You are on page 1of 54

“A STUDY ON CONSUMERS’ ATTITUDE TOWARDS ONLINE SHOPPING”

Research Project Submitted in Partial Fulfillment of the Requirements for the Degree of

BCOM Honours

by

JAYANT BUJRUK

to the

DEPARTMENT OF COMMERCE

BHOPAL SCHOOL OF SOCIAL SCIENCES

April, 2021

Submitted by Guided by

Jayant Bujruk Dr . Richa Bhatia

Department of Commerce

1
ACKNOWLEDGEMENT

I would like to thank our Principal Dr. Fr. John P.J. and Vice Principal Dr Sr Sonia Kurien
for their immense support and blessings. I thank our HOD Dr Amit Kumar Nag for his
support. I would like to express my special thanks of gratitude to my research guide
Dr.Richa Bhatia, of Department of Commerce for her valuable suggestions and guidance
and for giving me the golden opportunity to do this wonderful research project on the
topic: “A STUDY ON CONSUMERS’ ATTITUDE TOWARDS ONLINE
SHOPPING” Without her help it would have been difficult for me to have reached this
state of completion of my project report. Also, I would like to thank my parents and friends
who helped me a lot in the preparation of this project.

I wish to acknowledge the help of all those who have provided me information, guidance
and other help during my research period.

2
CERTIFICATE

It is certified that the work contained in the project report titled “A STUDY ON
CONSUMERS’ ATTITUDE TOWARDS ONLINE SHOPPING,” by “Jayant
Bujruk,” has been carried out under my/our supervision and that this work has not been
submitted elsewhere for a degree*

Signature of Supervisor: …………….

Name: Dr Richa Bhatia

Department: Commerce

The Bhopal School of Social Sciences

29 April, 2021

3
DECLARATION

I hereby declare that this project report entitled “A STUDY ON CONSUMERS’


ATTITUDE TOWARDS ONLINE SHOPPING,” was carried out by me for the degree
of BCOM Honours under the guidance and supervision of Dr. Richa Bhatia (Associate
Professor) of Department of Commerce, BSSS College. The interpretations put forth are
based on my reading and understanding of the original texts and they are not published
anywhere in any form. The other books, articles and websites, which I have made use of
are acknowledged at the respective place in the text. This research report is not submitted
for any other degree or diploma in any other University.

Place: Bhopal

Name of the Student: JAYANT BUJRUK

Class & Section: B.COM HONOURS

Date: 29/04/2021

4
“A STUDY ON CONSUMERS’

ATTITUDE TOWARDS ONLINE

SHOPPING”

INDEX

CHAPTER STATEMENT Page No.

1  Introduction 6-21

2  Literature & Review 22-26

3  Research Methodology 27-29


 Descriptive study
 Research design
 Research objective
 Data collection
 Research approach
 Method of data collection
 The tools use in data study
 Sample size
 Selection
4  Data Representation and analysis 30-46

5  Results and Discussion 47-50


 Conclusion
 Reference 51-53
 Questionnaire

5
CHAPTER-1
Introduction

RATIONALE OF THE STUDY:

Online shopping is far better than traditional shopping as everything to us at our door step
just with availability of internet. This will help businesses in understanding variables tha
tplay a major role in influencing customer’s attitude to buy online there by helping
marketers in crafting strategies which drives consumers to prefer online shopping.

Earlier studies paid much attention on consumer’s attitude towards online shopping in
developed nations where internet penetration is high and consumers are highly evolved in
it.Among these variables the risk perception of consumers was demonstrated to be the
main discriminator between people who buying online and people who does not buying
online. Other discriminating factors were control over and convenience of the shopping
process affordability of merchandise, customer service and ease of use of the online
shopping site.

Consumer’s attitude towards online shopping affects their buying decisions. However, in
India where internet penetration is significantly low and consumers are not so evolved in
this space. Hence a need for such as study is identified by the researcher to see how far
these factors are relevant in India and how much they influence consumer’s attitude to
purchase a product or service through internet.

Introduction to the Industry


Internet is one component which has recently become the key element of quick and rapid
lifestyle. Be it for communication, connecting with people or for official purposes,
‘internet’ has become the central-hub for all. While interactions in the real world shopping
are mainly based on face‐to‐face activities between consumers and service providers,
interactions in electronic commerce take place mainly through the retailer’s website. In the
era of globalization electronic marketing is a great revolution and the growing use of
Internet in India provides a developing prospect for online shopping. If E-marketers know
the factors affecting online Indian behaviour, and the relationships between these factors
and the type of online buyers, then they can further develop their marketing strategies to
convert potential customers into active ones, while retaining existing online customers
Over the last decade maximum business organizations are running with technological
change. Online shopping or marketing is the use of technology (i.e., computer) for better
marketing performance. And retailers are devising strategies to meet the demand of online
shoppers; they are busy in studying consumer behavior in the field of online shopping, to
see the consumer attitudes towards online shopping. Therefore I have also decided to study

6
consumer’s attitudes towards online shopping and specifically studying the factors
influencing consumers to shop online.
The population selected for the research is Bhopal City, the sample size selected for this
research is 100 and we have used convenience sampling technique.
Our findings indicated that among the four factors selected for this research the most
attractive and influencing factor for online shoppers in Bhopal is Website Design/Features,
following convenience the second most influencing and thirdly time saving. Results have
also showed that security is of important concern among online shoppers in Bhopal. The
research has also found that there are some other factors which influence online shoppers
including, less price, discount, feedback from previous customers and quality of product.
For the second research question i.e. who are online shoppers in term of demography: the
correlation results for the age and attitudes towards online shopping has showed that
elderly people are not so keen to shop online. Whereas for education it is concluded that
higher education makes online shopping less attractive, for the income the correlation
results are so weak hence we could not conclude anything out of it. It is expected that this
study will not only help retailers in Bhopal to devise successful strategies for online
shoppers but it will also provide a base for similar studies in the felid of consumer attitudes
towards online shop

INTRODUCTION TO THE COMPANY

The introduction and implementation of internet technologies has created new market for
manufacturers and service providers and also has provided new arena for innovative
marketing strategies by the professionals. There are various reasons of shifting the
customers buying patterns towards online retail shops. The facility of comparing your
product with competitive products on the basis of price, colour, size and quality is one of
the biggest benefits of online shopping. Moreover the product remains at its place even you
purchase it. It looks hilarious but this is also one of the most significant reasons reported
by the online shoppers. The other popular names for online shopping are virtual store, e-
shop, web shop, internet shop, web-store and online storefront etc. These days Mobile
commerce or m-commerce is also one of the popular means of shopping. The facilities of
various coupon and discount scheme are also fascinating the customers in online shopping.
In our time, internet is acknowledged as noteworthy valuable communication channel
taxing with the traditional ones, such as walkie-talkie, magazines, and small screen. From
the past few years, on-line shopping is the prevalent way of doing dealings in the field of
E-Business and is unquestionably going to be the future of shopping in the human race.
The increasing consumer base, principally of youths, is playing a significant role in the
online shopping. Through this means, the shopper can buy the product from wherever he
wants. Because of wide communication network e-commerce has become the new
mediator between the companies/manufacturers and their customers. The growth rate of

7
India’s e-commerce industry is fascinating. It was reported as 88% in 2013 which is a clear
contrast picture of the slower economic growth of India

What is E-commerce?
E-commerce is selling of goods and services via electronic media to facilitate exchange of
detailed information between buyers and sellers. Online shopping has become an integral
part of business. Online shopping refers to the shopping behavior of consumer in an online
store or a website used for online purchasing purpose ( Monsuwe et al. 2004).
The Indian e- commerce market is estimated to be Rs. 50,000 crore, witnessing a rapid
growth rate and has increased by 500% since 2007. With the advent of 21st century, the
world has entered in an “e-generation” era. Internet technologies have revolutionized
communication across the world and transformed the world into a global village.
According to internet world stats India stood at the 3rd rank with 137 million users till June
30, 2012 .

What is online shopping?

Online shopping or electronic shopping is a part of electronic commerce which allows


consumers to directly buy goods or services from a seller over the internet. Michael
Aldrich invented online shopping concept in 1979. The prospect of online marketing is
increasing in India with the increasing internet literacy. Online shopping is also known as:
e-web-store,e- shop, e-store, Internet shop, web-shop, web-store, online store, online
storefront and virtual store. An online shop evokes the physical analogy of buying products
or services at a bricks-and-mortar retailer or shopping center; the process is called business
to- consumer (B2C) online shopping. The popular online retailing companies in India are
Myntra, Jabong, Alibaba.com, Snap deal, Amazon.com and e-Bay. With the growth of
online shopping, the general retailers also make available their products on online
shopping sites to capture the market more.

The Internet, which was barely an idea centuries before, has taken on a massive
revolutionary trend in the recent decades. It has become a part and parcel of our daily lives.
Indian shopping sites have offered creative and smart solutions, thus simplifying our
lifestyle and providing greater benefits on the universal scale. One subtle aspect that has
gained importance with the increasing internet revolution in the country are the highly
definitive trending Indian shopping sites. Of course, the traditional methods of shopping do
exist, but when the services are targeted for effective delivery at your doorstep at
affordable prices, who would actually bother to go out and buy stuff?

Exciting Aspects of Online Shopping

Online purchase websites have paved way for many big business giants to pop up into the
scene. It was implemented keeping in mind the one basic idea - to ease out the shopping

8
sprees at just the touch of a button.When the whole world has gone digital- why not
shopping.
The usual tendency of the people when we mention online buying is all about the big e-
commerce giants dominating the market in the present scenario. However, online buying is
not simply subsided to one particular domain. There are various genres which are classified
by these Indian shopping sites, most popular ones are listed below:

 Groceries.
 Fashion and Lifestyle.
 Kitchen and Home Accessories.
 Automobiles and Industrial Tools.
 Computers and Electronics.
 Food and Health.

JUSTIFICATION OF THE TOPIC

Consumer attitudes are both an obstacle and an advantage to a marketer. Choosing to


discount or ignore consumers’ attitudes of a particular product or service—while
developing a marketing strategy—guarantees limited success of a campaign. In contrast,
perceptive marketers leverage their understanding of attitudes to predict the behavior of
consumers. These savvy marketers know exactly how to distinguish the differences
between beliefs, attitudes, and behaviors while leveraging all three in the development of
marketing strategies.

An attitude in marketing terms is defined as a general evaluation of a product or service


formed over time (Solomon, 2008). An attitude satisfies a personal motive—and at the
same time, affects the shopping and buying habits of consumers. Dr. Lars Perner (2010)
defines consumer attitude simply as a composite of a consumer’s beliefs, feelings, and
behavioral intentions toward some object within the context of marketing. A consumer can
hold negative or positive beliefs or feelings toward a product or service. A behavioral
intention is defined by the consumer’s belief or feeling with respect to the product or
service.

Perhaps the attitude formed as the result of a positive or negative personal experience.
Maybe outside influences of other individuals persuaded the consumer’s opinion of a
product or service.

Attitudes can be influenced by many factors outside the product attributes. Social and
cultural environment as well as demographic, psychographic, and geographic conditions
can sometimes shape consumer behavior. Consumer attitude, if positive, is an advantage to

9
a marketer. A savvy marketer can build a model for prospecting new consumers from the
attributes of a satisfied customer. Direct marketing companies create higher response rates
by using look-alike modeling based on existing customers—individuals with a positive
attitude.

Consumer behavior is the study of how a consumer thinks, feels, and selects between
competing products. Moreover, the study of attitudes is critical to understanding the
motivation and decision strategies employed by consumers. The combination of beliefs,
attitudes, and behaviors influence how a consumer reacts to a product or service. Marketers
develop relative, compelling marketing messages using the same combination of
information, and ultimately influence consumer behavior.

Consumer attitudes are a composite of a consumer’s

(1) Beliefs about,

(2) Feelings about,

(3) And behavioral intentions toward some object

within the context of marketing, usually a brand or retail store. These components are
viewed together since they are highly interdependent and together represent forces that
influence how the consumer will react to the object.

Beliefs. The first component is beliefs. A consumer may hold both positive beliefs toward
an object (e.g., coffee tastes good) as well as negative beliefs (e.g., coffee is easily spilled
and stains papers). In addition, some beliefs may be neutral (coffee is black), and some

10
may be differ in valance depending on the person or the situation (e.g., coffee is hot and
stimulates--good on a cold morning, but not good on a hot summer evening when one
wants to sleep). Note also that the beliefs that consumers hold need not be accurate (e.g.,
that pork contains little fat), and some beliefs may, upon closer examination, be
contradictory (e.g., that a historical figure was a good person but also owned slaves).

Since a consumer holds many beliefs, it may often be difficult to get down to a “bottom
line” overall belief about whether an object such as McDonald’s is overall good or bad.
The Multiattribute (also sometimes known as the Fishbein)

Affect. Consumers also hold certain feelings toward brands or other objects. Sometimes
these feelings are based on the beliefs (e.g., a person feels nauseated when thinking about a
hamburger because of the tremendous amount of fat it contains), but there may also be
feelings which are relatively independent of beliefs. For example, an extreme
environmentalist may believe that cutting down trees is morally wrong, but may have
positive affect toward Christmas trees because he or she unconsciously associates these
trees with the experience that he or she had at Christmas as a child.

Behavioral Intention. The behavioral intention is what the consumer plans to do with
respect to the object (e.g., buy or not buy the brand). As with affect, this is sometimes a
logical consequence of beliefs (or affect), but may sometimes reflect other circumstances--
e.g., although a consumer does not really like a restaurant, he or she will go there because
it is a hangout for his or her friends.

Attitude-Behavior Consistency. Consumers often do not behave consistently with their


attitudes for several reasons:

Competing demands for resources. Although the above student would like to buy a
pickup truck on her sixteenth birthday, she would rather have a computer, and has money
for only one of the two.

Social influence. A student thinks that smoking is really cool, but since his friends think
it’s disgusting, he does not smoke.

Attitude Change Strategies. Changing attitudes is generally very difficult, particularly


when consumers suspect that the marketer has a self-serving agenda in bringing about this
change (e.g., to get the consumer to buy more or to switch brands).

Changing affect. One approach is to try to change affect, which may or may not involve
getting consumers to change their beliefs. One strategy uses the approach of classical
conditioning try to “pair” the product with a liked stimulus. For example, we “pair” a car

11
with a beautiful woman. Alternatively, we can try to get people to like the advertisement
and hope that this liking will “spill over” into the purchase of a product. For example, the
Pillsbury Doughboy does not really emphasize the conveyance of much information to the
consumer; instead, it attempts to create a warm, fuzzy image. Although Energizer Bunny
ads try to get people to believe that their batteries last longer, the main emphasis is on the
likeable bunny. Finally, products which are better known, through the mere
exposure effect, tend to be better liked--that is, the more a product is advertised and seen in
stores, the more it will generally be liked, even if consumers to do not develop any specific
beliefs about the product.

Changing behavior. People like to believe that their behavior is rational; thus, once they
use our products, chances are that they will continue unless someone is able to get them to
switch. One way to get people to switch to our brand is to use temporary price discounts
and coupons; however, when consumers buy a product on deal, they may justify the
purchase based on that deal (i.e., the low price) and may then switch to other brands on
deal later. A better way to get people to switch to our brand is to at least temporarily
obtain better shelf space so that the product is more convenient. Consumers are less likely
to use this availability as a rationale for their purchase and may continue to buy the product
even when the product is less conveniently located. (Notice, by the way, that this
represents a case of shaping).

Changing beliefs. Although attempting to change beliefs is the obvious way to attempt
attitude change, particularly when consumers hold unfavorable or inaccurate ones, this is
often difficult to achieve because consumers tend to resist. Several approaches to belief
change exist:

1) Change currently held beliefs. It is generally very difficult to attempt to change


beliefs that people hold, particularly those that are strongly held, even if they are
inaccurate. For example, the petroleum industry advertised for a long time that its
profits were lower than were commonly believed, and provided extensive factual
evidence in its advertising to support this reality. Consumers were suspicious and
rejected this information, however.
2) Change the importance of beliefs. Although the sugar manufacturers would
undoubtedly like to decrease the importance of healthy teeth, it is usually not
feasible to make beliefs less important--consumers are likely to reason, why, then,
would you bother bringing them up in the first place? However, it may be possible
to strengthen beliefs that favor us--e.g., a vitamin supplement manufacturer may
advertise that it is extremely important for women to replace iron lost through
menstruation. Most consumers already agree with this, but the belief can be made
stronger.

12
3) Add beliefs. Consumers are less likely to resist the addition of beliefs so long as
they do not conflict with existing beliefs. Thus, the beef industry has added beliefs
that beef (1) is convenient and (2) can be used to make a number of creative
dishes. Vitamin manufacturers attempt to add the belief that stress causes vitamin
depletion, which sounds quite plausible to most people.

4) Change ideal. It usually difficult, and very risky, to attempt to change ideals, and
only few firms succeed. For example, Hard Candy may have attempted to change
the ideal away from traditional beauty toward more unique self expression.

One-sided vs. two-sided appeals. Attitude research has shown that consumers often tend
to react more favorably to advertisements which either (1) admit something negative about
the sponsoring brand (e.g., the Volvo is a clumsy car, but very safe) or (2) admits
something positive about a competing brand (e.g., a competing supermarket has slightly
lower prices, but offers less service and selection). Two-sided appeals must, contain
overriding arguments why the sponsoring brand is ultimately superior--that is, in the above
examples, the “but” part must be emphasized.

Theories for Customer Attitude:

Selecting theories to support the research question is one of the vital and trivial parts in
thesis writing. After reading previous publications and research papers in the field of
consumer behavior and online shopping led researchers some important theories which
will be discussed in later paragraphs.
One of them is Consumer buying behavior process which helps in understanding what
influence consumer to purchase online. After studying online shopping the researchers
have recognized that consumers start with some kind of need or a problem that arouse
some or the other way which needs to be filled and then you move towards information
search and finally you purchase. This buying process helps in explaining the steps one
follows to reach to actual purchase.
Theory of planned behavior (TPB) proposed by Icek Ajzen (1988, 1991) as an extension to
Theory of Reasoned Action. This is also an important concept as it provides a link between
attitudes and behavior. It helps one to understand how one can change the behavior of
people. This theory will be helpful in understanding how consumer changes their behavior
to shop online than physical store purchases.

13
Technology acceptance model (TAM) that is developed by (Fred Davis and Richard
Bagozzi) (Davis 1989, Bagozzi & Warshaw 1992) is an information system theory that sets
out to study the users acceptance towards particular system. Writers have selected this
theory as it is commonly used theory while studying consumer’s attitudes towards online
shopping. As online shopping is a modern technology and in our research we are going to
study different factors that influence consumers attitudes towards online shopping, such as
Website Design/ Features, convenience and Security. And TAM will help us understand
how consumer form attitudes towards particular system and in our case it is online
shopping. Last but not least it is an extension to the theory of Reasoned Action (TRA)
(Ajzen & Fishbein, 1980; Fishbein & Ajzen, 1975.

Theories and models


Consumer buying behavior process
In the field of Consumer behavior research the classical model of consumer buying
behavior is of utmost important. We as persons take actions in purchasing and using
products and services and actions are derived by mental and social process. Behavioral
science helps us to better understand why we go for a certain product and why not, why we
set priories while making decision.

Figure:

Consumer decision process carries five stages, starting with Problem recognition and
following Information search, Evaluation of alternatives Purchase decision and finally Post
Purchase behavior. Problem recognition starts with the perception of need and moves
towards information search where consumer uses internal and external sources to analyze
given information and use that information in the next step of evaluation of alternatives.
While evaluating alternatives one assessing values of the products by giving weights. Once
you have successfully evaluated alternatives you will move towards purchase decision
where you may encounter three possibilities, from whom to buy, when to buy and do not
buy. Once you have actually made the purchase now it comes to Post purchase behavior,

14
whether you are satisfied or dissatisfied with your purchase, Solomon, bamossy, askegaard
and hogg (2006).

Theories of planned behavior (TPB)


Theory of planned behavior proposed by Icek Ajzen (1988, 1991) actually provides a link
between attitude and behavior. Consumer action is guided by three considerations.
 Behavioral Beliefs

 Normative Beliefs

 Control Beliefs

TPB is basically an extension of theory of reason action (TRA) proposed by (Ajzen &
Fishbein, 1980; Fishbein & Ajzen, 1975).As you can see in the below figure and as
suggested by Icek Ajzen (1988, 1991) intention serve as a central role to perform a
behavior. Icek Ajzen (1988, 1991) also proposed that a given behavior is influenced by the
certain factors and these factors are assumed to be captured by the intention. In Icek Ajzen
(1988, 1991) words these intentions indicate as how one is willing to put the effort in order
to perform a given behavior. As you can see in the below figure attitude towards behavior
and subjective norm are basically the factors that influence intention and as discussed
above intention serve as a central role to perform behavior. On the other side perceived
behavioral control actually moves towards the actual behavioral by influencing the
intention.
Behavioral belief: It’s about one’s belief about the final outcome of particular behavior,
Icek Ajzen (1988, 1991).

Attitude toward behavior: It is about personal performance of individual’s positive or


negative evaluation .It is considered as personal or emotional factor that can affect in a
positive or negative manner, Icek Ajzen (1988, 1991).
Normative belief: It is about individual’s particular behavior that can be influenced by
other important actors.These actors can be your friends, family members, co-workers etc.
Subjective norm: Its concerns with social normative pressures or other belief that can
affect one’s behavior whether a person should perform the behavior or not, Icek Ajzen
(1988, 1991).Subjective influence is basically the social influence factor.

Perceived behavioral control: An individual's perceived ease or difficulty of performing


the particular behavior, Ajzen, (1988). A person’s way of performing a particular behavior
with some difficult or performing it easily.

15
Control beliefs: Person’s beliefs about the presence of circumstances that may help or
prevent performance of the behavior, Ajzen (2001).

Factors influencing consumer to shop online studied in this research


Though there are several factors that influence consumers to shop online, but as mentioned
above I have selected four factors after reading literature in the field on consumer attitudes
towards online shopping and these factors are discussed below in the light of previous
literature.
Convenience
Convenience factor refers that it is easy to browse or search the information through online
is easier than the traditional retail shopping. Through online, consumers can easily search
product catalog but if the consumer look generally for the same product or item in a
traditional store manually it is difficult to visit physically and time consuming also.
Convenience has always been a prime factor for consumers to shop online. Darian (1987)
mention that online shoppers carry multiple benefits in terms of convenience, such as less
time consuming, flexibility, very less physical effort etc. Bhatnagar and Ghose (2004)
claims for convenience as one of the most important advantage for online shopping.
According to the Robinson, Riley, Rettie and Wilsonz (2007) the major motivation for
online purchasing is convince in terms of shop at any time and having bundles of items
delivered at door step.

Rohm and Swaminathan’s (2004) claims in “typology of online shoppers into”:


Convenience shoppers, balanced buyers, variety seekers and store-oriented shoppers, based
upon their preset shopping motivation. Rohm and Swaminathan’s (2004) findings about
’convenience and variety seeking’ are major motivating factors of online shopping and this
study is consistent with Morganosky and Cude’s (2000) research findings. Webcheck’s
(1999) study shows that convenience factor is one of the biggest advantages of online
shopping. Through online purchase consumers can easily compare the price than the

16
traditional purchase. So price comparison is also another convenience factor of online
shopping.
3.2.2 Time saving
Time savings is one of most influencing factors of online shopping. Browse or search an
online catalogue can save time and patience. People can save time and can reduce effort by
shopping online. According to Rohm and Swaminathan’s (2004), one possible explanation
that online shopping saves time during the purchasing of goods and it can eliminate the
traveling time required to go to the traditional store. On the other side, some respondent
think that it is also time taken for delivery of goods or services over online shopping.
Unexpectedly time saving is not the motivating factor for the consumers to shop online
(Corbett, 2001) because it takes time receiving goods or delivery. But time saving factor
can be seen through different dimensions i.e. “person living in Florida can shop at Harod’s
in London (through the web) in less time than it takes to visit the local Burdines
department store” (Alba et al. 1997, p. 41,emphasis added). Morganosky and Cude (2000)
have concluded that time saving factor was reported to be primary reason among those
consumers who have already experienced the online grocery buying. So the importance of
the time saving factor cannot be neglected as motivation behind online purchasing.
Additionally Goldsmith and Bridges (2000) emphasize that there is a discrimination
between online shopper and non online shoppers, online shoppers are more worried about
convenience, time saving and selection whereas non online shoppers are worried about
security, privacy and on time delivery. A study by Kamariah and Salwani (2005) shows
higher website quality can highly influence customers to shop online.

Website design/features
Website design and online shopping activity is one of the vital influencing factors of online
shopping. Website design, website reliability/fulfillment, website customer service and
website security/privacy are the most attractive features which influence the perception of
the consumer of online buying Shergill & Chen (2005). Kamariah and Salwani (2005)
claims the higher website quality, the higher consumer intends to shop from internet. Web
design quality has important impacts on consumer choice of electronic stores, stated by
Liang and Lai (2000). Website design one of the important factor motivating consumers
for online shopping. Almost 100,000 on-line shopper’s surveyed by (Reibstein, 2000)
shows that web site design was rated as important factor for online shopping. Another
study conducted by Zhang, Dran, Small, and Barcellos (1999, 2000), and Zhang and Dran
(2000) indicated that website design features of the website are important and influencing
factors that leads consumer’s satisfaction and dissatisfaction with a specific website.
A study conducted by Yasmin and Nik (2010) shows a significant relationship between
online shopping activity and website features. Website design features can be considered
as a motivational factor that can create positive or negative feelings with a website (Zhang,
et al 1999). A study by Li and Zhang (2002), if website is designed with quality features it
can guide the customers for successful transactions and attract the customers to revisit the

17
website again. However, worse quality website features can also hamper online shopping.
According to Liang and Lai (2000), web design quality or website features has direct
impact on user to shop online.
Moreover researchers such as Belanger, Hiller and Smith (2002) concluded that a large
segment of internet users have serious concerns of security.
3.2.4 Security
Security is another dominant factor which affects consumers to shop online. However
many internet users avoid online shopping because of credit card fraud, privacy factors,
non delivery risk, post purchase service and so on. But transaction security on the online
shopping has received attention. Safe and secured transaction of money and credit card
information increases trust and decreases transaction risk. In 1995, UK has introduced
Fraud free electronic shopping and later on Europe and Singapore introduced secured
electronic transaction (SET). According to Bhatnagar and Ghose (2004) Security is one of
the attribute which limits buying on the web as they claim that there is a large segment of
internet shoppers who don’t like to buy online because of their thinking about the security
of their sensitive information.
Cuneyt and Gautam (2004) claims trust in the internet shopping with advanced technology,
and frequent online shopping to the internet being secured as a trustworthy shopping
channel.
3.3 Online shoppers in terms of demography
Online shoppers in terms of demography are another important aspect. We would like to
study demography in terms of age, gender, income and education as are there any
differences while consumers shop online, differences within the age groups such as does
online shopping attracts elder people or younger people. Studies have shown that online
shoppers mainly consist of people with Higher education and income and working in
middle to senior management or professionals (Kehoe et al., 1998; Hoffman et al., 1996).
Locally, a report in the Business Times and an online survey showed that demographically,
a typical Net shopper is mainly male, aged between 18 and 40, had attended at least
secondary school and belongs to a family with average income of at least $5000. The
online survey also showed that cyber-buyers were also mainly Chinese below 36 years old
with diplomas or degrees and drawing a monthly salary of less than $3500. Another study
by Miller (1996) claims cyberspace is the domain of young people Bhatnagar and Ghose
(2004).
Sim and Koi, (2002) states as main discriminating factors appeared to be gender and
income. Customer segmentation is important for electronic commerce success, Berry
(1999). Miller (1996) has focused on demographics to show the profile of Internet users,
Bhatnagar and Ghose (2004)

18
Top 5 Online Shopping Sites in India

Here is the list of top 5 online shopping sites those are found to be trustworthy by Indians.
These sites are ranked according to their services, products, ranges, warranty and quality of
products.

1. Flipkart.com

Flipkart.Com is most popular, pure Indian online shopping site. It’s head-quarters are in
Bangalore and Karnataka. It is most trustworthy site for Indians because of its popularity
and Cash on Delivery payment method. In the beginning, Filpkart used to sell only books
but as soon as it expended, it started offering other products like electronic goods, ebooks,
house goods, men, women and kids clothing, movies, gaming and many more material.
Flipkart.com ranked as no.1 online shopping site of India because of its product
range,services, product quality etc. According to alexa ranking, flipkart is named in top 10
sites used by Indians. The service of flipkart.com is found to be good and trustworthy.
Flipkart.com was founded by two Indians only in 2007. Flipkart is also the biggest
ecommerce brand of India. The website covers all products from home appliances to
gadgets, books to video cds, garments to baby clothes

2) Amazon.in –

19
Amazon is however a American origin company but has gained a great reputation in all
over the world. It is also one the most trusted online shopping website for Indians. I often
use Amazon to buy most of the electronics products.

3) Myntra

Myntra.Com is another Indian online shopping website established in 2007. It is head


quartered in Bangalore. The site mainly offers fashion and lifestyle products. Myntra.Com
is most popular and trustworthy place for online shopping. You can buy many products
from Myntra.Com such as men, women and kids clothing, footwear etc and other
accessories like bags, wallets, sunglasses etc.

The site offers you Cash on Delivery payment method and that’s why it most trusted and
growing just after Flipkart. Some other payment methods like Visa Card, MasterCard and
Net Banking

4) Snapdeal

Snapdeal.Com is Indian online shopping website head-quartered in New Delhi. The site
was started in 2012 and expanding rapidly. Snapdeal is one of the largest eCommerce
company having 500,000+ products, 800,000+ books and offer products in 400+
categories.Snapdeal offers various payment methods such as credit card, debit card, net

20
banking and Cash on Delivery. Due to these easy payment methods, Snapdeal’s India
shipping is more that 25,000 daily.

5. Homeshop18

Homeshop18.com is a network 18 group associated eCommerce site managed by Reliance


now. Homeshop18 gained its maximum momentum via televisions. It offers a cool range
of all products including gadgets, home ware, clothing, jewellery etc. Shopping can be
done online but its doing the best on air service in India which adds its online credibility
too. It ranks 8th as best online sites of India to trust.

HomeShop18 was launched on 9 April 2008 as India’s first 24-hour Home Shopping TV
channel. Now, it is also one the popular online shopping destination for Indians..

21
CHAPTER -2

LITERATURE

&REVIEW

LITERATURE &REVIEW

A literature review is a text of a scholarly paper, which includes the current knowledge
including substantive findings, as well as theoretical and methodological contributions to a
particular topic. It is not a chronological catalog of all of the sources, but an evaluation,
integrating the previous research together, and also explaining how it integrates into the
proposed research program. All sides of an argument must be clearly explained, to avoid
bias, and areas of agreement and disagreement should be highlighted. It is not a collection
of quotes and paraphrasing from other sources. A good literature review should also have
some evaluation of the quality and findings of the research.
Ajzen (1994) in his study on perceptions towards online shopping reveals that perceptions
toward online shopping and intention to shop online are not only affected by ease of use,
usefulness, and enjoyment, but also by exogenous factors like consumer traits, situational
factors, product characteristics, previous online shopping experiences, and trust in online
shopping.

Garcia (1998) shows that the number of online shoppers in six key European markets has
risen to 31.4 percent from 27.7 percent last year. This means that 59 million Europeans use
the Internet regularly for shopping purposes. However, not only does the number of online
shoppers grow, the volume of their purchases also increases over-proportionally

. Murray, (2001) In the US, says that online sales are forecasted to exceed $36 billion in
2002, and grow annually by 20.9 percent to reach $81 billion in 2006. Europeans are
spending more money online as well. Whereas combined revenues for Amazon.com’s
European operations grew at more than 70 percent annually in each of the past three
quarters, topping $218 million. While these figures show that a large number of consumers
in the US and Europe frequently use the Internet for shopping purposes, it is not clear what
drives them to shop online and whether these numbers could be even.
Bhattacherjee (2001) stated that satisfied users are more likely to continue the IS use.
Thus, we point that adoption and continuance are connected to each other through several
mediating and moderating factors such as trust and satisfaction.

22
Benedict et al (2001) in his study on perceptions towards online shopping reveals that
perceptions toward online shopping and intention to shop online are not only affected by
ease of use, usefulness, and enjoyment, but also by external factors like consumer traits,
situational factors, product characteristics, previous online shopping experiences, and trust
in online shopping.

According to Vrechopoulos et al. (2001) youth are the main buyers who used to buy
products through online

. Dholakia and Uusitalo (2002) study examined the relationship between age and Internet
shopping; found that younger consumers reported more linen to the online shopping. They
also found that younger consumers searched for more products online and they were more
likely to agree that online shopping was more suitable.

Venkatesh (2000) reported that perceived convenience offered by Internet Vendors has a
positive impact on consumers' attitude towards online shopping, as they remark Internet as
a medium that enhances the outcome of their shopping experience in an easy way. Online
shopping holds a great budding for youth marketers.

Davis, (2002). Their study reveals that if more attractive online stores were developed.
This raises the issue of examining what factors affect consumers to shop online. Therefore,
a framework is needed to structure the complex system of effects of these different factors,
and develop an in-depth understanding of consumers’ perceptions toward Internet
shopping and their intentions to shop online. This study reveals that we build up such a
framework based on previous research on consumer adoption of new self service
technologies and Internet shopping systems. The research suggests that consumers’
perception toward Internet shopping first depends on the direct effects of relevant online
shopping features.
Kim and Park (2003) in a study “Identifying key factors affecting consumer purchase
behavior in an online shopping context” investigated the relationship between various
characteristics of online shopping and consumer purchase behavior. Result of the online
survey with 602 Korean customers of online bookstores indicate that information quality,
user interface quality and security perceptions affect information satisfaction and relational
benefit that in turn, are significant related to each consumers’ site commitment and actual
purchase behavior.

Khalifa and Limayem (2003) in a research entitled “Drivers of internet shopping” applied
well-established behavioural theories to explain Internet consumer behavior. Then, they
conducted a longitudinal survey study to identify key factors influencing purchasing on the
Web and to examine their relative importance. The results indicate that the intentions of
Internet consumers are significantly affected by the perceived consequences of online
shopping, the consumers’ attitudes towards it, and social influence

23
Rogers (2003) concluded that Online shopping features can be either consumers’
perceptions of functional and utilitarian dimensions, like “ease of use” and “usefulness”, or
their perceptions of emotional and hedonic dimensions like “enjoyment by including both
utilitarian and hedonic dimensions, aspects from the information systems or technology
literature, as well as the consumer behavior literature are integrated in our framework.
Limayen (2004) In addition to these relevant online shopping features, also exogenous
factors are considered that moderate the relationships between the core constructs of the
framework.

Benbaset (2006); Relevant exogenous factors in this context are “consumer traits”
“situational factors” “product characteristics” “previous online shopping experiences” and
“trust in online shopping” By incorporating these exogenous factors next to the basic
determinants of consumers’ perception and intention to use a technology, the framework is
applicable in the online shopping context. Together, these effects and influences on
consumers’ perception toward online shopping provide a framework for understanding
consumers’ intentions to shop on the Internet.

Sycara (2005) online shopping “Computer playfulness” is the degree of cognitive


spontaneity in computer interactions. Playful individuals may tend to underestimate the
difficulty of the means or process of online shopping, because they quite simply enjoy the
process and do not perceive it as being effortful compared to those who are less playful
“Computer anxiety” is defined as an individual’s apprehension or even fear when she/he is
faced with the possibility of using computers. This influences consumers’ perceptions
regarding the “ease of use” of the Internet as a shopping medium in a negative way, since
using a computer is one of the necessary requirements for online shopping.

Ying (2006) in his study “Essay on modeling consumer behavior in online shopping
environments” examined online purchase behavior across multiple shopping sessions.
Shopping cart abandonment is the bane of many e-commerce websites. He investigated
abandoned shopping carts in an online grocery shopping setting. Specifically, he developed
a joint model for the cart, order, and purchase quantity decisions. The interdependence
between the three decisions is captured by the correlations between the error terms.
Empirical analysis shows that not all abandoned shopping carts result in lost sales.
Customers routinely pick up abandoned carts and complete the final orders. Among the
factors that propel customers to continue with aborted shopping are the time of shopping,
time elapsed since the previous visit, the number of items left in the abandoned cart, and
promotion intensity.The study offers marketers important managerial implications on how
to mitigate the shopping cart abandonment problem.

24
Donald Rogan (2007) explains the relationship between consumer behaviour and
marketing strategy. He states that strategy is about increasing the probability and frequency
of buyer behaviour. Requirements for succeeding in doing this are to know the customer
and understand the consumer's needs and wants. The expectation-confirmation model
(Oliver 1980), on the other hand, focuses on the post-purchase behaviour. It is a widely
used model in the consumer behaviour literature, particularly in explaining consumer
satisfaction and repeat purchase. Satisfaction is the central conception of this model and it
is formed by the gap between expectations and perceived performance (Oliver 1980). The
expectation-confirmation theory suggests that if the perceived performance meets one's
expectation, confirmation is formed and consumers are satisfied.

Zhang (2009). Intrinsic motivation for Internet shopping is captured by the “enjoyment”
construct in our framework. Intrinsic value or “enjoyment” derives from the appreciation
of an experience for its own sake, apart from any other consequence that may result.

Karayanni (2008) concluded that “enjoyment” results from the fun and playfulness of the
online shopping experience, rather than from shopping task completion. The purchase of
goods may be incidental to the experience of online shopping. Thus, “enjoyment” reflects
consumers’ perceptions regarding the potential entertainment of Internet shopping found
“enjoyment” to be a consistent and strong predictor of attitude toward online shopping.

Chen (2009) in his dissertation entitled “Online consumer behavior: an empirical study
based on theory of planned behavior “ extends theory of planned behaviour (TPB) by
including ten important antecedents as external beliefs to online consumer behavior. The
results of data analysis confirm perceived ease of use (PEOU) and trust are essential
antecedents in determining online consumer behavior through behavioral attitude and
perceived behavioral control. The findings also indicate that cost reduction helps the
consumer create positive attitude toward purchase. Further, the findings show the effects of
two constructs of flow –concentration and telepresence, on consumers’ attitude.
Concentration is positively related to attitude toward purchase, but telepresence likely
decreases attitude due to the consumers’ possible nervousness or concern about uncertainty
in the online environment.
According to Sharma and Mittal (2009) in their study "Prospects of e-commerce in
India", mentions that India is showing marvellous growth in the Ecommerce. Undoubtedly,
with the population of millions of people, online shopping shows unlimited potential in
India. Today E-commerce is a common word in Indian society and it has become an
essential part of our daily life. There are websites providing a number of goods and
services. Then there are those, which provide a specific product along with its allied
services. Multi-product ecommerce- These Indian E-commerce portals provide goods and
services in a variety of categories. To name a few: Apparel and accessories for men and
women, Health and beauty products, Books and magazines, Computers and peripherals,

25
Vehicles, Software, Consumer electronics, Household appliances, Jewellery, Audio/video,
entertainment, goods, Gift articles, Real estate and services.

Ramírez Nicolas (2010) state that "The Internet has changed many facets of our daily
lives: the way we relate and communicate with one another, how we interact with a bank,
read newspapers or watch television. Even the way we buy and sell. These changes have
occurred due to the constant flow of companies offering new business models and
innovative formulae. Discount coupons have always been a powerful marketing tool.
Whether inserted in printed media or posted through letter boxes, they attracted new
customers and were also offered at the time of purchase to endorse customer faithfulness
by encouraging repeat purchases.

Menon (2010). Says that If consumers enjoy their online shopping experience, they have a
more positive attitude toward online shopping, and are more likely to adopt the Internet as
a shopping medium. In our framework, we identify three latent dimensions of “enjoyment”
construct, including “escapism”, “pleasure”, and “arousal” “Escapism” is reflected in the
enjoyment that comes from engaging in activities that are absorbing, to the point of
offering an escape from the demands of the day-to-day world. “Pleasure” is the degree to
which a person feels good, joyful, happy, or satisfied in online shopping.

Morrison (2011). Whereas “arousal” is the degree to which a person feels stimulated,
active or alert during the online shopping experience. A pleasant or arousing experience
will have carry-over effects on the next experience encountered If consumers are exposed
initially to pleasing and arousing stimuli during their Internet shopping experience, they
are then more likely to engage in subsequent shopping behavior: they will browse more,
engage in more unplanned purchasing, and seek out more stimulating products and
categories.
Herna´ndez et al. (2011) in a study “Age, gender and income: do they really moderate
online shopping behavior?” Analyzed whether individuals’ socio economic characteristics
– age, gender and income – influence their online shopping behavior. The individuals
analyzed are experienced e-shoppers i.e. individuals who often make purchases on the
internet. The results of their research show that socioeconomic variables moderate neither
the influence of previous use of the internet nor the perceptions of e- commerce; in short,
they do not condition the behavior of the experienced e-shopper.
Geissler, (2012) The shopping motivation literature is abound with various measures of
individual characteristics (e.g., innovative, venturesome, cosmopolitan, variety seeking),
therefore, innovativeness and risk aversion were included in this study to capture several of
these traits. Measures by Donthu and Gilliland were used to measure innovativeness and
risk aversion

26
CHAPTER -3

RESEARCH

METHODOLOGY

Research Objective -

The primary objective of the study is to analyze the factors influencing consumers to shop
online.

Besides the factors influencing another purpose of the study is to analyze who are online
shoppers in terms of demography. The findings of this research will not only help
marketers to formulate their marketing strategies for online shoppers but will also increase
the knowledge and research in field of online shopping..

One of my research objectives is to work on factors that influence consumers to shop


online, the four factors such as Convenience, Time Saving, Website Design/Features and
Security. While it is important to investigate the motivation behind consumer purchasing
but it is equally important to find as how the consumers form attitudes and behaviors
towards online buying because consumer attitude towards purchasing online is a
conspicuous factor affecting actual buying behavior.

Research Hypothesis
H01: There is no relationship between Gender and consumers’ attitude towards online
shopping.

H02: There is no relationship between Age and consumers’ attitude towards online
shopping.

H03: There is no relationship between area of residence and consumers’ attitude towards
online shopping.

H04: There is no relationship between educational qualification and consumers’ attitude


towards online shopping.

H05: There is no relationship between monthly income and consumers’ attitude towards
online shopping.

27
RESEARCH METHODOLOGY:

Type of research :

Descriptive Study
Descriptive research is used to describe characteristics of a population or phenomenon
being studied. It does not answer questions about how/when/why the characteristics
occurred. Rather it addresses the "what" question (what are the characteristics of the
population or situation being studied?). Descriptive research generally precedes
explanatory research. In other words, descriptive research can be said to have a low
requirement for internal validity.

Developing the research plan:


The data for this research project would be collected through questionnaire. A structured
questionnaire would be framed as it is less time consuming, generates specific and to the
point information, easier to tabulate and interpret. Moreover respondents prefer to give
direct answer.

Collection of data:
In dealing with any real life problem, it is often found that data at hand are inadequate, and
hence, it becomes necessary to collect data that are appropriate. We have chosen following
methods:
a) Primary data: These are those data, which are collected afresh and for the first time,
and thus happen to be original in character. We have used the structured questioners.
b) Secondary data: These are those which have already been collected by someone else
and which have already been passed through the statistical process. We collect the data
from the sources like internet, published data etc.

Population of the study


This Study was conducted at the Bhopal city, M.P. , India.
Sampling Size:
It is the total number of respondents targeted for collecting the data for the research. There
are about 100 customers who do online shopping. Respondent included both males and
females. I have taken sample size of 100 respondents for my research.

28
Sampling Technique:
Random sampling technique is used in this research project.

The Tools Used in Data Study -


In the process of collecting information there is the follow up of the statistical software
SPSS – that is Statistical Package for Social Sciences applied in Windows 17.0

Data usage:
For analysis and interpretation only primary data is used. However for conclusion and
recommendation both: Primary and the secondary data along with the verbal knowledge
and information although obtained from respondents, though they are outside the
parameters of questionnaire were also included.

29
CHAPTER-4

DATA REPRESENTATION AND ANALISIS

FINDINDG ANALISIS

Table no .1 shows the age of the respondents.

Table no .1 what is your age


Frequency Percent Valid Percent Cumulative Percent
Valid 15-20 13 13.0 20.0 20.0
21-25 48 48.0 24.0 52.0
26-30 26 26.0 36.0 88.0
31-35 6 6.0 12.0 100.0
36 and above 7 7.0 8.0
100 100.0 100.0 100.0

Age

6% 7%
13% 15-20
21-25
26%
26-30
48%
31-35
36 and above

Interpretation:
As per the above table no.1 of the Age of the respondent are of five categories.
13% respondents are between 15-20 years old, 48% respondents are between 21-25 years

30
old, 26% respondents between 26-30 years old, 6% respondents are between 31-35 years
old, and 7%resopndents are between 36-40 years old. According to the respondents group,
maximum respondents are of 48% who prefer to shop online that is the highest percentage
who has age limit between 21-25years
Table no .2 shows the Education qualification of the respondents. They are given as
follows below in the table.

Table no. 2Education


Frequency Percent Valid Percent Cumulative
Percent
Valid H.S.C. 24 4.0 4.0 4.0
U.G. 35 48.0 48.0 52.0
P.G. 40 36.0 36.0 88.0
Phd 1 12.0 12.0 100.0
Total 50 100.0 100.0

Education
1%

24%
40%
H.S.C
U.G.
P.G.
35%
Phd

Interpretation:
As per the above table no.2 of the education qualification the respondent are
as 35% respondents are bachelor, 24% respondents are high school student, 40%
respondents are master and only 1% PhD. From all of the respondents maximum number
of respondents (40%) is master student. Survey results shows that 75% respondents are
bachelor and master.

31
Table no .3 shows the income level of the respondents. The income groups where
divided as given below in the table.

Income
Frequency Percent Valid Percent Cumulative
Percent
Valid 10k - 15k 12 12.0 12.0 12.0
15k - 20k 32 32.0 32.0 44.0
20k - 25k 40 40.0 40.0 84.0
25k - 30k 16 16.0 16.0 100.0
Total 100 100.0 100.0

Income
45%
40% 40%
35%
30% 32%
25%
20%
16% Income
15%
10% 12%
5%
0%
10k -15k 15k -20k 20k -25k 25k and
above

Interpretation:

As per the above table no.3 of the Income of the respondent are divided into
four categories. In the first category the Income group of 10-15k for which respondent
where 12%, in second its 15k-20k for which its 32% in third its 20k-25k for which
respondent are 40% and for the fourth that is 25k and above respondent are 16% .The
maximum no. of respondent are for the income group second 20k-25k that is 40%.
Table no .4 shows the gender of the respondents. The data is given below in the table
are as follows:

Gender

32
Frequency Percent Valid Percent Cumulative
Percent
Valid Male 48 48.0 48.0 48.0
Female 52 52.0 52.0 100.0
Total 100 100.0 100.0

Gender
53%
52%
52%
51%
50%
49% Gender
48%
48%
47%
46%
Male Female

Interpretation:

As per the above table no.4 of the gender of the respondent are of two
categories. In the first category the male group of is 48%, female group is 52%. The data
was equally collected for both the male and the females.

Table no .5 shows the respondent for convenience factor. The data is given below are
as follows:

On time delivery
Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly agree 15 18.0 18.0 18.0
Agree 66 52.0 52.0 70.0
Neutral 17
Disagree 1
Strongly disagree 1 30.0 30.0 100.0

33
Total 100 100.0 100.0

On time delivery
70% 66%

60%
50%
40%
30%
20% 15% 17%

10%
1% 1%
0%
Strongly Agree Neutral Disagree Strongly
agree disagree

Interpretation:
As per the above table no.5 of “On time delivary” is in five categories. In the
first that is Strongly agree the respondent were 15% and for agree the respondent are 66%
and for Neutral the respondent were 17%, and those for disagree are 1% And
respondent who Strongly disagree are 1%. The maximum no. of respondent are for Agree
that is 66% they agreed with the statement that they get on time delivery by shopping
online.
Table no .6 shows the respondents for convenience factor under which availability of
information is questioned .The data is given below in the tables are as follows :

Information Available
Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly agree 19 10.0 10.0 10.0
Agree 55
Neutral 19 38.0 38.0 48.0
Disagree 6 52.0 52.0 100.0
Strongly disagree 1
Total 100 100.0 100.0

34
Information Available

6%1% Strongly agree


19%
19% Agree
Neutral
Disagree
55% Strongly disagree

Interpretation:

As per the above table no.6 of “Information Available” is five categories. In the
first that is Strongly agree the respondent were 19% and for agree the respondent are 55%
for Neutral the respondent were 19%, and those for Disagree were 6% And respondent
who Strongly Disagree are 1%. The maximum no. of respondent were for Agree that is
55%.

Table no .7 shows the respondents for the convenience factor i.e. to buy the product
anytime in 24 hours which affect them. The data is given below as :

24 hours service
Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly Agree 56 16.0 16.0 16.0
Agree 31 58.0 58.0 74.0
Neutral 6
Disagree 5
Strongly disagree 2 26.0 26.0 100.0
Total 100 100.0 100.0

35
24 hours service
60%
56%
50%
40%
30% 31%
20%
10% 24 hours service
6% 5%
0% 2%

Interpretation:
As per the above table no. 7 out of total 100 respondents 56% strongly agree with the
statement that “they can buy the products anytime 24 hours a day while shopping online”
where as 31% agree, 6% showed uncertain response, 5% disagree and 2% strongly
disagree as shown in table 8 in appendix. So most of the respondents (56+31=87%) falls in
agree and strongly agree with the statement which shows a positive agreement
Table no .8 shows the respondents for Convenience factor of comparison of product
that affect them. The data is given below in the tables are as follows :

Comparisons
Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly Agree 25 14.0 14.0 14.0
Agree 42 44.0 44.0 58.0
Neutral 16
Disagree 15
Strongly disagree 2 42.0 42.0 100.0
Total 100 100.0 100.0

36
Comparisions
45%
40% 42%
35%
30%
25% 25%
20%
16% Comparisions
15% 15%
10%
5%
0% 2%
Strongly Agree neutral Disagree Strongly
agree disagree

Interpretation:

As per the above table no.8 The percentage scores from the table 9, shows that
25% of the respondents strongly agree with the statement that “it is easy to choose and
make comparison with other products while shopping online, whereas 42% Agree, 16%
uncertain, 15% disagree and 2% strongly disagree with above statement. Majority of the
respondent’s falls in strongly agree and agree.
Table no .9 shows that the Website Design/Features factor i.e. easy searching affect
the customer . The data collected are given below in the table:

Easy Searching
Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly agree 25 10.0 10.0 10.0
Agree 41 58.0 58.0 68.0
Neutral 25
Disagree 8
Strongly disagree 1 32.0 32.0 100.0
Total 100 100.0 100.0

37
Condition
70%
60%
50%
40%
30% 58% Condition
20%
32%
10%
10%
0%
Neutral Agree Strongly
agree

Interpretation:

As per the above table no.9 of “Working Conditions ” is five


categories. In the first that is Strongly Disagree the respondent were 0% and even for
disagree the respondent are 0% but for Neutral the respondent were 10%, and those for
Agree are 58% And respondent who Strongly agree are 32%. The maximum no. of
respondent are for Agree that is 58%.

Table no .10 shows that the Website Design/Features factor under which comes the
easy navigation and order affects respondents . The data collected are given below in
the table:

Navigation and Order


Frequency Percent Valid Percent Cumulative Percent
Valid Strongly Agree 52 10.0 10.0 10.0
Agree 30 32.0 32.0 42.0
Neutral 13
Disagree 3
Strongly disagree 2 58.0 58.0 100.0
Total 100 100.0 100.0

38
Navigation and Order

3% 2%
13% Strongly agree
Agree
52%
30% neutral
Disagree
Strongly disagree

Interpretation:
As per the above table no. 10 shows that 25% of the respondents strongly agree
with the statement that “website design helps me in searching the products easily, 41%
agree, 25% uncertain, 8% disagree with the statement and only 1% strongly disagree.

Table no .11 shows that do respondent feel that website layout help them to select the
right product. The data collected are given below in the table:

Website layout
Frequency Percent Valid Percent Cumulative Percent
Strongly agree 29 18 18
Valid Agree 48 10.0 10.0 10.0
Neutral 12
Disagree 9 32.0 32.0 42.0
Strongly disagree 2 40.0 40.0 100.0
Total 100 100.0 100.0

39
60%

50%
48%
40%

30% 29%
Website layout
20%

10% 12%
9%

0% 2%
Strongly Agree neutral Diagree Strongly
agree disagree

Interpretation:

As per the above table no11. shows that out of 100 respondents 52% strongly
agree with the statement that “while shopping online, they prefer to purchase from a
website that provides safety and ease of navigation and order, in the same manner 30%
agree, 13% were uncertain, 3% disagree and only 2% strongly disagree. Majority of the
respondents agree with this statement.
Table no .12 shows the respondents for factor of website Design that affect them. The
data is given below in the tables are as follows:

Risk Reduction
Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly Agree 33 14.0 14.0 14.0
Agree 45 44.0 44.0 58.0
Neutral 15
Disagree 6
Strongly disagree 1 42.0 42.0 100.0
Total 100 100.0 100.0

40
Risk reduction
50%
40%
30%
Risk
20% 45% Reduction
33%
10%
15%
6% 1%
0%
Strongly Agree neutaral Disagree Strongly
agree disagree

Interpretation:

As per the above table no.12 shows that 33% respondents strongly agree with
the statement “we believe that familiarity with the website before making actual purchase
reduce the risk of shopping online”, 45% agree with the statement. 15% uncertain, 6%
disagree and only 1% respondents have shown strong disagreement with the statement.
Table no .13 shows that online shopping takes less time to purchase. The data
collected are given below in the table:

Less Time
Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly Agree 17 18.0 18.0 18.0
Agree 39 52.0 52.0 70.0
Neutral 24
Disagree 18
Strongly disagree 2 30.0 30.0 100.0
Total 100 100.0 100.0

41
Less Time
60%

50% 52%

40%

30% 30%
Holiday
20%
18%
10%

0%
0 1 2 3 4

Interpretation:

As per the above table no.13 shows that 17% of the respondents strongly agree
that “online shopping takes less time to purchase, 39% respondents agree with the
statement, 24% uncertain, 18% disagree and 2% strongly disagree with the statement with
the above response of the respondent is shows that online shopping takes less time to
purchase as compare to traditional shopping.
Table no. 14 shows that online shopping doesn’t waste time . The data collected are
given below in the table:

No Time Wastage
Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly Agree 15 12.0 18.0 18.0
Agree 29 25.0 52.0 70.0
Neutral 34 33
Disagree 19
Strongly disagree 3 30.0 30.0 100.0
Total 100 100.0 100.0

42
No time wastage
40%
35%
30%
25%
20%
15%
10%
5% No time wastage
0%

Interpretation:

As per the above table no.14 shows that 15% respondents out of 100 sample
size strongly agree with the statement that “online shopping doesn’t waste time”, 29%
agree, 34% uncertain, 19% disagree where as only 3% respondents have shown
disagreement with the statement. As per the response shows positive agreement with the
statement and it shows Swedish online shoppers believe that online shopping doesn’t waste
time.
Table no. 15 shows the respondents feel that it take less time in evaluating and
selecting a product. The data is given below in the tables are as follows :

Quick Evaluation and Selection


Frequency Percent Valid Percent Cumulative
Percent
Valid Strongly Agree 6 6.0 14.0
Agree 31 31.0 44.0
Neutral 24 24.0 14.0
Disagree 34 34.0 44.0 58.0
Strongly disagree 5 5.0 100.0
Total 100 100.0 100.0

43
Quick Evaluation and Selection
35%
30%
25%
20%
15%
10% Quick Evaluation and
5% Selection
0%

Interpretation:

As per the above table no.15 shows that Only 6% respondents are agreed with
the statement that “ it takes less time in evaluating and selecting a product while shopping
online”, 31% agree, 24% uncertain, 34% disagree, and 5% strongly disagree with the
Statement. But if you look at the frequency and percentage of respondents 34% disagree
and 24% uncertain which mean product evaluation takes less time but not so much less.
Table no.16 shows that do respondent feel safe and secure while shopping online. The
data collected are given below in the table:

Feel Safe And Secure


Frequency Percent Valid Percent Cumulative Percent
Strongly agree 4
Valid Agree 36 40.0 40.0 10.0
Neutral 25 10.0 10.0
Disagree 26 32.0 32.0 42.0
Strongly disagree 12 18.0 18.0 100.0
Total 100 100.0 100.0

44
Safe and secure
40%
35% 36%
30%
25% 25% 26%
20%
15%
10% 12%
5% 4% Safe and secure
0%

Interpretation:

As per the above table no.16 shows that 4% respondents strongly agree, 36%
agree, 25% uncertain, 26% disagree and 9% respondents strongly disagree with the
statement that “they feel that online shopping protects their security”The average
respondents are uncertain that they feel Safe and secure while shopping online. As 50% of
the respondents fall between disagree and uncertain which also show that online shoppers
in Sweden have security issues while shopping online.
Table no . 17 Shows the trustworthiness of the site which affects respondents . The
data collected are given below in the table:
Trustworthiness
Frequency Percent Valid Percent Cumulative Percent
Valid Strongly Agree 46 32.0 10.0 10.0
Agree 47 58.0 32.0 42.0
Neutral 4
Disagree 1
Strongly disagree 2 10.0 58.0 100.0
Total 100 100.0 100.0

45
Trustworthiness

4%2%
1% Strongly Agree
Agree
46% Neutral
47% Disagree
Strongly Disagree

Interpretation:

As per the above table no.17 shows that 46% of the respondents strongly agree
that “they like to shop online from trust worthy website”, 47 % agree with this statement
which mean in total out of 100, 93% respondents believes that trustworthiness is important
attribute while shopping online. If you look the majority of the respondents would not like
to take risk by shopping from a website that is not trustworthy.

46
CHAPTER-5

LIMITATIONS

AND

RESULT

Limitations of the study :

Since the road to improve is never ending, so this study also suffers from certain limitation.
Some of them are as follows:
 The extent of survey was Bhopal only. So the suggestions or arguments given in
the report may not hold true for other locations in India .
 Questionnaire method involves some uncertainty of response. Co-operation on the
part of informants, in some cases was difficult to presume.
 It is possible that the information supplied by the informants may be incorrect.
 The views of the respondent may have been based on intuition,current factors, and
experiences of the respondents.
 Most of the respondents hesitate to give information but how ever an attempt is
made to collect the data systematically.
 Time is the one constraint of the survey.
 Money constraint is also there.

RESULT

Consumer attitude towards online shopping were examined in terms of time saving, web
site layout/design, convenience, security. Factor analysis using SPSS for windows was
conducted in order to identify the factors that affect the online shopping behavior of
consumers.

47
In the questionnaire I have covered the questions relating to factors influencing consumers
to shop online, these factors are :
 Convenience
 Time Saving
 Website Design/Features
 Security.
Convenience as one of the factor includes four questions, as mentioned above. According
to the data collected through the questioner we found that:
 66% of the respondents agreed with the statement that they get on time
delivery by shopping online.
 55% online shoppers perceive t1hat detail information is available while
shopping online.
 With the above data collected it shows strong positive agreement with the
statement that they can buy the products anytime 24 hours a day while
shopping online.
 Online shoppers believe that it is easy to choose and make comparison with
other products while shopping online.

In Website design/Features there are total of five questions pertaining to for which the
result were as follows:

 41% respondent agreed which shows strong positive agreement with the statement
that website design helps consumers in searching the products easily.
 52% online shopping customer strongly agreed with the statement that “while
shopping online, they prefer to purchase from a website that provides safety and
ease of navigation and order which shows very strong agreement of the respondents
with one of the module of website design.
 Website layout is the graphic user interface of a web page, it includes the options,
search bars, tools and buttons which helps user to browse and shop easily. Results
indicated that 48% of respondent agreed which means website layout is important
element for consumers while shopping online.

 45% agree with the statement, “we believe that familiarity with the website before
making actual purchase reduce the risk of shopping online”, which show positive
result as on average most of the respondents agree that past experience with
website while shopping online reduces the risk of shopping online.

48
 45% agreed with the statement which shows that a website that provide quality of
information can influence consumers more that a website with less quality
information.

Time saving factor there are three questions which shows the result :

 17% respondent strongly agree and 39% agree which shows that online shopping
takes less time to purchase as compare to traditional shopping.
 Maximum no. of respondent believes that online shopping doesn’t waste time.

Security factor there are three questions related which shows the result as:

 With the data collected it shows that on average respondents are uncertain that they
feel Safe and secure while shopping online. But as 50% of the respondents fall
between disagree and uncertain which also show that online shoppers have security
issues while shopping online.
 The data indicated quite negative trend, only 18% respondents fall between
strongly agree and agree, 46% are uncertain, 24% are disagree and 12%
respondents strongly disagree with the statement that “online shopping protects
their security” with this results we gets to know that online shopping security is
important aspect which negatively influence consumers to shop online.

 46% of the respondents strongly agree that “they like to shop online from trust
worthy website”, 47 % agree with this statement which mean in total out of 100,
93% respondents believes that trustworthiness is important attribute while shopping
online which also proves that majority of the respondents would not like to take
risk by shopping from a website that is not trustworthy.

CONCLUSION

49
Online shopping is becoming more popular day by day with the increase in the usage of
World Wide Web known as www. Understanding customer’s need for online selling has
become challenge for marketers. Specially understanding the consumer’s attitudes towards
online shopping , making improvement in the factors that influence consumers to shop
online and working on factors that affect consumers to shop online will help marketers to
gain the competitive edge over others. Therefore my study has focused mainly on: what
are factors that influence consumers to shop online and to see what factors are most
attractive for Bhopal online shoppers. We foresee that our findings will give a clear and
wide picture to online retailers and will help them understand the specific factors that
influence consumers to shop online, so they can build up their strategies to cater online
shoppers in Bhopal.
I have also worked on demographic factors of online shoppers in , to see a correlation
within demography factors such as Age, Income and Education; this will also give an
insight to online retailers to see the online shopping attitudes within these demographic
factors.
The findings that I have gained in this research are as follows; starting from demography
the results of correlation results of age indicated that there is a quite strong negative
correlation between age and attitude to on-line shopping, i.e. elderly people are not so keen
to shop on-line. This will help online retailers to make strategies according to different age
brackets.The second part of the analysis is done on factors influencing consumers to shop
online. From the results we have concluded that the most influencing and attractive factor
among four factors is website design/features with average score , following convenience
that is second most influencing factor , time saving and then security with least average
score is also important, particularly the security concerns are very important while
shopping online. Last but not least after analyzing the additional comments made by 31
respondents out of total 100 sample size, we have found that low price, discount, feedback
from precious shoppers, and quality of product and information are also considered to be
important factors.

50
REFRENCES

BOOKS:

 Service Marketing by Kennete Clow & David Kurtz


 MAGAZINES;
 Motoring ,auto india ,override ,hotwheels
 The time of india hundistan time.
 www.icraindia.com.
 www.indiabike.com.
 http://articles.economictimes.indiatimes.come/keyword/online-shopping 5.
 http://articles.timesofindia.indiatimes.com/keyword/online-shopping
 . http://dx.doi.org/10.1016/0749-5978(91)90020 -
 http://dx.doi.org/10.1016/0022-1031
 http://dx.doi.org/10.10
 . http://dx.doi.org/10.1145/322796.322805
 . http://dx.doi.org/10.1145/353360.353371
 http://dx.doi.org/10.1002/dir.20010
 http://dx.doi.org/10.4018/jeco.2005100101
 . http://dx.doi.org/10.1089/cpb.2006.9968

51
QUESTIONNNAIRE

Dear Respondent

I am Jayant Bujruk a research scholar, of The Bhopal School of Social Sciences ,


Bhopal. I am conducting a research on report “A STUDY ON CONSUMERS’
ATTITUDE TOWARDS ONLINE SHOPPING” under the guidance of Dr. Richa
Bhatia . Kindly fill the questionnaire and be rest assured that the information provided by
you will be used only for academic purpose.

Section A: General Information


Name of Respondent -……………………….

Age :
(1) 20-25 year (2)25-30 year (3) 35-40 year (4) 40 and above

Income -
(1) 10k-15k (2) 15k-20k (3) 20k-25k (4) 25k and above

Education –
(1) Hig. sec. (2) Graduate (3) PG (4) PG and above

Gender - (1) Male (2) Female

52
Section B: Information related to research topic
S.No. Statements Strongly disagree Neutral Agree Strongly
disagree Agree
1 I get on-time delivery.

2 Detail information is
available.

3 I can buy the products


anytime 24 hours a day.

4 It is easy to choose and


make comparison with
other products.

5 The website design helps


me in searching the
products easily

6 I prefer to purchase from a


website that provides
safety and ease of
navigation and order

7 The website layout helps


me in searching and
selecting the right product
while shopping online

8 I believe that familiarity


with the website before
making actual purchase
reduce the risk of shopping
online

9 I prefer to buy from


website that provides me
with quality of information

53
10 It takes less time to
purchase.

11 Online shopping doesn’t


waste time

12 I feel that it takes less time


in evaluating and selecting
a product.

13 I feel safe and secure while


shopping online

14 Online Shopping protects


my security.

15 I feel safe to shop online


from a trustworthy website.

54

You might also like