Professional Documents
Culture Documents
By: Dimpy Sachar, Richa Arora, Anjani Gupta, Prashant Singh and Dhyanendra Jain
ABSTRACT
Today, people are living in the digital environment. Earlier, internet was used as the source for
information sharing, but now life is somewhat impossible without it. Everything is linked with
the World Wide Web, whether it is business, social interaction or shopping. Moreover, the
changed lifestyle of individuals has changed their way of doing things from traditional to the
digital way in which shopping is also being shifted to online shopping. With the increasing use of
internet, numbers of online users are also increasing rapidly. The primary research objective of
this study is to identify the satisfaction level of customers shopping online. Due to the web
presence of various online retailers they are facing the problem of customer retention. This
research study helps them in analyzing the variables influences the satisfaction level of
customers. By Focusing on these variables online retailers can formulate various marketing
strategies to retain their customers by building trust amongst them. For this study data have been
collected from the existing online buyers, they were asked to participate in this survey. The
survey included questions about the customer’s most recent experience with online shopping
websites. A well designed Questionnaire is distributed as an instrument for data collection
covering all the parameters required to analyze the perception of consumers towards online retail
marketers. The results will intensify the researcher’s understanding on variance in the factors
influencing the online purchase intentions of both the experienced and inexperienced online
purchasers. The study depicted that the factors Quality of the product, Offers and Discounts,
Delivery Guaranteed and Application Safety have direct and positive impact on the different
magnitudes of the Customer Satisfaction through perceived Service Quality.
1. Introduction
Online shopping or e-shopping is an outline of electronic buying and selling which allows clients
to directly procure commodities or services from a peddler over the internet by means of a web
browser. Online buying and selling is a sort of e-business where one end user can unswervingly
Given that better-quality, leads to the enhancement in the level of customer satisfaction and
invigorates increased involvement among client.
Online buying and selling of goods and services is gaining momentum and preferred by the
customers a lot. Over the years cyber shopping has grown in Online shopping has grown in
popularity specifically for the reason that customers get 24*7 access to the products and services
that is more convenient and easy. There is a vast research on different aspects of online shopping.
But less evidence was on identification of customer satisfaction level through online shopping. In
this 21st century India is showing tremendous growth in online shopping. (Sharma & Mittal,
2009) stated that E-commerce now days has become an integral part of our daily life. Numerous
websites are there offering variety of goods and services. Like clothing and accessories for men
and women, health and beauty products, books and magazines, computers and peripherals,
vehicles, software, consumer electronics, household appliances, jewellery, audio, video,
entertainment, goods, gift articles, real estate and services. As per (Mitra, 2013) E-commerce has
broken the geographical limitations and it is a revolution-commerce will improve tremendously
in next five years in India. (Gangeshwar, 2013) mentioned in his study that the e-commerce has a
very bright future in India although security, privacy and dependency on technology are some of
the drawbacks of e-commerce but still there is a bright future to e-commerce. Tremendous
increase in online shopping has encouraged the researchers to conduct survey on identification of
satisfaction level of online customers (Jarvenpaa & Todd 1997).It is essential for online retailers
to understand the acceptance level of online consumers to identify the effectiveness of customer
relationship management of the online retailers (Chang et al., 2005). (Kim et al. 2005) has
2. Literature Review
It is the customer satisfaction level that converts a customer into a loyal customer. Loyalty of a
customer is one of the important factors that contribute towards the company’s profitability.
(Berry, 1995) stated that maintaining customer loyalty surely increases the company’s
profitability by reducing marketing and promotional cost and simultaneously enhances the sales
from individual customers. As per (Aaker, 1992) an online retailer maintains customer loyalty
because of their brand awareness, quality perceived by the customers, their associations with
different brands and services offered to their customers. Whereas, (Keller, 1993) mentioned that
online customers are paying less time and cost of searching and information processing, that
increases their purchase decision confidence and increased satisfaction level of
customers.(Oliver, 1999) claimed that customer satisfaction and loyalty are completely
interrelated with each other. (Anderson et al., 1994) in their study claimed that customer
satisfaction influences profitability level of organization. Whereas, (Oliver, 1999) concluded that
there is no direct relationship between the customers loyalty and their satisfaction level. As per,
(McGuire, 1974) motivation theory plays a significant role in persuading consumers to purchase
online for achieving sense satisfaction. (Tauber, 1972; Westbrook & Black, 1985) claimed that a
consumer receives satisfaction by indulging in various shopping activities.
The discoveries of the review uncovered that user interface quality, data quality, perceived
quality , the impacts of online composition are the central point impacting consumer loyalty on
online shopping. Many marketing exercises (for example relationship marketing , promoting
According to the assertion of Zairi (2000), an organization can quantify the consumer loyalty's
level by seeing the number of individuals show their advantage to purchase a similar item from
the orga-nization.
According to Grewal and Levy (2007), the valuing of the item retail industry has a colossal effect
on the clients. Along these lines, the associations should have to guarantee value decency
technique where the cost of the item is sensible, satisfactory or legitimate.
Customers, everywhere, are progressively moving from swarmed stores to the single tick online
based shopping design. Notwithstanding, disregarding the accommodation offered, internet
shopping is a long way from being the most favored type of shopping in India. An overview
among 150 web clients, including the two clients and non-clients of internet shopping, was done
to comprehend the reason why some buy on the web while others don't. The outcomes proposed
that comfort and saving of time drive Indian purchasers to shop on the web; while security and
protection concerns deter them from doing as such (Vijay & M.S.2009).
In his review on Consumer's Buying Behavior towards Online Shopping, The primary point of
study was to look at and dissect the customer's purchasing personal conduct standard towards
web based shopping in lucknow. The examination depends on both essential information and
optional information. The all out example sizes of 40 were gathered through poll by utilizing
helpful testing strategy, the result of the review is generally number of clients are glad on web
based shopping and for the most part keen on purchasing of the online clothes (Singh, 2014).
In an online shopping environment, fulfillment among clients is the most basic issue that prompts
customer securing, their maintenance and manageable advancement of online stores (Chen &
Hitt, 2002).
The relationship between assumptions for the buyer and shopper experience brings about the
degree of client fulfillment. This level is achieved when experience rises to or surpasses
assumption for the clients (Khristianto & Suyadi, 2012).
Study led by (Liu et. al., 2008) detailed that upgraded nature of data will work fair and square of
fulfilment among the online customers.
Research led by (Kiran et. al., 2009) demonstrated that dependability and exactness of the data
accessible on the site with respect to elements, properties, and quality and item warrants
positively affects Indian purchasers while doing online based shopping.
(Bitner, 1992; Donovan and Rossiter, 1982; Mehrabian and Russell, 1974) stated the significance
of (S-O-R) stimulus, organism, response model as it is the online websites who acts as a stimulus
to the customers and influences their purchases. (Hirschman and Holbrook, 1982) revealed that
retail websites transition from needs driven selling to providing experiential selling influences the
satisfaction level of customers.(Fiore and Yu, 2001) describes that attractive product images
generates the fantasies among the individuals that influences consumer’s affective experience by
providing them emotional satisfaction. (Donovan and Rossiter, 1982; Holbrook, 1986; Mehrabian
and Russell, 1974) highlights that arousal and pleasure are two dimensions that affects the
consumption process of an individual. (Mehrabian and Russell, 1974) stated that arousal leads to
the encouragement and degree of provocation which makes one feel stimulated and excited
towards the environment. Whereas, pleasure refers the degree which makes one feel joyful,
contented, delightful, happy and satisfied. However, perception of online shopping environment
and the customer satisfaction with the service are linked with each other (Montoya-Weiss et al.,
2003). (Evanschitzky et al., 2004; Szymanski & Hise, 2000; Mano & Oliver, 1993; Russell and
Pratt, 1980) mentioned in their research that appearance of online retailer’s website influences the
satisfaction level of customers and their shopping experience. The study related to identify the
factors influencing customer’s decisions related to online purchasing helps the E-retailers to
frame their marketing strategies to retain their customers and to analyze their purchasing
pattern.(Roma´n, 2007) concluded in his study that privacy, security, non-deception and
reliability are the ethical dimensions that influences the consumer perception towards online
shopping.(Arjoon & Rambocas, 2011; Kurt & Hacioglu, 2010; Limbu et al., 2011; Nardal &
Sahin, 2011; Roma´n, 2007; Roma´n & Cuestas, 2008) in their study has explained that ethical
3. Research Methodology
On the whole, the questionnaire was circulated to 120 respondents. In this study, purposive
sampling technique was used in order to include the respondents to collect the data. Out of 120
questionnaires circulated only 100 were found suitable for the study and for further analysis.
SPSS v 21 was used to analyse the data collected. The demographic profiles of the respondents
were evaluated based on the frequency tables. In order to determine the reliability of the data
collected Cronbach alpha was calculated. Certain non-parametric tests like Chi-square analysis
and Kolmogorov Smirnov analysis were carried out in order to determine the relationship
amongst the different set of variables.
Gender Male 34 34
Female 66 66
Profession Student 38 38
Service 23 23
Professional 24 24
Business 15 15
The reliability analysis is done through Cronbach alpha test. The value of the Cronbach Alpha of
the variables in this study goes above the minimum acceptable level of 0.70. This portrays the
questions used in the questionnaire are reliable and succeeds the minimum acceptance.
NULL HYPOTHESIS: There exists no significant relationship between the product quality
and the perception of the respondents.
NULL HYPOTHESIS: There exists no significant relationship between the offers and
discounts and the perception of the respondents.
It is perceived from the table 4 that the p-value generated is less than 0.05, this leads to the
rejection of the Null hypothesis. Therefore, it can be determined that there exists a significant
relationship between the offers and discounts and the perception of the respondents. Analysing
the K-S values attained from Kolmogorov-Smirnov test helps determine the order in which
factors affect the relationship. ‘Better quality at lowest possible prices’ ranks first followed by
‘the offers available in online shopping outweighs the offers available in traditional shopping’
followed by ‘Service Guarantee is assured’.
K-S Chi
S.No. Statement SD D N A SA value Square p value
Flexible and responsible packaging and
1 delivery 7 4 23 38 32 2.387 81.100 0.000
2 Packaging and delivery are tangible 4 10 29 48 15 2.141
3 Product received without any damage 4 15 27 31 28 2.263
Delivery in time as per the service
4 assured 6 17 26 39 16 2.259
The delivery process does not
5 compromise with the price and quality 9 14 41 25 14 2.053
It is perceived from the table 5 that the p-value generated is less than 0.05, this leads to the
rejection of the Null hypothesis. Therefore, it can be determined that there exists a significant
relationship between the delivery guaranteed and the perception of the respondents. Considering
the K-S values derived from Kolmogorov-Smirnov test, ‘Flexible and responsible packaging and
delivery’ ranks first followed by ‘Product received without any damage’ followed by ‘Delivery in
time as per the service assured.’
NULL HYPOTHESIS: There exists no significant relationship between the application
safety and the perception of the respondents.
K-S Chi
S.No. Statement SD D N A SA value Square p value
Providing personal information
79.135 0.000
1 online is secure. 9 24 23 32 12 1.986
Adequate payment and security
2 features. 3 16 35 31 15 2.153
Trustworthy and responsible
3 online trading 5 25 26 33 11 1.932
Guaranteed return of goods and
4 payment retrieval 12 17 23 37 11 2.101
5 Reliable payment process 8 25 30 31 6 1.954
It is perceived from the table 7 that the p-value generated is less than 0.05, this leads to the
rejection of the Null hypothesis. Therefore, it can be determined that there exists a significant
relationship between the customer satisfaction and the perception of the respondents. Considering
the K-S values obtained from Kolmogorov-Smirnov test, ‘Online shopping is easier and faster’
ranks first followed by ‘Happy and will continue doing online shopping’ followed by ‘Timely
delivery and assured packaging quality.’
6. Conclusion
It is evident from the study that the factors Quality of the product, Offers and Discounts, Delivery
Guaranteed and Application Safety have direct and positive impact on the different magnitudes of
References:
1. Zhou, L., Dai, L., & Zhang, D. (2007). Online shopping acceptance model-A critical survey
of consumer factors in online shopping. Journal of Electronic commerce research, 8(1).
2. Kim, J., Fiore, A. M., & Lee, H. H. (2007). Influences of online store perception, shopping
enjoyment, and shopping involvement on consumer patronage behavior towards an online
retailer. Journal of retailing and Consumer Services, 14(2), 95-107.
3. Rafiq, M., & Fulford, H. (2005). Loyalty transfer from offline to online stores in the UK
grocery industry. International Journal of Retail & Distribution Management, 33(6), 444-
460.
4. Liu, X., Burns, A. C., & Hou, Y. (2013). Comparing online and in-store shopping behavior
towards luxury goods. International Journal of Retail & Distribution
Management, 41(11/12), 885-900.
5. Lu, L. C., Chang, H. H., & Yu, S. T. (2013). Online shoppers’ perceptions of e-retailers’
ethics, cultural orientation, and loyalty: an exploratory study in Taiwan. Internet
Research, 23(1), 47-68.
6. Kim, D. J., Ferrin, D. L., & Rao, H. R. (2009). Trust and satisfaction, two stepping stones for
successful e-commerce relationships: A longitudinal exploration. Information systems
research, 20(2), 237-257.
7. Goldsmith, R. E. (2002). Explaining and predicting consumer intention to purchase over the
internet: an exploratory study. Journal of Marketing Theory and Practice, 10(2), 22-28.
8. Hsu, S. H. (2008). Developing an index for online customer satisfaction: Adaptation of
American Customer Satisfaction Index. Expert systems with Applications, 34(4), 3033-3042.
27. Román, S. (2010). Relational consequences of perceived deception in online shopping: the
moderating roles of type of product, consumer’s attitude toward the internet and consumer’s
demographics. Journal of Business Ethics, 95(3), 373-391.
28. Román, S., & Cuestas, P. J. (2008). The perceptions of consumers regarding online retailers’
ethics and their relationship with consumers’ general internet expertise and word of mouth: a
preliminary analysis. Journal of Business Ethics, 83(4), 641-656.
29. Pollach, I. (2005). A typology of communicative strategies in online privacy policies: Ethics,
power and informed consent. Journal of Business Ethics, 62(3), 221.
30. Arjoon, S., & Rambocas, M. (2011). Ethics and customer loyalty: some insights into online
retailing services. International Journal of Business and Social Science, 2(14).
31. Ashworth, L., & Free, C. (2006). Marketing data veillance and digital privacy: Using theories
of justice to understand consumers’ online privacy concerns. Journal of Business
Ethics, 67(2), 107-123.
32. Kiran, R, Sharma, A, Mittal, KC (2009) Attitudes, preferences and profile of online buyers in
India: Changing trends. South Asian Journal of Management 15(3): 55–73.
33. Liu, X., He, M., Gao, F. & Xie, P. (2008). An empirical study of online shopping customer
satisfaction in China: A holistic perspective. International Journal of Retail & Distribution
Management 36(11):919-940 , DOI:10.1108/09590550810911683
34. Sirrka L. Jarvenpaa, S. L. & Peter A. Todd, P. A. (1996). Consumer Reactions to Electronic
Shopping on the World Wide Web. International Journal of Electronic Commerce, 1(2):59-88
(30 pages), Published By: Taylor & Francis, Ltd.
38. Durate, P., Silva, S. C. & Ferreira, M. B. (2018). How convenient is it? Delivering online
shopping convenience to enhance customer satisfaction and encourage e-WOM. Journal of
Retailing and Consumer Services, 44. DOI:10.1016/j.jretconser.2018.06.007
39. Zairi, M. (2020). Managing customer satisfaction: A best practice perspective. The TQM
Magazine 12(6):389-394. DOI:10.1108/09544780010351670
40. Hanif, M., Hafeez, S., and Riaz, A. (2010). Factors affecting customer satisfaction.
International Research Journal of Finance and Economics, 60: 44-52.
41. Taylor, S.A. and Baker, T.L. (1994) An Assessment of the Relationship between Service
Quality and Customer Satisfaction in the Formation of Customers’ Purchase Intentions.
Journal of Retailing, 70, 163-178. https://doi.org/10.1016/0022-4359(94)90013-2
42. Souca, M. L. (2014). Customer dissatisfaction and delight: completely different concepts, or
part of a satisfaction continuum? Management & Marketing, 9(1).
43. Hansemark, O. C. & Albinson, M., 2004, Customer Satisfaction and Retention: The
Experiences of Individual Employees, Managing Service Quality, 14 (1), pp. 40- 57.
44. Mattsson, K., 2009. Customer satisfaction in the retail market.
45. O' Connor J. & Galvin E. (2001). Marketing and information technology-The strategy, application
and implementation of IT in marketing. Pitman Publishing, London.
46. Hristianto, W. and Suyadi, I. (2012), “The influence of information, system, and service on
customer satisfaction and loyalty in online shopping of forum.
47. Jual Beli Kaskus. US, Malang region”, International Journal of Academic Research, Vol. 4
No. 2, pp. 1-14.
48. International Journal of Academic Research, Vol. 4 No. 2, pp. 1-14