Identifying the Key Drivers of Employee Retention in the Retail Sector: A Qualitative Exploration

Abstract

This study aims to explore and identify the key factors that influence employee retention in the retail sector through the lived experiences of frontline workers in Tehran. A qualitative research design was employed using semi-structured interviews with 19 retail employees from various organizations in Tehran. Participants were selected through purposive sampling to ensure diversity in roles and experience. Interviews were conducted until theoretical saturation was achieved. Data were analyzed using thematic analysis, supported by NVivo software, following Braun and Clarke’s six-step method. Trustworthiness was ensured through member checking, peer debriefing, and reflexive journaling. Three major themes emerged from the analysis: (1) Organizational Environment—including subthemes such as supportive management, fair compensation, job security, internal communication, workload balance, and physical conditions; (2) Career Development—encompassing training opportunities, promotion pathways, mentorship, and role clarity; and (3) Personal and Interpersonal Fit—comprising work-life balance, job meaningfulness, team cohesion, employee voice, personal motivation, and alignment with company values. Participants emphasized the importance of emotional support, transparent communication, and flexible scheduling, alongside tangible benefits such as fair pay and job stability. Quotes from interviews revealed how these factors collectively influenced employees’ intention to stay. Employee retention in the retail sector is driven by a complex interplay of environmental, developmental, and personal factors. Beyond financial incentives, workers value supportive leadership, growth opportunities, meaningful relationships, and alignment with organizational culture. These insights can inform context-specific strategies for improving retention in high-turnover sectors such as retail.