The Surprising Factors That Impact How Consumers Choose Where to Shop

Key takeaways 

• Consumers prioritize customer service and a convenient location near their job or home 
• High-income shoppers are most likely to buy from a business with good service 
• Consumers in all countries are strongly inclined to buy high-quality products
• GIS software combines census and customer survey data to identify optimal store locations 

Consumers will not necessarily visit a store with a physical location unless it is part of their mindset regarding places to shop. Brick-and-mortar retailers must rise to this challenge in order to survive, especially small businesses, which historically struggle with sustainability. According to 2024 data, almost a quarter (23.2%) of private US businesses go under within the very first year. 48% go bankrupt within five years, and 65.3% close within a decade. 

GIS can mean good business

Around 80% of all business data is related to the location. Companies manage a vast world of data about customers, sales, mailing lists, inventory, demographic profiles, etc. No matter your industry, succeeding in business means making smarter decisions more quickly than the competition. It’s of paramount importance to be able to understand the market, obtain the data you need quickly, and act on it. Maps can intuitively reveal patterns, trends, and opportunities that tabular data may not identify. They can be key to a retail business’s success. 

Tools like Maptive GIS software can help franchises find the right site for the next store, service department, distribution center, and more. GIS enables users to combine census data and customer surveys and visualize market share, market penetration, and trade areas. GIS can help businesses plan their exit strategies when markets undergo a shift. 

Consumers value customer service and a convenient location 

Early research has identified two critical factors behind shoppers’ decisions to choose a specific store over another – good customer service and a convenient location near their job or home, with respective standardized scores of 100 and 98. It appears consumers choose stores because of their location and how well they are treated there. The next most important drivers are a wide selection of products below a certain price threshold and prices lower than other shops, with scores ranging from 71 to 74. 

In a more recent study, the results of which were reported in 2024, Qualtrics XM Institute questioned 28,600 consumers across the globe about their choices of which companies to buy from. They asked participants to choose two of five options: to buy from a company that offered very good customer service and support, high-quality products or services, or low prices; a company with an intuitive mobile app or website, or a company that did positive things for the community and society in general. 

The results confirmed the above study’s findings in that consumers prioritized good services and support. Globally, good customer service was the second-biggest priority. Interestingly, high-income shoppers were most likely to buy from a business with good customer service, which was near the bottom of low-income consumers’ list of priorities.

They also prioritize product quality and intuitive online interfaces  

Consumers in all countries were strongly inclined to purchase from companies with high-quality products or services. Japanese consumers showed the strongest preference for this, and New Zealanders – the weakest.

Value for the community ranged between countries in importance, but globally, it was lowest on consumers’ list of priorities. Consumers from the UAE were most likely to purchase with consideration for societal good, and Canadians were least likely.

Finally, consumers under 35 were more likely to buy from businesses with an intuitive mobile app or website compared to those aged 35 or over.