RETAILERS' MOTIVATIONS AND SPACE PREFERENCE FOR ONLINE RETAILING : A QUALITATIVE INSIGHT

Abstract

The burgeoning growth of Internet in Singapore has lately led to new trends in retail industry. Specifically, it led to an emergence and growing popularity of online shopping amongst Internet users. This phenomenon is further boosted by increasing consumers’ reception and retailers’ desire to meet changing consumer demands. This study seeks to investigate this phenomenon in Singapore in three specific areas, with special attention on local retailers. These areas are: (1) to observe if online shopping has brought any significant impact on retailers’ behaviours, motivations and business strategies, (2) to establish retailers’ space preference with their awareness of online shopping (3) to comprehend overall impact of online shopping on retail space. In meeting research objectives, a qualitative research was conducted. In-depth interviews were conducted as a means of qualitative research and phenomenological study. Obtaining detailed information and deeper insights into retailers’ behaviours, motivations and attitudes are only possible through thorough analysis of in-depth interviews. Extensive secondary data is also utilised intensively. It was found that retailers with different attitudes and motivations tend to form certain types of business strategies, which will then affect retailers’ space preference. It was also found that shifts in business strategies are occurring, with retailers being encouraged to try venturing online if they had not done so. The findings also concluded that current overall impact of online shopping on retail space remains inconclusive. However, new concepts of space usage may appear in the near future, with more retailers opting for innovative and efficient space use patterns.