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Demographics, psychographics, price searching and recall in retail shopping

Retailing environments have gone through physical changes and the Internet revolution which intensifies price search and comparison behaviour, however, what customer characteristics – demographics or psychographics – affect price searching and recall? Further, what changes the relationship between the price-searching tendency and price recall? This research develops a framework that integrates the views of the economics of information and psychosocial returns to address these questions. Through point-of-purchase surveys, this study finds that psychographics affect the price-searching tendency directly while demographics do so indirectly through psychographics. In addition, the price-searching tendency has a positive effect on price recall and this relationship is stronger when consumers buy discounted products. Finally, in contrast to previous research, consumers' high tendency to search for price and price recall accuracy and confidence are found.