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Purpose

The purpose of this research is to examine the relationship of older Generation Y (Gen Y) customers' (18‐27) shopping orientations to their expectations for retail services. It also seeks to assess the importance and impact of service expectations and perceptions on customer satisfaction and loyalty when shopping for apparel in different types of retail outlets.

Design/methodology/approach

Three different retail settings (department, specialty, and discount stores) were examined with parallel lists of retail service‐related questions using a convenience sample of older Gen Y female customers. Descriptive analysis, exploratory factor analysis, F‐tests, and regression analysis were employed.

Findings

Shopping orientations were related to older Gen Y customers' expectations for retail services and patronage in all three apparel retail settings. The modified SERVQUAL scale represented one grand service construct in each retail setting. Older Gen Y customers' expectations for service differed by store type, and their service expectations, service perceptions, and service quality were related to retailer satisfaction and store loyalty.

Research limitations/implications

Generalizability of findings may be limited as the study was conducted with female older Gen Y customers shopping for a singular apparel category.

Practical implications

This study illuminates how retail services create value and satisfaction for older Gen Y customers. Results aid in development of service strategies and training programs by type of store outlet.

Originality/value

The study contributes to the scant literature concerning service quality and service expectations for female older Gen Y customers.

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