On & Off Shopping
On & Off Shopping
On & Off Shopping
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studied have focused on why the products of the online shopping is different from other
products. Many studies have focused that the high touch products that the consumer feels when
they need to touch, smell or try the product. It requires the offline shopping at the purchasing
stage because it cannot be done in the online shopping. Even with the increase in the online
shopping and the recognition that online shopping is more likely to impose the pressure on
offline shopping or traditional shopping. The research is very limited in this area or field.
Online or e-shopping is a kind of electronic shopping which allow the consumer to purchase
goods over the internet directly from the seller using a web browser. There are some alternative
names of online shopping those are as follow- e-web store, e-shop, e-store, internet shop, web-
shop, web-store, online store, online store front and virtual store. Mobile commerce or m-
commerce is described as purchasing from the online retailer by the mobile optimized online
sites or application (app).
Online shopping becomes relevant in the last decade. The kind of business online retailer are
doing is proof enough that they are providing some benefits to customer which offline shopping
does not give to the customer. These are the factors affecting online shopping:
Risk: When customer buy products from online shopping they do not touch or feel the product
in a physical sense .Hence we understand that lot of risk is involve while buying an online
product whether it will reach us on proper time or not is also a concern and also there may arise
a risk of product size and colour as it may differ in real view or sense. Sometimes the product
ordered is kind of damaged.
Convenience: Online shopping is much more convenient than offline shopping. Instead of
taking out your vehicle and visit shop to shop you can just sit at your home and do the shopping.
It is convenient to sit at one place and shop the product of our choice without moving from
place to place. Once you have decided on what you want to buy the payment process is seamless
and the order is delivered to your place. Online shopping makes things more convenient. We
can have a lot of choice over there in any kind of material we want to deal with that too without
any fear of dealing with any dealer or distributers. Online shopping is convenient in its real
sense as it do not carry any dealing with issues of asking for wanted items or issues of asking
for desired kind of items which helps in avoiding the part of waiting, asking, questioning about
the product.
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Anxiety: People’s anxiety of exploring the sites and experimenting over them is also a matter
of concern. Sometimes people those who are not very known to any sites like flip kart , myntra
or any sites they just feel like it’s a tough kind of activity over net and its complicated in there
sense as they are not very fond of doing online shopping as it takes a time to even understand
the product about its details. This particular activity makes them irritated and anxiesious over
any kind of fatal online dealing.
Previous online experience: How has been a person’s experience in past as far as online
shopping is concerned is a major story of concern. Previous experience is what matters actually
as its hamper or sometime it keep good view or mood of people. There are two experiences
one is about good and another is about bad. Both has its own and different affect in the mind
of buyers. So these factors also influence online shopping or e shopping.
Pricing Policy: Online retailers gets an inherent advantage in pricing as they don’t have to bear
expenses like store rent, bills etc. They can pass their price directly to customer and generally
offer a lower price to customer than offline market. Even when shipping charges are included
than also it is better than the offline shopping. Hence, determines the level of online shopping.
Lower the price- higher the mood to demand, higher the price –lower the demand. Price of any
commodity also influences the purchasing power of any specific buyer. Consumer generally
prefer mild or normal price with good quality and do not want to spend or expense lot for any
kind of stuff. So buying and selling both are simultaneously affected by the price of product.
Quality: The quality of product at online sites and offline stores vary a lot and then this
determines the frequency of online shopping. Quality also carries good affecting nature over
any kind of shopping. As consumer or buyer want to have a good quality of product as they
spent their huge sum of money. In general, qualities is a primary need over any kind of
purchasing as it somewhat secure or give a good sense of buying or kind of guarantee about
the product preferred.
Online trust: It depends on customer perception whether they trust a particular site and its
product and services. Hence the frequency of online shopping also depends upon whether they
trust a particular site or not. People are different in there nature and thoughts, some kind of
people trust online dealing some kind of people are in fear of online dealing. Trust carry a lot
of points examples- trust about the same product size quantity weight and security etc.
Tangibility of the product: At the store the customer gets to touch and feel the product they
purchase before buying which help the customer to take the decision to buy the product or not
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whether the product will suit the customer need or not. Whether, we can and see feel a product
is also a reason which determines whether a person’s wants to go for shopping or not.
Tangibility of any product also determines the online shopping. Without touching the preferred
or desired substance nobody can get its security about the worthiness or quality or sense of any
preferred product.
Delivery time: The product ordered by the customer in online shopping takes a minimum of
six to seven days to deliver the product to the customer. But in offline shopping the possession
of the goods is immediately transferred to the buyer. So this is a major factor which affects the
online shopping. People want a good delivery time; they prefer to get a product in a desired
time or in short time of duration. Duration is the second major factor affecting the demand of
product.
Income: The person whose income is more, do more online shopping as compared to the person
whose income is less. Income plays a major role to purchase online products. Higher income
people prefers to purchase online more than offline as it gives them reliability and convenient.
Higher the income higher wills the purchasing of online product and vise-versa.
Taste and preference: The taste and preference of the customer vary from customer to
customer and time to time, taste and preference also a factor which influences online shopping.
Taste and preference of age group also matters in online shopping. Old people buy or purchase
product for their kind of use. Young generation or teenagers use to purchase their taste of
product. Taste and preference move in tend of ages and choices. Every customer or buyer
choices are different in nature as per their ages.
Information: The information given in the site may not be correct or may not be appropriate
information. The full information about the quality of the product may not reach to the
customer. Hence it will affect the online buying of the customer. Information provided by the
preferred sites may be not the same about the detail of the product. May be with the
providedinformation and details customers are not very satisfied. Sometimes it happens that
even many customers use to buy the product after their full knowledge of details as they prefers
the detail are accurate and good in sense. Information related to product may vary in its real
sense when it arrives or delivered to relevant customer.
Variety: The kind of variety that a customer gets online is hard to match any product purchased
offline. The online retailer’s stock products from the entire major brand and a customer can
find any product in their listing no matter how hard to find it is in the offline store. Online and
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offline both shopping provide variety of range from various brands. Variety in it itself is the
foremost dealing factor which influence the market. Larger the variety of product in shop
higher the selling and vice-versa. People generally prefer to move where they get more variety
of products.
Discreet shopping: While buying some products like lingerie customers don’t feel comfortable
to purchase it in offline store. Shopping online is discreet and some online portals also provide
discreet shopping. Purchase of girly material are very convenient in offline shopping as it is
not dealt with any kind of uncomfortable situation. There is no person to who is to ask for any
kind of intimate product, customer can easily cope with offline as they can go and purchase
their usable items without any kind of hesitations.
Offers: Apart from offering products at lower price most online shopping regularly come up
with discount offers in association with bank, brand etc. Which entail customer to get additional
saving while buying products online? Offline stores only give offer or discount during stock
clearance or when the manufactures gives the discount on the products. Online shopping always
provides offers at all the time and day. In every purchase we get some offers even if there is no
festival or carnivals. Offers are a great factor which attract customer to purchase online. Offer
carry a great influence in shopping.
Instant gratification: Customer buying offline gets their products as soon as they pay for it
but in online shopping customer have to wait for their product to get their product. Under
normal circumstances waiting a day or two does not matter much but when a customer want to
get the product instantly than offline shopping become necessary.
Offline shopping has existence since the existence of mankind. Offline shopping gives different
types of benefits to the customer. There are some factors which affect the shopping offline
those are as follow:
Less number of choices: There are limited numbers of choices when it comes to offline
shopping. The numbers of varieties are limited. The ranges of products available in the shops
are limited. Sometimes, the stocks are old and are up for discount and sale. Basically in offline
or any shop we get less numbers of choices as it consists of manual work. We have to choice
in that less number of materials due to manual factor.
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Time consuming: It takes a lot of time to go shopping to a store. Distance from home or
workplace to the store is time consuming. It is also time consuming while trying out the outfits
in a store or even going through other products. In off-line shopping customer move one place
to another and one shop to another in search of their desired product.
Information: What generally happens is that the information provided by a shopkeeper isn’t
correct. Also this information doesn’t always suit our needs. And we buy products according
to what they say when we ourselves don’t have adequate knowledge about the products. Such
purchases are based on goodwill when we happen to know the shopkeepers.
Authenticity: Offline shopping is more authentic than online shopping. While buying the
product we can feel the texture of it and know what it’s like. We exactly know what we are
buying while buying anything offline. But in online shopping, we don’t always know what
exactly we are buying. This is because what we see on the websites is not always what we buy
when the product reaches us.
Taste and preference: The taste and preferences of the customer change from time to time.
While buying any product from a store we have the flexibility and the choice to try out outfits.
But while buying any product from a website we don’t have this facility. Therefore, buying
offline caters more to the changing taste and preferences of the customers.
Bargaining: In offline store a customer can do physical bargaining to the seller unlike shopping
online. In online shopping a customer cannot do bargaining as the price of the product is fixed.
Some of the customer purchased products depending upon bargaining so they do not go for
online shopping as they feel shopping online is more costly than the market
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1.4. Statement of the Problem
It is important to look into the situation from an academic research point of view so as to
question the reasons behind the condition of the shopping in Coimbatore city. This research
may fill the gap between the choice of online shopping and offline shopping. This study reflect
the problems and factors of online and offline shopping. There are certain problems, why
people do not do online shopping and go for market to shop things? What are the major reasons
behind the online and offline shopping? This study helps the consumer to get an idea about the
online shopping. In Coimbatore, there is less number of people who do shopping online as
compared to the other cities. The study makes the consumer clear about which option should
be taken by the consumer to get more benefit out of it.
The consumers in today’s era have not only many stores choice, but they also have a wide
variety of channels to choose from. With the start of numerous channels (e.g. Mobile
Commerce, E-Commerce) and a continuous increase in the competition among channels, the
understanding of what incites consumers to purchase from one channel rather than another
becomes progressively important channel design and management.
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1.6. Objectives of the Study
The present study broadly compares the online and offline shopping, specifically the objectives
are:
(c) To find out the perceived benefits and drawbacks of internet shopping VS physical store
shopping
(d) To know about the satisfaction level of consumer in online VS offline shopping.
This study is limited to Coimbatore city and therefore the findings of the study
The samples have been collected from the limited member (sample size 150) of
Respondent.
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1.8 Research Methodology
Research Design
In the data collection method, we have collected both primary and secondary data to meet our
objective.
Primary data:
The primary data was collected by a survey base on the questionnaire
Secondary data:
The secondary data was collected from books and internet
Data Source:
The data that is collected from different sources, as the first hand information that is called
primary data. The source of primary data in our research is questionnaire an observation
method. The secondary data were also used in our report preparation .this is collected from
internet.
Research approach:
The required information in the form data is collected through survey method with the help of
personnel interview through questionnaire method.
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Sampling plan:
There is a stage where the planning is done about the sample unit, sample size, sampling
procedure, etc.
Sampling unit:
This means, which is to be surveyed .So as mention earlier that the sample
unit is potential peoples.
Sample size:
The sample size means how many people should be surveyed. So that total
sample size is 100, which cover from Coimbatore city.
Sampling procedures:
We choose convenient and judgmental sampling for our research.
Research instruments:
Once the source of the data collection is decided then comes the instrument for data collection
or the research instrument. In the survey method a questionnaire was framed .This is Philip by
the potential people through personal interviews.
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CHAPTER SCHEME
CHAPTER – I
Deals with Introduction and Design of the study, Objective of the Study, Limitation of the
Study and Research Methodology.
CHAPTER – II
CHAPTER – III
CHAPTER – IV
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Chapter II
Review of Literature
The extensive literature review has been conducted to gain deeper understanding of research
about online and offline customer and their experience. The review clarifies and simplifies the
dominant dimension consumer consider when they make any online purchase decision.
Following this, the major theoretical gap related to understanding what and why consumers do,
and do not purchase using the Internet is explored with respect to the theories of retail change
and consumer behaviour theory with particular reference to the buying decision process. More
specifically, the study examined the interrelationships among quality, value, satisfaction, and
loyalty when consumers choose to shop online.
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research so that a validated instrument can be developed for evaluating consumer online
shopping approaches and behavior.
Chaing and Dholakia (2014) carried out a study in which they examined the purpose the
customer to purchase goods online during their shopping. Mainly there are three variable in
their study those affects the consumer to purchase online or to go offline. Those are the
accessibility features of the shopping sites, the type of the products and their characteristic, and
the actual price of the product. The study revealed that the accessibility and the convenience of
the shopping sites create the intention in the customer to purchase or not. When there are
difficulty faced by a consumer to purchase online then the customer switch to the offline
shopping for the purchase behaviour and the consumer face difficulty in offline purchasing
then they go to the online purchasing. After relating both the medium of shopping the consumer
said that the online shopping is more convenient for them and gives more satisfaction which
inspires the consumer to purchase online in the internet.
Iyer and Eastmen (2014) found that the population of senior who are more literate, more
knowledgeable and who are more aware of the technology and those who have a positive
behaviour towards online shopping and internet are more into online shopping. But the
population of senior who are less aware of the internet and the shopping sites are less involved
in the shopping sites because they do not have a positive attitude towards online shopping rather
they are much more interested in offline shopping and the seniors who are more involved in
the internet uses more online sites for purchasing the goods over the internet. The senior which
have more knowledge about the internet and the shopping sites they compares both the
shopping i.e. online and offline shopping for their purchasing of goods. However their
knowledge and the use of internet by them has no connection with their age and their
satisfaction level while purchasing online.
Chaing and Roy (2009) focused on the consumer choice to shop on the internet and at the
physical stores during the information acquisition period. A convenience sample of 34 students
enrolled in undergraduate marketing class to select the product for testing, 56 products were
developed based on the popularity of online shopping. The result shows that the consumer
perceives shopping offline as inconvenient, online shopping intention was expected to be
greater for search products than experience product.
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Hausman and Siekpe (2009) analysed an practical study in US regarding the effect of web
interface features on consumer online purchase intention. E-commerce system is different from
traditional information system. It has both features of information system and marketing
channels. It contains machine and human element. An empirical finding shows that to know
the motivation factors for online shopper, cognitive and psychological factors do have
meanings. The study finds both human and computer factors are necessary for antecedent for
online shopping.
Harn and Adeline (2008) focused in Malaysia about Web navigation behaviour of Malaysian
in relation to online purchasing. There finding shows that most of the shoppers were well
educated with minimum bachelor degree, their age varies between 19 to 34 and they all are
unmarried. This study proved successfully that the web navigation behaviour is important
factor to determine the probability of online purchasing, and it does not have significant affect
for online purchasing decision. The most dissatisfying factor was slow downloading rate of
web pages. The finding provide some insight while designing website, taking into
consideration that it should be easy to use ,attractive and user friendly with faster downloading
time.
Devaraj et.al (2006) critically analysed an empirical study in USA regarding examination of
online channel preference. He examined the behavioural and economic features that add to
online consumer's satisfaction and further head to their preference of online channel. The
results indicate that asset specificity and uncertainty structure variables the electronic
marketplace are related with the conduct constructs such as, personalization, website design,
time responsiveness, security and reliability of the online channel. Further, it was found that,
personalization, time responsiveness, security, and reliability are also significantly linked to
the consumer satisfaction outcome with the channel. Website design has not significant effect
to online consumer's satisfaction. Finally, it was indicated that satisfaction resulting from the
above conduct variables was strongly related to the consumer's preference online channel
preference.
Riley et.al (2009) addressed to know why the people and from where they get influence to
purchase grocery from online shopping. This research aims to know the role of all the factors
which are situational in the process of adaption of grocery shopping from online. Qualitative
research is carried out by the researcher which helps the researcher to gain the knowledge about
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the depth of the consumer of grocery product and their behaviour. Researcher also includes the
quantitative method in his research to find the factors which influence them to purchase grocery
from online shopping. By merging both the qualitative and quantitative study the researchers
find the importance of the specific type of institution. Many shopper are found that they starts
discontinuing the online shopping of grocery once there initial point of shopping of grocery
created a problem for them they stop doing online shopping.
Jayawardhena and Wright (2009) focused the antecedent of online shopper’s excitement, its
consequences for behavioural intentions as expressed by intent to return, and positive word of
mouth communication. A conceptual model is developed based on the literature; instrument
item scales to measures all constructs in the model were as informed by the literature and
adapted from prior studies. They found that the convenience, involvement, attribute of the web
site and merchandising all collectively influence shoppers excitement. E-shopper excitement
leads to positive word-of-mouth (WOM) and increases the intent to return. The limitation of
this study was that there is no differentiation is made between the types of goods that e-
commerce purchased.
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CHAPTER III
TABLE NO: 1
INTERPRETATION
It is inferred that maximum of the respondents are in the age group 21 to 30 years
36% .
Minimum 29% of the respondents who belong to the age group 31 to 40 year.
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CHART NO: 1
NO. OF RESPONDENTS
40
35
30
25
20
NO. OF RESPONDENTS
15
10
0
Below 20 20 to 40 40 to 60 Above 60
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TABLE NO: 2
Male 58 58
Female 42 42
Total 100 100
INTERPRETATION
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CHART NO: 2
70
60 58
50
42
40
30
20
10
0
Male Female
Column1
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TABLE NO: 3
INTERPRETATION
Above table shows that 52% respondent spent approx. 3000-6000 a month,
20 % spent 6000-90000, 13 % spent 3000 and 8 % are not interested in
shopping and rest 7 % spent highest amount is 9000+.
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CHART NO: 3
SPEND ON ONLINE SHOPPING IN A MONTH
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TABLE NO: 4
I never buy 0 0%
physical
0 – 3000 8 8%
3000 – 6000 32 32%
6000 – 9000 58 58%
9000 + 2 2%
Total 100 100%
INTERPRETATION
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CHART NO: 4
SPEND ON PHYSICAL SHOPPING IN A MONTH
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TABLE NO: 5
BAD 11 11%
GOOD 27 27%
VERY GOOD 42 42%
EXCELLENT 20 20%
Total 100 100%
INTERPRETATION
Above table shows that 42% of respondent having very good internet
connection, 20% having excellent connection and 11% having very bad
internet connection
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CHART NO: 5
25
TABLE NO: 6
Daily 9 9%
Weekly 25 25%
Monthly 46 46%
Annually 20 20%
Total 100 100%
INTERPRETATION
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CHART NO: 6
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TABLE NO: 7
FAST 70 70%
SLOW 30 30%
Total 100 100%
INTERPRETATION
Above table shows that 30% respondent believe that e-commerce website are
having load and rest 70% said it works fast.
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CHART NO: 7
80
70
60
50
40
30
20
10
0
SLOW FAST
Series 1
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TABLE NO: 8
YES 68 68%
NO 32 32%
Total 100 100%
INTERPRETATION
Above table shows that 32 % of respondent are not satisfied with the delivery
of products and 68 % are satisfied with distribution channel of the company.
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CHART NO: 8
Are you satisfied with the delivery of the goods supplied by e-commerce
industry?
80
68
70
60
50
40
32
30
20
10
0
YES NO
Series 1
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TABLE NO: 9
E-Retailing 42 42%
(Online)
Retailing (High 58 58%
Street)
Total 100 100%
INTERPRETATION
Above table shows that 42% of customer prefer online shopping and rest 58 %
prefer retail shopping.
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CHART NO: 9
70
60 58
50
42
40
30
20
10
0
E-Retailing (Online) Retailing (High Street)
Series 1
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TABLE NO: 10
Security 62 62%
Trust 32 32%
Privacy 6 6%
INTERPRETATION
Above table shows that 62% of respondent believe in security, 32% are in trust
and rest 6% are in privacy
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CHART NO: 10
70
62
60
50
40
32
30
20
10 6
0
Security Trust Privacy
Series 1
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TABLE NO: 11
UPI 42 42%
Debit / Credit Card 34 34%
COD 24 24%
INTERPRETATION
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CHART NO: 11
45 42
40
34
35
30
24
25
20
15
10
0
UPI Debit / Credit Card COD
Series 1
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CHAPTER - IV
FINDINGS, SUGGESTIONS AND CONCLUSION
FINDINGS
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SUGGESTIONS
Online websites should pay more attention to the female segments as results
prove that females shop more in online shopping as compared to men. So
companies should devise the policies and strategies to attract more number of
people in this segment in future also
The study suggests that the Indian customers give the most importance to
security and privacy to generate trust. Perceived privacy of customer information
can be improved by ensuring that at no point of time the customer is asked for
irrelevant personal information.
Further, some kind of legal framework should be setup in order to check online
frauds. Moreover, the complaints related to online shopping should be heard by
setting up some body.
There is still low level of computer accessibility and lack of awareness of online
shopping even in the educated. There is a barrier in experiencing online
shopping. Hence the companies should make the people aware through different
ways.
Companies should improve consumer value perceptions about the products and
reduce consumers perceived risk in the online shopping environment by
providing quality products, timely delivery and fulfill their expectations.
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CONCLUSION
In the past, consumers had sufficient time to visit shopping centers, searching for
various products. Many consumers prefer bargaining and decide the purchases after
physical examination of the commodities. The entire process can range from a few
hours to weeks depending on the product, quantity, quality and source of purchase.
Today there is radical change in the entire scenario. Everything in today’s world is
Internet oriented like Electronic Data Interchange, E-Mail, E-Business and E-
Commerce.
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QUESTIONNAIRE
Name ____________________________________
Age _____________________________________
Gender ____________________________________
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Q12 What do you believe to be the best marketing approach to advertise an
E-commerce website?
Bill Boards
Magazines
Newspapers
Search engines
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