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Consumer buying behaviour towards online shopping: An empirical study

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 Interna tional Jo urna l o f Applied Research 2022 ; 8 (4 ): 29-36

ISSN Print: 2394-7500

ISSN Online: 2394-5869
Impact Factor: 8.4
Consumer buying behaviour towards online shopping:
IJAR 2022; 8(4): 29-36
www.allresearchjournal.com
an empirical study with reference to Lucknow city,
Received: 16-01-2022 India
Accepted: 05-02-2022

Dr. Geetika Tandon Kapoor

Assistant Professor,
Dr. Geetika Tandon Kapoor, Ashish Gupta and Esha Dhawan
Department of Commerce,
University of Lucknow, DOI: https://doi.org/10.22271/allresearch.2022.v8.i4a.9620
Lucknow, Uttar Pradesh,
India Abstract
With the tremendous growth in retail marketing and increased internet penetration in the economy,
Ashish Gupta there had been an exponential change in the way of shopping by the customers in India. Apart from
Senior Research Fellow, traditional way of shopping, consumers are also preferring online shopping due to easy access to
Department of Commerce, internet service, convenience in usage and variety of products availability. Keeping in mind the primary
University of Lucknow, goal of offering goods and services to serve customers’ needs & survive competition, e-retailers wants
Lucknow, Uttar Pradesh,
to analyse customer’s behaviour, preferences and expectations regarding online shopping. The present
India
study aims towards analysing consumer’s behaviour towards online shopping. Sample is collected
through a structured questionnaire from 154 respondents. Random sampling is used for sample
Esha Dhawan
identification having respondents belonging to different gender, age groups, income, professions. Data
Senior Research Fellow,
is analysed by using tables, graph, charts, percentage and ANOVA etc. The study will provide e-
Department of Commerce,
University of Lucknow,
retailers useful insight for developing marketing strategies regarding consumer’s likings, disliking and
Lucknow, Uttar Pradesh,
preferences towards online shopping.
India
Keywords: Online shopping, consumer buying behaviour, internet, customer satisfaction.

Introduction
With the advancement in the economic condition of our country due to liberal economic
policy of government, India has become a lucrative option for retailers across globe. This
increase in retail industry is triggered by growth of internet penetration and smartphone
usage. As of September 2020, there has been a significant increase in internet connections
which reached to 776.45 million in sept 2020. E-commerce has changed the way of doing
business in India. Indian online retail market has an expected growth of US$200 billion by
2026. (Ibef, 2021) [9] Also, due to progress in the field of information & technology, online
shopping is becoming popular among consumers. Online shopping is now accepted as a way
of buying goods and services in this rapidly expanding internet era (Bourlakis et al., 2008)
[4]
. People now-a-days are busy with their works and do not want to visit the store for
purchasing goods. They tend to prefer online shopping which saves their time and is
available 24*7. Various discounts, offers and gifts offered online also attracts the customers
to shop online over traditional shopping by visiting to physical store. (Anders & Hasslinger,
2007) [3]. Customers find it convenient to shop online, compare the products and their prices.
(Butler & Peppard, 1998) [5]. It is the fundamental goal of any business to provide for the
needs of its customers by providing them goods and services that provides them satisfaction.
A satisfied customer will always be loyal to the business and make repetitive buying. Online
shopping brings plenty of choices of merchandise to customers along with the abundance of
business opportunities to the business. (Guo June & Noor, 2011) [1]. This research is an
attempt to find out the behaviour of customer towards online shopping, their preferences,
likings, obstacles and their motivating factor towards online shopping.
Corresponding Author:
Dr. Geetika Tandon Kapoor Objectives of the study
Assistant Professor,  To study the attitude of customer towards online shopping.
Department of Commerce,
University of Lucknow,  To analyse the satisfaction level of customers while shopping online.
Lucknow, Uttar Pradesh,  To study the factors affecting consumers behaviour and the reasons towards online
India shopping.
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To identify the preferences and problems faced by customers. As Indian consumers are comparatively cost
consumers while shopping online. conscious and conservative in their approach regarding
buying behaviour.
Literature Review
Balamurugan, Sathish and Sathyanarayanan (2013) [15] Advantages of online shopping
concluded in their study that consumer’s online shopping Time-saving
behaviour is guided by their perception relating to Online shopping provides convenience and also saves a lot
convenience of shopping and safety of internet usage, risk of of time of the shoppers, as compared to shopping in
payment and features of the product. These perceptions are traditional manner in brick-and-mortar stores. Due to the
to be taken into consideration by marketeers in order to Change in living pattern of consumers they do not have
survive competition. enough time to shop at physical places such as stores, shops
Jayasubramanian et al. (2015) [14] in the study regarding and malls (Davies 1995, Cheeseman & Breddin 1995) [7, 6].
level of satisfaction of customers while doing online
shopping reveals that apart from various advantages offered Convenience
by online shopping to the customers risk of fraud and threat Shoppers can shop conveniently and comfortably from their
of privacy of information due to hackers are major concern homes through internet by shopping online. Survey of
for the shoppers during online shopping. MasterCard on 'Internet Shopping' (1996) [11] concluded that
A study conducted by Rahman et al. (2018) [16], reveals that consumers viewed the Internet as an "Instrument of
time saving and wide variety of products offered are the Convenience". In a survey by the Danish E-commerce
most important features considered by customers regarding Association reveals the same result, that convenience is
online shopping. Male and female both show similar type of opted as the most important factor for Danish shoppers to
behaviour towards preferring or disliking factors. Option of shop online, followed by price and product. (Nielsen, 1999)
[8]
home delivery in online shopping is most preferred by .
customers while inability to touch the product is considered
as most prominent disliking factor by the customers. Social Easy Price comparison
networking sites are found to be the most acceptable source Venders provides details of the prices of their products on
of information regarding online shopping whereas their websites. Shoppers can easily access the information
consumers are most concerned regarding the security of about prices and can compare quickly which is not possible
payment. in physical stores. According to the survey by Ernst and
Azzam Al, Mahmoud Abdel Fattah (2014) [17] in their study Young ('Internet Shopping' 1998) [10], prospective shoppers
revealed that perceived ease in usage, perceived, attitude, viewed price savings and selection is considered as more
usefulness and perceived behavioural control are the important reasons by customers while shopping online than
important essential factors influencing consumer behaviour convenience, which was ranked third.
towards online shopping. The study also revealed that there
is no significant relationships between trust and online Lower Prices
buying behaviour of customers. Now-a-days, shoppers can directly purchase from
According to Juniwati (2014) [19] ease in using online manufacturers and whole sellers through their online
shopping mode, perceived usefulness by consumers and risk websites. Intermediaries are cut off and products are directly
of payment are the most important factors guiding attitude delivered to customers from manufacturers hence, prices are
of customers towards online shopping. Where attitude of lowered. Online vendors already know that since,
customers and risk perceived by them are found to have informational reach of consumers has increased due to the
significant effect towards online shopping perception. Internet, so they have to focus on lowering prices in order to
Hasanov Jasur, Khalid Haliyana (2015) [18] concluded in gain the competitive edge. (Evans and Wurster, 2000) [12].
their study that apart from the quality of website which
provides ease of use other factors such as customer service, Lower search costs and better product selection
efficient logistics management, distribution system and Shoppers can search vendors online using websites designed
customers review also play a determining role in influencing to navigate, access product information from sellers’
perception of consumers towards online shopping. websites, compare price and quality of different products
According to the study of Sultan and Henrichs (2000) [20], offered by various sellers. This lowers the search cost and
demographics play an important role in guiding willingness unavailability of information involved with traditional
of consumers towards online shopping. He suggested a shopping. Online stores can provide large stock of variety of
positive corelation between demographics such as income, products virtually (Sharma & Krishnan, 2002) [13].
household size etc., and adoption of internet as their
medium of shopping. Reviews and recommendations
B2C commerce had increased to leaps and bounds in recent In online shopping, shoppers can easily get the reviews and
years. Still majority of consumers prefers to have traditional recommendations of products, which is not possible in
way of brick and mortar shopping. Traditional shopping traditional shopping. It acts as an important factor
provides ability to touch and feel which is absent in online influencing consumers buying decisions.
way of shopping. In order to attract customers online
retailers provide various schemes, discounts, exchange Research Methodology
offers etc. (Srivastava & bagale, 2019; Joseph, 2019) [21, 22]. Sources of Data
Khare (2016) [23] and Arpana (2020) [24], in their study In order to study the behaviour of consumers while doing
analysed that Indian consumers are not quickly prompted by online shopping, descriptive study is conducted by gathering
the marketing strategies adopted by online retailers to attract information from primary and secondary data. A well-
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structured questionnaire has been prepared for the purpose questionnaires were found incomplete and 10 were not
of gathering primary data from respondents. Some received.
secondary sources were also used to collect information
related to study from websites, journals, and books. Statistical tool
Data collected through structured questionnaires are
Sample Unit analysed by using graphs, charts, percentage, tables and
Random sampling had been used to collect information from ANOVA is used to analyse the relationship between age,
the respondents in Lucknow city, India. The respondents gender & occupation with online shopping satisfaction.
who had been chosen as sample must had done online
shopping at a minimum of once in their lifetime. Findings and suggestions
i. Sample characteristics: The demographic characteristics
Sample size: Data were collected from 170 respondents of the sample i.e. 154 respondents and their response
belonging to different profession, gender, age etc., 06 frequency and percentage is shown in the table below:

Table 1: Primary data

Demographic Profiles Frequency (out of 154) Percentage (out of 100%)
1. Gender: Male 54 35.1
Female 10 64.9
2. Age: 18- 28 years 127 82.5
29 -39 years 18 11.7
40 –50 years 7 4.5
More than 51 years 2 1.3
3. Marital Status: Single 127 82.5
Married 25 16.2
Widower 1 0.6
Divorcee 1 0.6
4. Occupation Student 115 74.7
Business 4 2.6
Service 24 15.6
Professionals 11 7.1
5. Family’s Monthly Income (rs) Less than-20,000 35 22.7
20,001 -40,000 50 32.5
40,001 -60,000 25 16.2
60,001 -80,000 15 9.7
80,001 - and above 29 18.8
Source: Primary data

Analysis and Interpretation

Demographic Profile of respondents Occupation
The demographic profile of respondents (table 1) is studied In the case of occupation, maximum respondents are
on various factors like age, gender, income, occupation, students having majority of 74.7% of the total respondents,
marital status 2.6% are from business background, 15.6% from service
background and 7.15 are professionals.
Gender
The respondents in the study consists of 35.1% males, and Income
64.9% females. 22.7% respondents have less than 20,000 as their family
monthly income, 32.5% having income falling under group
Age 20,001-40,000, 16.27% respondents have income ranging
By analyzing the data in table 1, we can interpretate that between 40,001-60,000, 9.77% between 60,001-80,000 and
majority of respondents are between 18-28 years of age, 18.8% have income ranging between 80,001 and above.
11.7% of the respondents are from age group 29-39 years,
4.5% are 40-50 years of age and 1.3% of the respondents are Online shopping experience
more than 51 years of age. As per chart 1 half of the total respondents have more than 3
years’ experience in online shopping. 19.48% of the
Marital Status respondents have 2 to 3years of experience, 14.94% pf the
If we analyze the marital status of the respondents, we find population have 1-2 years’ experience and 15.58% have less
that majority of them are single which consists of 80.5% of than 1 years of experience in online shopping.
total respondents, 16.2% are married, 0.6% are widower and
0.6% are divorce.

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Fig 1: Experience of doing online shopping

Information about online shopping sources the respondents get to know about online shopping from
There are various sources available to the customers social media. 25% of the information comes from
regarding information about online shopping. Social media family/friends, 19% from website advertisements, T.V.
like Facebook, Instagram, twitter etc., are the major source advertisements form the information source of about 15% of
of information for online shopping (chart 2). About 30% of the respondents, and 11% from other sources.

Fig 2: Source of online shopping information

Reasons for preferring online shopping comparisons however for females apart from time factor
Both males and females have different reasons for choosing variety of products offered is the next important reason for
online shopping over traditional one. However, maximum preferring online shopping. 44.44% of the males and 49%
number of respondents including 66.66% males and 67% females choose online shopping due to its 24* 7 availability.
females choose online shopping because it saves their time. Safety of shopping due to covid pandemic is also one of the
Chart 3 below shows that apart from time factor 50% of the reasons for preferring online shopping for 38.88% males
male favors it as it leads to easy and convenient product and 45% females.

Fig 3: Reasons for preferenece of online shopping

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International Journal of Applied Research http://www.allresearchjournal.com

Products Preference for online shopping Moreover, 40.74% males and 36% females choose health
Males and females prefer different products online. and fitness related products for online shopping. Only
Maximum number of females prefer to buy apparels from 31.48% males and 19% females chose medicines to buy
online whereas maximum number of males prefer to shop online.
electronic products (chart 4). 53.70% males and 51% We can interpretate from chart 4 that apparels and electronic
females choose to purchase books online. 51.85% males and items are most preferred products for online shopping.
38% females prefer grocery products for online shopping.

Fig 4: Products preferred from online shopping

Factors for liking online shopping respondents and 67% female respondent’s likes online
Among the male respondents (chart 5) 70.37% and 79% shopping as it is easy and convenient to place order online.
females like online shopping because of home delivery For 68.51% males and 63% female’s wide variety of
services, Maximum number of respondents accept that home product options available online is an important factor for
delivery options provide greater leverage to online shopping liking online shopping. 51.85% males and 52% females like
over traditional shopping methods. 70.37% male discount offers provided by merchants in online shopping.

Fig 5: Factors for liking online shopping

Factors for disliking online shopping Moreover, 33.33% males and 40% females believe that
There are also the reasons which obstructs the customers hidden costs such as shipping charges are also some of the
from online shopping. After analyzing the responses of the factors. Poor return policy is also stated as the reason for
respondents, we find out that the most peculiar reason for disliking online shopping by 42.59% males and 29%
dissatisfaction for online shopping is the chances of fraud females. 33,33% males and 27% females believe that delay
such as fake product etc., which is linked to online shopping in delivery as the reason for dislike and 29.62% males and
(chart 6). Most of the males accepts that inability to touch & 18% females believes lack of after sales services as the
feel and the chances of fraud such as fake product are most reasons behind not preferring online shopping.
prominent reasons for disliking online shopping among
males.

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Fig 6: Factors for disliking online shopping

Payment mode preference respondents chooses cash on delivery for the payment
Mode of payment is a crucial factor in online shopping options. 21% of the respondents as per chart7 prefer online
preference. Various payment options are available now-a- payment apps such as Paytm, google pay etc., 16% uses
days before the customers. According to the responses debit card as compared to the 6% of the respondents who
(chart7), we can interpretate that cash on delivery is the uses credit cards as the payment options. Mobile banking is
most preferred options among online shoppers. 46% of the preferred by 11% of the online shoppers.

Fig 7: Preference of mode of payment

Security of Online Payment online payment (chart 8). 21% of the respondents remains
Security of the payment mode is very necessary for the neutral about the security of payment mode and 10% of the
customers in online shopping. 55% of the respondents agree respondents disagreed about the safety of online payment.
to the fact that they feel secure while doing online payment 2% of the respondents feels that online payment modes are
while, 12% strongly agree to the fact about security of not at all safe.

Fig 8: Do you feel secure doing payment online

Online shopping Satisfaction dissatisfied. 17% of the respondents are highly satisfied only
A satisfied customer is like an asset of the business. which throws the light on the fact that there are still some
Customer satisfaction plays an important role in online concerns about online shopping due to which customers
shopping. According to the study(chart 9), 66% respondents hesitate to buy online. Businesses must consider these
are satisfied with shopping online while only 1% are concerns about online shopping so as to satisfy their
dissatisfied and 1% of the respondents are highly customers.
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Fig 9: Online shopping satisfaction

Test of Homogeneity of Variances

Gender and satisfaction level H0: There is no significant difference between age and
level of satisfaction
Table 2: Online shopping satisfaction
Table 6: age & online shopping satisfaction
Levene Statistic df1 df2 Sig.
.001 1 152 .973 Sum of Squares df Mean Square F Sig.
Between Groups 1.260 2 .630 1.180 .310
Age and satisfaction level Within Groups 80.636 151 .534
Total 81.896 153
Table 3: Online shopping satisfaction
Interpretation: Here, p value is 310 > 0.05, we can
Levene Statistic df1 df2 Sig.
.850 2 151 .429
conclude that there is no significant difference between
means of age of consumers with respect to online shopping
satisfaction.
Occupation and satisfaction level

Table 4: Online shopping satisfaction H0: There is no significant difference between

Occupation and level of satisfaction
Levene Statistic df1 df2 Sig.
1.480 3 150 .222 Table7: Occupation & online shopping satisfaction
Sum of Squares df Mean Square F Sig.
Interpretation Between Groups 3.765 3 1.255 2.410 .069
Here, in table 2, 3 and 4 value of p is (.973,.429,.222) > 0.05 Within Groups 78.131 150 .521
hence, we fail to reject H0. It increases our confidence that Total 81.896 153
variances are equal and Homogeneity of variance
assumption has been met. Interpretation: Here, p value is 069 > 0.05, we can
conclude that there is no significant difference between
Analysis of variance means of occupation with respect to online shopping
Since, homogeneity of variances assumption has been satisfaction.
satisfied the relationship between the age, gender and
occupation of the respondents and the level of satisfaction Conclusion
was analysed by using Analysis of variance. By analysing the data gathered in the study, it was found
that there is no significant difference between means of
H0: There is no significant difference between Gender gender, age and occupation of respondents with respect to
and level of satisfaction online shopping satisfaction. It can also be concluded that
time saving is the most important reason for choosing online
Table 5: Gender & online shopping satisfaction shopping by consumers. Preference of product purchased
Sum of Squares df Mean Square F Sig. online is different in male and females. Maximum female
Between Groups .192 1 .192 .358 .551 respondents prefer to buy apparels whereas male
Within Groups 81.704 152 .538 respondents prefer electronic products online. Free home
Total 81.896 153 delivery services offered in online shopping is found out to
be the most prominent factor for liking online shopping.
Interpretation Inability to touch and risk of frauds are the reasons why
Here, p value is 551 > 0.05. we can conclude that there is no customers are reluctant to like online shopping over
significant difference in mean level of satisfaction in online traditional way of shopping. This is the reason most
shopping between male and female. respondents preferred cash on delivery option as mode of

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