Stores Utilizing New Technology Aimed At Home-Based Millennials
Globalization has made people busy and has changed their demands. For the changing demands of people more advanced technology like XR technology is needed to support the fulfillment of the customers’ needs and demands. This research study has focused on the improvement of XR technology for better buying experience in the Chinese women millennials. The first chapter has helped the reader to understand the background of the research, research objectives, research problems and significance of the research. The reader will understand how the objectives of the research will be met to conclude the research.
The research study has discussed XR technology support for Chinese women millennials to gain their purchasing experience for retail luxury products and how different factors like economic condition or better lifestyle drive Chinese women millennials to use XR technologies. Different theories and the current data have made the literature more effective for the reader to understand the theme of research.
The positivism philosophy of the research has helped the researcher to transform the raw data into real one. The reader has also understood how the inductive data have helped the researcher to extract the findings from the raw data in primary research. The third part of the study shows the reader know the methods of secondary and primary data collection and analysis and also the number of respondents in the survey conducted.
The research has shown better experience of Chinese women millennials in the retail luxury industry through the application of XR technologies. The recommendations have helped the reader understand how XR technologies can be applied in better ways for better experience of Chinese millennials in the retail luxury industry. Blending of AR and AI, utilization of 5G network are some such recommendations. The future scope has mainly highlighted the gaps in both secondary and primary research and has discussed how those gaps can be fulfilled through further research in the future. This expresses the better scopes of research in the future. The researcher has selected deductive research approach for this study. Along with that exploratory design has been chosen. quantitative data has been gathered for this research study; therefore, data analysis was quantitative.
Table of Contents
In the era of utmost digitization, organizations have to adopt advance and new technology in order to be compatible with the market. New technology enables organizations to fasten up their business process as there are several technologies that help to maintain the business process (García-Bañuelos et al., 2017). That is why technologies are used widely for business purposes in the luxury retail stores from the last decade. With the help of technology, there is no need for the presence of the physical employees in some business functions as it can be maintained automatically by adopting proper technology.
For this reason, generation Y is attracted towards the advancement of technology. It has been seen that there are about 93% millennials who are possessed by smartphones (Pew Research, 2020). Along with that, it has been found that there are about 86% millennials who use social media frequently (Pew Research, 2020). Therefore, from these stats, the adoption of new technology among the millennials can be measured vividly. Technology has impacted the buying experience of the customers evenly as customers can enjoy their shopping experience more if retail stores adopt technological innovation in their business function. Therefore, it has been seen that luxury retail stores are adopting new technology massively to provide their customers with an ultimate shopping experience. Along with that, technology has been accepted widely in the business process of the luxury retail stores because there is no need for physical interaction and in this way, technology has generated a revolutionary change in the area of business.
Among all, XR Technology is widely used in the area of business as it enables the marketers to address a few biggest pain points of the business firms. XR technology helps in human-machine interaction and in this way, it combines the real and virtual world (Poels, 2019). Considering the importance of new technology, this research study has been generated in order to study the utilization of new technology by the luxury retail stores of China emphasizing on the home-based millennials. Apart from this, this study will analyze what extra value is perceived by the Chinese’s millennials for the new technology.
As technology brings a revolutionary change in the area of business process, therefore the importance of new technology is increasing day by day (Chang, 2016). In the area of modern business practice, new technology has generated a vital position. That is why this research study has concentrated on the utilization of new technology in luxury retail stores in China. Business organizations adopt new technology to include home-based millennials in their business functions. Among all the technology, this study has specially emphasized on the application of XR technology in business as it is one of the widely used technology in the business of luxury women’s wear retail stores of china. Considering its significance in business, this research study will focus on it in order to analyse it from different perspectives.
Apart from this, this study will shed light on the value that Chinese millennials gain from the adoption of new technology by the luxury women’s wear retail stores in China. Technology has affected millennials as they want to take lessons from home and from real life as well. Technology has improved the skills and knowledge of the millennials in many ways (Au-Yong-Oliveira et al., 2018). The advancement of technology has made their life easier and improves their social behavior as well. Millennials have also utilized the new technology of luxury retail stores as it improves their shopping experience. That is why this research study will be helpful to determine the value of new technology that is gained by the millennials
This research will use primary research to gather information regarding the topic of this study. In primary research, with the help of observation and focus groups, researchers of this study will collect information from customers of Chinese luxury women wear retail stores by taking their interview. Along with that, there will be developed a TAM model framework. TAM model is a theory of information system which describes how users accept and utilizes technology.
The aim of this research is to investigate the luxury women’s wear retail stores in China who use XR technology to determine its usefulness in enhancing the customer’s shopping experience.
|To contextualize the luxury women’s wear retail stores of China who are utilizing XR technology||Literature review|
|To discuss theories of retail technology and innovation that utilize the XR technology in luxury womenswear retail stores. and develop a relevant contemporary TAM model (davids, 1989)||Literature review|
|To examine the luxury women’s wear retail stores of China utilizing XR technology and to determine whether it enhances Chinese’s millennials shopping experience||primary research 200questioners|
|4) To triangulate data in order to evaluate the factors XR technology enhancement for the shopping experience of the customer in Chinese’s luxury retail store||Literature review|
Table 1: objectives of the dissertation
1.4. Research problem
Technology has impacted modern business practice in many ways, from simplifying the business process to providing luxury shopping experiences to the customers (ŞAHİN et al., 2018). Therefore, technology is applied in the business in order to sustain the business profitability of the organization and to gain a competitive advantage in the market as well. The increasing trend of using technology in business is attracting the home-based millennials also. That is why it is expected that retail e-commerce sales will reach $6542 billion by 2023 (Statista, 2020). Apart from this, the number of digital customers will be 2.14 billion by 2021 as well (Statista, 2020). For this purpose, retail stores are emphasizing on the implementation of new technology in their business, especially the luxury women’s wear retail stores in order to attract the home-based millennials in their business operations.
From a recent forecast report of Inc, (2020), it has been observed that in between 2025, the global workforce will comprise 75% millennials of the total workforce. Therefore, organizations are implementing new technology in their business process to grab the home-based millennials in order to maintain their business operations without maintaining a physical presence. That is why this study has been conducted to investigate this matter in detail in the context of Chinese’s luxury retail stores.
From the discussion, it has been found that the research problem of this topic is to analyse the utilization of new technology in the Chinese’s retail stores by targeting the home-based millennials. Along with that, another research problem is to identify the extra values of this new technology from the perspectives of millennials.
In this study, one major research method will be considered which is quantitative method.Thedata collection methods can be described as a participatory study. For collecting data through primary research, researchers will adopt a survey method for 200 individuals. In this method, a qualitative method will be followed which can be effective to gather immense data based on the real-world scenario of the research topic. In the views of Sim et al., (2019), qualitative data analysis process is helpful to collect in depth information based on research topics. Therefore, this research study has followed a pragmatism mixed research method.
Figure 1: Structure of dissertation
The purpose of this section is to fulfill the objectives by doing the secondary research. The first objectives based on contextualizing the luxury women’s wear retail stores of China who are utilizing XR technology has been discussed in 2.1. Again, theories and Tam model discussion which is the second objective has been discussed in 2.3 and 2.4 and 2.5. Further the third objectives have been discussed in 2.6.
Figure 3: Historical timeline of XR technologies
(Source: Alcañiz Et al. 2019)
Extended reality can be termed as XR and this computer platform of the next generation has changed the way of learning, working and communicating through transforming the physical work into digital work (Rauschnabelet al., 2017). According to Chemielewski, (2017), the XR technologies have taught the pioneers of several organizations on how to train workers, provide service to customers and design the products and services through digital ways. XR can be considered as an area which consists of augmented reality, virtual reality and mixed reality respectively. On the one hand, the AR integrates the real objects in a real-time structure and on the other hand, the VR helps the user navigate in a real or imagined world. (Ro et al., 2018). Both the technologies are blended to get more effective outcomes in the business and other fields. XR helps in several fields like watching movies, playing games, travelling or in other fields, in every field people gain an excellent digital experience through XR technologies. The conceptual framework of extended reality can be shown as below:
In recent years, there has been a rapid evolution in smart mobile technology and from this, there has been a trend to be online always be it the students, general people, businessmen and the customers also. Examples of such advanced technologies are Google Glass iPhone from Apple and others. Customers all over the world are connected to the world from any part of the world through their tablets or smartphones. Through the extended reality, people have presented themselves in such a virtual world as though they are in the real world. Soliman et al., (2017), have stated that the extended reality has thus, has maintained a balance between the virtual and real world. XR technologies can boost marketing in many ways from retail to the wholesale business. Many retailers have started to utilize the XR technologies and thus, they are gaining their brand experience from XR technologies. For instance, through the Virtual Artist app, consumers get a new look with eyeshadow, lip colour and thus, they get a better look. Frist (2018), has also stated that apart from inspiration to the customers, XR has the feature to create customers’ health and well-being. When both the inspiration and well-being of the customers can be linked, and inspired then a positive business outcome can be achieved from this XR technology. In this way, the XR technology can boost marketing.
Figure 4: Push-pull model of innovation
(Source: Ogletree et al., 2018)
Globalization has made many changes in the world and in human life like inequity in society, migration of people, discrimination, slavery, market condition and others and in the last years, people have gained experience in the field of migration of people. In such a situation, trafficking in human life has been a major player and hence, money, suffering and crime have been involved in human life. The Push and Pull theory have the conditions that exist in rich and poor countries. Cha, (2018) has discussed the push and pull theory in tourism marketing. The push and pull theory ref are related to human rights, conditions and human society also. Globalization has created different in human life, discrimination, inequality, the economy of a country and has made many other transformations in the world. Globalization has also changed many things in the world and men have watched these changes.
People who belong to high economic categories are living a higher lifestyle, for example, they are using TV, Radio and mobile phones for their entertainment and for their necessities. In this context, it can be said that the young age people are being interested in using developed items to lead a better lifestyle and they are using XR technologies. After the Second World War, the population in every country has been increasing rapidly and trafficking in human beings has a common feature. With globalization, contemporary migration has been a common factor in human life and many migrate safely while some other men have found themselves with many types of abuses and other types of exploitations. Globalization has fostered some strong push factors in the migrants’ countries such as economic distortion, increased poverty rates and others. These economic downfalls motivate many persons to migrate to countries abroad and grab opportunities to gain a strong financial position Cha, (2018).
Again, the high level of economic and political instability pushes many families to reduce economic risks by diversifying their risks through the earnings in many countries. In the same way, the destination countries show higher wages as they have a demand for migrant workers. In this way, the migration policy is going on between the developed countries and the developing countries with push and pulls theories. Hsu et al., (2017) has highlighted the innovations through the push and pull framework. With push and pull theory, innovative XR technologies can be described. The push factors have driven the women Millennials to develop their lifestyles and hence, they have been interested to use XR technologies to realize their perceived value with their desired products.
Figure 5: Expectation theory
(Source: Tamrinet al., 2018)
According to the rule of expectancy theory, the main three elements work in a human being for motivation: expectancy, instrumentality and the object. Tamrinet al., (2018) have discussed the theory of expectancy in training management. The theory says that in order to achieve a particular thing, a human being must be sure that he or she gives his or her efforts to get something and he or she will be able to achieve the desired thing in exchange of whatever efforts may be necessary. This basic rule motivates an individual to get a particular thing. For example, to get a job, a person must be sure that he or she has to be sure that he or she has to fulfil the employer’s requirement to get the job. This relation can be said to be expectancy. In this context, the person has to be sure that he or she must fulfil the requirement to get his or her desire. An individual can be either desirable or undesirable but according to the theory of expectancy, the individual must be motivated or sure that he or she can perform effectively to get his or her desire.
The expectancy theory can be linked with the perception and fulfilment of the women in China in luxury products and retail stores. According to this theory, the women Millennials in China are desired to achieve their choice of womenswear through digital technologies in the easiest way. The XR technologies are helping the consumers through the visual representation of their desired products. In this way, through the XR technologies, they are watching their products and after having the perception of the women they wear they are motivated to purchase the products finally. Fang et al., (2017), have analyzed motivation through expectancy theory. Here, it is to be noted that if the women Millennials are not satisfied and do not have the perceived value on their desired products, they are not motivated to purchase their products of choice and then this theory is not applied.
TAM model framework
TAM model or technology acceptance model is basically a theory of information systems which is used to know how technology is accepted and how it is used in the life of the human (Davids, 1989). Regarding this Biucky et al., (2017) stated that, the major factor of TAM model framework is the behavioral intention of the human that leads an individual to use technology. There are two major influential factors of TAM framework that decide the influences of individuals intention regarding the acceptance of technology such as perceived ease of use and the perceived usefulness. This framework is massively used in order to analyse the individual technology acceptance behavior in the IS of the luxury retail stores. That is why by using the TAM model framework the behavioral intention of the customers in luxury women’s wear retail stores in China can be analyzed properly.
2.5. Chinese luxury retail stores trends
Luxury retail stores are something that is worth to the individual and different from normal retail stores. It has been observed that luxury retail stores are implementing the advancement of technology in the business functions massively to grab the market. Bhaskar, (2016) stated that there are different types of technology that have a usage in the business functions by the marketers in order to maintain the business operations precisely and to improve the shopping experience of the customers. In the view of Poels, (2019), XR technology or extended reality technology is the combination of the real-world and virtual world which is generated by the computers and used in the business process immensely.
Luxury retail is a booming industry in China as customers’ lifestyles are changing continuously and customers prefer luxury brands nowadays rather than the normal brands. In order to be compatible with the global lifestyle, customers of China are also changing their perceptions of buying clothes from normal fashion brands. From the past years, the number of customers has increased in this industry as well by following the latest market trend. In the luxury retail industry of China, there are a huge number of luxury fashion brands and the growth of this industry is noticeable.
One of the emerging trends of the Chinese luxury retail industry is the increasing number of young millennials and technology-friendly customers. Along with that, it has been found that most of the buyers of the luxury retail stores in China are the women. The customers are also comfortable to buy their products online. Therefore, it leads the luxury fashion brands of China to implement technology massively in their business process in order to provide the customers with a better shopping experience.
Sackmann et al., (2018), stated that there is digitization in everything, from the business process of the luxury retail stores to the customers buying process. Customers prefer to shop from the luxury brands by utilizing their new technology. Technology has impacted on the fashion trends of china too as customers are more influenced towards the social media campaign of the luxury fashion brands or by the recommendation of the digital customers. That is why Chinese luxury retail brands also have implemented the advancement of new technology in their business in order to grab the emerging customer of the market.
2.6. Chinese millennials and perceived value from the products
Noormohamed, (2019), revealed that in the present days, the Chinese millennials have a great influence and they are reshaping the retail sector in China. According to Boston Consulting Group, Chinese millennials who fall between the age group of 18-35 form 40% of the total population of China and they will increase by 46% by the year 2021 (Asia Distribution and Retail, 2017). It can be said that the Chinese Millennials are a dominant force and are a potential group of consumers in the consumer market. As per the research of BCG, a Chinese millennial who is under 35 has a market consumption growth potentiality of 65% (Asia Distribution and Retail, 2017). Further, consumption by three Chinese consumers grows with an annual rate of 11% from the year 2016 to 2021 and it is quite double than that of an old age consumer in the Chinese market. The total consumption rate of the young generation is expected to reach 69% as against the consumption growth of older people (Asia Distribution and Retail, 2017). The following graph will help to understand the consumption growth of Millennials in China as against the old age group people.
Figure 3: The consumption growth rate of Millennials in comparison with older generations (above aged 35)
(Source: Asia Distribution and Retail, 2017)
The above analysis clearly defines how potential the Chinese millennials in the retail market of China and how much sense of perceived value they have in their mind in regard to the retail products. The XR technology can be applied to strengthen their potentiality and thus, the retail market of China can be boosted. The perceived value of Chinese can be optimised with the application of internet technologies and retailers can offer them a better experience for a better lifestyle. In this way, marketing can be strengthened through XR technologies. In the view of Perna et al., (2018), it has been observed that information technology is influencing the fashion industry in many ways. The latest VR technologies can also be used to attract lots of Chinese millennials. On the other hand, the Asia Distribution and Retail (2017) report has stated that shopping malls, retail stores and such have helped the Chinese millennials to be more retail product-centric. Rienetta et al., (2017), has pointed that social media marketing has impacted on the shopping behavior of young adults. Chinese millennials are increasing their shopping experience through the use of social media platforms as the craze for using social media platforms is increasing day by day in China. Ross, (2020) depicted that in modern business practice of the fashion industry, implementation of digital fashion technology is an emerging trend. Through the social media window, Chinese millennials are perceiving the value of every type of product and they are also referring those products to their friends and relatives. In this way, they are realizing the perceived value of products which can boost the sales of retail products in the near future.
Thus, the propositions are:
Proposition 1: XR technology could enhance the shopping experience of the Chinese millennials in luxury women’s wear retail stores in China (Ross, 2020).
Proposition 2: Factors like lifestyle and economic condition are helpful in enhancing technologies like XR (Noormohamed, N.A., 2019)
Figure 4: Research onion
(Source: Saunders et al., 2018)
In order to proceed with this research work, the researchers will consider the positivism philosophy. This philosophy will be helpful to analyze both theoretical as well as practical data and creation of linking between these two perspectives of collected data. As described by Saunders Et Al., (2018), selection of effective research philosophy is helpful to stabilize research base in an authentic and scientific manner. Therefore, positivism philosophy will be effective to transform theoretical data into real world data based on use of technology by Chinese luxury retail stores to aim home-based millennial.
In this research, researchers will focus on considering a deductiveresearch approach. As stated by Tuffour (2017), inductive research approach is based on formation of research questions and then supporting the questions in light of appropriate findings. On the other side in deductive research approach, there are already established theories which are defined throughout the study. Similarly, research propositions have been formed in this study which can be effectively supported by the data findings process.
In order to complete the research activities, the researcher has resorted to theoretical data are the research proposition of this study (in form of literature review) and practical data through literature review and survey method (Ulrich et al.,2018). The theoretical data have been collected from mainly online articles and the practical data have been gathered from 200 respondents in a survey. 200 customers have been chosen as respondents and they have been asked 20 questions to collect primary data. Both the theoretical and practical data have been suitable for the researcher to meet the objectives of the research showing how XR technology can help Chinese millennials to increase their buying experience in the luxury retail stores.
Research design shows the techniques and methods of a research study properly. research design integrates among the different research methodology and presents it to address the research issue. Research design is divided into three categories, they are exploratory, explanatory and descriptive research. The researcher has adopted exploratory research design in this study because there is already a theoretical idea in this study which is essential for this research design.
The researchers will choose surveys as their research strategy. The survey will be conducted among 200 customers. In order to conduct the survey, 20 questions will be made and customers’ responses will be analyzed by using Excel.
Cross sectional time horizon will be selected by researchers. As described by Neveet al., (2018), a cross sectional time horizon is applied for confinement of research time along with collection of data within a short period of time. Thus, this option of research onion will be beneficial for researchers to conduct all research activities within a specific time. Moreover, it will be suitable for developing a strong research frame based on maintenance of consistency in the data collection process.
The sample group of this study are the high-end customers of Chinese retail stores. The sample size was 200 for this study. The sample group of this research belonged to the Chinese millennials.
Data analysis defines the process of transformation of the gathered data to findings. the data analysis process is generated mainly by two ways such as qualitative and quantitative. For the secondary data of research, qualitative data analysis is generated. however, as the data are collected through questionnaire method, therefore the researcher has adopted qualitative data analysis for this study to analyses the numeric data of this research.
In order to present the data, the researcher has used Microsoft Excel tool to present the findings in graphical form. As all the collected data are numerical data, therefore, Choosing Microsoft Excel was appropriate.
In the entire study, the research has followed all the ethics to conduct this research study properly. the followed ethics are as follows:
- During the study, no respondents were harmed.
- the identification of all the respondents are strictly secured and will not be used in any future work
- The researcher has acknowledged all the authors whose work is used in this study.
The major limitation of this study was the shortage of time and limited budget. for this purpose, it was not possible to choose more respondents for this study. Along with that, the limited time period did not allow the researcher to analyze mre literature for this study. These limitations have impacted on the outcome of this research.
In this section, the data which are collected through the questionnaire method will be discussed properly. all the gathered data are presented in the graphical method through microsoft excel. In order to collect the data, the questionnaire is formulated to consider the 1 and 2 propositions of this research.
Q1. What is your Gender?
Graph 1: Figure showing the percentage of male female in research
Analysis: The researcher has taken 200 respondents in order to impart this study. The customers were chosen as respondents so that the ongoing results of the research can be achieved. From the above chart it is seen that out of 200 respondents, 118 respondents were women participants and the rest 81 respondents were the male respondents. The majority of women respondents have helped the researcher to understand how female millennials of China are applying XR technology to increase their buying experience.
Q.2. What is your age?
Graph 2: Figure showing the percentage of age group of respondents
Analysis: The second question was regarding the age group of the respondents. The graph of the second question has represented that 88% of the 200 respondents fall in the age group of 26-30, this means that they are millennials. 62% of the respondents are between the age group of 31-35 years. 36% are between the age of 20-25 and the rest 14% are between 36-39 years. The maximum respondents of millennials from 26- 30 and 31-35 have supported the proposition of the research that the XR technology can be helpful in enhancing the shopping experience of Chinese millennials in luxury women’s wear in China.
Q.3. What is your highest education level?
Graph 3: Figure showing the percentage of education level of respondents
Analysis: In the third question, the education level of respondents is expressed through a chart. It is evident from the graph that 132 of respondents were highly educated with PHD degrees, 51 had master degrees, 14 had high school degrees and finally, 3 had bachelor degrees. The education level of respondents has a link with the Push and Pull theory that has been discussed in the LR part. The push factor in the theory has pushed the Chinese millennials to be educated highly for better economic condition and lifestyle and to use the XR technology under the proposition No 2.
Q.4. What is your employment status?
Graph 4: Figure showing the employment status of respondents
Analysis: In question 4, the researcher asked regarding the employment status of the respondents. The chart shows that out of 200 respondents, 159 were employed, 13 were unemployed and 28 were students. It is evident that most of the respondents were employed. Technology acceptance model discussed in the study has proved that due to employment, financial support of the millennials has encouraged them to bear a behavioral intention to use XR technology for their buying experience. This fulfills the enhanced shopping experience of Chinese millennials.
Q.5. What is your monthly income?
Graph 5: Figure showing the monthly income status of respondents
Analysis: Chart 5 shows the monthly income of the respondents. According to the chart, 58 respondents have income between ¥ 8,000-12,000, 42 have income between ¥ 5,000-8,000, 31 have ¥ 2,000-5,000 and the rest 18 have their income under ¥ 2,000. Most of the respondents having a high level of income from the chart have a trend to the marketing through XR technology in the Chinese luxury stores. The previous discussion has proved how, with the increasing income level, the customers of China are changing their lifestyle and thus, are using XR technologies. Thus, theoretical discussion has supported both propositions state1) because sufficient income has boosted both the spread of XR technology and the lifestyle of customers.
Q.6. I am a frequent purchaser of luxury women wear products
Graph 6: Figure showing the frequent purchase of respondents
Analysis: Question 6 is related to the frequent purchase of the respondents. The chart No. 6 proves that 51% of the total respondents, purchase women wear products repeatedly and the rest 49% do not. According to the report of Asia Distribution and Retail, 2017, Chinese millennials under 35 have the maximum growth potentiality. They use XR technologies and thus gain the sense of perceived value of the Womenswear luxury products in China. In this way, the perceived value pushes them to purchase their products of choice frequently. Chinese millennials gain shopping experience through XR technology which satisfies one of the propositions in the research.
Q.7. Purchase luxury product because stores utilizing XR technology
Graph 7: Figure showing the trend of respondents because of XR technology in stores
Analysis: In question 7, the researcher wanted to know how far the respondents were motivated to purchase luxury products because of the usage of XR technologies in stores. 93 respondents were neutral, 48 agreed, 13 strongly agreed, disagreed and 11 strongly disagreed on the fact. From most of the respondents’ opinion it is clear that they are not positively moved by the application of XR technologies in luxury product stores and it does not fulfill proposition in the research. Hence, the store owners are to be aware of better application of XR technologies for women’s wear luxury products.
Q.8. XR technology is an important factor that determines my purchasing decision
Graph 8: Figure showing the purchasing decision of respondents because of XR technology in stores
Analysis: The eighth question is regarding the influence of XR technologies for purchasing decisions of the Chinese customers. Apart from 93 neutral respondents, 52 agreed, 16 strongly agreed, 27 disagreed and the rest 12 strongly disagreed. The expectancy theory has ensured that individuals’ self-motivation has motivated them to study the XR technology and thus, they have been able to take his or her purchase decision for luxury products. Proposition has been fulfilled here with better shopping experience of Chinese millennials through XR technology.
Q.9. Using tablets to browse product’s information in luxury retail store provides more convenience to me and enhance my shopping experience
Graph 9: Figure showing Using tablets to browse products information in the luxury retail store provides more connivance to customers and enhances their shopping experience.
Analysis: In graph 9, 113 out of 200 respondents have agreed that use of tablets and other devices has helped them to enhance shopping experience in the luxury retail stores in China. 29 have been strongly agreed, 11 have disagreed, 2 have strongly disagreed and 45 were neutral on the same. The findings from the chart proves that XR technologies have helped the millennials to gain positive shopping experience for retail luxury products fulfilling the proposition in the research.
Q.10. When you shop in a luxury retail store, what do you think is the most important factor that will affect your purchasing decision?
Figure 10: Figure showing the most important factor in customers’ purchasing decision
Analysis: Question 10 refers to the most important factor for customers’ purchasing decisions. 98 of the total respondents have shaded their opinion that the product itself has affected their purchasing decision. 51 have mentioned advanced technology like XR technology, 47 have referred to customer experience and the rest, 4 have mentioned the store environment. The findings from this question have not fully supported the proposition that XR technology is the only factor to enhance customer experience. This proves that the product itself can influence customers’ purchasing decisions.
Q.11. I tend to buy products from luxury stores that utilizing XR technology
Figure 11: Figure showing the trend of customers through utilizing XR technologies
Analysis: In question 11, 95 respondents have agreed that they purchase their luxury retail products of their choice from the stores that use XR technology, 75 have been neutral, 2 have strongly agreed and 11 have disagreed on the same. This proves the proposition that XR technology can enhance the shopping experience of the Chinese millennials.
Q.12. Do you think a luxury retail store utilizing XR technology can provide a better shopping experience to you?
Figure 12: Figure showing the customers’ opinion on better experience through XR technologies
Analysis: In chart 12, 88% of the chosen respondents have admitted that application of XR technology can enhance their shopping experience and this strongly supports proposition No. 1 of the research. However, only 12% of the respondents have opined the opposite.
Q.13. I will prefer buying product from brands that utilizing XR technology if the products have similar quality
Figure 13: Figure showing the preference of customers’ buying tendency on products having similar quality
Analysis: In question 13, 107 customers out of the total have agreed that they prefer buying similar quality products with the help of XR technology. 60 have been neutral, 18 have strongly agreed, 14 have disagreed and 1 have strongly disagreed on the same opinion. Opinion from major customers does not support the proposition of the research because it signifies that XR technology enhances customer experience for all products.
Q.14. Are you more likely to purchase if the environment is stimulating (Store surrounded by XR technology)?
Figure 14: Figure showing the buying tendency of customers through stimulating environment of stores
Analysis: From Chart 14, it is quite evident that XR technology boosts customers’ purchase. 89% from the total respondents were of the opinion that the surrounding support of XR technology in stores can increase their purchase whereas only 11% of the respondents opined the opposite. The findings from this question support the research proposition that XR technology enhances customer experience.
Q.15. XR technology has reduced the time of shopping
Figure 15: Figure showing the time of reduction in shopping through XR technologies
Analysis: From chart 15, it has been proved that XR technology reduces time of shopping. 118 of the respondents agreed on the above statement, 25 strongly disagreed, 51 remained neutral, 5 disagreed and only 1 strongly disagreed with this. The theoretical explanation proved in this study that customers, through XR technology can visualize the products and services in a more effective way. Different apps can also be used through XR technology. All these save the time of the customers. This supports the proposition that with more time, customers can invest their extra time for better income for better economic condition and higher lifestyle.
Q.16. XR allows in providing the design of the services and the products
Figure 16: Figure showing XR allows in providing the design of the services and the products
Analysis: Chart 16, 131 customers have agreed that XR technology provides better designs and better customer service for the retail womenswear products. 30 were strongly agreed, 34 were neutral, 4 were disagreed and only 1 strongly disagreed on the above opinion. Thus, the findings from question 16 proves the proposition that XR technology enhances customer experience through better products and customer service.
Q.17. XR technology has helped you to choose the desired product
Figure 17: XR technology has helped customer to choose the desired product
Analysis: In chart 17, 105 respondents have shaded their favorable opinion that XR technology helped them choose their products of choice. 29 individuals strongly supported the XR technology on the ground of choosing products, 55 were neutral, 9 disagreed the same and 2 strongly disagreed with the above opinion. Hence, the proposition of the research is fully supported by the opinion of majority respondents.
Q.18. Do you think XR technology is the important factor that determines your purchase decision toward a luxury brand?
Figure 18: XR technology is the important factor that determines customers’ purchase decision toward luxury brand
Analysis: In chart 18, 53% of the total respondents have admitted that XR technology has a major influence in their purchase decision and this proves the customers’ positive experience through XR technology. The rest 47% have responded opposite.
Q.19. XR allowed you to maintain a steady healthy lifestyle
Figure 19 XR allowed customers to maintain a steady healthy lifestyle.
Analysis: In chart 19, 112 respondents have responded that XR technology has helped them lead a healthy life through better knowledge and time saving. This aligns to the proposition of the research. 23 respondents have strongly agreed the same, 53 were neutral, 11 disagreed and the rest 1 strongly disagreed the same.
Q.20. You associate usefulness and use while utilizing XR technologies
Figure 20: Customers associate usefulness and usefulness while utilizing XR technologies.
Analysis: In question 20, 120 respondents agreed that they associate the usefulness of XR technologies while using the same. 45 strongly agreed, 32 were neutral and gave no opinion, 2 disagreed and only 1 strongly disagreed. The response from majority respondents has supported the propositions that XR technology on the one hand enhances customers’ experience and on the other hand supports customers’ better economic condition and lifestyle.
In this section, there is a detailed discussion regarding the findings of the report. This discussion is based on the theoretical data which is the proposition and practical data of this research study. The discussion will prove whether the research propositions are appropriate or not.
The study was conducted to understand the importance of XR technologies in gaining customer experience of Chinese millennials in luxury womenswear in the retail stores in China and also to understand the factors like economic condition or high lifestyle that help spread XR technologies (Margetis et al., 2019). Both the theoretical explanation and primary survey have helped the researcher understand both the above proposition 1 of the research study. In the earlier section literature review, it has been discussed that Chinese millennials are using XR technologies through their tablets, smartphones and other devices and due to this, application of XR technologies has been much easier to the Chinese millennials for their marketing. XR technology is a combination of virtual and real world and due to this, customers can make a balance between the virtual and real world (Soliman et al., 2017). Customers can view their products of choice that help them in their purchase decision and repetitive purchase.
According to (Cha, 2018) push and pull model innovation people on the one part of the world , from globalization, have learned developed and better lifestyles of the people in other parts of the world and due to this they have migrated to the other part of life for better lifestyle and standard of living For better job opportunity, the economic condition and lifestyle of the migrated people have been developed signifying the proposition of the research. Those migrated and developed people have been interested to learn and use XR technology for better purchasing experience.
The expectancy theory can be linked with the perception and fulfilment of the Chinese women for their luxury retail products. The expectancy theory says that an individual is required to have a strong desire to achieve something (Tamrinet et al., 2018). Likewise, the Chinese women millennials have a strong desire to achieve their luxury products of choice and hence, they use XR technologies to gain perception on their products and thus, they gain better purchasing experience. This point is aligned to the proposition that XR technology enhances customer experience. The supportive qualitative data in the study have also proved that Chinese millennials who are under 35 have 65% growth potential than the old-aged group in China (Asia Distribution and Retail, 2017).
The primary survey has also been effective to prove the enhanced customer experience through the application of XR technologies. The findings from most of the survey questions are that XR technology has helped the respondents to enhance their purchasing experience for retail luxury products for millennial women of China (Carrozzino et al., 2019). Survey question 9 has proved that the Chinese millennials are very comfortable to apply XR technologies through their tablets, smartphones and other devices and through their comfortable use of XR technology they have been able to understand the perceived value of products and services and in this way they have been interested to buy their retail luxury products from the retail stores that use XR technologies. In the same way, chart 5 has shown that people with sufficient income have been interested in better and higher lifestyles and for higher lifestyle, they have used XR technology to purchase retail luxury products. In these ways, both the propositions of the research have been met through quantitative and qualitative discussion.
Table of proposition
|Proposition 1: XR technology could enhance the shopping experience of the Chinese millennials in luxury women’s wear retail stores in China (Ross, 2020).||Proved|
|Proposition 2: Factors like lifestyle and economic condition are helpful in enhancing technologies like XR (Noormohamed, N.A., 2019)||Disproved|
Chapter 5: Conclusion & recommendations
In this chapter, the conclusion of this research will be discussed, the conclusion will be based on the overall findings of this research study. In addition, few recommendations will be provided on the basis of the conclusions. recommendations will be for the increasing of home based millennials in the Chinese luxury stores by using technology.
5.1.1. Objective 1: To contextualize the luxury women’s wear retail stores of China who are utilizing XR technology
This objective has been discussed in Chinese luxury retail store trends and in the discussion of the perceived value of the products in the literature review. In chapter 4 of the study, the objective has been linked with in question 11, 12 and 14. Through this objective, it was necessary to involve the luxury retail stores in China that use XR technologie (Carrozzino et al., 2019). From both the qualitative and quantitative analysis the finding is that Chinese millennial women are purchasing their products of retail luxury choice from those stores that use XR technologies. Hence, those stores play a crucial role in customers’ experience and they are important for better customer experience in the future.
5.1.2. Objective 2: To discuss theories of retail technology and innovation that utilize the XR technology in luxury womenswear retail stores. and develop a relevant contemporary TAM model
The objective has been discussed in the push and pulls theory, expectancy theory and TAM model in the literature review. In chapter 4, the same has been discussed in question 3 and 8 while discussing the theories. Different theories like push and pull theory, expectancy theory have been discussed and linked with the human demands to explain the increased customer experience of Chinese women millennials for Chinese luxury products. The theories have beautifully explained how they have created TAM models that lead to a human behavior within the customers to use XR technology for their better experience. (based on first proposition)
5.1.3. Objective 3: To examine the luxury women’s wear retail stores of China utilizing XR technology and to determine whether it enhances Chinese’s millennials shopping experience
This objective is the crucial one for the research study and the current data from the primary questionnaire have helped to establish that luxury retail stores with XR technology are very important for Chinese millennials’ shopping experience. The objective has been discussed in the literature review to explain how through retail stores, the Chinese millennials gathered the perceived value of products. In chapter 4, the objective has been discussed in question 11 and 14. Most of the respondents in the primary survey have admitted that the luxury retail stores with XR technology help them gain better experience in their marketing. Thus, this objective has been fulfilled. (Based on second proposition)
5.1.4. Objective 4: To triangulate data in order to evaluate the factors XR technology enhancement for the shopping experience of the customer in Chinese’s luxury retail store
This objective has mainly been discussed in the luxury retail store trends in China and in the perceived value of Chinese millennials in the literature review section. Questions 5 and 19 have discussed these objectives with current data from the respondents. It was necessary to triangulate data for evaluating the factors that help in the spread of XR technology for better customers’ experience in luxury retail in China. Throughout the study it has been explored that the economic condition and better lifestyle of the Chinese women millennials are the two major factors that have moved them to use XR technology for better experience for Chinese luxury retail products.
In the entire study, the researcher has faced few issues which signifies the limitations of this study. The major limitation is the short time period for this study. Considering the nature of the research topic, it can be said that this is a vast topic and needs a broad time to be generated. That is why the time period is a limitation of this study. On the other side, Budget was another limitation. The entire study was divided into many parts such as literature review, research methodology, findings and others and the provided time was very short which limits the outcome of the study.
Based on the above discussion, the researcher has suggested that the XR technologies can be used in better ways for the best results in the future. Those ways can improve the purchasing experience of the Chinese women millennials. The recommendations are the following:
- Chinese luxury retail stores can promote the technology that they use in their business. In this way, people will become aware of the technology and Chinese millennials will become interested in the business of luxury stores.
- With the help of AR, the luxury retail owners in China can interact with the millennial’s customers after their purchase in an innovative way. Ongoing support of products and services can support the customers and this can be more effective with instructions, manuals and future guidance to the AI users (Ortiz, 2019).
- Blending of AR, data and AI related to XR technology can finally enrich the in-store experience that could help the retail store owners to maintain the store activities. AI powered AR can help a sales assistant in knowing customers’ personal choice, help them with needed information and closethe dealing of sales excellently (Skavlem and Schmitz, 2017).
There have been some research gaps both in the qualitative and quantitative data collection and analysis throughout the entire research (Ulrich et al., 2018). Despite the through qualitative research from online articles, it has been realized by the researcher that there can be a lack of authenticity in the secondary data that have been collected from many online articles written by some other authors (Deroey, 2018). Some fake data can destroy the genuinely of the entire research regarding the trend of the millennials in China. Again, there can be some gaps in the primary survey data collection. Although it is believed that most of the survey data are based on the current experience of the Chinese women millennials, still some respondents may have declared the data that are not true and this can deviate the entire research from its objectives (Lurienne et al., 2018). Apart from this, superficial knowledge of the respondents can also deviate the research from its objectives.
There is a requirement of further research to root out the gaps that have been created both in the literature review and primary data analysis in chapter 4. Further research in the future will help the researcher gather more authentic data with more time from different online articles and other publications (Gupta et al., 2016). On the other hand, more sophisticated primary data will be collected from the other survey on the research subject. In these ways, new insights on the Chinese millennials can be gained from further research. The researcher can also apply his or her experience in similar type of research in his or her personal life in the future.
With globalization, customers’ needs and demands are changing and to respond to those changing needs and demands, XR technologies can play a major role. The research study has highlighted how Chinese women millennials are using XR technologies to gather their experience in retail luxury products. The literature review, through different theories and discussion has proved that XR technology can blend the visual and real experience of the Chinese women millennials and thus, it can help in their purchasing decision in an excellent way. According to the data in literature review, Chinese millennials are the most potential customer group in the present China and XR technologies can be used for their better experience. Different theories like push and pull theory, expectancy theory have shown how human behavior moves to higher satisfaction through advanced technology.
On the other hand, the primary survey of the research has helped in gathering the current data from the customers. Almost all the primary questions from the respondents have collected data that prove that most of the respondents are in favor of the application of XR technologies to experience better in the field of their purchase. The survey proves that XR technologies can save customers’ time and are able to provide better service in less time. Due to this, customers can devote their time to other potential work which leads to their better economic condition and better lifestyle. In the future, XR technologies can be utilized in a more effective way to derive more benefits both for the customers and the luxury retail store owners in China. According to Zinn, (2019), XR technology is teaching and learning through virtually and reality. For example, with the application of 5G network, faster service to the Chinese millennials can be provided for business growth.
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