Paving the Path to Purchase: a study on the integration of a branded retail application in physical stores

Paving the Path to Purchase

A study on the integration of a branded retail application in physical stores

Master’s Thesis 30 credits

Department of Business Studies Uppsala University

Spring Semester of 2019

Date of Submission: 2019-05-29

Vendela Gabrielsson Dukstenieks Maya Strinnhed

Supervisor: Leon Caesarius

Abstract

Master’s Thesis 30 credits, 2FE840, Department of Business Studies- Uppsala University

Date of Submission 2019-05-29

Authors Vendela Gabrielsson Dukstenieks, Maya Strinnhed

Supervisor Leon Caesarius

Course Master’s Thesis 30 credits, 2FE840

Title Paving the Path to Purchase – a study on the integration of a branded retail application in physical stores.

Purpose The purpose of this study is to explore the integration of a branded retail application in physical stores.

Methodology This study was conducted with a qualitative and abductive approach in form of a case study focusing on H&M. The empirical material was collected through think-aloud observations and semi- structured interviews with 22 participants in total.

Theoretical Framework The theoretical framework consists of 6 aspects:

convenience and time convenience, personalisation, interactivity, control, usefulness and involvement.

Empirical Findings Five themes regarding the usage of the branded retail application in physical stores was found, including prior store visit usage and in-store usage, in-store information, selective information, visualisation of items in-store, and in-store communication.

Conclusion It is concluded that using the app in-store provides several benefits depending on how the app is used.

This leads to the conclusion that the app influences in different phases of the purchase decision process.

Keywords Smart Retailing, Smart Customer Experience, Purchase Decision Process, Branded Retail App

Acknowledgements

As the authors of this study, we would like to address our deepest thank you to every party involved in the process of establishing this study. The process began in January 2019 and the study was completed in May 2019 at Uppsala University, Sweden.

Foremost, we would like to devote our inmost appreciation to our supervisor, Leon Caesarius for guiding us throughout the entire process and for providing us with valuable insights. Also, we would like to thank our fellow thesis authors for all the support and feedback received from our sessions.

Furthermore, we would like to address many thanks to all participants taking their time to participate in our study- it surely would not have been possible without you.

Thank You!

Vendela Gabrielsson Maya Strinnhed

29^th of May 2019, Uppsala, Sweden

Table of Content

1.0 Introduction ... 1

1.1 Background ... 1

1.2 Problem Statement ... 2

1.3 Purpose ... 4

1.4 Research Questions ... 4

1.5 Definitions of Key Concepts ... 4

1.6 Delimitations ... 5

2.0 Literature Review ... 6

2.1 Smart Customer Experience ... 6

2.2 Smart Customer Experience and the Purchase Decision Process ... 7

3.0 Theoretical Framework ... 8

3.1 Aspects of Smart Retail Experiences ... 8

3.1.1 Convenience and Time Convenience... 8

3.1.2 Personalisation ... 8

3.1.3 Interactivity... 9

3.1.4 Control ... 10

3.1.5 Usefulness ... 10

3.1.6 Involvement ... 11

3.2 Purchase Decision Process ... 11

3.3 Analytical Framework ... 12

4.0 Methodology ... 14

4.1 Research Approach ... 14

4.2 Research Design ... 15

4.3 Selected Case: H&M ... 16

4.4 Material Collection ... 17

4.4.1 Sample Group A: In-Store Observations and Short Semi-Structured Interviews ... 18

4.4.2 Sample Group B: Think-aloud Observations ... 19

4.4.3 Sample Group B: Long Semi-Structured Interviews ... 20

4.4.4 Pilot Tests ... 21

4.4.5 Selection of Participants ... 21

4.5 Operationalisation ... 23

4.6 Data analysis ... 24

5.0 Empirical Findings ... 25

5.1 Prior Store Visit Usage and In-Store Usage ... 25

5.2 In-Store Information ... 26

5.3 Selective Information ... 27

5.4 Visualisation of Items In-Store ... 28

5.5 In-Store Communication ... 28

6.0 Analysis ... 30

6.1 Perceived Usefulness of Using the App In-Store ... 30

6.2 Extent of Involvement and Using the App In-Store ... 32

6.3 Accessing Information Conveniently In-Store ... 33

6.4 A Feeling of Control When Using the App In-Store ... 35

6.5 Possible Interactivity of Using the App In-Store ... 36

7.0 Conclusion ... 38

8.0 Contribution ... 40

8.1 Theoretical Contribution ... 40

8.2 Managerial Contribution ... 40

9.0 Limitations and Suggestions For Future Research ... 42

References ... 43 Appendix A- Description of the H&M App ... I Appendix B- Operationalisation ... V Appendix C - Interview guide for short interviews for sample group A ... VII Appendix D- In-Store Observation Schedule for sample group B ... IX Appendix E- Interview guide for sample group B ... X

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1.0 Introduction

In the following chapter, a background describing smart retail and the smart customer experience in relation to the purchase decision process is presented. Thereafter, a problem statement discussing the integration of branded retail apps in physical stores, which constitutes the research gap for this study, is included. Lastly, this chapter is concluded with the purpose, research questions, and scope of the study.

1.1 Background

As technology has been introduced in society, it has also been integrated into retail (Reynolds

& Sundström, 2014) and become a force in making retail more advanced as well as accessible (Baird, 2018). As a result of the emergence and proliferation of technology, and its integration into physical stores, the concept of smart retail has emerged. According to Roy, Balaji, Sadeque, Nguyen, and Melewar (2017), smart retail reflects a technology-mediated environment where smart technologies are used by both retailers and customers to enhance the physical store environment. Smart technology refers to devices that sense the environment, controls functions autonomously, and allows for interactivity through the Internet (Roy et al., 2017; Foroudi, Gupta, Sivarajah & Broderick, 2018). Furthermore, Roy et al. (2017) state that the integration of smart technology into retail should support customers in three distinct ways:

anticipate customers’ needs, enhance the experience created in-store, as well as support customers in navigating effortlessly through their purchase decision process.

Smartphones and applications, apps, constitute the core technology in regards to smart retail (Roy et al., 2017). Because smartphones and apps can be used on the go and provide the customers with convenient and efficient services anytime and anywhere (Garg & Telang, 2012;

Wang, Malthouse, & Krishnamurthi, 2015), smartphones and apps illustrate how smart technology merge the physical dimension with the virtual and digital (Pantano & Timmermans, 2014; Roy et al., 2017). One form of app is branded retail apps, which Bellman, Potter, Treleaven-Hassard, Robinson and Varan (2011, p. 191) define as a “[...] software downloadable to a mobile device which prominently displays a brand identity, often via the name of the app and the appearance of a brand logo or icon, throughout the user experience”.

According to Pantano and Timmermans (2014), the integration of branded retail apps into physical stores has various consequences. One such consequence is the effect it has on the

2 traditional customer experience in-store. The integration of a smart technology, such as branded retail apps, creates smart customer experiences. In line, smart customer experiences is defined as the experience created by smart technologies in retail (Roy et al., 2017). This notion of technology occupying a key role in establishing and managing the smart customer experience in-store is supported by several authors (Fanderl, Neher & Pulido, 2016; Conick, 2017). By providing services based on personalisation and convenience, smart technology can improve the quality of customer experiences in physical stores beyond what traditional retail can offer (Wünderlich, Wangenheim & Bitner, 2013; Conick, 2017; Roy et al., 2017). Therefore, in today’s retail environment, creating superior smart customer experiences in-store is a crucial factor for retailers to consider in order to establish a competitive advantage in an increasingly competitive market (Gentile, Noci & Spiller, 2007; Verhoef, Lemon, Parasuraman, Roggeveen

& Schlesinger, 2009).

1.2 Problem Statement

Smart retail constitutes a vital step in the evolution of retail as it constitutes both the symbolic and actual merging of the physical world with the digital world (Pantano & Timmermans, 2014;

Pantano & Priporas, 2016). Thus, despite the emergence and proliferation of smart technologies into the retail environment, physical stores have not become obsolete (Grieder, Buck, Banfi, Kment & Fitzner, 2014). As technology has become increasingly sophisticated and consequently occupied an important role in many consumers’ lives, both the expectations and the actual behaviour of consumers have changed. Now that consumers are increasingly interacting with digital media and digital platforms, the purchase decision process has changed in the sense that consumers are accustomed to and expect convenience, personalisation, automation, and accessibility (Rigby, 2011; Sachdeva & Goel, 2015).

Therefore it is now essential for retailers, in order to stay relevant among customers, to meet the new expectations of customers (Grieder et al., 2014). In line with this, Turner and Shockley (2014) state that retailers need to advance their in-store delivery by adding smart technologies that allow customers to obtain the experiences that they now expect. Grieder et al. (2014) state that in order to succeed, retailers need to reconsider the physical stores to fit the current digital age. By introducing the digital world to the physical store in a way that satisfies customers, retailers can prevent the customer from replacing in-store shopping with technology. Instead, the two channels are being integrated into the same purchase journey (Rigby, 2011;

3 Brynjolfson, Hu & Rahman, 2013; Verhoef, Kannan & Inman, 2015; Grewal, Roggeveen &

Nordfält, 2017).

With the rise of smart technology and its integration into retail, the number of touchpoints between a retailer and customers have increased. With this increase in touch points, it is vital to monitor the experiences that are created and established through them. This because these smart customer experiences play an important role in the preferences of customers, which consequently has a great impact on the purchase decision process (Foroudi et al., 2018). In line with this, several researchers emphasise the importance of the smart customer experience (Roy et al., 2017; Conick, 2017; Foroudi et al., 2018), but state further that more research is needed concerning this (Ostrom, Parasuraman, Bowen, Patrício & Voss, 2015; Roy et al., 2017). In order for retailers to meet the desires of empowered customers, understanding customers’

digital needs in the context of the physical store is a crucial task to tackle (Newman, Wachter

& White, 2018; Foroudi et al., 2018). Apps, such as branded retail apps, constitute a core technology within smart retail and play a vital role in this challenge because of their ability to provide customers with flexible, personalised, and automated in-store environment that the technology-driven customers of today desire (Fanderl, Neher & Pulido, 2016; Roy et al., 2017;

Dacko, 2016; Conick, 2017; Foroudi et al., 2018).

The impact of branded retail apps and its presence in physical stores have previously been discussed in relation to customer experience (Peng, Chen & Wen, 2014; Leon, 2018), but as stated by Foroudi et al. (2018), the topic needs further investigation. In agreement, several researchers call for further investigation on the integration of branded retail apps in retail in regards to the smart customer experience that it creates (Dacko, 2017; Leon, 2018; Newman, Wachter & White, 2018). In addition, knowledge regarding the integration of branded retail apps in retail and the smart customer experience is lacking (Meyer & Schwager, 2007; Groß, 2015). In previous research on branded retail apps, a large focus has been directed towards consumers’ eventual acceptance and adoption of smart technology (Yang & Kim, 2012; Peng, Chen & Wen, 2014; Verhoef, Kannan & Inman, 2015; Wei, Torres & & Hua, 2016). Moreover, prior research on branded retail apps has focused on their key attributes and has therefore overseen the benefits that customers and retailers obtain from using them (Alnawas & Aburub, 2016). Therefore, it has been suggested that future research should not focus on whether consumers accept branded retail apps but instead focus on the integration of branded retail apps in-store and the smart customer experience resulting from this (Leon, 2018; Newman, Wachter

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& White, 2018). In line with this, Roy et al. (2017) suggest that future research should examine individual forms of smart technology used in retail and its relation to the smart customer experience and how it consequently influences customers in the purchase decision process.

Therefore, the integration of branded retail apps in physical stores in relation to the smart customer experience and purchase decision process constitutes the research gap which this study aims to contribute to.

1.3 Purpose

Hence, the purpose of this study is to explore the integration of a branded retail application in physical stores. This study focuses on the customer perspective by exploring the connection between smart technology, smart customer experience, and the purchase decision process.

Doing so, this study aims to provide retailers with valuable insights regarding the integration of smart technology in physical stores.

1.4 Research Questions

Building on the purpose of this study, the research questions that this study aims to answer is:

• What benefits does a branded retail application provide when used in-store?

• And, how does using a branded retail application in-store influence customers in the purchase decision process?

1.5 Definitions of Key Concepts

Smart Technology - Electronic and smart devices that sense the environment, control functions autonomously, and allows for interactivity through the Internet (Roy et al., 2017; Foroudi et al., 2018).

Branded retail application - A downloadable software to a smartphone that displays a brand identity of a retailer and is owned by the retailer itself (Bellman et al., 2011; Peng, Chen &

Wen, 2014).

Smart Retail- When smart technologies, such as branded retail apps, are being integrated into physical stores and merge the digital and physical world together (Roy et al., 2017; Pantano &

Timmermans, 2014).

5 Smart Customer Experience - The enhanced customer experience that occurs in the

technology-mediated retail environment where smart technologies are integrated into retail (Roy et al., 2017).

1.6 Delimitations

The study is limited to the clothing industry and the geographical market of Sweden. This because the clothing retail industry in Sweden continues to grow (Sternö & Nielsén, 2018) and is relevant in both offline and online contexts (PostNord, 2018). Furthermore, the empirical scope of this study is limited to one branded retail app within the Swedish clothing industry, more specifically H&M’s app. This because H&M is the biggest clothing retailer in Sweden (Sternö & Nielsén, 2018) and the only branded retail app within the clothing industry on App Stores’ ranking list (Apple SE, 2019). For further explanation of this choice, see 4.3 Selected case: H&M.

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2.0 Literature Review

Given this study’s focus, this chapter provides a background of previous literature on smart customer experience. Furthermore, a review of its connection to the purchase decision process is presented.

2.1 Smart Customer Experience

During the last decades, ever since Holbrook and Hirschman’s (1982) seminal article on consumption as experiential, the concept of customer experience has received increased attention among both scholars and practitioners (Gentile, Noci & Spiller, 2007; Meyer &

Schwager, 2007; Verhoef et al., 2009; Rose, Clark, Samouel & Hair, 2012). Since then, the focus on customer experiences has increased even more as new channels and technologies have allowed customers to interact with retailers in new ways and to a greater extent, thus making the experience more complex for customers (Brynjolfsson, Hu & Rahman, 2013; Verhoef, Kannan & Inman, 2015). The concept of the smart customer experience constitutes a development of the traditional conceptualisation of customer experience and refer to the enhanced customer experience that occurs in the technology-mediated retail environment where smart technologies are integrated into retail (Roy et al., 2017). In turn, there are several definitions of what smart technology is. Roy et al. (2017, p. 258) define it as smart devices that

“[...] interact with one another, sense the environment, and guide and control their functions autonomously”. In line with this, Foroudi et al. (2018) refer to smart technology as electronic devices that can be used interactively.

Smart technologies being integrated into retail is referred to as smart retail and constitutes an important development of retail (Roy et al., 2017; Pantano & Priporas, 2016) Smart retail differs from traditional retail in the sense that it emphasises interactions as occurring between, and amongst, customers, retailers and touchpoints. This stands in contrast to the traditional view of retail, which highlight the interaction between retailers and customers. Thus, one characteristic of smart retail is that it bridges the digital with the physical world with the help of smart technology, and thereby merge these two dimensions together (Roy et al., 2017; Pantano &

Timmermans, 2014). Because smart retail enable services that are personalised and customised beyond the extent of what traditional retail can offer, it improves and enhances the customer experience beyond what traditional retail is able to (Roy et al., 2017; Conick, 2017; Pantano &

Naccarato, 2010, p. 202). Roy et al. (2017, p. 259) propose that smart retail should aspire to aid

7 customers in regards to “anticipating consumers’ needs and making recommendations with respect to different choices in the context-specific purchase occasions”. Furthermore, smart retail should also aid in the enhancement of customers’ physical and digital experience in-store by providing customer with location- and interaction based information (Roy et al., 2017).

Lastly, smart retail should enable and guide customers in their navigation through the purchase decision process. In addition, Verhoef et al. (2009), submit that customer experiences, as a holistic construct, encompasses all stages of the experience, including the search, purchase and post-purchase phases.

2.2 Smart Customer Experience and the Purchase Decision Process

As technology has advanced, and also come to occupy an increasingly important role in customers’ daily lives, several scholars have supported the notion of smart technologies having fundamentally changed the interaction between retailers and customers in ways that are beneficial for both (Pantano & Timmermans, 2014; Pantano & Di Pietro, 2012). The integration of smart technology into the physical store environment have given the ability to optimize smart customer experiences and thus enhance the performance of retailers (Pantano & Di Pietro, 2012). As the concept of smart customer experience refers to a holistic concept occurring throughout a process of interaction between a customer and a retailer (Roy et al., 2017; Pantano

& Timmermans, 2014), this process develops and occurs throughout several different touch points that a customer may encounter during an interaction with a retailer (Stein &

Ramasheshan, 2016; Meyer & Schwager, 2007; Verhoef et al., 2009). In line with this, several scholars have made the connection between the smart customer experience and the purchase decision process (Pantano & Naccarato, 2010; Vrontis, Thrassou & Amirkhanpour, 2017).

Further, Vrontis, Thrassou & Amirkhanpour (2017) state that smart retail is altering the customer behaviour in regards to, and throughout, the purchase decision process while also functioning as an important and innovative strategy for retailers. In accordance, Pantano and Naccarato (2010) state that technology integrated into retail can influence the customer experience and customer behaviour throughout the different phases of the traditional purchase decision process. This process covers both pre- and post-purchase phases and is more particularly divided into five steps: (1) need recognition, (2) information search, (3) evaluation of alternatives, (4) purchase and (5) post-purchase evaluation (Pantano & Naccarato, 2010).

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3.0 Theoretical Framework

In the following chapter, the theoretical framework consisting of six aspects of smart customer experience, is presented. Thereafter, a continued description of the purchase decision process is provided. Lastly, the analytical framework is depicted in Figure 1.

3.1 Aspects of Smart Retail Experiences

Researchers have identified several aspects that in different ways are connected to smart customer experience. These include convenience and time convenience, personalisation, interactivity, control, usefulness, and involvement.

3.1.1 Convenience and Time Convenience

As stated by Srivastava and Kaul (2014), convenience is a vital factor in creating and establishing a positive customer experience. By providing customers with convenience, retailers may reduce the customers’ non-monetary costs, such as time, effort, and energy (Berry, Seiders & Grewal, 2002). Moreover, convenience constitutes a way for retailers to differentiate and position themselves in relation to competitors (Srivastava & Kaul, 2014). Researchers have investigated smart technologies, such as apps, connected to time and its effects on customer experiences (Verhoef et al., 2009). It has been argued that customers save a lot of time and exertion when using apps that are integrated in the retail experience since apps provide services that are automated more efficient (Turner & Shockley, 2014; McLean, Al-Nabhani & Wilson, 2018). Thus, it eliminates customers’ time waiting in the store (Verhoef et al., 2009). The intention to use apps is heavily driven by the notion that it facilitates a more efficient way to perform a task and thus, makes the experience more convenient (Pihlström & Brush, 2008). A characteristic of apps is that they provide the user with a vast variety of services “on the go”

and that convenience is a result of this (Garg & Telang, 2012; Rose et al., 2012; Wang, Malthouse, Krishnamurthi, 2015). In accordance, Parise, Guinan and Kafka (2016) claim that an app can play a crucial role for the smart customer experience as it can assist customers with relevant information at relevant places and timings and thereby make the experience more convenient.

3.1.2 Personalisation

In regards to retail, personalisation is a complex process that provide individual insights of services based on a customer’s own preferences as well as the retailers’ ability to offer the

9 service to the right customer at the right time (Parise, Guinan and Kafka 2016; Roy et al., 2017;

Mclean, Al-Nabhani & Wilson, 2018). Moreover, Lee, Tsao and Chang (2015) express that personalisation can lead to feelings of control in the sense that customers feel as if they are playing an active role in the creation of the experience. In accordance, Mclean, Al-Nabhani and Wilson (2018) state that personalisation of services can evoke feelings of an unique and enhanced experience.

Several researchers highlight personalisation as an important variable that characterises smart technology, such as branded retail apps, and claim that it has a great influence on customer experiences (Parise, Guinan & Kafka, 2016; Roy et al., 2017). Smart technologies make it possible for retailers to provide more personalised experiences as smart technology allows for automated services in favour of the customers (Roy et al., 2017). In accordance, Parise, Guinan and Kafka (2016) state that automation of personalisation allows for direct expertise accordingly to the customer’s behaviour including product search, product and price comparisons. Mobile apps provide consumers with choices, flexibility, and automation (Coronado & Iglesias, 2016; Conick, 2017). Providing customers with relevant content, filtered content and favourable items is argued to have positive effects on the customer experience as it shows emotional consideration (Rose et al., 2012; Parise, Guinan & Kafka, 2016).

3.1.3 Interactivity

There is no universal definition of the concept of interactivity, however, Steuer (1992, p. 84) define interactivity as “[...] the extent to which users can participate in modifying the form and content of a mediated environment in real time” and is by many considered as a starting point for the concept. Interactivity is a multidimensional construct that encompasses several aspects:

two-way communication (Alba et al., 1997), dialogue (Evans & Wurster, 1997) and reciprocity (Johnson, Bruner & Kumar, 2006). In line with this, Mollen and Wilson (2010, p. 921) explain interactivity to be an experiential phenomenon reflecting what extent an individual perceives an interaction to be “[...] two-way, controllable, and responsive to their actions”. Further, Roy et al. (2017) refer to interactivity as a cognitive and subjective aspect of interacting with a smart technology, including apps, and the smart customer experience of using an app. In a retail context, interactivity relates to what degree the design of smart technology can provide interaction between a retailer and customers while assisting customers in regards to goals and tasks of the shopping experience (Roy et al., 2017).

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3.1.4 Control

Control in regards to the customer experience has been given attention as it is an influencing aspect of how customers perceive the overall experience and its outcomes (Gou, Lotz, Tang &

Gruen, 2016). According to Ajzen (2002, p. 680), control can further be conceptualised into the sub-construct of controllability, which refers to “[...] the extent to which performing the behavior is up to the actor”.

In retail, control is the sense of power that the customer obtains by using smart technology (Roy et al., 2017). When using smart technologies in retail, customers have the power to influence and affect their experiences to obtain a suitable experience of their own desires (Roy et al., 2017). Further, Turner and Shockley (2014) explain that implementing smart technologies in- store allow for more efficient delivery of retailers’ offerings as it allows for the customers themselves to choose what, how and when they want to access information. This because the customers somehow have to perform the task themselves. The integration of branded retail apps in-store has given customers control and ownership of several aspects of the customer experience by providing customers with smart technology solutions features such as QR scanning, information seeking, and the ability to find items and availability in other stores (Kaushik & Rahman, 2015; Wei, Torres & Hua, 2016), services that before were heavily dependent on the personnel in the physical store (Newman, Wachter & White, 2018; Leon, 2018).

3.1.5 Usefulness

Usefulness refers to “[...] the degree to which a person believes that using a particular system would enhance his or her performance” (Davis, 1989, p. 320). Thus, the usefulness of technology relates to its compatibility in regards to the task that is being performed (McLean, Al-Nabhani & Wilson, 2018). It has been shown that smart technology has an effect on customer behaviour and experiences (Davis, 1989) and in a retail context specifically, it is argued that usefulness is positively correlated to customer experiences (Leon, 2018). Further, scholars have found that usefulness plays a significant role in relation to the smart customer experience. Lee, Tsao and Chang (2015) argue that usefulness influences the usage of apps in a retail context where Yang (2010) has also found that usefulness affects customers’ attitudes towards a shopping experience with an app.

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3.1.6 Involvement

Retailers must constantly seek to capture customers’ attention by conveying a message that attracts and engage the customer to purchase. In addition, it is equally important for customers to assimilate the message and get involved in the purchase decision process in order to result in a purchase (Puccinelli et al., 2009). As stated by Gentile, Noci and Spiller (2007), the concept of involvement refers to what extent a customer considers an activity or object to be important and thus also to what extent it evokes interest for the customer in question. Further, involvement can be described as the degree to which customers are genuinely interested in a product and want to know more about it (Zaichkowsky, 1985) something that is possible by using smart technologies (Roy et al., 2017). Hence, customers who know what they are looking for are more likely to spend time searching and evaluating this type of product and thereby is more involved in the process. The same goes for the other way around, customers who are not looking for anything in particular are explained to be less involved in the process. Highly involved customers are therefore more concerned about gathering information throughout the process in order to ensure that the right decision is being made, according to Puccinelli et al. (2009).

Further, Hsu and Tsou (2011) state that involvement constitutes a moderating factor in regards to customer experience and the effects of it - that is, customers that are highly involved perceive their experiences to be enhanced which consequently has an influence on their purchase behavior. In addition, Puccinelli et al. (2009) state that involvement influence customers in their experiences and therefore, retailers must constantly seek to enable customer involvement by creating more personalised customer experiences (Puccinelli et al., 2009), which can be done by using smart technologies (Roy et al., 2017).

3.2 Purchase Decision Process

The traditional description of the purchase decision process conceptualises it as five different phase. The first phase is need recognition phase, followed by the information search phase and the evaluation of alternatives phase. Lastly, the purchase phase is followed by the post-purchase evaluation. Pantano and Naccarato (2010) state that in each of these stages, smart technology can enhance the customer experience and make it more exciting - and consequently positively affect the purchase decision process. In the need recognition phase, smart technologies may have the ability to create new needs, or stimulate already existing needs of the consumer, by informing about and suggesting products and new arrivals. In the following phase, information search, smart technology can function as a tool for consumers to obtain immediate and specific

12 information about products, find specific products as well as compare between different products before visiting a store as well as in-store. During the evaluation of alternatives, smart technology aids in the consumer's decision-making process in the sense that the evaluation is done with the help of the information that the consumer has obtained with the help of the technology. During the fourth phase, the purchase stage, smart technologies may aid the consumer in regards to the payment process. Lastly, in the post-purchase evaluation phase, smart technologies may influence the evaluation process of the consumer. If the services provided in previous stages were satisfactory, the consumer is more likely to evaluate the purchase process more positively, resulting in increased satisfaction (Pantano & Naccarato, 2010).

3.3 Analytical Framework

To summarise and conceptualise the theoretical framework, an analytical framework is presented and depicted in Figure 1. The basis of the analytical framework is established in regards to the purpose of this study, which is to explore the integration of a branded retail application in physical stores. Therefore, the analytical framework illustrates how the theoretical framework is emphasised in this study and consists of the given aspects that are linked to, and influences, smart customer experiences when using a branded retail app in-store.

Figure 1. Summarizing Model of Theoretical Approach.

As previously mentioned, the six aspects in the theoretical framework are argued by several scholars to be connected or influence the smart customer experience and purchase decision

13 process. Using a branded retail app in-store is argued to result in greater convenience in regards to the smart customer experience (Garg & Telang, 2012; Rose et al., 2012; Wang, Malthouse

& Krishnamurthi, 2015; Parise, Guinan & Kafka, 2016). Further, involvement influences the customer experience and purchase decision process and retailers can increase high involvement with items by making the experience more personalised (Puccinelli et al., 2009). Moreover, personalisation is enabled through branded retail apps, something that is claimed to have an influence on the smart customer experience (Parise, Guinan & Kafka, 2016; Roy et al., 2017).

Having more personalised experiences in-store by using a branded retail app enables for further interactivity between retailers and customers (Parise, Guinan & Kafka, 2016; Bellman et al., 2011). Also, when using a branded retail app in-store, the customer is argued to obtain greater control in regards to the smart customer experience (Kaushik & Rahman, 2015; Wei, Torres &

Hua, 2016) where usefulness of the branded retail app is a crucial aspect in regards to the overall smart customer experience (Davis, 1989). Thus, all of these six aspects are in different ways connected to smart customer experience, which in turn influences the purchase decision process (Pantano & Naccarato, 2010; Vrontis, Thrassou & Amirkhanpour, 2017).

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4.0 Methodology

As the purpose of this study is to explore the integration of a branded retail application in physical stores, this study utilises a qualitative and abductive approach. This study was designed as a case study with H&M’s app. The sample consisted of two groups, group A and B, where different data collection methods were conducted in each group. The results were then analysed according to a thematic analysis.

4.1 Research Approach

The purpose of this study is to explore the integration of a branded retail application in physical stores. To fulfil this purpose, a qualitative approach was deemed suitable. According to Bryman and Bell (2015), a qualitative approach is suitable when investigating a phenomenon in order to get a richer understanding of a context heavily dependent on individual constructions.

Qualitative research is sometimes criticised for being too subjective, meaning that the findings are heavily dependent on the participants’ and the researchers’ interpretations of the studied phenomena. Moreover, other issues with a qualitative approach include that it may be difficult to replicate and cannot be generalised in the same way as quantitative studies can. However, qualitative studies allow for a more in-depth investigation of a phenomenon (Bryman & Bell, 2015; Patton, 1992), which was the aim of this study. Thus, it was considered suitable as an approach for this study.

However, like Saunders, Lewis, and Thornhill (2016) state when conducting qualitative research, it is vital to be transparent with the research design, the choice of methods, as well as how the data was obtained. This in order to eliminate criticism and provide other researchers with a thorough understanding of the research, how it has been conducted, and its findings. This is something that has been considered throughout this research process and especially when describing and motivating the methodological choices following.

Further, when studying the phenomenon, a process of going back and forth between theory and the empirical findings throughout the research process was made and thus, an abductive approach was applied (Saunders, Lewis & Thornhill, 2016; Bryman & Bell, 2015). This was done in order to gain initial empirical understanding of the studied phenomenon, then match it with relevant literature and thereafter adapt the theories according to the collected material.

15 With the help of the theoretical framework in chapter 3.0 Theoretical Framework, the phenomenon was then explored.

4.2 Research Design

In regards to research design, Bryman and Bell (2015) state that selecting the most appropriate research design for the purpose and research question is crucial. According to Saunders, Lewis, and Thornhill (2016), an exploratory design is most suitable and useful when the aim is to increase the understanding of a phenomenon that is not sufficiently explored. As previously argued in the problem statement, the integration of a branded retail application in physical stores constitutes an area in need of further research. Given the purpose of exploring this phenomenon further, this study can be categorised as an exploratory study in line with what Saunders, Lewis and Thornhill (2016) state.

According to Hyde (2000), a research design linked to, and often occurring within the qualitative research approach, is the case study, which is a research design that relates to a richer in-depth investigation of a specific situation or phenomenon. Conducting a case study entails investigating a current phenomenon in its “real-life context” and is a preferable research design when investigating a particular phenomenon (Yin, 1994, p. 3). Considering the qualitative approach of this study and the purpose of this study to explore the integration of a branded retail application in physical stores, a case study was deemed a suitable research design.

The chosen case for this study’s empirical collection was H&M, which is further motivated in chapter 4.3 Selected Case: H&M. However, limitations regarding conducting a case study have been taken into consideration during the research process. One issue regarding case studies concerns the generalisability, that is to what extent the findings of a case study can be generalised and applied to other cases (Bryman & Bell, 2015). However, when conducting a case study, the goal is, and should be, to focus on the unique features and complexity of the specific case and to develop an understanding of these. Thus, the goal is not to make claims that are generalisable, but to focus on one particularity and investigate this in-depth (Bryman &

Bell, 2015). According to Saunders, Lewis and Thornhill (2016), conducting a single case study is adequate when the selected case provides an opportunity to explore and analyse a phenomenon that few have explored before. Because the integration of branded retail apps in-

16 store is fairly under-researched, conducting a case study was therefore considered an opportunity to explore this emerging phenomenon.

4.3 Selected Case: H&M

Conducting a case study entails that one single organisation, a single event or a single location is being studied intensively and in detail (Bryman & Bell, 2015). In this study, an adequate and relevant branded retail app, created by a retailer and aimed to be used in-store, was needed in order to fulfil the purpose. In 2017, the Swedish clothing industry experienced a growth of 4,6%

(Sternö & Nielsén, 2018). Further, 69% of Swedish consumers purchased clothing in-store and 31% purchased clothing online (PostNord, 2018), indicating that both offline and online channels are still relevant for the Swedish clothing industry. Therefore, the retail industry was chosen as the relevant industry for this study. Moreover, to fulfil the purpose of this study, a branded retail app aimed to be used in-store was needed. In order to find an appropriate app relevant for this study, a list of App Store’s 200 highest ranked free apps in Sweden, which rank applications based on the popularity, amount of downloads and review rates, was reviewed on March 14th, 2019. Among the branded retail apps on the list, only five was within the given industry, as shown below.

Retailer Branded Retail App Physical Store

#37 SHEIN x

#50 Zalando x

#57 H&M x x

#164 Nelly x

#181 Zalando Lounge x

Table 1. List of free branded clothing retail apps on App Store March 14th, 2019.

From those five clothing branded retailer apps, only H&M’s app belonged to a retailer with physical stores in Sweden, which was one requirement needed to fulfil the purpose of this study.

On the list, H&M’s app was ranked as the 57th most popular app in general, and the third most popular shopping app in Sweden. H&M’s app had as of March 14th, 2019, 30 116 reviews from

17 users with a score of 4,5 out of 5 (Apple SE, 2019). Further, H&M is the biggest Swedish retailer within the clothing industry (Sternö & Nielsén, 2018).

According to Stake (2005), a case can be selected on the basis of being interesting, which differentiates the logic of a case study from the quantitative logic. One important factor in choosing H&M’s app in particular for this study was the app’s “In-Store Mode”, which was launched in Sweden in 2018 (Veckans Affärer, 2018). Thus, it constitutes a relatively new function in a Swedish context. The “In-Store Mode” function allows customers to enable their location service on the smartphone when being in the store that they are visiting and consequently utilise the functions of the app dynamically to explore the range and offer of the specific store. The functions within the “In-Store Mode” include text search, visual search and QR-scanning (H&M, n.d.), as further described in Appendix A. Thus, H&M’s app was largely chosen because of it constituting a new and interesting form of smart technology that is relatively new in regards to the Swedish market.

However, it is important to point out and consider the limitations connected to choosing H&M’s application as the case for this study. The empirical findings are connected, and limited, to the H&M app and its functions - something that may have influenced the results of this study. That is, the findings in this study are somewhat biased in regards to the H&M app and the findings might have turned out differently if studying another app with other functions. According to Stake (1995), when selecting the case for a study, researchers should focus on the case that they believe provide the biggest opportunity to learn and where the learning would be the greatest in comparison to other cases. With the functions that the H&M app provides and the intention to be used in-store, H&M’s app constitutes a relatively new form of smart technology and is therefore deemed an interesting case to study in regards to the purpose of this study. To conclude, the areas of critique towards case studies as a research design have been considered during this process and should be taken into consideration in regards to the findings derived from this study.

4.4 Material Collection

In this study a triangulation of material collection was made, meaning that several methods of material collection are being used in different steps (Bryman & Bell, 2015; Saunders, Lewis &

Thornhill, 2016). Initially, in-store observations and shorter semi-structured interviews were

18 conducted outside of different H&M stores with H&M customers (Sample Group A). This in order to gain initial understandings of what is relevant and what to ask about in the upcoming longer semi-structured interviews. Thereafter, think-aloud observations in-store were conducted with another sample group (Sample Group B). In addition, longer semi-structured interviews were conducted with this group (Sample Group B) after the in-store observations.

Thus, the first sample group (Group A) provided initial insight and understanding of what to investigate further on the additional sample group (Sample Group B).

In line with what Saunders, Lewis, and Thornhill (2016) suggest, issues regarding the credibility of the study were considered. The three chosen methods are partly motivated by their suitability for this study and partly a strategy to achieve triangulation. Using different methods in one study allow for the different methods to compensate for their respective limitations while also exploiting their individual benefits (Brewer & Hunter, 1989). According to Saunders, Lewis, and Thornhill (2016), triangulation is a suitable strategy in regards to enhancing the credibility of qualitative research.

4.4.1 Sample Group A: In-Store Observations and Short Semi-Structured Interviews

Semi-structured interviews are an appropriate method for collecting material in studies with an exploratory nature (Saunders, Lewis & Thornhill, 2016) and were therefore chosen as the initial method in this study. In order to gain initial insight and knowledge on the integration of a branded retail app in-store, short semi-structured interviews were conducted with H&M customers (Sample Group A) outside three different H&M stores located in Stockholm on four different occasions during different weekdays and hours of the day: (1) H&M Mall of Scandinavia on a Thursday between 10-12 am, (2) H&M Fältöversten on a Thursday between 3-4 pm, and (3) H&M Hamngatan on both a Thursday between 4-8 pm and a Saturday between 1-3 pm. These stores were chosen on the basis of size, location, and customer base. All three stores are relatively large compared to other H&M stores, located in the centre of Stockholm and can therefore be assumed to have a broad customer base in regards to age, gender, and experience with H&M. This in order to ensure that the researchers found a wide range of participants for the study. The respondents were observed in the store to ensure that they were using the H&M app and were then approached by the researchers outside the store. If the customer gave their consent, a few questions regarding the app was asked. In total, 15 customers agreed to answer short questions outside the three different stores. Questions in the interview

19 guide (Appendix C) were asked as well as some follow up questions that came naturally during the interviews. In accordance, semi-structured interviews enable the researchers to change the order of the questions depending on the flow and context of each conversation and ask additional follow-up questions when needed (Bryman & Bell, 2015). Because the interviews with the participants in sample group A were conducted on the go outside H&M stores, recording was not deemed possible due to disturbing noises in the background and therefore, notes were taken.

4.4.2 Sample Group B: Think-aloud Observations

The second part of the material collection included think-aloud observations in-store with an additional selection of participants (Sample Group B). Charters (2010) explain that think-aloud methods allow participants to speak their thoughts out loud when performing a task. Seven think-aloud observations, approximately 15 minutes long each, were conducted in two different H&M stores located in Stockholm during a span of three weeks: (1) H&M Hamngatan and (2) H&M Hornstull. Bryman and Bell (2015) suggest that key dimensions of what should be observed need to be decided beforehand. Therefore, an observation schedule (Appendix D) was made prior to the observations. During the think-aloud observations, the researchers of this study observed and took notes, as suggested by Bryman and Bell (2015). In think-aloud methods, non-verbal actions such as body language are important to capture as well (Charters, 2010) and therefore, all actions were observed and noted by the researchers.

Observations can possibly result in the participants feeling uncomfortable as they are being observed, something that the researchers are responsible for (Bryman & Bell, 2015). Therefore, all participants were asked for consent beforehand and were also informed that their participation was completely voluntary and that they were free to withdraw from the study at any time, as suggested by Kvale and Brinkmann (2014). The respondents were also informed about how the observations would play out and that the session would stop immediately if any participant felt uncomfortable. As suggested by Bryman and Bell (2015), all participants were given the possibility to ask questions at any time throughout the think-aloud observations. One area of criticism regarding think aloud-observations concerns the risk that the participants might feel pressured to deliver adequate material (Bryman & Bell, 2015). Therefore, this method can be criticised for influencing the participants and to some extent being biased (Charters, 2010).

Think-aloud observations have also received criticism for only including understandings of

20 participants’ direct actions and not the reasons behind it. It is therefore suggested that researchers should not rely on think-aloud observations as the only method for data collection (Charters, 2010). Because of this, semi-structured interviews were chosen as an additional method for collecting data.

4.4.3 Sample Group B: Long Semi-Structured Interviews

The second part of the data collection with sample group B also included longer semi-structured interviews. The semi-structured interviews were conducted directly after the think-aloud observation in order for the respondents to have the experience fresh in memory. Thus, each interview was conducted face-to-face. Semi-structured interviews enabled the participants to explain and further develop their answers freely while also being able to hear themselves speak out loud about the topic of the interview. In this way, the participants' ideas could lead the conversation forward (Saunders, Lewis & Thornhill, 2016). The questions asked during the interviews were based on the interview guide (Appendix E) and follow-up question were asked, something that semi-structured interviews allow for as previously stated by Bryman and Bell (2015).

One issue with semi-structured interviews concerns the lack of standardisation that can follow the flexibility, which in turn can result in concerns regarding the reliability and dependability of a study. However, it is important to note that the flexibility of semi-structured interviews contributes with value in the sense that it allows the researcher to explore the topic more in- depth (Bryman & Bell, 2015). The findings deriving from semi-structured interviews reflect the context that they are collected in and are therefore not intended to be repeatable.

As this study is limited to the geographical market of Sweden, and the native language of the participants is Swedish, the think-aloud observations as well as the interviews were all conducted in Swedish. This in order to eliminate language barriers and to avoid misinterpretations, as suggested by Kvale and Brinkmann (2014). In accordance with Alvehus (2013), the interviews were audio recorded and then transcribed. Audio recording the interviews enabled the participants’ tone of voice to be included in the transcripts, which is vital when transcribing qualitative material to not miss vital aspects and indications (Saunders, Lewis, &

Thornhill, 2016). In addition, respondent validation was carried out after the material collection and before the process of the analysis, as suggested by Bryman and Bell (2015).

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4.4.4 Pilot Tests

As suggested by Bryman and Bell (2015), pilot studies were conducted prior to the data collection. This in order to ensure that the observation schedule (appendix C) and interview guides (Appendix D & E) were understandable and clear and in order to prepare the researchers for the interview situation. The pilot tests provided insights on how relevant and clear the participants perceived the questions and what questions that were not needed or were too similar to other questions. Regarding the think-aloud observations, the pilot provided information regarding how the observations were to be conducted in regards to the participants feeling comfortable and understanding the purpose of the observation.

4.4.5 Selection of Participants

When selecting participants for sample group A, customers who used the H&M app in-store was observed and selected solely on the basis of them using the app in-store. Therefore, participants in sample group A were selected randomly, regardless of age and gender. The table below outlines the participants from sample group A.

Participant Gender Age

Participant A1 Female 31

Participant A2 Female 60

Participant A3 Female 23

Participant A4 Female 40

Participant A5 Female 25

Participant A6 Female 30

Participant A7 Female 25

Participant A8 Female 31

Participant A9 Male 40

Participant A10 Female 23

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Participant A11 Female 29

Participant A12 Female 23

Participant A13 Female 24

Participant A14 Female 30

Participant A15 Female 25

Table 3. List of Participants in Group A.

When selecting participants for group B, a set of criteria was decided beforehand that all participants had to fulfil. All participants in group B had to have a smartphone since the participants in this group were to use H&M’s app in-store and because apps are software that needs to be downloaded to some kind of smartphone (Bellman et al., 2011). Further, all participants in sample group B had to be willing to use H&M’s app in-store and give consent to conducting the think-aloud observations and semi-structured interviews. The table below presents an overview of the participants in sample group B.

Participant Gender Age Length of Think-Aloud

Length of Interview

Participant B1 Female 23 13:46 min 27:26 min

Participant B2 Female 26 11:29 min 14:54 min

Participant B3 Female 28 11:14 min 22:33 min

Participant B4 Male 23 17:49 min 19:14 min

Participant B5 Female 27 15:22 min 18:33 min

Participant B6 Female 24 08:03 min 16:19 min

Participant B7 Female 24 12:12 min 16:40 min

Table 4. List of Participants in Sample Group B.

The entire sample of this study consists of 22 participants, of which 15 belongs to sample group A and 7 to sample group B. In line with the geographical scope of the study, all 22 participants are residents of Sweden. Important to note is that the sampling technique for group B in this

23 study was based on criteria set out by the researchers themselves and subjective assumptions on what was deemed to be relevant for this study. This might have had consequences on the result of this study and thus making the chosen sample not representative for the whole population (Saunders, Lewis & Thornhill, 2016; Bryman & Bell, 2015). However, it is considered a sufficient sample when qualitatively exploring a phenomenon in-depth (Bryman

& Bell, 2015) as this study is aiming to do.

In regards to the ethical considerations, all participants’ integrity were handled in a respectful way (Bryman & Bell, 2015). Therefore, all participants in this study are anonymous and referred to as “Participant A1”, “Participant A2” and so on. Additionally, notes from the short interviews, observations, audio recordings and transcriptions from the interviews are only available to the researchers. However, all participants agreed on these being released to a third party if such a request would arise.

4.5 Operationalisation

The material collected from the initial short interviews, think-aloud observations and semi- structured interviewing were based on their respective observation schedule and interview guide (see Appendix C, D & E), which were derived from the operationalisation table (Appendix B). Building on this, the operationalisation is based on the theoretical framework.

Questions about convenience and time convenience were asked as literature express that smart retail technology and branded retail apps provide convenience (McLean, Al-Nabhani & Wilson;

Turner & Shockley, 2014; Pihlström & Brush, 2008; Verhoef et al., 2009; Garg & Telang, 2012;

Rose et al., 2012; Parise et al., 2016; Srivastava & Kaul, 2014; Wang, Malthouse &

Krishnamurthi, 2015). Further, in order to gain insight on the aspect of involvement (Gentile, Noci & Spiller, 2007; Puccinelli et al., 2009; Hsu & Tsou, 2011; Zaichkowsky, 1985), questions regarding this aspect were asked. As the concept of personalisation provides insights based on a customer’s own preferences and the retailers’ ability to provide this to customers (Parise, Guinan & Kafka, 2016; McLean, Al-Nabhani & Wilson, 2018; Roy et al., 2017; Conick 2017; Coronado & Iglesias, 2016; Rose et al., 2012; Lee, Tsao and Chang, 2015), questions were asked concerning this. Building on, interactivity is a multidimensional construct that encompasses two-way communication (Alba et al., 1997; Mollen & Wilson, 2010), dialogue (Evans & Wurster, 1997) and reciprocity (Johnson, Bruner & Kumar, 2006), all stated

24 to influence the smart customer experience and therefore questions connected to this were asked. Additionally, questions about control were asked as it is argued to play a role in the smart customer experience and customer’s ability to control this experience (Gou et al., 2016; Ajzen, 2002; Roy et al., 2017, Turner & Shockley, 2014; Kaushik & Rahman, 2015; Wei, Torres &

Hua, 2016). In line with this, Newman, Wachter and White (2018) and Leon (2018) state that smart technologies allow for the customer to perform task themselves in-store. Lastly, concluding questions about usefulness were asked as Davis (1989) and McLean, Al-Nabhani and Wilson (2018) express that usefulness relates to how an app would enhance the performance and the capability to perform tasks in-store.

4.6 Data analysis

As the think-aloud methods and interviews were held in Swedish, the analysis and process of the collected material was done in Swedish. As the data collection and operationalisation were based on the theoretical aspects, the collected material is linked to these. Further, the material within each theoretical aspect was coded according to a thematic analysis, meaning that commonly found themes and patterns were identified (Saunders, Lewis & Thornhill, 2016;

Bryman & Bell, 2015). When coding the material, identified themes allowed for separating its meanings from each other and thereby provided an overall comprehension of the collected material (Bryman & Bell, 2015). Additionally, each theme was allocated a colour in order to easily highlight its different meanings. Further, when the coding was done, an additional search for themes was then made. When searching for themes, the list of codes was summarised into broader categories meaning that several codes are related to one theme (Saunders, Lewis &

Thornhill, 2016). From this process, five themes were identified and constitute the headings of the empirical findings, as disclosed in 5.0 Empirical Findings. After this was done, the thematic findings were translated from Swedish to English. This part of processing the material implied the researchers’ subjective ability to sort codes into themes based on their own assumptions and interpretations. Worth mentioning is that the thematic analysis approach, as well as the translations, leave room for the researchers’ subjective assumptions when interpreting the respondents’ answers. However, it is considered a beneficial method when exploring humans’

different interpretations of a phenomenon (Saunders, Lewis & Thornhill, 2016).

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5.0 Empirical Findings

In the following chapter, the findings from the interviews and observations are presented. The findings are presented according to five themes that were detected from the material during the coding process. These themes include (1) prior store visit usage and in-store usage, (2) in-store information, (3) selective information, (4) visualisation of items in-store and (5) in-store communication.

5.1 Prior Store Visit Usage and In-Store Usage

When asked how the participants use the app while being in-store, the participants disclose contrary ways of using it. Some participants state that they use the app prior to visiting the store in order to know what to look for when being in-store. These participants explain that they do this because the app provides information beforehand on what is available in the specific store.

For example, several participants state that they use the app to browse among items at home or on the go in order to find something interesting that they want to look at further when visiting the store. Then, when being in-store, it is explained by the participants that the app is used to search for the specific items. Furthermore, the participants state that the app allows them to receive more information about the certain items and its availability in the specific store and that the app enables direct information that is relevant in regards to their preferences and demands.

Further, several of the participants express that the text search function is favourable when they know what they want or what type of garment or item they are looking for. One participant describes that she was looking for a leopard skirt and by searching for it with the text function, she could easily get information if the specific store had one available and also if it was available in her size.

“[...], I could get information if there were any in the store so I didn’t have to spend unnecessary time looking for it.”

Participant B2

In addition, some of the participants explain that the app is superfluous when they are not looking for anything in particular. When shopping spontaneously, these participants state that they get inspired by browsing and seeking inspiration in the physical store. In such situations,

26 the participants argue that the app is too demanding and requires too much as it is difficult to look at items in the store and at the same time keep focus on the app. These participants claim that using the app in such situations is distracting and disrupting to their store visit.

5.2 In-Store Information

Another part of the participants claim to not use the app prior to their store visit - instead they start using the app once they enter the store and thereafter throughout the entire visit. An essential aspect of using the app in-store is the ability to gather information fast and efficiently, as explained by the participants. This is especially mentioned by the participants that use the app throughout their entire store visit. Several participants express that the app aids them during their store visit by receiving relevant information while also enabling them to choose what information they want to be exposed to. For example, it is being described by participants that they are using the app in-store to search for specific items by scanning the QR code of a certain item or garment in order to see what sizes that are available in the particular store. However, a third part of the participants expresses that they use the app only by the cashier to collect bonus points and utilise discounts, and not to search for items or sizes. As one participant explains:

when you are already in the store you can look for this kind of information yourself or ask the store personnel for help and using an app in-store then becomes superfluous.

On the contrary, a majority of the participants express that it is convenient to access information about an item or product in-store through the app without having to interact or ask the store personnel. These participants mention further that this is particularly important in larger H&M stores where it often is difficult to find personnel and one has to spend a lot of time looking for help. Among the participants that state this to be important, the app is being used in-store to search for sizes and stock availability in the specific store. In accordance, the participants highlight that being able to interact with H&M through the app when being in-store saves a lot of time, which in turn is stated as an important factor in facilitating a purchase.

“The app gives me more information if an item is available in my size and I don’t think I would really spend time doing that myself. I would then just let it be but the app makes me buy

the clothes faster.”

Participant A5

27 It is being highlighted that the app enables the participants to access crucial information. For instance, one participant explains that when the store she visited did not have her size available, she could easily see other stores nearby that had her size. She then went directly to a store where it was available and bought it. If the app had not given her this information, she would not have taken the effort to look up the information herself, she explains.

5.3 Selective Information

It is being stated by the participants that the app enables them to choose what information they want to be exposed to as they can determine what information to search for and also neglect information that they are not interested in. Further, the heart function in the app allows for the participants to mark and save their favourite items, something that is frequently used by several of the participants. One participant explains that this is favourable for her when she sees an item in-store that she likes but is not available in her size in the store. She then explains that this function enables her to purchase the item later on when it is available again as the app notifies her when it is. In addition, she explains that this function is also helpful when she is uncertain about an item and want to think more about it before making a purchase. She adds that if she then decides to purchase, she can easily look up where it is available and purchase it in the given store. This is supported by several other participants who state that the heart function enables them to think a day or two before purchasing an item that they are initially uncertain about.

“[...] if I’m uncertain and want more time to think about it, I mark the item as “Favourite” so that I can save it in the app and take a day or two to think.”

Participant A12

However, some of the participants also mention that the app should function more like a personal assistant in-store. It is being highlighted that the app today lacks several important functions that could make the store visit more beneficial. One example is the function of where in the store to find an item. Today, the app only allows you to know if an item is available in the store but not where in the store you can find it. The participants express that they would want the app to inform them on where exactly in the store a particular garment is located.