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Project report on

CONSUMER
PERCEPTION
TOWARDS ONLINE
SHOPPING
SUBMITTED IN PARTIAL
FULFILLMENT FOR THE
AWARD OF THE DEGREE
OF BACHELOR OF
BUSINESS
ADMINISTRATION 2014-17
UNDER THE GUIDANCE OF

Mrs. Anju Bharti
SUBMITTED BY:

PRAKRITI KUMAR
Roll no: 04514701714 BBA 3rd
SEM, (A)
MAHARAJA AGRASEN
INSTITUTE OF
MANAGEMENT STUDIES
Affiliated to Guru Gobind Singh
Indraprastha University, Delhi
PSP Area,
Plot No. 1, Sector-22, Rohini,
Delhi-110086

STUDENT UNDERTAKING

This is to certify that I have completed the
Project titled “Consumer Perception towards
Online Shopping” u n d e r t h e g u i d a n c e o f
“Ms.Prakriti

kumar”

i n partial

fulfilment of the requirement for the
award of degree of Bachelor of Business
Administration at Maharaja Agrasen Institute
Of Management Studies.
, Delhi. This is an original piece of work &
I have not submitted it earlier elsewhere.

Name of the Student
Prkriti kumar
Roll no 04514701714

CERTIFICATE FROM THE
INSTITUTE

This is to certify that the project titled “
Consumer

Perception

Towards

Online

Shopping” is an academic work done by
“Prakriti Kumar” submitted in the partial
fulfilment of the requirement for the award of
the

degree

of

Bachelor

Of

Business

Administration from Maharaja Agrasen Institute
Of Management Studies. Delhi, under my
guidance & direction. To the best of my
knowledge and belief the data & information
presented by him/her in the project has not been
submitted earlier.

Name of the Faculty Guide
Mrs. Anju Bharti

I wants to give my thanks to Mrs.ACKNOWLEDGMENT Success of my project depends upon two factors Internal and External factor includes sincere efforts. Executive Summary . Though in completing this project I tried my level best but it could not be possible without proper guidance of my mentor. which I sincerely value and appreciate. dedication to the work and good potential whereas internal factors includes cooperation and supports of potential customers who patiently hears about the schemes and plans of products and then gives response. which affects the percentage of success. Good guidance and cooperation from others are such external factors. Anju Bharti for her valuable guidance and suggestions.

Since the late 1990s, the Internet has attracted
considerable attention from retailers as a
potentially important and lucrative market space
in which their marketing and retail
activities can be conducted both efficiently and
economically.

Considerable

numbers

of

businesses and persons wishing to supply
information or sell goods and services
to the public have been attracted to the Internet,
extending daily activities, including shopping, to
an unlimited virtual world.
Initial predictions were that the combination of
technological sophistication, equipment power,
and ease of

use, in conjunction with the

supporting infrastructure, would make electronic
purchasing widespread in the United States.
However, after a brief spurt, the rate of growth
of Internet retailing declined, with many pureplayers failing and falling out of this new virtual
market space altogether. Internet retailers have
been striving for increased sales and portability
since. Until now, the portability of e-retailers has
not been substantial enough to improve their
stock prices, although Internet shopping is now a
mainstream

activity.

Widespread

and

instrumental adoption of the Internet as a
shopping

medium is the key that will ultimately drive
online sales and portability. However, the
interactive and widely connected web-based
market space enables today’s consumers to be
even more demanding. It is far more challenging
to attract and retain customers in the online
environment

than

in

the

traditional

one.

Therefore, there is a growing need for a better
understanding of consumers’ behaviour in the
commercial online setting.
The research examines consumers’ adoption of
the Internet as a shopping medium through an
integrated perspective of innovation adoption
and the consumer decision-making process. This
research proposes a conceptual framework
describing the types and degree of consumer
adoption of the Internet as a shopping place and
how interrelated factors impact such adoption.

Index
Table of CONTENTS

• Student declaration
• Certificate from Guide
• Acknowledgement
• Executive Summary
Chapter Scheme
CHAPTER- 1
Purpose of the
study
Research
Objectives of the study
Research
Methodology of the study
Research Design
Data Collection
1.3.3 Limitation
CHAPTER -2
About the Organization / Company Profile
CHAPTER -3
Findings and AnalysisCHAPTER -4
Suggestions
CHAPTER -5
Conclusion and Limitation
Bibliography

CHAPTER.1 INTRODUCTIO N .

. • To find out influence of online advertising on the buying behaviour of the customer. • Impact of advertising on online shopping.1 Purpose of the study “If you know where you are going. • Satisfaction level at various components of online shopping. any road will take you there” Before the start of any research. • To study sales promotional techniques to boast online shopping in India.1. what we are going to study: • awareness To check the consumer & perception of online shopping in India. it is very necessary to define the objective of the study i.e.

France and U. under section 5 of the Enterprise Act 2002. • Out of 3. more Internet users than population of Germany. Market studies2 are a tool to help identify and address all aspects of market failure. • Internet users Growth rate per Year in India – 1500% Market studies We launched this fact-finding market study on 29 April 2006. Although many of our studies explore specific economic markets. from competition issues to consumer detriment and the effect of government regulations. they can also review practices across a range of goods .Internet Usage in India • India stands 4th in the world with more than 10 crore Internet users.56 cr Internet users in Indian metros.K. Delhi and Mumbai covers 35 and 25 lakhs respectively.

and services. such as this one. seek to explore issues to establish a greater knowledge base for future policy. Our studies also vary in their focus and purpose. . as well as the channels through which these products are sold. to identify whether and how an apparent problem might be resolved while others. Some assess well-established concerns.

the growth of mobile commerce) with potentially important implications for the protection of shoppers. which from 2008 could have important implications for buyer protection online as well as offline. a key reason why we chose to undertake the study: to review whether internet shopping introduces new issues which we should be considering in our role. It was also timely for us to look at internet shopping.1.2 Research Objectives of the study Why we conducted the study This study reports the findings of our factfinding research. The growing importance of the internet to the economy and retailing is. in itself. as a sales channel. which identified and explored a broad range of issues raised by the growth of domestic and cross-border internet shopping. the internet is very dynamic with new technology and business models emerging and evolving all the time (for instance. with new developments such as the Consumer Protection from Unfair Trading Regulations (‘CPRs’). The regulatory framework is also fast changing. because our . Furthermore.

Our study has already helped to inform the UK’s position. one of which is the Distance Selling Directive. we set out to consider public confidence in the internet as a retail channel. and why? What impacts do attitudes and confidence have on internet retailing? • Behaviour: how and why do consumers and businesses use the internet to buy and sell goods? • Experiences: what do individuals and businesses experience when buying and selling online? What problems do they encounter and how well can they resolve these? . we had identified some particular issues that we felt warranted exploration. Finally. This report therefore addresses: • Attitudes: how confident are individuals and businesses in the internet as retail channel. as well as whether the current protections for shoppers meet whatever new challenges might be raised by the development of internet shopping.work coincided with the review by the European Commission of eight Directives for protecting consumers (known as the ‘consumer acquis’). In particular. although we did not start this research with specific concerns in mind.

and looking to the future? • Enforcement: how well can the current enforcement regime cope with any new challenges raised by internet shopping? • Self-regulation: what role can initiatives such as codes of practice play in raising confidence and providing protection? Because the potential range and scale of issues raised by internet shopping is vast and fast moving. Therefore. when using the internet as a retail channel? • Regulations: to what extent are the current regulations fit for purpose now. while this report covers many issues. we necessarily restricted our focus to some key aspects. it is not a comprehensive review of every conceivable issue that may be raised by the growth of internet shopping. and businesses know their obligations. The study’s remit .• Rights awareness: how well do shoppers know their rights.

While we consider the impact of these issues on confidence. Our definition of internet shopping covered transactions by consumers with businesses that enabled them to order online (whether or not the subsequent payment or delivery took place online). their experiences of using the internet as a retail channel. such as the nature of the provision and market for delivery services • The infrastructure of the internet (such as cabling) or the supply of access to the internet . We explore why consumers and businesses use. over the internet.Much attention is increasingly paid to addressing the impact of fraud. We did not explore in any detail: • Business to Business (B2B) transactions • Issues that relate to distance selling generally. and what happens when things go wrong. or do not use. the internet to buy and sell products. our main focus in this report is on Business to Consumer (B2C) internet shopping.6 We concentrated on legally-sold goods and services ordered online by UK shoppers from UK and non-UK businesses. scams and spam on the internet in general.

communications. and ease of use issues (such as accessibility for users with partial vision. ‘web communities’ such as MySpace or YouTube. such as public services (for instance e-government). In the time available. financial products. We also excluded the provision of auxiliary services. etc) • Criminal activities on the internet (such as sale of illegal material) • Ethical issues raised by the selling of certain items (such as animals) • Internet activity involving no direct B2C purchase of goods or services. podcasts. or the regulation of network operators / Internet Service Providers (ISPs) • People’s ease of access to the internet generally (such as social exclusion and the ‘digital divide’). and free information provision (such as news sites) We excluded products or issues where other regulators typically lead (such as utilities. we focused on consumer protection issues while remaining aware that .• The management of the internet itself (such as the oversight of communications interoperability and address systems). user activities such as blogs. food standards. such as consumer credit. broadcasting).

.competition can be a factor in these issues. which are developments our study has explored. such as search intermediaries and online auctions. of the economic literature on internet shopping did not identify significant new competition concerns arising that could not be addressed under the Competition Act 1998. the report did identify the growing importance of new phenomena prompted by the internet. or assess competition within specific retail markets. An assessment we commissioned in 2006. However. We did not investigate the role or activities of particular companies.

and hence. • Secondary data: These are those which have already been collected by someone else and which have already been passed through the statistical process.. it becomes necessary to collect data that are appropriate. • Primary data: These are those data which are collected afresh and for the first time.1. and thus happen to be original in character. I will be using the structured questioners. primary data and secondary data. In dealing with any real life problem it is often found that data at hand are inadequate.e. Data Source Market research requires two kinds of data.3 RESEARCH METHODOLOGY Need The need of this research is to identify and get insight into what main factors the online consumer takes into consideration when most he buy products on internet what affects their shopping behaviour. i. basic need of this research is to find out what are the main factors affect the online consumer when considering and making a purchase over Internet. I will collect it from .

the sources like internet. . published data etc. Objective of the study • To study the online shopping behaviour of customers • influencing To study online the factors shoppers and consumers • To study the customer’s level of satisfaction with regard to online shopping • To examine whether customers prefer online shopping to physical stores.

1. Since there are so many potential consumers. These theories . it is of the out most importance to be able to understand what the consumer wants and needs. a company that is interested in selling products from its web site will constantly has to search for an edge in the fierce competition. That is why it is crucial for the online retailers to know what influences the online consumer. Due to the rapid development of the technologies surrounding the Internet.3. The renowned marketing expert Philip Kotler has published several works on the topic of consumer behaviour theories.1 Scope of the Study and Methodology Scope of the study At any given time there are millions of people online and each of them is a potential customer for a company providing online sales. Since the Internet is a new medium for there have been new demands set by the consumer. The importance of analyzing and identifying factors that influence the consumer when he or she decides to purchase on the Internet is vital. Analyzing consumer behaviour is not a new phenomenon.

shows some factors that consumers consider these factors need to be identified and taken into account by online retailers in order to satisfy consumer demands and compete in the online market. The type of research was both exploratory as . These theories can also be applied to identify the online consumer and to create certain consumer segments. Analyzing the process that the online consumer goes through when deciding and making a purchase over the Internet. one must identify what influences the online consumer. Since online retailing is a new retailing medium and online consumer behaviour is diverse from traditional consumer behaviour. Research Methodology Data for this study was collected by means of a Survey conducted in the College.The Questionnaire (shown in Annexure) was used mainly to test the model proposed for Attitude towards online shopping. However.have been used for many years not only to understand the consumer. . The sample size was 100. understanding and identifying the consumer is closely related to the directions a company will take with their marketing strategy. but also create a marketing strategy that will attract the consumer efficiently Hence. some distinctions must still be made when considering traditional consumer behaviour and online consumer behaviour.

We took around eleven different factors by studying the existing models of consumer attitudes that play an important role in online purchase. Usually when a study is Conducted. Liker five point scales ranging from Strongly Agree to strongly disagree was used as a basis of Questions. and then proposed a model leading to online shopping.well as Descriptive. secondary data is primarily used and is one of the ways by which data can be collected. This model was then tested in our research by the mode of factor analysis in SPSS. The second way to collect data is the primary data collection. secondary data is not sufficient enough and needs to be completed with primary data which is collected by the research. In order to acquire a General knowledge about the topic. Descriptive Research Method . Research Strategy When collecting data to approach the purpose of a research there are two ways in which the data can be collected.

We decided that the sample size respondents should and we contain collected over 100 answers . By doing so we found the factors Price. Trust and Convenience. We then collected primary data through a survey. and Convenience have on Online Consumer Segments. Since our research is of descriptive character our primary intention was to collect secondary data and analyze it. Trust. We will also be discussing which different types of Methodologies that were used.We will conduct our research in order to collect primary data and reach the objective of the Dissertation. Trust. Price. The segments were used in order to further identify what impact the factors Price. a specific Population had to be identified in order to generalize and create relevant segments. Since there are time and resource restraints. and Convenience In order to be able to find and establish Online Consumer Segments. Consumer Traits and Online Behaviour had to be identified. Sample Design The factors that we intended to examine can be applied to and investigated at any population that uses the Internet and buys online products Online. The main purpose of the survey was to collect data about Online Consumer Behaviour and the significance of the established factors.

We will attempt to collect as many respondents as possible but since we will be studying students we assume that there will be little variation in the population making it more approved to generalize the response rates. The populations for this research are university students at the College of the University was chosen on a convenience basis. . Convenience sampling involves using samples that are the easiest to Obtain and is continued until the sampling size that is need is reached.from100 respondents. The sampling method for students took also place on a Convenience basis since the students and faculty that agree to answer the questionnaire are those that were chosen.

We used three product sectors for our case studies: • Domestic electrical goods • Travel (specifically airline tickets with or without accommodation) • Music (hardcopy sales. which we highlight in this report.1. our focus was on the nature of the online transactions for the products in these sectors. such as online sales of CDs. which is not a study of each sector in its own right. as well as downloads) We chose these because together they account for a large proportion of online trade. around one quarter of online sales to households were of electrical . While they also raised some issues of their own. we selected some case study examples of how the internet is being used to sell specific products. We estimate that. We used these case studies to target our research and to draw wider. transferable lessons for the rest of internet shopping. in 2005. Findings for these sectors therefore appear throughout this report.3.2 Data Collection Rather than address every type of market trading over the internet.

flights. music and videos. To these three case studies. They also represent a range of different types of goods and services.items. These electronic marketplaces raised issues of their own. . we added a fourth – online auctions.

3.1. Due to time restrictions of the study it can only focus on a small target audience.3 Limitations to primary data One has interviews to recognise have that limitations unstructured such as the possibility of being biased as the interviewer selects questions to investigate and may inhibit comparability of responses. it only focuses on marketing experts that wrote about endorsement in a certain area and time span in relation to marketing by the only one mean of communication. Individuals differ in their inclinations to respond depending on their background.g. For example. social desirability. Moreover. the personal judgement of researcher could be . Furthermore. the personal limitations of the researcher should be also taken into account. e. this study is restricted in several ways. they can react to the results of research and change their behaviour accordingly. Therefore. culture. because the respondents are not given zero chance of being randomly selected. Besides these limitations. the author suggests that individuals can be aware of the research being conducted about them and are not therefore purely passive subjects. attitudes. willingness of subjects to tell us the researcher what he or she wants to know etc. the convenient sampling used for this study is considered to be the least reliable nonprobability sampling technique.

in the . fairness. Furthermore. or interpretation and evaluation process. which is often based on personal preferences and inclinations. or impartiality.biased by systematic tendency towards a lack of objectivity. the study could be distorted by a systematic error in the assessment instrument and procedures.

CHAPTER.2 ABOUT ONLINE SHOPPING .

the use of Internet tools for price searching and comparison provides an additional advantage in consumers’ final decision. The growth in the number of online shoppers is greater than the growth in Internet users. India has more than 100 million internet users out of . but also brings optimum convenience to the consumers. With nearly half of the Indian population being young and net savvy. The recent growth in the mall culture in the country has in fact made consumers more aware about different options and encouraged them to search and eventually purchase online. This project focuses on the understanding of perception of online purchase in India. Not only does online shopping offer really good deals. there has been an extra ordinary rise in the numbers of online shoppers. as they can purchase their desired products in the lowest available price. For this purpose the data from 100 respondents was collected in the form of questionnaires. Moreover. The capability of purchasing without leaving your place is of great interest to many consumers. indicating that more Internet users are becoming comfortable to shop online.About Online Shopping India has more than 100 million internet users out of which one half opt for online purchases and the number is rising sharply every year.

Until recently. The growth in the number of online shoppers is greater than the growth in Internet users. as they can purchase their desired products in the lowest available price . At present the market is estimated at Rs. Moreover. and designer lingerie.saris. the use of Internet tools for price searching and comparison provides an additional advantage in consumers’ final decision. Not only does online shopping offer really good deals. A process in which images or listings of goods and services are viewed remotely via electronic .shoes.46000 crore and is growing at 100 percent per year. but also brings optimum convenience to the consumers. consumer durables are being purchased online.On the contrary. privacy and security have been the great concerns.which one half opt for online purchases and the number is rising sharply every year. kurtis. The capability of purchasing without leaving your place is of great interest to many consumers. rail or movie tickets. T-shirts . indicating that more Internet users are becoming comfortable to shop online. resulting many people to browse the Internet for informational matters than for buying online. The two most commonly cited reasons for online shopping have been convenience and price. the consumers generally visit online to reserve hotel rooms and buy air. books and gadgets and gizmos. but now more and more offline product like clothes .

used to reduce the risks of sending sensitive information.When the consumer selects "Pay. The transaction includes real-time credit card authorization. several different credit cards). such as Cyber Cash.g. The merchant(actually. over the Internet or other telecommunication facility. and the transaction is completed electronically with a credit card or an established credit account. e. the merchant's server) sends back an invoice and asks the consumer to launch the Wallet in his computer (or to download it quickly if the consumer doesn't have it yet). Cyber Cash says" Soon we will incorporate an electronic "Cash" and "Coin" system to use for transactions that are . Many payment solution companies.. and usually are. Various encryption schemes may be.means. IN A wallet is a small software program used for online purchase transactions. offer free Wallet software that allows several methods of payment to be defined within the wallet (for example." the Cyber Cash software on the merchant server sends a message back to the consumer's PC that activates the "Wallet" software. such as credit-card numbers. a vendor's Web site. Here's how it works: When you order something. The consumer selects one of the cards defined in the Wallet and clicks. the order is sent to the merchant. items are selected for purchase.

e-shopping. It is benefiting millions of people and thousands of . web hosting and other types of web related activities take place (Web refers to the World Wide Web and “shop" has a colloquial meaning used to describe the place where one's occupation is carried out). web. The metaphor of an online is also used. the most recent year for which reliable figures are available. sales to households were over £21bn – a fourfold increase during the previous three years. by analogy with mail catalogs.considered small for credit cards. The term ‘Webshop’ also refers to a place of business where web development. All types of stores have retail web sites. including those that do and do not also have physical storefronts and paper catalogs. An online shop. Background The scale and growth of internet shopping is impressive. e-store. online store. Online shopping is the process consumers go through to purchase products or services over the Internet. web shop. or virtual store evokes the physical analogy of buying products or services at a bricks-and- mortar retailer or in a mall. In 2005. Online shopping of electronic commerce is used a type for business-to- business (B2B) and business-to-consumer (B2C) transactions. internet shop.

or do not use. the rapid growth of internet shopping means it is more important than ever that online retailers know their obligations to their customers. In the same year. so that they do not unnecessarily keep products that on examination they do not want. We found that people shopped online because they find it convenient. Over 20 million UK adults shopped online in 2005. the internet to buy and sell products. However. an estimated 62. it increases their choice and helps them to hunt for lower prices. and what happens when things go wrong. to sell around the clock and in reaction to competition from rivals. Shoppers need to know. that they have the right to cancel. In our factfinding research.businesses. we therefore looked at why people and businesses use. and that shoppers can feel confident about addressing any problems. their experiences.000 UK businesses were selling online to households. when they buy. we found that more than half (56 per cent) of the internet shoppers we surveyed online did not know about their right to cancel and many (29 per cent) also did not know where to turn to get advice on their rights. . Retailers sell online to reach more customers. However. with 56 per cent of internet shoppers we surveyed having spent over £500 each during the year.

28 per cent said that they were not aware or only slightly aware of the laws applying to internet shopping. we found that one in ten (12 per cent) of electrical sites and nearly four in ten (39 per cent) of music retailers’ sites selling CDs did not appear to mention the cancellation period. One fifth of online electrical retailers did not think that buyers had a right to cancel.We also found that a lot of traders had a weak awareness of the law themselves. more than one fifth of sites we looked at may have been breaching the regulations by not providing an email address. When we looked at websites. Furthermore. and more than half wrongly thought that they could withhold the cost of outward delivery when refunding shoppers. 59 per cent of electrical sites stated at least one condition on consumers’ rights to cancel and receive a refund which may have led to a breach of the regulations. in our survey of UK-based online traders. and two-thirds (66 per cent) had never sought advice on them. there was evidence that some sites might be trying to impose conditions that could prevent or at least deter consumers from exercising their cancellation rights. Furthermore. For instance. While many different sources of . For example. Businesses told us that guidance on the key legal requirements should be clearer and have a higher profile.

but our data suggest that the volume of consumer complaints does not appear unusual when compared to other distance selling channels. and that the types of complaints match those for mail order.advice are currently available. it is clear that they have important economic implications. distance selling obligations. Many organisations said that they would welcome a single clear dedicated source or signpost. The annual economic . equivalent to an estimated one in 58 purchases. because they are common to distance selling generally. We asked internet shoppers if they had experienced any problems when shopping online. While we did not explore delivery problems in detail. It was difficult accurately to compare their responses with the experience of shopping through other channels. such as general consumer rights. the law on privacy or guidance about online threats and safety. to cover all the information needs for internet sellers and shoppers. Shoppers and online traders told us that delivery was where most problems cropped up: indeed it accounted for nearly half (48 per cent) of all the problems people said they had experienced (most typically as late or non-delivery). Nearly a quarter (23 per cent) told us that they had experienced a problem in one of their online transactions in the previous year. most tend to address separate issues.

Better the parties main involved in delivery could be key to addressing some of the problems experienced. These rapidly growing electronic marketplaces are a valuable development.detriment from unresolved delivery problems for online sales could be as much as £25 million to £55 million per year. excluding time and effort spent on resolving communication between problems. We have brought these to the attention of the European Commission.8 billion in 2005. The laws protecting online shoppers The regulations additional rights giving online shoppers derive from European Directives. These laws appear broadly fit for purpose at present. Businesses told us of measures being put in place to meet the rapidly increasing demand for delivery services resulting from the growth of internet shopping. But . however. with millions of successful transactions every year. identify a number of areas where they may need to be revised to take account of how internet shopping is evolving. accounting for spend using payment cards of £2. We did. who are currently reviewing how they might need to be improved. We also looked at the role of the key regulations as they relate to ‘online auctions’.

but consumers face a number of uncertainties when buying on them. While the value of the items involved was typically low and a high proportion chose not to complain. A range of regulations potentially protect users of online auctions.we found that about half (52 per cent) of the online survey respondents who had bought items from an auction site in the last 12 months had experienced at least one problem in the past year. There is some uncertainty as to whether the DSRs apply. Most of these problems mirrored those of internet shopping generally. However. of those that did complain. In particular: • Generally. • We found that 60 per cent of online survey respondents who bought items from an online auction wanted to know whether they were buying from a business. four in ten (39 per cent) had given up trying to resolve the problem. users of online auctions are protected in much the same way as other online purchasers. This affects both their confidence and their rights. although the ongoing EC Review may help to resolve this. although some buyers perceived that they had been victims of deceptions (such as counterfeiting or sellers bidding up their items). it is not always clear whether sellers are trading as a .

business, and buyers tend to use a range of
indicators to try to judge it (some of them less
reliable than others). At the margins, even sellers
may not know if they are operating as a
business.
• There are also examples where there can be no
doubt that products are being sold in the course
of a business. While business sellers are required
by the regulations to provide their name and
address, this does not always happen.
• Auction platforms are typically not liable to
consumers for problems with products or sellers.
They do not have liability for unlawful activity,
such as sales of illegal goods, unless they have
actual knowledge of illegality. Given this,
consumers need to be aware of the risks
involved in buying on such sites and to take
sensible precautions.

The internet brings challenges for
enforcers
Our

research

suggested

that

enforcement

officers face particular challenges in addressing
online shopping – especially in tracing rogue
traders. Traders can sell from any location in the
UK or abroad and quickly set up or shut down
operations. The rapid pace of technological
change, coupled with the range of parties that
may have an involvement in a transaction can
also make it a potentially complex environment
in which to conduct investigations.
There are already good examples of enforcement
agencies and advisory bodies providing advice
to businesses and consumers about online
shoppers’ rights. We also found some promising
examples of proactive work, for instance to
assess compliance; to liaise with the internet
industry to obtain information on traders; and to
co-ordinate activities with other enforcers to
achieve successful outcomes. However, despite
these efforts, awareness of and compliance with
consumer protection laws specific to distance
selling could be better. We see potential for
greater co-operation between enforcers to ensure
greater consistency in how enforcers assess and
deal with problems related to internet traders.

Good practice should be spread across the whole
country.
There is currently no national risk-based
approach to identifying problems and aligning
the most appropriate response. This needs to be
considered within the broader context of other
current initiatives which form part of the
government’s better regulation agenda that will
have an impact on local enforcement in general.
This includes the establishment of the Local
Better Regulation Office (LBRO) with its aim to
improve the effectiveness and consistency of
local authority regulatory services.
We

also

considered

the

enforcement

implications of international internet trade.
Online cross border trade is not as substantial as
some might think – accounting for seven per
cent of the online sales of the UK businesses we
surveyed, and less than one-tenth of UK
shoppers’ online spend. Furthermore, most
cross-border

internet

purchases

are

from

European countries and the buyers are therefore
covered by a common framework of protections.
However, outside Europe, the protections for
consumers are less well established. Some
international agreements and networks exist,
although these have tended to address general
threats to internet users, such as spam and
scams. For instance OFT’s Scam Busters Group
has been working closely with international

from 2005. We found that there are many reasons why businesses and shoppers might not want to use the internet to buy and sell. this does not necessarily mean that they are growing as much as they might.enforcement partners to combat mass marketing scams. The latest reliable figures. These partnerships could provide a valuable basis on which to focus more attention on protecting consumers’ rights when buying from online traders abroad. or simply no desire to use it. and only six per cent of businesses were selling online to households. some were being deterred by concerns about using the internet to buy. products not being appropriate. Confidence and trust are important to the . most had fears about doing so. and although many people were willing to shop online. including lack of internet access. Shoppers have significant fears about security and privacy Although internet sales have been increasing for years. suggest that online sales were still only three per cent of all retail sales. However.

but not willing to shop online because of a lack of trust or fears about personal security.4 million people were prepared to use the internet. Although online shoppers seem to gain confidence over time. 79 per cent of internet users we surveyed were very concerned about the risks to the security of their payment details from online shopping. as well as advisory campaigns and advertising. . Indeed we estimate that 3. many also thought that shoppers’ worries about buying online were excessively high. The organisations we spoke to told us that the public’s fears about internet shopping were understandable. People told us that their fears stemmed from stories in the media or spread by word of mouth. even experienced ones remained worried about their financial security and privacy.success of internet shopping. given the relatively unfamiliar and fast evolving nature of the internet. and were likely to be influenced by regular stories about new threats. their receipt of spam and phishing emails. Forty-two per cent of businesses not selling online told us that increased consumer confidence would make them more likely to. However. Their missed savings could amount to between £175 million and £350 million each year. Furthermore.

it is in traders’ best interests to consider the range of technical and other protective measures they can take. public awareness of these precautions and protections remains weak. Nevertheless. it seems unlikely. at the time of writing. To guard against risks to their businesses and to address consumers’ concerns (which put some off shopping online altogether). Provided they do so. Likewise. However. rather than the result of having shopped online. which need to be taken seriously. and to selling and shopping online. However. despite campaigns and numerous sources of advice. they have regulatory protections which mean that they are unlikely to have to pay anything. One in five (19 per cent) internet users we surveyed . some of the dangers commonly associated with internet shopping may be more a result of data lost offline or through general internet usage. Even if online shoppers experience the fraudulent use of their payment card details. online shoppers can reduce risks by taking precautions and watching for warning signs. there are risks attached to using the internet.There is a lack of reliable data on the prevalence and significance of the risks from internet shopping itself. that they will be at substantially more risk than if they use other means of buying at a distance.

and adopting new business models to widen their reach. believing that this is solely the role of businesses and other organisations. Some level of concern may helpfully encourage people to be vigilant. the vast range of retailers and offers available to shoppers can make it hard for them to locate and differentiate between competitors. but campaigns need to be balanced.never checked the security of a site and 34 per cent only do sometimes. Shoppers need to search effectively The internet has enabled businesses to establish a new means of selling by setting up their own websites. by an average of 30 . as well as commercial advertising may also be scaring people away from shopping online as much as they are informing them. We identified some large differences in prices being charged for similar goods online – for instance. However. Many people also do not recognise that they need to take some responsibility for their protection online. so that shoppers know how to protect themselves. without having excessive fears about online shopping. Awareness campaigns.

For these. the median price increase was 19 per cent. for 47 per cent of the flights we looked at. but still went on with their purchase and paid £60 million to £100 million each year as a result. We estimate that online shoppers who misunderstand how search tools work and therefore limit their search. However.to 60 per cent of the lowest price for the music and electrical items we looked at.2 million internet shoppers were unaware of these charges during the buying process. we estimate that 1. provided they are used well. Fortunately. For online sales as a whole. We also found that shoppers often experienced charges added to the initial price. particularly given limits to the numbers and range of traders listed by some price comparison sites. the final ‘check-out’ price was higher than the initial price. we found that some consumers could benefit from searching more effectively online. but many increases were much more. they had a 50 per cent chance of finding one of the lowest prices. could miss out on potential savings of £150 million to £240 million per year. For instance. . tools such as search engines and price comparators can help consumers to make informed choices and save money. if a shopper used only one of ten price comparison sites we looked at. For instance.

• The anonymity. Many businesses are not fully complying with laws to protect shoppers. However. There are many advisory services. Internet shopping is bringing huge benefits to millions of consumers and thousands of businesses. also identified some areas where more could be done to ensure people get the most from buying online. speed of change and borderless nature of the internet. new developments in the powers. In part. enabling businesses to sell and shoppers to buy products from anywhere in the world at any time. this reflects a need for higher profile guidance. can pose particular challenges for the enforcers of shoppers’ rights. and can feel confident and protected when doing so. however. Our fact-finding study. roles and relationships between enforcers provide an opportunity to bring more co-ordination to how they can overcome these . the internet has had a profound impact on UK retailing. but no single overall dedicated source – especially to help businesses to be aware of all they need to know when selling online.In just a few years. Our findings include: • Awareness of online shoppers’ rights is low for businesses and consumers.

• Shoppers have significant fears about security and privacy. .0 and virtual worlds. which put some off buying online altogether. but it is not apparent that such high levels of fear about shopping online shoppers and are warranted. In some areas. There are risks from using the internet generally. These charges annoy shoppers. Web 2. shoppers can find big savings. Advice to shoppers needs to inform without scaring them. However. the laws that protect online shoppers also need some modernising. targeted advertising. remains weak. But they may also be hindered by unexpected additional charges which are sometimes added in the latter stages of a purchase. We estimate these could amount to £150m to £240m each year. digital delivery. The backdrop to internet shopping is changing at a dizzying pace. businesses take provided sensible precautions. We estimate that shoppers pay £60m to £100m a year in unexpected additional charges.problems. Internet users who are too worried to buy online could be missing savings of £175m to £350m each year. and lead to some paying more than they might. • By searching more effectively. with developments such as mobile phone commerce. awareness of these precautions. as well as the remedies available if something goes wrong.

as well as the establishment of the Local Better Regulation Office (LBRO). In a little more than a decade. In 1995. If they wanted to buy a flight. Our study explores one aspect of this revolution: its growing use by businesses and individuals as a retail channel. and possible future changes from the review of European consumer protection legislation by the European Commission. before driving home with some bargains. to trawl through the items on offer from other individuals. someone wanting to buy an old Betamax video recorder could spend weeks scouring specialist shops and markets. placing adverts in collectors’ magazines or calling individual dealers. they could travel to the nearest record shops and hunt for it. they could visit or call their local travel agents and wait to receive the tickets in the post or collect them in person. They could then drive to a local car boot sale. or order it and pick it up some time later. If they wanted to buy a former hit song.Furthermore. the internet has revolutionised the lives of millions of its users. the introduction of the Consumer Protection from Unfair Trading Regulations 2007 (‘CPRs’). . the law and its enforcement are evolving with the recent implementation of the Consumer Protection Co-operation Regulation (‘CPC’).

The scale and growth of internet shopping is impressive. They could then click on a music download site and be listening to their favourite song in the same time that it would have taken to get ready to go to the shops. . sales over the internet by UK non-financial businesses to households were over £21bn – a fourfold increase in only three years. as well as the relevance and effectiveness of the laws protecting them. whose role is to make markets work well for consumers. many of them developed before the recent growth in internet shopping.1 But it also raises new questions about risks and shoppers’ confidence when buying at a distance. the Office of Fair Trading needs to consider these issues. they might take delivery of the bargain they bought at an online auction and leave some comments on the site. As a public authority. to let other shoppers know whether they were satisfied with the transaction. In 2005. Finally. bought and already received their ‘electronic tickets’. without moving from their seat.A decade later. the same person might find and buy the video recorder in minutes. Within the same hour they could have compared flight prices and times from many providers. This report helps to meet that need. possibly in another country.

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skumars.fabmart.com • www.coolsavings.malamall. • www.indiagifts.americangreetings.com • www.chennaibazaar.com • www.amazon.com • www.indianpurchase.com • www.com • www.com • www.ebay.futurebazaar.bargainsbazaar.mypoints.indiashop.com • www.com • www.com • www.com • www.com • www.buy.rediffshopping.ONLINE SHOPPING WEBSITES Some important online shopping websites.com • www.com • www.com .indiastores.com • www.com • www.indbazaar.egreetings.com • www.com • www.

India with offices in New Delhi. Chennai.Rediff.Rediff.com additionally offers the Indian American community one of the oldest and largest Indian weekly newspapers.ABOUT THE COMPANIES shopping. communication. PRODUCT AND SERVICE OFFERINGS INDIA ONLINE BUSINESS: .information. Mission in the Internet Space: To provide world-class online consumer service offerings to Indians worldwide.com is committed to offering a personalized and a secure surfing and shoppingenvironmentRediff.com ReviewCORPORATE PROFILE Rediff.com (NASDAQ: REDF) is one of the premier worldwide online providers of news.Rediff. Hyderabad and New York. USA. entertainmen t and shopping services. India Abroad Founded in 1996. Bangalore.com provides a platform for Indians worldwide to connect with one another online.com is headquartered in Mumbai. Rediff.

headquartered in Mumbai. USA.com consists of India information. India with offices in New Delhi. including feature news stories. Chennai. News content Includes: Current affairs and breaking news: Rediff provides breaking news focused on events of interest to Indians.• website The Rediff. India Abroad. communication and content services. Rediff. movies. Bangalore.com offers the news.com Founded is in 1996. Hyderabad and New York. interviews and online chats with leading Indian personalities.30 . Information and Content: • channels Information and content currently business.Rediff. free and paid community features and products. and of additionally Indian American community one of the oldest and largest Indian weekly newspapers. including e-commerce and mobile services. several include cricket/sports other topics interest.

regular columns. Rediffmail: . movie reviews and slide shows. regular columns and feature stories. Search. Movies and Entertainment: For latest news and trends from Bollywood and Hollywood. Blogs. Social Networking. Mobile services. with statistics. feature stories. regular columns. There is in-depth coverage of cricket news from India and around the globe. Box office information. These include e-mail. as well as personal portfolio tracker. Rediff. instant messaging. stock market quotes and analysis. facility.com provides a combination of free and paid community features and products to consumers and businesses. scores and schedules. feature stories and interviews. Chat. Community Features and ProductsA key focus for Rediff. interviews with movie personalities. Sports and Cricket: Provides coverage of Indian and global sporting news.Business: This channel covers the happenings of corporate India.com is using world-class technology to Through a drive community single login building. Message Boards. online shopping and auctions.

It is one of the most popular web email service used by Indians worldwide. Job Search is vertical search product which allows users to search for jobs across various job sites in India under several categories and locations in India. price points. user ratings and check availability of the products in their city at local stores with complete contact details. quick attachments of up to 10 MB. instant mail preview. . Drag & Drop facility to manage your folders and auto address completion.Rediffmail is the flagship product of Rediff. Rediff Product Search allows users to compare products across brands.com. It supports eleven Indian languages and also comes with the integrated webmessenger allowing all Rediff mail users to chat in real-time with all their Rediff (Instant Messenger) users within their inbox. Rediffmail offers users acomplete ou tlook desktop experience with features like unlimited storage. The service covers more than 16 product categories under electronics and also covers Cars and Bikes as new categories. features.

Internet banking.E-COMMERCE Rediff Shopping It is an online marketplace where users can purchase products and services from various merchants. Mr. Users can avail of a variety of payment options such as Cash on delivery (COD). Rediff Books is one of the biggest online book stores offering users the biggest catalogue of books. FutureBazaar. which enables sellers to sell their products at dynamic prices. led by its founder and Group CEO. credit card and cheques. Rediff Auctions Is an e-commerce platform.comAbout the Future Group Future Group. based on supply and demand. This gives buyers a chance to buy their desired products at competitive prices. Users can choose from over 2 million books or search for books from over 4000. Kishore Biyani. is one of India’s leading business houses with multiple businesses spanning across the consumption .

com is owned and operated by Future Bazaar India Ltd. 'Rewrite rules. by the US-based National Retail Federation. as espoused in the group’s core value of 'Indianness'. (FBIL). brand development. capital. FutureBazaar. retail real-estate development. Future Group believes in developing strong insights on Indian consumers and building businesses based on Indian ideas. we enjoy the benefits of buying in bulk for the entire group.space. insurance. While retail forms the core business activity of Future Group. group subsidiaries are present in consumer finance. Retain values'. The company was incorporated in 2006 and began business in 2007. the largest retail trade association and the Emerging Market Retailer of the Year 2007 at the World Retail Congress in Barcelona. FBIL is a part of the Future Group. Our aim is to get you a great range of products at great prices. . The group’s corporate credo is. FBIL is the e-commerce arm of the Future Group. India’s largest retail conglomerate. Led by its flagship enterprise. the group operates over 11 million square feet of retail space in over 63 cities and towns and 65 rural locations across India. retail media and logistics.2007. Pantaloon Retail was awarded the International Retailer of the Year .As part of India’s largest retail chain. leisure and entertainment. Pantaloon.

Aggressive Prices • benefit FutureBazaar. • Always offering Manufacturer’s as opposed to Seller’s guarantee guarantee. Unmatched Selection of Products and Brands – We have more than 20. This sourcing network straddles a wide range of product requirements. • Fast deliveries – tie ups with world leaders in logistics & transportation services.000 pin codes. thus being able to offer us economies of scale thereby- unbelievable prices to its customers.000 products.com has the of leveraging the sourcing network of the Future Group’s retail chains. • Delivery across more than 1500 cities and towns in India covering around 16. which most of the other online shopping sites offer. • A dedicated Customer Care helpline for any queries.Core Competency of the business…what makes us different from others! • A choice of more than 20.000 products which create the flexibility to offer a large range .

electronics. Seamless end-to-end Logistics Solution – We pride ourselves in having built logistics solution. We have been able to create some major popularity ripples with our corporate clients with products like mobiles. Gift Vouchers and so on. The FutureBazaar. MP3 players. The invoice accompanying the product is your warranty document. dispatching.of choices to customers. and delivery confirmation up to post-sales support. Guaranteed Delivery: . right from stocki ng. which allows us to get the latest in the range to our customers. Customers can visit any of the authorized service enters of the manufacturer if required. Our back-end infrastructure enables us to service around 15000 pin codes across India.com PromiseManufacturer’s warranties on all products Future Bazaar sells only original products from authorized dealers. We also have partnerships with most of the brands available in the country. so all applicable products carry the original manufacturer’s warranty. so please preserve it. T-shirts. laptops.

being part of India’s largest retail company with a presence all over India. and the chances of fraud in these channels are actually very low. In case you have received a different product. so we work with banks and payment gateways to ensure that your information is protected.Future bazaar guarantees to deliver the exact product you selected. 95% of our deliveries take place within the committed time period. Secure Payments • ensuring We that no are committed payment to misuse happens. For the occasional delays. Our office address is also available for anyone who wishes to contact us in person. we are omnipresent! . or if the product was damaged in transit. Payments are protected both buys and by the policies of your bank. we will contact you and update you about the status. Moreover. We also have a Risk Management team that scrutinises all payments to ensure that there are no fraudulent transactions. without defects. Please note that delivery times vary according to products. please let us know and we will ensure that we replace the product or ensure that your money is refunded.

( NASDAQ:AMZN) is an American electronic commerce (e-commerce) company in Seattle.com. in 1994 and launched it online in 1995. Inc. Be assured that when you call us. A9. It is America's largest online.com.com) Advertising –Web banners and video Amazon.Prompt Customer Support Our Customer Care is manned by dedicated personnel. Inc. It started as an on-line bookstore . they will trigger the required action on your behalf or advise you the best possible method to a successful fulfilment all your queries/issues. with nearly three times the internet sales revenue of runner up Staples.Jeffery p.Bezos (CEO) Headquarter –USAArea Industry-Retail served-Worldwide (Amazon.com. Inc. Amazon Founded -1994Founder. your call is being taken seriously. They are empowered to solve your problems and are aware of the processes and means to handle them. who can take decisions and resolve your problems. Jeff Bezos founded Amazon. In case they cannot solve the problem at their end. Washington.

China. Amazon was founded in 1994. a survey published by Verdict found that Amazon was the UK's favourite music and video retailer. toys. Amazon grew . etc. Since 2000. software. an on-line bookstore could offer more. DVD. While company lore says Bezos wrote the business plan while he and his wife drove from New York to Seattle. the strategy was effective.com". and came third in overall retail rankings. the United Kingdom. Amazon has established separate websites in Canada.000 titles. furniture. 2009.but soon diversified to product lines of VHS. a name quickly abandoned for sounding like "cadaver ". apparel. The company began as an online bookstore named "Cadabra. Amazon’s initial business was unusual: the company did not expect a profit for four to five years. and Japan. Bezos renamed the company "Amazon" after the world's biggest river. spurred by what Bezos called "regret minimization framework”. Germany. On January 15. Amazon's logotype is an arrow leading from A to Z. electronics. music CDs and MP3s. representing customer satisfaction (as it forms a smile) and the goal to have every product in the alphabet. food. his effort to fend off regret for not staking a claim in the Internet. video. It also provides international shipping to certain countries for some of its products. France. while the largest brickand-mortar bookstores and mail catalogs for books might offer 200.

lawn and garden items. jewellery. consumer electronics. sporting apparel. The company launched Amazon. goods. its own Web auctions service. This move will consolidate all Seattle employees onto the new 11-building campus. gourmet food. tools. $588. industrial & scientific supplies. watches.50 million in 2004. $359Amazon has announced plans to move its headquarters to the South neighbourhood of Seattle beginning in mid-2010.steadily in the late 1990s while other Internet companies grew blindingly fast. clothing. Amazon's "slow" growth provoked stockholder complaints: that the company was not reaching profitability fast enough. software. When the dot burst. with full occupancy by 2011. and many e-companies went out of business.com Auctions. toys & games. kitchen items. groceries and more. baby products.However it failed to chip away at . beauty products. videotapes and DVDs. in March 1999. health and personal-care items.3 million. The company remains profitable: 2003income was $35. musical instruments. Product lines: • Amazon has steadily branched into retail sales of music CDs.

hair accessories.industry pioneer eBay's growth. Amazon juggernaut Auctions was followed by the launch of a fixedprice marketplace business called zShops in September 1999. and a failed Sotheby's/Amazon partnership called sothebys.amazon. headgear.com in November. cleaning products. The list of products registered for coverage by the trademark grew to include items such as paints. clothing. and jewellery. carpets. footwear. wallpaper. .

CHAPTER -3 FINDINGS AND ANALYSIS .

DATA ANALYSIS AND INTERPRETATION Q1. As it shows that from age 15-20 the number of respondents are 31 % and from age of 20-25 it is 48 % and from 25-30 it is 14% this is the above data which is shown by the this pie chart. . TO KNOW THE AGE OF THE RESPONDENTS? Age No of respondent 15-20 % of respondents 31 31 20-25 48 48 25-30 14 30 and above 7 14 7 Figure 1 INTERPRETATION The above diagram shows us the percentage in the age of respondents.

. we use to get more data from males as they were ready to give their experiences. the percentage of male respondents is 86% and percentage of female respondents is only 14%.Q2 TO KNOW THE GENDER OF THE RESPONDENTS? Gender Respondent Male 86 Female 14 Figure 2 INTERPRETATION As our respondents are mostly from the hostel of College and the campus of university itself. it this graph itself is showing more percentage of males rather than females.

the above diagram is showing that 76% of the respondents are from urban areas and 24% of the respondents are from urban area.Q3 TO KNOW THE DEMOGRAPHY WHETER RESPONDENT LIVE IN RURAL OR URBAN AREA? Address Respondent rural 76 urban 24 Figure 3 INTERPRETATION The above diagram is showing the percentage of demography of respondents and what is the percentage of respondents who lives in rural or urban region. .

.e. Of Respondent 90 Professional 4 Govt. this is to know that which segment of people are buying more products on the internet whether they are the segment of students o government employees or professional.Q4 TO KNOW THE OCCUPATION OF THE RESPONDENTS? Occupation Student No. Employee 0 Self employed 5 Others 1 Figure 4 INTERPRETATION This graph help us to know the occupation of the respondents. the above graph shows that the segment of the students i. 90% of the students are using internet and use to buy online products.

Q5. TO KNOW THE MONTHLY INCOME OF THE REPONDENTS? Income of Respondents % of Respondents Less than 10000 94 10000-20000 3 20000-30000 3 30000-40000 0 40000 Above 0 Figure 5 INTERPRETATION This above graph shows the percentage of monthly income of the different respondents. . gadgets. and it show that less than 10000 income respondents have bought more online products because most of them are students and they use to buy music Cds. laptops.

Q6 TO KNOW WHETHER RESPONDENTS HAVE THEIR OWN INTERNET CONNECTION? Internet Connection % respondents having internet connection Yes 65 No 35 Figure 6 INTERPRETATION This graph show us the percentage of respondents who have their own internet connections. . its shows that 65% of respondents have their own internet connections and 35% people don’t have their internet connection.

What Motivates You To Buy Online % of Respondents Easy Payment 37 No Hidden Cost 5 Wide Range Of Products 10 No Travel to Shop 46-47 Figure 7 INTERPRETATION This graph shows us what motivates the people to buy internet.Q7 TO KNOW WHAT MOTIVATES PEOPLE TO DO ONLINE SHOPPING. . as from above result we found out that no travel to shop is the main thing which motivates the people to buy products online.

. And result shows 67% of people say that it provides competitive prices and only 27% people says no.Q8 TO KNOW WHETHER CONSUMERS ARE GETTING COMPETITIVE PRICE. Do you feel that the online marketers are providing competitive prices? % of Respondents Yes 67 No 27 Can’t Say 6 Figure 8 INTERPRETATION This diagram shows us that whether online marketers are giving competitive price or not and result which is came is that most of the people thought that online marketers are providing competitive prices than physical stores.

Q9 WHAT PRODUCTS DO YOU BUY ONLINE? What products you buy on internet? % of Respondents Books 24 Music 25 T-Shirts 12 Mobile 23 Laptop 20 Figure 9 INTERPRETATION The above graphs gives result that most of time people use to buy books25% but the margin with other things is very less as music Cds have percentage of 20 and mobile23%So this graph shows us this useful data . .

.Q10 DO YOU FEEL THAT ONLINE SHOPPING IS BETTER THAN SHOPPING AT PHYSICAL STORE? Do you feel that online shopping is better than shopping at physical brick mortar store? % of Respondents Yes 45 No 28 Can’t Say 12 Figure 10 INTERPRETATION After analyzing the above graph shows that the people are in favour of that online shopping is better than physical store. Still the percentage of people who says yes is more than other who says no. the percentage of people who says online shopping is better is 45% and the people who say it not good is 38 %.

16 % people do at yahoo shopping and for other people use to visit at Best Buy and others. WHAT FACTORS HELP YOU TO DECIDE WHICH SITE TO USE FOR ONLINE SHOPPING? .40% use to go atamazon.com.com because % of people who buys books is more than any other products so people mostly visits amazon. 12.Q11 WHICH OF THE FOLLOWING STORES HAVE YOU VISITED? Which of the following stores have you visited online? % of Respondents e-Bay 35 Yahoo Shopping 16 Amazon 40 Best buy 10 Others 4 Figure 11 INTERPRETATION This graph shows that 35% people use to visit ebay for online shopping.

And they attracted towards it and start getting products from there. . And 20% people decision disaffected by special offers by the offers and the discounts given by the sites.What factors help you to decide which site is use for online shopping? % of Respondents Search Engine 18 Personal Recommendation 10 Special offers on site 20 Online advertising 32 TV advertising 17 Others 3 Figure 12 INTERPRETATION This diagram shows us what affects people to buy products on internet and it shows that 32% people came to know about shopping sites through online advertisements.

.Q13 HOW YOU MAKE YOUR PAYMETS ON THE INTERNET? How do you make your payments online? % of Respondents Credit card/ Debit card 78 Bank transfer 5 Pay pal 15 Any other 2 Figure 13 INTERPRETATION This diagram shows that mostly people uses credit card to pay their payments 78%people use to pay by credit/debit card and 5% through bank transfer and 15% through PayPal and 2 from PayPal.

Q14 HAVE YOU FACE ANY PROBLEMS WHILE SHOPPING ONLINE? Have you face any problems while shopping online? % of Respondents Yes 48 No 28 Can’t say 14 Figure 14 INTERPRETATION This graph shows that whether people faces any problem while doing online shopping or not and the result shows that 48% people says that they have faced problem while buying online and 28% people says that they don’t face any problem and 14 says that we can’t say. .

hacking of account number getting passwords and all. As they low disposable income and were somewhat convenience oriented when acquiring information about low prices. People used to do online shopping because of its convenience rather than its pricing. The general distribution showed that the factor price was the primary factor forth entire population sample. and that second factor was trust was closely followed by convenience When we segmenting the respondents through the different variables we found that segment one were mainly trust oriented and the respondents had a high positive attitude towards purchasing books online.FINDINGS The three segments that were found show a significant difference in the primary factor of concern.e. . we chose to label them price easers. Other segment was mainly price and convenience oriented therefore took the most consideration to the opinions and experiences of the Reference groups. but the main thing which is very common in the most of the people about online shopping is its risk of privacy i. We found that most of the time youngster who are from the age of 20-25 shops a lot on the net rather than other age limits.

CHAPTER -4 SUGGESTIONS .

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the prices. This has resulted in increase of sale and the outdoor advertising techniques have also helped the online portals. • Online portals have endorsed very famous personalities which has attracted a lot of customers. So various online shopping portals has to provide the security on payment procedure. • Yet another concern is about online security. If you are shopping online. you have to take additional care about your credit cards so that to protect from unauthorized usage. online portals hashed a huge impact on the middle class section of India. . quality and sales strategy has helped in getting the middle income groups getting attracted towards online shopping. • Considering the fact that there are a lot middle class families in India.SUGGESTIONS • Providing quality service at affordable prices and having different types of products for different income customers is another advantage.

• Delay in delivery and lower quality leads to dissatisfaction of customers. • People are loyal towards brand as they are highly satisfied with the quality and they have an assurance from the brand for their continued products.• Online shopping lacks the real world shopping experience that we get shopping with relatives and friends offline. Due to factors mentioned above online always shoppers satisfied. this are is not not a positive for the shopping portals. • supply of quality . Even though online shopping has several disadvantages. the advantages outnumber the disadvantages and thus more and more people started buying online.

CHAPTER -5 CONCLUSION & LIMITATION .

Most of the people preferred online shopping because it is a time . all people whom I have surveyed were interested in shopping but. online shopping become more enjoyable and easier than real-world shopping. most of the people were having preference to shop offline and very few were interested to go online for shopping. As you experience more and more of it those apprehensions get disappeared slowly. In the conclusion part of my project. Remember that if you stick to the basics. My survey indicates that the maximum consumer make the purchase offline awareness because towards of online the lack of shopping and shopping portals. On the basis of survey the major drawback of the online shopping is lack of the security in the shopping payment through credit/Debit card.CONCLUSION AND LIMITATION Conclusion Online shopping is a different experience and you can make the shopping creative over the internet as you get used to it. There can be lot of apprehensions about online shopping when you get in to it for the first time.

computers and other aids in stores. Moreover. I found that it is a challenge for E- . efforts need to be taken to educate the online 65 buyers on the steps that need to be undertaken while making an online purchase. but to show them it’s an option. and introducing Internet kiosk. In addition to above. Increased Internet penetration. The goal is not to convert all shoppers to online purchasing.The images of the product are mostly inflated which affects the perception of consumers towards online shopping. This can be done through online communities and blogs that serve as advertising and marketing tools and a source of feedback for enterprises.saving process. WYSWYG (what you see is what you get)approach is not being followed whole heartedly by online web portal as most of the people opined that the product purchase through online portals differs significantly from its original form . a hassle free shopping environment and high levels of Net savings see more and more Indians shopping online. the feedback of an online buyer should be captured to identify flaws in service delivery. But at the same time the companies need to reduce the risks related to consumer incompetence by tactics such as making purchase websites easier to navigate.

the online retailing raises more issues than the benefits it currently offers. Till the same is done. The quality of products offered online and procedures for service delivery are yet to be standardized.marketers to convert low frequency online buyers into regular buyers through successful website design and by addressing concerns about reliable performance. Thus. . the buyer is at a higher risk of frauds.

In addition. • Some customer’s problems don’t lead to valid research conclusion. • Respondents may have given bias information. .LIMITATION OF THE STUDY And necessary data to complete the project may not gather in proper manner. Limitation of the study is the selection of the existing studies. This may leave some other prominent empirical studies out. • The time limit for the research was small to collect adequate information for inference for the consumer buying behaviour. This might be effect the final result. it would be very interesting to compare IS literature to other disciplines that study online shopping attitudes and behaviour. Owing to time limitation. • Since the responses were only from some people of college. I only searched a few number of journals. The limitations which we observe were as follows: • With respect to actual population the sample size was too small. • In the fast changing world the data collected soon become historic and research findings based on them irrelevant. the report cannot be generalized for whole Delhi. owing to the multidisciplinary nature of online shopping.

)The report also found that buying and search patterns among Indians differ between genders. The survey was conducted in April 2007 and sampled more than 30. "While 43 percent of male users buy .000 Indian rupees are currently equal to approximately $23 US.. those who are on the net for more than three hours per day. 2007 A Survey by Indian research organization Juxtconsult found that more and more Indian Internet users are opening their wallets online.Of all those who buy online. Report Finds Heavy Spenders Driving Sales By Devin Comiskey August 16. the report finds there are currently more than 10million shoppers online in India. only 25 percent are spending more than 1.000 users."This section of buyers spends 5.. the online marketplace in the country of more than 1 billion people is still relatively small. while 42 percent of the sales originate through just five percent of consumers. Juxtconsult's survey found that 40 percent of all urban Internet users buy online.000 rupees per month.Indian E-Comm. "It is interesting to note that two out of every three heavy spenders are also 'netholics'." (1.000 rupees or more per month on the net. While current trends point to increased e-commerce growth in India. While such hurdles as limited broadband access and security concerns remain.000 rupees per month while the(remaining) 75 percent bill less than 1." states the report.

online. women are more guarded when it comes to the online market. whereas 33 to 47 percent are searching the net for product information. only 31 percent of urban female users are consumers as well. Defying their more common attitude towards shopping.”Depending on the product type. nine percent to 25 percent are buying online. ." it says. Women tend to search more. “says Juxtconsult.

and one more thing is that there should be Transaction of money is very slow they have to make it fast so that customer don’t have to Face much problem to pay for the product. and as people are coming on their sites and they are buying their products. the online sellers have to make their payment transparent.RECOMMENDATIONS As we came to know after researching on this topic we recommend that.Following implications should be followed • Discount prices • A transfer and reliable • Fast transactions • Focus on customer retailer satisfaction . and it also helps to make people more aware about the low rick shopping of the net. so retailers have to give more discounts to their customers so that they can visit again and again to their site. if customer is going to face some problem heist not going to visit our site and buy product .

Mithileshwar.com/search/index. 2.inderscience. “MARKETING MANAGEMENT – A SOUTH ASIAN PERSPECTIVE.” 13th Edition. and Jha. No.Vol.lotsofessays. 6.se/essay/e1fb0c636f/ 3) http://www.essays. 1 5)http://www. Philip. 195-209) 6) http://www.3 pp.asp?referrer=parent&backto=is sue.ph p?action=record&rec_id=32383&prevQuer y= &ps=10&m=or1m (International Journal of Business Innovation and Research 2010 . 4. Koshay. journal.com/viewpaper/169341 2. 15. 40. Website: 1)http://analogik.com/app/home/c ontribution. linkingpublicationresults.com/Harris/ 4)http://inderscience.html . 1:110844.asp 2) http://www.metapress.com/article_analysis_of_consu mer_behaviour_online.tealeaf. Kelvin Lane. Abraham.BIBLIOGRAPHY Books: Kotler. Keller.

Vol.Vol.inderscience.ph p?mainAction=search&action=record&rec_ id= 11032&prevQuery=&ps=10&m=or (International Journal of Electronic Marketing and Retailing 2006 .com/search/index.com/search/index. No.4pp. No.com/search/index.1 pp. No. 1. 4. 3. 30 2327) 10)http://www.7)http://www.3 pp.182) 8)http://www.inderscience. 284 .inderscience.296) . 169.2 pp.Vol. No. 67-82 9)http://www.p hp?mainAction=search&action=record&rec_ id =27851&prevQuery=&ps=10&m=or [2 may2010](International Journal of Electronic Finance 2012 . 1.inderscience.ph p? mainAction=search&action=record&rec_id=191 51&prevQuery=&ps=10&m=or (International Journal of Internet Marketing and Advertising 2011 .Vol.com/search/index.ph p?mainAction=search&action=record&rec_ id= 10096&prevQuery=&ps=10&m=or [8 may2010](International Journal of Electronic Marketing and Retailing 2006 .

eu/view.Vol .11)http://www.com/html/reports/social_sciences/report54694.4p p .inderscience. 1 .php? cisloclanku=2009111002&article=6#authors[22 may 2012] 13)http://www. 3 2 2.ph p?mainAction=search&action=record&rec _id=14847&prevQuery=&ps=10&m=or (International Journal of Electronic Marketing and R e t a i l i n g 2 0 1 1 .harvard.htm 14)http://www.edu/~kohler/cla ss/cs239-w08/decandia07dynamo.cyberpsychology.com/search/index. N o .read.338) 12)http://www.innovationsreport.pdf .seas.

What is your monthly income? a) Less than 10000 b) 10000 to 20000 c) 20000 to 30000 d) 30000 to 40000 .employed d) Self Employed e) Other Q6. What is your occupation? a) Student b) Professional c) Govt. Gender 1) Male 2) Female Q4. Address 1) Rural 2) Urban Q5.QUESTIONNAIRE Q1. Age 1) 15-20 2) 20-25 3) 25-30 4) 30 above Q3. Name ___________________ Q2.

How frequently do you purchase online? a) Once a week b) More than once a week c) Once a month d) more than once in a month Q9. What products you buy on internet? a) Books b) Music CDs c) T-shirt d) Mobile e) Laptop f) Other [specify] ___________ .e) More than 40000 Q7. What motivates to buy products online? a) Easy payment b) No hidden cost c) No travel to shop d) Wide range of products e) Other [Please specify] ____________ Q10. Do you have your own internet connection? a) Yes b) No Q8.Do you feel that the online marketers are providing competitive prices? a) Yes b) No c) Can’t Say Q11.

Which of the following stores have you ever visited for shopping online? a) e-bay b) Yahoo shopping c) Amazon d) Best buy e) Other [please specify] Q14.Q12. Do you feel that online shopping is better than shopping at physical brick & mortar store? a) Yes b) No c) Can’t say Q13. What factors help you to decide which site to use for online shopping? a) Search engine b) Personal recommendation c) Special offers on sites d) Online advertising e) TV advertising f) Other_________ Q15.How do you make your payments on internet? a) Credit card/Debit card b) Bank transfer c) PayPal d) Any other______ .