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RRP Intern Harry
RRP Intern Harry
A. Research Background
Buying behaviour is the process that leads consumers to acquire the product. In fact, from the
moment they discover it to the moment they buy it, we can call it buying behaviour. Also, they
may repeat the purchase in some cases. Purchase behaviour includes several data points. For
example : time of purchase, duration, frequency, purchase price, and other measures that gauge
how consumers perceive the product. Specifically, these measures are grouped into different
purchase categories, which in turn indicate how buyers engage in a purchase decision.
This study of consumer behaviour allows marketers to understand what influences consumers’
decisions and consumption patterns. Therefore, by understanding the factors that lead a customer
to buy a product, companies can improve their marketing plans and better meet the needs of
prospects.
Apart from that, buying behaviour helps marketers to know how to present their offer, to
generate maximum impact on consumers. Hence, it is essential to understand the customer
journey to know when and why the customer decides to buy that particular product. As a result, a
good understanding of buying behaviour will help a company to tailor its marketing messages to
the buying behaviour of consumers, and the type of buyers.
The Footwear industry is a highly competitive and fragmented market, with manufactures settled
all over the world seeking economies of scale and low cost labour factors in order to get higher
margins. Always aiming on the final consumer satisfaction, this industry’s major players are
always looking for innovation on their products so they can successfully satisfy their customers’
needs. Making part of a complex industry structure with a large number of players, marketing
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strategies, product categories and market segments, companies must overcome the different
challenges that arouse.
In order to better understand this industry adequate market segmentation must be done. This
segmentation allows companies for a precise identification of market opportunities, weakness
and strengths of their strategies and products and allows an adequate positioning of the company
in the market place. Using product categories and crossing it with demographic factors which
will influence the buying decision can give better a perception of the footwear industry main
segments.
Customers are becoming more pricesensitive and value a good relation between price and
quality, regarding their budget.Fashion trends showed up to be other great influence on the
footwear demand, it somehow manipulates the decision of buying this or that pair of shoes.
Weather season, when making reference especially to the type of weather of the region is
important for the decision of the customer, depending if it is a cold or warm climate different
shoes satisfy the needs in these different climate regions. Seasonality led to an increase of
sandals, flip-flops during spring and summer while boots and other warm and waterproof type of
shoes have sales increase during autumn and winter.
So this project helps us to analyse what is the online buying behaviour of consumers regarding
footwear’s.
B. CONTRIBUTIONS
• This research report will help in gaining more knowledge about consumer behavior for
marketers.
• Skecher can easily work on its loopholes to create a better brand in the coming future
through this research report.
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CHAPTER 2
INDUSTRY PROFILE
The footwear industry is based on a number of different sects that help create shoe designs and
sell them to customers. Facets of the industry include shoe design, marketing, and
manufacturing, as well as retail sales. The process is not as simple as creating a shoe idea and
then selling it to customers. This business takes many people from different professional
backgrounds to come up with an idea that potential footwear shoppers will purchase and wear.
Marketing professionals play a role in the development of shoes, as well as the efficacy of their
sales. A footwear company’s marketing team creates strategies to sell the shoes to make the most
profit. This involves advertising techniques, as well as in-store methods such as sales events. The
marketing team is completely on top of the sales of footwear and can help to identify new
methods to reach customers if current methods are not effective.
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The leather and footwear industry in India is a high employment generating sector, contributing
significantly to the country’s export earnings and economic growth. From the simple padukas
worn by priests in the 1st century to exquisite mojharis and juttis patronized by the Rajput and
Mughal rulers respectively, to the widely popular Kolhapurichappals which first became popular
in the 18th century, India has had a long and rich history of diverse footwear. Being the 2nd
largest producer of footwear, 2nd largest exporter of leather garments and 5th largest exporter of
leather goods, the world now looks at India for a large proportion of its footwear and leather
requirements. The footwear industry in India contributes about two per cent to India’s overall
GDP along with employing 2 Mn workers, making the sector one of the top employment
generators in the country.
China is the largest producer of footwear in the world with a share of 55.8 per cent followed by
India at 10.7 per cent. The industry in China is largely export oriented where 70.8 per cent of the
production is exported. Similarly, Vietnam is also outward oriented where 97.8 per cent of the
production is exported. On the other hand, India’s and Indonesia’s industries are driven by the
domestic market
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Indian Footwear Industry – Overview
Indianfootwearindustryisoneofthetopemploymentgeneratingindustriesinthe nation. While it
holds an important position in the Indian Government’s drive, the sector dramatically
contributes to the nation’s economic growth. Asper Statista, the footwear market amounts
to US$9,352m in 2022 and ispredictedto expand annuallyby13.53% (CAGR2022-2025).
The footwear industry in India is a combination of both the traditional and modern
sectors, manufacturing both leather and non-leather footwear. India is the second-highest
producer of footwear in the world, making it one of the leading providers of footwear and
leather products.
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Evolution of Indian Footwear with e-Commerce
India is one of the largest producers of footwear and is only behind China in the world. As
per Invest India, India’s contribution to global footwear production is10.7%.
The growth in the Indian fashion and lifestyle market has given a spur to the footwear
industry as well. It has developed as a fashion and style category from a basic need-based
industry. Currently, a major part of India’s fashion market is digitally influenced.
Due to the increasing demand, the e-commerce model has penetrated the footwear industry,
providing ample opportunities for the SME sectors, especially in tier II and III cities.
Furthermore, thee-commerce ecosystem parse provided many enterprises and premium
footwear brands an easetota pin to the market.
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Online retailing has enabled SMEs and enterprises across the country to target national consumers
rather restricting themselves as regional retailers. This has opened the gates for new possibilities of
online retailing i.e. multichannel ,omnichannel ,and D2C.
Indian footwear industry is emerging as the most demanded shopping category brands, such as
Bata, Campus Shoes, Action Shoes, Puma is going online and creating a niche market and
opportunities for the other footwear retailers.
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Challenges in the Footwear Industry in India
Robert Greenberg founded Skechers in 1992. At the time, L.A. Gear had a lock on the women’s athletic
market and Nike dominated the market for men’s athletic wear. But there were no industry giants who
wh
controlled men’s and women’s street shoes. This provided Skechers an opportunity to champion a new
and expanding niche market in the U.S.A.
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Before Greenberg went out on his own to create Skechers, he was one of the founders of L.A. Gear,
which within seven years of business was already grossing more than $900 million in sales—the yield of
neon tennis shoes that favored female preferences. By 1992, L.A. Gear saw a huge loss in market share
and the company forced out Robert and his son Michael.
It wasn’t the first taste of the unpredictable, significant shift in the retail trade for Greenberg. He began
his career in the 1960s and worked in various retailing roles: from selling wigs to beauty parlors to
importing designer jeans to founding a roller skate store. But his first major break happened after he
purchased the license to place the image of the film character E.T. on his shoelaces.
That move netted him $3,000,000 in fewer than eight weeks.
Hello, Hollywood. Hello, influence and recognition.
And it was with that revenue that he decided to found L.A. Gear.
NOW, LET’S HEAD BACK TO THE FUTURE!
Did you know that Skechers was initially supposed to be a distributing outlet for Dr. Martens shoes? It’s
true, but within one year, Greenberg focused on designing, developing, and marketing his own unique
brand. And he saw the opportunity in casual street shoes, so he aimed for appealing to young and hip
consumers.
Skechers also brought other brands into its label, including Cross Colours and Karl Kani. In 1993, it was
decided that refining its own label (Skechers shoes) would be more profitable. It was also this year that
the Greenberg’s Skechers introduced the “Chrome Dome.”
THE CHROME DOME …
The “Chrome Dome” shoe was manufactured to appear well-worn and scuffed (primarily at the heel). It
was the footwear version of stone-washed, pre-torn jeans, which were incredibly popular at the time.
Because of this unisex look, the shoe appealed to both sexes and became an urban street boot icon for the
“grunge” youth.
Skechers Today …
Skechers is now a global leader in footwear. A two-billion-dollar leader in thousands of stores to be
exact. With more than 3,000 styles designed, developed, and marketed for men, women, and children,
Skechers focuses on two distinct categories of footwear:
1. Lifestyle offers Memory Foam: Contours to the singularity of your foot for ultimate comfort.
2. Performance offers GOrun and GOwalk
1. GOrun offers innovation in technology that facilitates a midfoot strike coupled with cushioning and
impact protection.
2. GOwalk offers GOga Mat Technology boasting high-rebound cushioning and other materials made
specifically for athletic walking.
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CHAPTER 3
LITERATURE REVIEW
Literature Review: Before we start practically working on our project we had to do a lot of theoretical
work which includes reading research papers to get a clearer image of recent advancements in the field
of Online shopping . In-fact we believe research is the most essential phase of our project because this is
the first time we are working on this particular type of project and it’s a challenge for us. So, to make
ourselves feel comfortable with this project it was quite necessary for us to review the literature.
Shoes are probably one of the most difficult products to sell online due to the high need-for-touch (NFT)
displayed: people need to experiment the product before buying it, more than in any other item. On
another hand, women are more prone than men to buy fashion and apparel products through the web
channel. This paper investigates the factors driving women consumers to shop footwear products online.
A qualitative research method was used grounded on semi-structured, in-depth interviews that were
conducted to corroborate the constructs defined in the proposed conceptual model namely: convenience,
recreation, NFT and social e-shopping. The interviews were focused on the demand side to understand
the female consumers' perspective and on the top managers of women's shoes companies representing
the suppliers' viewpoint. The results show that women highly appreciate the convenience that shopping
shoes online provides as well as its recreational nature. The NFT also stands out in the shoe market
context mainly due to the particularities related to shoe size. Additionally, social e-shopping was found
not be as important for women as anticipated as they see social networks more as a communication
platform for brands, and less as a factor that influences their predisposition to shop shoes online. On the
suppliers' side, the interviews revealed that managers believe in bloggers and social media influence and
its consideration as part of the overall marketing strategy.
Through literature review we came to know about the factors that affecting online buying
behaviour:
Financial concerns.
Convenience.
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Fear of Non-delivery.
Financial concerns; When it comes to spending, the older generation and younger consumers have two
different perspectives on the possible risks of online shopping. Oftentimes, the elderly are highly
concerned about sharing their financial accounts information online. In contradiction, younger
consumers are less bothered by this risk and remain avid online shoppers despite the growing number of
scammers online.
The expectation vs. reality dilemma; If you have been online shopping for quite a while, then you will
understand how frustrating it gets to receive a product that does not meet your expectation. Naturally,
sellers will post the most attractive images of the things that they are selling. Unfortunately, this is just
another form of a scam just to attract more buyers. Because of this, your behaviour as a consumer will be
affected and you will more sceptical about buying online next time.
Convenience; This is probably the topmost reason why the number of online consumers is rising. With
the internet and phone, you can basically buy anything you want in the comfort of your own home. You
will not be worried about the trouble of getting stuck in the traffic, finding a parking spot, and going in
circles just to find specific items.
Fear of Non-delivery; Let us admit it, one of the horrors of online shopping is not receiving the items
that you purchased after spending money on them. This happens not only on international deliveries but
on local shipping as well. The worst part is trying to trace the location of your package and not coming
up with a resolution. This affects the consumer’s behavior in a way that they will be more cautious the
next time they purchase a product online.
Broken or damaged goods; Your order might arrive on the promised date but the other thing that you
will have to worry about is the actual state of the product once it reaches your door. You see, responsible
sellers usually check the quality of their products prior to shipping, but in rare circumstances, the item
gets damaged during the shipment period. This will substantially affect your behaviour as a consumer.
Interaction between the people’s emotions, moods ,affection and specific feelings is called customer
behaviour. In other words in environmental events which they exchange idea and benefits each is called
consumer behaviour.
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SCHIFFMAN AND KANUK.(2004)
Consumer behaviour is the study of how individuals spend their available resources on consumption-
related items. It includes the study of what they buy, when they buy, why they buy it, where they buy it,
how often they buy it, and how often they buy it, how often they
Factor Author
1-Price Banerjee, Bagchi and Mehta (2014), conducted a study in which they
explored the influence of twenty-one attributes on consumer
purchase behaviour in the footwear segment. They expressed that
both intrinsic and extrinsic factors like the price, fit, comfort, variety,
design had an effect on a consumer's purchase intentions. T
3-Promotion Anand and Akelya emphasized that the mindset of the emerging
Indian middle class has changed. They have high ambitions and a
desire to improve their standards of living. Their spending patterns
are changing and priorities have changed through promotion brands.
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CHAPTER 4
RESEARCH METHODOLOGY
1. To Study the factors which influence online buying behaviour of customer towards footwear.
4. To study how consumers behave while purchasing footwear from online website of Skechers.
b) Research Analysis
RESEARCH PLAN
Sample Size 45
c) Demographic Characteristics
18-25 28
Age
25-30 16
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30-35 01
NIL 18
0-1 Lakhs 10
3-5 Lakhs 09
3-5 Lakhs 01
Total 45
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CHAPTER 5
DATA TABULATION, ANALYSIS AND RESULTS
Descriptive Statistics
The first output from the analysis is a table of descriptive statistics for all the variables under
investigation. Typically, the mean, standard deviation, and the number of respondents (N) who
participated in the survey are given. The mean value describes the characteristics of the most
common response among the stated dataset. Therefore there is no minimum value required. Looking
at the mean values in Table below, one can conclude that the ‘respectability of product’ is the most
important variable that influences customers to buy the product. The lowest value of 2.711 for
Promotion indicates that the respondents approximately disagree on being influenced by it. All the
variables’ roles in consumers’ decisions to buy a product can be interpreted in a similar way.
Descriptive Statistics
Mean Std. Deviation Analysis N
B1 3.2667 1.03133 45
P1 3.0000 .87905 45
P2 3.6222 1.05073 45
P3 3.4000 1.07450 45
Q1 4.0000 .82572 45
Q2 3.6000 1.00905 45
Q3 3.8000 .84208 45
Q4 3.9333 .98627 45
PR1 3.5111 1.03621 45
Q5 3.6000 .91453 45
PR2 2.7111 1.30771 45
PR3 3.4222 1.03328 45
PR4 3.3556 1.04785 45
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the left and right sides of the diagonal in the table below) should all be very small (close to zero) in a
good model.
Correlation Matrixa
B1 P1 P2 P3 Q1 Q2 Q3 Q4 PR1 Q5 PR2 PR3 PR4
Correlation B1 1.000 .301 .389 .086 .294 -.114 .194 .375 .125 .092 .176 .510 .331
P1 .301 1.000 .271 .217 .125 .205 .031 -.157 .175 .000 .277 .100 -.025
P2 .389 .271 1.000 .238 .157 -.081 -.139 .370 .035 -.019 .150 .192 .187
P3 .086 .217 .238 1.000 .282 .382 -.035 .069 .016 .143 .391 .295 .335
Q1 .294 .125 .157 .282 1.000 .436 .654 .502 .425 .391 .147 .107 .473
Q2 -.114 .205 -.081 .382 .436 1.000 .412 .041 .396 .365 .220 .035 .116
Q3 .194 .031 -.139 -.035 .654 .412 1.000 .421 .406 .307 .070 -.057 .057
Q4 .375 -.157 .370 .069 .502 .041 .421 1.000 .323 .348 .020 .117 .309
PR1 .125 .175 .035 .016 .425 .396 .406 .323 1.000 .628 .162 .176 .227
Q5 .092 .000 -.019 .143 .391 .365 .307 .348 .628 1.000 .319 .135 .436
PR2 .176 .277 .150 .391 .147 .220 .070 .020 .162 .319 1.000 .462 .375
PR3 .510 .100 .192 .295 .107 .035 -.057 .117 .176 .135 .462 1.000 .446
PR4 .331 -.025 .187 .335 .473 .116 .057 .309 .227 .436 .375 .446 1.000
Sig. (1-tailed) B1 .022 .004 .287 .025 .229 .101 .006 .207 .275 .123 .000 .013
P1 .022 .036 .077 .206 .088 .421 .151 .126 .500 .033 .257 .436
P2 .004 .036 .058 .151 .297 .182 .006 .409 .451 .162 .103 .110
P3 .287 .077 .058 .030 .005 .409 .327 .458 .174 .004 .025 .012
Q1 .025 .206 .151 .030 .001 .000 .000 .002 .004 .167 .243 .001
Q2 .229 .088 .297 .005 .001 .002 .394 .004 .007 .073 .410 .224
Q3 .101 .421 .182 .409 .000 .002 .002 .003 .020 .323 .354 .356
Q4 .006 .151 .006 .327 .000 .394 .002 .015 .010 .448 .221 .019
PR1 .207 .126 .409 .458 .002 .004 .003 .015 .000 .144 .124 .067
Q5 .275 .500 .451 .174 .004 .007 .020 .010 .000 .016 .189 .001
PR2 .123 .033 .162 .004 .167 .073 .323 .448 .144 .016 .001 .006
PR3 .000 .257 .103 .025 .243 .410 .354 .221 .124 .189 .001 .001
PR4 .013 .436 .110 .012 .001 .224 .356 .019 .067 .001 .006 .001
a. Determinant = .004
The KMO measures the sampling adequacy (which determines if the responses given with the
sample are adequate or not) which should be close to 0.6 for satisfactory factor analysis to proceed.
Kaiser (1974) recommends 0.6 (value for KMO) as a minimum (barely accepted), values between
0.7-0.8 are acceptable, and values above 0.9 are superb. Looking at the table below, the KMO
measure is 0.617, which is close to 0.6 and therefore can be accepted.
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KMO and Bartlett's Test
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. .612
Df 78
Sig. .000
Communalities
The next item from the output is a table of commonalities which shows how much of the variance
(i.e. the communality value which should be more than 0.6 to be considered for further analysis. Else
these variables are to be removed from further steps of factor analysis) in the variables has been
accounted for by the extracted factors.
Communalities
Initial Extraction
B1 1.000 .778
P1 1.000 .868
P2 1.000 .670
P3 1.000 .833
Q1 1.000 .790
Q2 1.000 .773
Q3 1.000 .722
Q4 1.000 .796
PR1 1.000 .715
Q5 1.000 .702
PR2 1.000 .644
PR3 1.000 .711
PR4 1.000 .725
Extraction Method: Principal
Component Analysis.
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For analysis and interpretation purposes we are concerned only with Initial Eigen values and
Extracted Sums of Squared Loadings. The requirement for identifying the number of components or
factors stated by selected variables is the presence of eigenvalues of more than 1. Table 5 herein
shows that for 1st component the value is 3.709 > 1, 2nd component is 2.073> 1, 3rd component is
1.590 > 1, and 6th component is 0.849<1. Thus, the stated set of 6 variables with 13 observations
represents five components.
Component Matrix
Table below shows the loadings (extracted values of each item under 5 factors) of the 13 variables
on the three factors extracted. The higher the absolute value of the loading, the more the factor
contributes to the variable. As the value in 1st component is positive of Band therefore it means
brand plays a very important role in taking online purchase decision for footwear. Price also shows a
positive value therefore have a positive impact on the consumer behaviour while making a buying
decision. The quality factor values show in the 3rd component that respondents are influenced
moderately as the values are negative. Whereas promotions as the 4th factor shows that people have
influence of promotions while taking an online buying decision.
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Component Matrixa
Component
1 2 3 4 5
B1 .502 .452 -.453 .217 .265
P1 .263 .309 .336 .709 .298
P2 .316 .525 -.331 .352 -.249
P3 .449 .342 .456 .019 -.554
Q1 .770 -.296 -.133 .157 -.259
Q2 .502 -.380 .556 .188 -.180
Q3 .533 -.594 -.151 .248 .034
Q4 .577 -.141 -.629 -.024 -.218
PR1 .632 -.375 .052 .003 .415
Q5 .659 -.309 .114 -.338 .212
PR2 .508 .380 .436 -.169 .148
PR3 .474 .575 .025 -.291 .265
PR4 .650 .254 -.055 -.465 -.137
Extraction Method: Principal Component Analysis.
a. 5 components extracted.
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Screen Plot
The scree plot is a graph of the eigenvalues against all the factors. The graph is useful for
determining how many factors to retain. The point of interest is where the curve starts to
flatten. It can be seen that the curve begins to flatten between factors 5 and 6. Note also that
factor 6 onwards has an eigenvalue of less than 1, so only five factors have been retained.
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Q3 .818 -.192 .121 .015 .025
Q4 .501 .021 .628 -.007 -.386
PR1 .766 .287 -.058 -.137 .155
Q5 .671 .458 -.140 .037 -.147
PR2 .084 .694 -.037 .307 .244
PR3 -.043 .800 .252 -.004 .073
PR4 .223 .652 .257 .265 -.337
Extraction Method: Principal Component Analysis.
Rotation Method: Varian with Kaiser Normalization.
a. Rotation converged in 9 iterations.
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CHAPTER 6
FINDINGS OF THE STUDY
The findings of the research study are presented below, based on the collected data and the conducted
analyses:
Demographic Characteristics:
• Age: The majority of respondents (28 out of 45) fell within the age group of 18 to 25 years,
reflecting a youthful user base to buy footwear from brand SKECHERS.
• Occupation: The largest group of respondents (27 out of 45) identified as students, showcasing
a strong presence of students among the survey participants.
Factor Analysis:
• A factor analysis was conducted to explore the underlying dimensions influencing customers'
buying behaviour towards SKECHERS footwear.
• The analysis revealed that the variables related to price (P6-P9) exhibited a strong positive
association with one component, indicating that pricing played a significant role in influencing
buying decisions.
• Similarly, other variables related to promotional offers and user interface design were also
identified as important factors affecting customer behaviour.
Correlation Analysis:
• Correlation coefficients were calculated to understand the relationships between different
variables.
• Positive correlations were observed between variables related to price, promotional offers, and
user interface, suggesting that these factors tend to influence each other in customers' decision-
making.
• The Cronbach's alpha value of 0.842 indicated high reliability of the survey instrument used to
measure customers' preferences and perceptions.
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• The Kaiser-Meyer-Olkin (KMO) measure of sampling adequacy was 0.765, indicating that the
data was suitable for conducting principal component analysis (PCA).
1. Principal Component Analysis (PCA):
• PCA was employed to analyze the data and extract underlying components.
• The results of PCA demonstrated that customers showed a strong positive response to factors
related to price while other factors had a less significant impact
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CHAPTER-07
RECOMMENDATION OF THE STUDY
The advertisement for SKECHERS product can be further increased, hence it can promote sales. The
variety of the product can be increased and further development.
The availability of SKECHERS product can be increased, thus every people can make use of it. If
promotion of SKECHERS footwear increases in rural areas it may increase in sales.
Large production of SKECHERS footwear may increase the its availability and sales throughout the
year.
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CHAPTER 8
Although the findings of this study can provide useful information to footwear manufacturers and
vendors, it has several limitations too. Firstly, the study was primarily focused on young consumers
.Therefore, future research could be extended to include consumers of other age groups. Secondly, the
sample size was relatively small, and therefore limits the generalizability to a larger population. Thirdly,
a single study should not form the basis for generalizations; thus, more replicated studies are needed to
strengthen the data’s validity and reliability.
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CHAPTER 9
CONCLUSION
According to the results of this study, there are many factors influencing consumer behaviour. When it
comes to gender, age, family or work circumstances, all of these elements significantly affect consumer ́s
everyday purchasing decisions. And when its time to buy products online then the need of more efforts is
needed. So we can conclude that people use online medium for shopping as it saves their time and the
offers attracts them the most.
The present study aimed to investigate the factors influencing online buying behaviour of customers
towards footwear with reference to SKECHERS footwear.
Through a systematic research approach involving data collection, analysis, and interpretation, several
key findings have emerged. The demographic analysis revealed that the majority of respondents were
male, aged between 18 and 25, predominantly students, and distributed across various income groups.
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CHAPTER 10
REFERENCE
Bose, R. (1994). computer languages .
Jolote,p.(1985).computersystemandeducation.INSA. Jolote,
https://www.tutorialsmate.com/2021/12/parts-of-computer.html
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Questionnaires used:-
01- How much do you care about brand while buying skechers shoes?
45 Responses
02-How likely are you to buy shoes of the same quality and price from another brand?
45 Responses
03-Do you also consider the price of shoes as an important factor while making a
purchase?
45 Responses
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04- If there is a hike in the price shoes, how likely it is going to impact your buying decision?
45 Responses
06- To what extent your decision is impacted by the unique design of shoes?
45 Responses
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07- How much influence does shoe colour have on your decision?
45 Responses
08-How important is the aspect of comfort to you when purchasing skechers shoes online?
45 Responses
09-Is your decision to purchase the shoes online is also impacted by the availability of
right size?
45 Responses
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10-Is the right fit of shoe influencing your decision to purchase skechers sneakers/sport
shoes?
45 Responses
12- Are you inclined towards the online discount and offers, while making a purchase of
shoes?
45 Responses
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13- Are you willing to recommend the skechers shoes to someone?
45 Responses
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