Close to Home: Analyzing Urban Consumer Behavior and Consumption Space in Seoul

TL;DR

This study analyzes how the density of related amenities near residences affects urban consumer shopping patterns in Seoul, revealing a strong preference for nearby amenities and the resilience of local shopping behaviors despite disruptions like COVID-19.

Contribution

It provides empirical evidence on the influence of amenity relatedness density on consumer behavior using credit card data over five years in Seoul.

Findings

Consumers prefer amenities within 2 km of home

COVID-19 temporarily reduced local shopping effects

Local shopping preferences rebounded in 2023

Abstract

This study explores how the relatedness density of amenities influences consumer buying patterns, focusing on multi-purpose shopping preferences. Using Seoul's credit card data from 2018 to 2023, we find a clear preference for shopping at amenities close to consumers' residences, particularly for trips within a 2 km radius, where relatedness density significantly influences purchasing decisions. The COVID-19 pandemic initially reduced this effect at shorter distances but rebounded in 2023, suggesting a resilient return to pre-pandemic patterns, which vary over regions. Our findings highlight the resilience of local shopping preferences despite economic disruptions, underscoring the importance of amenity-relatedness in urban consumer behavior.