

%
156

100.0

.0

156

100.0

a. Listwise deletion based on all variables in the


procedure.

Reliability Statistics
Cronbach's Alpha
.864

N of Items
5

12

Visual Merchandising

Case Processing Summary


N
Valid
Excludeda

Cases

Total

%
156

100.0

.0

156

100.0

a. Listwise deletion based on all variables in the


procedure.

Reliability Statistics
Cronbach's Alpha

N of Items

.917

Customers Experiences

Case Processing Summary


N
Valid
Excludeda

Cases

Total

%
156

100.0

.0

156

100.0

a. Listwise deletion based on all variables in the


procedure.

Reliability Statistics
Cronbach's Alpha
.878

N of Items
5

13

Customers behavioural intention

Case Processing Summary


N

Valid
Excludeda

Cases

Total

156

100.0

.0

156

100.0

a. Listwise deletion based on all variables in the


procedure.

Reliability Statistics
Cronbach's Alpha

N of Items

.887

C. CENTRAL TENDENCIES MEASUREMENT OF CONSTRUCTS


Lighting

Descriptive Statistics
The

The

Level of

The

Combinatio

Valid N

compatibili

lighting

brightness

exclusivity

n of natural

(listwise)

ty of

allows to

makes

of the

lighting

lighting

examine

comfortabl

lighting

types

products

Statistic

156

156

156

156

156

Minimum

Statistic

Maximum

Statistic

Statistic

3.87

3.91

3.94

3.56

3.87

Std. Error

.059

.056

.063

.076

.065

Std. Deviation

Statistic

.737

.694

.793

.952

.809

Variance

Statistic

.543

.482

.628

.906

.654

Statistic

-.370

-.230

-.751

-.326

-.576

Std. Error

.194

.194

.194

.194

.194

Statistic

.070

-.055

1.376

.140

.856

Std. Error

.386

.386

.386

.386

.386

Mean

Skewness

Kurtosis

14

156

The compatibility types of lighting


Frequency

Percent

Valid Percent

Cumulative
Percent

Valid

Disagree

3.8

3.8

3.8

Neutral

36

23.1

23.1

26.9

Agree

87

55.8

55.8

82.7

Strongly agree

27

17.3

17.3

100.0

156

100.0

100.0

Total

The lighting allows to examine products


Frequency

Percent

Valid Percent

Cumulative
Percent

Valid

Disagree

1.9

1.9

1.9

Neutral

36

23.1

23.1

25.0

Agree

89

57.1

57.1

82.1

Strongly agree

28

17.9

17.9

100.0

156

100.0

100.0

Total

Level of brightness makes comfortable


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.3

1.3

1.3

Disagree

1.9

1.9

3.2

Neutral

33

21.2

21.2

24.4

Agree

83

53.2

53.2

77.6

Strongly agree

35

22.4

22.4

100.0

156

100.0

100.0

Valid

Total

The exclusivity of the lighting


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

3.2

3.2

3.2

Disagree

5.8

5.8

9.0

Neutral

63

40.4

40.4

49.4

Agree

52

33.3

33.3

82.7

Strongly agree

27

17.3

17.3

100.0

156

100.0

100.0

Valid

Total

15

Combination of natural lighting


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.3

1.3

1.3

Disagree

1.9

1.9

3.2

Neutral

41

26.3

26.3

29.5

Agree

77

49.4

49.4

78.8

Strongly agree

33

21.2

21.2

100.0

156

100.0

100.0

Valid

Total

Background Music
Descriptive Statistics
Music

Appropriateness of

The rythm of

The tempo

Music can

Valid N

genre

music volume

music

makes customer

enhance

(listwise)

background

want to stay

interest

longer
N

Statistic

156

156

156

156

156

Minimum

Statistic

Maximum

Statistic

Statistic

3.66

3.66

3.53

3.33

3.23

Std. Error

.079

.081

.076

.079

.085

Std. Deviation

Statistic

.987

1.013

.947

.986

1.065

Variance

Statistic

.974

1.026

.896

.972

1.133

Statistic

-.741

-.936

-.583

-.385

-.312

Std. Error

.194

.194

.194

.194

.194

Statistic

.575

.654

-.028

-.015

-.425

Std. Error

.386

.386

.386

.386

.386

Mean

Skewness

Kurtosis

Music genre
Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

4.5

4.5

4.5

Disagree

5.1

5.1

9.6

Neutral

45

28.8

28.8

38.5

Agree

67

42.9

42.9

81.4

Strongly agree

29

18.6

18.6

100.0

156

100.0

100.0

Valid

Total

16

156

Appropriateness of music volume


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

5.1

5.1

5.1

Disagree

12

7.7

7.7

12.8

Neutral

31

19.9

19.9

32.7

Agree

79

50.6

50.6

83.3

Strongly agree

26

16.7

16.7

100.0

156

100.0

100.0

Valid

Total

The rhythm of background music


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

2.6

2.6

2.6

Disagree

20

12.8

12.8

15.4

Neutral

40

25.6

25.6

41.0

Agree

74

47.4

47.4

88.5

Strongly agree

18

11.5

11.5

100.0

156

100.0

100.0

Valid

Total

The tempo makes customer want to stay longer


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

5.1

5.1

5.1

Disagree

18

11.5

11.5

16.7

Neutral

60

38.5

38.5

55.1

Agree

54

34.6

34.6

89.7

Strongly agree

16

10.3

10.3

100.0

156

100.0

100.0

Valid

Total

Music can enhance interest


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

11

7.1

7.1

7.1

Disagree

25

16.0

16.0

23.1

Neutral

53

34.0

34.0

57.1

Agree

51

32.7

32.7

89.7

Strongly agree

16

10.3

10.3

100.0

156

100.0

100.0

Valid

Total

17

Color
Descriptive Statistics
Theme

Colors shows a

The color for

Color

Color can

color

trendy

furniture looks

combination

choices

coordination

elegance

can create good

Valid N

create desires (listwise)


to buy

emotion
N

Statistic

156

156

156

156

156

Minimum

Statistic

Maximum

Statistic

Statistic

3.62

3.59

3.58

3.70

3.31

Std. Error

.073

.076

.074

.065

.078

Std. Deviation

Statistic

.911

.950

.930

.815

.976

Variance

Statistic

.830

.902

.864

.663

.952

Statistic

-.523

-.422

-.393

-.554

-.246

Std. Error

.194

.194

.194

.194

.194

Statistic

.149

.025

.142

.666

-.057

Std. Error

.386

.386

.386

.386

.386

Mean

Skewness

Kurtosis

The choices of theme colours


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.9

1.9

1.9

Disagree

14

9.0

9.0

10.9

Neutral

45

28.8

28.8

39.7

Agree

71

45.5

45.5

85.3

Strongly agree

23

14.7

14.7

100.0

156

100.0

100.0

Valid

Total

Colors shows a trendy coordination


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

2.6

2.6

2.6

Disagree

13

8.3

8.3

10.9

Neutral

52

33.3

33.3

44.2

Agree

61

39.1

39.1

83.3

Strongly agree

26

16.7

16.7

100.0

156

100.0

100.0

Valid

Total

18

156

The color for furniture looks elegance


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

2.6

2.6

2.6

Disagree

11

7.1

7.1

9.6

Neutral

56

35.9

35.9

45.5

Agree

60

38.5

38.5

84.0

Strongly agree

25

16.0

16.0

100.0

156

100.0

100.0

Valid

Total

Color combination can create good emotion


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.3

1.3

1.3

Disagree

5.1

5.1

6.4

Neutral

46

29.5

29.5

35.9

Agree

79

50.6

50.6

86.5

Strongly agree

21

13.5

13.5

100.0

156

100.0

100.0

Valid

Total

Color can create desires to buy


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

4.5

4.5

4.5

Disagree

19

12.2

12.2

16.7

Neutral

65

41.7

41.7

58.3

Agree

48

30.8

30.8

89.1

Strongly agree

17

10.9

10.9

100.0

156

100.0

100.0

Valid

Total

19

Visual Merchandising

Descriptive Statistics
Merchandise

The props

The displays

The decorations

Visual

Valid N

presentation

can gives

are very

create an

Merchandising

(listwise)

satisfaction

inspiring idea

convincing

evocative

create customers'

presentation

confidence

Statistic

156

156

156

156

156

Minimum

Statistic

Maximum

Statistic

Statistic

3.46

3.33

3.53

3.57

3.63

Std. Error

.083

.075

.079

.079

.073

Mean
Std. Deviation

Statistic

1.031

.939

.987

.984

.917

Variance

Statistic

1.063

.882

.974

.969

.842

Statistic

-.557

-.288

-.440

-.240

-.512

.194

.194

.194

.194

.194

-.086

.060

-.117

-.609

.112

.386

.386

.386

.386

.386

Skewness

Std. Error
Statistic

Kurtosis
Std. Error

Merchandise presentation satisfaction


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

5.1

5.1

5.1

Disagree

18

11.5

11.5

16.7

Neutral

45

28.8

28.8

45.5

Agree

64

41.0

41.0

86.5

Strongly agree

21

13.5

13.5

100.0

156

100.0

100.0

Valid

Total

The props can gives inspiring idea


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

3.8

3.8

3.8

Disagree

18

11.5

11.5

15.4

Neutral

65

41.7

41.7

57.1

Agree

52

33.3

33.3

90.4

Strongly agree

15

9.6

9.6

100.0

156

100.0

100.0

Valid

Total

20

156

The displays are very convincing


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

3.2

3.2

3.2

Disagree

17

10.9

10.9

14.1

Neutral

49

31.4

31.4

45.5

Agree

61

39.1

39.1

84.6

Strongly agree

24

15.4

15.4

100.0

156

100.0

100.0

Valid

Total

The decorations create an evocative presentation


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.3

1.3

1.3

Disagree

21

13.5

13.5

14.7

Neutral

48

30.8

30.8

45.5

Agree

56

35.9

35.9

81.4

Strongly agree

29

18.6

18.6

100.0

156

100.0

100.0

Valid

Total

Visual Merchandising create customers' confidence


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.9

1.9

1.9

Disagree

14

9.0

9.0

10.9

Neutral

45

28.8

28.8

39.7

Agree

70

44.9

44.9

84.6

Strongly agree

24

15.4

15.4

100.0

156

100.0

100.0

Valid

Total

21

Customer Experience

Descriptive Statistics
The lighting

The music

The colors

The visual

The

Valid N

give impact

create

bring

merchandising

atmosphere

(listwise)

to the

enormous

fascinating

create impressive

success to

respondent

experience

experience

experience

create positive
image to the
store

Statistic

156

156

156

156

156

Minimum

Statistic

Maximum

Statistic

Statistic

3.36

3.37

3.47

3.52

3.71

Std. Error

.064

.071

.070

.072

.069

Std. Deviation

Statistic

.795

.888

.876

.905

.865

Variance

Statistic

.632

.788

.767

.819

.749

Statistic

.044

-.397

-.485

-.428

-.372

Std. Error

.194

.194

.194

.194

.194

Statistic

.352

.271

.622

.233

.143

Std. Error

.386

.386

.386

.386

.386

Mean

Skewness

Kurtosis

The lighting give impact to the respondent


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.3

1.3

1.3

Disagree

13

8.3

8.3

9.6

Neutral

80

51.3

51.3

60.9

Agree

49

31.4

31.4

92.3

Strongly agree

12

7.7

7.7

100.0

156

100.0

100.0

Valid

Total

The music create enormous experience


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

3.2

3.2

3.2

Disagree

16

10.3

10.3

13.5

Neutral

64

41.0

41.0

54.5

Agree

59

37.8

37.8

92.3

Strongly agree

12

7.7

7.7

100.0

156

100.0

100.0

Valid

Total

22

156

The colors bring fascinating experience


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

3.2

3.2

3.2

Disagree

10

6.4

6.4

9.6

Neutral

63

40.4

40.4

50.0

Agree

63

40.4

40.4

90.4

Strongly agree

15

9.6

9.6

100.0

156

100.0

100.0

Valid

Total

The visual merchandising create impressive experience


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

2.6

2.6

2.6

Disagree

13

8.3

8.3

10.9

Neutral

56

35.9

35.9

46.8

Agree

64

41.0

41.0

87.8

Strongly agree

19

12.2

12.2

100.0

156

100.0

100.0

Valid

Total

The atmosphere success to create positive image to the store


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.3

1.3

1.3

Disagree

5.1

5.1

6.4

Neutral

51

32.7

32.7

39.1

Agree

67

42.9

42.9

82.1

Strongly agree

28

17.9

17.9

100.0

156

100.0

100.0

Valid

Total

23

Customer Behavioural Intention

Descriptive Statistics
The

The

The

Recommend to

Purchase

Valid N

atmosphere

atmosphere

atmosphere

other peoples

again in the

(listwise)

help in make

comfort to stay

success put

to come and

future

decision

long

trust

buy

Statistic

156

156

156

156

156

Minimum

Statistic

Maximum

Statistic

Statistic

3.32

3.47

3.51

3.75

3.72

Std. Error

.069

.070

.071

.065

.071

Std. Deviation

Statistic

.858

.876

.891

.808

.891

Variance

Statistic

.735

.767

.793

.653

.794

Statistic

-.298

-.388

-.649

-.255

-.424

Std. Error

.194

.194

.194

.194

.194

Statistic

.202

.100

.598

-.359

-.219

Std. Error

.386

.386

.386

.386

.386

Mean

Skewness

Kurtosis

The atmosphere help in make decision


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

2.6

2.6

2.6

Disagree

18

11.5

11.5

14.1

Neutral

68

43.6

43.6

57.7

Agree

56

35.9

35.9

93.6

Strongly agree

10

6.4

6.4

100.0

156

100.0

100.0

Valid

Total

The atmosphere comfort to stay long


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

1.9

1.9

1.9

Disagree

16

10.3

10.3

12.2

Neutral

56

35.9

35.9

48.1

Agree

66

42.3

42.3

90.4

Strongly agree

15

9.6

9.6

100.0

156

100.0

100.0

Valid

Total

24

156

The atmosphere success put trust


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

3.2

3.2

3.2

Disagree

12

7.7

7.7

10.9

Neutral

52

33.3

33.3

44.2

Agree

72

46.2

46.2

90.4

Strongly agree

15

9.6

9.6

100.0

156

100.0

100.0

Valid

Total

Recommend to other peoples to come and buy


Frequency

Percent

Valid Percent

Cumulative
Percent

Valid

Disagree

10

6.4

6.4

6.4

Neutral

45

28.8

28.8

35.3

Agree

75

48.1

48.1

83.3

Strongly agree

26

16.7

16.7

100.0

156

100.0

100.0

Total

Purchase again in the future


Frequency

Percent

Valid Percent

Cumulative
Percent

Strongly disagree

.6

.6

.6

Disagree

14

9.0

9.0

9.6

Neutral

41

26.3

26.3

35.9

Agree

71

45.5

45.5

81.4

Strongly agree

29

18.6

18.6

100.0

156

100.0

100.0

Valid

Total

25

D. EXPLORATORY FACTOR ANALYSIS


Communalities
Initial
The compatibility of lighting

Extraction

1.000

.761

1.000

.750

1.000

.782

1.000

.613

1.000

.662

1.000

.672

1.000

.642

1.000

.815

1.000

.799

Music can enhance interest

1.000

.670

Theme color choices

1.000

.686

1.000

.695

1.000

.744

1.000

.673

1.000

.550

1.000

.727

1.000

.762

1.000

.830

1.000

.768

1.000

.771

1.000

.568

types
The lighting allows to
examine products
Level of brightness makes
comfortable
The exclusivity of the
lighting
Combination of natural
lighting
Music genre
Appropriateness of music
volume
The rythm of music
background
The tempo makes customer
want to stay longer

Colors shows a trendy


coordination
The color for furniture looks
elegance
Color combination can
create good emotion
Color can create desires to
buy
Merchandise presentation
satisfaction
The props can gives
inspiring idea
The displays are very
convincing
The decorations create an
evocative presentation
Visual Merchandising create
customers' confidence
The lighting give impact to
the respondent

26

The music create enormous


experience
The colors bring fascinating
experience

1.000

.755

1.000

.785

1.000

.787

1.000

.683

1.000

.639

1.000

.710

1.000

.723

1.000

.813

1.000

.751

The visual merchandising


create impressive
experience
The atmosphere success to
create positive image to the
store
The atmosphere help in
make decision
The atmosphere comfort to
stay long
The atmosphere success
put trust
Recommend to other
peoples to come and buy
Purchase again in the future

Extraction Method: Principal Component Analysis.


Component Matrixa
Component
1
The atmosphere comfort to
stay long
Visual Merchandising create
customers' confidence
The displays are very
convincing
The decorations create an
evocative presentation
The atmosphere success
put trust
The rythm of music
background
The music create enormous
experience
The colors bring fascinating
experience
Color combination can
create good emotion
Music genre

.753

.747

.732

.726

.710

.706

.693

-.504

.688

.677
.659

27

The props can gives


inspiring idea

.656

The visual merchandising


create impressive

.650

experience
Recommend to other
peoples to come and buy
The atmosphere help in
make decision
The tempo makes customer
want to stay longer
Theme color choices

.647

-.578

.642

.632
.628

The atmosphere success to


create positive image to the

.615

store
Combination of natural
lighting
The color for furniture looks
elegance
Colors shows a trendy
coordination
Appropriateness of music
volume
Color can create desires to
buy
Level of brightness makes
comfortable
The exclusivity of the
lighting
Merchandise presentation
satisfaction
Music can enhance interest
The lighting give impact to
the respondent

.610

.605

.595

.587

.583

.567

.561

.560
.546
.506

The lighting allows to

.538

examine products
The compatibility of lighting
types

.522

.528

Purchase again in the future

-.647

Extraction Method: Principal Component Analysis.


a. 6 components extracted.

28

Rotated Component Matrixa


Component
1
The displays are very
convincing
Merchandise presentation
satisfaction
The props can gives
inspiring idea
The decorations create an
evocative presentation
Visual Merchandising create
customers' confidence
The tempo makes customer
want to stay longer
The rythm of music
background
Music can enhance interest
Appropriateness of music
volume
Music genre

.800

.791

.780

.742

.714

.832

.794
.777
.736
.692

The color for furniture looks

.801

elegance
Colors shows a trendy

.754

coordination
Theme color choices

.736

Color combination can

.699

create good emotion


Color can create desires to

.589

buy
The lighting allows to

.852

examine products
The compatibility of lighting

.849

types
Level of brightness makes

.827

comfortable
Combination of natural

.707

lighting
The exclusivity of the

.578

lighting
Purchase again in the future

.836

Recommend to other

.820

peoples to come and buy

29

The atmosphere success

.701

put trust
The atmosphere help in

.644

make decision
The atmosphere comfort to

.622

stay long
The colors bring fascinating

.781

experience
The visual merchandising
create impressive

.745

experience
The atmosphere success to
create positive image to the

.716

store
The lighting give impact to

.677

the respondent
The music create enormous

.670

experience
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 7 iterations.

30

APPENDIX 3.0
PICTURES

31

32