Vol 21 | Issue 2 | 106-124
Prof Thérèse Roux
Department of Marketing, Supply Chain & Sport Management
Tshwane University of Technology,
rouxat@tut.ac.za
*Corresponding author
Abstract
This study examines the impact of customer value co-creation (VCC) and shopping well-being on key retailer performance outcomes, namely customer satisfaction, loyalty, spending, and share of wallet, within the context of a grocery retailer. It also explores the mediating role of shopping well-being in the relationship between VCC and these outcomes. A conceptual model was developed and tested using structural equation modeling (SEM), based on data collected through an online survey of 2,800 customers from a nationwide grocery chain in Chile. The results indicate that shopping well-being significantly influences all four performance measures and serves as a mediator between VCC and these outcomes. The findings offer empirical evidence that shopping well-being not only enhances retailer performance directly but also mediates the effects of value co-creation behaviors. This study provides actionable insights for retail managers, highlighting how fostering VCC can improve shopping well-being and, in turn, drive customer satisfaction, loyalty, spending, and share of wallet.
Keywords: customer value co-creation, shopping well-being, retailing, loyalty, customer satisfaction, customer spending, share of wallet
References
Abid, M. F., Quach, S., Shamim, A., Thaichon, P. & Siddique, J. 2025. Customer experience of co-creation vs co-destruction in retailing: the role of key moments throughout the customer journey. Marketing Intelligence & Planning.
Ali, S., Mishra, M. & Javed, H. M. U. 2021. The impact of mall personality and shopping value on shoppers’ well-being: moderating role of compulsive shopping. International Journal of Retail & Distribution Management, 49, 1178-1197.
Alves, H., Fernandes, C. & Raposo, M. 2016. Value co-creation: Concept and contexts of application and study. Journal of Business Research, 69, 1626-1633.
Anderson, J. C. & Gerbing, D. W. 1991. Predicting the Performance of Measures in a Confirmatory Factor Analysis with a Pretest Assessment of Their Substantive Validities. Journal of Applied Psychology, 76, 732-740.
Andreu, L., Sánchez, I. & Mele, C. 2010. Value co-creation among retailers and consumers: New insights into the furniture market. Journal of Retailing and Consumer Services, 17, 241-250.
Anshu, K., Gaur, L. & Singh, G. 2022. Impact of customer experience on attitude and repurchase intention in online grocery retailing: a moderation mechanism of value co-creation. Journal of Retailing and Consumer Services, 64.
Arnold, M. J. & Reynolds, K. E. 2012. Approach and avoidance motivation: Investigating hedonic consumption in a retail setting. Journal of Retailing, 88, 399–411.
Azzari, C. N., Anderson, L., Mende, M., Jefferies, J. G., Downey, H., Ostrom, A. L. & Spanjol, J. 2021. Consumers on the Job: Contextualization Crafting in Expert Services. Journal of Service Research.
Babin, B. J., Lee, Y.-K., Kim, E.-J. & Griffin, M. 2005. Modeling consumer satisfaction and word-of-mouth: restaurant patronage in Korea. Journal of Services Marketing, 19, 133-139.
Bagherzadeh, R., Rawal, M., Wei, S. & Saavedra Torres, J. L. 2020. The journey from customer participation in service failure to co-creation in service recovery. Journal of Retailing and Consumer Services, 54.
Baron, R. M. & Kenny, D. A. 1986. The moderator–mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. Journal of personality and social psychology, 51, 1173.
Bentler, P. M. & Bonett, D. G. 1980. Significance tests and goodness of fit in the analysis of covariance structures. Psychological Bulletin, 88, 588–606.
Bhardwaj, P. & Kalro, A. D. 2024. Consumer well-being—A systematic literature review and research agenda using TCCM framework. International Journal of Consumer Studies, 48, 1–28.
Black, H. G. & Gallan, A. S. 2015. Transformative service networks: cocreated value as well-being. The Service Industries Journal, 35, 826-845.
Brislin, R. W. 1970. Back-Translation for Cross-Cultural Research. Journal of Cross-Cultural Psychology, 1, 185-216.
Burns, D. J. & Neisner, L. 2006. Customer satisfaction in a retail setting: The contribution of emotion. International Journal of Retail & Distribution Management, 34, 49-66.
Cambra-Fierro, J., Pérez, L. & Grott, E. 2017. Towards a co-creation framework in the retail banking services industry: Do demographics influence? Journal of Retailing and Consumer Services, 34, 219-228.
Carvalho, P. & Alves, H. 2023. Customer value co-creation in the hospitality and tourism industry: a systematic literature review. International Journal of Contemporary Hospitality Management, 35, 250-273.
Chen, S.-C. 2015. Customer value and customer loyalty: Is competition a missing link? Journal of Retailing and Consumer Services, 22, 107-116.
Churchill Jr, G. A. & Surprenant, C. 1982. An investigation into the determinants of customer satisfaction. Journal of Marketing Research, 19, 491-504.
Cossío-Silva, F. J., Revilla-Camacho, M. A., Vega-Vázquez, M. & Palacios-Florencio, B. 2016. Value co-creation and customer loyalty. Journal of Business Research, 69, 1621-1625.
Dick, A. S. & Basu, K. 1994. Customer loyalty: toward an integrated conceptual framework. Journal of the academy of marketing science, 22, 99-113.
Diener, E., Suh, E. M., Lucas, R. E. & Smith, H. L. 1999. Subjective well-being: Three decades of progress. Psychological Bulletin, 125, 276-302.
Dogra, N., Nasir, M. & Adil, M. 2023. Does shopping values influence consumers’ well-being: empirical evidence from e-retail. International Journal of Retail & Distribution Management, 51, 1698-1718.
Dong, B., Sivakumar, K., Evans, K. R. & Zou, S. 2015. Effect of Customer Participation on Service Outcomes: The Moderating Role of Participation Readiness. Journal of Service Research, 18, 160-176.
Du, R. Y., Kamakura, W. A. & Mela, C. F. 2007. Size and Share of Customer Wallet. Journal of Marketing, 71, 94-113.
Ekici, A., Sirgy, J., Dong, J. L. & Bosnjak, M. 2018. The Effects of Shopping Well-Being and Shopping Ill-Being on Consumer Life Satisfaction. Applied Research in Quality of Life, 12, 533-553.
El Hedhli, K., Becheur, I., Zourrig, H. & Chaouali, W. 2021. Shopping well-being: the role of congruity and shoppers’ characteristics. Journal of Consumer Marketing, 38, 293-304.
El Hedhli, K., Chebat, J.-C. & Sirgy, M. J. 2013. Shopping well-being at the mall: Construct, antecedents, and consequences. Journal of Business Research, 66, 856-863.
El Hedhli, K., Zourrig, H. & Chebat, J.-C. 2016. Shopping well-being: Is it just a matter of pleasure or doing the task? The role of shopper’s gender and self-congruity. Journal of Retailing and Consumer Services, 31, 1-13.
Euromonitor 2023. Grocery Retailing in Latin America, June, available in: https://www.euromonitor.com/grocery-retailing-in-latin-america/report.
Finsterwalder, J., Foote, J., Nicholas, G., Taylor, A., Hepi, M., Baker, V. & Dayal, N. 2017. Conceptual underpinnings for transformative research in a service ecosystems context to resolve social issues – framework foundations and extensions. The Service Industries Journal, 37, 766-782.
Fornell, C. & Larcker, D. F. 1981. Evaluating Structural Equation Models with Unobservable Variables and Measurement Error. Journal of Marketing Research, 18, 39-50.
Gardiazabal, P. & Bianchi, C. 2021. Value co-creation activities in retail ecosystems: well-being consequences. Journal of Services Marketing, 35, 1028-1044.
Gardiazabal, P., Bianchi, C. & Saleh, M. A. 2020. The transformational potential of Latin American retail experiences. Journal of Services Marketing, 34, 769-783.
Gaski, J. F. 1984. The effects of discrepant power perceptions in a marketing channel. Psychology & Marketing, 1, 45-56.
Harris, P. 2017. Multichannel shopping well-being: a narrative-based examination. Qualitative Market Research: An International Journal, 20, 354-369.
Hulland, J., Chow, Y. H. & Lam, S. 1996. Use of Causal Models in Marketing Research: A Review. International Journal of Research in Marketing, 13, 181-197.
Hult, G. T. M., Sharma, P. N., Morgeson, F. V. & Zhang, Y. 2019. Antecedents and Consequences of Customer Satisfaction: Do They Differ Across Online and Offline Purchases? Journal of Retailing, 95, 10-23.
Jones, M. A., Reynolds, K. E. & Arnold, M. J. 2006. Hedonic and utilitarian shopping value: investigating differential effects on retail outcomes. Journal of Business Research, 59, 974-981.
Karpen, I. O., Bove, L. L., Lukas, B. A. & Zyphur, M. J. 2015. Service-dominant orientation: measurement and impact on performance outcomes. Journal of Retailing, 91, 89-108.
Kesenduran, N., Hüseyinoğlu, Y. I. Ö. & Erboz, G. 2024. The role of value co-creation on retailer loyalty and omni-channel shopping frequency. International Journal of Retail & Distribution Management, 52, 580-595.
Kumagai, K. & Nagasawa, S. 2022. Hedonic shopping experience, subjective well-being and brand luxury: a comparative discussion of physical stores and e-retailers. Asia Pacific Journal of Marketing and Logistics, 34, 1809-1826.
Kuppelwieser, V. G. & Finsterwalder, J. 2016. Transformative service research and service dominant logic: Quo Vaditis? Journal of Retailing and Consumer Services, 28, 91-98.
Lazarus, D., Krishna, A. & Dhaka, S. 2014. Co-creation Willingness Matrix and Capability Continuum for Classification and Scaling of Services. Journal of Global Marketing, 27, 213–225.
Li, E. L.-Y., Liu, B. S. C. & Luk, S. T. K. 2017. Customer Participation Behavior in High- Versus Low-Contact Services: The Multiple Roles of Customer Trust. Journal of Global Marketing, 30, 322–341.
Mackenzie, S. B. & Podsakoff, P. M. 2012. Common method bias in marketing: causes, mechanisms, and procedural remedies. Journal of Retailing, 88, 542-555.
Maggioni, I., Sands, S., Kachouie, R. & Tsarenko, Y. 2019. Shopping for well-being: The role of consumer decision-making styles. Journal of Business Research, 105, 21-32.
Mcgregor, J. 2019. Group of top CEOs says maximizing shareholder profits no longer can be the primary goal of corporations. The Washington Post, Vol. Retrieved from https://www.washingtonpost.com/business.
Mckinsey 2024. The state of grocery retail in Latin America. Available at: https://www.mckinsey.com/industries/retail/our-insights/the-state-of-grocery-retail-in-latin-america.
Mortimer, G. & Clarke, P. 2011. Supermarket consumers and gender differences relating to their perceived importance levels of store characteristics. Journal of retailing and consumer services, 18, 575-585.
Navarro, S., Llinares, C. & Garzon, D. 2016. Exploring the relationship between co-creation and satisfaction using Q&A. Journal of Business Research, 69, 1336-39.
Nghia Ho, T., Olsen Svein, O. & Trang Nguyen Thi, M. 2020. Shopping value, trust, and online shopping well-being: a duality approach. Marketing Intelligence & Planning, 38, 545-558.
Nghia, H. T., Olsen, S. O. & Trang, N. T. M. 2022. A dual process on shopping wellbeing across shopping contexts: the role of shopping values and impulse buying. Asia Pacific Journal of Marketing and Logistics, 34, 594-610.
Nguyen, N. B. & João Menezes, J. 2024. Customer-to-Customer Value Co-Creation: A Customer-Dominant Framework of Value. Journal of Global Marketing, 1-30.
Nhung-Thang, T. H. & Nguyen, C. H. 2024. Does Customers’ Well-Being Lead to Their Sustainable Consumption? Exploring the Mediating Role of Online Shopping. Journal of Global Marketing, 1–23.
Nunnally, J. C. & Bernstein, I. H. 1994. Psychometric theory (3rd ed.), New York, McGraw-Hill.
O’cass, A. & Carlson, J. 2019. Introduction to the special issue – retailing and consumer services in emerging markets. Journal of Retailing and Consumer Services, 46, 130-132.
Oliver, R. L. 1999. Whence customer loyalty? Journal of Marketing, 63, 33-44.
Palmatier, R. W., Scheer, L. K. & Steenkamp, J. B. E. M. 2007. Customer loyalty to whom? Managing the benefits and risks of salesperson-owned loyalty. Journal of marketing research, 44, 185-199.
Park, J. & Ha, S. 2016. Co-creation of service recovery: Utilitarian and hedonic value and post-recovery responses. Journal of Retailing and Consumer Services, 28, 310-316.
Pettersen, G. R., Nordbø, E. C. A., Ese, J. & Ihlebæk, C. 2023. Can shopping centres foster wellbeing? A scoping review of motivations and positive experiences associated with non-shopping visits. Wellbeing, Space and Society, 4.
Podsakoff, P. M. & Organ, D. 1986. Self-Reports in Organizational Research: Problems and Prospects. Journal of Management, 12, 531-543.
Prahalad, C. K. & Ramaswamy, V. 2004. Co-creating unique value with customers. Strategy & Leadership, 32, 4-9.
Richards, T. J. & Pasirayi, S. 2023. Food retailing in developing economies: Review of empirical insights and new directions. Agribusiness, 40, 926-949.
Rojas-Méndez, J. I., Kara, A. & Spillan, J. E. 2006. Market Orientation in the Chilean Small Business Context: An Empirical Study. Journal of Global Marketing, 19, 93–132.
Romaniuk, J. & Nenycz-Thiel, M. 2013. Behavioral brand loyalty and consumer brand associations. Journal of Business Research, 66, 67-72.
Rosenbaum, M. S., Corus, C., Ostrom, A. L., Anderson, L., Fisk, R. P., Gallan, A. S., Giraldo, M., Mende, M., Mulder, M., Rayburn, S. W., Shirahada, K. & Williams, J. D. 2011. Conceptualisation and Aspirations of Transformative Service Research. Journal of Research for Consumers, 19, 1-6.
Rosenbaum, M. S., Otalora, M. L. & Ramírez, G. C. 2016. The restorative potential of shopping malls. Journal of Retailing and Consumer Services, 31, 157-165.
Russell-Bennett, R., Fisk, P., S., R. M. & Zainuddin, N. 2019. Commentary: transformative service research and social marketing – converging pathways to social change. Journal of Services Marketing, 33, 633-642.
Saha, V., Goyal, P. & Jebarajakirthy, C. 2022. Value co-creation: a review of literature and future research agenda. Journal of Business & Industrial Marketing, 37, 612–628.
Shafiee, M. & Es-Haghi, S. M. S. 2017. Mall image, shopping well-being and mall loyalty. International Journal of Retail & Distribution Management, 45, 1114-1134.
Sirgy, M. J. 2021. Macromarketing Metrics of Consumer Well-Being: An Update. Journal of Macromarketing, 41, 124-131.
Sirgy, M. J., Lee, D. J., Yu, G. B., Gurel-Atay, E., Tidwell, J. & Ekici, A. 2016. Self-expressiveness in shopping. Journal of Retailing and Consumer Services, 30, 292–299.
Sogn-Grundvåg, G., Ranes, S. A., Grønhaug, K. & B., G. 2009. Co-Creating Value in a Retail Market Setting. Journal of Food Products Marketing, 15, 1-22.
Tabachnick, B. G. & Fidell, L. S. 2006. Using multivariate statistics. 5th Edition, Allyn and Bacon, Boston, Boston, Mass.
Torkzadeh, S., Zolfagharian, M. & Iyer, P. 2021. Customer value co-creation behaviors and service outcomes: insights from a transformative service. Journal of Strategic Marketing, 29, 635-657.
Troebs, C.-C., Wagner, T. & Heidemann, F. 2018. Transformative retail services: Elevating loyalty through customer well-being. Journal of Retailing and Consumer Services, 45, 198-206.
Vargo, S. L. & Lusch, R. F. 2004. Evolving to a new dominant logic for marketing. Journal of Marketing, 68, 1-17.
Vargo, S. L. & Lusch, R. F. 2008. Service-Dominant Logic: Continuing the Evolution. Journal of the Academy of Marketing Science, 36, 1-10.
Vargo, S. L. & Lusch, R. F. 2011. It’s all B2B … and beyond: toward a service perspective of the market. Industrial Marketing Management, 40, 181-187.
Vargo, S. L. & Lusch, R. F. 2016. Institutions and axioms: an extension and update of service-dominant logic. Journal of the Academy of Marketing Science, 44, 5-23.
Vargo, S. L., Maglio, P. P. & Akaka, M. A. 2008. On value and value co-creation: A service systems and service logic perspective. European Management Journal, 26, 145-152.
Vega-Vazquez, M., Revilla-Camacho, M. A. & Cossío-Silva, F. J. 2013. The value co-creation process as a determinant of customer satisfaction. Management Decision, 51, 1945-1953.
Yi, Y. & Gong, T. 2013. Customer value co-creation behavior: Scale development and validation. Journal of Business Research, 66, 1279-1284.
Yu, H., Zhang, R. & Liu, B. 2018. Analysis on Consumers’ Purchase and Shopping Well-Being in Online Shopping Carnivals with Two Motivational Dimensions. Sustainability, 10, 4603.
Zaborek, P. & Mazur, J. 2019. Enabling value co-creation with consumers as a driver of business performance: A dual perspective of Polish manufacturing and service SMEs. Journal of Business Research, 104, 541-551.