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Catherine Saade (2310206)

2010

ASSESSING THE USE OF ATMOSPHERICS IN AUTOMOBILE SHOWROOMS IN ACCRA - GHANA


A Dissertation submitted to School of Arts and Social Sciences, Regent University College of Science and Technology in Partial Fulfillment of the requirements for the Bachelor of Science degree in Management with Computing

Catherine Saade BSc (Hons) Management with Computing, Regent July Ghana 2010

Catherine Saade (2310206)

ASSESSING THE USE OF ATMOSPHERICS IN AUTOMOBILE SHOWROOMS IN ACCRA - GHANA

A Dissertation Submitted to School of Arts and Social Sciences, Regent University College of Science and Technology In Partial Fulfilment of the Requirements for the Bachelor of Science degree in Management with Computing

Catherine Saade (2310206) July 2010

BSc (Hons) Management with Computing, Regent Ghana

Catherine Saade (2310206)

ABSTRACT

In an attempt to broaden our appreciation for the impact of the physical environments on the consumer in the automobile showroom, this dissertation examined the atmospheric elements of colour, lighting, layout, odour, music and temperature that constitute the physical environment of a showroom. The purpose of this study is to extend the perceptions of customers about the atmospherics of the marketplace done in the service industry, to automobile showrooms in Ghana. In order to achieve this objective, the question was posed in relation to the extent to which automobile companies in Ghana use atmospherics to communicate a welcoming environment for their customers and visitors in their showrooms. The research employed descriptive statistics to manage the data and also introduced focus group methodology. This method involves group interaction, thus participants are

encouraged to talk to one another by asking questions, exchanging suggestions and making comments on each others point of view. The researcher used content analysis to analyse the recorded interviews and discussions. The sampling frame consisted of a list of six showrooms namely, Rana Motors, Honda, Mechanical Lloyd, Toyota, PHC Motors and Japan Motors. The result of this study indicates that the showrooms investigated had atmospherics elements relating to visual and tactile sensory factors. It was also observed that the layout element was the most frequently used; followed by colour, temperature and lighting. Odour and music were not used. The study concludes that the amount of time spent in the
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showroom and the sensory experience of the customer or visitor can be associated with the presence of atmospherics in the showroom. This dissertation suggests to the automobile companies studied, that the use of atmospherics a marketing technique or tool can support the establishment a competitive market positioning in the automobile industry.

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DECLARATIONS
I, CATHERINE SAADE, do hereby declare that, with the exception of references made to specific texts or ideas which have been duly acknowledge, this dissertation, Assessing the Use of Atmospherics in the Automobile Showrooms in Accra, Ghana, is exclusively the outcome of my own initiative and effort. This work was carried out under the supervision of Dr. Charles Owiredu, a member of faculty. Furthermore, this dissertation has neither been presented in whole nor in part to any other institution for the award of any degree.

................................................................ CATHERINE SAADE (CANDIDATE)

................................................................. CHARLES OWIREDU (PhD) (SUPERVISOR)

DATE..........................................

DATE..........................................

Copyright 2010 Catherine Saade The copyright of this thesis rests with the author. No part from it should be published without her prior written consent, and information derived from it should be acknowledged.

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ACKNOWLEDGEMENTS
In bringing these months of research to an end, I owe a special debt of gratitude for the unfailing support of many people, only a few of whom I can mention here. First of all, I am greatly indebted to my supervisor Dr. Charles Owiredu who provided timely assistance and insightful advice. His extraordinary constant support and encouragement throughout the development of this dissertation have made possible its successful completion. Secondly, I would like to thank Professor Paul Sergius Koku, a visiting professor from Florida Atlantic University for providing excellent guidance in the selection of my topic and whose course in Research Methodology has helped me every step along the way. His selfless support seems to have no limit. I would like to express my deepest thanks to my father, Mr. George Saade. The difficulty of completing my studies in this University on time was considerably eased by his generous encouragement and awesome interest. Daddy, you have made all this possible, God Bless you. Also, thanks to my wonderful family for their continual support and encouragement. Finally, I extend my warmest gratitude to Mr. Chris Aviah-Gyebi for kindly reading through the dissertation with careful and capable eye for typographical errors. I dedicate this work to my beloved children. May God bless them all.

Catherine Saade, July, 2010

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TABLE OF CONTENTS

ABSTRACT..............................................................................................................................................i DECLARATIONS ................................................................................................................................... iii ACKNOWLEDGEMENTS ....................................................................................................................... iv TABLE OF CONTENTS ........................................................................................................................... v LIST OF TABLES ................................................................................................................................... vii LIST OF FIGURES ................................................................................................................................ viii Chapter 1 .............................................................................................................................................1 INTRODUCTION ....................................................................................................................................1 1.1. 1.2. 1.3. 1.4. 1.5. 1.6. Automobile Atmospherics ...................................................................................................3 Objective of the Study .........................................................................................................5 Problem Statement ..............................................................................................................5 Purpose of study ..................................................................................................................6 Research Questions .............................................................................................................7 Research Implications / Limitations .....................................................................................7

1.6.1. Context.................................................................................................................................8 1.6.2. Time Factor ..........................................................................................................................8 1.7. The Structure of the Thesis ..................................................................................................9

Chapter 2 .......................................................................................................................................... 10 LITERATURE REVIEW ......................................................................................................................... 10 2.1. 2.2. 2.3. Introduction ...................................................................................................................... 10 Environmental Psychology ................................................................................................ 10 Atmospheric Elements and Hypothesis ............................................................................ 12

2.3.1. Introduction ...................................................................................................................... 12 2.3.2. Olfactory and Auditory ..................................................................................................... 13 2.3.3. Visual ................................................................................................................................. 16 2.3.4. Tactile................................................................................................................................ 18 2.3.5. Social factors ..................................................................................................................... 18 2.3.6. Summary ........................................................................................................................... 19 2.4. Summary of Review .......................................................................................................... 20 v

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2.5. 2.6.

Hypothesis ........................................................................................................................ 21 Conceptual Framework..................................................................................................... 21

Chapter 3 .......................................................................................................................................... 23 METHODOLOGY ................................................................................................................................ 23 3.1. 3.2. Introduction ...................................................................................................................... 23 Types of Research ............................................................................................................. 23

3.2.1. Descriptive Research......................................................................................................... 24 3.2.2. Analytical/Explanatory Research ...................................................................................... 24 3.2.3. Descriptive statistics ......................................................................................................... 25 3.3. 3.4. Qualitative Research Procedure and Focus Groups ......................................................... 25 Sample Selection and Data Collection Processes ............................................................. 26

3.4.1. Profile of Showrooms ....................................................................................................... 26 3.4.2. Observations ..................................................................................................................... 27 3.4.3. Conversations and Interviews........................................................................................... 28 3.5. Data Analysis Techniques ................................................................................................. 29

Chapter 4 .......................................................................................................................................... 33 RESULTS ............................................................................................................................................ 33 4.1. 4.2. Interpreting Results .......................................................................................................... 33 Hypothesis Test ................................................................................................................. 38

Chapter 5 .......................................................................................................................................... 41 CONCLUSION AND RECOMMENDATION .......................................................................................... 41 5.1. 5.2. 5.3. 5.4. Conclusion......................................................................................................................... 41 Implications for Theory and Practice ................................................................................ 42 Recommendation.............................................................................................................. 45 Further Research Direction ............................................................................................... 46

Reference .......................................................................................................................................... 47 Appendix I ......................................................................................................................................... 50 Appendix II ........................................................................................................................................ 51

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LIST OF TABLES

Table 1. Frequency of Usage of the various Atmospheric Elements ................................................ 31 Table 2. Appearance of Atmospheric Elements (AEs) ..................................................................... 32 Table 3. Reference to Atmospheric Elements by Respondents in Automobile Showrooms ............ 34 Table 4. Distribution of Atmospheric elements (by senses) over Automobile showroom ............... 36

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LIST OF FIGURES

Figure 1. Model of Influence from the Showroom Environment to Customers ............................... 21 Figure 2. A Bar Chart of Appearance of Atmospheric Elements ..................................................... 32 Figure 3. A Bar Chart of Reference to Atmospheric Elements by Respondents .............................. 35 Figure 4. A Pie Chart of Reference to Atmospheric Elements by Respondents ............................... 36 Figure 5. A Bar Chart Distribution of Atmospheric elements (by senses) ....................................... 37 Figure 6. A Pie Chart Distribution of Atmospheric elements (by senses) ........................................ 38

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Chapter 1

INTRODUCTION
The atmosphere of commercial spaces plays a significant role in sales management. (Quartier and Cleempoel 2008). However, the notion of the influence of the retail environment on consumers via the use of atmospherics is relatively new in the study of retail design. For some time now, commercial spaces have concentrated on products, services and salesmen. Kotler (1973) defines atmospherics as the intentional control and structuring of environmental cues. He refers to a five - dimensional experience, which he bases on our five senses. To him the concept of atmosphere in relation to a store is the effort to design buying environments to produce specific emotional effects in the buyer. In other words, atmospherics represent aspects of environmental design that are understood to influence consumer behavior by creating attention to actual or potential customers and by stimulating affective responses. Atmospherics comprise both tangible elements (the building, carpeting, fixtures, point of purchase and decorations) and intangible elements (Colours, music, temperature, scents) that comprise service experiences (Turley 2002). Bitner (1992) observes that atmospherics can impact both employee and consumer behaviours and the degree to which a service transaction is successfully conducted. Atmospherics are growing in importance. Kottasz (2006) has noted that this is because they provide pulling power for visitors who otherwise may not visit a particular venue (p.
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97).

Connecting with customers who visit showrooms is essential to the success of the

automobile business. The physical characteristics and surrounding of the showroom contributes to these connectors. Atmospherics is a term used in describing the art of creating sensual appeal to attract customers (Mitchell 2008). In enhancing shopping behavior that is complimentary to retail, the combination of all of the physical and nonphysical elements in this study of a showroom is understood as retail atmospherics (Eroglu and Machleit 1993). For example, the manipulation of elements such as colour, lighting, sound, scents, fixtures and design within the showroom is meant to influence the purchasing habits of customers. Atmospherics can be used in changing the buying behavior of customers. The use of atmospherics relates with the concept of sensory marketing which refers to the five senses, namely, visual (sight), auditory (hearing), olfactory (smell), tactile (touch) and gustative (taste). Changes in the sensory essentials of a store and floor plan design can produce positive feelings that will attract potential buyers further into the store and increase the shop time of customers. For example, when the weather outside is warm, a stores

atmospherics may make a customer feel comfortable in an air-conditioned environment within, thereby developing a lingering and profitable shopping experience for customers. Thus the changes to the environment of a showroom will influence the customers mood or feeling for the products display in the showroom. People may not shop only because they may need what they purchase but also because it may be a way of improving moods (Mano, 1999). It is generally accepted that the use of atmospherics encourages shoppers to buy more and return to the store more often (Mitchell 2008). In discussing the important role atmospherics can play in maximizing a stores potential, researchers focused their

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study on specific atmospheric elements like, color (Khouw 2006, Valdez and Mehrabian 1994), lighting on shopping behavior (Summer and Herbert 1999) or music (Kellaris and Kent 1992, Milliman 1982). Turley (2002), observes that most atmospheric-related research appear to have been done in a retailing of goods context. However, to date, theoretical or empirical research

investigating the impact of atmospherics as they relate to customers and visitors in an automobile showroom is nonexistent. In Ghana, though automobile companies continually design, build and change both the interior and exterior of their physical environments in an attempt to control their influence on visitors and users, the managers do not really know the significance of atmospherics and the impact of the change of atmospherics elements on the users or visitors. The major goal of every retailer must be to influence the purchasing potential of target customers. One way by which this can be achieved is through the provision of ideal atmospherics in stores. Atmospherics have a lot to do about the environment within which business operates and how customers behave in business environments. Environmental psychology refers to the use of atmospherics to create environments and its influence on the behaviour of individuals (Mehrabian and Russel 1974).

1.1. Automobile Atmospherics


The ultimate desire of an automobile company is to make customers enjoy the whole process of shopping for a new car. Visitors in the showroom must feel welcome to spend as long as they desire to make their purchasing decision. This research undertook an audit
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of six car dealerships from in Accra to investigate how they use atmospherics in their showrooms. Automobile showroom atmospherics describes the micro level design of showroom common areas so as to create desired emotional effect on showroom workers and visitors. In other words, showroom atmospherics involves the manipulation of showroom environments to create specific emotional effects in those who find themselves in the showroom, thus making the showroom experience enjoyable in order to secure continued visit to the showroom by customers. The study of showroom atmospherics is an important development for the retail marketing in the automobile industry and influencing how visitors see showroom services, cars and other vehicles, buildings, systems and their place in customer satisfaction. In the context of this study, atmospheric variables include sight, sound, scent and the general feel of the interior design of the showroom. The interior variables within shop interiors have an individual effect on the consumer (Quartier and Cleempoel 2008). Interior atmospheric variables within the structure of the showroom include colour schemes, ventilation, lighting, acoustics, electronic support, upholstery and shelving fixtures. These variables undoubtedly dictated the need for a varied interior design in order to ensure a productive atmosphere for visitors. A typical example is the use of lighting. Computer screens also affect issues of lighting within the showroom. Visitors are beginning to gather more information on the business of the sale of cars contained onscreen. The display of an automobile companys website and the navigation on touch-screen in the showroom impact the amount of time spent in the showroom.

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1.2. Objective of the Study


The objective of the study is to investigate customers/visitors impression about atmospherics in automobile showrooms and determine whether the atmospherics have any influence on the length of time spent in the showroom.

1.3. Problem Statement


Atmospheric elements are important marketing tools needed in the packaging of cars for sale in the automobile showroom environment. There is the need for an investigation of the automobile showrooms in Accra, Ghana, in order to find out what atmospheric elements each showroom features. Atmospherics when properly used can make customers stay longer and desire to stay longer in the showrooms. In this regard automobile companies interested in retaining their customers need to understand the influence of atmospherics on customers perceptions and behaviours in retail space. Atmospherics may be identified as a source of comfort and relaxation for many customers (Gifford 1988). But while automobile companies may have various elements of atmospherics in their showrooms, only those who know and believe that its effective use provide a competitive advantage seem likely to use atmospherics to communicate the welcoming environment to their customers and visitors. It is likely that automobile showrooms in Ghana can be among the numerous organizations that use atmospherics in retaining their customers. Yet it is also possible that not all automobile showrooms consciously engage the same level of usage of atmospherics. Again, it is possible that, in the case of automobile companies in Ghana, there is no association between the use of atmospherics in the showroom and the length of time spent in a

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showroom as well as the mood of the customer/visitor. To test this premise we shall raise the following research problem: To what extent do automobile companies in Ghana use atmospherics to communicate a welcoming environment for their customers and visitors in their showrooms? Thus in order to achieve the objective of this study the researcher stated some research questions as to: The nature of atmospherics of six automobile showrooms in Accra, Ghana, what atmospheric elements can visitors/customers identify in the various showrooms? Whether the atmospherics in the showroom have any impact on their senses/mood and the length of time spent in the showroom? How these showrooms differ in their use of atmospherics in making their visitors stay longer and desire to return to the showrooms?

1.4. Purpose of study


The purpose of this study is to extend the perceptions of customers about the atmospherics of the marketplace extensively done in the service industry, to automobile showrooms in Accra, Ghana. This study is conducted to increase readers understanding and appreciation of the place of atmospherics in automobile showrooms in Accra, Ghana. In an attempt to broaden our understanding of and appreciation for the impact of the physical environments on the consumer in the automobile showroom, this dissertation examined the atmospheric elements of colour, lighting, layout, odour, music and temperature that constitute the
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physical environment of an automobile showroom. To the best of my knowledge, no study has been done in this field.

1.5. Research Questions


The following questions are addressed: What are the common atmospheric elements found by the six selected automobile showrooms? In what ways do automobile showrooms in Ghana use atmospherics to communicate a welcoming environment to customers? How can automobile showrooms use atmospherics to make customers feel comfortable and stay longer in their showrooms?

1.6. Research Implications / Limitations


In this dissertation our focus was based on atmospheric elements as used in automobile showrooms in Accra Ghana, an issue was addressed by content analysing what some showroom visitors say about the atmosphere. No consideration was given to the perception of some of the stakeholders especially automobile company managers and employees. So in other words, we do not claim to provide insight in to how the workers in automobile companies perceive their own environment and atmosphere in the showrooms, but just into how the visitors and customers view or feel about the showrooms. It must be noted that studies of this nature and others relating to retail spaces are regarded as historic within some months as things can change at any time. Giving the current level of competition in the existing automobile industry today together with new companies emerging it is possible
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that another researcher may not get the same results if the same study were conducted in a few months time. Showroom managers need to understand and appreciate the significance of the atmospheric elements and their influence on guest or customer perceptions and impressions. The study focuses on automobile showrooms, which will mean that the application of the results will have to be confined to the automobile showroom. There are other physical spaces in the building of an automobile company, but the showroom is significant for this research because it is the main sale space. Besides it is important in establishing first impressions.

1.6.1. Context
Kotler (1973) sees the concept of atmosphere in relation to a store as the effort to design buying environments. In this study our focus is based on the use of atmospherics in Ghanaian automobile showrooms. Issues were addressed by content analyzing what customers see and say about atmospherics in these showrooms. No major consideration was given to the perception of workers of the automobile companies. In other words the intention here does not have to do with providing insight into how workers in the showroom perceive the environment, or atmosphere within which they provide their services or sell their products, but just into how these companies use atmospherics to attract and retain customers.

1.6.2. Time Factor


A study of this nature maybe regarded as historic within a few years given that the current level of competition in the automobile industry makes it possible that another researcher

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may not get the same results if the same study were to be conducted in a few years time. Automobile companies in Ghana are often changing the looks of their showroom.

1.7. The Structure of the Thesis


The first chapter is the introduction to the thesis. literature review. The second chapter discusses the In chapter four the

Chapter three covers the research problems.

methodology is discussed. The fifth chapter is on data and data collection followed by chapter six on analysis and discussions. The final chapter covers the conclusion,

recommendations and suggestions for future research.

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Chapter 2

LITERATURE REVIEW

2.1. Introduction
In the last few decades, the study of the influence of the physical environment on emotions and behavior has gained prominence (Kotler 1973, Mehrabian and Russel 1974). There is an increase in the study of the influence of the physical environments of store, library, hotel and restaurant on consumer behavior (Turley and Milliman 2002). This chapter provides an overview into the use of atmospheric concepts and its significance to a visitor, guest or customer.

2.2. Environmental Psychology


The physical environment can sometimes be more important than the product on sale (Kotler, 1973). Turley and Milliman (2000) have found some relationship between

atmospheric manipulation and shopping behaviour, showing that consumers do respond to stimuli found in these environments. The influence of physical environment on consumer emotions and behaviours has become an important area of research in the study of museum, library, restaurant and hotel and various retail or store environments (Turley and Milliman, 2002). The dimensions of atmospherics affect the behaviour and emotions of both visitors and employees of an organisation. Atmospherics are used to create environments and influence the behaviours of individuals. Mehrabian and Russel (1974) referred to environmental psychology as the direct impact of physical stimuli on human emotions and the effect of physical stimuli on a variety of
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behaviours, such as work performance or social interaction. Kotler (1973), focusing on the effects that the physical environments have on consumer behavior, observes that the physical environments in which a product is purchased is an important part of the total consumption package. Kotler (1973) proposes various settings in which physical environment have great influences on consumer behaviour thereby making atmospheric a relevant marketing tool. These include: (i) a situation where the product is purchased or consumed; and where the seller has design options; (ii) as the number of competitive outlets increase; (iii) where product and or price differences are small; (iv) when product entries are aimed at distinct social classes or life style buyer groups.

The settings above may represent the situation of the automobile industry. Bitner (1992) takes the idea of atmospherics further by developing a conceptual framework for service situations. She employs the term servicescapes to denote the physical environment in which services take place. Her three environmental dimensions combine to form the perceived servicescapes, namely: (i) ambient conditions (ii) space/function (iii)signs, symbols and artifacts

Countryman (2006) studied the importance of atmospheric or servicescape elements in hotel environments. When shoppers stay longer in stores, their browsing behaviour is likely to increase, and this in turn is likely to cause an increase in impulse purchasing

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(Beatty and Ferrell, 1998). A majority of research articles have focussed on atmospherics in facilities like a fast food restaurant, where customers tend to spend a short period of time (Bitner 1990). Unlike the fast food setting, customers are inclined to stay for a longer period in an automobile showroom environment in order to do more exploration. In such a case, atmospherics play a significant role in determining how long a potential buyer or visitor intends to stay and how much he/she is willing to spend. Again, the question of the impact of the physical atmosphere and whether a customer will desire to return to the same establishment is very important (Wakefield and Blodgett, 1996).

2.3. Atmospheric Elements and Hypothesis 2.3.1. Introduction


Kotler (1973) observed that atmosphere is the effort to design buying environments to produce specific emotional effects in the customer that enhance his/her purchase probability. The relevance of atmospherics in automobile showrooms has been woefully under-researched. Significant attention has been given to the study of store atmospherics (Baker et al., 1994; Bellizzi et al., 1983; Donovan and Rossiter, 1982; Grossbart et al., 1990; Milliman, 1982; Swinyard, 1993), physical environments of football and baseball stadia (Wakefield, Blodgett and Sloan, 1996); hotel and restaurant (Wu et al., 2000; Robson, 1999; Rutes and Penner, 1985; Siguaw and Enz, 1999; Turley and Milliman, 2000) leisure service (Wakefield and Blodgett 1996), museum and heritage ( Bonn et al., 2007); casino (Hirsch 1995); library (Scherer 2005).

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Bonn et al (2007) have investigated the effect of some basic environmental elements on visitors to heritage sites. The researcher observes that the heritage attractions of physical environment plays an important role in determining both visitors attitude toward the heritage attraction and future repatronage intentions, as well as their willingness to recommend the experience to friends and relatives. Swinyard (1993) has observed that consumer mood, involvement level and the quality of shopping experience have significant effect on shopping intentions. He adds that consumer mood is shown to be affected by a bad shopping experience. In the automobile showrooms investigated, the prominent sensory factors included, visual and tactile.

2.3.2. Olfactory and Auditory


Various authors have noted the significant effect of ambient conditions on human responses as they relate to the environment (Baker 1987, Bitner 1992). Ambient elements produce a pleasant and arousing atmosphere which in turn affects the emotional states of the customer (Lilani 2008). According to Morrin and Chebat (2005), the tendency of an individual to to engage in impulsive buying behaviour will determine, in part, the relative effectiveness of atmospheric factors such as background music and ambient scent on outcome variables. In discussing ambient odour and consumer decision making, Mitchel et al (1995) conclude that when odour is congruent with the product class, cognitive enrichment or increased cognitive flexibility may be occurring. Chebat and Michon (2003), in their study on ambient scent on mall shoppers, conclude that ambient odour contributes to the favorable perception of the mall environment and indirectly on product quality.

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Some research works have shown that odours significantly increase lingering in a store and also it increases the amount of time spent in a store (Knasco 1989, Feerling et al 1992). Mitchel et al have also argued that ambient odours can be thematically congruent with the consumers purchase decision. An example being a ground coffee in a coffee shop or scented candles and soaps in bath shops. However, ambient odour can also be incongruent with consumers purchase decision. A smell strongly associated with one product class may be present while the consumer is making a decision about another product class. Bone and Jantrania (1992) have also said product related or congruent scent (or product related odour) may be effective to increase the sales of a particular product. Fiore et al. (2000) have suggested that the addition of a pleasant and appropriate environmental fragrance to a display is necessary in producing significant differences in approach responses towards a product including responses important to retailers such as purchase intention and price willing to be paid. Morrin (2000) has also discussed the impact of ambient scent on evaluation, attention and memory for brands. Aromas have a positive impact on human behaviour and emotions in the hospitality industry (Gueguen and Petr 2006). For example, ambient odour affects the length of time people spend gambling in a casino environment (Hirsch 1995). Chebat and Michon (2003) explain that odour may stimulate (or cancel) strong cognitive processes and therefore suggest to reorient the store atmospherics towards the understanding of ambient meaning to shoppers. Obviously, it will be advantageous for showroom managers to use sweet scents to create a relaxing effect on their customers and increase their expenditure. No extensive research so far has been done on ambient scent in the automobile showroom environment to find out whether what the authors above have
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said concerning the shopping mall can also be said of the automobile showroom. These authors add that retailers should consider ambient scent in their marketing tool box. Senses have now become prominent in marketing strategy. Rieunier (2000) notes that the components of atmosphere include: visual factor (colours of the surrounding, materials, light, layout space and cleanness), sonorous factors (music, noises), olfactory factors (natural smells, artificial smells), tactile factors (materials, temperature), and gustative factors (sampling). Researchers have discovered that music is thought to make employees happier and stimulate customer purchasing Milliman (1982). Though it is possible to influence behaviour with music, this influence can either contribute to the process of attaining business objectives or may interfere with the process. Milliman (2008) observes that in some retailing situations the aim maybe to slow customer movement, keeping them in the store for as long as possible in an attempt to encourage them to buy more. However, he is quick to add that in other situations the aim maybe the opposite in the sense of moving customers along as a way of increasing the volumn of sales. He gives an example of a restaurant having the intention to speed people up especially during lunch, when the aim is to minimize the number of seats turned in a very short period of time. He argues that playing slow tempo music in a restaurant may result in fewer seats turned and lower profits though it will encourage return visits in the case where customers preferred a relaxed luncheon atmosphere. This is one of the ways music can affect sales.

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2.3.3. Visual
Lighting: Atmospheric (lighting) influence in a hotel, restaurant, museum, library environments has received a great deal of attention. Khouw (2006) notes that about 80 percent of the information people absorb through senses is visual. Lighting can affect the customers emotional states thereby influencing their behaviour (Lilani 2008). Quartier and Cleempoel (2008) studied the influence of lighting on mood and behaviour. They

hypothesized that positive effect, induced by lighting in retail environment will encourage humans to stay longer in that retail environment and will increase the sales numbers. Light could draw attention to products (La Guisa and Perney 1974) and people tend to be drawn to sources of light (Mehrabian and Russell 1974). Summers and Hebertb (2001) observe that a more appealing store with better illuminated merchandise may entice shoppers to visit the store, linger and hopefully make a purchase. This observation makes the role played by effective use of lighting levels very critical. Though an extensive review of several literature on atmospherics show that very few retail lighting studies have been conducted (Summers and Hebertb 2001), a discussion on the importance and benefits of lighting in the automobile showroom environment is uncommon. The influence of lighting in an automobile retail environment in Ghana has not yet received any attention in Ghana. Colour: Naturally, colour influences the feelings of people (Khouw 2006; Jowers 2009). Bellizzi et al. (1992), observed that colour has the ability to attract customers and to create pleasant feeling among them. This researcher proposes that in order to attract customers and visitors to showrooms, they must be provided with an appropriate mix of colours so as

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to create a pleasant environment. Showroom sales managers must consider colour in arranging cars and other vehicles in the showroom. Layout: Objects like furniture, curtains and other such materials used in furnishing the interior environments can impact on the comfort of the visitor. The fundamental objective of showrooms must be to make the customer or visitor feel comfortable. Since some customers would like to sit while they look through brochures on vehicles, seat comfort is of great importance. Lilani (2008) observes that seat comfort can be influenced by the seat itself, in which case a seat may be uncomfortable if its design is such that it has a hard base, or no back support. Furnishings as an important atmospheric element, as been mentioned in servicescape models (Baker 1987, Bitner 1992, Wakefield and Blodgett 1994) although this element has been referred to in situations other than automobile showrooms. The way in which objects or materials are arranged within the environment may bring either comfort or discomfort to the customer. Thus special layout of machinery, equipment and electronic gadgets and furnishing may have a direct effect on customer excitement levels and indirectly on their desire to return (Lilani 2008). Wakefield and Blodgett (1994) have discussed the effect of crowding visitors or customers have hedonic and pleasure needs and an interesting and effective layout may enhance the fulfilment of these needs. Thus, showrooms should provide exciting layout and enough space to facilitate exploration and stimulation within the physical environment (Wakefield and Blodgett 1994). In an automobile showroom, the layout will be dependent on factors including the entry and exit patterns, the size of the showroom, the length of stay, etc. Based on the importance of layout, furnishings, colour, lighting and temperature in such environments as, hotels,

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museums, shopping malls, restaurants and libraries, one can say the same of the automobile showroom.

2.3.4. Tactile
When a visitor enters a showroom, it is assumed that he/she would like the environment which will help him feel at ease and welcomed. In an automobile showroom, the smoothness of the body of the vehicle, the softness or tenderness of the upholstery within, the comfort of the seats, the feel of the steering wheel, can affect the perception the customer has of the atmosphere. As Rieunier (2002) observes, touch is a major

determinant of the well-being sensation. The other aspect of the tactile dimension of atmospherics is temperature. showroom. Temperature can be a significant element which can be either pleasant or unpleasant. Obviously, if temperature is properly controlled, an air-conditioned atmosphere will make a visitor feel comfortable within the showroom on a warm day and a heated environment will let the visitor feel comfortable on a cold day. It is in this vein that temperature becomes a significant part of the ambience (Griffitt 1970). This is what this study considers in the automobile

2.3.5. Social factors


In general, social elements are the people located in the environment (Baker 1987). These will include employees and customers. The social variable here includes the gender, number and appearance of the employees and customers. Smiling employees and smartlydressed sales persons will definitely impact positively on customers (McElroy et al, 1990). The influence of human being on the environment includes the dress and attractiveness of
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service providers and the impact of other customers or visitors on the atmosphere (Turley and Milliman 2000, Turley 2002). Thus, in a showroom when a customer enters with bad odour, ambient scent will be polluted and the result may be that other customers who will feel uncomfortable may reduce the length of time they intended to spend in the showroom. According to Bitner (1990), a disorganised environment, featuring an employee in less than professional attire could influence a customers attribution and satisfaction when a service failure occurs. This makes the role of social factors in atmospherics more significant in the Ghanaian automobile settings. However, this study does not explore the social factors relating to atmospherics in the automobile showroom.

2.3.6. Summary
To sum it all up, while there has been substantial research done to empirically test the conceptual theories for individual atmospherics in educational, retail and leisure settings is growing (Baker et al., 1994; Turley and Milliman, 2000). However, it is hard to come by what has so far been done on showroom atmospherics. There still remains the need to test them as part of an overall model to identify the elements that make up a physical environment of an automobile showroom. Marketers are making every effort in making shopping (Mano,1999). Hence, marketers employ environmental elements (e.g. music, colours) to improve customers emotions with a store (Mano, 1999). (Bitner, 1992)and (Kotler, 1973) observe that such an improvement of customers emotions lead to desire behavior including higher willingness to purchase, longer stays and enhanced satisfaction. Though sales executives have also planned their

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stores atmospheric impact using social elements such as employee sociability, the focus of this study does not include the social elements in its scope.

2.4. Summary of Review


In the review of related literature in the present chapter, it can be concluded that though much has been said about the impact of atmospherics on the length and time customer spend in retail space. The literature focuses on atmospherics in low involvement products. When considering a trip in a low involvement products retail space where there are adequate atmospheric elements, shoppers will be more willing to stay longer and in turn more willing to purchase, if, however, the trip is to a high involvement product retail space, they will be less willing to purchase. The assumption here is that, since high involvement products here have to do with products for which the buyer is prepared to spend adequate time and effort in inspecting or checking the product, whether automobile showroom uses atmospherics does not matter very much to the customer because he/she will have to stay longer than usual to do thorough searching. Research on the effects of atmospherics on the length of time spent in automobile showrooms, a retail space for high involvement purchase is sparse. The literature review reveals that there is significant availability of evidence to support the importance of the role of atmospherics. However, the works reviewed so far focus on low involvement products or service industries. So far, there has not been any significant focus on atmospherics in showrooms that deal in high involvement products, a specific example being an automobile showroom or how atmospherics can be used to retain customers or visitors in the showroom in order to help automobile companies achieve their sales

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objectives. Therefore, any study relating to atmospherics in automobile showrooms in Accra, Ghana will be a significant contribution to the discussion on the general marketing strategies in retail space.

2.5. Hypothesis
The length of time spent in a showroom and the perception of the customer/visitor is independent of the presence of atmospheric elements.

2.6. Conceptual Framework


Turley and Milliman (2000) observed that individual atmospheric variables have an effect on the outcome of evaluations and behavioural responses such as time spent and impulse buying. In the manipulation of atmospherics, as discussed in the literature review, there appears to be a link between the presence of atmospherics in commercial space and customers willingness to stay longer.

Environmental Cues -atmospherics

Senses/mood/Customer perception regarding store atmospherics

Showroom patronage intentions

Showroom Environment

Influencer

Customer

Figure 1. Model of Influence from the Showroom Environment to Customers

The study examines the extent to which environmental cues (atmospherics) influence the customers assessment of the automobile showroom and how these assessments in turn influence the length of stay in the showroom.
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In figure 1 above, mood refers the way a group of people think and feel about something. Thus in this study, mood has to do with the way the customers/visitors who were respondents in the focus group felt about the atmosphere of the showroom. In other words, mood is this study expresses the pervading impress of the observers who took part in the group discussions of the research. The mood of the respondents was identified by the words they used in the conversation as they described the way they felt and perceived the atmosphere or environment of the showroom. Again, in figure 1, senses refers to the physiological capacities within organism that provide inputs for perceptions. These include sight (vision), hearing (audition), taste (gustation), smell (olfaction), touch (tactition). Consumer perceptions, as used in this model (fig. 1) refer to inferences about the experience of customers through the five senses on the basis of showroom environment cues (i.e. the various atmospheric elements). The conceptual framework shown in Fig. 1 adapts the model proposed by Bitners (1992) conceptualizations of how the service environment can influence consumer decision making. The sequence of effects in the model is that of the showroom (including sensory experience/mood) and these perceptions in turn affect showroom patronage intentions (e.g. willingness to stay longer, willingness to return for business). The argument here is that keeping customers longer in stores may lead to increased browsing behaviour, which in turn leads to increased impulse buying, Beatty & Ferrel (1998). The question is which atmospheric elements are present in the various showrooms in Ghana? Do these affect the length of time spent by customers in the showroom? The next chapter on methodology investigates this.

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Chapter 3

METHODOLOGY

3.1. Introduction
This chapter discusses the methodology used by the researcher to perform a research into automobile showrooms in Accra, Ghana. The main objective of this chapter is to clearly define the exact guidelines which will enable the researcher to support the attained hypothesis. In this section of the study, we have discussed our sample selection, data sources and the data analysis technique to be used. The research took place in the actual physical environment. The limitation here is that this researcher might have difficulty in controlling those factors such as branding and prior experience (Countryman, 2006). These are not part of the physical environment but may be included inadvertently in the evaluation of the physical environments (Countryman, 2006). Six atmospheric elements were included in this research: layout, odour, music, lighting, colour and temperature.

3.2. Types of Research


The main reason of conducting a research is to inform the reader about the objective of the researcher, and how the result can be utilised. Leedy and Ormrod (2005), defined research as a systematic process of collecting, analyzing and interpreting information or data in order to increase our understanding of the phenomenon about which we are interested or concerned about": Thus, Sekaran (1992) defined research as An organised, systematic, data based, critical, scientific enquiry and investigation into a specific problem, undertaken
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with the objective of finding answers or solutions to it. Hence, it can be deduced that research is a planned, systematic method of analyzing a problem conducted in order to find out or discern a solution to that particular problem.

3.2.1. Descriptive Research


This type of research is used in identifying and obtaining information on the characteristics on an issue. In our study of atmospherics, we used descriptive research to answer questions such as: a) How do customers respond to atmospherics in the automobile showroom setting? b) What automobile company is more conscious about the use of atmospherics to retain their customers? c) To what extent does atmospherics in the automobile showrooms in Ghana influence customers to stay longer or even return?

The data collected in this study was qualitative. Statistical techniques were used to summarize the information.

3.2.2. Analytical/Explanatory Research


This type of research is a continuation of descriptive research. The researcher proceeds beyond simply describing the characteristics of the issue to analyse and explain why or how the issues exist. The difference here is that, while the descriptive research describes the phenomena why it exists, analytical research aims to help the researcher to understand the

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phenomena by discovering and measuring causal relations among them. For example analytical research may respond to a question such as: How can automobile showrooms use atmospherics to make customers feel comfortable and stay longer in their showrooms?

3.2.3. Descriptive statistics


The researcher employed descriptive statistics to manage the data and present it in a summary table. In this research on atmospherics in the showroom, descriptive statistics helped the researcher to manage records of visitors impression about atmospherics in the showroom and also helped in comparing one showrooms records with that of another.

3.3. Qualitative Research Procedure and Focus Groups


The researcher adopted a direct approach in this qualitative research. Thus, the researcher disclosed the purpose of the respondent. This research introduced focus group

methodology, an important qualitative procedure. The method involved group interaction, where participants were encouraged to talk to one another by asking questions, exchanging suggestions and making comments on each others point of view. Malhotra and Peterson (2005) explain focus group interviews as those conducted by a trained moderator among a small group of respondents in an unstructured and natural manner. This researcher used this method in order to explore showroom visitors

knowledge and experiences and also to examine not only what they think but how they think and why they think that way about atmospherics in the showroom. This is a form of group interview which employs communication between participants in order to generate data. It is a convenient way in collecting data from several people simultaneously. The
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advantage here is that, such a research does not discriminate against showroom visitors who cannot read or write. Besides, a focus group encourages participation from visitors reluctant to be interviewed individually or who feel they have nothing to say. In a freeflowing group discussion the researcher used a series of open-ended questions and encouraged research participants to explore issues of atmospherics in the showrooms in their own vocabulary.

3.4. Sample Selection and Data Collection Processes 3.4.1. Profile of Showrooms
Data gained in the six different showroom settings assisted in understanding how different visitors in different showrooms respond to atmospherics in the showrooms. There are several automobile showrooms in Ghana. The sampling frame consisted of a list of

prominent showrooms located in the same area in Accra, that is, along the Obetsebi roundabout, the Graphic road and opposite the State Transport Corporation. Though there are several other showrooms in other areas in Accra, the selected area has more automobile showrooms than any other single area in Ghana. Showrooms that were considered are: 1. 2. 3. 4. 5. 6. Rana Motors Company Limited The Honda Place Ghana Limited Mechanical Lloyd Company Limited Toyota Ghana Company Limited PHC Motors Limited Japan Motors Trading Company

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Rana Motors sole distributors of KIA vehicles representing KIA Motors Seoul, Korea provide sales and services of a wide range of saloon vehicles, Sports Utility Vehicles (SUVs), Trucks, Indian Swaraj Mazda Trucks and Chinese Yuejin Trucks. A leading Motor company in Ghana Mechanical Lloyd holds the franchises for BMW, Ford and Massey Ferguson include Sports Utility Vehicles (SUVs), pick-ups and luxury cars. Toyota Ghana is the sole representative of Toyota Motor Corporation of Japan (TMC). Activities of Toyota Ghana include the sales and distribution of Toyota vehicles that comprise buses, pick-ups, 4x4s and saloons. PHC Motors, one of the few motor companies in Ghana to be solely owned and operated by Ghanaians, deals with a wide range of vehicles namely: TATA passenger cars, TATA commercial cars, Chrysler vehicles, Dodge and Jeep. Recently they added Range Rover to their fleet of sale. Japan Motors one of Ghanas leading companies is the sole distributors of Nissan vehicles which include saloons, trucks, Sports Utility Vehicles (SUVs), buses, motorcycles, generators and genuine Nissan parts in Ghana. Honda, as the name affirms, is the distributor of Honda saloon vehicles and SUVs. Honda remains dedicated to enhancing its local manufacturing capabilities.

3.4.2. Observations
The first step of the research involved collecting and compiling information from recorded conversations that are related to atmospheric elements present in the showrooms. The research was conducted within two weeks and totaled 10 different visits to the showrooms mentioned above. In the interviews the researcher chose a sample size of forty showroom visitors. This comprised five different focus groups of four participants each interviewed in

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the six selected showrooms. In the first week the researcher observed visitors/customers in showrooms of six different automobile companies in Accra. To ensure reliability and improve accuracy of data collection, another researcher was engaged to collect the same data from the same automobile companies in the second week with a different set of focus groups interviewed in the various showrooms. Collecting data from showrooms over an extended period of time might distort our results as there might be the tendency to ignore constant changes made by automobile companies in their showrooms. The two different sets of data collected were then compared to improve accuracy.

3.4.3. Conversations and Interviews


The researcher had conversations and interviews with adult showroom visitors (that is eighteen years and above). These conversations were recorded and described in field notes and transcriptions. The semi-structured interviews with the visitors included the following kinds of questions: 1. How do you see the floor, ceilings and the wall dcor of this showroom? 2. How do the spaces around the cars make you feel? 3. What makes you feel happy and welcome in this environment? 4. Why would you want to come back to this showroom? 5. What thing(s) here in this showroom will make you stay longer than you planned? 6. Why would you like to return to this showroom?

Transcribed in-depth interviews were digitally recorded.

Observer comments in the

transcribed text were embedded as the researcher reviewed it. Informal conversations were written down as soon as possible and when possible right during the conversations
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according to the comfort level of the participants with note taking. Finally, the researcher relied on very detailed field notes, writing down what she saw, heard, smelt and felt in the showrooms.

3.5. Data Analysis Techniques


The method used to analyse the recorded interviews and discussion in the showroom was content analysis. A content analysis can be understood as a detailed and systematic examination of the contents of a particular body of material for the purpose of identifying patterns, theme, biases (Leedy and Ormrod 2005, p. 142). This is a technique for gathering and analyzing the content of a text or information. The content may consist of words, meanings, pictures, symbols, ideas, themes or any message that can be communicated (Neuman, 2003). Weber (1988) also observes that content analysis is regarded as a useful method of codifying the text or context of a piece of writing into various categories depending on selected criteria. Generally as a rule, a content analysis is quite systematic and measures are taken to make the process as objective as possible. The following steps are typical: 1. The researcher identifies the specific body of the material to be studied. 2. The researcher defines the characteristics or qualities to be examined in precise. There is a computerized content analysis program called wordstat. This could not be used in this study because it was not available. The first step in the research was collecting and compiling words that reflected the adjectives and traits of the atmospheric elements. This was achieved by listening to the discussions recorded in the various showrooms. Conversations in the various showrooms differed in terms of the words the respondents
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used in their conversation. This means that whatever the content of the conversation, in terms of type of words used, it is presumed to be the effect of the experience of the visitor respondent. Below are some examples of traits and adjectives of each atmospheric element used by the respondents in communicating their observations, feelings and experience of the atmosphere of the showroom. One must note that the words identified below were picked haphazardly and are used as examples to explain the point here.
Lightning (Bright, Dazzling, Shinning, Scintillating Glittering, Reflective, Clear, Dark) Layout (Display, Artistic, Heavy-duty, Smooth, Awesome, Polished, Glamour, Posh, Good looking, Nice, Picturesque, Spectacular, Stunning, Stylish, Splendid, Sophisticated, Spacious, Attractive, Flowery, Neat, Arrangement, Impressive, Distant, Closeness) Temperature (Cool, Hot, Warm, Refreshing, Uncomfortable, Relaxing, Airy, Air-tight, Sweaty) Colour (Colourful, Exciting, Arousal, Hearty, Pretty, Pleasing, Royal, Glossy, Shinny, Beautiful, Dirty, Contrasting, Receptive, Appealing) Music/Sound (Sensational, Seductive, Classic, Loud, Noisy) Odour (Sweet, Foul, Bad, Pleasant, Stinking, Fragrant)

This researcher performed a content analysis of the recorded interviews in order to find out the observations of customers about six atmospheric elements in showrooms and their impact on these customers. To identify the associations between the showrooms and the atmospheric elements, correspondence analysis was used. Further, the study examined how frequent each atmospheric element is used in the showrooms. This was ascertained from

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the number of showrooms that are associated with a given element. This is demonstrated in table 1, below: Atmospheric Elements Lighting Colour Layout Temperature Music Odour Number of Associated Automobile Showrooms 6 6 6 6 0 0

Table 1. Frequency of Usage of the various Atmospheric Elements

Table 1 provides a snap-shot of automobile showrooms associated with a given atmospheric element. The table indicates that all six showrooms were associated with lighting, colour, layout and temperature. None of the showrooms had any association with music and odour as indicated in Table 1.

Element Lighting Colour Layout Temperature Odour Music TOTAL

Name of cases analysed 1 6 6 6 6 6 6 30

Frequency of appearance of AEs in each case 51 64 168 41 0 0 324

Percentage of frequencies (%) 15.7 19.7 51.9 12.7 0 0 100

Number of showrooms examined.

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Table 2. Appearance of Atmospheric Elements (AEs)

Table 2 provides a fair view of each elements frequency of appearance as a percentage of all references to atmospherics in the communication recorded. This may represent a more accurate estimate of usage of atmospheric elements. It will be observed from Table 2, in grading the degree of reference to the atmospheric elements, layout was most frequently referred to (51.9%); followed by colour (19.7%); then lighting (15.7%). Temperature was the least frequently referred to (12.7%). Odour and music were out of the question as there was no reference to either of them. Thus layout was the most frequently referred to element. It is very important to note that lighting, colour and layout are all associated with the sense of sight (283 out of 324). References made in connection with sight and feeling (i.e., temperature) are respectively 87.3% and 12.7% refers to feeling Thus the concentration is on what visitors see and not what they will feel, smell and hear. Figure 1 below provides a fair view of each elements frequency appearance as a percentage of all references.
180 160 140 120 100 80 60 40 20 0 Name of cases analysed [1] Frequency of appearance of AEs in each case Percentage of frequencies (%)

Figure 2. A Bar Chart of Appearance of Atmospheric Elements

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Chapter 4

RESULTS

4.1. Interpreting Results


In this study, the distribution of the atmospheric elements in the respective showrooms has been presented. In relation to six atmospheric elements, namely lighting, colour, layout,

temperature, odour and music, a table was drawn to provide a two-way contingency table of frequencies. This was obtained by aggregating the number of words associated with the atmospheric elements that were identified in the conversation between the researcher and respondents in the focus groups taken by the digital recorder. The distribution of these elements over the various showrooms will be presented in a table. This table presents a Cross-Tabulation of the Categorical Data and Aggregation of the Number of References to atmospheric elements identified in the recorded conversation. Cross-tabulation of categorical data is a simple form of data analysis in research. Hoffman and Franke observe that cross-tabulation of categorical data is perhaps the most commonly encountered and sample of analysis in research. In relation to the use of atmospheric elements, Table 2 presents a two-way contingency table of frequencies. These frequencies were obtained by aggregating the number of words identified in the showroom discussion recorded. The distribution of these atmospheric elements over the various automobile showrooms is presented in Table 2.

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AE/Showroom Rana Motors Japan Motors Mechanical Lloyd Toyota PHC Motors Honda Row Total

Lighting 14 7 8 12 5 5 51

Layout 34 33 31 29 21 20 168

Colour 20 8 5 12 15 4 64

Temperature 5 5 10 11 5 5 41

Music/ Sound 0 0 0 0 0 0 0

Odour 0 0 0 0 0 0 0

Column Total 73 53 54 64 46 34 324

*AE=Atmospheric Element (s)


Table 3. Reference to Atmospheric Elements by Respondents in Automobile Showrooms

The cell counts in Table 3 indicate the number of times a particular atmospheric element is associated with a particular automobile showroom. The subtotals of the row and column in the table reveal the number of mentions made concerning a particular element and showroom respectively. In the table, it can be observed that Rana Motors showroom received most words in the conversation of the respondents associated with atmospheric elements with 73 terms or traits, followed by Toyota, Mechanical Lloyd and Japan Motors, respectively 64, 54 and 53. The least included PHC Motor, 46 and Honda, 34. With respect to individual elements, layout was the AE portrayed most in all the showrooms accounting for 52 percent (i.e., 168/324) of the total number of words. Lighting, colour and temperature were respectively, 20% (51/324), 16% (64/324) and 12% (41/324). Rana Motors appears to focus more on layout (34) and color (20), of all the AEs used in the

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showroom lighting follows. The companys consideration for temperature seems minimal. Nothing at all could be said about music and ambience scent in the showroom. Japan motors also focuses more on layout (33) and colour (8), then lighting follows. The companys consideration for temperature (5) was minimal and nothing could be said about ambience scent or music. Toyota appears to focus more on layout (29) and colour (12), lighting (12) followed by temperature (11). Nothing at all could be said regarding music and ambience scent in the Toyota showroom. Mechanical Lloyd appears to focus more on layout (31) and temperature (10), lighting (8) followed by colour (5). Nothing at all could be said about music and ambience scent in the showroom.

PHC Motors appears to focus more on layout (21) and colour (15), lighting (5) followed by temperature. Nothing at all could be said about music and ambience scent in the showroom. Honda also focused more on layout (20) and lighting (5), then colour and temperature follows. The companys consideration for temperature was minimal and nothing could be said about ambience scent or music. Please see bar chart and pie chart in (Figure 3 and 4) respectively below.

35 30 25 20 15 10 5 0 Rana Motors Japan Motors Mechanical Lloyd Toyota PHC Motors Honda

Figure 3. A Bar Chart of Reference to Atmospheric Elements by Respondents

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Series1, Temperature, 41, 12%

Reference to AEs by Respondets


Series1, Lighting, 51, 16%

Series1, Colour, 64, 20%

Series1, Layout, 168, 52%

Lighting

Layout

Colour

Temperature

Figure 4. A Pie Chart of Reference to Atmospheric Elements by Respondents

Showroom/AE Rana Motors Japan Motors Mechanical Lloyd Toyota PHC Motors Honda Column Total
X
2

Visual (lighting, layout and colour) 68 48 44 53 41 29 283 9.03 5 .05

Tactile (Temperature) 5 5 10 11 5 5 41

Row Total 73 53 54 56 46 34 324

df p<

Table 4. Distribution of Atmospheric elements (by senses) over Automobile showroom

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Table 4 above, shows that, 283 references out of 324 (87.3%) were made to sight, while 41 out of 324 (12.7%) were made to feeling. The indication here is that all the six showrooms investigated in this study, the greatest concentration is on what visitors see (layout, colour, and lighting), then again on what they feel, but not what they smell or hear. A combination of all the senses will leave a better sense of the showroom in the memory of visitors which will attract them to return to the showroom. Thus the mood of customers in relation to sensory factors, specifically visual and tactile influences the desire of the visitors to stay longer in the showroom.

In all the showrooms, Toyota can be considered to be leading in the use of atmospherics (specifically sight and feeling is concerned). Elements relating to sight in this showroom were referred to fifty-three (53) times while temperature was referred to eleven (11) times. Please see bar chart and pie chart in (Figure 5 and 6) below.

70 60 50 40 Tactile (Temperature) 30 20 10 0 Visual (lighting, layout and colour)

Figure 5. A Bar Chart Distribution of Atmospheric elements (by senses)

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Distribution of AEs by Senses


Series1, Tactile (Temperature), 41, 13%

Series1, Visual (lighting, layout and colour), 283, 87%

Visual (lighting, layout and colour)

Tactile (Temperature)

Figure 6. A Pie Chart Distribution of Atmospheric elements (by senses)

Figure 6 above indicates that the distribution of atmospheric elements (AEs) by the senses of sight (visual) and feeling (tactile) are approximately 87 percent and 13 percent respectively.

4.2. Hypothesis Test


A Chi-square test shows which row (i.e. the atmospheric element) and the column (i.e. automobile showroom) variables are related. To illustrate for 5 degree of freedom (df),2 the critical value of Chi-square (x2 CR) for an upper-tail area of 0.05 is 11.071. The calculated

df = (r-1) x (c-1) = (6-1) (2-1) = 5

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chi-square statistic had a value of 9.03. This study investigated the use of atmospherics in a group of automobile showrooms (6). The study hypothesized that showroom with atmospherics makes the customers more relaxed in the showroom environment, thereby desiring to stay longer.

Ho: The length of time spent in a showroom and the mood of the customer/visitor is associated with the presence of AEs.

H1: The length of time spent in a showroom and the mood of the customer/visitor is independent of the presence of AEs. Table 4s chi square statistic (x2 = 9.03), our predetermined alpha level of significance (0.05), and our degrees of freedom (df =5). Entering the Chi square distribution table with 5 degree of freedom and reading along the row we find our value of x 2 (9.03) lies between 6.626 and 11.071. The corresponding probability is 0.25<P<0.05. This is below the conventionally accepted significance level of 0.05 or 5%. Since our x 2 statistic (9.03) did not exceed the critical value for 0.05 probability level (11.071) we can accept the null hypothesis that there is an association between the visitors/customers mood and length of time spent in the automobile showroom, and the presence of atmospherics in the showroom. Thus, being able to use atmospherics effectively to differentiate one automobile company from its competitors will become a necessity as more and more automobile showrooms use atmospherics in trying to foster relationships with customers.

The research confirms the fact that many workers in the showroom do not know about atmospherics and have not considered its impact on visitors. This research illustrates how such a powerful marketing tool as atmospherics has been taken for granted in influencing
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customers and visitors by the environment and ambience of the showrooms of automobile companies in Ghana. The next chapter discusses the conclusions and implications of the results of this research.

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Chapter 5

CONCLUSION AND RECOMMENDATION

5.1. Conclusion
This chapter includes a discourse on the conclusions and implications of this dissertation. The results of this dissertation have been discussed in order to help us provide a clearer understanding of the phenomenon in the showroom. The prime objective of this

dissertation is to identify atmospheric elements that are present in various automobile showrooms in Accra and whether these elements have any influence on the time spent in the showroom. In order to achieve this set objective, the research question was posed in relation to the extent to which automobile companies in Ghana use atmospherics to communicate a welcoming environment for their customers and visitors in their showrooms. In this dissertation it was observed that not all the atmospheric elements could be found in the showrooms. In other words there was not a single showroom in which all the atmospheric elements could be identified. This could be due in part to the fact that, as observed by this researcher with some of the workers of the automobile companies studied, none of the automobile companies was aware of what atmospherics is about and the significance of the elements in retail marketing. So whatever the automobile showrooms featured in terms of atmospherics was not done with the foreknowledge of the importance of atmospherics in holding visitors and customers in retail space, but rather copying one another in making the various showrooms attractive. This echoes a conclusion that an effective use of atmospherics does not just happen, atmospheric elements must be
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developed through planning and efficiently used, manipulated and combined if showrooms are going to foster a better relationship with customers and retain them in the market place. It was also observed that some of the atmospheric elements are used more than others. The layout element was the most frequently used; colour was more frequently used, temperature and lighting were less frequently used; and odour and music were the least frequently used. The dissertation further reveals the implications that the use of atmospherics is taking a new form and can no longer be just a simple use or display of elements in space to attract visitors. The use of atmospherics has to evolve into the adoption of a new strategy that positively influences visitors moods so as to hold them longer in a space than they intend to stay. For example a change in the atmosphere in a given space, whether in a showroom, a restaurant, or a library, can make the visitor relaxed, excited and in the long run keep the visitor longer in the place and patronise the services provided.

5.2. Implications for Theory and Practice


This study extends the conceptualization of atmospherics in marketing to the showroom environment. This study was conducted with the objective to simply determine whether the concept of atmospherics applied to the showroom context in Ghana. Though the results reveals that this is the case, it was clear that the use of atmospherics was not done deliberately. This finding presents a starting point for further investigation of atmospherics in the automobile showroom environment. The automobile industry is booming in Ghana and there is fierce competition to attract buyers. This study clearly demonstrates why it is becoming increasingly important for showroom managers, marketing consultants, advertising executives, interior designers and

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academic researchers to better understand the concept of atmospherics both in physical space and cyber space (online) in order to stay ahead of competition. While showroom managers tend to concentrate on other forms of retail marketing strategies, the use of atmospherics in retail space has become an important element in retail management. Effective use of atmospherics to influence customers and visitors in retail space must therefore become an important part of any showrooms marketing strategy. This study has also revealed that what is done in the sales environment to influence or impact the five senses of the customer, client, visitor or user of services or products is a vital part in fulfilling the tremendous potential that AEs play in marketing strate gy. Additionally, this study also has demonstrated that automobile showrooms in Ghana need to target all their visitors in their showrooms by displaying and providing atmospheric elements that will make them feel like staying longer in the place and desire to return for business. It is worth observing that the fact that ambient scent did not feature in the use of atmospherics in automobile showrooms studies is not encouraging to these companies. That seventy-five percent (75%) of our emotions are generated by smell (Valenti & Riviere, 2008), appears to lend support for the use of olfactory marketing in our hotels, shopping mall, retail spaces and showrooms. In an automobile showroom, the right odour generates an optimal shopping. Time and again there is a rubber scent or leather smell or another odour composition. A peculiar ambience will be developed and customers or visitors will react more positively to the exclusivity of the showroom atmosphere. A sweet aroma in a showroom will not only create an exquisite image but will also motivate visitors giving them a relaxed and cheerful shopping experience, thereby making them stay longer.
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Again, music did not feature in the atmospherics used in the showrooms investigated. Certainly, it is also incumbent upon showrooms in Ghana to introduce music in order to enhance their sales strategy for instance, playing slow tempo music in a showroom might result in visitors and customers staying longer and thereby enhancing their chances of buying as a way of increasing sales volume. A faster tempo may have the effect of spending a shorter time in the showroom. A definite need exists for more research on this subject though. An excellent maximum use of atmospherics is thought to heighten emotional ties with the showroom, increase preference and patronage and augment a sense of welcomeness and loyalty. A combination of good interpersonal skills on the part of the sales executives in the showroom and a good combination of atmospheric elements is going to be key to the success of showroom business in the coming decade, as marketing officers get more knowledge about the power of atmospherics in the space where business is done. To automobile companies and marketing officers in Ghana, this study therefore sheds light on the significance of regular maintenance of equipment and skill that provide good atmospherics and continuously monitor and upgrade the atmospheric elements in the showroom. By this process these managers can retain those who associate themselves with their automobile companies and attract new customers. Lastly, one contribution of this study has been its attempt to introduce correspondence analysis and content analysis in assessing the use of atmospherics in automobile showrooms. The correspondence analysis technique as exemplified here empowers all the showroom managers of the companies studied to visualize the use of atmospherics by their companies relative to their competitors. This technique affords the companies the ability to
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assess how well they are using atmospherics in their showrooms and how they are mirroring themselves in the minds of the customers and other stakeholders. In todays fast-changing competitive business environment, the understanding and appreciation of the use of atmospherics as a marketing technique affords automobile companies the ability to assess the nature of their showroom environment and how they are mirroring themselves in the minds of their visitors, customers and employees. In order to utilize the study of atmospherics as a successful sales tool, showroom management must consider different atmospherics designs for various parts of the showroom. When managers in the automobile industry understand the atmospheric elements that make up a showroom, it helps them to make the appropriate improvements in those areas that lead to an enhanced overall impression and evaluation of the showroom. It is therefore hoped, that the results offers automobile companies (and other organisations) new and creative ways of enhancing their physical (both interior and exterior) environments and better position themselves in todays competitive marketplace.

5.3. Recommendation
Owners of automobile companies, marketing executives, showroom managers and interior architects should consider the atmosphere within their showrooms and the perception of visitors. They must consider the atmospheric elements and the traits associated with them when designing the showroom. It is important for automobile companies to convey to their customers and potential customers visiting their showrooms a welcoming atmosphere in the space within which they do business. Showroom visitors associate a particular showroom with certain characteristics which are more than what is on display for sale. When an

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automobile develop their marketing mix they must not choose only their location, prices and exterior architecture carefully but also the interior design and decor as well as other aspects of the atmosphere within, since all these in addition to their communication strategy contribute to the position of the company and its brand. The effective use of the various atmospheric elements in retail space is another positioning opportunity by which the automobile showroom can communicate its friendliness to its customers and potential customers. Any effort that is able to make customers stay longer in retail space can also lead in purchasing. Therefore this dissertation is a means of suggesting to the automobile companies studied, and other automobile companies, that the use of atmospherics, a marketing technique or tool can contribute immensely to a competitive market positioning in the automobile industry. The same suggestion can go for the use of atmospherics in many other service industries.

5.4. Further Research Direction


The concept of atmospherics in the physical environment can be explored further in several directions especially in the online environment. Thus, further research an also examine the use of atmospherics on the websites of automobile companies. For example, exploring how effectively colour and sound are used in cyber showrooms to sustain the interest an attention of visitors to the website.

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Mitchell, P. H. (2008). Discovery-Based Retail, Unlock Your Stores Potential, Bascom Hill, Publishing Group. Morrin, M., Ratnesher, S. (2000). The impact of ambient scent on evaluation, attention and memory for familiar and unfamiliar brands. Journal of Business Research 49, 157-165. Morrin, M and Chebat, J.-C (2005). Person-Place Congruency: The Interactive Effects of Shopper Style in Atmospherics on Consumer Expenditures. Journal of Service Research 8(2) 181-191. Neuman,W.L. (2003). Social research methods-qualitative and quantitative approaches (5th ed.). Boston, MA: Pearson Education. Quartier K. and Cleempoel K.V. (2008). The Influence of Lighting in the build Environment: a study to analyse human behavior and perception as measured by mood and observation. Proceedings of measuring Behaviour, Maastricht.The Netherlands, August 26-29. Rieunier, S. (2000). Linfluence de la musique sur le comportment du consumateur. Rieunier, S. (2002). Le marketing sensorial du point de vente: crer et grer lambiance des lieux commerciaux, Dunod, Paris, (2nd ed.). Scherer, Jeffrey (2005), Lights and Libraries in Library Hi Tech 17:4, 358-371. Summers, T. A. and Hebertb, P. R. (2001). Shedding Some Light on Store Atmospherics: Influence of Illumination on Consumer Behaviour. Journal of Business Research. 54, 145-150. Swinyard, W. R. (1993). The effects of mood involvement and Quality of store experience on Shopping intentions. Journal of Consumer Research 20, 271-280. Sekaran, U. (1992), Research Methods for Business: A Skill Building Approach. New York: John Wiley & Sons. Turley, L.W., and Ronald E. Milliman, (2000). "Atmospheric Effects on Shopping Behavior. A Review of the Experimental Evidence," Journal of Business Research, 49:2, 193-211. Valenti, C and Riviere, J (2008). The Concept of Sensory marketing. Marketing Diss. Hgskolan i Hamstad. Wakefield, K.L. and Blodgett, J.G. (1996), The Effect of the Servicescape on Customers' Behavioral Intentions in Leisure Service Settings in The Journal of Services Marketing. 10:6, 45-61. Weber, R.P. (1988). Basic content analysis. Sage University paper series on quantitative application in the social sciences, series 07, 049. Bevereley Hills, CA: Sage
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Appendix I Calculations of X2
fe = nrnc n fe = 283 x 73 = 63.76 324 fe = 283 x 53 = 46.29 324 fe = 283 x 54 = 47.17 324 fe = 283 x 56 = 48.91 324 fe = 283 x 46 = 40.18 324 fe = 283 x 34 = 29.697 324

X2 = (fo - fe)2 fe fe = 41 x 73 = 9.24 324 fe = 41 x 53 = 6.71 324 fe = 41 x 54 = 6.83 324 fe = 41 x 56 = 7.09 324 fe = 41 x 46 = 5.82 324 fe = 41 x 34 = 4.30 324

X2 = (68 63.76)2 63.76 X2 = (48 46.29)2 46.29 X2 = (44 47.17)2 47.17 X2 = (53 48.91)2 48.91 X2 = (41 40.18)2 40.18 X2 = (29 29.69)2 29.69

(5 9.24)2 9.24 (5 6.71)2 6.71 (10 6.83)2 6.83 (11 7.09)2 7.09 (5 5.82)2 5.82 (5 4.30)2 4.30

X2 = 0.28 + 1.95 + 0.06 + 2.29 + 0.21 + 1.47 + 0.34 + 2.16 + 0.02 + 0.12 + 0.02 + 0.11 = 9.03

Therefore, the total Chi-square for Table 4 is 9.03

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Appendix II

Questionnaire
The semi-structured interviews with the visitors included the following kinds of questions: 1. How do you see the floor, ceilings and the wall dcor of this showroom? 2. How do the spaces around the cars make you feel? 3. What makes you feel happy and welcome in this environment? 4. Why would you want to come back to this showroom? 5. What thing(s) here in this showroom will make you stay longer than you planned? 6. Why would you like to return to this showroom?

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