CHAPTER VII

IMPACT OF PERCEIVED SERVICE QUALITY OF OMNI-CHANNEL

E-TAILERS FULFILMENT AN ANALYSIS

7.1 INTRODUCTION

This chapter deals with the analysis and interpretation of the impact of perceived
service quality of Omni-channel e- fulfilment. The data were collected from700
respondents of IT Professionals in Chennai. The responses of the respondents obtained
through the structured questionnaire have been compiled and analyzed using the following
statistical tools in tune with the objectives of the study

1. Correlation analysis
2. Exploratory Factor Analysis (EFA)
3. Confirmatory Factor Analysis (CFA)
4. Structural Equation Modeling (SEM)
5. Multiple Regression Analysis
Interpretation has been made on the basis of the above-mentioned analyses.

7.2 FACTOR ANALYSIS

Factor analysis is one of the most often used multivariate techniques of research
studies. It is a technique applicable when there is a systematic interdependence among the set
of observed or manifest variables and it would be interesting to find out something more
fundamental or latent, which creates this communality. It seeks to resolve a large set of
measured variables in terms of relatively low categories known as factors. Factor analysis and
reliability tests are applied to ascertain the important factors and to test the reliability of the
data.

Factor analysis is a collection of methods used to examine, how underlying constructs

influence the responses on a number of measured variables. There are basically two types of
factor analysis: Exploratory Factor Analysis (EFA) and Confirmatory Factor Analysis (CFA).
EFA attempts to discover the nature of the constructs influencing a set of responses. CFA
tests, whether a specified set of constructs is influencing responses in the predicted way.
SPSS 23.0 is used to measure the capability to perform exploratory factor analysis. CFAs
require a program with the ability to perform Structural Equation Modeling (SEM). For this
purpose, AMOS 23.0 is used to examine.

132
7.3 ANALYSIS OF PERCEIVED SERVICE QUALITY OF OMNI-CHANNEL
E-

This study explores the important factors that are determining the perceived service
quality of Omni-channel e- fulfilment in Chennai, as depicted in Table 7.1.

Table 7.1

VARIABLE SPECIFICATION FOR ANALYZING PERCEIVED SERVICE

QUALITY OF OMNI-CHANNEL E-

Label Statements

FM1 The Omni-channel transactions are secured enough to trust them

The Omni-channel e-tailer had provided alternatives/choices when the desired

FM2
product was not available (out of stock)
Omni-channel e-tailers delivered product at the correct address and secured
FM3
delivery strategy is also followed.
The Omni-channel e-tailer had provided a good quality of products after
FM4
completing the order.
The products are delivered directly at home in Omni-channel shopping and that
FM5
is an advantage for me.
I am satisfied with my overall experiences of Omni-channel Shipment of
FM6
product.

FM7 All the products I requested were in good condition upon delivery

FM8 Omni-channel e-tailers provide delivery agent details with tracking facility.

Omni-channel e-tailers provide better after-sales service for the products

FM9
provided by them.
I am satisfied with the overall checkout experience from the Omni-channel e-
FM10 tailers (e.g. product search, tracking, payment agent, pay seal, a confirmation
message, e-mail and so on. )
The Omni-channel e-
FM11
completing an order

Communication and interaction with the Omni-channel customer care was

FM12
clear and understandable

133
 Omni-channel e-tailers effectively communicate about order details and
FM13
shipment through e-mail/mobile.
Omni-channel e-tailers provide information about the return policy and refund
FM14
the amount through e-mail/mobile.

The Omni-channel e-tailer accurately fulfiled my order with one and only one
FM15
delivery attempt.

FM16 On-time delivery is a great plus for Omni-channel fulfilment.

Order tracking facility is very useful to track the order and also help to
FM17
determine the product delivery status.

I am satisfied with the post-purchase experience from The Omni-channel e-

FM18 tailer (e.g. customer support, sales support, handling of returns/refunds,
delivery care).

Table 7.2

Correlation Matrix

FM1 FM2 FM3 FM4 FM5 FM6 FM7 FM8 FM9

FM1 1
FM2 -.056 1
FM3 .003 .036 1
FM4 -.050 .004 -.068 1
FM5 -.025 -.022 .045 .022 1
FM6 -.036 .088* .001 -.008 .048 1
FM7 .948** -.054 .009 -.069 .008 -.023 1**
FM8 -.067 .927** .007 .012 -.019 .112** -.065 1**
FM9 -.009 .080* -.009 .017 .036 .931** -.003 .112* 1
FM10 -.061 .866** .004 .032 -.004 .135** -.064 .942** .136
FM11 -.044 .832** .012 .002 .005 .086* -.048 .783** .079
FM12 .080 .044 .047 -.024 -.045 .013 .087 .015 .034
FM13 .017 .120 .050 -.034 -.027 .001* .028 .085 -.002
FM14 .058 .074 .047 -.049 -.072 .010 .065 .045 .006
FM15 -.016 -.019 .071 .024 .910 .026 .017 -.019 .022
FM16 -.026 -.018 .070 .015 .958 .039 .005 -.018 .035
FM17 -.064 .842* -.001 .013 -.001 .087 -.074 .784* .067
FM18 -.019** -.015 .068 .022 .960 .042 .012** -.015 .034

134
 Table 7.2

Correlation Matrix ( )

FM10 FM11 FM12 FM13 FM14 FM15 FM16 FM17 FM18

FM10 1
FM11 .729 1
FM12 -.005 .100 1
FM13 .081 .143 .846* 1
FM14 .019 .130 .912 .826 1
FM15 -.002 -.003 -.027 -.031 -.062 1
FM16 .000 .038 -.039 -.022 -.059 .938 1
*
FM17 .730 .770 .108 .162 .123 .005 -.006 1
**
FM18 .003 .032 -.043 -.023 -.063 .944 .994 -.008 1

Table 7.3

KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .766

Approx. Chi-Square 16366.54

Bartlett's Test of Sphericity df 153

Sig. .000

Table 7.4

RELIABILITY STATISTICS

Case Processing Summary Reliability Statistics

N % No. of Items

Valid 700 100.0

Cases Excluded 0 .0 .833 18

Total 700 100.0

a. Listwise deletion based on all variables in the procedure

135
 Table 7.5

COMMUNALITIES

Initial Extraction Initial Extraction

FM1 1.000 .973 FM10 1.000 .860

FM2 1.000 .936 FM11 1.000 .789

FM3 1.000 .536 FM12 1.000 .936

FM4 1.000 .545 FM13 1.000 .873

FM5 1.000 .950 FM14 1.000 .920

FM6 1.000 .965 FM15 1.000 .933

FM7 1.000 .973 FM16 1.000 .982

FM8 1.000 .925 FM17 1.000 .795

FM9 1.000 .966 FM18 1.000 .986

7.4 EXTRACTION METHOD: PRINCIPAL COMPONENT ANALYSIS

Exploratory Factor Analysis has been undertaken on the responses of 700 IT

employees, regarding 18 statements, using SPSS 23.0 version, to examine the underlying
dimensionality of the statements and to obtain the necessary factors. Principal Component
Analysis (PCA) with orthogonal rotations and varimax procedure has been applied to 18
items for extracting the factors. Factors with Eigen values greater than unity have been
selected. The results of factor analysis have been shown in Table 7.6.

136
 Table 7.6

TOTAL VARIANCE EXPLAINED

Extraction Sums of Rotation Sums of Squared

Initial Eigenvalues
Squared Loadings Loadings
Compo
% of Cumul % of
nent % of Cumula Cumulat
Total Total Varian ative Total Varian
Variance tive % ive %
ce % ce
1 4.404 24.468 24.468 4.404 24.468 24.468 4.296 23.866 23.866
2 3.882 21.565 46.033 3.882 21.565 46.033 3.860 21.444 45.310
3 2.704 15.022 61.055 2.704 15.022 61.055 2.734 15.186 60.496
4 1.908 10.602 71.656 1.908 10.602 71.656 1.951 10.839 71.335
5 1.887 10.485 82.141 1.887 10.485 82.141 1.932 10.734 82.070
6 1.058 5.880 88.021 1.058 5.880 88.021 1.071 5.951 88.021
7 .925 5.137 93.158
8 .336 1.864 95.023
9 .238 1.321 96.343
10 .184 1.021 97.365
11 .098 .544 97.908
12 .093 .518 98.426
13 .083 .462 98.889
14 .062 .346 99.235
15 .050 .280 99.515
16 .042 .234 99.748
17 .040 .220 99.969
18 .006 .031 100.000

137
 Table 7.7

Rotated Component Matrix

Component

1 2 3 4 5 6

FM1 -.040 -.019 .030 .985 -.013 .013

FM2 .966 -.017 .030 -.017 .018 .025

FM3 .013 .071 .039 -.034 -.008 .727

FM4 .015 .043 -.011 -.067 -.004 -.733

FM5 -.007 .974 -.026 -.005 .022 -.002

FM6 .071 .026 .002 -.020 .979 .011

FM7 -.043 .014 .039 .984 -.003 .030

FM8 .960 -.018 -.007 -.025 .052 -.001

FM9 .064 .019 .007 .005 .981 -.017

FM10 .923 -.001 -.024 -.023 .080 -.019

FM11 .883 .023 .090 -.010 .019 .007

FM12 .017 -.020 .965 .053 .020 .013

FM13 .093 -.006 .929 -.010 -.012 .026

FM14 .046 -.047 .956 .032 .002 .034

FM15 -.005 .965 -.018 .004 .003 .014

FM16 .001 .991 -.018 -.007 .015 .020

FM17 .885 .001 .098 -.037 .012 -.013

FM18 .002 .993 -.021 .000 .016 .014

Extraction Method: Principal Component Analysis. Rotation Method: Varimax with Kaiser
Normalization. a. Rotation converged in 4 iterations

138
 Table 7.8

Rotated Component Matrix

Component Eigen
Variance
1 2 3 4 5 6 value Alpha

FM2 .966

FM8 .960

FM10 .923 4.404 24.468 0.957

FM11 .883

FM17 .885

FM5 .974

FM15 .965
3.882 21.565 0.987
FM16 .991

FM18 .993

FM12 .965

FM13 .929 2.704 15.022 0.949

FM14 .956

FM1 .985
1.908 10.602 0.972
FM7 .984

FM6 .979
1.887 10.485 0.964
FM9 .981

FM3 .727 1.058 5.880 0.964

Extraction Method: Principal Component Analysis. Rotation Method: Varimax with

Kaiser Normalization. a. Rotation converged in 4 iterations

In factor analysis, the analytical process is based on a matrix of correlation among the
variables. Valuable insights can be gained from an examination of this matrix. If the factors
analysis is to be proper, the variables must be correlated. If the correlation among all the

139
variables is very low and negligible, the factor analysis may not be appropriate. In the present
study, Inter Correlation Matrix shown in Table 7.2 reveals that the correlation among most of the
variables is in good fit and hence the factor analysis is very appropriate for analyzing the
perceived fulfilment service quality of Omni-channel e-tailers in Chennai. The result of the
fitness test regarding factor analysis, based on Inter Correlation Matrix has been presented in
Table 7.2. The KMO (Kaiser-Meyer-Olkin) measure of sampling adequacy has been computed
to determine the suitability of using factor analysis. The values between 0.5 and 1.0 indicate that
factor analysis is suitable or appropriate. The KMO test presented in Table 7.3 indicates that the
calculated value of KMO is 0.766, which shows that the sample is adequate to conduct
Exploratory Fa a significant number of
correlations among the statements. Thus, all the parameters discussed above, support the
application of factor analysis on the data. The scale has also been tested for reliability and the
Table 7.4. Communalities
examined to determine the suitability of data for analysis, (Hair et al., 2010) suggested that
variables with loadings greater than 0.45 are practically significant and support acceptable levels
of explanation. Hence, the criteria of 0.45 have been considered for selecting the variables.
Communalities of 18 statements shown in Table 7.5, explain the communalities of all the 18
variables and measure that the amount of variance as a variable, shares with all the other

A large communality means a large amount of the variance, a variable has extracted by the factor
solution. It shows that variables with a comparatively higher value are well-represented in the
common factor space, while the low-value variables are not. Thus, Table 7.5 indicates that the
extracted communalities are high and acceptable for all the variables. It can be seen that the
Exploratory Factor Analysis revealed three underlying dimensions for perceived fulfilment
service quality of Omni-channel e-tailer. These three factors explain 24.468% of total variance.
On the basis of the rotated component matrix, the statements are categorized under respective
factors as shown in Table 7.6. Eigen values for Factor1, Factor2, and Factor3 are 4.404, 3.882
and 2.704 respectively.

140
7.5 NAMING OF THE FACTORS

The naming of the factors has been done on the basis of variables represented in each
case. The explanation of the extracted factors is given below:

Factor 1: ACCESSIBILITY

The first identified dimension of fulfilment

Labels are: FM2 (Provided alternatives/choices when the desired product was not available (out
of stock), FM8 (Omni-channel e-tailers provide delivery agent details with tracking facility.),
FM10 (Overall checkout experience from the Omni-channel e-tailers (e.g. product search,
tracking, payment agent, pay seal, confirmation message, e-mail and so on), FM11 (Website had
a logical sequence of steps for completing an order) and FM17 (Order tracking facility is very
useful to track the order and also help to determine the product delivery status).This dimension
explains 24.468% of total variance with five items.

Factor 2: POST-SALE SERVICES

- The products are

delivered directly at home in Omni-channel shopping and that is an advantage for me), FM15
(Accurately fulfiled my order with one and only one delivery attempt), FM16 (On-time delivery
is a great plus for Omni-channel fulfilment) and FM18 (The post-purchased experience from The
Omni-channel e-tailer (e.g. customer support, sales support, handling of returns/refunds, delivery
care). This dimension explains 21.565% of total variance with four items.

Factor 3: COMMUNICATION QUALITY

This dimension capture

are FM12 (Communication and interaction with the Omni-channel customer care were clear and
understandable), FM13 (Omni-channel e-tailers effectively communicate about order details and
shipment through e-mail/mobile) and FM14 (Omni-channel e-tailers are providing information
about the return policy and refund the amount through e-mail/mobile). This dimension explains
15.022% of total variance with three items.

141
7.6 PERCEIVED SERVICE QUALITY OF OMNI-CHANNEL E-
FULFILMENT SERVICES CONFIRMATORY FACTOR ANALYSIS APPROACH

Confirmatory Factor Analysis (CFA) is used to study the relationships between a set of
observed variables and a set of continuous latent variables. When the observed variables are
categorical, CFA is also referred to as Item Response Theory (IRT) analysis. It provides a more
explicit framework for confirming prior notions about the structure of the domain of contents. It
adds the ability to test constraints on the parameters of the factor model to the methodology of
EFA. With CFA, it is possible to place substantively meaningful constraints on the factor model.
CFA allows testing hypotheses about a particular factor structure. Factor loading between the
first factor and the first observed variable is zero. Unlike EFA, CFA produces many goodness-
of-fit measures to evaluate the model, but it does not calculate factor scores. CFA requires
special purpose software packages like AMOS 23.0. The new 19 variables have been analyzed
with AMOS 23.0 software package, in order to analyze perceived service quality of Omni-
channel e-tailers fulfillment towards Omni-channel e-tailing in Chennai.

7.6.1 ASSESSMENT OF MEASUREMENT MODEL

Measurement model analysis has been carried out to test the validity and reliability of the
constructs, which build the conceptual model. For this purpose, Confirmatory Factor Analysis
(CFA) has been run using a maximum likelihood estimation technique on AMOS 23.0 software.
The validity of hypothesized model has been assessed in two stages. First of all Goodness-of-fit
(GOF) indices have been examined. After that, construct validity and reliability of the
measurement model have been evaluated. Goodness-of-fit determines the degree to which the
hypothesized model fits the sample data. Multiple fit indices have been used to assess goodness
of fit: Goodness-of-fit (GFI), Adjusted Goodness-of-fit (AGFI), Comparative Fit Index (CFI),
Tucker- -Bonnet Normed Fit
Index (NFI), Parsimonious Normed Fit Index (PNFI), Parsimony Comparative Fit Index (PCFI)
and Incremental Fit Index (IFI). Convergent validity and discriminant validity of the construct
has been tested to examine construct validity.

142
 Table 7.9

NEW FACTORS AND VARIABLES FOR CFA

S.NO KEY VARIABLES FOR CFA FACTOR

Provided alternatives/choices when the desired product

1 FM2
was not available (out of stock)
Omni-channel e-tailers provide delivery agent details
2 FM8
with tracking facility.
Overall checkout experience from the Omni-channel e-
3 FM10 tailers (e.g. product search, tracking, payment agent,
pay seal, a confirmation message, e-mail and so on)
The website had a logical sequence of steps for
4 FM11
completing an order
Order tracking facility is very useful to track the order
5 FM17
and also help to determine the product delivery status
The products are delivered directly at home in Omni-
9 FM5
channel shopping and that is an advantage for me
Accurately fulfiled my order with one and only one
10 FM15
delivery attempt
On-time delivery is a great plus for Omni-channel
11 FM16
fulfilment

The post-purchase experience from The Omni-channel

12 FM18 e-tailer (e.g. customer support, sales support, handling
of returns/refunds, delivery care)

Communication and interaction with the Omni-channel

14 FM12
customer care was clear and understandable

Omni-channel e-tailers effectively communicate about

15 FM13
order details and shipment through e-mail/mobile

Omni-channel e-tailers are providing information

16 FM14 about the return policy and refund the amount through
e-mail/mobile

143
 Figure 7.1

STANDARDIZED FACTOR LOADINGS FOR MEASUREMENT MODEL

(PERCEIVED SERVICE QUALITY OF OMNI-CHANNEL E-

SERVICES)

(FAC1 Accessibility, FAC2- Post-sale services and FAC3 Communication quality)

144
7.7 TESTING OF HYPOTHESES- STANDARDIZED ESTIMATES

The following Table represents the results of the testing of the hypotheses for measuring
the Fulfilment services offered by Omni-channel e-tailing in Chennai.

Table 7.10

MEASURING THE PERCEIVED SERVICE QUALITY OF FULFILMENT OFFERED

BY THE OMNI-CHANNEL E-TAILERS

TESTING OF HYPOTHESES - STANDARDIZED ESTIMATES

Hypothetical
Hypotheses Results
Relationship
H1: There is a positive impact of Provided
alternatives/choices when the product out of stock and
FM2 Positive Supported
the fulfilment services offered by the Omni-channel e-
tailing in Chennai.
H2: There is a positive impact of provides delivery
agent details with tracking facility and the fulfilment
FM8 Positive Supported
services offered by the Omni-channel e-tailing in
Chennai.
H3: There is a positive impact of Overall checkout
experience from the Omni-channel e-tailers and the
FM10 Positive Supported
fulfilment services offered by the Omni-channel e-
tailing in Chennai.
H4: There is a positive impact of logical sequence of
steps for completing an order and the fulfilment
FM11 Positive Supported
services offered by the Omni-channel e-tailing in
Chennai.
H5: There is a positive impact of order tracking
facility and the fulfilment services offered by the FM17 Positive Supported
Omni-channel e-tailing in Chennai.
H6: There is a positive impact of products are
delivered directly at home and the fulfilment services FM5 Positive Supported
offered by the Omni-channel e-tailing in Chennai.
H7: There is a positive impact of fulfilment accuracy,
one delivery attempt and the fulfilment services FM15 Positive Supported
offered by the Omni-channel e-tailing in Chennai.
H8: There is a positive impact of On-time delivery and
the fulfilment services offered by the Omni-channel e- FM16 Positive Supported
tailing in Chennai.
H9: There is a positive impact of good post-purchase FM18 Positive Supported

145
experience and the fulfilment services offered by the
Omni-channel e-tailing in Chennai.
H10: There is a positive impact of good interaction
with customer care and the fulfilment services offered FM12 Positive Supported
by the Omni-channel e-tailing in Chennai.
H11: There is a positive impact of shipment details
sent to mobile/E-mail and the fulfilment services FM13 Positive Supported
offered by the Omni-channel e-tailing in Chennai.
H12: There is a positive impact of information about
return policy/refund sent to e-mail/mobile and the
FM14 Positive Supported
fulfilment services offered by the Omni-channel e-
tailing in Chennai.

Table 7.11

REGRESSION WEIGHTS

LISREL MAXIMUM LIKELIHOOD ESTIMATES

Measured Latent
Estimate S.E. R2 C.R. P
variable variable
FM17 <--- FAC1 .865 .033 0.82 26.225 ***
FM11 <--- FAC1 .865 .033 0.81 26.080 ***
FM10 <--- FAC1 .966 .029 0.94 33.384 ***
FM8 <--- FAC1 .989 .028 0.98 36.119 ***
FM2 <--- FAC1 .918 .027 0.95 33.496 ***
FM18 <--- FAC2 .991 .027 0.98 37.100 ***
FM16 <--- FAC2 .987 .028 0.99 36.818 ***
FM15 <--- FAC2 .979 .029 0.95 33.570 ***
FM5 <--- FAC2 .958 .028 0.96 34.662 ***
FM14 <--- FAC3 .964 .029 0.94 33.090 ***
FM13 <--- FAC3 .817 .028 0.88 29.174 ***
FM12 <--- FAC3 .969 .028 0.97 34.471 ***
*** Significant at 1% level

146
 Table 7.12

PERCEIVED SERVICE QUALITY OF FULFILMENT OFFERED BY THE OMNI-

CHANNEL E-TAILERS

(STANDARDIZED FACTOR LOADINGS)

Standardized Factor Loadings

Labels

FM2 .918

FM8 .989

FM10 .966

FM11 .865

FM17 .865

FM5 .958

FM15 .979

FM16 .987

FM18 .991

FM12 .969

FM13 .817

FM14 .964

AVE 0.815 0.951 0.864

CR 0.956 0.987 0.950

147
 Table 7.13

TESTING OF CONVERGENT VALIDITY

Acceptable Calculated
Factors value value
CR AVE CR AVE
Accessibility 0.956 0.815 CR > AVE
Post-sale services > 0.7 > 0.5 0.987 0.951
Communication quality 0.950 0.864

Table 7.14

TESTING OF DISCRIMINANT VALIDITY

Calculated value Acceptable value

Factors
AVE MSV ASV
Accessibility 0.815 0.002 0.001
Post-sale services 0.951 0.002 0.001
Communication quality 0.864 0.002 0.002

Table 7.15

MODEL FIT INDICES

S.No Model Fit Indices Calculated Value Criteria

1 Comparative Fit Index (CFI) .966 0-1
2 Normed Fit Index (NFI) .962 0-1
3 Tucker Lewis Index (TLI) .954 0-1
4 Parsimonious Normed Fit Index (PNFI) .729 0-1
5 Parsimony Comparative Fit Index (PCFI) .731 0-1
6 Relative Fit Index (RFI) .950 0-1
7 Incremental Fit Index (IFI) .966 0-1
8 Adjusted Goodness of Fit Index (AGFI) .811 0-1
9 Goodness of Fit Index (GFI) .879 0-1

148
 From the above analysis, all the measured variables with the latent variable of successful
operation are disclosed, for analyzing the fulfilment services offered by the Omni-channel e-
tailing in Chennai and also they have a positive relationship with the significance at 1 percent
and 5 percent level. The analysis of the model suggests that all the measured variables have a
high impact on the fulfilment services offered by Omni-channel e-tailing in Chennai. Table 7.11
shows the regression coefficient of the exogenous variables. It is concluded that all the measured
variables are significant at 1 percent level. Hence, it is concluded that all the new variables have
a high impact on the fulfilment services offered by the Omni-channel e-tailers in Chennai. In
order to establish convergent validity of the construct, standardized factor loadings have been
reviewed, According to (Hair et al., 2010), for establishing convergent validity, standardized
loadings should be 0.50 or higher, average variance extracted (AVE) should be 0.50 or greater
and composite reliability (CR) should be 0.70 or more. All of them are found to be greater than
0.50. All the factor item loadings ranged from 0.817 to 0.9913 (Table 7.12). Thus, all are above
the minimum limit of 0.50. Average variance explained for three dimensions (Accessibility,
Post-sale services and Communication quality) are 0.815, 0.951 and 0.864 respectively. Thus, all
AVEs for each dimension of fulfilment services exceed the variance attributable to measurement
error (i.e., AVE>0.50). Thus, Convergent validity of three-dimensional fulfilment service scales
has been tested and established. It is the extent to which, a construct is truly uni-dimensional and
is distinct from other constructs. In other words, if the inter-correlations among the set of
indicators, which are supposed to measure the different latent constructs, are not too high. They
exhibit discriminant validity. The discriminant validity of the constructs has been computed and
depicted in Table 7.14.

From the above Table, it is shown that the entire test has a range of 0 to1. The
Comparative Fit Index (CFI) scores 0.966, Normed Fit Index (NFI) scores 0.962, Tucker-Lewis
Index (TLI) scores 0.954, Parsimonious Normed Fit Index (PNFI) scores 0.729, Parsimony
Comparative Fit Index (PCFI) scores 0.731, Relative Fit Index (RFI) scores 0.950, Incremental
Fit Index (IFI) scores 0.966, Adjusted Goodness of Fit Index (AGFI) scores 0.811 and Goodness
of Fit Index (GFI) scores 0.879. This shows that the new model is fit for further research and
indices to indicate a close fit of the model.

149
7.8 MULTIPLE REGRESSION ANALYSIS

In order to estimate the degree and the extent of the interrelationship between dependent
variables and the number of independent variables, multiple regression techniques are generally
used. To measure the impact of perceived service quality of Omni-channel e- fulfilment in
Chennai, the regression technique has been applied to compute R2 from the following model.

0 1X1 + 2 X2 n Xn + µ

Where X means independent variables

Y represents Dependent variables

Regression Co-efficient value

µ means Error term

The regression co-efficient and overall variations are tested respectively by computing t
value and F ratios. The goodness of fit of the estimated equation is worked out with the help of
R-squared and R-adjusted square values.

The following variables have been selected for regression analysis.

Fulfilment services (Y1) = Dependent variable

The independent variables chosen for the analysis are:

X1 = Accessibility

X2 = Post-sale services

X3 = Communication quality

150
7.9 MULTIPLE REGRESSION ANALYSIS PERCEIVED SERVICE QUALITY OF
OMNI-CHANNEL E-

H0 : -sale services and Communication quality are not useful predictors

of perceived service quality of Omni-channel e- fulfilment on Omni-channel e-tailing).

H1 : -sale services and Communication quality are useful predictors of

perceived service quality of Omni-channel e- fulfilment on Omni-channel e-tailing).

Significance level

The multiple regression model summary is presented in Table 7.16

Table 7.16
MODEL SUMMARY

Multiple Adjusted R Std. Error of the

R Square
R Square Estimate
.952a .906 .906 2.36155

Table 7.17
ANOVA

Model Sum of Squares df Mean Square F Sig.

Regression 37488.964 3 12496.321 2240.730 .000b
Residual 3881.520 696 5.577
Total 41370.484 699

Table 7.18

REGRESSION CO-EFFICIENT

Unstandardized Standardized
Model Coefficients Coefficients t Sig.
B Std. Error Beta
(Y1) 62.187 .089 696.712 .000
(X1) 5.307 .089 .690 59.410 .000
(X2) 4.151 .089 .540 46.476 .000
(X3) 2.870 .089 .373 32.135 .000
Source: Compiled from Collected data

151
 Table R= 0.952
indicates a high degree of R2 = 0.906 , how much of the total
variation in the dependent variable can be explained by the independent variables. In this case,
90.6% can be explained, which means that the multiple regression explains high variance in the
data. Table 7.17 presents the ANOVA results, which show, how well the regression equation fits
the data (i.e., predicts the dependent variable). Table 7.17 clearly indicates that the regression
model predicts the dependent variable significantly well (p<0.05). Table 7.18 shows the multiple
regression coefficients including the intercept and the significance levels. Table 7.18 states that
Beta expresses the relative importance of each independent variable in standardized terms. The
regression co-efficient Table provides the intercept and the slope for the following regression
equation.

Regression fitted:

Y = 86.684 + 7.613 X1 + 4.843 X2 +3.202 X3 +3.176 X4

The analysis of variance of multiple regression models for Omni-channel fulfilment services
indicates that the overall significance of the model is well fitted. The co-efficient of
determination R2 value shows that these variables put together, explain the variations of
fulfilment services to the extent 95.6 %.

It is concluded that the p-value 0.000 is less than the 0.05, so the null hypothesis has been
. There exists enough evidence to conclude that the
fulfilment service quality regression line is not zero. Hence, Accessibility, Post-sale services and
Communication quality are useful as predictors of perceived services quality of Omni-channel e-
fulfilment on Omni-channel e-tailing.

7.10 SUMMARY

In this chapter the dynamics of Omni-channel e-tailers in Chennai, perceived service

quality of Omni-channel e- fulfilment was analyzed and the hypothesis was tested. There
were 18 factors listed in this research, which have been subsequently validated using factor
analysis by principle -sale servic
, it is evident that the three predominant
factors of Perceived service quality of Omni-channel e- fulfilment -
uence and impact on the Omni-
channel e-tailing.

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