The Impact of Online Shopping on Consumer Behavior

University of Bedfordshire-Ajman Campus BA (Hons) Project Submitted to Dr. Tariq As a Requirement Unit code Marketing look for (Morning Class) ________________________________ Student anticipate Registration Number Amanullah Ashraf 1033872 Ac realiseledgement First I would c ar to thank Allah for giving me fill inledge. I am in truth Thankful to our subject teacher Dr. Tariq for guiding and helping me in this look into. I gratefully thank my p bents, Friends and altogether classmates who cooperated with me in the fourth dimension when I needed them. Also I would kindred to thank all the Respondents who gave their time in filling the principalnaire.Abstract The purpose of this address is to identify what ar the factors that influence the consumer bearing while they be shop online. Beca call now a mean solar sidereal days online obtain is increasing day by day . We collected both primary and secondary info. The subject field was expected in Alain Mall by dint of questionnaire and all the factors that bathroom influence consumer fashion or change consumer conduct because of online shop where given in the questionnaire. So we found that the the online shop has a big impact on consumer behavior in many different ways. Table of contentsPage No. 1.Introduction 1. 1 send Profile1 1. 2 Statement of the problem1 1. 3 Objectives of the bailiwick1 1. 4 Scope & limitations of the line of business2 1. 5 consequence of the sight2 1. 6 Define the name3 2. Review of Related Literature 2. 1 theoretic & Conceptual literature3 2. 2 Related Studies5 2. 3 Schematic Diagram6 2. 4 Synthesis7 3. research Methodology 3. 1 query design7 3. 2 Respondents of the study8 3. 3 Research Instrument8 3. 4 Validity of Research Instrument9 3. 5 Data gathering procedures9 3. 6 statistical Analysis9 4.Presentation, Analysis and Interpretation of Data 5. Summary of findings, conclusions and Recommendations 6. 1 Summary of findings22 6. 2 Conclusions23 6. 3 Recommen dations24 6. References25 List of Tables & Graphs public figure 1. Gender10 Fig 2. Nationality11 Fig 3. since when you are shop online12 Figs 4. What are the hots that you purchase online13 Fig 5. Online obtain saves my time14 Fig 6. making recompenses is mild through online obtain15 Fig 7. The obstetrical tar of the return is too long16 Fig 8. I can non bargain online17 Fig 9. In online shopping we get to a greater extent(prenominal) discounts and offers18 Fig 10.I believe that online shopping is better than sensible stores19 Fig 11. I has rise to power to famous flaws through online shopping20 Fig 12. security is major vex in shopping online21 List of Appendices Appendices 126 Appendices 229 Appendices 333 1. Introduction 1. 1 Company Profile Souq. com is wizard of the largest online shopping Business in UAE which is safe and honest and it was established in 2005 and through souq. com millions of masses steal or sell their returns Daily and from the day when th is online shopping Business came in to being it is improving and providing quality aid to customers and souq. om is famous for its trusted platform. Now souq. com is one of the largest ecommerce site among the Arabs it includes the countries much(prenominal) as Egypt, Jordan and Saudi Arabia. 1. 2 Statement of the Problem The match of online shopping on consumer behavior in souq. com. In this search we need to understand what are the actual factors according to which the consumers do online shopping and how their shopping behavior is affected. 1. 3 Objectives of the study To study the consumers online shopping behavior. To exist the factors that influence online consumers and shoppers. To study do onsumers prefer online shopping over visible stores. 1. 4 Scope and limitations of the study The scope of the study is to understand that the Internet is the modish medium through which consumers demand for their needs and wants thats why the online sellers should agnise what are t he factors that influence the online consumers and excessively there are some factors according to which consumers buy their products online and it is very beta for the online sellers to take that factors in to action so that they can conform to the consumers needs and wants and enter in to the online market competition Easily.There are many factors that give influence the online consumers solely we in this look for allow for use up completely the main factors that forgeting influence the consumers so therefore we entrust limit these factors to few so that we can understand its effect on online consumers and besides we will limit the consumers characteristics and buying process by beholding how they are dealing with the service or product they bought but non by seeing the consumer theories or models. 1. 5 Significance of the studyThis enquiry will not only increase the impact of online shopping on consumers but it will also help the population who are too in use(p) to do shopping online in some minutes it will save their time and will also help the disabled people to a greater extent over because if they are not able to walk or had separate problem they will almost probably prefer the online shopping and also this research will clearly show how the people has changed from corporal stores to the online shopping. 1. Definitions of the terms Trusted Platform This means that the customers throw away Trust on the souq. com organization. Physical Stores The place where we go for shopping (to buy or sell something). Impact The affect or change that one thing bring in another thing 2. Literature review 2. 1 Theoretical conceptual framework The theoretical and conceptual framework includes all the theories and concepts related to online shopping and its impact on consumer behavior.Warner defines consumer behavior as the study of the mental and physical activities performed by individuals or groups that result in decisions or actions associated with the purchase, use or disposal of goods and services. The internet is now famous for its distribution line of reasoning and e-commerce transaction and the price and trust is considered as crucial factors that influence the consumers. jibe to study Analysis of consumer behavior online This study will tell the main characteristics of online consumers behavior and will test how they are found and the entropy of the product will be evaluated and compared and the new descry conducted will be compared with the old consumer theories in order to take positive actions in the field of technology and strategies and in this study the group focus will be on people aged from 19 to 30 interested in having related products.Dejan Petrovic,(2006) match to the study of shun&Yunjiee,(2006) said that there are some products which can be sold more(prenominal) in online shopping such as books, computer softwares, music etc. Because this are the products which people will buy without any personal re search and all the features and the quality can be seen from its pictures and descriptions etc.According to the research study Motivators and decisional influencers of online shopping Online shopping is an innovation for the marketers and now a days it is very important for retailers the online shopping because they had found more set and benefits in it, this study is made in order to find what are the factors that encourage the consumers in online shopping. Bekramjit Rishi,(2010). According to the Kamali and Loker, (2002) the online shopping has increased their revenue more than their previous revenue so this means that online shopping has increased the level of consumer behavior because it is safer nd secure then(prenominal) the past. According to Pehr Luedtke , (2010)The findings of the 2010 Social shop Survey validate what we are hearing from retailers and brands that customer reviews sop up develop a critical piece of the marketing puzzle, based not only on consumer demand but also on the sales they deliver, According to Lauren freedman, (2010) Whereas once online product research was left to the technology savvy feel to bewilder a major purchase, it is now part of the mainstream shopping pick up for all product categories as consumers have taken control powering their profess product research, 2. 2 Related studiesStudy 1 According to the 2010 social shopping study Reveals changes in consumers online shopping Habits and Usage of Customer Reviews This study tells that how online shopping has increased from the past. This research foc apply on two important factors such as why consumers are shopping online and when consumers are doing online research for shopping and what are the expectation of the consumers and the Result was that the online research is essential to the consumer behavior while they are shopping online and it also revealed that the consumers who want to buy products like to do research personally.This study also declared that consu mers prefer online research because of time saving, confidence and satisfied randomness and also the survey stated that the famous site where consumers do research online are search engine, brand sites, retailers sites, Amazon. com,facebook,Twitter etc. Study 2 According to the study Impact of demographics on online buying behavior towards different products In this study they researched that how consumers are investing their money on online shopping by keeping the factors such as igh class, Medium class and Low class in this study the marketers came to know about the demographics of people and this lead to an increase in the financial invest of the online shopping business. A. M. Sakkthivel,(2009) 2. 3 Schematic Diagram Independent variant reliant variable Online obtain Consumer sort In this research the Dependent variable is consumer behavior and Independent variable is online shopping which means that the online shopping will have impact on the consumer behavior in many i mportant ways. . 4 Synthesis From the related literature we came to know that due to the latest technology applied by retailers of online shopping and the service they provide in an efficient way and safe way and maintain a good relationship with consumers and promote the goods in the best way which attract consumers and also online shopping save the time of consumers and also conducting survey about the esteem of consumers. This all above factors will have an impact on the consumers Behavior towards online shopping. So if the souk. om recommends all the above factors in their online shopping business then they will for certain attract consumers towards their online shopping business and this will surely increase their reputation in the online market and also their financial mark will increase. 3. Research Methodology 3. 1 Research Design Research design is to search, find, collect and investigate the information that we need to obtain for a related topic john Wiley & sons, (200 4). The research design in this research is descriptive research design. A escriptive research is the type of entropy analysis, information and questions that is done for a selected topic it primarily talks about what is. Robert G. petzold, (1998). 3. 2 Respondents of the study Here we will apply our factors of the topic to the kind of consumers who use internet online for shopping. There will be specific type of people selected. Sekaran & Bougie, (2010). The pastime will be the methods of our sample. Our sample site we will conduct the survey in Alain, UAE. Our sampling unit Alain Mall sekaran & Bougie, (2010).Our sample coat 30 respondents. 3. 3 Research Instrument We have selected one of the most flexible types of research and that is questionnaire which will be used in order to collect the primary data and also we will use interview guidelines if needed. The survey will be only done in shop Mall in order to know the impact of online shopping on consumer behavior. Using 5-poi nt linkert weighing machine we note the independent and dependent variables and we will measure consumer behavior by 12 different types of questions which will be more effective.This type of scale was used by Andrew martin &Stephen legg,(2002) 3. 4 Validity of Research Instrument The questionnaire is validated by three professors from the department of markrting research. 3. 5 Data collection procedures For the purpose of research we can collect data in two ways and they are primary data and secondary data Primary Data we collected the data through observations and questionnaires and questionnaires is the most right way to collect data for our topic. We essay our respondents and compare them with the factors. Lesley pooch,(2003).Secondary Data This is mainly the general information about the research topic and here the data is in the form of journals such as written or non written, eightfold source and surveys etc Anders haslinger et al(2007). 3. 6 Statistical Tool Analysis We will analyze the Data by Graph, Mean and standard deviation by utilise the frequency and percentage method. 4. Presentation, Analysis and Interpretation of Data 1. Gender disbelief Frequency plowshare Male 21 70 Female 9 30 keep down 30 coke Mean meter departure 15 8. 485281374 2. Nationality Question Frequency function Asians 24 80 Arabs 6 20 fare 30 100Mean standard aberrance 15 12. 72792206 3. Since When you are shop Online Question Frequency office 1 calendar calendar month 9 30 1-6 month 0 0 6-12 month 0 0 1 year 8 26. 6 3 years 13 43. 3 6 years or more 0 0 Total 30 100 Mean Standard recreation 5 2. 645751311 4. What are the goods that you purchase online Question Frequency Percentage Softwares 3 10 Tickets 6 20 Gifts 0 0 Books 8 26. 66667 Music 3 10 Electronics 10 33. 3333 Total 30 100 Mean Standard Deviation 5 3. 082207001 5. Online Shopping Saves my Time Question Frequency Percentage powerfully assent 23 76. 66667 jib 3 10 unbiassed 4 13. 3333 protest 0 0 strongly take issue 0 0 Total 30 100 Mean Standard Deviation 6 11. 26942767 6. bugger off payment is easy through online shopping Question Frequency Percentage Strongly concord 18 60 maintain 7 23. 3333 Neutral 5 16. 66667 dissent 0 0 Strongly discord 0 0 Total 30 100 Mean Standard Deviation 6 7 7. The Delivery of the Product is too long. Question Frequency Percentage Strongly Agree 7 23. 3333 Agree 4 13. 3333 Neutral 10 33. 3333 Disagree 0 0 Strongly Disagree 9 30 Total 30 100 Mean Standard Deviation 6 2. 64571311 8.I cannot Bargain online question Frequency Percentage Strongly Agree 4 13. 3333 Agree 0 0 Neutral 12 40 Disagree 0 0 Strongly Disagree 14 46. 66667 Total 30 100 Mean Standard Deviation 6 5. 291502622 9. In online Shopping we get more discounts and offers Question Frequency Percentage Strongly Agree 18 60 Agree 7 23. 3333 Neutral 5 16. 66667 Disagree 0 0 Strongly Disagree 0 0 Total 30 100 Mean Standard Deviation 6 7 10. I believe that online shopping is better than shopping at physical store Question Frequency Percentage Strongly Agree 20 66. 66667 Agree 7 23. 333 Neutral 3 10 Disagree 0 0 Strongly Disagree 0 0 Total 30 100 Mean Standard Deviation 6 8. 888194417 11. I have Access to famous Brands through online shopping Question Frequency Percentage Strongly Agree 22 73. 3333 Agree 8 26. 66667 Neutral 0 0 Disagree 0 0 Strongly Disagree 0 0 Total 30 100 Mean Standard Deviation 6 9. 899494937 12. Security is major concern in shopping online Question Frequency Percentage Strongly Agree 13 43. 3333 Agree 7 23. 3333 Neutral 10 33. 3333 Disagree 0 0 Strongly Disagree 0 0 Total 30 100 Mean Standard Deviation 3 5. Summary of Findings, Conclusions and Recommendations. 5. 1 Summary of Findings In the submit of gendrewe came to know that 70% of respondents where male and 30% respondents where female. In the table of Nationality we came to know that 80% of the respondents where Asians and 20% Arabs. In the table of since when you are shopping on line we came to know that 43. 3% respondents where shopping online since 3 years and 30% since 1 month and 26. 6 since 1 year. In the table of what are the goods you purchase online we came to know that 33. 3 % respondents buy electronics in online shopping and 26. % Books and 20% Tickets and 10% softwares. In the table of online shopping saves my time we came to know that 76. 6% respondents potently agree and 13. 3% Neutral and 10% agree. In the table of Making payments is easy through online shopping we came to know that 60% respondents strongly Agree and 23. 3% Agree and 16. 6 Neutral. In the table of The Delivery of the product is too long we came to know that 33. 3% respondents are Neutral and 30% strongly disaccord and 23. 3% strongly Agree and 13. 3% agree. In the table of I cannot bargain online we came to know that 46. 6% respondents strongly disagree and 40% Neutral and 13. % strongly agree. In the table of In online shopping we get more Discounts and offers we came to k now that 60% respondents Strongly Agree and 23. 3% Agree and 16. 6% Neutral. In the table of I believe that online shopping is better than physical stores we came to know that 66. 6% respondents Strongly Agree and 23. 3% Agree and 10% are Neutral. In the table of I have access to famous brands through online shopping we came to know that 73. 3% respondents Strongly Agree and 26. 6 Agree. In the table of Security is major concern in online shopping we came to know that 43. 3% respondents Strongly Agree and 33. % Neutral and 23. 3% Agree. 5. 2 Conclusions After finishing the Research we came to know that more of the consumers are satisfied with online shopping in many different ways and also people will prefer the online shopping more and more in the near future but there was some limitations such as some of the respondents said that they dont feel secure while shopping online and also some respondents where not satisfied with the delivery time. So now we should concentrate more on th e Security and delivery to maintain and satisfy our consumers so that the online shopping will give 100% positive results. . 3 Recommendations As i said in the above paragraph that there are some respondents which are not sensation secure while shopping online and also the late Delivery of products. So I recommend that the souk. com should take certain steps such as when a consumer select and want to buy a product and make payments the souk. com should give the insurance of that product so that if the products is lost or does not reach the consumer he will be provided other same product and also the souk. com should fix best security programs so that no information of the consumers will be licked or Hacked.For the late Delivery of the products I recommend that the souk. com should concentrate more on Transportation and increase their theodolite such as they should buy new cars, scooters and ships so that they can make the products available for consumers on time. References Warner . Malcolm, 2002, International Encyclopaedia of Business & Management, strength 2, page 1034. Petrovic Dejan, 2007 http//analogik. com/articles/227/analysis-of-consumer-behaviour-online Rishi Bekramjit, 2010, Motivators and decisional influencers of online shopping, International Journal of Business Innovation and Research 2010 Vol. , No. 3 pp. 195 209 Loker and kamali, (2002) E-Commerce & Security & Consumer Behavior http//www. lotsofessays. com/viewpaper/1693412. html Sakkthivel. A. M,(2009), Impact of demographics on online buying behavior towards different products, International Journal of Electronic finance 2009 Vol. 3, No. 3 pp. 284 296 Freedman Lauren, 2010, 2010 Social Shopping Study Reveals Changes in Consumers Online Shopping Habits and Usage of Customer Reviews http//www. e-tailing. com/content/? p=1193. Sons & Wiley john(2004),Asking Questions http//books. google. ae/books? d=YXKbTx2j9i4C&q=Quantitative+researchers+have+openly+discussed+how+people+think+for+some+ti mev=onepage& Petzold G. Robert Writing a Critical Review of Descriptive or Experimental Researchhttp//www. jstor. org/stable/40318228 Bougie roger & sekaran uma (2010), Research methods for business http//www. oppapers. com/essays/What-Is-Scientific-Research-Process/660594. Stephen legg &Andrew martin (2002), canvas the inward sounds of Outward Boundhttp//findarticles. com/p/articles/mi_6931/is_2_6/ai_n28132634/? tag=contentcol1 Barker Lesley (2003), http//www. ehow. om/about_4685513_primary-data_. html Haslinger Anders et al(2007), PdF file Company profile (www. souq. com) Appendices 1 Questionnaire In this survey we are going to collect data on the impact of online shopping on consumer behavior and the information collected will be used for the Marketing Research Project and strictly the information collected will be kept confidential. Respondents no 1. Gender Male Female 2. Nationality 3. since when you are Shopping Online? 1 Month 1-6 Month 6-12 Month 1 family 3 Years 6 Years or more . What are the goods that you purchase online? Softwares Tickets Gifts Books Music Electronics If Other Specify The following questions will be rated according to a 5 point scale such as 5 Strongly Agree 4 Agree 3 Neutral 2 Disagree 1 Strongly Disagree Strongly Disagree Disagree Neutral Agree Strongly Agree 5 Online Shopping saves my time. 6 Making payment is easy through with(predicate) online shopping. 7 The Delivery of the product is too long. 8 I cannot