A COMPARATIVE STUDY ON ASIANS' AND NON-ASIANS' PURCHASING BEHAVIOUR AT CHANGI AIRPORT

Abstract

Effective management of airport concessions are receiving increasing attention as it is an important variable for maximising commercial revenues at airports. This significance amplifies when a mature airport like Changi International Airport could be in need of an enhanced retail strategy to remain sustainable in the long run. This study postulates that travellers respond to differential product-buying, attributes influencing shopping and impulse shopping due to their cultural origins. A questionnaire conducted with 200 locals and 200 non-locals reveals that travellers desire for culturally-distinct shopping experiences at airports to minimise brand fatigue. It is observed that Asians’ product purchases are highly associated with their collectivist, high uncertainty avoidance cultures. By comparison, non-Asians’ lower uncertainty avoidance and shorter-term oriented cultures have effects on their purchasing propensity. In general, Asians and non-Asians are found to be moderate spenders and mild impulse shoppers at the airports though they differ in their impulse buying motivations. ‘Speciality products’ are identified to be the least purchased among travellers. These findings have implications on the landlords’ and tenants’ retail strategies. Additionally, a greater proportion of retail space allocated to lower to mid-priced concessions could be considered to cater to the increasing volume of younger travellers. Essentially, information from this study when harnessed could be used to the landlords’ and retailers’ advantages in developing an enhanced retail mix. In all, this analysis would allow real estate professionals to gain knowledge of Changi Airport’s retailing environment.