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IDP Research

on
“CONSUMER BEHAVIOR TOWARDS ONLINE SHOPPING IN
JAMNAGAR CITY”

Prepared by:
Heeral Brijlani (Enrollment Number: 147700592026)
Darshana Chauhan (Enrollment Number: 147700592074)

Under the guidance of


Prof. (Dr.) Ajay Shah

Submitted To
Jaysukhlal Vadhar Institute of Management Studies (JVIMS)
Jamnagar
Affiliated To
Gujarat Technological University (GTU)
INTRODUCTION TO ONLINE SHOPPING

• Internet usage is increasing day by day


• Revolution in shopping of daily needs
• Rise in Internet shopping
• Different modes of Payment
• Different offers provided by online sellers

Source: What Clicks With The Online Shopper? Nielson Insights 16-10-2015
ADVANTAGES OF ONLINE SHOPPING

• Easy to find
• Products can be cheaper
• Save time and energy
• Freedom of choice
• Rare product
• Privacy

Source: http://www.allresearchjournal.com/archives/2015/vol1issue9/PartD/1-9-4.pdf
PROBLEMS OF THE SECTOR

• Delay in delivery
• Inferior product
• Delivery problem
• Scam
• Ease of use
• Security
REVIEW OF LITERATURE

• Dr. Seema Agarwal, “A STUDY OF FACTORS AFFECTING ONLINE SHOPPING BEHAVIOUR


OF CONSUMERS IN MUMBAI REGION”; Tactful Management Research Journal, (ISSN: 2319-
7943)

• Prof. Sanjeev Kumar & Savita Maan, December 2014, “STATUS AND SCOPE OF ONLINE
SHOPPING: AN INTERACTIVE ANALYSIS THROUGH LITERATURE REVIEW”; International
Journal of Advance Research in Computer Science and Management Studies (Volume 2, Issue 12,
ISSN: 232 7782)

• Zia Ul Haq, “PERCEPTION TOWARDS ONLINE SHOPPING: AN EMPIRICAL STUDY OF


INDIAN CONSUMERS”; National Monthly Refereed Journal Of Research In Commerce &
Management (Volume No.1, Issue No.8, ISSN 2277-1166)

• Prof. Ashish Bhatt, June 2014, “CONSUMER ATTITUDE TOWARDS ONLINE SHOPPING IN
SELECTED REGIONS OF GUJARAT”; Journal of Marketing Management, (Volume 2, No. 2, pp.
29-56, ISSN: 2333-6099)
REVIEW OF LITERATURE(Continue)

• Ms. Dipti Jain, Ms. Sonia Goswami, Ms. Shipra Bhutani, Sepember 2014, “CONSUMER BEHAVIOR
TOWARDS ONLINE SHOPPING: AN EMPIRICAL STUDY FROM DELHI”; IOSR Journal of
Business and Management (IOSR-JBM) (Volume 16, Issue 9.Version IV, ISSN: 2278-487X)

• Dr. M. Rajesh & G. Purushothaman, DECEMBER 2013 “CONSUMER PERCEPTION TOWARDS


ONLINE SHOPPING IN KANCHIPURAM”; GALAXY International Interdisciplinary Research
Journal (Volume 1 (2), ISSN 2347-6915)

• Dr. Payal Upadhyay & Jasvinder Kaur, “ANALYSIS OF ONLINE SHOPPING BEHAVIOR OF
CUSTOMER IN KOTA CITY”, International Journal in Multidisciplinary and Academic Research,
(Vol. 2, No. 1, ISSN 2278 – 5973)

• Dr. Renuka Sharma, Dr. Kiran Mehta, Shashank Sharma , July - Sept 2014 “UNDERSTANDING
ONLINE SHOPPING BEHAVIOUR OF INDIAN SHOPPERS”; INTERNATIONAL JOURNAL OF
MANAGEMENT AND BUSINESS STUDIES(IJMBS), (Vol. 4, Issue 3, ISSN : 2230-9519)
REVIEW OF LITERATURE(Continue)

• Ms. Asmatara Khan, March, 2015, “FACTORS AFFECTING ON-LINE SHOPPERS BEHAVIOR
FOR ELECTRONIC GOODS PURCHASING IN MUMBAI: AN EMPIRICAL STUDY”;
International Journal in Management and Social Science, (Vol.03 Issue-03, ISSN: 2321-1784)

• Ojaswita Shrivastava, 2014, “TO STUDY THE REASONS FOR CUSTOMER ABANDONING
THEIR ON-LINE SHOPPING CART BEFORE PURCHASE COMPLETION STAGE”; The
International Journal Of Engineering And Science, (Volume 3 Issue 2, ISSN (e): 2319 – 1813 ISSN)

• Dr. Shuchi Singhal Shashi Shekhawat, April – June’ 2015, “ONLINE AND OFFLINE CONSUMER
BUYING BEHAVIOUR: A LITERATURE REVIEW”; Pezzottaite Journals, (Volume 4, Number 2,
ISSN (Print):2279-0977)

• Dr. Abdul Baji1 and N. D Chandra Sekhar, October 2013, “CONSUMER BEHAVIOR TOWARDS
BUYING OF ELECTRONIC GOODS”; International Monthly Refereed Journal of Research In
Management & Technology, (Volume 2, ISSN – 2320-0073)
RESEARCH PROBLEM

• “Consumer behavior towards Online Shopping in


Jamnagar city”
OBJECTIVES OF THE RESEARCH

• The main aim of research is:

• To find out consumer behavior towards online shopping.

• The Secondary objectives of the research are:

• To identify consumers’ perception towards online purchasing.

• To identify consumers’ online buying behavior.

• To identify consumers’ preference towards different websites.

• To identify consumers’ perception towards mode of payment.


RESEARCH DESIGN

• Exploratory research design


• SAMPLE DESIGN:
• SAMPLE SIZE:

• The substantial portions of the target customer that are sampled to achieve
reliable result are 150.

• SAMPLING METHOD:

• Non-probability sampling method : convenience Sampling

• SAMPLE TECHNIQUE

• Percentage analysis

• Tabulation

• Graphical
• COLLECTION OF DATA
STATEMENT OF HYPOTHESIS

• Q 11
• H0: There is no relationship between gender and post purchase activity.

• H1: There is relationship between gender and post purchase activity.

• Q 20(As per age)


• H0: There is no relationship between mode of payment and age.

• H1: There is relationship between mode of payment and age.


• Q 20 Option 2: As per income

• H0: There is no relationship between mode of payment and Income.

• H1: There is relationship between mode of payment and Income.

Q 23

• H0: There is no relationship between amount spent on purchase and gender.

• H1: There is relationship between amount spent on purchase and gender.


DATA ANALYSIS AND INTERPRETATION
Gender of respondents
Income of respondents
Age of respondents
Which website do you prefer for this
product/service?
Main Reason for online Shopping?
Do you visit different online stores before the actual
purchase, how many stores on average do you visit
before purchasing it?
After receiving the product what do you?
What are the main barriers which keep you away
from shopping online?
What do you prefer to use when shopping online
from your device?
Have you faced problems with a mobile app within
the last 6 months? If so, what types?
Customer level of agreement towards online
shopping-Shopping on internet saves time
Customer level of agreement towards online
shopping-I am happy by shopping online
How do you make payments mostly when shopping
on the Internet?
How much amount did you spent on purchased last
time?
HYPOTHESIS TESTING(Q 11)
• H0: There is no relationship between gender and post purchase activity.

• H1: There is relationship between gender and post purchase activity.


Observed Expected (O-E)2 (O-E)2/E
67 69 4 0.057971
64 62 4 0.064516
10 7.9 4.41 0.558228
5 7.1 4.41 0.621127
1 1.05 0.0025 0.002381
1 0.95 0.0025 0.002632
1 1.05 0.0025 0.002381
1 0.95 0.0025 0.002632
1.311867
RESULTS

• Calculated Value: 1.311867

• Tabulated Value: 7.8147

• Here, calculated value is less than tabulated value.


So null hypothesis is accepted.
• Q 20 As per income
• H0: There is no relationship between mode of payment and Income.
• H1: There is relationship between mode of payment and Income.
Observed Expected (O-E)2 (O-E)2/E

11 11.2 0.04 0.003571


13 11.04 3.8416 0.347971
0 1.76 3.0976 1.76
3 2.33 0.4489 0.192661
2 2.3 0.09 0.03913
0 0.36 0.1296 0.36
53 53.2 0.04 0.000752
54 52.44 2.4336 0.046407
7 8.36 1.8496 0.221244
3 3.26 0.0676 0.020736
0 3.22 10.3684 3.22
4 0.51 12.1801 23.88255
30.09502
RESULT

• Calculated: 30.09502

• Tabulated: 26.296

• Here, calculated value is more than tabulated value.


So null hypothesis is rejected.
FINDINGS
• 54% of the respondents purchased travel tickets online and no respondent prefer
purchasing food online.

• 85.3% of the respondents preferred Amazon

• 74% of the respondents are conscious towards price and is the reason they prefer
online shopping

• 82.7% of the respondents considers the price (discount) as the major factor
before making a final decision of the product.

• 87.3% of the respondents discuss with friends /family about the purchased
product

• 76% of the respondents prefer cash payment

• 74.7% of the respondents say that they don’t make online payment
FINDINGS(CONTINUE)

• 79.3% respondents don’t go to a retail store first before making your final
purchase online

• 52% of the respondents strongly agree that they prefer better customer service

• 53.3% of the respondents are happy by shopping online

• 51.3% of the respondents shop between 1000 to 5000

• 74.7% of the respondents prefer online shopping through cell phone.

• 67.3% of the respondents buy specific products online through referred by


family or friend
FINDINGS(CONTINUE)

• 63.3% of the respondents complains about phone getting hacked

• 66.7% of the respondents believe that internet saves time

• 62.7% of the respondents strongly agree that is a great advantage to be able to


shop at any time of day

• 68.7% of the respondents use application for online shopping

• 62.7% of the respondents never visit any offline store before making a final
purchase

• 65.8% of the respondents believe that delivery of a good is slow as a major


barrier in online shopping.
SUGGESTIONS

• Many retail store should develop a smart phone application for online shopping.

• Online sellers should consider post purchase activity that helps customer to
purchase products online.

• Customers are now using so many social networking websites so online sellers
should advertise their products in social networking websites.

• Risk perception for online shopping should be reduced.

• Online sellers should track history of customers so that they can provide
personalized offers to individual.

• Sellers should provide brief description of products so that customers can order
accordingly.

• To make online shopping more preferable, online sellers should make design of
website more attractive.
CONCLUSION

• Maximum respondents from Jamnagar city prefer to buy from Amazon. People like to buy
from Amazon as compared to Flipkart.

• Discount coupons effect more in online shopping.

• Website design matters a lot in attracting customers more for online shopping. Because
customers prefer easy navigation for online shopping.

• Mode of payment is not dependent on age of customers. Respondents who has income less
than rs 10000 do payment through cash on delivery. Respondents having income more than
10000 do payment through e-wallet.

• Customers prefer to buy through application in their smart phone for shopping goods
online.

• Customers expects faster delivery of goods ordered online. As faster delivery of goods is
important from customers’ point of view because more time is consumed in delivery of
goods.
BIBLIOGRAPHY
• http://www.academia.edu/24284430/A_STUDY_OF_FACTORS_AFFECTING_ON
LINE_BUYING_BEHAVIOR_A_CONCEPTUAL_MODEL

• What Clicks With The Online Shopper? Nielson Insights 16-10-2015

• Arjun Mittal, “E-commerce: It’s Impact on consumer Behavior”; Global Journal of


Management and Business Studies, ISSN 2248-9878 Volume 3, Number 2 (2013)

• Dr. Seema agarwal “A study of factors affecting online shopping behaviour of


consumers in mumbai region”; Tactful Management Research Journal, ISSN: 2319-
7943

• http://www.nielsen.com/in/en/insights/reports/2016/the-smartphone-becomes-the-
mobile-wallet.html

• C R Kothari, Research Methodology: Methods & Techniques, ISBN (13) : 978-81-


224-2488-1

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