APPENDIX I

“A STUDY ON THE ROLE OF SOCIAL MEDIA IN ONLINE

SHOPPING WITH

SPECIAL REFERENCE TO UDUMA GRAMA

PANJAYATH”

PROJECT REPORT

Submitted by
Reshma A
REG.NO:B9PCOM3620

Under the supervision of

Mrs. NIDHINA T V

Assistant Professor, PG Department of commerce

Submitted to

KANNUR UNIVERSITY

In partial fulfilment of the requirement for the award of the

Post Graduation Programme in
 COMMERCE

NEHRU ARTS AND SCIENCE COLLEGE KANHANGAD OF

KANNUR UNIVERSITY

MARCH 2021

APPENDIX II

KANNUR UNIVERSITY
BONAFIDE CERTIFICATE

Certified that this project report “A STUDY ON THE ROLE OF SOCIAL

MEDIA IN ONLINE SHOPPING WITH SPECIAL REFERNCE TO
UDUMA GRAMA PANJAYATH” is the bonafide work of RESHMA
A(B9PCOM3620) who carried out the project work under my supervision in
partial fulfillment of the requirement of the Master of Commerce degree from
NEHRU ARTS AND SCIENCE COLLEGE, KANHANGAD.

HEAD OF THE DEPARTMENT SUPERVISOR

NIDHINA T V
 APPENDIX III

DECLARATION

I, RESHMA A, hereby declare that the project work entitled ” A STUDY

ON THE ROLE OF SOCIAL MEDUA IN ONLINE SHOPPING WITH
SPECIAL REFERENCE TO UDUMA GRAMA PANJAYATH” has been
prepared by me and submitted to Kannur University in partial fulfillment of
requirement for the award of Master of Commerce, is a record of original work
done by me and under the supervision of Mrs. NIDHINA T V, Assistant Professor
of P.G Department of Commerce, NEHRU ARTS AND SCIENCE COLLEGE
KANHANGAD.

I also declare that this project work has not been submitted by me fully or partly
for the award of any Degree, Diploma, Title or Recognition before any authority.

Place: KANHANGAD RESHMA A

Date: B9PCOM3620
 APPENDIX IV

ACKNOWLEDGEMENT

I sincerely thank God the Almighty for the eternal and invisible help
extended tome for the successful completion of my dissertation work. I express
my sincere gratitude to all who have helped me to complete the dissertation.

I express my gratitude to our principal, Dr. T. VIJAYAN, who gave me

great support for the completion of this project work successfully.

I would like to express, my gratitude to Mrs. JISHA P.V, Assistant

Professor and Head of the Department of Commerce, and Mrs.NIDHINA T V,
Assistant Professor Department of Commerce for their assistance and guidance
in the preparation of this project.

I reserve my gratitude to my family members for the moral support provided

to me during my study.

Name

Reg. no
 TABLE OF CONTENTS

CHAPTER NO. TITLE PAGE NO.

I INTRODUCTION
1-4
II REVIEW OF LITERATURE
5-7
III THEORETICAL
FRAMEWORK 8-30
IV DATA ANALYSIS AND
INTERPRETATION 31-49
V FINDINGS, SUGGESTIONS
AND CONCLUTIONS 50-53
BIBLIOGRAPHY

ANNEXURE
 LIST OF TABLES
TABLE NO. TITLE PAGE NO.
4.1 THE GENDER OF THE
RESPONDENT 31
4.2 JOB OF THE RESPONDENT
32
4.3 THE MONTHLY INCOME OF
THE RESPONDENT 33
4.4 THE EDUCATIONAL
QUALIFICATION OF THE
RESPONDENT 34
4.5 PEOPLE HAVE INTERNET
ACCESS 35
4.6 MEMBERSHIP IN SOCIAL
MEDIA 36
4.7 USE OF SOCIAL MEDIA FOR
ONLINE SHOPPING 37
4.8 KIND OF SOCIAL MEDIA
CURRENTLY USING 38
4.9 DURATION OF
MEMBERSHIP IN SOCIAL
MEDIA 39
4.10 TIME SPENDING FOR
INTERNET EVERYDAY 40
4.11 KIND OF PRODUCTS
USUALLY PURCHASING 41
4.12 RESPONDENTS GET TO
KNOW ABOUT SOCIAL
MEDIA FOR ONLINE
SHOPPING 42
4.13 AMOUNT SPENT FOR A
SINGLE PURCHASE 43
4.14 PROBLEM FOR
CONDUCTING ONLINE
PURCHASE 44
4.15 KIND OF PROBLEM FACED
45
4.16 WAY OF MAKING
PAYMENT 46
4.17 FAVOURITE ONLINE SITE
47
4.18 KIND OF FEATURE
NECESSARY FOR ONLINE
SHOPPING SITE 48
4.19 OPINION OF RESPONDENTS
ON SUGGESTING ONLINE
SHOPPING 49
 LIST OF FIGURES

TABLE NO. TITLE PAGE NO.

4.1 THE GENDER OF THE
RESPONDENT 31
4.2 JOB OF THE RESPONDENT
32
4.3 THE MONTHLY INCOME OF
THE RESPONDENT 33
4.4 THE EDUCATIONAL
QUALIFICATION OF THE
RESPONDENT 34
4.5 PEOPLE HAVE INTERNET
ACCESS 35
4.6 MEMBERSHIP IN SOCIAL
MEDIA 36
4.7 USE OF SOCIAL MEDIA FOR
ONLINE SHOPPING 37
4.8 KIND OF SOCIAL MEDIA
CURRENTLY USING 38
4.9 DURATION OF
MEMBERSHIP IN SOCIAL
MEDIA 39
4.10 TIME SPENDING FOR
INTERNET EVERYDAY 40
4.11 KIND OF PRODUCTS
USUALLY PURCHASING 41
4.12 RESPONDENTS GET TO
KNOW ABOUT SOCIAL
MEDIA FOR ONLINE
SHOPPING 42
4.13 AMOUNT SPENT FOR A
SINGLE PURCHASE 43
4.14 PROBLEM FOR
CONDUCTING ONLINE
PURCHASE 44
4.15 KIND OF PROBLEM FACED
45
4.16 WAY OF MAKING
PAYMENT 46
4.17 FAVOURITE ONLINE SITE
47
4.18 KIND OF FEATURE
NECESSARY FOR ONLINE
SHOPPING SITE 48
4.19 OPINION OF RESPONDENTS
ON SUGGESTING ONLINE
SHOPPING 49
 CHAPTER 1
INTRODUCTION
1.1 INTRODUCTION

Social media are interactive digitally mediated technologies that facilitate the creation of
exchange of information,ideas,career interest etc.social media facilitates the devolopment of
online social networks by connecting a user’s profile with those of other individuals or
groups.social media different from traditional or industrial media in many ways including
quality,reach,frequency,usability,immediately and permanence. It is a collective term for
websites and applications which focus on communication,community based
input,interaction,content-sharing and collaboration.Many individuals will use social media to
stay in touch and interact with friends and family,while others use it to communicate with
different communities.

Social media defined as”a group of internet based application that bulid on the
ideological and technological foundations of web 2.0 and that allow the creation and exchange
of user-generated content. Many business will use social media as a way to market and primote
their products.In addition,business to consumer(B2C) websites include social components
,such as comment fields for users.social media has become larger and mire accessible thanks
to access to mobile applications,with some examples of social media including
Twitter,Facebook,linked in etc.

“social media has been broadly defined to refer the many relatively inexpensive and
widely accesible electronic tools that enables anyone to publish and access
information,collaborate on a common effort,or build relationships”. Social media is also often
used for crowd sourcing.customers can use social networking sites to offer ideas for future
products or improvements to current ones.In IT projects,crowd sourcing usually involves
blending business and IT services from a mix of internal and external providers..

Through the social media the business can also respond very quickly to both
positive and negative feedback,attend to customer problmes and maintain,regain or rebulid
customer confidence.

1
1.2 STATEMENT OF PROBLEM
Social media has its own importance in online shopping.The study entitled as ”Role Of Social
Media In Online Shopping”.A study from Udma Grama Panchayath is discussed on this topic.

1.3 OBJECTIVES

1. To examine the factors that motivates people to shop through social media platforms.

2.To examine how social media channels have affected the online shopping of people.

3.To identify the challenges with the use of social media in online shopping.

4.To study the perception of people and their satisfaction level towards online shopping.

1.4 SCOPE OF THE STUDY

This study helps to know about the role of social media in online buying and the involvement
of social media in online buying.It also facilitates what are the new trends in online buying and
help to know the people who conduct online shopping what is their problems and how they
solve these problems.

1.5 RESEARCH METHODOLOGY

The methodology of this study includes research design, population, sampling method, sample
size, data collection tools used, and statistical methods used for analysis.

This study is carried to achieve the above objectives. We had gone through two stages in the
study.

2
 Population
Our survey was conducted among people from different culture and socio ecinomic
background.This survey was conducted among the people who have in kasargod district.This
people includes youngsters,students,and also middle ages.

Tools used
The data collection tool administered for the survey is a structured questionaire.The
questionnaire is focused to analyse the role of social media in online buying.

Sampling method

The sampling method adopted for this survey is convenient sampling.

Sample size

The sample size is 100 questionaires which were distributed among different people on
the basis of income,age,occupation etc.

Statistical tool used:Percentage analysis has been used for analysing the data.Ranking
method is also used in the survey.

Secondary data has constituted only a small part to our objectives.And these secondary
data’s were collected through magazines,various websites.

3
1.6 LIMITATIONS

This study has the following limitations:

1) The study depends upon the same person’s perception.

2) The scope of the study is restricted only to few areas.

3) The study is based on tool that facilitates decision making process.

4) The study is based on sample and hence it lacks accuracy.

5) The research is limited by the capability ,experience,and knowledge about the subject.

6) The time and cost factor is another limitation.

1.7 CHAPTER SCHEME

1. Introduction.
2. Literature Review.
3. Theoretical Framework.
4. Analysis and interpretation.
5. Findings, suggestions and conclusions.

4
 CHAPTER II
REVIEW OF LITERATURE
1. Ethel Lee of Turku University of applied science conduct a research on the topic impacts on
social media on consumer behavior.It can be observed that consumers in Finland are actively
utilising social media platforms as a tool in validating of the purchase decisions.However,
consumers are deemed to be inactive in sharing their word of mouth to others with the available
social media platforms.

2. Hannah Taylor studied on the topic social media and social changes conclusion and
recommendation.Through background research consultation and an experimental social media
campaign this project has explored the ways in which social media technologies can be harnessed
by those advocating taking intolerance social media for social good.

3. A consumer research study commisioned by oracle on the topic of consumer views of Live
Help Online 2012:A Global Perspective.The more frequently consumers go online the more they
want and value live online help.Live help including click to call and click to chat is among
consumer’s top three choices for support.social media has been added to the list of consumer
expectations for access to live support.

4. IBM Institute for business value conducts a study on from social media to social CRM.It is
understandable why companies want to use social media to interact with customers.The benefits
are real and deep.First there is the social interaction itself which can provide direct value to the
business through revenue from social,commerce and cost savings when used for customer care or
research.

5. Stephen Guo,Menggiu Wang,Jure Leskovec of stand ford university conduct a study on the
topic the role of social networks in online shopping information passing ,price of trust,and
consumer choice.They analyse Taobao,a Chinese consumer market place that is the World’s
largest e-commerce website.Through the study of directed closure rules they verify that implicit
information passing is present in the Taobao network,and show that communication between
buyers is a fundamental driver of purchasing activity.

6. Ghania Bilal,Mirza Ashfaq Ahamed and Mirza Naveed Shahzad department of management
sciences of Gujarat University,Pakisthan department of statistics conduct a study on the topic Role
of social media and social networks in consumer decision making.Consumers in Pakisthan are
particularly keep on the use of a few social media platforms which include blogs and

5
Youtube.Similarly consumers mostly prefer the social networking sites of facebook and Google
along with their own personal decisions.The fact that the use of these online media has a strong
influence on the purchase decisions of the users.

7. Stephen Guo,Mengqiu Wang,Jure Leskoves(Stanford University,USA) they conducted

research on the topic “the role of social networks in online shopping:information passing,price of
trust and consumer chouce’.While social interactions are critical to understanding consumer
behavoir,the relationship between social and commerce networks has not been explode on a large
scale.They analyse Taobao,a chinese a consumer market place that is the World’s Largest e-
commerce website.They evaluate the models and baselines using the following three
metrics:precision at top 1,mean rank,mean reciprocal rank.

8. According to Forrester research in online shopping behaviour in the digital era.The online
retail sales volume for the US 2012 is $ 231 billion.Online shopping is more accessible than it has
even been in the introduction of tablets,smart phones.As a result the E-commerce industry is
generating higher sales volume.

9. Ayda parban,wel Li conduct a study on the topic the impact of online social networks on
consumers purchasing decision-the study of food retailer.The purpose of this study is to examine
the impact of online social networks(face book) on consumer’s purchasing decision in food retailer
shops more precisely.The authors are trying to find which steps do online social networks influence
consumers purchasing decision when it comes to food retailer and why are these steps influenced
by online social networks.

10. Romina Cachia conducts a study on the topic social computing;study on the use and impact
of online social networking.A social networking phenomenon has emerged over the past five
years.In that time,social networking site(SNS) have grown from a niche to a mass online activity,in
which tens of million of internet users are engaged both in their leisure time,and at work.

11. Misra ashfaq ahmed,Zahra zahid conduct a study on the topic role of social media marketing
to enhance CRM and brand equity in terms of purchase intension.Findings of the study indicate
that most significant factor which inflence purchase intension is customer relationship
management results conclude that SMM positively influence customer relationship and brand
equity.

6
12. Miss Sisira Neti(Asst.Professor,Dept of Business management Warangal) conducted a
study on the topic social media and its role in marketing.This paper discusses about the concept of
social media and social media marketing and other aspects like the growth and benefits,role and
relevance of social media in marketing.It also presents an over view on social media marketing in
India.Social media marketing consist of the attempt to use social media to persuade consumers
that one’s company,products or services are worthwhile.

13. Simona Vinerean,Luliana Cetina, Luigi Dumitrescu and Mihai Tichindelean(faculty of

economic sciences,Romania) conducted a research on the topic”The effects of social media
marketing on online consumer behaviour”.Social media is ‘a group of internet based application
that builds on the ideological and technological foundations of web 2.0 ,and it allows the creation
and exchange of user-generated content’.

14. On the topic Effect of Social media on online shopping behaviour of apparels in jaipur
City-An a analytical review research is conducted by Assistant Professor School of Management
JECRC University,jaipur.Social media tools have become superb channels of marketers to reach
consumers. Social media is important for marketers because it allows them to dialogue directly
with consumers,which is turn engages consumers directly with company brands.The use of social
media platforms such as Twitter,Linkedin,blogs and Facebook among buyers has grown
considerably over the last two years.

15. This is an article based on the topic,Online Social Media and Networks:Impact on Marketing
Practise which has prepared by Raji Sreenivasan(The AMA Journal Reader).This essay
summerizes some key findings from recent papers in journal of Marketing on the topic of social
media and networks and their implications for managerial practise.Online social environments are
an exciting and important devolopment changing the dynamics of markets and firms.The collective
implications derived from this recent stream of research are useful to senior marketing executives
tasked with managing and leveraging their firm’s social media programs.

7
 CHAPTER III

THEORETICAL FRAMEWORK
SOCIAL MEDIA AND ITS EVOLUTION
Today, everyone knows what social media is. Even the most out-of-the-way parts of the
world have access to Facebook and Twitter. In most countries, these platforms are accessed as
many as four times per person per day! However, it wasn’t like this a decade ago. Not only did not
as many people have internet access at that time, but social media was just getting started.

Social media is never static.It is an evercganging array of tools and platforms built for any number
of purpose.Over the last five years social media has changed the world in innumerable ways.

2003: MySpace & LinkedIn-Many of you may remember that back in the early 2000s, MySpace
was the most popular place to set up a profile and interact with friends and family.

2004: Facebook & Twitter-In 2004, Facebook entered the social media scene and soon became the
giant that would define the social media platform. Even after all these years, Facebook is the
number one social networking site there is, boasting over a billion users.Over the years however
the number of casual MySpace users declined and today the site exists now as social networking
site targeted to bands and musicians.

Then in 2006, Twitter burst onto the scene, taking the idea of short texts from the mobile phone
directly to the web. It wasn’t long after this that several other websites came into being.

ONLINE MARKETING
Online marketing is the practice of leveraging web-based channels to spread a message about
a company’s brand, products, or services to its potential customers. The methods and techniques
used for online marketing include email, social media, display advertising, search engine
optimization, Google AdWords and more. The objective of marketing is to reach potential
customers through the channels where they spend their time reading, searching, shopping, and
socializing online.

Online marketing can deliver benefits such as;

• Growth in potential
• Reduced expenses
• Elegant communication


 • Better control
• Improved customer service
• Competitive advantage

ONLINE MARKETING AND ITS EVOLUTION

Online marketing is advertising and marketing the products or services of a business over
Internet.

Online marketing relies upon websites or emails to reach to the users and it is combined with e-
commerce to facilitate the business transactions. In online marketing, you can promote the
products and services via websites, blogs, email, social media, forums, and mobile Apps.

Online marketing is also termed as Internet marketing, Web marketing, or simply, OLM. The
term business-to-consumer (B2C) refers to the process of selling products and services directly
between a business and consumers who are the end-users of its products or services. Most
companies that sell directly to consumers can be referred to as B2C companies.In the case where
business buys from another business,the process is called business to business(B2B) online
shopping.

Michael Aldrich,pioneer of online shopping in the 1980s.English Entreprenuer Michael

Aldrich invented online shopping in 1979.His system connected a modified domestic TV to a real
-time transaction processing computer via a domestic telephone line.

SOCIAL MEDIA AND ITS ROLE IN ONLINE MARKETING

Social media is now the trend.And for businesses it represents a marketing opportunity that
transcends the traditional middleman and connects companies directly with consumers.social
media marketing is marketing using online communities,social networks,blog marketing etc.It is
the latest “buzz” in marketing.

According to Wikipedia,social media is internet -based tools for sharing and discussing
information among human beings.Any website which allows user to share their
content,opinions,views etc.

9
 The meaning of the term ‘social media’ can be derived from the two words which constitute
it.Media generally refers to advertising and the communication of ideas or information through
publications or channels.social implies the interaction of individuals with in a group or community.

Social media enables companies to:

• Share their expertise and knowledge.

• Tap into the wisdom of their consumers.
• Engages prospects through customer evangelism.

BENEFITS OF SOCIAL MEDIA MARKETING

The following are the benefits of social media:

• Generating exposure to businesses.

• Increasing traffic/subscribers.
• Building new business partnerships.
• Rise in search engine rankings.
• selling more products and services.
• Reduction in overall marketing expenses.

ROLE OF SOCIAL MEDIA IN MARKETING:

Creating and developing a website is important for any business. Along with having a website,
you need to expand your online outreach to social media platforms. Social networking sites such
as Twitter and Facebook are essential for maintaining a competitive edge. Companies that do not
have active social media accounts risk missing out on numerous marketing opportunities.

10
 • Interaction with Target Market. One of the key advantages of socialmedia for
businesses is that it enables you to interact with your customers. Going through the
tweets and Facebook updates that are posted by your customer base gives you insight
into what they need.

• Improve Responsiveness. Social media eases the process of providing and receiving
feedback. If your customers have concerns or problems with what your business offers,
they can let you know in a timely manner. Social media gives customers a convenient
and accessible way to express what they feel and gives companies a chance to respond.
• Effective Marketing. The social networking nature of platforms such as LinkedIn and
Twitter generates interest among followers who are more responsive to them than a
blatant marketing approach.

ONLINE SHOPPING AT GLANCE

Shopping online has never been more popular than it is today. Every day the Internet plays
home to thousands upon thousands of transactions as people around the world purchase goods and
services using their computers in the comfort of their own homes. Before you venture out to all
the online shops and malls you can find, you should take the time to learn how to save money and
time during your search as well as how to protect yourself while you are online.

Shopping online can bring great comfort and convenience to you and make it much easier to shop
for almost anything you need today. However, if you aren’t familiar with shopping online, you
could find it difficult to navigate the sometimes complicated websites that are used for online
shopping. By reading through our guide, you can familiarize yourself with how many online stores
work. By understanding how these sites work, you can protect yourself from potential harm while
at the same time speeding up your shopping process and saving you money along the way.

Shopping online provides the flexibility and convenience that many people need when they shop
for goods and services. But it can be overwhelming to new users who aren’t familiar with what the
Internet has to offer. This guide will help you properly navigate your way through many of these
online malls so you can find the products you need at a great price much more quickly than you
could if you got in the car and drove to your local mall.

11
 Online shoppers commonly uses a credit card or a pay pal account in order to make
payments.However,some systems enable users to create acciunts abd oay by alternative
means,such as:Billing to mobile phones,cash on delivery ,cheque,debit card,etc.Some online shops
will not accept international credit cards.The funancial part of a transaction may be processed in
real time.

ONLINE SHOPPING IN INDIA

Shopping online is different from traditional shopping in terms of experience on the part of
consumers. Consumers in traditional markets can touch and feel the products before purchasing it
and on the other hand in virtual markets products can be assessed visually only. The purpose of
this paper is to understand online shopping behavior of consumers in India. Design/methodology:
Researchers have conducted an empirical study of 100 online shoppers to identify their online
shopping behaviour using Structural equation modeling. Major Findings: The key finding of the
study indicates that demographic profile of customers, type of products to be purchased, online
seller of the product, and the characteristics of online shopping website had positive impact on the
intention and online shopping behavior of the customers in India. Implications: This paper will
help marketers to devise ways and means to pull online shoppers, and will be helpful for customer
to understand the merits and demerits of online shopping. Originality/value: This is a fairly original
paper which analyses the factors that influence the intention and online shopping behavior of the
customers in India.

The rise of the consumer class in India combined with the continued proliferation of internet
access is boosting online shopping, opening up a new domain through which retailers and
consumer product companies can meet consumer demands and expectations. In a new report titled
‘Shaping Consumer Trends’ by PwC, Strategy&, and the Federation of Indian Chambers of
Commerce & Industry, the authors explore, among other things, the changing consumer behaviour
within the online space. The survey involved more than 19,000 online shoppers in 19 different
territories.

12
ONLINE SHOPPING AMONG COLLEGE STUDENTS

computer/electronic/ mobile are the common products purchased online. The relationship and data
reliability of the influencing factors are significantly reliable and has significant relationships
which justify the study hypothesis. Study concluded that among the influencing factors
functionality of the web vendors ranked high importunacy followed by privacy, perceived value,
firm reputation and trust. The lower ranking of trust is indicating that major respondents group
feels uncomfortable or unsafe while trusting on the web vendor.Recent statistics show that indian
online shoppers are third higher in the world after Turkey and Ireland,college students are most
tech and internet and researches are noticed that there are plenty of students shopping online for
buying shoes,bags,shirts,jeans etc. College students are definitely seen catching up with the ever
growing technology age,so much as to take shopping which was done on streets directly online.

FACTORS AFFECTING ONLINE SHOPPING

Internet shopping is a phenomena that is growing rapidly nowadays. A peep into the exponential
growth of the main players in this industry indicates there is still a large reservoir of market
potential for e-commerce. The conveniency of online shopping rendering it an emerging trend
among consumers.

1. Younger Consumers

The younger generations, Millennials and Generation Z, were brought up in the digital
age. Generation Z in particular can’t remember a time before the internet and technology. They
don’t know any different than shopping and browsing online. They’re both multiscreen generations
that like to do online research before making a purchase, so even if they’re buying in-store they’ve
probably done some sort of browsing online first.

2. Smartphones

The first iPhone landed on our doorsteps in 2007, and ever since then the internet has been far
more accessible. Smartphones give consumers quick and easy access to technology no matter
where they are.

13
3. Store Boredom

Another reason that consumers are opting to buy online instead of going in-store is because they’ve
grown accustomed to exciting and interesting experiences. The boom in high street retail before
the recession brought with it a lot of the same layout and feel to stores. Today’s consumer have a
strong need for invigorating experiences that a lot of stores don’t live up to.

4. New Online Retailers

With the rise of online retailers came a new era of online stores. Online retailers like ASOS, Ocado,
and Net a Porter grew in huge popularity prompting even more online stores to pop up, and
prompting high street stores to provide their offering online.

5. Credit Cards

UK consumers have always been enthusiastic users of debit and credit cards. This movement has
even been moved onto smartphones in the form of contactless payment. Low interest rates and
high credit card usership has moved consumers towards online retailers. Very few consumers
constantly carry cash anymore so physical stores that don’t except card will be left behind.

USER REQUIREMENTS FOR ONLINE SHOPPING

End user features that facilitate the enjoyment of Internet shopping might include the following:

• Users should be able to use the eCommerce application from any Web browser supporting
HTML 3.2 (or later) and cookies.
• Visitors new to the site should be able to register by themselves. Users will be differentiated
by unique user identifiers.
• Transactions should be secure. That is, a basic authentication mechanism must be built into
the application to prevent unauthorized persons from making transactions on a user's
behalf. Secure socket layers (SSL) or other encryption mechanisms are typically used to
thwart the access of sensitive information (such as credit card numbers) sent to the server
by Web browsers.
• Site visitors should be able to purchase goods or services via the electronic store.

14
 • Users should be able to view a complete list of specified items available through the site.
• Users should be able to search for items by related attributes. For example, visitors might
search for CDs by artist, album title and/or genre or search for books by author, title and/or
ISBN number.
• Site visitors should be able to search the database using relevant keywords to identify items
of interest.
• Users should be able to select items of interest and add them to their shopping carts for
future purchase.
• Visitors should be able to modify the quantities of items in and/or delete items from their
shopping carts before checkout.
• All selected items should be shipped to the user following purchase.
• Users should be able to view the status of items they have ordered.
• Large numbers of users should be able to use the application simultaneously.
• The performance of the application should not degrade with an increase in the number of
goods or services offered.

TOP 10 ONLINE SHOPPING SITES IN INDIA

1. Flipkart

Homegrown online shopping site Flipkart is the most loved shopping site. When it comes to online
shopping, the first Company that comes to mind is Flipkart. Flipkart is the leader in Indian
commerce with the highest market share. Flipkart is one of the websites in India which sells
products at affordable rates.

Flipkart offers a huge range of products. It is also said that Flipkart has more products than a mall.
The products sold by Flipkart include clothes, footwear, mobile phones, laptops, refrigerators,
washing machines, books, cosmetics, groceries and so on. Flipkart dominates the fashion segment
and the Smartphone category.

15
To make shopping even more convenient and worry-free for selected customers. Under the
Flipkart pay later service, customers can pick any product and checkout without making any
payment. After receiving the product he/she can experience it and make the payment when it is
convenient.

To attract more customers, Flipkart is all set to launch its own customer loyalty programme called
‘Flipkart Plus’. Under this plan, Flipkart offers consumers, loyalty points that can be used for
benefits such as free delivery, early shipping and early access to products during sales.

2. Amazon

Amazon is the next best online shopping site in India. Amazon has a large customer base almost
as much as Flipkart. There is always a war between Amazon and Flipkart. The gap between the
market share of Amazon and Flipkart' is very low. Just like Flipkart, Amazon also offers a huge
range of products. While homegrown online retailer Flipkart leads in fashion and smartphones,
Amazon has taken the lead in categories like appliances, consumer electronics, and groceries.

Amazon sells a huge range of products including books, electronic goods, cosmetics, footwear,
consumer durables, clothes and much more. Along with all this, Amazon also sells grocery
products at a reasonable rate. To attract consumers, Amazon offers a wide range of discounts
during the festive season.

3. Snapdeal

Softbank-backed Snapdeal is India's third largest online shopping site. It is a favorite among many
Indians as it sells products at a cheap price. Snapdeal sells more than 35 million products across
more than 800 categories from over 125,000 regional, national, and international brands and
retailers. It has more than 3,00,000 sellers and delivers to 6000+ cities and towns in India.

Snapdeal which is based in New Delhi was started in the year 2010 as a daily deals platform, but
later became an online marketplace in September 2011.

16
4. Jabong.com

Jabong is a favorite shopping site among the younger generation as it sells high-quality fashion
wear at very reasonable rates. Along with fashion wear, Jabong also offers sports goods,
accessories such as belts, wrist watches, bags and wallets, fragrances and sunglasses at very
reasonable rates.

5. Myntra

Myntra is India's leading online retailer in lifestyle and fashion products. It sells clothes across
categories like men, women, and kids. Myntra also offers shoes, watches, cosmetics, bags and so
on at discounted prices. Myntra is loved by almost all the women shoppers as it has all kinds of
clothes from western wear to traditional clothing.

Myntra has launched different brands with celebrities like Deepika Padukone, Hrithik Roshan and
others as brand ambassadors. Recently, the online portal has launched an ethnic brand with actor
Saif Ali Khan, which is known as ‘House of Pataudi’. If you want to shop for clothes online, there
is no better place than Myntra.

6. Paytm Mall

Paytm Mall is one among the top 10 online shopping sites in India. Paytm mall sells everything
from groceries to high-end electronics and mobile phones. It is also one of the cheapest online
shopping sites in India. You can buy anything you want from the Paytm Mall and simply pay
through the Paytm wallet.

7. ShopClues

ShopClues sells a wide variety of products like clothes, footwear, jewelry, cosmetics, toys, books,
bags, mobiles, cameras and computer accessories at discounted rates. It is loved by many citizens
because of its jaw-dropping deals.

The company mainly focuses on unstructured categories of home and kitchen, fashion, electronics,
and items of daily utility.

17
8. Bigbasket

Bigbasket is India's largest online grocery and food products provider, founded in 2011. Products
sold by Bigbasket include fresh fruits and vegetables, rice and cereals, spices and seasonings,
packaged products, beverages, meat, fish and poultry products, dairy items and other essentials.

9. Pepperfry

Pepperfry.com is an online home and lifestyle shopping store in India that sells furniture and décor
for homes, offices, and every other premise. It is one among the top 10 online shopping sites in
India.

10. Homeshop18.com

Homeshop18.com is owned by the Network18 Group and it is one among the top 10 online
shopping sites in India. Homeshop18.com sells a wide range of kitchen appliances, cameras,
mobiles, laptops, gifts, apparel and much more.

ADVANTAGES OF ONLINE SHOPPING

1. Convenience of online shopping

Customers can purchase items from the comfort of their own homes or work place. Shopping is
made easier and convenient for the customer through internet. It is also easy to cancel the
transactions.

2. No pressure shopping
Generally, in physical stores, the sales representatives try to influence the buyers to buy the
product. There can be some kind of pressure, whereas the customers are not pressurized in any
way in online stores.

18
3. Online shopping saves time
Customers do not have to stand in queues in cash counters to pay for the products that have been
purchased by them. They can shop from their home or work place and do not have to spend time
traveling. The customers can also look for the products that are required by them by entering the
key words or using search engines.

4. Comparisons
Companies display the whole range of products offered by them to attract customers with different
tastes and needs. This enables the buyers to choose from a variety of models after comparing the
finish, features and price of the products on display, Sometimes, price comparisons are also
available online.

5. Availability of online shop

The mall is open on 365 x 24 x 7. So, time does not act as a barrier, wherever the vendor and
buyers are.

6. Online tracking
Online consumers can track the order status and delivery status tracking of shipping is also
available.

7. Online shopping saves money

To attract customers to shop online, e-tailers and marketers offer discounts to the customers. Due
to elimination of maintenance, real-estate cost, the retailers are able to sell the products with
attractive discounts through online.

DISADVANTAGES OF ONLINE SHOPPING

1. Delay in delivery
Long duration and lack of proper inventory management result in delays in shipment. Though the
duration of selecting, buying and paying for an online product may not take more than 15 minutes;
the delivery of the product to customer’ s doorstep takes about 1-3 weeks.

19
2. Lack of significant discounts in online shops
Physical stores offer discounts to customers and attract them so this makes it difficult for e-tailers
to compete with the offline platforms.

3. Lack of touch and feel of merchandise in online shopping

Lack of touch-feel-try creates concerns over the quality of the product on offer. Online shopping
is not quite suitable for clothes as the customers cannot try them on.

4. Lack of interactivity in online shopping

Physical stores allow price negotiations between buyers and the seller. The show room sales
attendant representatives provide personal attention to customers and help them in purchasing
goods. Certain online shopping mart offers service to talk to a sales representative,

5. Lack of shopping experience

The traditional shopping exercise provides lot of fun in the form of show-room atmosphere, smart
sales attendants, scent and sounds that cannot be experienced through a website.

6.Lack of close examination in online shopping

A customer has to buy a product without seeing actually how it looks like. Customers may click
and buy some product that is not really required by them. The electronic images of a product are
sometimes misleading. The colour, appearance in real may not match with the electronic images

7. Frauds in online shopping

Sometimes, there is disappearance of shopping site itself. In addition to above, the online payments
are not much secured. So, it is essential for e-marketers and retailers to pay attention to this issue
to boost the growth of e-commerce.

E-C OMMERCE

E-commerce (electronic commerce) is the buying and selling of goods and services, or the
transmitting of funds or data, over an electronic network, primarily the internet. These business

20
transactions occur either as business-to-business (B2B), business-to-consumer (B2C), consumer-
to-consumer or consumer-to-business. The terms e-commerce and e-business are often used
interchangeably. The term e-tail is also sometimes used in reference to the transactional
processes that make up online retail shopping.

Types of e-commerce

Business-to-business (B2B) e-commerce refers to the electronic exchange of products, services

or information between businesses rather than between businesses and consumers. Examples
include online directories and product and supply exchange websites that allow businesses to
search for products, services and information and to initiate transactions through e-procurement
interfaces.

Business-to-consumer (B2C) is the retail part of e-commerce on the internet. It is when

businesses sell products, services or information directly to consumers. The term was popular
during the dot-com boom of the late 1990s, when online retailers and sellers of goods were a
novelty.

Today, there are innumerable virtual stores and malls on the internet selling all types of consumer
goods. The most recognized example of these sites is Amazon, which dominates the B2C market.

Consumer-to-consumer (C2C) is a type of e-commerce in which consumers trade products,

services and information with each other online. These transactions are generally conducted
through a third party that provides an online platform on which the transactions are carried out.

Online auctions and classified advertisements are two examples of C2C platforms, with eBay and
Craigslist being two of the most popular of these platforms. Because eBay is a business, this form
of e-commerce could also be called C2B2C -- consumer-to-business-to-consumer.

Consumer-to-business (C2B) is a type of e-commerce in which consumers make their products

and services available online for companies to bid on and purchase. This is the opposite of the
traditional commerce model of B2C.

21
A popular example of a C2B platform is a market that sells royalty-free photographs, images,
media and design elements, such as iStock. Another example would be a job board.

Business-to-administration (B2A) refers to transactions conducted online between companies

and public administration or government bodies. Many branches of government are dependent on
e-services or products in one way or another, especially when it comes to legal documents,
registers, social security, fiscals and employment. Businesses can supply these electronically. B2A
services have grown considerably in recent years as investments have been made in e-government
capabilities.

Consumer-to-administration (C2A) refers to transactions conducted online between individual

consumers and public administration or government bodies. The government rarely buys products
or services from citizens, but individuals frequently use electronic means in the following areas:

• Education. Disseminating information, distance learning/online lectures, etc.

• Social security. Distributing information, making payments, etc.

• Taxes. filing tax returns, making payments, etc.

• Health. Making appointments, providing information about illnesses, making health

services payments, etc.

Mobile e-commerce (M-commerce) is a type of e-commerce on the rise that features online sales
transactions made using mobile devices, such as smartphones and tablets. M-commerce includes
mobile shopping, mobile banking and mobile payments. Mobile chatbots also provide e-
commerce opportunities to businesses, allowing consumers to complete transactions with
companies via voice or text conversations

E-commerce applications

E-commerce is conducted using a variety of applications, such as email, online catalogs and
shopping carts, Electronic Data Interchange (EDI), the File Transfer Protocol, web services and
mobile devices. This includes B2B activities and outreach, such as using email for unsolicited ads,

22
usually viewed as spam, to consumers and other business prospects, as well as sending out e-
newsletters to subscribers and SMS texts to mobile devices. More companies now try to entice
consumers directly online, using tools such as digital coupons, social media marketing and
targeted advertisements.

The rise of e-commerce has forced IT personnel to move beyond infrastructure design and
maintenance to consider numerous customer-facing aspects, such as consumer data privacy and
security. When developing IT systems and applications to accommodate e-commerce
activities, data governance-related regulatory compliance mandates, personally identifiable
information privacy rules and information protection protocols must be considered.

E-commerce platforms and vendors

An e-commerce platform is a tool that is used to manage an e-commerce business. E-commerce

platform options exist for clients ranging in size from small businesses to large enterprises. These
e-commerce platforms include online marketplaces such as Amazon and eBay, that simply require
signing up for user accounts, and little to no IT implementation. Another e-commerce platform
model is SaaS, where store owners can subscribe to "rent" space in a cloud-hosted service that
does not require in-house development or on-premises infrastructure. Other e-commerce platforms
may come in the form of open source platforms that require a hosting environment (cloud or on
premises), complete manual implementation and maintenance.

A few examples of e-commerce marketplace platforms include:

• Amazon

• eBay

• Walmart Marketplace

• Chewy

23
 • Wayfair

• Newegg

• Alibaba

• Etsy

• Overstock

• Rakuten

Vendors offering e-commerce platform services for clients hosting their own online store sites
include:

• Shopify

• WooCommerce

• Magento

• Squarespace

• BigCommerce

• Ecwid

• Salesforce Commerce Cloud (B2B and B2C options)

• Oracle SuiteCommerce

History of e-commerce

The beginnings of e-commerce can be traced to the 1960s, when businesses started using EDI to
share business documents with other companies. In 1979, the American National Standards
Institute developed ASC X12 as a universal standard for businesses to share documents through
electronic networks.

After the number of individual users sharing electronic documents with each other grew in the
1980s, the rise of eBay and Amazon in the 1990s revolutionized the e-commerce industry.

24
Consumers can now purchase endless amounts of items online, from e-tailers, typical brick-and-
mortar stores with e-commerce capabilities. Now, almost all retailer companies are integrating
online business practices into their business models.

E-commerce originated in a standard for the exchange of business documents, such

as orders or invoices, between suppliers and their business customers. Those origins date to the
1948–49 Berlin blockade and airlift with a system of ordering goods primarily via telex. Various
industries elaborated upon that system in the ensuing decades before the first general standard was
published in 1975. The resulting computer-to-computer electronic data interchange (EDI) standard
is flexible enough to handle most simple electronic business transactions.

With the wide adoption of the Internet and the introduction of the World Wide Web in 1991
and of the first browser for accessing it in 1993, most e-commerce shifted to the Internet. More
recently, with the global spread of smartphones and the accessibility of
fast broadband connections to the Internet, much e-commerce moved to mobile devices, which
also included tablets, laptops, and wearable products such as watches.

E-commerce has deeply affected everyday life and how business and governments operate.
Commerce is conducted in electronic marketplaces (or marketspaces) and in the supply chains
working on the Internet-Web. Consumer-oriented marketplaces include large e-malls (such
as Amazon), consumer-to-consumer auction platforms (eBay, for example), multichannel retailers
(such as L.L. Bean), and many millions of e-retailers. Massive business-to-business marketplaces
have been created by Alibaba and other companies. The so-called sharing economy enables more
efficient use of resources, as Airbnb does with online rentals of private residences. Almost
instantaneous access to services is made available by on-demand platforms offering, for example,
transportation (e.g., Uber), computation and storage resources furnished by cloud service
providers, and medical and legal advice. Mass customization of goods sold online, such as
garments and vehicles, became common. Electronic currencies (or cryptocurrencies) such
as Bitcoin entered into play as the means of settlement. Semipermanent supply chains enable a hub
company (such as Dell) to surround itself with suppliers that perform most production tasks and
deliver other goods and services to the central firm.

25
 profiles as people navigate the Web. In particular, location-based promotion of goods and
services may be enabled in mobile commerce. The ability to derive revenue from ads drives various
business models (for example, search engines) and produces incremental revenue for other
businesses, as their customers access their Web sites or use mobile apps and can be exposed to the
advertising messages.

Among innovations that have contributed to the growth of e-commerce are electronic directories
and search engines for finding information on the Web; software agents, or bots, that act
autonomously to locate goods and services; systems that recommend products to users based on
their profile; and digital authentication services that vouch for identities over the Internet. Those
intermediary services facilitate the sale of goods (actually delivering the goods in the case of
information), the provision of services such as banking, ticket reservations, and stock
market transactions, and the delivery of remote education and entertainment.

Businesses often deploy private Internet-type networks (intranets) for sharing information
and collaborating within the company, usually insulated from the surrounding general Internet by
computer-security systems known as firewalls. Collaborating businesses also frequently rely
on extranets that allow encrypted communication over the Internet.

Security is a central concern in e-commerce. It includes authentication of the parties,

authorization to access the given resources, confidentiality of the communication, and
the assurance of message integrity. Many of those goals are accomplished with public
key infrastructure, a system of specialized organizations and computerized means for providing
electronic certificates that authenticate firms and, if desired, individuals; provide the encryption
and decryption keys for communication; and furnish the protocols (algorithms) for secure
communication. However, absolute security is not an attainable goal. Many spectacular
data breaches are testimony to this, as well as to the neglect of this vital aspect of e-commerce.

Security underlies another important aspect of e-commerce, that of privacy. The massive
assembly and use of individual profiles that reflect activity over many years and in many personal
pursuits raises concerns. Such concerns are so far only partially addressed via legislation, self-
regulation, and public pressure that can find instantaneous social amplification on the Internet.

26
 Several important phenomena are associated with e-commerce. The role of geographic distance
in forming business relationships is reduced. Barriers to entry into many types of businesses are
lower, as it is relatively inexpensive to start a retail Web site or a community of producers. Some
traditional business intermediaries are being replaced by their electronic equivalents or are being
made entirely dispensable. (For instance, as airlines have published fare information and enabled
ticketing directly over the Internet, storefront travel agencies have declined.) Prices of goods are
generally lower on the Web—a reflection not merely of the lower costs of doing electronic
business but also of the ease of comparison shopping in cyberspace. Consumers benefit greatly
from the availability of products that are bought only rarely and would not be stocked by physical
stores (the so-called longtail effect). Ever-new business models emerge and are pivoted (modified)
as the marketplace reaction can be gauged rapidly. Since the incremental cost of producing a unit
of content good (such as a software product) is close to zero, freemium business models are often
employed in the content domain: the basic product is free, the premium versions are charged for.
A new form of corporate cooperation known as a virtual company—which is actually a network
of firms whose information systems are integrated over the Internet, each firm performing some
of the processes needed to manufacture a product or deliver a service—has flourished. Broad
publics are drawn in to contribute their labour, ideas, or funds in crowdsourcing initiatives.

E-C OMMERCE PAYMENT SYSTEM

E-commerce sites use electronic payment, where electronic payment refers to paperless monetary
transactions. Electronic payment has revolutionized the business processing by reducing the
paperwork, transaction costs, and labor cost. Being user friendly and less time-consuming than
manual processing, it helps business organization to expand its market reach/expansion. Listed
below are some of the modes of electronic payments −

• Credit Card

• Debit Card

27
 • Smart Card

• E-Money

• Electronic Fund Transfer (EFT)

Credit Card
Payment using credit card is one of most common mode of electronic payment. Credit card is
small plastic card with a unique number attached with an account. It has also a magnetic strip
embedded in it which is used to read credit card via card readers. When a customer purchases a
product via credit card, credit card issuer bank pays on behalf of the customer and customer has
a certain time period after which he/she can pay the credit card bill. It is usually credit card
monthly payment cycle. Following are the actors in the credit card system.

• The card holder − Customer

• The merchant − seller of product who can accept credit card payments.

• The card issuer bank − card holder's bank

• The acquirer bank − the merchant's bank

• The card brand − for example , visa or Mastercard.

Credit Card Payment Process

Step Description

Step 1 Bank issues and activates a credit card to the

customer on his/her request.

Step 2 The customer presents the credit card

information to the merchant site or to the

28
 merchant from whom he/she wants to
purchase a product/service.

Step 3 Merchant validates the customer's identity

by asking for approval from the card brand
company.

Step 4 Card brand company authenticates the

credit card and pays the transaction by
credit. Merchant keeps the sales slip.

Step 5 Merchant submits the sales slip to acquirer

banks and gets the service charges paid to
him/her.

Step 6 Acquirer bank requests the card brand

company to clear the credit amount and gets
the payment.

Step 6 Now the card brand company asks to clear

the amount from the issuer bank and the
amount gets transferred to the card brand
company.

Debit Card
Debit card, like credit card, is a small plastic card with a unique number mapped with the bank
account number. It is required to have a bank account before getting a debit card from the bank.
The major difference between a debit card and a credit card is that in case of payment through
debit card, the amount gets deducted from the card's bank account immediately and there should
be sufficient balance in the bank account for the transaction to get completed; whereas in case of
a credit card transaction, there is no such compulsion.

29
Debit cards free the customer to carry cash and cheques. Even merchants accept a debit card
readily. Having a restriction on the amount that can be withdrawn in a day using a debit card helps
the customer to keep a check on his/her spending.

Smart Card
Smart card is again similar to a credit card or a debit card in appearance, but it has a small
microprocessor chip embedded in it. It has the capacity to store a customer’s work-related and/or
personal information. Smart cards are also used to store money and the amount gets deducted
after every transaction.

Smart cards can only be accessed using a PIN that every customer is assigned with. Smart cards
are secure, as they store information in encrypted format and are less expensive/provides faster
processing. Mondex and Visa Cash cards are examples of smart cards.

E-Money
E-Money transactions refer to situation where payment is done over the network and the amount
gets transferred from one financial body to another financial body without any involvement of a
middleman. E-money transactions are faster, convenient, and saves a lot of time.

Online payments done via credit cards, debit cards, or smart cards are examples of emoney
transactions. Another popular example is e-cash. In case of e-cash, both customer and merchant
have to sign up with the bank or company issuing e-cash.

Electronic Fund Transfer

It is a very popular electronic payment method to transfer money from one bank account to
another bank account. Accounts can be in the same bank or different banks. Fund transfer can be
done using ATM (Automated Teller Machine) or using a computer.

Nowadays, internet-based EFT is getting popular. In this case, a customer uses the website
provided by the bank, logs in to the bank's website and registers another bank account. He/she
then places a request to transfer certain amount to that account. Customer's bank transfers the
amount to other account if it is in the same bank, otherwise the transfer request is forwarded to
an ACH (Automated Clearing House) to transfer the amount to other account and the amount is
deducted from the customer's account. Once the amount is transferred to other account, the
customer is notified of the fund transfer by the bank.

30
 CHAPTER IV

DATA ANALYSIS AND INTERPRETATION

 Table No.4.1

The table shows the gender of respondent.

Sl no Description Respondents Percentage

1 Female 40 40
2 Male 60 60
TOTAL 100 100
Sources: Primary data

Fig No.4.1

Classification on the basis of gender

Female Male

INTERPRETATION

60% of people are male using the online product and conducting the online shopping. Only 40%
are female using the online product.

31
 Table No.4.2

Table shows the job of the respondent.

Sl no Description Respondents Percentage

1 Farming 2 2
2 Govt Job 28 28
3 Student 45 45
4 Private Sector 20 20
5 Others 5 5
TOTAL 100 100
Sources: Primary data

Fig No.4.2

Classification on the basis of occupation

50

45

40

35

30

25

20

15

10

Farming Govt Job Student Private Sector Others

INTERPRETATION
45% of respondents are students, 20% are working in private sector, 5% are working in other
sector,28% are working in Govt sector and 1% are farmers.

32
 Table No.4.3
The table shows the monthly income of respondents.

Sl No Description Respondents Percentage

1 Below 5000 10 10
2 5000-10000 10 10
3 10000-15000 30 30
4 Above 15000 50 50
TOTAL 100 100
Sources: Primary data

Fig No.4.3

Classification on the basic of income

Chart
60 Title

50

40

30

20

10

0
Below 5000 5000-10000 10000-15000 Above 15000

INTERPRETATION

50% of respondent’s income is above 15000. 10% of respondent’s income is between

5000-10000. 30% of respondent’s income is between 10000-15000.

33
 Table No.4.4

Table shows the educational qualification of the respondents.

Sl no Description Respondents Percentage

1 SSLC 4 4
2 PLUS TWO 18 18
3 DEGREE 35 35
4 PG 43 43
Sources: Primary data

Fig No.4.4

Classification on the basis of educational qualification

SSLC PLUS TWO DEGREE PG

INTERPRETATION

43% of respondents have PG qualification. 18% have plus two qualification. 35% have
Degree qualification and 4% have SSLC qualification.

34
 Table No.4.5

Table shows the respondents who have internet access

Sl no Description Respondent Percentage

1 Yes 80 80
2 No 20 20
TOTAL 100 100
Sources: Primary data

Fig No.4.5

Classification on the basis of Internet access.

Yes No

INTERPRETATION

80% of respondents have internet access, 20% doesn’t have.

35
 Table No.4.6

The table shows the respondents who are members in social media.

Sl no Description Respondents Percentage

1 Yes 80 80
2 No 20 20
TOTAL 100 100
Sources: Primary data

Fig No.4.6

Classification on the basis of membership in social media

Yes No

INTERPRETATION

80% of people are members in social media and 20% doesn’t have.

36
 Table No.4.7

The table shows the use of social media for online shopping

Sl no Description Respondents Percentage

1 Yes 75 75
2 No 25 25
TOTAL 100 100
Source: primary data

Fig No.4.7

Classification on the basis of use of social media for online shopping.

Yes No

INTERPRETATION

75% of peoples are using social media for online shopping and 25% are not using.

37
 Table No.4.8

The table shows the kind of social media currently using.

Sl no Description Respondents Percentage

1 Facebook 45 45
2 Instagram 30 30
3 Twitter 20 20
4 LinkedIn 5 5
TOTAL 100 100
Source: primary data

Fig No.4.8

Kind of social media currently using.

45

40

35

30

25

20

15

10

Facebook Instagram Twitter LinkedI

n

INTERPRETATION

45% of respondents are currently using Facebook for online purchasing. 30% of
respondents are currently using Instagram. 20% of respondents are currently using Twitter and
only 10% are using LinkedIn.

38
 Table No.4.9

The table shows the duration of membership in social media.

Sl no Description Respondents Percentage

1 Below 1 year 20 20
2 2 – 3 years 30 30
3 3 – 4 years 10 10
4 Above 4 years 40 40
TOTAL 100 100
Source: primary data

Fig No.4.9

Duration of membership in social media.

40

35

30

25

20

15

10

0
Below 1yr 2-3 yr 3-4 yr Above 4yr

INTERPRETATION

20% of respondents are using social media for less than 1 yr. 30% are between 2-3
years, 10% are between 3-4 years and 40% are more than 4 years.

39
 Table No.4.10

The table shows the time spending for internet every day.

Sl no Description Respondents Percentage

1 Less than 1 hour 20 20
2 2 hours 40 40
3 3 hours 20 20
4 4 hours 20 20
TOTAL 100 100
Sources: primary data

Fig No.4.10

Time spending for internet every day.

45

40

35

30

25

20

15

10

Less than 1hr 2 hours 3 hours 4 hours

INTERPRETATION

Table shows that 20% are spending time less than 1 hour, 40% are spending 2 hours,
20% are spending 3 hours and the remaining 20% are spending 4 hours.

40
 Table No.4.11

The table shows the kind of products usually purchasing through social media.

Sl no Description Respondents Percentage

1 Cosmetics 35 35
2 Books 10 10
3 Clothes 40 40
4 Furnitures 5 5
5 Railway ticket 10 10
TOTAL 100 100
Sources: primary data

Fig No.4.11

Kind of products usually purchasing though social media.

45

40

35

30

25

20

15

10

Cosmetics Books Clothes Furnitures Railway

ticket

INTERPRETATION

The table shows that 35% are using social media for buying cosmetics,10% are using social
media for purchasing books,40% are using for purchasing clothes,5% for purchasing furnitures
and remaining 10% for purchasing railway ticket.

41
 Table No.4.12

The table shows how respondents get to know about social media for online shopping.

Sl no Description Respondents Percentage

1 Through Advertisement 50 50
2 Through friends 30 30
3 Others 20 20
TOTAL 100 100
Sources: primary data

Fig No.4.12

Respondents get to know about social media for online shopping.

Through Advertisement Through friends Others

INTERPRETATION

50% are knowing from social media about online showing, 30% are through friends
and 20% are from others.

42
 Table No.4.13

The table shows the amount spent for a single purchase.

Sl no Description Respondents Percentage

1 Less than 1000 60 60
2 1000-5000 20 20
3 Above 5000 20 20
TOTAL 100 100
Sources: primary data

Fig no.4.13

Amount spent for single purchase

60

50

40

30

20

10

0
Less than 1000 1000-5000 Above 5000

INTERPRETATION

60% are spending less than 1000rs for online purchasing. 20% are between 1000 –
5000. 20% are above 5000.

43
 Table No.4.14

The table shows the problem for conducting online purchase

through social media.

Sl no Description Respondents Percentage

1 Yes 60 60
2 No 40 40
TOTAL 100 100
Sources: primary data

Fig no.4.14

Problem for conducting online purchase through social media.

Yes No

INTERPRETATION

60% of respondents have problems in conducting online purchase through social media
and 40% doesn’t have.

44
 Table No.4.15

The table shows kind of problem faced.

Sl no Description Respondents Percentage

1 Delay in delivery 10 10
2 Cheap quality of products 40 40
3 Product damage 35 35
4 Non delivery 10 10
5 Others 5 5
TOTAL 100 100
Sources: primary data

Fig no.4.15

Kind of problem faced.

45

40

35

30

25

20

15

10

Delay in Cheap quality Product damage Non delivery Others

delivery of
products

INTERPRETATION

10% are facing problem of delay in delivery, 40% are facing cheap quality issue, 35% are
facing problem of product damage, 10% are facing non delivery and 5% are other issues.

45
 Table No.4.16

Table shows how they make payment for online shopping.

Sl no Description Respondents Percentage

1 Debit/Credit 35 35
2 Personal Cheque 15 15
3 Internet banking 10 10
4 Cash on delivery 40 40
TOTAL 100 100
Sources: primary data

Fig no.4.16

Payment for online shopping.

40

35

30

25

20

15

10

Debit card/credit card Personal Cheque Internet banking Cash on delivery

INTERPRETATION

35% are using Debit/Credit card for online shopping, 15% are using personal cheque, 10%
are using internet banking and 40% are using cash on delivery.

46
 Table No.4.17

Table shows the favorite online site.

Sl no Description Respondents Percentage

1 Flipkart 40 40
2 Amazon 45 45
3 eBay 5 5
4 Snapdeal 5 5
5 Others 5 5
TOTAL 100 100
Sources: primary data

Fig no.4.17

Classification on the basis of favorite online site.

50

45

40

35

30

25

20

15

10

Flipkart Amazon eBay Snapdeal Others

INTERPRETATION

40% are mostly using Flipkart, 45% are using Amazon, 5% of the respondents are using
eBay, Snapdeal and others.

47
 Table No.4.18

Table shows the kind of feature necessary for online shopping sites.

Sl no Description Respondents Percentage

1 Multiple payment gateway 25 25
2 Credibility 25 25
3 Design 50 50
TOTAL 100 100
Sources: primary data

Fig no.4.18

Classification on the basis feature necessary for online shopping sites.

50

45

40

35

30

25

20

15

10

0
Multiple payment Credibilit Design
gateway y

INTERPRETATION

25% think that multiple payment gateway feature is necessary for online shopping
sites, 25% thinks credibility and remaining 50% thinks Design is necessary.

48
 Table No.4.19

Table shows the opinion of respondents on suggesting online shopping

to their friends.

Sl no Description Respondents Percentage

1 Yes 55 55
2 No 45 45
TOTAL 100 100
Sources: primary data

Fig no.4.19

Classification on the basis of opinion of respondents on suggesting

online shopping to their friends.

Yes No

INTERPRETATION

55% will suggest their friends about online shopping, 45% will not.

49
 CHAPTER V
FINDINGS,SUGGESTIONS AND CONCLUSIONS
FINDINGS

1. In this study we found that social media has a great importance in our life and it influence to
buy product through online shop.

2. There is an inevitable scope or role for social media in purchasing through online.

3. In our study we could find that all most all the people says that online buying help to change
their lifestyle,because they can use new products.

4. According to our survey we could find that almost all people like online purchase and they
purchase the products through different social medias.

• To study the social media involvement in online buying.

The social media involvement in online buying is very much in this scenario.Everybody
has membership in social medias like Facebook
Orkut,Twitter,LinkedIn,MySpace,Google+ etc.
• To study the role of social media in online buying.
The social medias play a key role in online buying.75% of people are conducting online
shopping with the help of social medias.They got online shopping sites through
sharing,linking,or advertisement in the social medias.
• To study the recent trends in online buying.
More than half (62%)of US consumers with internet access now shop online at least
once a month,and just 1% say they never shop online,according to a recent report by
Walker Sands.The most common types of products are bought online in the last year
include electronics(69%),books(67%),clothing(63%),household goods(38%),and office
supplies(30%).
• To study whether the people use social media to solve the problem related to online
buying.
40% of people were facing problems in online shopping.The problem such as taking
more time in delivery,and also some quality problems,product based and services based
problems.But out of this only 10% of people are expressing it or use social media to solve
the problems related to online buying.Other people were not revealing their problems in
front of the public.

50
 Implications
• As per the survey, various products like electronics,clothing,books,cosmetics etc
through internet are even not aware to people ,so we hope more people uses such facilities
if they are made familiar to them and this can be made possible through various awareness
programs.
• Less than 45% of people think that various modern facilities are believable.This
shows people are suspicious about the modern facilities like online shopping,online
shopping through social media
• 90% of the people have social media accounts for above 3 years and 45% of them
using social media to conduct online buying.

51
 SUGGESTIONS

1. Most of the people can’t understand some links.So, the companies should give more
information about products since people are highly influenced by links.

2. Clarity of products is needed.

3. Mind catching advertisements are needed.

4. Social media should take more efforts in online purchasing strategies and also try to make it
more effective.

5. social media must provide new and variety techniques of online purchasing.

6.Social media does not use misleading information about online shopping.

52
CONCLUSION

As per the study,we would like to conclude that the people who are in ages between 18 to
30 are aware and interested in online shopping through social media.The middle aged people are
not comparatively interested in online shopping.Mostly the students and youngsters are interested
in online shopping.99% of people have high accessibility with the internet but they are not more
aware about the advantages and disadvantages of online shopping .In short we conclude that in
this competitive and busy world people should aware about the various facilities.

53
 BIBLIOGRAPHY

BOOKS

• Ghania Bilal M.A Book Name:Role of sicial medua and social networks in cinsumer
decision making.Year (2014) place of publication agency:international journal of multi
disciplinary science and engineering.
• Stephen Guo M,W Book Name:Role of social network in online shopping.
• Taylor H(n,d) social media and social changes conclusion and remuneration.

WEBSITE

• www.roleofsocialmediainonlinebuying.com
• www.amazon.in


 ANNEXURE

QUESTIONNAIRE

I AM RESHMA A ,A FINAL YEAR M COM STUDENT OF NEHRU ARTS AND SCIENCE

COLLEGE CONDUCTING A SURVEY ON”ROLE OF SOCIAL MEDIA IN ONLINE
SHOPPING”.AS PART OF MY PROJECT WORK ;I WOULD BE GRATEFUL IF YOU
COULD KINDLY FILL UP THIS QUESTIONNAIRE.THE INFORMATION FURNISHED
WILL REMAIN CONFIDENTIAL.

1. NAME:

2. GENDER: MALE FEMALE

3. MONTHLY INCOME: BELOW 5000 5000-10000 10000-15000 ABOVE

15000

4. EDUCATIONAL QUALIFICATION: SSLC PLUSTWO DEGREE PG

5. DO YOU HAVE INTERNET ACCESS?

YES NO

6. ARE YOU A MEMBER IN SOCIAL MEDIA?

YES NO

7. DO YOU USE SOCIAL MEDIA FOR ONLINE SHOPPING?

YES NO

8. WHAT KIND OF SOCIAL MEDIA ARE YOU CURRENTLY USING?

FACEBOOK INSTAGRAM TWITTER LINKEDIN

9. HOW LONG YOU A MEMBER IN SOCIAL MEDIA?

LESS THAN ONE YEAR 2-3 YEARS 3-4 YEARS MORE THAN 4
YEARS

10. HOW OFTEN DO YOU USE INTERNET EVERY DAY?

LESS THAN 1 HOUR 2 HOURS 3 HOURS 4 HOURS

11. WHAT KIND OF PRODUCTS DO YOU PURCHASE THROUGH ONLINE?

COSMETICS BOOKS CLOTHES FURNITURE

AIRPLANE/RAILWAY TICKET

12. HOW DO YOU GET TO KNOW ABOUT SOCIAL MEDIA FOR ONLINE SHOPPING?

THROUGH ADVERTISEMENT THROUGH FRIENDS OTHERS

13. SELECT AN APPROPRIATE AMOUNT YOU WOULD SPEND A SINGLE PURCHASE?

LESS THAN 1000 1000-3000 3000-5000 5000-10000

14. DO YOU FACE ANY PROBLEM WHILE CONDUCTING ONLINE PURCHASE

THROUGH SOCIAL MEDIA?

YES NO

15. IF YES WHAT KIND OF PROBLEM ARE YOU FACING?

DELAY IN DELIVERY CHEAP QUALITY OF PRODUCTS PRODUCT

DAMAGE NON-DELIVERY OTHERS

16. HOW DO YOU MAKE PAYMENT FOR ONLINE SHOPPING?

DEBIT CARS/CREDIT CARD PERSONAL CHEQUE INTERNET BANKING

CASH ON DELIVERY

17. WHICH IS YOUR FAVORITE ONLINE SITES?

FLIPKART E-BAY AMAZONE SNAP DEAL OTHERS

18. WHICH KIND OF FEATURE DO YOU THINK NECESSARY FOR ONLINE SHOPPING
SITES?

MULTIPLE PAYMENT GATEWAY CREDIBILITY DESIGN

19. WOULD YOU LIKE TO SUGGEST TO YOUR FRIEND ABOUT ONLINE SHOPPING?

YES NO