This document is a dissertation report submitted in partial fulfillment of the requirements for a Master's degree in Business Administration. The report examines consumer behavior towards online shopping in Maharashtra, India. It begins with an introduction on the growth of online shopping in India and how the internet has changed consumer purchasing habits. The objectives of the study are then outlined, followed by a literature review on previous research conducted on topics related to online shopping behavior. Relevant consumer behavior theories and definitions of key terms like online shopping are also presented. The report provides an overview of major online shopping websites in India and segments consumer behaviors towards online shopping. Influential factors on online shopping are also discussed.
A study on Comsumer Behaviour towards Online Shopping in Maharashtra
1. A
DISSERTATION REPORT
ON
“A STUDY ON CONSUMER BEHAVIOUR TOWARDS
ONLINE SHOPPING IN MAHARASHTRA”
SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS
FOR THE DEGREE OF MASTER OF BUSINESS ADMINISTRATION
TO
SAVITRIBAI PHULE PUNE UNIVERSITY
BY
MISS. BELAN GAURI DILIP
PRN: 2051609965
UNDER THE GUIDANCE OF
MR. U.S.KASAR
IN THE YEAR-2017-18
THROUGH
S.N.J.B’S LATE SAU. K.B.JAIN COLLEGE OF ENGINEERING,
NEMINAGAR, TAL- CHANDWAD, DIST-NASHIK, (M.S)
2. 1
1. INTRODUCTION
Online shopping is quite common these days in the developed world than it was about
five years ago and it is gaining its market in India comprising 120 million of Internet
population in contrast to the global 1 billion Internet users in 30 aspiring countries
Consumers find the worldwide web a great place for bargain-hunting, with most
goods available at lower prices than in a bricks-and-mortar store. But convenience
appears to be an even bigger attraction as revealed in surveys because most online
shoppers find the crowded high street too stressful providing an escape from the
traditional brick shops to easy access Internet shops. These virtual shops are
information intensive providing customers all the informational content related to
product or services like specifications, cost and feature comparisons, advertisements,
offers and discounts.
Internet is changing the way consumers shop and buy goods and services and has
rapidly evolved into a global phenomenon. Many companies have started using the
Internet with the aim of cutting marketing costs, thereby reducing the price of their
products and services in order to stay ahead in highly competitive markets.
Companies also use the Internet to convey, communicate and disseminate
information, to sell the product, to take feedback and also to conduct satisfaction
surveys with customers. Customers use the Internet not only to buy the product
online, but also to compare prices, product features and after sale service facilities
they will receive if they purchase the product from a particular store. Many experts
are optimistic about the prospect of online business. In addition to the tremendous
potential of the E-commerce market, the Internet provides a unique opportunity for
companies to more efficiently reach existing and potential customers. It has been
more than a decade since business-to-consumer E commerce first evolved. Scholars
and practitioners of electronic commerce constantly strive to gain an improved insight
into consumer behaviour in cyberspace.
3. 2
Background & Reason for Selection of Topic
The rapid growth of e-commerce in India over the last two decades, rising internet
and mobile phone penetration has changed the way we communicate and do business.
E-commerce is relatively a novel concept. It is, at present, heavily leaning on the
internet and mobile phone revolution to fundamentally alter the way businesses reach
their customers. The growth is expected to be led by increased consumer-led
purchases in durables and electronics, apparels and accessories, besides traditional
products such as books and audio-visuals. The birth and growth of Internet has been
the biggest event of the century. E-commerce in India has come a long way from a
timid beginning in the 1999-2000 to a period where one can sell and find all sorts of
stuff from a high end product to a meagre peanut online. Most corporations are using
Internet to represent their product range and services so that it is accessible to the
global market and to reach out to a larger range of their audience. Computers and the
Internet have completely changed the way one handles day-to-day transactions; online
shopping is one of them. The Internet has brought about sweeping changes in the
purchasing habits of the people. In the comfort of one's home, office or cyber cafe or
anywhere across the globe, one can log on and buy just about anything from apparel,
books, music and diamond jewellery to digital cameras, mobile phones, MP3 players,
video games, movie tickets, rail and air tickets. Ease, simplicity, convenience and
security are the key factors turning the users to buy online.
4. 3
2. OBJECTIVES OF STUDY
Primary Objective
To identify the consumers awareness about online shopping.
To analyse the consumers preferred websites for online shopping.
To identify the various factors which influence consumers towards online
shopping?
Secondary Objective
To find main barriers and problems it effect on consumer behaviour
To find category of good purchased frequently by consumer through online
shopping.
To identify whether consumers visit different store before actual purchase.
To identify the reason of consumers dissatisfaction.
5. 4
3. LITERATURE REVIEW
Anupreet Kaur (2016): This study is based on the behaviour of consumer
behaviour towards online shopping. The online shopping is most beneficial for the
business. It is create a new economy in India. The online shopping will become a
huge industry in coming years. The main motivatingfactor is customer service &
convenience which are helps to consumers for online shopping. The consumer
behaviour it is the process of involved select purchase uses disposes the products,
service ideas or experiences to satisfy needs and desire. In view for the internet to
spread out as a retail channel it is imperative to realise the consumer’s intention
for online shopping1
.
Prashant Singh (2014): This study is based on the consumer buying behaviour
towards online shopping. Recently online shopping is a new trend of shopping in
India that is use as computer base shopping & internet banking or e-banking. The
online shopping is the best way to save money and time through purchasing online
within budget. The success of online shopping is based on the depending upon the
popularity, its branding image, its unique & fair policies &its customer relation.
The consumer buying behaviour is important because its help to know about
consumer’sdemand. The future of online shopping is bright because consumers
are like online shopping and they are satisfied2.
Kalpana Mathur (2014): This study is based on the online shopping habits of
consumer in India. Online shopping is great for consumers because most goods
available at low price than real store. The consumer buying habits and behaviour
released from the study in online shopping habits of Indian consumer in India.
Shopping by visiting shops, malls or retail store is more time consuming .So many
consumers are preferred to online shopping .The online shopping is increase
internet usage of people. The online shopping habits are gaining quick market and
are growing every year. Discounts coupons are emerging as at attractive features
for consumers to shop online3
.
6. 5
R.Ganapathin (2015): This study is based on the factors are affecting online
shopping behaviour of consumers. The online shopping is fast growing
phenomenon. The online shopping is increases the number of consumers shops
online to purchase goods and services. The online retailors need to ensure that the
online shopping process in their websites is designed to be easy, simple and
convenient to shop online. Analysis shows that website features and security
factors are affecting online shopping behaviour of consumer. Online shopping is a
form of electronic commerce which allows consumers to directly purchase a
product or services from seller over the internet using web browser4
.
Dr.Sonalkala (2015): This study is based on the behaviour of customer towards
online shopping India. Online shopping is a part of electronic commerce which
allows the consumers to directly buy goods or services from a seller over the
internet. The online shopping sites are capturing the market. More consumers
have been seen to reveal different buying behaviours when shopping online than
when they are shopping in a physical retail store. Online shopping becomes
extremely popular over the last decade. The online shopping is extremely
convenient and beneficial for the consumers. But some problems arise in online
shopping such as deliver y problem, return policy etc. The India has grand future
in online shopping5
.
Dr.GangadeepNagra (2013): This study is based on the factors affecting online
shopping behaviour of the consumers, online shopping is the recent phenomenon
in the field of e business. The consumers are perceived online shopping in a
positive manner. The companies are running their online portal to sale their
product or services online. The study is revealed that online shopping in India is
significantly affect by various factors like income,security,age,education ,network
etc. The potential growth of online shopping has triggered the idea of conducting a
study on online shopping in India6
.
7. 6
Priyanka Sharma (2017): This study is based on the consumer behaviour
towards online shopping. The online shopping attempting to get competitive
advantage by using e-commerce to interact with customer. The online shopping is
rapidly change way to People do business all over the world. The price of the
product is most influencing factor of the online purchase and online shopping. The
online shopping is popular in younger generation and cash on delivery is found
most popular payment method for online shopping among consumer. The main
barriers in the process of online shopping are the payment safety and privacy
issue. The internet has given rise to great potentially through connecting globally7
.
Nisha Gupta (2017): This study is based on the consumer behaviour towards
online shopping. The online shopping is beneficial for consumers. The benefits of
online shopping includes it’s around the clock availability the speed of access, a
wider selection of goods &services, accessibility and international reach. The
impact of online shopping on business collaboration and customer services as well
as delivery of various services. The online market is as new concept and it will
take a people trust of shopping activities. The Indian peoples are going to the
malls and looking various items before purchasing them. India is a developing
country where major chunks of its population live in rural area and hence do not
have access to the internet8.
8. 7
References:
1. Anupreet Kaur-2016 A study of behaviour of consumer towards online
shopping orbit-biz-dictum volume 1 Issue 1 pp-45-55
2. Prashant Singh-2014Consumer’s buying behaviour towards online shopping-
National Monthly Refereed Journal of Research In Commerce & Management
Volume III-ISSN – 2277-1166 pp-27-34
3. Kalpana Mathur-2014A Study of online Shopping habits of Consumers in
India-International Journal on Customer RelationsVolume 2 Issue 1 pp-23-28
4. R.Ganapathi– 2015 A study on factors affecting online shopping behaviour of
consumers in Chennai - Journal of Management Research and Analysis
Vol.2(2) pp-123-126
5. Dr.Sonal Kala- 2015Behaviour of Customers’ Towards Online Shopping In
India-International Journal Of Core Engineering& Management (IJCEM)
Volume 2 Issue 4 pp-127-131
6. Dr.GagandeepNagra –2013 An study of factor affecting on online shopping
behaviour of consumerInternational Journal of Scientific and Research
Publications Volume 3 Issue 6 ISSN 2250-3153 pp-1-4
7. Priyanka Sharma-2017 Consumer behaviour towards online shopping-an
empirical study-International conference on recent Trends in Engineering
Science & Management ISBN 978-93 pp-196-205
8. Nisha Gupta-Consumer behaviour towards e- commerce: online shopping-
International conference on recent Trends in Engineering Science &
Management ISBN 978-93 pp-246-251
9. 8
4. THEROTICAL BACKGROUND
Consumer Behaviour
Consumer behaviour is the actions and decision processes of people who purchase
goods and services for personal consumption-Engel, Blackwell, and Mansard
Consumer behaviour is the decision process and physical activity, which individuals
engage in when evaluating, acquiring, using or disposing of goods and services1
-
Louden and Bitta
Consumer behavior is the process & activities people engage in when searching for
selecting, purchasing, using, evaluating, and9 disposing of products and services so as
to satisfy their needs and desire 2.
-Belch & Belch
Online Shopping
The act of purchasing products or services over the Internet3.
-Business Dictionary
Online Shopping Websites
Amazon: Amazon is a Fortune 500 e-commerce company based in Seattle,
Wash. It has the distinction of being one of the first large companies to sell
goods over the Internet. In 1994, Jeff Bezos founded Amazon4
.
Flipkart: In 2007, when Flipkart was launched, Indian e-commerce
industry was taking its beginner steps. The company is registered in
Singapore, but their headquarters are in the city of Bangalore, India.
Binny baansal and Sachin baansal is founder.5
.
eBay: eBay is a global commerce leader including the Marketplace, Stub Hub
and Classifieds platforms. Collectively, we connect millions of buyers and
sellers around the world, empowering people and creating opportunity through
Connected Commerce. Founded in 1995 in San Jose6
.
Jabong- Jabong.com is a young and vibrant company that aims to provide
good quality branded products. Jabong.com caters to the fashion needs of men,
women and kids across footwear, apparel, jewellery and accessories7
.
10. 9
Myntra: Myntra is a one stop shop for all your fashion and lifestyle needs.
Being India's largest e-commerce store for fashion and lifestyle products,
Myntra aims at providing a hassle free and enjoyable shopping experience to
shoppers across the country with the widest range of brands and products on
its portal. The brand is making a conscious effort to bring the power of fashion
to shoppers with an array of the latest and trendiest products available in the
country8
.
Snapdeal: Snapdeal set a niche for itself in the sphere of e-commerce in
India. In 2010, when Kunal Bahl and Rohit Bansal wanted to start their
own business, they chose an offline couponing business and named it
Money Saver. 15000 coupons were sold in three months and it was time
to take the business to the next level9
.
ShopClues: ShopClues.com is India’s first online Managed Marketplace that
connects buyers and sellers online and offers a trusted and safe online
shopping environment. With our customer centric approach we provide the
best online shopping experience to our customers – starting from the best
selection, great technology, and perfect fulfilment and ending with the best
customer service you have ever experienced10
.
Home shop 18: Home shop 18 also operates India’s first 24X7 online & on-
air home shopping ventures, HomeShop18 as well as full spectrum events
management venture, E18 and its sports management & marketing
division, Sport18. The group recently launched Forbes India, the nation's first
local edition of a foreign news magazine title and the world's most influential
business brand, in collaboration with Forbes Media. Inx a pioneering foray
into television distribution, the group has recently announced a strategic
alliance with Sun Group, SUN18, the first truly Pan-India distribution
company and slated to be one of the biggest distribution entities in the
market11
.
11. 10
Consumer Behaviour towards Online Shopping
Online Consumer Lifestyle Segmentation
Click and Mortar— only shop online for research, and then go to the
physical store to make purchases.
Hunter Gatherers— Enjoy going online for the thrill of auctions and bargain
hunting
Brand Loyalists– Enjoy going online, but only to look at websites and
products they are comfortable with.
Time Sensitive Materialists– Only goes online for news update, stock
updates.
Hooked, online and Single— Young, (tweens, teens, college students) who
are extremely tech proficient and use the Internet for news, networking and
shopping.
Ambivalent Newbies— Not technologically proficient, may only go online
occasionally or to check e-mail.
Situational Influences and the 8 Traits of Online Shoppers
Technology Muddlers (3% of online spending) faces large computer literacy
hurdles. They spend less time than any other segment online and show little
excitement about increasing their online comfort level. They are not an
attractive market for online retailers.
Fun Seekers (2% of online spending) is the least wealthy and least educated
market segment. They see entertainment value in the Internet, but buying
things online frightens them. Although security and privacy issues might be
overcome, the spending power of the segment suggests that only a marginal
long-term payback would be possible.
Shopping Lovers (24% of online spending) enjoy buying online and do so
frequently. They are competent computer users and will likely continue their
shopping habits. They also spread the word to others about joys of online
shopping whenever they have the opportunity. They represent an ideal target
for retailers.
12. 11
Business Users (19% of online spending) is among the most computer
literate. They use the Internet primarily for business purposes. They take a
serious interest in what it can do for their professional life. They don’t view
online shopping as novel and aren’t usually champions of the practice.
Suspicious Learners (15% of online spending) comprises another small
segment with growth potential. Their reluctance to purchase online more
often hinges on their lack of computer training, but they are open to new ways
of doing things. In contrast to more fearful segments, they don’t have a
problem giving a computer their credit card number. Further guidance and
training would help coax them into online buying.
Fearful Browsers (5% of online spending) is on the cusp of buying
online. They are capable Internet and computer users, spending a good deal of
time “window shopping.” They could become a significant buying group if
their fears about credit card security, shipping charges and buying products
sight unseen were overcome12
.
References
1. http://www.yourarticlelibrary.com/marketing/market-segmentation/consumer-
behaviour-meaningdefinition-and-nature-of-consumer-behaviour/32301
2. https://repository.up.ac.za/bitstream/handle/2263/29162/02chapter2.pdf?seque
nce=3
3. http://www.businessdictionary.com/definition/online-shopping.html
4. https://www.thebalance.com/amazon-com-company-research-2071316
5. https://successstory.com/companies/flipkart
6. https://www.ebayinc.com/
7. https://www.jabong.com/about/
8. https://www.myntra.com/aboutus
9. https://successstory.com/companies/snapdeal
10. https://www.shopclues.com/shopclues_about_us.html
11. http://www.homeshop18.com/about-network18.html
12. http://www.marketingteacher.com/consumer-behavior-online-shopping/
13. 12
5. RESEARCH METHODOLOGY
Table 5.1: Showing Research methodology
Research Design
Research design is the plan, structure and strategy of investigation conceived so as to
obtain answers to research questions and to control variance and is the specification of
methods and procedures for acquiring the information needed .It is the over-all
operational pattern or framework of the project that stipulates what information is to
be collected from which sources by what procedure.
Descriptive Research
Descriptive research is undertaken in many circumstances. When the researcher is
interested in knowing the characteristics of certain groups such as age, sex,
educational level, occupation or income, a descriptive research may be necessary.
Other cases when a descriptive study could be taken up are when he/her is interested
in knowing the proportion of people in a given population who have behaved in a
particular manner, making projections of a certain thing: or determining the
Research Design
Research Type Descriptive
Population Respondents from Maharashtra
Sample size
381
Sample Technique Convenience Sampling Technique
Data collection:
Primary
Online survey by Questionpro through
Email and Whatsapp.
Secondary
Research paper & Websites
Data Analysis
Percentage Analysis & Hypothesis Testing
(Chi-Square Test)
14. 13
relationship between two or more variables. The objective of such a study is to answer
the “who, what, when, where, and how “of the subject under investigation.
There is a general feeling that descriptive studies are factual and very simple. This is
not necessarily true. Descriptive studies can be complex, demanding a high degree of
scientific skill on the part of the researcher.
Why Used Descriptive?
Use descriptive research because it is well structured and it is flexible research. It is
interested research knowing the characteristics of certain group i.e. Respondents from
Maharashtra.
Sources of Data
Primary Data
The primary data are those which are collected afresh and for the first time, and thus
happen to be original in character. Primary data has been collected through online
survey by Question pro software.
Secondary Data
The secondary data, on the other hand, are those which have already been collected by
someone else and which have already been passed through the statistical process.
Secondary data has been collected by research papers, websites.
Sample Size
Sample size determination is the act of choosing the number of observation or
replicates include in statistical sample. The population of India is 11.24 crore (Source:
Maharashtra Census data 2011)
Margin of error accept- 5%
Confidence level need-95%
Response distribution-50%
The sample size is for the research is 381.
Source: http://www.raosoft.com/samplesize.html
Sampling Technique
The sampling technique is used convenience technique.
15. 14
Convenience Technique
Convenience sampling (also known as availability sampling) is a specific type of non-
probability sampling method that relies on data collection from population members
who are conveniently available to participate in study.
Research Instrument
The instruments used for research are mainly questionnaire and interviews. A set of
questionnaire was presented to respondents. Because of its flexibility, it is by far the
most common instrument used to collect primary data.
References:
G C Beri – 2011 Marketing Research-Fourth Edition-pp-63,103,87,153,179
http://www.raosoft.com/samplesize.html
Hypothesis Statement
Respondents are not satisfied with online shopping.
Respondents are not like to continue online shopping.
16. 15
6. DATA ANALYSIS & INTERPRETATION
1. Are you aware about online shopping?
Aware about online
shopping
Number Percentage
Yes 347 91%
No 31 9%
Total 381 100%
Table 6.1: Aware about online shopping
Graph 6.1: Aware about online shopping
Interpretation: The most of the (91%) respondents are aware about online shopping
but 9% respondents are not aware about online shopping.
91%
9%
6.1 Aware about online shopping
Yes
No
17. 16
2. Which website do you prefer for online shopping?
Table 6.2: Prefer websites for online shopping
Graph 6.2: Prefer websites for online shopping
Interpretation: The respondents are like to shop online .The respondents prefer 29%
amazon & 27% Flipkart for online shopping
29%
27%
5% 4%
13%
11%
6%
2% 3%
0%
5%
10%
15%
20%
25%
30%
35%
Amazon Flipkart eBay Jobong Myntra
Snapdeal Shopclues Home shop 18 Other
6.2 Prefer websites for online shopping
Prefer Websites Count percentage
Amazon 266 29%
Flipkart 248 27%
eBay 49 5%
Jobong 35 4%
Myntra 118 13%
Snapdeal 98 11%
Shopclues 52 6%
Home shop 18 23 2%
Other 35 3%
Total 924 100%
18. 17
3. Which product category do you purchase frequently?
Answer Count Percentage
Mobiles, Computers 239 23%
TV,Appliances,Electronics 104 10%
Men's fashion 150 14%
Women's fashion 156 15%
Home, Kitchen, Pets 64 6%
Beauty, Health,Grocery 78 7%
Sports, Fitness , Bags 93 9%
Toys, Baby products, Kid's Fashion 44 4%
Car, Motorbikes, Industrial 20 3%
All Books 66 6%
Music, Movies, Video games 35 3%
Total 1049 100%
Table 6.3: product category purchase frequently
Graph 6.3: product category purchases frequently
Interpretation: There are 11 categories in online shopping. The Respondents are
shop 23% Mobiles, Computers & 10%TV, Appliances, Electronics from online
shopping websites.
Percentage
0%
5%
10%
15%
20%
25%
23%
10%
14% 15%
6% 7% 9%
4% 3% 6%
3%
Percentage
6.3 product category purchase frequently
19. 18
4. Do you visit store before online purchase?
Answer Count Percentage
Yes 180 52%
No 167 48%
Total 347 100%
Table 6.4: Visit store before online purchase
Graph 6.4: visit store before online purchase
Interpretation: The most of the (52%) respondents are checked product in shop
before doing online purchase. The 48% directly purchase from websites.
52%
48%
6.4 visit store before online purchase
Yes No
20. 19
5. Which are the factors influence you for online shopping?
Answer Count Percentage
Availability 174 20%
Low price 155 18%
Promotion 44 5%
Offers 210 25%
Convenience 98 12%
Customer service 73 9%
Time consciousness 72 8%
Other 23 3%
Total 849 100%
Table 6.5: Influencing factor for online shopping
Graph 6.5: Influencing factor for online shopping
Interpretation: There are many factors are influencing respondents for online
shopping but most of the time (25%) offers are influencing them for online shopping.
20% 18%
5%
25%
12%
9% 8%
3%
6.5 Influencing factor for online shopping
Availability Low price Promotion
Offers Convenience Customer service
Time consciousness Other
21. 20
6. Are you satisfied with online shopping?
Answer Count Percentage
Yes 327 94%
No 20 6%
Total 347 100%
Table 6.6: Satisfied with online shopping
Graph 6.6: Satisfied with online shopping
Interpretation: The 94% respondents are satisfied with online shopping but 6% are
dissatisfied.
94%
6%
6.6 satisfied with online shopping
Yes No
22. 21
If no
7. What are the reasons of dissatisfaction?
Answer Count Percentage
Delay 0 0%
Delivery problems 3 8%
Shipping charge 0 0.%
Better to buy from real store 3 8%
Return problem 12 31%
Warranty issues 6 15%
Other 15 38%
Total 39 100%
Table 6.7: Reason of dissatisfaction
Graph 6.7: Reason of dissatisfaction
Interpretation: There are various reasons of dissatisfaction for respondents. The 31%
respondents dissatisfied because they face return problem and 38% face other
problem while online shopping.
0% 8%
0.00% 8%
31%
15%
38%
6.7 Reason of dissatisfaction
percentage
23. 22
8. What are the main problems do you faced while online shopping?
Answer Count Percentage
Security 171 33%
Delivery Problem 61 11%
Warranty issue 96 18%
Return policy 113 21%
Trust 58 11%
Other 32 6%
Total 531 100%
Table 6.8: Problem faced by while online shopping
Graph 6.8: Problem faced by while online shopping
Interpretation: There are many problems faced by while online shopping but most of
the (33%) respondents are faced security problem while online shopping.
Security
Delivery
Problem
Warranty
issue Return policy
Trust
Other
33%
11%
18% 21%
11%
6%
6.8 Problem faced by while online shopping
Security Delivery Problem Warranty issue Return policy Trust Other
24. 23
9. Which are the factors that affect your online shopping?
Answer Count Percentage
Age 46 11%
Education 32 7%
Income 104 24%
Network 118 27%
Security 84 20%
None of these 46 11%
Total 430 100%
Table 6.9: Factors affecting on online shopping
Graph 6.9: Factors affecting on online shopping
Interpretation: There are many factors are affecting on respondents while online
shopping but most of the time (27%) network &(25%) income factors are affect on
respondents while for online shopping.
11%
7%
24%
27%
20%
11%
6.9 Factors affecting on online shopping
Age
Education
Income
Network
Security
None of these
25. 24
10. Would you like to continue online shopping?
Answer Count Percentage
Yes 312 90%
No 35 10%
Total 347 100%
Table 6.10: Like to continue online shopping
Graph 6.10: Like to continue online shopping
Interpretation: The 90% respondents are like to continue online shopping but 10%
are like to stop online shopping.
Yes No
90%
10%
6.10 Like to continue online shopping
Yes No
26. 25
Hypothesis Technique
A hypothesis (plural hypotheses) is a proposed explanation for a phenomenon. For a
hypothesis to be a scientific hypothesis, the scientific method requires that one can
test it. Scientists generally base scientific hypotheses on previous observations that
cannot satisfactorily be explained with the available scientific theories. Even though
the words "hypothesis" and "theory" are often used synonymously, a scientific
hypothesis is not the same as a scientific theory. A working hypothesis is a
provisionally accepted hypothesis proposed for further research.
Chi-Square Test
Chi-square test is the most common test of statistical significance that can be utilized,
and for the measures of correlation, the contingency coefficient can be worked out.
In order to judge the significance of association between two attributes, we make use
of Chi-square test by finding the value of Chi-square X2
and using Chi-square
distribution the value of X2
can be worked out as under
References:
C.R.Kothari-2004 Research Methodology Methods and Techniques-Second Revised
Edition-pp-184,233
27. 26
Hypothesis testing using chi-square test
Q.6 Are you satisfied with online shopping?
Solution: Hypothesis testing for Q.6 from data analysis for the question
Are you satisfied with online shopping?
So we assume that,
H0: Respondents are not satisfied with online shopping.
Vs.
H1: Respondent are Satisfied with online shopping
O E O-E (O-E)*(O-
E)
(O-E)2/E
327 173.5 153.5 23562.25 135.8054755
20 173.5 -153.5 23562.25 135.8054755
347 271.610951
0.00
Table 6.11: Hypothesis 1
The p value is 0.00 at confidence level at 95% and calculated value is 271.61 at
degree of freedom is 1.
The computed value is greater than the table value; therefore, the H0 is rejected in
above case.
Conclusion: Respondents are satisfied with online shopping.
28. 27
Q.10 would you like to continue online shopping?
Solution: Hypothesis testing for Q.10 from data analysis for the question would you
like to go for online shopping?
So we assume that,
H0: Respondents are not like to continue online shopping.
Vs.
H1: Respondents are like to continue online shopping.
O E O-E (O-E)*(O-
E)
(O-E)2/E
312 173.5 138.5 19182.25 110.5605187
35 173.5 -138.5 19182.25 110.5605187
347 221.1210375
0.00
Table 6.12: Hypothesis 2
The p value is 0.00 at confidence level at 95% and calculated value is 221.121 at
degree of freedom is 1.
The computed value is greater than the table value; therefore, the H0 is rejected in
above case.
Conclusion: Respondents are like to continue online shopping.
29. 28
7. FINDINGS & CONCLUSIONS
Findings
1. Most of the Consumers (91%) are aware about the online shopping but (% are
not aware about online shopping. (Table 6.1)
2. Those consumers are like to shop online & they prefer websites for online
shopping are amazon, flipkart, snapdeal, shopclues, Homeshop & some other
websites.(Table 6.2)
3. The consumers purchase all products category from online shopping
websites.(Table 6.3)
4. Most of the consumers (52%) are checked product in shop before doing online
purchases but 48% are directly purchase from websites.(Table 6.4)
5. The availability, low price, promotion, offer, convenience, Customer service,
times consciousness are influencing factor for online shopping for
consumers.(Table 6.5)
6. The 94% respondents are satisfied with online shopping but 6% are
dissatisfied.(Table 6.6)
7. There are various reasons of dissatisfaction for respondents. The 31%
respondents dissatisfied because they face return problem while online
shopping.(Table 6.7)
8. Most of the consumers (33%) faced security problem and others faced
delivery problem, warranty issue, return policy, trust in online
shopping.(Table 6.8)
9. The age, education, income, network and security are affecting on online
shopping process.(Table 6.9)
10. The 90% respondents are like to continue online shopping but 10% are like to
stop online shopping.(Table 6.10)
30. 29
Conclusions
The most of the consumers are aware about online shopping but some are not
aware about online shopping, so awareness should be created is beneficial for
consumers.
The amazon, flipkart are the consumer preference websites for online
shopping.
The various factor are influence to consumers for online shopping like
availability, low price,promotion,offers,customer service and time
consciousness.
The main barriers and problem in online shopping are effects on consumer
behaviour are security, delivery problem, warranty issue, return policy and
trust.
The most of the consumers are purchase mobile, computers, electronic
appliances and men’s, women’s and kid’s fashion from online shopping.
The 52 % consumers are visit different store before actual purchasing for they
want to see product firstly and then order online.
The return problem is a reason of consumers’ dissatisfaction.
31. 30
8. KEY LEARNING
The researcher does learn from this research:
The behaviour of consumers for online shopping is based on their experience.
The online shopping for consumers is convenience and time consciousness.
The barriers are effect on consumer behaviour.
32. 31
9. BIBLIOGRAPHY
Books
C.R.Kothari-(2004)-Research Methodology Methods and Techniques-Second
Revised Edition-pp-184,233
G C Beri - (2011)- Marketing Research-Fourth Edition-pp-63,103,87,153,179
Articles
Anupreet Kaur-2016 A study of behaviour of consumer towards online
shopping orbit-biz-dictum volume 1 Issue 1 pp-45-55
Dr.GagandeepNagra – 2013 An study of factor affecting on online shopping
behaviour of consumer International Journal of Scientific and Research
Publications Volume 3 Issue 6 ISSN 2250-3153 pp-1-4
Dr.Sonal Kala- 2015 Behaviour of Customers’ Towards Online Shopping In
India-International Journal Of Core Engineering & Management (IJCEM)
Volume 2 Issue 4 pp-127-131
Kalpana Mathur-2014 A Study of online Shopping habits of Consumers in
India-International Journal on Customer Relations Volume 2 Issue 1 pp-23-28
Nisha Gupta- Consumer behaviour towards e- commerce: online shopping-
International conference on recent Trends in Engineering Science &
Management ISBN 978-93 pp-246-251
Priyanka Sharma-2017 Consumer behaviour towards online shopping-an
empirical study-International conference on recent Trends in Engineering
Science & Management ISBN 978-93 pp-196-205
Prashant Singh-2014 Consumer’s buying behaviour towards online shopping-
National Monthly Refereed Journal of Research In Commerce & Management
Volume III-ISSN – 2277-1166 pp-27-34
R.Ganapathi – 2015 A study on factors affecting online shopping behaviour of
consumers in Chennai - Journal of Management Research and Analysis
Vol.2(2) pp-123-126
34. 33
10. APPENDICES
1) Are you aware about online shopping?
Yes [ ] No [ ]
2) Which website do you prefer for online shopping?
Amazon [ ]
Flipkart [ ]
eBay [ ]
Jobong [ ]
Myntra [ ]
Snapdeal [ ]
Shopclues [ ]
Home shop 18[ ]
Other [ ]
3) Which product category do you purchase frequently?
Mobiles, Computers [ ]
TV, Appliances, Electronics [ ]
Men's fashion [ ]
Women's fashion [ ]
Home, Kitchen, Pets [ ]
Beauty, Health, Grocery [ ]
Sports, Fitness, Bags [ ]
Toys, Baby products, Kid's Fashion [ ]
Car, Motorbikes, Industrial [ ]
All Books [ ]
Music, Movies, Video games [ ]
4) Have you checked product in shop before doing online purchase?
Yes [ ] No [ ]
5) Which are the factors influence you for online shopping?
Availability [ ]
Low price [ ]
Promotion [ ]
35. 34
Offers [ ]
Convenience [ ]
Customer service [ ]
Time consciousness [ ]
Other [ ]
6) Are you satisfied with online shopping?
Yes [ ] No [ ]
If no
7) What are the reasons of dissatisfaction?
Delay [ ]
Delivery problems [ ]
Shipping charge [ ]
Better to buy from real store [ ]
Return problem [ ]
Warranty issues [ ]
Other [ ]
8) What are the main problems do you faced while online shopping?
Security [ ]
Delivery Problem [ ]
Warranty issue [ ]
Return policy [ ]
Trust [ ]
Other [ ]
9) Which are the factors are affecting on your online shopping process?
Age [ ]
Education [ ]
Income [ ]
Network []
Security [ ]
None of these [ ]
10) Would you like to continue online shopping?
Yes [ ] No [ ]