This study aims to develop a scale for measuring a new construct, “Retail Shopper Empowerment (RSE)”. It intends to identify the construct RSE theoretically, develop the constituents of RSE empirically along with their measures and integrate them into a comprehensive model. The scale development process followed the established 4-stage model (viz., dimension identification, initial validation, final validation, and test-retest reliability). The sample size for the focus group consisted of 128 shoppers: for initial validation, 585 shoppers across 30 retail stores; for final validation, 292 shoppers; and for test-retest, 76 shoppers. Confirmatory factor analysis (CFA), convergent and discriminant validity, and nomological modelling are used to develop the RSE scale. A second order CFA model is suggested where the four constituents of RSE are store environment, store convenience, relevant information, and control over choice set.
The RSE score can be used as a nonfinancial, consumer-centric performance measure for retail stores with adequate psychometric properties. The dimension identification and validations could be carried out across larger samples and multiple verticals for better generalisability. Further, the RSE framework contributes significantly to multiple theoretical constructs (viz., retail performance measurement, empowerment, marketing orientation and value co-creation). The RSE model can be implemented at the field level due to the robust scale development methodology adopted and the resultant parsimony (15-item scale). Primarily, RSE is an indirect predictor of financial store performance; and secondly, RSE scores can be modified by manipulating store strategy. Hence, it has direct relevance to optimal resource allocation of the retailers. Finally, as the constituents of RSE are derived dynamically from the target consumers and their preferences, it is a leading predictor of store experience of the consumers and in turn, customer satisfaction.
