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This study aims to understand customer’s assessments of neighborhood stores during the COVID-19 pandemic through the influence of in-store environmental factors on patronage intention.

Online survey with 528 participants about the last shopping trip in neighborhood retail. The authors performed data analysis using structural equation modeling techniques.

High-perceived spatial crowding negatively influences shopping experience value perceptions, while human crowding influences patronage intentions through increased perceived hedonic value.

Results suggest that purchase experience at well-known neighborhood stores during a sanitary crisis is becoming less convenience-oriented and a substitute for leisure activities due to social distancing.

The findings elucidate the social function of neighborhood convenience retailing during the COVID-19 pandemic. The results emphasize that a pleasant shopping experience arising from a good relationship with shopkeepers and other customers is more influential on patronage intention than a good product assortment and store layout.

This paper contributes to the survival of small neighborhood businesses during the financial crisis installed due to Covid-19 by helping businesses become more attractive to their consumers and competitive in the new context.

The combined context of the health crisis due to COVID-19 and neighborhood retail of an emerging country raises the need for tests to better understand established marketing theories. Based on this rationale, this work intends to replicate and extend selected previous findings to the new environment dictated by the pandemic.