Does sustainability drive to create store equity? A proposal through image, quality and loyalty

Abstract

PurposeThe present research aims to analyse the retailer's commitment to sustainable development (RCSD) perceived by the consumers and how it contributes to store equity creation through image, perceived quality and loyalty.Design/methodology/approachA primary research was conducted through a structured questionnaire to analyse the relationships between the variables included in the proposed model. The fieldwork was conducted in 2019, obtaining responses from 617 retail consumers from four cities in Ecuador – Quito, Guayaquil, Cuenca and Machala – obtained. A structural equation model is estimated with the partial least squares technique.FindingsThere is evidence in favour of the contribution of sustainability to store equity. The positive influence of RCSD on perceived quality and the impact of the latter, together with store image, contribute to loyalty, which emerges as a critical construct in building store equity.Research limitations/implicationsSome limitations of the present study – geographic scope limited to Ecuador, analyses restricted to food retailers and pre-COVID-19 data collection – may open new research opportunities replicating the study in other regions for other retail activities and in the post pandemic context.Practical implicationsThe retailer's actions demonstrate a commitment to economic, social and environmental sustainability. As a result of this, the establishment's perceived quality improves, which is of interest to academics and retail management professionals.Originality/valueThe present research provides evidence on the chain of effects that explains the positive contribution of RCSD to store equity creation in grocery retailing.

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“…The Ecuadorian FV market can be divided into four retail formats: supermarkets, grocery stores, small independent stores, and traditional wet markets. 34% of Ecuadorian consumers -4.5 million people -shop for FV in a supermarket (Sánchez-González et al, 2022). The average monthly FV expenditure in this retail channel is USD 160.…”