Ortega Thesis Chapter2

Consumer Perception Theory
Consumer perception theory is applied by merchants to determine how their customers perceive
them. They also use consumer perception theory to develop marketing and advertising strategies
intended to retain current customers - and attract new ones (Menon & Kahn, 2002). Mathwick et al.
(2001) says that if consumers enjoy their online shopping experience, they have a more positive
attitude toward online shopping, and are likely to adopt the Internet as a shopping medium.
Likely, value perception is the part of the consumer perception theory that attempts to understand
how consumers’ perceptions of product influence their behavior. Generally, consumer perception
theory is used for designing product or brand in marketing (Ravald & Gronroos, 1996). It is the
perception of the online shoppers that online shop owners depend and then do some adjustments.
Certain products are changed or modify to a form which becomes attractive to consumers.
This theory answers how the consumer perception affects the behavior towards a product or
service. No doubt that the Internet has been influencing our lives deeply in which it plays an
important, indispensable and irreplaceable role (Guo & Noor, 2011). Woodruff (1997) expands the
concept of perceived customer value and describes it as a source of competitive advantage. A
customer's perceived preference for and evaluation of those products attributes, attribute
performance, and consequences arising from use that facilitate (or block) achieving the
customer's goal and purposes in use situations. Apparently, the Internet being at hand opens up the
most convenient access to our modern world of commerce. Thus, this leads to some changes to the
consumer’s perception and his behavior. III. Methodology This study attempted to describe and
analyze the consumer perception and purchase behavior on online shopping among students.
Related Study (international)
According to Gurvinder S Shergill and Zhaobin Chen (2005) on “Web-Based Shopping: Consumers’
Attitudes towards Online Shopping in New Zealand”, found that website design, website
reliability/fulfilment, website customer service and website security/privacy are the four dominant
factors which influence consumer perceptions of online purchasing. Virdi, Puri, Modi, Sehgal (2007)
studied the online Buying Behaviour and their study found that online surfers demography do have a
significant impact on the buying behaviour and the security concerns over the misuse of credit cards
makes them cautious to shop online.
Spending power of the respondents varied significantly among the cities surveyed and it was
proposed that the website should be made more appealing, exhaustive and should support a
certificate of authenticity to generate better responses to online shopping. The analysis revealed
that "Social and Rational Buying" is a major contributing factor to the overall satisfaction level of online
shoppers. Discriminant Analysis discriminated the shoppers into Satisfied, Dissatisfied and Indifferent
Shoppers and Social and Rational Buying is the most important factor which discriminates the groups of
shoppers, followed by advertising & promotion strategies, convenience & time saving and so on.
(Local)
According to Ray Butch Mahinay (2016) the study related determined whether there is a significant
relationship between consumer perception and purchase behavior on online shopping among students
in Mindanao University of Science and Technology. Purposive non-random sampling was conducted to
200 respondents in four different colleges in the University. Through a survey questionnaire adopted
from three different previous studies, three elements of perception were gauged: (1) convenience; (2)
benefits; and (3) leisure, and another three elements of behavior: (1) convenience; (2) security; and (3)
leisure. It has been found out that the respondents’ perceptions and their purchase behavior on online
shopping are both high.
To sustain their high perception on online shopping, it is suggested that web developers should
incorporate features on their websites regarding convenience, security, benefits, and leisure. It is
important for online marketers, entrepreneurs, and businessmen to consider the fact that students
spend more time on the internet and that this factor will likely increase the students’ online shopping
behavior.
Related literature
Time saving
Zendehdel, M. (2015) state that Internet brings new opportunities for marketers to enhance
prevalent marketing practices. Given that online shopping can save time and cost to marketers when
developing marketing strategies, the current research can contribute to consumers to better understand
advantages that online shopping may bring for them. Some of these advantages are convenience (time-
and energy-saving), cheaper price (cost-saving), and more options as well as accessibility to product
information before making any purchase decision. The research, at best, enhances consumers’
awareness of the significant role that e-commerce has played in modern information technology (IT)
context/community, and makes them aware of other shopping choices rather than the ones offered by
traditional shopping practice.
Freshness of the product
Cang, Y.M & Wang, D.C (2021) state that Fresh e-commerce has developed rapidly in the past
decade. However, compared with the huge number of Internet users and the huge scale of network
economy in China, the utilization rate of fresh e-commerce is relatively low and the profit rate is not
ideal. There are the main factors that affect the online purchase willingness of fresh agricultural
products of different types of consumers. The results show that: product quality, logistics service quality,
online word of mouth and website information quality have significant impact on experienced
consumers to varying degrees. Product quality, online word of mouth and logistics service quality have
significant impact on potential consumers, but website information quality has no significant impact on
potential consumers. On the basis of strictly controlling product quality and improving cold chain
logistics system, fresh e-commerce enterprises should strengthen the comparative advantage of online
shopping, strengthen the publicity and guidance to consumers, enhance the attraction of fresh
agricultural products online shopping to consumers, promote consumers' choice and form online
shopping habits.
Reference.
Harriramani, S. (2020) Consumer's Perceptions Towards Online Shopping; Gujarat University.

https://www.researchgate.net/profile/Seema-Hariramani
Mahinay, R. B (2016) Consumers Perception and Purchase Behavior on Online Shopping Among Students
in Mindanao University of Science and Technology; Mindanao, Philippines.
https://www.researchgate.net/publication/309187379_CONSUMER_PERCEPTION_AND_PURCHASE_BE
HAVIOR_ON_ONLINE_SHOPPING_AMONG_STUDENTS_IN_MINDANAO_UNIVERSITY_OF_SCIENCE_AND_
TECHNOLOGY
Zendehdel, M. (2015) Students Online Purchasing Behavior in Malaysia: Understanding Online Shopping
Attitude. https://www.tandfonline.com/doi/full/10.1080/23311975.2015.1078428
Cang, Y.M & Wang, D.C (2021) A Comparative Study on the Online Shopping Willingness of Fresh
Agricultural Products; Heilongjiang, China.
https://www.sciencedirect.com/science/article/abs/pii/S221053792030216X?dgcid=rss_sd_all

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Consumer Perception Theory

Related Study (international)

Freshness of the product

Harriramani, S. (2020) Consumer's Perceptions Towards Online Shopping; Gujarat University.

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