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The economic development in Indonesia is strongly supported by the existence of the retail industry. The retail market potential is also quite large, which has grown from traditional to modern retail. Retails need to improve its strategy to retain customers, both on design, pricing, facilities, or green retailing concepts. This study provides the application of spatial marketing method Multiplicative Competition Interaction (MCI) for retail marketing analysis and strategy. This method has advantages because it uses the concept of location and retail interaction in each region. The sample used is minimarket type of retail, both local and national in 6 villages in Ngaglik, Sleman Regency, Yogyakarta. Surveys also conducted to consumers about the perception of minimarket quality when shopping for basic needs. The analysis shows that every minimarket has different market share in every location. Consumers not only prefer minimarkets that provide complete facilities, professional waiters, and affordable prices, but also prefer shop at minimarkets located closer to their house, because it can save time and transportation costs. The MCI model used 48 interactions between i = 6 villages and j = 8 minimarkets. By least square estimation and α = 5%, locations, parking facility, and price of product influence to the minimarket consumer choice. The positive parameter estimates, i.e. 4.087, 13.288, and 6.965. It shows that minimarkets that have a high valuation of "convenient location", "sufficient parking facility", and "affordable price" would achieve a higher capture of consumers. |
