This research investigates how the social elements of a retail store visit affect shoppers’ product interaction and purchase likelihood. The research uses a bivariate model of the shopping process, implemented in a hierarchical Bayes framework, which models the customer and contextual factors driving product touch and purchase simultaneously. A unique video tracking database captures each shopper's path and activities during the store visit. The findings reveal that interactive social influences (e.g., salesperson contact, shopper conversations) tend to slow the shopper down, encourage a longer store visit, and increase product interaction and purchase. When shoppers are part of a larger group, they are influenced more by discussions with companions and less by third parties. Stores with customers present encourage product interaction up to a point, beyond which the density of shoppers interferes with the shopping process. The effects of social influence vary by the salesperson's demographic similarity to the shopper and the type of product category being shopped. Several behavioral cues signal when shoppers are in a potentially high need state and may be good sales prospects.
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