Title: Consumer Behavior Towards Online Shopping

Title: Consumer Behavior Towards Online Shopping
Introduction
Generally speaking the trend of e-commerce has been increased rapidly in the recent years with
the development of internet and due to the easy accessibility of internet usage. Easy access to
internet has driven consumers to shop online in fact according to the University of California,
Los Angeles (UCLA) communication policy (2001), online shopping is third most popular
activity on the internet after email using and web browsing. Globally more than 627 million
people have done online shopping so far, World’s biggest online shoppers include Germans and
British. Books, airline tickets/reservations, clothing/shoes videos/games and other electronic
products are the most popular items purchased on the internet. (ACNielsen Report on Global
Consumer Attitudes towards Online Shopping, 2007). Through electronic marketing and internet
communication business firms are coordinating different marketing activities such as market
research, product development, inform customers about product features, promotion, customer
services, customer feedback and so on. Online shopping is used as a medium for communication
and electronic commerce, it is to increase or improve in value, quality and attractiveness of
delivering customer benefits and better satisfaction, that is why online shopping is more
convenience and day by day increasing its popularity.
The typical online purchasing decisions are made in a process comprising of the following stages: 1) need
awareness; 2) searching for relevant product information; 3) evaluating available alternatives; 4)
implementing the purchase decision; and 5) Post-purchase decision-making.
Hadjiphanis & Christou notes that understanding consumer behaviour in e-commerce involves
gaining insight on how the people search for product information in an online environment (1).
Once understood, the retailer can then customize their websites to meet the specific information
needs that consumers need in order to make the purchase decision.
This study acknowledges that consumer behaviour; just like in the traditional marketplace is
influenced by personal, lifestyle and psychological factors. As such, the paper will seek how
each of the factors affects consumer behaviour and how online retailers can meet the consumers
needs highlighted in such behaviours.
Lowe defines e-commerce as the act of purchasing an online product (363). This involves
ordering the product and making the payment for the same.
Literature Review
In a research of e-commerce in Canada, Lowe (363-374) notes that though this new way of
purchasing products and services gives consumers a wider choice and is more convenient, it is
yet to be embraced by a large percentage of consumers as was predicted when the concept began.
Most notably, Canada’s e-commerce by individuals in 2001 was estimated to be worth $2 billion
only and represented 0.4 percentage of the total household spending (Lowe 363). Some of the
factors affecting e-commerce by individuals include their access to internet, their willingness to
use the internet to purchase products and services, and the products available for purchase on an
online setup (Lowe 364).
Hadjiphanis & Christou argue that in order to understand consumer behaviour in e-commerce,
one has to look at the consumer as an information processor; they processes information
presented to them by marketers, become aware of the different products presented to them, and
finally make a purchase decision (2).
Typically, the e-consumers will visit a retail store with the intention of either purchasing an item
or simply enjoying the shopping experience. Just like in behaviour portrayed by consumers in
traditional purchases, Hadjiphanis & Christou states that e-commerce consumers make their
decisions based on operational, temporal and spatial considerations (3).
This search strategy is observed in brand conscious consumers. Such use the search engines to
purchase brand items that they already know and possibly use. They value reliability,
consistency, quality, affection, trust reputation and loyalty.
Brand conscious consumers also have specific expectations when thinking, purchasing or using a
specific product. The operational dimension is most noted in early adopters (Hadjiphanis &
Christou 2). When such is the case, the shoppers go directly to a specific site for purchase instead
of using search engines.
Objective
The main objective of this research was:
To assess the behavior of consumers towards online shopping. The specific objectives of the
research included:
1. To select an appropriate framework for assessing the consumer behaviors of online shoppers.
2. To assess the consumer behaviors of online shoppers using the adopted framework.
3. To suggest changes to the framework based on the results and findings of the study
References
AcNielson Report (2005). ” Global consumer attitudes towards online shopping”, online:
http://www.kr.en.nielsen.com/reports/GlobalConsumerReports.shtml, (Retrieved 2011-25-04).
Hadjiphanis, Lycourgos & Christou, Loizos. “The Role of E-Commerce on Consumer

Behaviour”. The Journal of Business Administration 5.1 (2006): 1-7.
Lowe, Robin. “E-Commerce and Consumer Behaviour”. Statistics Canada (2003):363-374.
UCLA internet report (2001). ” Surveying the digital future”, online:

http://live.online.se/wip/publishedarchive/ucla-internet-2001.pdf, (Retrieved 2011-21-02).

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Title: Consumer Behavior Towards Online Shopping

British. Books, airline tickets/reservations, clothing/shoes videos/games and other electronic

and electronic commerce, it is to increase or improve in value, quality and attractiveness of

convenience and day by day increasing its popularity.

awareness; 2) searching for relevant product information; 3) evaluating available alternatives; 4)

implementing the purchase decision; and 5) Post-purchase decision-making.

The main objective of this research was:

Hadjiphanis, Lycourgos & Christou, Loizos. “The Role of E-Commerce on Consumer

Lowe, Robin. “E-Commerce and Consumer Behaviour”. Statistics Canada (2003):363-374.

UCLA internet report (2001). ” Surveying the digital future”, online:

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