Tourists' purchase intentions: impact of franchise brand awareness

Abstract

This study examines how an intention on the part of tourists to purchase items for daily use is determined by their awareness of franchise-branded stores, the image of those brands, and the perceived risk of purchase from non-franchised stores within Taiwan. In that country franchised chains are an important component of the retail mix, and their presence in tourist destinations can influence shopping patterns. The results indicate that positive relationships exist between intentions to purchase items from franchise convenience stores and perceived risk of buying from unfamiliar retail outlets. Equally familiarity with the destination acts as a moderating variable, and this variable facilitates higher patronage of non-franchised stores by tourists. The results indicate a general preference for purchases from well-established franchised outlets than locally independent owned stores. Managerial implications for both types of stores in tourist zones are discussed.