A

SUMMER TRAINING REPORT

On

CONSUMER BEHAVIOUR TOWARDS ONLINE SHOPPING

IN THE PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE DEGREE OF

MASTER OF BUSINESS ADMINISTRATION

SUBMITTED TO: SUBMITTED BY:

MR. SWADHIN K. ROUT RITESH JAMWAL
Asstt. Prof. (ASBM&C) ID: AMBM0021A/22

ARNI SCHOOL OF BUSINESS MANGEMENT & COMMERCE

ARNI UNIVERSITY
KATHGARH, INDORA,
DISTT KANGRA (H.P) – 176401

1
 DECLARATION

I, RITESH JAMWAL, AMBM0021A/22 hereby declare that I have done on the

summer training on the topic ―CUSTOMER BEHAVIOR TOWARDS ONLINE
SHOPPING. ‖ which is submitted in partial fulfilment of the requirement for the degree of
MASTER OF BUSINESS ADMINISTRATION OF ARNI UNIVERSTY, KATHGARH
(HP) the data that is included in it is pure. The assistance and help that received during the
course of this investigation has been duly acknowledged. It is further; declare that it has an
originalPiece of work and it is worthy of the consideration for the degree of

COUNTER SIGN BY:-

Signature of the Candidate Presentation in-charge

Director/Dean/Coordinator

2
 CERTIFICATE

This is to certify that Ritesh Jamwal of MBA 3rd Semester, ID : AMBM0021A/22

batch 2022-24, has successfully completed his project entitled ―Consumer Behaviour towards
Online Shopping‖ under my guidance.

Name of Guide Signature of Candidate

Mr. Swadhin K. Rout

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 ACKNOWLEDGEMENT

I, RITESH JAMWAL, ID NO AMBM0021A/22 student of MBA in Arni School of

Business Management & Commerce, ARNI UNIVERSITY, KATHGARH INDORA, is highly
grateful to all those who guided me in completing this project.
Last but not the least, I would like to thank all faculties of Arni School of Business
Management & Commerce, who gave me the useful tips and suggestions regarding project.
Concentration, dedication and application are necessary but not sufficient to achieve any goal.
Therefore, it is our pleasant duty to often our services of acknowledgment to those honorable
personalities of the department who helped me to follow the path to success for the completion
of the project. Lastly i would like to thanks my friends and family without them my project was
incomplete

RITESH JAMWAL

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 TABLE OF CONTENTS

SR. CHAPTER PG. NO.

NO.
1. INTRODUCTION OF THE COMPANY 6-26

2 NEED AND OBJECTIVE 27-29

3 LITERATURE AND RESEARCH 30-32

METHDOLOGY
4. DATA ANALYSIS AND 33-46
INTERPRETATION
5. FINDINGS 47-48
CONCLUSION 49-50

SUGGESTIONS & RECOMMANDATIONS 51-53

BIBLIOGRAPHY 54-55
QUESTINNAIRE 56-59

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COMPANY PROFILE
Reebok is a global athletic footwear and apparel company, operating as a subsidiary of
Reebok is a global athletic footwear and apparel company, operating as a subsidiary of Adidas
since 2005. Reebok produces and distributes fitness, running and CrossFitsportswear including
clothing and footwear. It is the official footwear and

Adidassince 2005. Reebok produces and distributes fitness, running and

CrossFitsportswear including clothing and footwear. It is the official footwear and apparel
sponsor for Ultimate Fighting Championship (UFC), Cross Fit, Spartan Race, and Les Mills.

Type Subsidiary

Industry Textile

1958; 59 years ago

Founded
Bolton, England

Founder Joe& Jeff Foster

Canton, Massachusetts, United

Headquarters
States

Area served Worldwide

Parent Adidas(2005–present)

Website reebok.com

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Vision
“Continue to bring inspiration to present and future athletes, while maintaining the
company’s standard of quality of its products.”

Mission

―At Reebok, we see the world a little differently and throughout our history have made our mark
when we have had the courage to challenge convention. Reebok creates products and marketing
programs that reflect the brand unlimited creative pot

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 Executive Summary
The purpose of the study is to examine and analyze the consumer‘s behavioral pattern towards
online shopping. And also find out various attitudes of consumer towards online shopping.
Today we sat that consumer behavior is mind blowing while go for a shopping because the wide
range of internet facilities in the era. The internet developing into a new distribution channel and
online transactions are rapidly increasing, which are creating a need to understand how the
consumer perceives online purchase. The purpose of the dissertation was to examine if there are
any particular factors that influence the online shopping consumer. Online marketplaces such as
eBay and Amazon Marketplace have significantly reduced financial and reputational barriers to
entry for SME‘s wishing to trade online. These marketplaces provide web presence, marketing
and payment services and, in the case of Amazon, fulfillment. This allows SMEs to focus on
their core competencies e.g. managing supplier relationships. Moreover, SMEs have choices
online, as these marketplaces compete with each other (some retailers sell across several
marketplaces) and retailers ‗own websites. They also compete with paid search providers and
others in providing marketing to SMEs. Customer ratings are a key element of the marketplaces,
enabling SMEs to build a reputation at low cost relative to the offline environment. This element
of reputation may be achieved quickly (just one piece of feedback generates a rating) and is tied
to particular platforms (i.e. ratings are non-transferable). At present time online shopping is the
new trend of shopping in India that is used to refer to computer-based-shopping or E-Shopping
same like Internet banking or E-banking. Over that past few years, online shopping has increased
percentage of online buyer‘s in India. New concept of the online shopping is a great example of
the business revolution in India. We can say that online shopping in India is currently
experiencing a period of rapid development. E-tailing in India is a rich segment waiting to be
explore. In online shopping, buyers (consumers) purchase the products (Like: - books, electronic
appliances, footwear, Home & Kitchen Appliances, etc.).

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 CHAPTER -1

INTRODUCTION

Introduction of online shopping: -

The growing of Internet in India providing prospect for online shopping. If e-marketing know the
factor affecting online Indian behaviour, and the relationship between these factor and type of
online buyers, then they can further develop their marketing strategies to convert potential
consumers into active ones, while retaining existing online customer. Consume behaviour is said
to be an applied discipline as some decisions are significantly affected by their behaviour or
expected actions. The online purchasing behaviour of online shoppers and factor influencing
online shopping behaviour and its future perspective. Internet is changing the way consumers
shop and way goods and services, and has rapidly evolved into a global phenomenon.

The internet is being developed rapidly since last two decades, and with relevant digital economy
that is driven by information technology also being developed worldwide. After a long term
development of internet, which rapidly increased wed users and highly speed internet
connection, and some new technology also have been developed and used for wed developing,
those lead to firms can promote and enhance images of product and services through web site.
Therefore, detailed product information and improved service attract more and more people
change their consumer behaviour from the traditional mode to more rely on the internet
shopping. There are many reasons for such a rapid developing of internet shopping, which
mainly due to the benefit that internet provides. First of all, the internet offers different kind of
convenience to consumers. Obviously, consumers do not need go out looking for product
information as the internet can help them to search from online sites, and it also helps evaluate
between each sites to get the cheapest price for purchase.

In India E-shopping or online shopping is the new buzzword. Online shopping consumer
behaviour is also called E-shopping consumer buying behaviour. Consumer buying behaviour is
important because it helps to know about consumer‘s demands, it helps to understand and
analyseze that when consumers buy products online? And who buy products online? And how
consumer‘s mind-set for purchasing the products online?

History of Online Shopping

In 1990, Tim Berners-Lee created the first World Wide Web server and browser in UK.1 It
opened for commercial use in 1991. In 1994 other advances took place, such as online banking
and the opening of an online pizza shop by Pizza Hut.1 During that same year, Netscape
introduced SSL encryption of data transferred online, which has become essential for secure

9
online shopping. Also in 1994, the German company Inter-shop introduced its first online
shopping system. In 1995, Amazon launched its online shopping site, and in 1996, eBay
appeared.

Originally, electronic commerce was identified as the facilitation of commercial transactions

electronically, using technology such as Electronic Data Interchange (EDI) and Electronic Funds
Transfer (EFT). These were both introduced in the late 1970s, allowing businesses to send
commercial documents like purchase orders or invoices electronically. The growth and
acceptance of credit cards, automated teller machines (ATM) and telephone banking in the 1980s
were also forms of electronic commerce. Another form of e-commerce was the airline
reservation system typified by Sabre in the USA and Travicom in the UK.

In 1990, Tim Berners-Lee invented the Worldwide Web browser and transformed an academic
telecommunication network into a worldwide everyman everyday communication system called
internet/WWW. Commercial enterprise on the Internet was strictly prohibited by NSF until
1995.2 although the Internet became popular worldwide around 1994 with the adoption of
Mosaic web browser; it took about five years to introduce security protocols and DSL allowing
continual connection to the Internet. By the end of 2000, many European and American business
companies offered their services through the World Wide Web. Since then people began to
associate a word "e-commerce" with the ability of purchasing various goods through the Internet
using secure protocols and electronic payment services.

Need for Internet Shopping

Few developments have altered India‗s lifestyle more quickly and more completely than the
Internet. Online access has enabled people from all walks of life to bring entire libraries,
entertainment venues, post offices and financial centers to a workplace, to a desktop or to a shirt
pocket. The Internet ‗s largest and most meaningful impact may very well be on the way
consumers shop for everything from gifts, gadgets and groceries to clothing, cars, and cruises.

The ease and selection that the Internet provides to shoppers has changed the face of retailing.
More and more, consumers visit a store‗s Web site to make their choices before travelling to the
store itself; and in a rapidly swelling tide, many shoppers are bypassing the store altogether and
ordering online directly from the Web sites of their favorite brands and outlets. Companies like
Sephora, Sears and Crate & Barrel have increased the range and quantity of products available at
their online stores and are sending online coupons and sale announcements via e-mail directly to
their customers.

Because online stores are open 24 hours a day, seven days a week, and their inventories are often
more complete than those of their brick-and-mortar counterparts, the Internet makes it easy for
shoppers to compare products within or between stores, to read product reviews from other
customers, to access vendor return policies and to find warranty information.

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Online shopping in India:

India‘s e-commerce market grew at a staggering 88 % in 2013 to $ 16 billion, riding on booming

online retail trends and defying slower economic growth and spiraling inflation. The increasing
internet penetration and availability of more payment options boosted the e- commerce industry
in 2013. The product that are sold most are in the tech and fashion category, including mobile
phone electronic gadgets, apparel MP3 players, camera and jewelry, home and kitchen
appliances, lifestyle accessories like watches, books, beauty products etc. This growth is because
of aggressive online discount, rising fuel prices and availability of abundant online options.

Mumbai topped the list of online shoppers followed by Delhi, while Kolkata ranked third. 71%
Indians trust recommendations from family when making an online product decision, followed
by recommendations from friends at 64% online product review at 29%. Half the Indian
consumers (50%) use social media sites to help them make online purchase decision. India's e-
commerce market, which stood at $2.5 billion in 2009, reached $8.5 billion in 2012 and rose 88
per cent to touch $16 billion in 2013.

The survey estimates the country's e-commerce market to reach $56 billion by 2023, driven by
rising online retail. This growth is because of aggressive online discounts, rising fuel prices and
availability of abundant online options. Mumbai topped the list of online shoppers followed by
Delhi, while Kolkata ranked third. The age-wise analysis revealed that 35 per cent of online
shoppers are aged between 18 years and 25 years, 55 per cent between 26 years and 35 years, 8
per cent in the age group of 36-45 years, while only 2 per cent are in the age group of 45-60
years. Besides, 65 per cent of online shoppers are male while 35 per cent are female. To make
the most of increasing online shopping trends, more companies are collaborating with daily deal
and discount sites, the survey pointed out.

India has Internet base of around 150 million as of August, 2013which is close to 10 per cent of
Internet penetration in India throws a very big opportunity for online retailers to grow and
expand as future of Internet seems very bright. (Economic times, 2014) The size of India's e-
commerce market in 2013 was around $13 billion, according to a joint report of KPMG and
Internet and Mobile Association of India (IAMAI). The online travel segment contributed over
70 percent of the total consumer e-commerce transactions last year. (DNA, 2014) Those who are
reluctant to shop online cited reasons like preference to research products and services online (30
per cent), finding delivery costs too high (20), fear of sharing personal financial information
online (25) and lack of trust on whether products would be delivered in good condition (15),
while 10 per cent do not have a credit or debit card. (Economic times, 2014) The Nielsen Global
Online Shopping Report shows more than a quarter indicate they spend upwards of 11 percent of
their monthly shopping expenditure on online purchases.71 percent Indians trust
recommendations from family when making an online purchase decision, followed by
recommendations from friends at 64 percent and online product reviews at 29 percent. Half the
Indian consumers (50%) use social media sites to help them make online purchase decisions.

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 Online reviews and opinions are most important for Indians when buying Consumer Electronics
(57%), Software (50%), and a Car (47%). (India social, 2014)

Characteristics of Online Markets

Online markets are ―dynamic‖. Online markets are part of the information and communications
technology-intensive service sector which has exhibited an acceleration of labour productivity
growth in many countries.

A qualitative indication of the dynamic character of online markets is given by evidence of the
range of experimentation in terms of business models, the rate of growth of successful platforms
and the level of ongoing innovation and ―disruptive‖ change in areas such as growth of mobile
internet and devices and of the social web.

The dynamic character of online markets may result in greater risk of failure for some start-ups
but spectacular success for others. ―Normal‖ returns for the market as a whole may therefore
correspond to ex post returns that are high for successful firms.

Online markets are also very much information intensive. The very nature of many transactions
places rich sources of information about consumers in conveniently digitized form, at the
disposal of companies providing services such as search, payment and social network services.
Collection of information about customers is not unique to online markets, but the scale under
which it has become possible is unprecedented. The industry is undoubtedly very much alive to
the value of information and is in process of implementing strategies to acquire it and use it
profitably. We believe the formulation of strategies for profiting from the information explosion
is very much in its infancy and, therefore, this is one major respect in which the market is
„dynamic‟.

As the quantity and quality of information companies have about their customers and about the
customers of their competitor‘s increases, there arises scope for provision of valuable new
services but also for the exercise of market power. As purchase recommendations become well-
tailored to customers they become less like junk-mail and more like a personal shopping service.

On the other hand, firms might be also able to use information to better price discriminate and
extract surplus from customers, or to preempt putative rivals from entering a market. However,
better informed consumers may also be more discriminating in their decisions, for example, in
terms of price or quality.

Major platforms such as Amazon, PayPal, eBay, support and enforce a system of buyer and
seller reputations which facilitates many valuable trades which otherwise could only take place
in face-to-face markets. Hence, here is a vehicle for consumers and SMEs to benefit from the
control of information by major platforms. However, there is also a possibility that an

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intermediary ―certifies‖ parties to a transaction and extracts a large share of surplus whilst only
minimally improving information flows in the market.

Information will both create opportunities for adding value for customers and opportunities to
extract value whilst adding little value if competition is limited.

A general implication of the highly dynamic nature of online markets is that the body of
economics literature developed within a paradigm of static market analysis may fail to account
for some of the observed characteristics of online markets and may be a poor guide to judging
the efficiency of observed behavior. For example, innovation can make defining relevant product
markets difficult because business executives and government officials alike may not yet know
what the future products will be.

Top Ten Online Shopping Companies in India

1 Amazon.in

World leader in e-commerce market recently started operation in India, now Indians
can buy books, CDS and electronic at cheaper price from amazon.in. for limiter time they
offering free shipping.

2 FLIPKART.COM

Flipkart.com founder in 2004 with only Rs.4000000 now in 2014 turn over 600,000 Core
Company. You cannot only buy books online through flipKart, but also mobile phone and
laptops, cameras air conditioners, washing machine, clothing etc.

3 snapdeal.com

Snapdeal offers everything from local daily deals on restaurant, spas, travel, to online products
deals. They offer you best price with free shipping.

4 Paytm.com

Started with mobile recharge and bill payment website now paytm selling everything from
home decor, clothing, laptops to mobile at killer price.

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5 E-bay.in

E-bay.in i the Indian version of the popular online shopping portal ebay.com- worlds online
marketplace. E-bay offers used and fresh items with a wide network of international shipping.

6 Jabong.com

Jabong fashion and lifestyle store offers you great discount on all listed product they offer wide
range of products

7 Myntra.com

Myntra.com is leading online retailer of lifestyle and fashion products. Myntra offers t-shirts,
shoes, watches and more at discounted price.

8 Shop-clues.com

Shop clues are one of the best online stores that offer a wide variety of cameras, computers
accessories, mobile, jewellery, clothes.

9 Pepper-fry.com

Pepper-fry is one of leading Indian websites in selling lifestyles products ranging from men and
women clothing, jewellery, perfumes and furniture‘s, bags and accessories.

10 Homeshop18.com

Homeshop18 provide large range appliances, kitchen, cameras, laptops, gift, clothing etc.
Homeshop18 has also launched Indian‘s first 24 hours‘ home shopping TV channel.

Categories of Products in Internet shopping

Consumers across the globe are increasingly swapping crowded stores for one click convenience,
as online shopping becomes a safe and popular option. According to a recent global survey
conducted by The Nielsen Company, over 85 percent of the world ‗s online population has used
the Internet to make a purchase, up 40 percent from two years ago, and more than half of Internet
users are regular online shoppers, making online purchases at least once a month.

The Nielsen survey, the largest survey of its kind on the topic of Internet shopping habits, was
conducted from October to November 2007 and polled 26,312 Internet users in 48 markets from
Europe, Asia Pacific, North America and the Middle East.

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When The Nielsen Company conducted its first survey into online shopping habits two years
ago, only 10 percent of the world ‗s online population had made a purchase over the Internet.
Within two years, this number has surged by approximately 40 percent. Internet consumers
continue to be a well-read lot, thanks to the early adoption of online commerce by large
booksellers, but the diversification of the online shopping environment has resulted in significant
growth in other categories. Books are still the most popular purchases online, followed by
Clothing/Accessories/Shoes, Videos / DVD‘s / Games, Airline Tickets and Electronic
Equipment. Other significant growth categories were cosmetics/nutrition supplies and groceries,
which jumped nine and eight percentage points respectively.

Payment options in Online Shopping: -

Online shoppers commonly use a credit card to make payments, however some systems enable
users to create accounts and pay by alternative means, such as:

 Billing to mobile phones and landlines19 20

 Cash on delivery (C.O.D., offered by very few online stores)
 Cheque
 Debit card
 Direct debit in some countries
 Electronic money of various types
 Gift cards
 Delivery on payment

Some sites will not accept international credit cards, some require both the purchaser's billing
address and shipping address to be in the same country in which site does its business, and still
other sites allow customers from anywhere to send gifts anywhere. The financial part of a
transaction might be processed in real time (for example, letting the consumer know their credit
card was declined before they log off), or might be done later as part of the fulfilment process.

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Consumer Behaviour

―Consumer behaviour is the study of individuals, groups, or organizations and the processes they
use to select, secure, and dispose of products, services, experiences, or ideas to satisfy needs and
the impacts that these processes have on the consumer and society.

With the reference of above cite; Consumer behaviour of every individual is different from other
depending on buying choices which is influenced by buying habits and choices that are turn
tampered by psychological and social drivers that affect purchase decision process.
(Brassington, F. and Pettitt, S., 2000)

―We‘re not aware of changing our minds even when we do change our minds. And most people,
after they change their minds, reconstruct their past opinion — they believe they always thought
that.‖ (KEYS, 2011)

As quoted above, consumer behaviour about decision making is difficult to define and is a
system of short cuts and rule of thumb which is unpredictable. The short cuts in decision making
vary from person to person and focusing on the past experience of consumers; we can predict the
future trends by bringing profitable products and services into the market.

In this modern world, the popularity of interactive media like the World Wide Web is increasing
day by day with rapid pace. With reference to marketing it is continuously realized that the main
two factors observed due to

 Most of the companies are doing their business online and make their website as
showroom of their product and services.
 Fast increment of consumer segments due to increase needs and demand including
online shopping as well.

Online Shopping and Consumer Behaviour

With the emergence of the Internet, Internet-based electronic commerce developed and this
environment provide individuals to reach information about products and services easily.
Moreover, commercial organizations have moved to incorporate the World Wide Web into their
promotional campaigns, and by offering the facility of online purchasing and like many other
innovations 'online shopping' has become a part of our lives.

It is no secret that businesses' main goal is to sale and sale is provided for other party,
consumers. Therefore, for commercial activities, analyzing consumers' behaviours is crucial and
since there is no face to face interaction in online businesses, it becomes more important to
understand key features of consumer behaviours. Rogan (2007, cited in Nazir, et al., 2012)
indicates the importance of the relationship between the marketing strategy and the behavior of

16
consumer. He illustrates that 'the strategy is about increasing the probability and frequency of
buyer behaviour and requirements for succeeding in doing this are to know the customer and
understand the consumer's needs and wants'.

Furthermore, the Internet business have created more competitive environment, understanding
features of online shoppers' behaviours have been more important. Moreover, it should be
analyzed by online sellers that 'why some still prefer not to buy online‘.

Consequently, analyzingbehaviors of online consumers have carried a crucial part for marketing
science (Uygun, et al., 2011; 373). Furthermore, businesses and academics are aware of this
issues critically therefore over years, increasingly many studies are represented.

According to their study, features are divided into three main categories. First one is perceived
characteristics of the web sale channel which include risk, advantage, online shopping
experience, service quality, trust; second category is web site and product characteristics which
are risk reduction measures, web site features and product characteristics; and the last category
clarified by authors is consumer characteristics. Consumer characteristics are driven by various
types of features.Consumer shopping orientations, demographic variables, computer, internet
knowledge and usage, consumer innovativeness and psychological variables.

Factors that affecting Consumer Behaviours, Consumer Characteristics in the Online

Medium: -

Consumer behaviors can be explained in four dimensions which are personal

characteristics, psychological characteristics, social characteristics and cultural characteristics.
Identifying these characteristics are crucial to decide marketing strategies and to target correct
consumer groups.

Personal Characteristics: -

Characteristics of a person, is an important factor affecting the purchase decision process.

Personal factors include age, gender, occupation, income status, education, life style.

In online shopping researchers, most of the studies are conducted on young adults because of
their familiarity with traditional shopping mostly have been chosen by older individuals.

Young adult generation have more options with respect to other generations and they are more
conscious, give their decision by themselves, they choose what they prefer easily. In addition,
cross-shopping is more intense in this consumer group. Younger individuals usually have interest
in using new technologies to search for information and evaluate alternatives. Internet is
perceived as a risky environment by older individuals since older people have less knowledge
about the Internet and new technology and they also insist to try products before purchasing.

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On the other hand, it has found that 'online shoppers are not necessarily more educated'. Online
shopping has been considered as an easy activity, therefore education level has not a big effect
on it. However educated people are more likely to accept innovations easily educated level may
have an effect on decision process.

Demographic factors become important when individuals face with new things. Hernandez et al.
(2011)‘s comprehensive study regarding socio-economic characteristics of consumers (age,
gender and income) moderating effects on online shopping behaviour reveals that these
characteristics do no moderate experienced online shoppers‘ behaviour. When consumers
become experienced in online shopping their behaviour become more similar and socio-
economic characteristics do not differ, their behaviour differ significantly in initial purchases
since it has been found that demographic factors such as gender and age are significant factors
when people face new things. For example, in some studies men are claimed to be more
pragmatic whereas women are more anxious by the time they face with new things and affected
more by their social environment, people with lower income regard online shopping as riskier
since their tolerance for financial losses are lower with respect to consumers with higher income.

Therefore, since there are significant numbers of experienced online shoppers, it is claimed that
instead of focusing on consumers‘ demographic and socio-economic characteristics, researchers
need to emphasize on behavioural dimensions in order to produce results that are more effective.

Psychological Characteristics: -

Online consumers psychologically deal with themselves and they frequently questioning
themselves. Motivation make consumers to ask themselves, should they look a better price or
should they shop online more often and these kind of questions. Perception is one of the
important factor and make consumers examine the security of the web site or the quality of the
product. In this case the seller organisations have to be successful in terms of providing
customers a confidence. Another psychological aspect is personality. The personality factor may
drive consumers to ask themselves what kind of web sites are best suited for their personal
preferences. Personal preferences manage consumers to decide. The fourth one is attitude and
attitudes can change easily, therefore marketers are many interested in these features. Consumers
try to find out what they like or not in respect to a particular situation. The last factor is emotion;
they may consider their last experience. Consumers are affected by choices and emotions alter
with the experience of their choice.

Social Characteristics: -

The social influence comes from the reference groups. For the online consumer‘s reference
groups are identified as virtual communities, consisting of discussion groups on a web site. Other
people‘s experiences, opinions have shown in this medium and affect consumers. Another one
are contact links, web site links related to the product or the service, which make individuals
ensure about the decision. According to Kotler and Armstrong (2007) the effects of the

18
Reference Groups are mainly based on the belief that a person‘s behaviour is influenced by many
small groups. Family is one of this reference group. There are different ways that reference
groups influence an individual‘s attitude, they may expose a new behaviour or life style or may
create a pressure to accept the attitude.

Cultural Characteristics: -

Smith and Rupp (2003) stated that different social classes create different behaviours.
Consumers from lower social classes would not have the same properties such as higher
intention to buy or higher probability like higher social classes. Furthermore, Kotler and
Armstrong (2007) discussed that culture set values and beliefs in the early ages therefore
person‘s wants and needs are driven by this setted features. Almost everything we do; how we
give and receive information, make decisions, lead and manage, working teams, use time is
influenced by culture. Hofstede (1991; 5) defined culture as 'the collective mental programming
of the mind which distinguishes the members of one group or category of people from another'.

Country Culture: -

The culture of the country influence and drive individuals‘ thoughts, moves and
decisions. The culture of the country is a very important factor, and also shapes online shopping
behaviour of the consumer. For instance, different cultures from different countries influence
differently consumers‘ attitude, consumers perceive products and services differently. What is
more, some individuals may trust to some conditions whereas some may not such as to trust a
company since it encourages group decisions, while in another individualistic actions are more
important than it. By definition, culture is ‗a shared set of values that influence societal
perceptions, attitudes, preferences and responses. In terms of the culture, there are basically five
types of cultural differences in literature: power distance, individualism collectivism,
masculinity-feminity, uncertainty avoidance long-term orientation.

In other words, in the individualistic societies, people are more likely to use the internet for
personal use such as shopping and information seeking, while in collectivist societies, people are
more likely to use the Internet for social communication purposes. Moreover, it is shown that in
the collectivistic cultures, entertainment is important, while in the individualistic cultures
convenience and variety seeking is the main aim (Zhou, Dai and Zhang, 2007).

Another difference about online shopping behaviour which stems from the cultural differences is
about the risk perception differentiation in different cultures. It is argued that collectivist
consumers have a higher perceived risk about online shopping than individualistic consumers
(Park and Jun 2003; Park, Lee and Ahn, 2004) but individualistic consumers do not regard the
risk as a crucial factor for determining the decision (Zhou, Dai and Zhang, 2007).

Customer Loyalty: -

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 In the last century, technological advances leading to very large changes on marketing.
Consequently, it offered new opportunities and also led to even greater competition they are
facing. This make businesses to leave classical management mentality and to adopt new business
and market strategies. The internet, which becomes a part of daily lives, also become a part of
everyday shopping. To retain customers, who are just a few keystrokes away from any web sites
without any constraint, has become very difficult. In case of any dissatisfaction, these customers
would prefer a high number of competitors and the switching cost is almost absence, thus in
online environment, e-stores is to make it even more important to ensure customer loyalty.

Customer loyalty has been crucial for businesses. 'The success and growth of customer-
centric businesses depends on customer loyalty because it helps to increase the revenue and
profit. Moreover, customers should be satisfied to return again the website and purchase again.

Products of technology and informatics start to change the customers‘ shopping

behaviour, as it changes many habits of them. In online shopping, customers have some
expectations from companies before shopping, as in traditional shopping. To satisfy or dissatisfy
this expectation or how extent of satisfaction is achieved create the perceived value of customers.
Satisfaction or dissatisfaction occur as depends on experiences which exist after online shopping.
This situation affects the trust to company. Customers‘ loyalty or disloyalty depends on how
much these factors are achieved.

Trust: -

Trust issue is exceeding with a few successful transactions, after individuals start feel safe and
believe that this supplier answers their needs and wants. On the other hand, provided information
is another issue in terms of online shopping. Since online shopping is an activity which related
to a computer-system, individuals cannot touch or feel products. Therefore, their decisions based
on the information that provided by online retailer. Information issue not only important in terms
of availability situation, it is also important in convenience and personalisation concept. Web site
design, access to information, access time to information also influence on behaviours of
consumers.

Without the online purchasing channel, all those operations would be more costly on the
physical effort and time perspective, and moreover it would not be possible for the customer to
reach requisite information about the product and to compare it with the most of the competitors.
As being advantageous for firms and customers, online sale technology is accepted by the firms
while not accepted sufficiently by the customers. At this point, users‘ buying behaviour over
internet should be analysed.

Cross-border online shopping: -

with the entrance of internet to people‘s daily lives, individuals began to carry on their
commercial activities like searching information about products/services, placing consumer

20
comments, or giving orders with the help of the medium. From this aspect, it brought a new
dimension to consumers‘ way of shopping. Besides affecting the consumers‘ shopping routine,
businesses‘ marketing practices, understanding they have no chance to ignore the medium, are
also affected. As an outcome of the usage of internet in shopping activities of consumers, the
issue of using internet in cross-border commercial activities came to stage. Although individuals
adopt purchasing goods and services from internet as the time passes, cross-border online
shopping is still a concept that most of the consumers hesitate to engage. Thus, this research aims
to find out about the factors that prevent the consumers to engage in cross-border online
shopping. Understanding the factors that are negatively affecting the consumers to buy online at
international web stores is important to help international marketers in terms of designing more
effective international web sites that target foreign customers.

Transaction costs According to results of several researches transaction costs affect consumers'
decision about buying online. Individuals may lose their willingness to buy online due to high
costs of shipping.

Disadvantages: -

Online shopping which utilizes the Internet is a new way of shopping. It provides much benefit
to companies and consumers by using the advanced technological capabilities of the Internet.
Although online shopping is a new tool for marketing and is thought to be a modern way of
shopping, it brings some disadvantages with it.

Risk: -

In the online shopping context risk have been the most researched topic. It is analysed that risk
can be categorizing in two parts which are product and transaction processes. Individuals who
are avoid of shopping online concern about the satisfaction with the purchase. They mostly think
that this activity will not meet with their needs (Hogan, 2003; cited in Chang et al., 2005; 554).
The other risk perception is about transaction. System security can influence shopping intention.

Security risks: -

As the internet becomes more integral to daily life we spend considerable time online. Concerns
over security, risks and legal issues remain mostly unresolved.

There are mainly two types of risk have been realised; 'product category risk and financial risk.'
According to financial risk also includes private information side. Since the Internet does not
provide examining the goods physically, consumers have to trust or believe the information and
shown pictures.

Factors influencing consumer to shop online: -

21
Though there are several factors that influence consumers to shop online, but as mentioned
above researchers 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.

1) 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. Through online purchase consumers can easily
compare the price than the traditional purchase. So price comparison is also another convenience
factor of online shopping.

2) Better prices: -

Pieces is the one of the most important factors of influencing the consumer behaviour towards
online shopping. Consumer get cheap deals and better prices stores offers from online shopping
stores because products come to you directly from the manufacturer or seller without middlemen
involved. Many online shop offer discount coupons and rebates.

3) Variety: -

The next factor influencing the consumer behaviour is Variety of product. Consumer can get
several brands and product from different sellers at one place. These stores offer a far greater
selection of colours and sizes.

4) 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 Swami Nathan‘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 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 Hoard‘s in London in less time than it takes to visit the local Burdines

22
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 shows higher website quality can highly influence customers to shop
online.

5) Website design/features: -

Website design and online shopping activity is one of the vital influencing factors of online
shopping. Website design, website reliability/fulfilment, 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 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.

6) 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

23
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.

Consumer buying behaviour process

In the field of Consumer behaviour research the classical model of consumer buying behaviour 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. Behavioural science helps us to better
understand why we go for a certain product and why not, why we set priories while making
decision. Consumer decision process carries five stages: -

Stage 1. Need Recognition

Stage 2. Search for information

Stage 3. Product Evaluation

Stage 4. Product choice and purchase

Stage 5. Post purchase use and evaluation

STAGE 1. Need Recognition:

Need recognition is the first stage of buying decision process, buyer identify a need or identify a
problem. The buyer feels a difference between his or her actual state and ideal state. The need
can be initiated by internal stimuli when a normal need arises to such a level it becomes a drive.
External stimulus can also trigger a need.

Marketers should research buyers to find out what type of needs arises and how they drive the
consumers towards the particular product. Gathering such type of information, they marketers
can recognize the factors that generally trigger attention in the product and can build up
marketing programs that engages these factors.

STAGE 2. Search for information:

Information search comes second in consumer decision process stage. If the buyer‘s drive is
strong enough and he is near to a satisfying product, the buyer is likely to go for it. If not,
consumer or buyer may store this need and commences information search associated to the
need. In need recognition stage of consumer decision process may go into high level of attention.

24
The buyer or consumer can get information from many sources. These includes

Personal sources

Commercial sources

Public sources

Experimental sources

STAGE 3. Product evaluation:

Consumer use information to grt at a set of final brand choices .choosing among the alternative is
always difficult. The marketers must be aware about the alternative evaluation that means that
how buyers process the information they get from different sources. Consumers never use a easy
an single assessment and evaluate process buying situations.

There are few concepts evaluation process of consumer.

First, suppose that consumer perceives a product as a set of product attributes.

Second, the buyer will attach various degrees of importance to various attributes according to
unique desire and needs.

Third, the buyer develops brand beliefs which notify where brand beliefs which notify where
brand stands on attribute.

Fourth, the complete quality satisfaction of expected by consumer will differ levels of various
attributes.

Fifth, using evaluation procedure the consumer reaches at attitudes towards towards the several
brands. Consumer use many evaluation procedures as per the consumer as his buying decision.

STAGE 4. Product choice and purchase:

Purchase intentions develop in the evaluation phase after the buyer ranks the brand. In general,
the purchase decision of the buyer will be to go for the desired brand. There are two factors that
can influence the purchase intention and decision.

One is attitude of others.

The second is unexpected situational factors.

25
STAGE 5. Post purchase use and evaluation:

A product is bought but the marketer‘s job does not end. When a consumer purchase a product,
he may satisfy of dissatisfy with the product and this lead him in post purchase behavior.

26
 CHAPTER-2
NEED AND OBJECTIVE OF THE STUDY

27
NEED OF THE STUDY: -
The need of this research is to identify and get insight into what main factors the online
consumer takes into consideration when most he buys product on internet what affects their
shopping behaviour, basic need of the research is to find out what are the main factors affect the
online consumer when considering and making a purchase over internet.

OBJECTIVE OF THE STUDY: -

 To study the online shopping behaviour of customers
 To study the consumers level of satisfaction with regard to online shopping
 To study the factors influencing online shoppers and consumer
 To examine whether customer prefer online shopping to physical stores.

LITERATURE REVIEW: -
Burke, R.R. (2002), Trust is a key factor that determines the success of Business to Consumer
(B2C) e-commerce transactions. Previous researchers have identified several critical factors that
influence trust in the context of online shopping. This research focuses on available security
measures which assure online shoppers safety and great sales promotions and online deals which
stimulate customers to shop online.

Abel Stephen (2003) in his paper represents the findings of research studies that address
ecommerce design and associated consumer behaviour. The innovation of e-commerce has
affected not only the marketplace through the facilitation of the exchange of goods and services,
but also human behaviour in response to the mechanisms of online services. Researchers have
identified and hypothesized on relevant subject matters ranging from Web usability, marketing
channels and other factors influencing online buying behaviour. Though researchers have
focused on what appear different aspects of online buying behaviour, their studies may be shown
to be interrelated and interdependent, even to the extent of revealing constructs upon which e-
commerce, in terms of future design and research, could be built.

Rajeev Kamineni (2004) in his study finds that World Wide Web can change human behaviour
and human interactions to a very large extent. Web based shopping behaviour is one major
example to point out the trends in this direction. This study is of a very exploratory nature and it
intends to establish the differences between several web-based shoppers from different parts of
the world. Several critical factors associated with online shopping behaviour have been explored.

28
A cross cultural data set has been collected and an illustrative description of the shoppers has
been provided. As a final step the cross cultural differences between several shoppers explored.

ArchanaShrivastava, UjwalLanjewar, (2011) in online buying, the rate of diffusion and

adoption of the online buying amongst consumers is still relatively low in India. In view of
above problem an empirical study of online buying behaviour was undertaken. Based on
literature review, four predominant psychographic parameters namely attitude, motivation,
personality and trust were studied with respect to online buying. The online buying decision
process models based on all the four parameters were designed after statistical analysis. These
models were integrated with business intelligence, knowledge management and data mining to
design Behavioural Business Intelligence framework with a cohesive view of online buyer
behaviour.

KanwalGurleen. (2012) focuses on the understanding of demographic profiles of adopters and

non-adopters of online shopping. For this purpose, the data from 400 respondents was collected
in the form of questionnaires. The study has been conducted in 3 cities of Punjab, a sample of
urban respondents were selected from the Jalandhar, Ludhiana and Amritsar The paper also
analyses the various reasons for adoption and non-adoption of online shopping.

29
 CHAPTER-3

RESEARCH METHODOLOGY

30
RESEARCH METHODOLOGY: -

The research method of this study is a survey research, which collect information from
participant through a questionnaire. The purpose of this research is to analyse the current and
future behaviours from consumers to help marketing manager making strategies according
feedback from participants. These behaviours include attitudes, believes, attribute, motivation
and behaviour of sampled participants, and that will be taken on a series of measurements based
on spaOur research regarding Consumer‘s attitude towards online shopping is a descriptive
research because we just want to draw a picture of our topic as what are the factors that influence
consumers to shop online. In general, two types of research methods are being used quantitative
and qualitative. We would like to go for quantitative method in our research as it is a precise
way. According to Creswell time is vital attribute for decision making while selecting research
method. Quantitative research can be faster as compare to qualitative as it is possible to forecast
the time schedule, whereas qualitative can be relatively long in duration. Research projects
normally done for academic reasons are limited to time as our research is also being done for
academic purpose and is time limited so that is why we are going to prefer quantitative approach.

METHOD SELECTION: -

Data for this study was collected by means of a survey conducted in the college student and
professional etc. The sample size was 100. The questionnaire was used mainly to test the model
proposed for attitude towards online shopping. The type of research was both exploratory as well
as descriptive. We took around fourteen different factors by studying the existing models of
consumer behaviour that play an important role in online purchase. According to the objectives
of this study, the questionnaire was conducted to collect data about the impacts of consumer
behaviour in online purchases within the summarized framework in associated with the
respondent‘s online shopping experience. From this survey, there are following information will
be gathered, the respondent‘s experience of Internet use, the purpose of using Internet, the
product categories which consumers purchased online, attitudes to Internet shopping, and
feedback for Ecommerce web sites. In addition, some demographic data will also collect from
the respondents, such as gender, ages, and employment details etc.

Sample design: -

Sample design the method of random sampling is been used to collect data from the respondents.

Sample size: -

Sizes of 100 respondents are takes for the collection of the collection of the data.

SOURCE OF DATA

31
 Market research requires two kinds of data, primary data and secondary 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.

 Primary data: - These are those data which are collected afresh and for the first time,
and thus happen to be original in character. I will be using the structured questioners.

 Secondary data: - These are those data which have already been collected by someone
else and which have already been passed through the statistical process. I will collect if
from the source like internet published data etc.

Procedure of analysis: -
There are three steps involved in the analysis of data, which are as follows: -

1. Selection
2. Classification
3. Interpretation
1. Selection: - the 1st step involves selection of information (data) relevant to the purpose
of analysis of data
2. Classification: - the 2nd step includes is the methodology classification of data

3. Interpretation: - the 3rd step includes drawing of interpretation and conclusion.

LIMITATIONS OF THE STUDY: -

1) The study has been conducted based on the data acquired from the online buyers of India
only and the findings may not be applicable to other countries of the world because of
socio-cultural differences.
2) The study conducted is limited to online consumers of Himachal Pradesh.

32
 CHAPTER-4

DATA ANALYSIS
AND
INTERPRETATION

33
 Q1). To know the age of the respondents?

Age No. of respondent % of respondents

15-20 years 9 9%

20-25 years 30 30%

25-30 years 27 27%

30-35 years 34 34%

9%

15-2O
34%
20-25
30%
25-30
30-ABVE
27%

Interpretation:-

The above diagram shows us the percentage in the age of respondents. As it shows that from age
15-20 the number of respondents are 9% and from age 20-25 it is 30% and from 25-30 it is 27%
and from 30 above it is 34% which is shows by the this pie chart.

34
Q2). To know the Gender of the respondents?

Gender Respondents

Male 50

Female 50

Interpretation:-

From above grahpical representation we can clearly see that total no. of respondent are 100. 50
of them are males and 50 are females.

35
Q3). To know the demography whether respondents live in rural or urban area?

Address Respondent

Rural 10

Urban 90

Interpretation:-

The above diagram is showing the percentage of demography of respondents and what is the
percentage of respondents who lives in rural or urban region, the above diagram is showing that
90% of the respondents are from urban areas and 10% of the respondents are from urban area.

36
Q4). TO KNOW THE OCCUPATION OF THE RESPONDENTS?

Occupation No. Of Respondent

Student 27
Professional 53
Govt. Employee 20

INTERPRETATION:-

This graph help us to know the occupation of the respondents, this is to know that which
segment of people are buying more products on the internet whether they are the segment of
students government employees or professional, the above graph shows that the segment of the
students is 27% and govt. employees is 20% and professional is 53% of are using internet and
use to buy online products.

37
Q5). Do you have your own internet connection?

Connection Respondents

Yes 80

No 20

INTERPRETATION:-

This graph shows us the percentage of respondents who have their own internet connections, its
shows that 80%of respondents have their own internet connections and 20% people don‘t have
their internet connection.

38
Q 6). How frequently do you purchase online?

Purchase Online No. of respondents %age of Respondents

Once a Week 9 9%
More than once a week 28 28%
Once a Month 16 16%
More than once a Month 47 47%

INTERPRETATION:-

This graph shows us that most of the customer prefer online shopping more than once a month
47%.,Remaining once a week 9%, More than once a week 28% and Once a month 16%.
customer purchase online.

39
Q7).TO KNOW WHAT MOTIVATES PEOPLE TO DO ONLINE SHOPPING.

MOTIVATES % OF RESPONDENTS

easy payment 35%

No hidden cost 15%

No travel of product 15%

Wide range of product 35%

INTERPRETATION:-

This graph shows us what motivates the people to buy internet, as from above result we found
out that no travel to shop is the main thing which motivates the people to buy products online.

40
Q 8). Do you feel that the online marketers are providing competitive prices?

Providing competitive prices % of Respondents

Yes 70%

No 25%

Can‘t say 5%

INTERPRETATION:-

This diagram shows us that whether online marketers are giving competitive price or not and
result which is came is that most of the people thought that online marketers are providing
competitive prices than physical stores. And result shows 70% of people say that it provides
competitive prices and only 25% of people say no and 5% of people can‘t say.

41
Q9). What product you buy on internet?

Product % of Respondents

Books 35%

Mobile 20%

Clothes 45%

INTERPRETATION:-

The above graphs gives result that most of time people use to buy books35% and mobile20% and
So this graph shows us this useful data .

42
Q10). Do you feel that online shopping is better than shopping at physical brick?

Online shopping is better than % of Respondents

Shopping at physical brick

Yes 60%

No 30%

Can‘t say 10%

INTERPRETATION:-

After analyzing the above graph shows that the people are in favour of that online shopping is
better than physical store, the percentage of people who says online shopping is better is 45%
and the people who say it not good is 38 %. Still the percentage of people who says yes is more
than other who says no.

43
Q11). Which of the following stores have you ever visited for shopping online?

Stores have you visited online % of Respondents

Amazon 50%

Flipkart 25%

Home shop 18 25%

INTERPRETATION:-

This graph shows that 50% people use to visit amazon.com for online shopping,25% use to go
flpkat.com because of people who buys books is more than any other products so people mostly
visits amazon.com, 25% people do at home shop 18 .

44
Q12). How do you make your payment on internet?

Payments % of Respondents

Debit card /credit card 60%

Cash on delivery 40%

INTERPRETATION:-

This diagram shows that mostly people uses credit/debit card to pay their payments 60% people
use to pay by credit/debit card and 40% payments pay by cash on delivery.

45
Q13). Have you face any problems while shopping online ?

Face any problems % of respondents

Yes 50%

No 30%

Can‘t say 20%

INTERPRETATION:-

This graph shows that whether people faces any problem while doing online shopping or not and
the result shows that 50% people says that they have faced problem while buying online and
30% people says that they don‘t face any problem and 20% says that we can‘t say.

46
CHAPTER -5

FINDINGS

47
FINDINGS

 Online shopping is become common in today‘s life. The study indicates the most of
customer having experience of online shopping.
 Custer believe that online shopping is better option than manual shopping still they have
belief than online shopping is expensive,delayed in delivery of products and service.
 Most of the customer are facing problems like return of bad/wrong product, confusing
sites and ineffective customer service.
 According to, customer most alarming barrier for online shopping are unable to verify
product personally,online payment security.
 Other segment was mainly price and convenience oriented therefore took the most
consideration to the opinions and experiences of the Reference groups.
 As they low disposable income and were somewhat convenience oriented when
acquiring information about low prices, we chose to label them price easier.
 We found that most of the time youngster who are from the age of 30-above shops a lot
on the net rather than other age limits.
 People used to do online shopping because of its convenience rather than its pricing, but
the main thing which is very common in the most of the people about online shopping is
its risk of privacy i.e. hacking of account number getting passwords and all.

48
CONCLUSION

49
Conclusion

Online shopping is a different experience and you can make the shopping creative over the
internet as you get used to it. There can be lot of apprehensions about online shopping when you
get in to it for the first time. As you experience more and more of it those apprehensions get
disappeared slowly. Remember that if you stick to the basics, online shopping become more
enjoyable and easier than real-world shopping.

In the conclusion part of my project, all people whom I have surveyed were interested in
shopping but, most of the people were having preference to shop offline and very few were
interested to go online for shopping. My survey indicates that the maximum consumer make the
purchase offline because of the lack of awareness towards online shopping and shopping portals.
On the basis of survey the major drawback of the online shopping is lack of the security in the
shopping payment through credit/Debit card. Most of the people preferred online shopping
because it is a timesaving process. WYSWYG (what you see is what you get)approach is not
being followed whole heartedly by online web portal as most of the people opined that the
product purchase through online portals differs significantly from its original form .The images
of the product are mostly inflated which affects the perception of consumers towards online
shopping.

Increased Internet penetration, a hassle free shopping environment and high levels of Net savings
see more and more Indians shopping online. But at the same time the companies need to reduce
the risks related to consumer incompetence by tactics such as making purchase websites easier to
navigate, and introducing Internet kiosk, computers and other aids in stores.

The goal is not to convert all shoppers to online purchasing, but to show them it‘s an option. In
addition to above, efforts need to be taken to educate the online 65 buyers on the steps that need
to be undertaken while making an online purchase. Moreover, the feedback of an online buyer
should be captured to identify flaws in service delivery. This can be done through online
communities and blogs that serve as advertising and marketing tools and a source of feedback for
enterprises. I found that it is a challenge for E-marketers to convert low frequency online buyers
into regular buyers through successful website design and by addressing concerns about reliable
performance. Thus, the online retailing raises more issues than the benefits it currently offers.
The quality of products offered online and procedures for service delivery are yet to be
standardized. Till the same is done, the buyer is at a higher risk of frauds.

50
 SUGGETIONS
&
RECOMMANDATION

51
SUGGESTIONS
• Providing quality service at affordable prices and having different types of products for
different income customers is another advantage

. • Online portals have endorsed very famous personalities which has attracted a lot of customers.
This has resulted in increase of sale and the outdoor advertising techniques have also helped the
online portals.

• Considering the fact that there are a lot middle class families in India, online portals hashed a
huge impact on the middle class section of India, the prices, quality and sales strategy has helped
in getting the middle income groups getting attracted towards online shopping

. • Yet another concern is about online security. If you are shopping online, you have to take
additional care about your credit cards so that to protect from unauthorized usage. So various
online shopping portals has to provide the security on payment procedure.

• Online shopping lacks the real world shopping experience that we get shopping with relatives
and friends offline. Even though online shopping has several disadvantages, the advantages
outnumber the disadvantages and thus more and more people started buying online.

• Delay in delivery and lower quality leads to dissatisfaction of customers. Due to factors
mentioned above online shoppers are not always satisfied, this is not a positive for the shopping
portals.

• People are loyal towards brand as they are highly satisfied with the quality and they have an
assurance from the brand for their continued supply of quality products.

52
RECOMMENDATIONS

As we came to know after researching on this topic we recommend that, the online sellers have
to make their payment transparent, and as people are coming on their sites and they are buying
their products, so retailers have to give more discounts to their customers so that they can visit
again and again to their site, and it also helps to make people more aware about the low rick
shopping of the net, and one more thing is that there should be Transaction of money is very
slow they have to make it fast so that customer don‘t have to Face much problem to pay for the
product, if customer is going to face some problem heist not going to visit our site and buy
product .Following implications should be followed

• Discount prices

• A transfer and reliable retailer

• Fast transactions

• Focus on customer satisfaction

53
BIBLIOGRAPHY

54
BIBLIOGRAPHY

1. Research Methodology:-―C.R. Kothari‖

2. https://en.wikipedia.org/wiki/Consumer_behaviour

3. www.google.com

4.MAGAZINE : Consumer Awareness Welfareness& Protection

55
ANNEXURE

56
 QUESTIONNAIRE
Name ________________________

Q1. Age

1) 15-20

2) 20-25

3) 25-30

4) 30 above

Q2. Gender

1) Male

2) Female

Q3. Address

1) Rural

2) Urban

Q4. Occupation of the respondents ?

1) Students
2) Professional
3) Govt. Employee

Q5. Do you have your own internet connection?

a) Yes

b) No

Q6. How frequently do you purchase online?

a) Once a week

b) More than once a week

c) Once a month

d) more than once in a month

57
Q7. What motivates to buy products online?

a) Easy payment

b) No hidden cost

c) No travel to shop

d) Wide range of products

Q8.Do you feel that the online marketers are providing competitive prices?

a) Yes

b) No

c) Can‘t Say

Q9. What products you buy on internet?

a) Books

b) Mobile

c) Cloths

Q10. Do you feel that online shopping is better than shopping at physical brick ?

a) Yes

b) No

c) Can‘t say

Q11.Which of the following stores have you ever visited for shopping online?

a) Amazon

b) flpkart

c) home shop 18

Q12.How do you make your payments on internet?

a) Credit card/Debit card

b) cash on delivery

58
Q13. Have you face any problems while shopping online?

a) Yes
b) no
c) can‘t say

59
THANK
YOU!

60
61