A

PROJECT REPORT
ON
“A STUDY OF ONLINE SHOPPING IN THE CONTEXT OF INDIAN
ENVIRONMENT”
Submitted In Partial Fulfilment of the Requirement for Award of the
Degree Of
MASTER OF BUSINESS ADMINISTRATION (MBA)
SUBMITTED TO

MAHARSHI DAYANAND UNIVERSITY, ROHTAK

Under The Supervision of: - Submitted By:-

Dr. Manyata Mehra Name-Deepak
Roll No
Assistant Professor Reg. No. 17GU250270
Department of Business Administration MBA 4th Semester
WCTM, Farrukhnagar, Gurugram

WORLD COLLEGE OF TECHNOLOGY AND MANAGEMENT

5 Km ahead Farukhnagar (Khera Khurrampur) Gurugram, Haryana
(Batch: 2022-2024)
i
 STUDENT DECLARATION

I, Deepak, Reg. No. 17GU250270 student of MBA (4th Semester) studying at World college of
Technology & Management hereby declare that the entitled “A Study Of Online Shopping In The Context
Of Indian Environment” is an original work and the same has been submitted to any other institute for the
award of any other degree. The interim report was present to the supervisor and the pre – submission
presentation was made on the feasible suggestions have been made duly incorporated in consultation with
the supervisor.

Date: Signature of Student

Place : Gurugram Deepak
Reg. No. 17GU250270
MBA 4th Semester

ii
 WORLD COLLEGE OF TECHNOLOGY AND MANAGEMENT (WCTM)

CERTIFICATE OF HOD

Mr. Deepak, Reg. No. 17GU250270, a student of Master of Business Administration, World College of
Technology & Management (WCTM), Gurugram an affiliated Institution of Maharshi Dayanand
University, Rohtak, has carried out the Research Project Report on “A Study of Online Shopping in the
Context of Indian Environment”, in partial fulfillment of the requirements for the Degree of Master of
Business Administration.
I certify that this project report is a record of the work done by the candidate herself and that to the best of
my knowledge the contents of this research project work did not form a basis of award of any previous
degree of anybody else.

Dr. Himani Avasthi,

HOD
Department of Business
Administration
WCTM, Farrukhnagar,
Gurugram

iii
 WORLD COLLEGE OF TECHNOLOGY AND MANAGEMENT (WCTM)

CERTIFICATE BY THE GUIDE

This is to certify that Mr. Deepak, Reg. No. 17GU250270, a student of Master of Business Administration
(MBA) Final Year of World College of Technology and Management (WCTM), Farrukhnagar, Gurugram
(an affiliated Institution under Maharshi Dayanand University (MDU), Rohtak) has worked under my
guidance on the research project report entitled “A Study Of Online Shopping In The Context Of Indian
Environment”, in partial fulfillment for the requirement of the degree of Master of Business Administration
(MBA).
I certify that this project report is a record of the work done by the candidate herself and that to the best of
my knowledge the contents of this research project work did not form a basis of award of any previous
degree of anybody else.

Dr. Manyata Mehra,

Assistant Professor
Department of Business
Administration

WCTM, Farrukhnagar, Gurugram

iv
 ACKNOWLEDGEMENT

The present research project work is based on the study of “A Study of Online Shopping in the
Context of Indian Environment”

A research project work without proper guidance is like ship without a navigator. A successful
story is incomplete without paying tribute to those who inspired it. I would like to express my
gratitude towards all those people who, directly or indirectly guided me for preparing this research
report work, which was a great learning process for me.

I would like to thank Dr. Manyata Mehra, Assistant Professor, World College of Technology &
Management Farrukhnagar (Gurugram) who not only played the role of my philosopher and
guide but also mentored me at every stage of my research project report. I would like to extend my
hearty thanks to entire faculty members of management department for their constant cooperation
and support to take decision during the course of my research project work.

First of all I would like to thank my parents for encouraging me throughout my life, whatever the
circumstances were, their blessing were always with me and my dearest siblings for their love.

I would appreciate all the respondents who took out their valuable time to give their views and
filled the questionnaire. Lastly, I take this opportunity to thank my friends who chipped-in with
some valuable suggestions for the betterment of this research project work.

Deepak

v
 PREFACE

As an essential and obligatory part of my course I undertook a research project work on “A

Study of Online Shopping in the Context of Indian Environment”. The research has helped me to
get a practical knowledge about to analyze environment stimulus, changes, and current
requirements as an important suffix to the theoretical knowledge into the business environment.
One cannot merely depend on the theoretical knowledge; classroom lectures make the
fundamental concepts but the research facilitates the help in learning of the practical situation. It
is in the sense that the research has significant role to play in the subject of business
management.

vi
 EXECUTIVE SUMMARY

Now a day, online shopping has become popular among people, they have become techno savvy and
feel very comfortable in using internet. So online shopping has becoming a trend that is why we thought
to make a study on online shopping usage.

In the course of study various interesting facts were arrived. A questionnaire was prepared having
pointed an interesting information having options. Our group visited people of different age groups to
get the questionnaire filed. We helped them understand some questions so they could give us correct
information. The information gathered was compiled and analyzed to arrive at the very purpose of study.

However we did not fine difficulty in getting the questionnaire filled by various segments as questions
touched their heart. People were filling questionnaire very keenly.

It is interesting to know that people in the age group of 15 to 30 years use online shopping more as
compared to other age groups. Normally in this age group students and professional people fall. It came
to know that people frequently visit the snap deal and flip kart for online shopping

vii
 TABLES OF CONTENTS

Chapter TITLE Page No.

Chapter 1 Introduction 1-15

Chapter 2 Literature Review 16-24

Chapter 3 Research Methodology 25-29

3.1 Objectives of Study 26

3.2 Relevance Of The Study: 26
3.3 Research methodology 26
3.4 Research Design 27
3.5 Data Collection Methods: 29
3.6 Statistical Tools Used 29

Chapter 4 Data Analysis And Interpretation 30-50

Chapter 5 Findings And Limitation 51-52

Chapter 6 Suggestion and Conclusion 53-54

Bibliography
Appendix/Annexure

viii
 CHAPTER-1
INTRODUCTION

1
 INTRODUCTION:

Online Shopping is the process whereby consumers directly buy goods, services etc. from a seller
interactively in real-time without an intermediary service over the internet.
India will have the world’s second-largest Internet user base by this December, overtaking the US.
This is among the many interesting findings in the ‘Internet in India 2015’ Report released by the
Internet and Mobile Association of India (IAMAI) and IMRB International.
According to report, India will have 402 million Internet users by December 2021 and its user base
has increased by 49 per cent compared to last year. In October 2022, 317 million Indian users
accessed Internet. China has the largest Internet user base, with over 600 million users.
It is not surprising anymore that mobile is responsible for a big chunk of this growth. In Urban
India, the mobile Internet user base grew by 65 per cent over last year to reach 197 million in
October 2021. In Rural India, the mobile Internet user base is expected to reach 87 million by
December 2021 and 109 million by June 2022.
Ninety-four per cent of users access the Internet through their mobile phones in Urban India.
However, 64 per cent also use the desktop or laptop to access the Internet. But 90 per cent of those
who use the mobile to access the Internet consider it their primary device for browsing.
An unsettling revelation is the gender gap when it comes to access to Internet. Men account for 71
per cent of Internet users, while women account for just 29 per cent.

WHAT IS ONLINE SHOPPING?

Online shopping is the process of buying goods and services from merchants who sell on the
Internet. Since the emergence of the World Wide Web, merchants have sought to sell their products
to people who surf the Internet. Shoppers can visit web stores from the comfort of their homes and
shop as they sit in front of the computer
Consumers buy a variety of items from online stores. In fact, people can purchase just about
anything from companies that provide their products online. Books, clothing, household
appliances, toys, hardware, software, and health insurance are just some of the hundreds of
products consumers can buy from an online store.
Many people choose to conduct shopping online because of the convenience. For example, when
a person shops at a brick-and-mortar store, she has to drive to the store, find a parking place, and

2
walk throughout the store until she locates the products she needs. After finding the items she
wants to purchase, she may often need to stand in long lines at the cash register.
In contrast, online shopping helps consumers avoid these disadvantages. With online shopping, a
person logs onto the Internet, visits the store's website, and chooses the items she desires. The
items are held in a virtual shopping cart until she is ready to make her purchase. The shopper can
remain in her pajamas as she does her shopping, and the process can be conducted in the wee hours
of the morning or late into the night. Online stores never close — they're open 24 hours a day.
Despite the convenience of online shopping, not everyone chooses to purchase items and services
online. Some people like the idea of physically going to a store and experiencing the shopping
process. They like to touch the merchandise, try on clothing, and be around other people. Online
shopping doesn't permit shoppers to touch products or have any social interaction. It also doesn't
allow them to take the merchandise home the same day they buy it.
Other people may worry about shopping online because they fear their credit card information will
be compromised. Since it's necessary to provide credit card information when purchasing products
online, people worry they may become the victims of identity theft. This discourages some
consumers from participating in online shopping.
Another reason some consumers avoid shopping online is the fact that they worry that the
products they purchase are not accurately portrayed in the website's picture. They worry that the
picture of the item may appear one way, but the actual item may look completely different —
perhaps of lesser quality. It's also impossible to try on apparel when conducting online shopping.
A consumer has to rely on body measurements in order to make sure the clothing will fit
properly. If the clothing arrives in the mail and it's too small, the consumer has to return the item.
This is a potential inconvenience that some shoppers may not wish to face.
In day to day life, we will need to buy lots of goods or products from a shop. It may be food items,
electronic items, house hold items etc. Now a day, it is really hard to get some time to go out and
get them by ourselves due to busy life style or lots of works. In order to solve this, B2C E-
Commerce websites have been started. Using these websites, we can buy goods or products online
just by visiting the website and ordering the item online by making payments online.
This existing system of buying goods has several disadvantages. It requires lots of time to travel
to the particular shop to buy the goods. Since everyone is leading busy life now a day, time

3
means a lot to everyone. Also there are expenses for travelling from house to shop. More over the
shop from where we would like to buy something may not be open 24*7*365. Hence we have to
adjust our time with the shopkeeper’s time or vendor’s time.
In order to overcome these, we have e-commerce solution, i.e. one place where we can get all
required goods/products online. The proposed system helps in building a website to buy, sell
products or goods online using internet connection. Purchasing of goods online, user can choose
different products based on categories, online payments, delivery services and hence covering the
disadvantages of the existing system and making the buying easier and helping the vendors to reach
wider market.
Online shopping (sometimes known as e-tail from "electronic retail" or e-shopping) is a form of
electronic commerce which allows consumers to directly buy goods or services from a seller over
the Internet using a web browser. Alternative names are: e-web-store, e-shop, e-store, Internet
shop, web-shop, web-store, online store, online storefront and virtual store. Mobile commerce (or
m-commerce) describes purchasing from an online retailer's mobile optimized online site or app.
Say 'goodbye' to the days when you stood in line waiting, and waiting, and waiting some more for
a store clerk to finally check out your items. Online shopping transactions occur instantly- saving
you time to get your other errands done! Additionally, unlike a store, online shopping has friendly
customer service representatives available 24 hours a day, 7 days a week to assist you with
locating, purchasing and shipping your merchandise.

HISTORY OF ONLINE SHOPPING:

English entrepreneur Michael Aldrich invented online shopping in 1979. His system connected a
modified domestic TV to a real-time transaction processing computer via a domestic telephone
line. He believed that videotext, the modified domestic TV technology with a simple menu- driven
human–computer interface, was a 'new, universally applicable, participative communication
medium — the first since the invention of the telephone.' This enabled 'closed' corporate
information systems to be opened to 'outside' correspondents not just for transaction processing
but also for e-messaging and information retrieval and dissemination, later known as e-business.
His definition of the new mass communications medium as 'participative' [interactive, many-to-
many] was fundamentally different from the traditional definitions of mass

4
communication and mass media and a precursor to the social networking on the Internet 25 years
later.
In March 1980 he went on to launch Redifon's Office Revolution, which allowed consumers,
customers, agents, distributors, suppliers and service companies to be connected on-line to the
corporate systems and allow business transactions to be completed electronically in real-time.
During the 1980s he designed, manufactured, sold, installed, maintained and supported many
online shopping systems, using videotext technology. These systems which also provided voice
response and handprint processing pre-date the Internet and the World Wide Web, the IBM PC,
and Microsoft MS-DOS, and were installed mainly in the UK by large corporations.
The first World Wide Web server and browser, created by Tim Berners-Lee in 1990, opened for
commercial use in 1991. Thereafter, subsequent technological innovations emerged in 1994:
online banking, the opening of an online pizza shop by Pizza Hut, Netscape's SSL v2 encryption
standard for secure data transfer, and Inters hop’s first online shopping system. The first secure
retail transaction over the Web was either by Net Market or Internet Shopping Network in 1994.
Immediately after, Amazon.com launched its online shopping site in 1995 and eBay was also
introduced in 1995. Alibaba's sites Taobao and Tmall were launched in 2003 and 2008,
respectively.
Retailers are increasingly selling goods and services prior to availability through pretail for testing,
building, and managing demand.

INTERNATIONAL E-COMMERCE STATISTICS:

Statistics show that in 2019, Asia-Pacific increased their international sales over 30% giving them
over $433 billion in revenue. That is a $69 billion difference between the U.S. revenue of
$364.66 billion. It is estimated that Asia-Pacific will increase by another 30% in the year 2013
putting them ahead by more than one-third of all global ecommerce sales.

NEED FOR ONLINE SHOPPING:

Few developments have altered India‘s lifestyle more quickly and more completely than the
Internet. Online access has enabled people from all walks of life to bring entire libraries,
entertainment venues, post offices and financial centers to a workplace, to a desktop or to a shirt

5
pocket. The Internet‘s largest and most meaningful impact may very well be on the way consumers
shop for everything from gifts, gadgets and groceries to clothing, cars, and cruises.
The ease and selection that the Internet provides to shoppers has changed the face of retailing.
More and more, consumers visit a store‘s Web site to make their choices before traveling to the
store itself; and in a rapidly swelling tide, many shoppers are bypassing the store altogether and
ordering online directly from the Web sites of their favorite brands and outlets. Companies like
Sephora, Sears and Crate & Barrel have increased the range and quantity of products available
At their online stores and are sending online coupons and sale announcements via e-mail directly
to their customers.
Because online stores are open 24 hours a day, seven days a week, and their inventories are often
more complete than those of their brick-and-mortar counterparts, the Internet makes it easy for
shoppers to compare products within or between stores, to read product reviews from other
customers, to access vendor return policies and to find warranty information

POPULAR E-COMMERCE SITES/COMPANIES IN INDIA:

a) Flipkart: Flipkart is an e-commerce company founded in 2007 by Sachin Bansal and
Binny Bansal. The company is registered in Singapore, but has its headquarters in
Bangalore, Karnataka, India. Flipkart has launched its own product range under the name
"DigiFlip" with products including tablets, USBs, and laptop bags. The first product they
sold was the book “Leaving Microsoft to Change the World” to a customer from
Hyderabad. Flipkart now employs more than 33,000 people. Flipkart allows payment
methods such as cash on delivery, credit or debit card transactions, net banking, e-gift
voucher and card swipe on delivery.
b) Amazon: Amazon.com, Inc. (/ˈæməzɒn/ or /ˈæməzən/), often referred to as simply
Amazon, is an American electronic commerce and cloud computing company with
headquarters in Seattle, Washington. It is the largest Internet-based retailer in the United
States. Amazon.com started as an online bookstore, later diversifying to sell DVDs, Blu-
rays, CDs, video downloads/streaming, MP3 downloads/streaming, audiobook
downloads/streaming, software, video games, electronics, apparel, furniture, food, toys and
jewelry.

6
c) Amazon has separate retail websites for United States, United Kingdom and Ireland,
France, Canada, Germany, Italy, Spain, Netherlands, Australia, Brazil, Japan, China, India
and Mexico. Amazon also offers international shipping to certain other countries for some
of its products. In 2011, it professed an intention to launch its websites in Poland and
Sweden.
d) Snapdeal: Snapdeal is an online marketplace, based in New Delhi, India. The company
was started by Kunal Bahl, a Wharton graduate as part of the dual degree M&T Engineering
and Business program at Penn, and Rohit Bansal, an alumnus of IIT Delhi in February
2010. Snapdeal currently has 275,000 sellers, 30 million-plus products and a reach of 6,000
towns and cities across the country.
e) Snapdeal was started on 4 February 2010 as a daily deals platform but expanded in
September 2011 to become an online marketplace. Snapdeal has grown to become one of
the largest online marketplaces in India offering an assortment of 10 million products
across diverse categories from over 100,000 sellers, shipping to 5,000+ towns and cities in
India. In March 2015, Snapdeal brought actor Aamir Khan for the promotion of its website
in India.
f) eBay: eBay Inc. (stylized as "ebay" since late 2012) is an American multinational
corporation and e-commerce company, providing consumer-to-consumer and business- to-
consumer sales services via the internet. It is headquartered in San Jose, California. eBay
was founded by Pierre Omidyar in 1995, and became a notable success story of the dot-
com bubble. Today it is a multibillion-dollar business with operations localized in over 30
countries. The company manages eBay.com, an online auction and shopping website in
which people and businesses buy and sell a broad variety of goods and services worldwide.
In addition to its auction-style sales, the website has since expanded to include "Buy It
Now" shopping; shopping by UPC, ISBN, or other kind of SKU (via Half.com); online
classified advertisements (via Kijiji or eBay Classifieds); online event ticket trading (via
Stub Hub); and other services. It previously offered online money transfers (via PayPal),
which was a wholly owned subsidiary of eBay from 2002 until 2015. The website is free
to use for buyers, but sellers are charged fees for listing items and again when those items
are sold.

7
 g) Myntra: Myntra is an Indian e-commerce company of fashion and casual lifestyle
products, headquartered in Bangalore, Karnataka, India. The company was founded in
2007 by Indian Institute of Technology graduates with a focus on personalization of gift
items. By 2010, Myntra shifted its focus to the online retailing of branded apparel. In May
2014, Myntra.com merged with Flipkart to compete against Amazon which entered the
Indian market in June 2013 and other established offline retailers like Future Group, Aditya
Birla Group and Reliance Retail.

THE ONLINE SHOPPER’S CHECKLIST:

There are lots of benefits to shopping online—you can save time, effort and sometimes even
money. But online shopping is different to purchasing face-to-face. People can plan purchase
against the following points to help ensure people have an easy and safe online purchase.
 The seller - Before people buy anything online, get to know the seller people need to know
their contact details in case something goes wrong a reputable business should make this
information easy to find. A reputable business should also have good customer feedback -
friends, family or other customers rate them highly.
 The product or service - Read and look at the advertisement carefully—make sure that it
is exactly what people want. Consider the features and specifications such as make, model,
dimensions, condition, age, functions, customer service and support. If people are unsure
about something, ask the seller for more detail before committing them self.
 The terms and conditions - Before buying, understand exactly what is involved in the
purchase. The terms and conditions of people for purchase should be outlined by the
seller—they may be located on a separate web page to the advertisement. They should be
clear and outline any extra warranties offered by the seller, or policies covering security,
privacy and returns.
 The process - People must be clear about the payment and delivery processes including
method and important dates. The seller should have a complaints procedure in place for if
things go wrong. They should provide customer support for any queries or problems.
 The total cost - Make sure people know the total cost of people planned purchase. Like
they should mention whether they include the advertised price include delivery, insurance
and handling cost or there any taxes or duties.

8
  The payment - Only go ahead with the purchase if people are comfortable with the
payment method. If paying electronically, make sure that the seller uses a secure payment
system that encrypts your financial details. Look out for a padlock symbol and the web
address starting with https:// —this indicates a secure payment process is being used.
However, be aware that scammers may be able to reproduce symbols to give you the
impression that a fake website is secure. If you have doubts, it is safer not to proceed.
 The paperwork - The copy of any forms, emails, documents or Webpages have filled in,
read or received—they are a record of the sale and will come in handy if something goes
wrong. This includes the advertisement, pictures, any policies (privacy, security or refund),
the terms and conditions, buyer questions, receipts and payment forms.

WHY DO PEOPLE PREFER ONLINE SHOPPING?

Some reasons given below why Online Shopping is liked by many:
 Convenience - The convenience of this method of shopping is what like best about it.
Where else can people do shopping even a midnight wearing your night suit? People do
not have to wait in a line or wait till the shop assistant is ready to help people with the
purchases. People can do shopping in minutes even if they are busy apart from saving time
and avoiding crowds. Online shops give us the opportunity to shop 24 hours.
 Better Prices - Another thing which fascinates people is the cheap deals and better prices
they get from online stores because products come direct from the manufacturer or seller
without middlemen involved. Many online shops offer discount coupons and rebates.
 Variety - The choices people can get for products are amazing. One can get several brands
and products from different sellers at one place. People can get in on the latest international
trends without spending money on airfare.
 Send Gifts - Online Shopping makes sending gifts to relatives and friends easy, no matter
where ever they stay.
 Comparison of Prices - Online shops make comparison and research of products and prices
possible. Online stores also give people the ability to share information and reviews with
other shoppers who have firsthand experience with a product or retailer.

9
PAYMENT OPTIONS IN ONLINE SHOPPING:
Online shoppers commonly use a credit card to make payments, however some systems enable
users to create accounts and pay by alternative means, such as:
 Billing to mobile phones and landlines
 Cash on delivery (C.O.D., offered by very few online stores)
 Cheque
 Debit card
 Direct debit in some countries
 Electronic money of various types
 Gift cards
 Postal money order
 Wire transfer/delivery on payment
Some sites will not accept international credit cards, some require both the purchaser’s billing
address and shipping address to be in the same country in which site does its business, and still
other sites allow customers from anywhere to send gifts anywhere. The financial part of transaction
might be processed in real time (for example, letting the consumer know their credit card was
declined before they log off), or might be done later as part of the fulfillment process

WHY DO PEOPLE PREFER ONLINE SHOPPING?

Some reasons given below why Online Shopping is liked by many:
 Convenience - The convenience of this method of shopping is what like best about it.
Where else can people do shopping even a midnight wearing your night suit? People do
not have to wait in a line or wait till the shop assistant is ready to help people with the
purchases. People can do shopping in minutes even if they are busy apart from saving time
and avoiding crowds. Online shops give us the opportunity to shop 24 hours.
 Better Prices - Another thing which fascinates people is the cheap deals and better prices
they get from online stores because products come direct from the manufacturer or seller
without middlemen involved. Many online shops offer discount coupons and rebates.
 Variety - The choices people can get for products are amazing. One can get several brands
and products from different sellers at one place. People can get in on the latest international
trends without spending money on airfare.

10
  Send Gifts - Online Shopping makes sending gifts to relatives and friends easy, no matter
where ever they stay.
 Comparison of Prices - Online shops make comparison and research of products and prices
possible. Online stores also give people the ability to share information and reviews with
other shoppers who have firsthand experience with a product or retailer.
 . Sometimes we even compromise on our choices because of the lack of choices in those
shops.

ADVANTAGES OF ONLINE SHOPPING:

 Access - Online shopping allows you to shop from any vendor, at anytime, anywhere in
the world. Virtual window shopping enables all users to shop at their leisure and across
multiple marketplaces.
 Time Saver - You no longer have to get in your car and have to drive to the mall to shop.
There are no lines and you can come back to your cart whenever you want.
 Online Deals and Promotions - Before you checkout, you can scour the Internet for online
coupon codes or special discounts. Many companies send coupons to their customers who
have opted into their email marketing campaigns, delivering them with the latest product
or service information and what current promotions they are currently holding.
 Convenience - There is no doubt that shopping online can be very convenient for busy
people. You can shop from your home or office - or any other location where you have
access to a computer, tablet device or smartphone and Internet access. You can browse and
make purchases any time of the day or night from any location that is convenient for you
rather than having to take time out of your day or evening to go to local stores in person
during their hours of operation.
 Save Fuel – The market of fuel industries battles from increasing and decreasing its cost
every now and again, but no matter how much the cost of fuel are it does not affect your
shopping errands. One of the advantages of shopping online is that there is no need for
vehicles, so no purchase of fuel necessary.

11
  Save Energy – Admit it, it is tiresome to shop from one location and transfer to another
location. What is worse is that there are no available stocks for the merchandise you want
to buy. In online shopping, you do not need to waste your precious energy when buying.
 Comparison of Prices – The advanced innovation of search engine allows you to easily
check prices and compare with just a few clicks. It is very straightforward to conduct price
comparisons from one online shopping website to another. This gives you the freedom to
determine which online store offers the most affordable item you are going to buy.
 24/7 Availability – Online shopping stores are open round the clock of 24/7, 7 days a week
and 365 days. It is very rare to find any conventional retail stores that are open 24/7. The
availability of online stores give you the freedom to shop at your own pace and
convenience.
 Hate Waiting in Lines – When buying items online, there are no long lines you have to
endure, just to buy your merchandise. The idea of shopping online is cutting down those
bad habits of standing in a long line and just waiting. Every online store is designed with
unique individual ordering features to purchase the item.
 Easy to Search Merchandise You Want to Buy – You are able to look for specific
merchandise that includes model number, style, size, and color that you want to purchase.
In addition, it is easy to determine whether the products are available or out of stock.

DISADVANTAGES OF ONLINE SHOPPING:

If there are advantages, most likely there will be disadvantages. Despite the success of purchasing
through online shopping stores, there are still some disadvantages that most people complain
about. These include:
 Personally Check the Item – If you are one of those shoppers who want to touch, see, and test
the product personally, at online shopping, you are not able to do so. Online stores are only
showing product description and photos of the merchandise, which can be a disadvantage for
many online shoppers.
 Diminished Instant Satisfaction – Unlike buying at retail stores, you are able to use the product
instantly after you buy it, which can be satisfying. However, online shopping requires patience
to wait for the item to arrive at your door step about 2 to 3 days or even

12
 longer depending on the location you've ordered it from. Online shopping is continuously
becoming more popular and improving every single day. Knowing the advantages of online
shopping and its disadvantages is additional knowledge for a lot of online shoppers that are
useful before shopping online.
 Lose the Tactile Experience - When you shop online, you don't have an opportunity to touch
and feel items you are considering purchasing. With some products - like books and electronic
equipment - this isn't an important consideration. However, with clothing, bedding, pillows,
furniture, rugs and other textile-based merchandise, it can be hard to gauge quality without
hands-on contact. Fit is also a concern with any kind of apparel.
 Dealing with an Unknown Vendor - When you are shopping online, unless you are purchasing
from a well-known e-tailer like Amazon or Zappos or the online arm of a department store
like Kohl's or JC Penney, you really don't know who you are doing business with. Anybody
can open an online store - especially with products that are easy to access through a drop-
shopping company - but not everyone is honest and reputable. When you are shopping with an
online store that you don't know anything about, it can be difficult to feel confident that they'll
still be there if a problem arises with your order and to feel that the personal information you
are required to share when making a purchase will really be protected. Online security concerns
can certainly be an important consideration when selecting an e-tailer.
 Shipping Rates - Though some companies offer free flat rate shipping, it still may come at a
cost. For instance, a clothing store may offer free shipping but at a minimum of a $50 purchase.
 Waiting - If you're an impatient person, waiting for your product to be delivered can be a pain.
There is a lack of instant gratification and even possibilities of delay when it comes to receiving
your items.
 Refunds/Returns Disputes - If an item comes damaged or not as described, you will want to
return the item or be refunded your money. Depending on where you purchased your item,
there can be different policies for refunds and returns; this process is tedious and is prolonged
since you would have to ship back the item and wait on the buyer to refund your payment.

13
SOME TIPS TO BECOME SMART ONLINE SHOPPER:
The list can go on and on for the advantages and disadvantages of online shopping. Instead of
creating a pros and cons list, you should discover ways to become a better online shopper in the
event you do want to purchase items online.
 Does Your Research - Before making a purchase, research more about the company whether
it’s through a review site or checking on social media. Brands who value their customers are
more likely to be engaged online because they understand the importance of being transparent.
Does their website look trustworthy? What payment gateways do they except? What have
others said about their service? Reduce your risk and protect your money by learning more
about the brand first.
 Read Online Reviews - Discover what others have to say about the product or service you are
about to purchase. A lot of consumers leave honest reviews about a product (i.e. true to size,
came as depicted, etc.) or a service (excellent customer service, was satisfied, was
disappointed, etc.) that can help influence your decision to click and buy.
 Read the Fine Print - Always know what the return and refund policy is before buying. Some
companies offer a year return policy - others can range in the 14-30 day return window. Some
may only offer exchange. Save yourself the frustration and discover what your risks are when
purchasing.
 Look for Online Deals - Online shopping gives you the ability to cross-compare prices across
multiple websites so you can get the best deal. Look into different coupon sites and see discount
codes other consumers have to share. If you really like a brand, stay connected with them and
subscribe to their newsletters as they may offer you exclusive promotions for your loyalty.
As the possibility of internet is expanding, it becomes a popular marketing channel. There are
various differences between a physical store and its electronic counterpart such as consumers can
buy things whenever they are through online shopping. It is a complex buying process that includes
navigations, the searches of information, the online transactions and the customer interactions. The
intensity of online shopping is expected to be increased in double digits by every year. In fact,
consumers can also enjoy window shopping in the internet without enduring/feeling the pressure
to purchase, unlike the traditional shopping environment.

14
Most of the previous online shopping research works have focused on identifying the attributes of
successful online store. These attributes comprised of time saving, convenience, lower price, wider
section, entertainment homepage, and customer service and price comparison.
Khalifa and Limayem (2003) in a research entitled "Drivers of internet shopping" applied well-
established behavioral theories to explain Internet consumer behavior. Then, they conducted a
longitudinal survey study to identify key factors influencing purchasing on the Web and to examine
their relative importance. The results indicate that the intentions of Internet consumers are
significantly affected by the perceived consequences of online shopping, the consumers’ attitudes
towards it, and social influence.

15
 CHAPTER-2
REVIEW OF LITERATURE

16
 REVIEW OF LITERATURE

Kim and Park (2003) in a study "Identifying key factors affecting consumer purchase behavior in
an online shopping context" investigated the relationship between various characteristics of online
shopping and consumer purchase behavior. Result of the online survey with 602 Korean customers
of online bookstores indicate that information quality, user interface quality and security
perceptions affect information satisfaction and relational benefit that in turn, are significant related
to each consumers’ site commitment and actual purchase behavior.
A survey conducted by BachelorCard worldwide, (December 2008), on 5037 respondents across
10 markets: Australia, China, Hong Kong, India, Japan, Singapore, South Korea, Thailand, UAE
and South Africa, revealed that Online shopping in the Asia-Pacific region is accelerating at an
annual rate of 23.3 percent to hit US $168.7 billion by2011, with the region's new markets such as
China and India fuelling this growth.

A study conducted by Knowledefaber (2011) about the E-tailing landscape in India reveals that
rapidly increasing internet user base and rising middle class with disposable income has
contributed to the growth of online shopping habits. Secure online transaction environment,
measures like cash-on-delivery, focus on customer service, etc. have motivated Indian consumers
to place their trust in online shopping. Mady (2011) found Indian consumers prefer pioneering
brands as opposed to follower brands. In addition, Majhi, Majhi & Panda. (2012) studied online
shoppers in India and found the combination of psychological and cultural inputs were of greater
importance than either psychological or cultural inputs individually.
Another study by Jusoh and Ling (2012) on the internet viewing and buying habits of university
students in India reveals that books, music, games and video were the most purchased items.
Again, these items were for information or entertainment and were relatively low cost items. The
ability to shop anytime was the most cited reason for shopping online.
Online Shopping in India is in its nascent stages. However, more and more people are gaining
confidence about purchasing products online. Consequently, online shopping trends are improving
and promise a bright future. The internet has been around in India since quite some time now.
However, e-commerce has picked up only recently. Shopping online is slowly growing up in India
too. However, due to the relatively slow penetration of the internet in many

17
part of the country, online shopping is limited to only major metros in India. Let us inquire about
online shopping trends in this part of the world.
Ecommerce can be thought of as an activity wherein the customer uses the internet to order a
product or service. In most circumstances, the transaction may happen online also. Online
shopping places a heavy demand on the use of the internet. One major hurdle that online shopping
faces is the security of transactions, since it is necessary for shoppers to submit their financial
details on the web too. Currently, only a limited number of merchants are doing business online
due to the problems related to technology. The major hurdles faced are low penetration of
computers in India, lesser amount of credit or debit card holders, and many adverse taxation rules.
Also, many internet users are reluctant to reveal their financial information online, which hampers
the growth of the online business.
Conversely, online shopping has a great potential to become big in India. According to Rayport &
Jaworski in their book on e-commerce, ecommerce has the potential of reaching $100 billion in
the year 2008. Accordingly, many enterprises both big and small, are opening to the idea of having
their B2B andB2C portals on the internet in a big way. The internet is also proving to a boon in
Disguise for many small and medium enterprises, which are joining hands with major Indian online
portals to display their products and advertise their services. Analysts predict that in the next 18-
24 months, several national brands and retailers will have their online shops ready for B2B and
B2C transactions. This indicates that the total number of merchants online would go up to nearly
50,000 and the total number of users would go up to around 50 million. Analysts also predict that
the online shopping market could go up to nearly USD $ 50 million.

One way of looking at online shopping trends is examining the figures - air and rail tickets
estimated at INR 30 crore (INR 300 million) are sold online in India every day. Already, a
jewellery piece sells every five minutes, and a mobile handset every eight minutes, and a car every
nine hours on the popular commodity site eBAy.com. Another popular site Indiamart.com
materialized business over INR 5,000 crore through leads generated by it. Today many Indians
purchase goods like books, electronic gadgets, air and rail tickets, apparel, gifts, mobiles, computer
peripherals, audio cassettes and CDs. There are more products which are capable of being sold
over the internet.

18
Many people still locate information on the internet, but purchase their products offline at
traditional stores. This means that people still are lacking in confidence to purchase products
online. This trend can be countered by providing secure sites for transactions, and prompt customer
service. Online shopping is truly catching on in India, traditional brick and mortar stores are also
getting the hand of doing business online. The trends demonstrate that traditional stores will keep
on doing sufficient business while the online stores increase their virtual presence on the internet.
English entrepreneur Michael Aldrich invented online shopping in 1979. His system connected a
modified domestic TV to a real-time transaction processing computer via a domestic telephone
line. He believed that videotex, the modified domestic TV technology with a simple menu-driven
human–computer interface, was a 'new, universally applicable, participative communication
medium — the first since the invention of the telephone.' This enabled 'closed' corporate
information systems to be opened to 'outside' correspondents not just for transaction processing
but also for e-messaging and information retrieval and dissemination, later known as e-business.
His definition of the new mass communications medium as 'participative' [interactive, many-to-
many] was fundamentally different from the traditional definitions of mass communication and
mass media and a precursor to the social networking on the Internet 25 years later.
In March 1980 he went on to launch Redifon's Office Revolution, which allowed consumers,
customers, agents, distributors, suppliers and service companies to be connected on-line to the
corporate systems and allow business transactions to be completed electronically in real-time.
During the 1980s he designed, manufactured, sold, installed, maintained and supported many
online shopping systems, using videotext technology. These systems which also provided voice
response and handprint processing pre-date the Internet and the World Wide Web, the IBM PC,
and Microsoft MS-DOS, and were installed mainly in the UK by large corporations.
The first World Wide Web server and browser, created by Tim Berners-Lee in 1990, opened for
commercial use in 1991. Thereafter, subsequent technological innovations emerged in 1994:
online banking, the opening of an online pizza shop by Pizza Hut, Netscape's SSL v2 encryption
standard for secure data transfer, and Inters hop’s first online shopping system. The first secure
retail transaction over the Web was either by Net Market or Internet Shopping Network in 1994.
Immediately after, Amazon.com launched its online shopping site in 1995 and eBay was also

19
introduced in 1995. Alibaba's sites Taobao and Tmall were launched in 2003 and 2008,
respectively.
Retailers are increasingly selling goods and services prior to availability through pretail for testing,
building, and managing demand.
A survey conducted by BachelorCard worldwide, (December 2008), on 5037 respondents across
10 markets: Australia, China, Hong Kong, India, Japan, Singapore, South Korea, Thailand, UAE
and South Africa, revealed that Online shopping in the Asia-Pacific region is accelerating at an
annual rate of 23.3 percent to hit US $168.7 billion by2011, with the region's new markets such as
China and India fuelling this growth.

A study conducted by Knowledefaber (2011) about the E-tailing landscape in India reveals that
rapidly increasing internet user base and rising middle class with disposable income has
contributed to the growth of online shopping habits. Secure online transaction environment,
measures like cash-on-delivery, focus on customer service, etc. have motivated Indian consumers
to place their trust in online shopping.

Mady (2011) found Indian consumers prefer pioneering brands as opposed to follower brands. In
addition, Majhi,

Majhi & Panda. (2012) studied online shoppers in India and found the combination of
psychological and cultural inputs were of greater importance than either psychological or cultural
inputs individually.
Another study by Jusoh and Ling (2012) on the internet viewing and buying habits of university
students in India reveals that books, music, games and video were the most purchased items.
Again, these items were for information or entertainment and were relatively low cost items. The
ability to shop anytime was the most cited reason for shopping online.

Dahiya (2012) understood the influence demographic factors have on online shopping behavior in
five cities. The sample size consisted of 598 respondents with 331 males and 249 females from
different cities namely Delhi, Mumbai, Chennai, Hyderabad and Bangalore. Judgmental and
snowball sampling techniques were used. ANOVA was used to analyze the data. The results

20
showed that age does not influence online shopping in India. Also, females buy more frequently
than males and marital status and income does not influence online shopping but family size
significantly affects the online shopping behaviour of consumers.

Jayakumar & Kumar (2013) focused on the attitude of consumer towards internet shopping in
Chennai city of Tamil Nadu. The data was collected form 100 respondents through random
sampling. A questionnaire survey method was used to measure the attitude of internet shopping.
The result revealed that attitude of consumer towards internet shopping was positively and
significantly related to age, gender and monthly income. However, it was negatively related to
educational qualification, size of family and nature of family. Hence, the results proved that
consumers’ behaviour significantly differs while shopping online.
The study was carried out to find out the impact of demographic factors of consumers on various
online shopping parameters like satisfaction towards online shopping, purchase intention, online
shopping frequency, numbers of items purchased, and the total spend on online shopping. The
sample size of 70 respondents was selected using random sampling method. Analysis of data was
done using ANOVA. The results revealed that demographic factors like age, gender, marital status,
family size and income affects the consumers’ behaviour towards online shopping. However,
occupation does not have an impact on online shopping behaviour of consumers (Nagra & Gopal,
2013).

Bhatt (2014) studied consumer attitude towards online shopping based on consumer’s behaviour,
beliefs, preferences and opinions in Vadodara and Ahemedabad, Gujarat. The sampling was done
by convenient sampling method. Data analysis was done through SPSS. It was found that perceived
information, perceived usefulness, perceived enjoyment, security and privacy are the five
dominant factors which influence consumer perceptions on online purchasing. Online shopping is
usually popular among younger generation. However, it has gained popularity in all age groups in
recent times. The results also show that the consumer of both region of city found that description
of product accurate. They found online shopping to be comfortable because of features like paying
for products upon delivery (COD), customization or personalization of the websites and home
delivery etc. The result reveals that the mode of payment consumers choose is dependent on their
annual income. People with monthly income less than Rs 1, 00,000 prefer

21
to pay for products via cash on delivery and those with income above Rs 3, 00,000 prefer paying
through internet banking. Consumers from various age groups shop online on a regular basis.

Aimol et al., (2014) explored the factors affecting the consumer behaviour towards online
shopping. The study used purposive random sampling method to collect the data from 105
respondents i.e. 55 male and 50 female from the age group 18-30 years who had experience of
shopping online and the respondents were taken from trans Yamuna area of Allahabad. The data
was analysed using percentages, frequency and chi square test. The study found that the
respondents accessed the internet daily for their work related queries. However, respondents
occasionally accessed the internet for shopping online. According to the research, the main factors
influencing online shopping behaviour of consumers were saving of time, convenient shopping,
information in detail related to products and easy comparison of prices. In other words,
convenience of shopping and availability of detailed product information attracted the consumers
towards shopping online.

Babar et al., (2014) examined the factors that influence the online shopping behaviour of
consumers. The data was collected through a survey to check the consumers’ perceptions about e-
shopping. Convenient sampling method was adopted to reach the participants. Data was collected
from 132 online shoppers and analyzed for measures of usefulness, ease of use and financial risk.
Among the variables, usefulness was found to be more significant followed by ease of use and
financial risk in influencing the online shopping behaviour of consumers.

The study conducted by Singh (2014) focused on finding out the attitude of consumers that used
Flipkart for shopping online. The sample size was 40 online consumers, 25 female and 15 male
consumers of Flipkart between the age group of 20-27 years. It was found that younger generation
which included consumers in age group of 18-25 years was more interested in shopping online.
The results showed that the respondents were satisfied with shopping online from Flipkart and
were mainly interested in buying apparel online that included men and women clothing range along
with accessories and electronics. Also, the users preferred shopping online on a weekly basis,
during discounts and festive seasons. The study further revealed that the

22
success of an online retail business is dependent on the popularity, branding, image, unique and
fair policies.

Anitha (2015) conducted a study to identify the awareness and preferences of consumers in
Chennai related to online retailing and to analyze the various factors influencing the consumer
buying behaviour. A sample size of 120 consumers in the age group of 25-30, 45 years was
selected. The results found that respondents belonging to the age group of 25-35 years were more
inclined towards online shopping as compared to other age groups. The results also revealed that
the factors such as convenience, choice of product selection, better prices, ability to find more
personalised gifts, trust, home page and fun, played an important role in consumer preference
towards online shopping.
Impact of demographic variables on consumers buying behaviour and role of attitude and
motivation on consumer’s purchase intention was studied by Rajayogan & Muthumani (2015).
The respondents were taken from 210 respondents and the data was analysed using ANOVA and
chi square test. It was found that there was no significant difference between gender and their
buying behaviour intention. The results further indicated that consumer buying intention was
affected by age, income and occupation. Majority of online shoppers were working males from
age group 26-30 years and consumer with higher income groups shopped more online.

Reddy & Srinivas (2015) conducted a study on 598 respondents in the age group of 20-30 years,
30-40 years and 40-50 years. The study focused on demographic factors on online buying
behaviour of consumers. The data was collected through a questionnaire from 6 major Indian cities
namely New Delhi, Hyderabad, Mumbai, Chennai, Bangalore and Kolkata. The results showed
that females from age group of 20-30 years bought more frequently than males. This indicated that
females shopped 3-4 times in a month as compared to males who shopped only once a month on
internet. The results further showed that age, marital status, income and education did not impact
online shopping much in India. However, family size significantly affected online shopping
behaviour of consumers.

A study conducted by Aruna et al., (2015) revealed that online shopping in India is significantly
influenced by various demographic factors that include age, gender, education and income.

23
Further, the study concludes that assessment of online shopping behaviour of consumers could
contribute to get a better understanding of online shopping behaviour of consumers.

Kumar & Sobha (2016) analysed the relationship between various demographic variables and
consumers’ attitude towards online shopping. The data was gathered through a self structured
questionnaire. Two hundred and fifty respondents were approached to collect the data from
Palakkad district in Kerala using convenient sampling method. It was found that 61% of the
consumers had a positive attitude and 39% showed a negative attitude towards online shopping.
Respondents also reported that online shopping saved time; they could shop at any time of the day;
online shopping was not risky; it gave accurate description of products and online shopping was
as secure as traditional shopping. Results further indicated that there was no significant
relationship between gender, age, area of residence, educational qualification, monthly income and
attitude towards online shopping.

24
 CHAPTER-3
RESEARCH METHODOLOGY

25
3.1 Objectives Of The Study:
The objectives of the study are as follows:-
 To study the reasons behind the growth of Online Shopping.
 To measure the satisfaction level of customers while purchasing online.
 To study the various factors affecting Online Shopping. For Ex- the sale and return
policy, varieties offered, delivery period, modes of payment, etc.
 To assess the ability of E-shopping sites to attract and retain customers in Indian
Environment.
 To analyze the shift of buyers from traditional to online mode.

3.2 Relevance of the Study:

The study is very relevant because:
 It gives a clear picture of the future of online markets in India.
 It emerges trends in this particular field.
 The various factors that influence online shopping habits and its merits and demerits are also
dealt with.
 The study also tries to have a comparison of online shopping habits among different age
group as well as income group.

3.3 Research Methodology

Research Methodology refers to search of knowledge .one can also define research methodology
as a scientific and systematic search for required information on a specific topic.
The word research methodology comes from the word “advance learner ‘s dictionary meaning of
research as a careful investigation or inquiry especially through research for new facts in my
branch of knowledge for example some author have define research methodology as systematized
effort to gain new knowledge.
a) Deciding the subject of Research - Initially we had a lot of ideas for survey-based project.
Then it was mutually decided that the survey sample should be huge. So we decided to take a
subject in which we can get wide range of sample size. In order to face 21st century internet
prepares people of different age groups to adapt to social and technological changes that are
taking place at an unprecedented rate. In this context internet especially is a resource for

26
 continued education for the acquisition of new knowledge and skills, for gaining information
through media. Online shopping is an example of internet.
b) Framing appropriate Questionnaires - The initial steps of our project was to frame a less
complicated questionnaire so that our sample has a clear idea what is being required from
them and save their precious time. The questionnaire was constructed to mirror many of the
queries that have been asked in previous studies of online shopping, internet usage (i.e.
between 15-30 years, 30-45years, 45-60 years).
c) Space boundaries - Space boundary means the area that we have covered for the survey. In
this research, the scope for the survey was Delhi-NCR. This aspect focuses on how the youth
people have change their buying method and has become techno savvy.
Research methodology is a way to systematically solve the research problem. The research
methodology includes the various methods and techniques for conducting a research. “Research is
the systematic design, collection analysis and reporting of data and finding relevant solution to a
specific situation or problem”. D. Slesinger and M. Stephensn in the encyclopedia of social
sciences define Research as a “The manipulation of things, concept or symbols for the purpose of
generalizing to extend, “correct or verify knowledge, whether the knowledge aid in construction
of theory and practice of an art.

3.4 Research design:

A research design is the arrangement of conditions for collection and analysis of data in a
manner that aims to combine relevance to the research purpose with economy in procedure.
The research design used in my study is basically descriptive in nature.
Descriptive Research: The research design in my study is descriptive. Its studies are concern
with describing the characteristics of a particular group or individual. Studies concerned with
specific prediction with narration of facts and characteristics concerning individual, group or
situations are examples of descriptive research .it is also known as social research.
1) SAMPLE DESIGN:
A sample design is a definite plan for obtaining a sample from a given population. It refers to
the technique or the procedure the researcher would adopt in selecting items for the sample
i.e. the size of the sample. Stratified sample method is adopted to select the sample.

27
2) SAMPLE SIZE:
I surveyed 50 samples, who use the internet for purchase.
3) SAMPLE SPACE:
The sample space of study consisted of 50 individuals, belonging to different occupations,
reading habits, qualification and monetary status.
4) SAMPLE UNIT:
Individuals belong to the age of 20 – 45 years.
5) SURVEY AREA:
Faridabad & Delhi-NCR.
6) SOURCES OF DATA COLLECTION:
Basically there are two types of data:

Primary data:
Primary data are those data which are collected for the first time, taking a sample, representing a
population. It is not a published data, it is problem specific data collected by the researcher, and it
becomes the secondary data for everybody, other than the researcher. It can be collected in five
ways:
 Observational Research
 Focus groups Research
 Survey Research
 Behavioral Data
 Experimental Research
For this project we used primary data only. We adopted the survey method to collect the primary
data. Once the decision of collecting primary data is taken, one has to decide about mode of
collection. We took the help of a structure questionnaire to collect the information from the
readers.

Secondary data:
Secondary data are those data, which are already published. It may be useful for many other
persons than the researcher who published it. There are various sources of secondary data
collection. They are:

28
 Government Sources
 Commercial Sources
 Industry Sources
 Miscellaneous Sources
As our subject is based on psychology of the people, we do not have any secondary data.

3.5 Data Collection Methods:

A market researcher has a choice of three main research instruments in collecting data namely:
 Questionnaires
I have chosen questionnaires as the research instrument. A questionnaire consists of a set of
questions presented to respondents. Because of its flexibility, the questionnaire is by far the most
common instrument used to collect the primary data. Questionnaires need to be carefully
developed and tested before they are administrated on a large scale. In preparing questionnaire, a
researcher carefully chooses the questions, their formation and working sequence. The formation
of questions can influence the response.
Market researcher distinguishes between close-end and open-end questions. Close-end questions
specify all the possible answers and provide answers that are easier to interpret. Whereas open-
end questions allow respondents to answers in their own words and often reveal more about how
people think. They are useful in exploratory research, where the researcher is looking into how
people think rather than measuring how many people think in a certain way.

3.6 Statistical Tools Used:

The data collected through questionnaires distributed to the employees was analyzed and
interpreted using the MS-EXCEL.
 Questionnaire
 Bar Diagrams

29
 CHAPTER: 4
DATA ANALYSIS &
INTERPRETATION

30
 DATA ANALYSIS AND INTERPRETATION:

The data after collection has to be processed and analyzed with the outline laid for the purpose at
the time of developing the research plan. This is essential for a scientific study and for insuring
that we have all relevant data for making contemplated comparison and analysis.
Technically speaking processing implies editing, coding, classification and tabulation of collection
data so that they are amenable to analysis.
The term analysis refers to the computation of certain measures along with searching for patterns
of relationship that exist among data groups. To analyze the data percentage, pie charts, graphs
etc. are used.

Q-1 Are you an internet user?

internet user No. of Respondent
Yes 47
No 3

No. of Respondent
Yes No

6%

94%

INTERPRETATION: Out of 50 people, 94% of them said that they use Internet and 6% said that
they are not Internet users.

31
Q-2 Are you an online shopper?

People Engaged in Online Shopping No. of Respondent

Yes 46
No 4

No. of Respondent
Yes No

8%

92%

INTREPRETATION: Out of 50 people, 92% said that they do Online Shopping and 8% of
them said that they don’t use Online Shopping

32
Q-3 which categories of stuff have you bought or prefer to buy online? (Check all that apply)

prefer to buy online Total No. of Respondent No. of Respondent

Books / e-books 50 23
Tickets (Air, Movie, Rail, Event etc.) 50 33
Electronic Gadgets 50 42
Apparels & Accessories 50 18
Hotel Rooms / Car Rental 50 25
Food / Groceries 50 30
Others 50 15

No. of Respondent
Books / e-books Tickets (Air, Movie, Rail, Event etc.)
Electronic Gadgets Apparels & Accessories
Hotel Rooms / Car Rental Food / Groceries
Others

8% 12%

16%
18%
13%
23%

10%

INTERPRETATION: Out of 50 people, said that they are Online Shoppers 12% said Books / e-
books, 18% said Tickets, 23% said Electronic Gadgets, 10% said Apparels & Accessories, 13%
said Hotel Rooms / Car rental, 16% said Food / Groceries and 8% said others.

33
Q-4 How often do you purchase online?

frequently are people purchasing online? No. of Respondent

Once in a month 7
2 to 5 times in a month 13
Once in 2 to 3 months 12
As & when required 18

No. of Respondent
Once in a month 2 to 5 times in a month
Once in 2 to 3 months As & when required

14%
36%

26%

24%

INTERPRETATION: Out of 50 people who said that they are Online Shoppers, 14% people said
that they do Online Shopping Once in a month, 26% people said that they do Online Shopping in
2 to 5 times in a month, 25% people said they do online Shopping in 2 to 3 months and 36% people
of them said that they don’t buy online.

34
Q-5 How much do you usually spend on online shopping per month?

Average amount that people spend on E-shopping No. of Respondent

Below 500 15
500 to 1500 18
1500 to 5000 8
5000 to 20000 6
20000 or more 3

No. of Respondent
E-shopping Below 500 500 to 1500
1500 to 5000 5000 to 20000 20000 or more

6%
12%
30%

16%

36%

INTERPRETATION: Out of 50 people who are Online Shoppers, 30% people said that they
spend below 500 Rs, 36% people said that they spend between 500 to 1500 Rs, 16% said that they
spend between 1500 to 5000 Rs, 12% said that they spend 5000 to 20000 Rs and 6% said that they
spend more than 20000 Rs. in a month.

35
Q-6 Which does you thinks are the advantage(s) of online shopping?

Advantages According to Buyers No. of Respondent No. of Respondent

Having comparison shopping 50 30
Wide variety of brand choices 50 25
Getting latest product information 50 22
Time-saving 50 35
Money-saving 50 33
24-Hour accessibility 50 45
Convenience 50 28
Others 50 15

No. of Respondent
Having comparison shopping Wide variety of brand choices
Getting latest product information Time-saving
Money-saving 24-Hour accessibility
Convenience Others

13% 12%

13% 12%
13% 12%

13% 12%

INTERPRETATION: Out of 50 people who said they are Online Shopper, 12% said having
comparison shopping, 12% said Wide variety of brand choices, 12% said Getting latest product
information, 12% said Time-saving, 13% said Money-saving, 13% said 24-Hour accessibility,
13%% said Convenience and 13% said others are the advantages for them.

36
Q-7 Have you reduced the frequency of traditional shopping due to online shopping?

Reduction In The Frequency Of Traditional No. of Respondent

Shopping Due To Online Shopping
Yes 38
No 12

No. of Respondent
Yes No

24%

76%

INTERPRETATION: Out of 50 people who said they are Online Shoppers, 76% people said yes
and 24% people said No that they reduced their frequency of traditional shopping due to Online
Shopping.

37
Q-8 Will you read the return policy of the shops before conducting transactions?

Will Customers Read Return Policy Of The No. of Respondent

Shops Or Not...???
Yes, whole part of it 20
Yes, just scan through it 24
No 6

No. of Respondent
Yes, whole part of it Yes, just scan through it No

12%

40%

48%

INTERPRETATION: Out of 50 people who are Online Shoppers, 40% people said Yes that they
read whole part of the return policy, 48% people said that they just scan through it and 12% people
said No that they don’t read return policy before buying online.

38
Q-9 If you never had online shopping, please specify the reason-

Reasons Behind Not Doing Online Shopping No. of Respondent

I don’t know about online shopping 3
Risk of Credit Card Transactions 25
Internet illiteracy 11
Risk of Identity Theft 9
Others 2

No. of Respondent
I don’t know about online shopping Risk of Credit Card Transactions
Internet illiteracy Risk of Identity Theft
Others

4% 6%

18%

22% 50%

INTERPRETATION: Out of 50 people who said they are Online Shoppers, 6% people said they
don’t know about online shopping, 50% people said Risk of Credit Card Transactions, 22% people
said Internet Illiteracy, 18% people said Risk of Identity Theft and 4% people said others as the
reasons behind not doing online shopping.

39
Q-10 What kind of problem do you face while conducting online purchase?

Problems Faced While Conducting Online Purchase No. of Respondent

Delay in Delivery 14
Cheap Quality of Products 19
Product Damage 7
Non- Delivery 6
Others 4

No. of Respondent
Delay in Delivery Cheap Quality of Products
Product Damage Non- Delivery
Others

8%
12% 28%

14%

38%

INTERPRETATION: Out of 50 people who are Online Shoppers, 28% people said Delay in
Delivery, 38% people said Cheap Quality of Products, 14% people said Product Damage, 12%
people said Non-Delivery and 8% people said others as the problems faced by them while
conducting Online Purchase.

40
Q-11 Overall, were you satisfied with your experience of online shopping?

Satisfaction Level Of Online Shoppers No. of Respondent

Highly Satisfied 15
Satisfied 16
Neither Satisfied nor Dissatisfied 9
Dissatisfied 6
Highly Dissatisfied 4

No. of Respondent
Highly Satisfied Satisfied
Neither Satisfied nor Dissatisfied Dissatisfied
Highly Dissatisfied

8%
12% 30%

18%

32%

INTERPRETATION: Out of 50 online shoppers, 30% people said Highly Satisfied, 32% people
said Satisfied, 18% people said Neither Satisfied nor Dissatisfied, 12% people said Dissatisfied
and 8% people said Highly Dissatisfied with the experience of Online Shopping.

41
Q-12 How would you rate your overall experience with your online shopping?

Ratings Given By Customers Of Their Overall No. of Respondent

Experience Of Online Shopping
Excellent 17
Very Good 15
Neutral 10
Poor 6
Very Poor 4

No. of Respondent
Excellent Very Good Neutral Poor Very Poor

8%
11%
33%

19%

29%

INTERPRETATION: Out of 50 people who are Online Shoppers, 33% people said Excellent,
29% people said Very Good, 19% people said neutral, 11% people said Poor and 8% people said
Very Poor in the ratings of their overall experience of Online Shopping.

42
Q-13 Would you recommend online shopping to others you know?

Will Buyers Recommend Online shopping To Others No. of Respondent

Or Not...???
Yes 25
May be 15
No 10

No. of Respondent
Yes May be No

20%

50%

30%

INTERPRETATION: Out of 50 people who are Online Shoppers, 50% people said Yes, 30%
people said May be and 20% people said No as they would recommend online shopping to others
they know or not.

43
Q-14 If you need the same or another product in the future would you use online shopping or
retail markets?
.
Would customers Use Online Shopping Or Retail No. of Respondent
Markets For Their Future Orders…???
Definitely 22
Possibly 13
Unlikely 10
No 5

No. of Respondent
Definitely Possibly Unlikely No

10%

20% 44%

26%

INTERPRETATION: Out of 48 Online Shoppers, 44% people said definitely, 26% people said
possibly, 20% people said Unlikely and 10% people said No as they use online Shopping or Retail
market for their future orders.

44
Q-15 Why would you choose any website over others for your purchase? (Check all that apply)

a) Best Product Selection

b) Offered Desired Product
c) Best Pricing
d) Preferred Shipping Options
e) Preferred Payment Options
f) Reputation
g) Good Customer Service
h) Recommendation

Reasons For Choosing Any Website Over

Others
45 42
39 37
40
35
30 24 26
25 19
20 16
15 12
10
5
0

INTERPRETATION: Out of 48 Online Shoppers, 16 people said Best Product Selection, 24

people said Offered Desired Product, 42 people said Best Pricing, 26 people said Preferred
Shipping Options, 39 people said Preferred Payment Options, 37 people said Reputation, 19 people
said Good Customer Service and 12 people said Recommendation as the reasons for choosing any
website over others.

45
Q-16 What would be your best payment method if you buy online?

a) PayPal
b) Cheque
c) Debit / Credit Card
d) Cash on Delivery
e) Postal Drafts

Preferred Payment Mode Of Online Purchase

25

20
20
16
15

10
6
5 4
2

0
PayPal Cheque Debit / Credit Card cash on Delivery Postal Drafts

INTERPRETATION: Out of 48 Online Shoppers, 2 people said PayPal, 4 people said Cheque,
16 people said Debit/Credit Card, 20 people said cash on Delivery and 6 people said Postal Drafts
as the best payment method if they buy online.

46
Q-17 What do you believe to be of most important, to a Website user?

a) Security
b) Trust
c) Privacy

Most Important Thing For A Website User

Security Trust Privacy

38%

50%

13%

INTERPRETATION: Out of 48 Online Shoppers, 50% people said Security, 12.5% people
said Trust and 37.5% people said Privacy as the most important thing for a website user.

47
Q-18 What do you believe to be the best marketing approach to advertise an E-commerce website?

a) Bill Boards
b) Magazines
c) Newspapers
d) Search Engines
e) Others

Best Marketing Approach To Advertise An E-

commerce Website
18
16
16
14
14
12
10 9
8 7
6
4
2
2
0
Bill Boards Magazines Newspapers Search Engines Others

INTERPRETATION: Out of 48 Online Shoppers, 7 people said Bill Boards, 14 people said
Magazines, 16 people said Newspapers, 9 people said Search Engines and 2 of them said Others
as the best marketing approach to advertise an E-commerce website.

48
Q-19 Please rank your favorite online sites. (Check all that apply)

a) Flipkart.com
b) eBay.in
c) tradus
d) Futurebazaar.com
e) Buytheprize.com
f) Myntra.com
g) Snapdeal.com
h) Junglee.com
i) Homeshop18.com
j) Jabong.com

Most Preferred E-shopping Sites

50 45
45 42
40 38 37
34
35 32
30 27
24 25
25 22
19
20
14
15 12 11
10
5
0

INTERPRETATION: Out of 48 Online Shoppers, 38 people said Flipkart.com, 45 people said

eBay.in, 12 people said tradus, 22 people said futurebazaar.com, 11 people said buytheprize.com,
37 people said myntra.com, 27 people said snapdeal.com, and 34 people said junglee.com

49
Q-20 What features that you think necessary for an online shopping site?

a) Design
b) Social Networking Integration
c) Policy & Secure Checkout
d) Credibility
e) Customer Friendly

Necessary Features For An Online Shopping

Site
16
14
14
12
12
10 9
8 7
6
6
4
2
0
Design Social Networking Policy & Secure Credibility Customer Friendly
Integration Checkout

INTERPRETATION: Out of 48 Online Shoppers, 7 people said Design, 9 people said Social
Networking Integration, 12 people said Policy & Secure Checkout, 6 people said Credibility and
14 people said Customer Friendly as the necessary features for any online shopping site.

50
 CHAPTER: 5
FINDINGS AND LIMITATION

51
 FINDINGS

 94% people said that they use Internet.

 96% people said that they do Online Shopping.
 75% people said that they reduced their frequency of traditional shopping due to Online
Shopping.
 For recommending online shopping to others, 50% people said Yes, 29.17% people said
May be and 20.83% people said No.

LIMITATIONS OF THE STUDY:

In this project we have faced various difficulties, starting from setting the objective, collecting the
survey sample, problem recognition, consulting target market and conducting the survey to
complete the project.
 One of the major problems faced by us was time. Some people were not readily available
for the survey.
 Some responders were not able to share about their information regarding their credit card
and personal information as it can be leaked.
 Some people lack interest in giving feedback to our questionnaire.
 Middle- age group and old age people prefer traditional method of buying.
There is a fear among consumers that while buying online there can be risk of getting their
ordered products or might they can lose their money.

52
 CHAPTER: 6
SUGGESTION AND CONCLUSION

53
 RECOMMENDATIONS & SUGGESTIONS:

 They should provide complete information about their products and should make site
simple so that common people can understand how to make purchase
 As in online one purchase goods through credit cards but one can use the approach of cash
payment during delivery
 One can use more animation through which they can attract more customers.
 One can use the approach of credit points i.e. if one purchase for the first time they get credit
points due to which if they purchase for the second time they can get discount of that much
points. Due to which one increase the repurchase.

CONCLUSION:

After having detail study on Online Shopping one can see a great change in the behavior of people
in many manners like their attitude, buying pattern. In earlier times people use to do manual
shopping but now as time changed people are becoming busy and due to which technology has
brought a new revolution i.e. Online Shopping.
As we started doing survey it came to in notice that young age group people i.e. 15-30 uses or
prefer online shopping because it is time and energy saving. But middle-age group does not prefer
much because they have wrong perception that by seeing the product one can get the goods of
proper quality. And even some people does not prefer using plastic money i.e. credit cards.
But online shopping has a great future but to be successful it is necessary to spread awareness
about its benefit.

54
 Bibliography

BOOKS:
Beri, G.C. (2005, 11th Reprint). Marketing research. New Delhi: Tata McGraw Hill Publishing
Company Limited.
Kumar, Ranjit. (2nd Edition). Research Methodology. New Delhi: Pearson Education.
Kotler Philip and Keller; Marketing Management; PHI, New Delhi
Kothari, C.R., Research Methodology, New Age International Publishers, 2004, New Delhi

WEBSITES:
www.amazon.in
www.flipcart.in
www.shopclues.in

55
 QUESTIONNAIRE

Name-
Address-
Contact No-

Q-1 Are you an internet user?

a) Yes
b) No

Q-2 Are you an online shopper?

a) Yes
b) No

Q-3 Which categories of stuff have you bought or prefer to buy online? (Check all that apply)
a) Books / e-books
b) Tickets (Air, Movie, Rail, Event etc.)
c) Electronic Gadgets
d) Apparels & Accessories
e) Hotel Rooms / Car Rental
f) Food / Groceries

Q-4 How often do you purchase online?

a) Once in a month
b) 2 to 5 times in a month
c) Once in 2 to 3 months
d) I don’t buy online

Q-5 How much do you usually spend on online shopping per month?
a) Below 500
b) 500 to 1500

56
c) 1500 to 5000
d) 5000 to 20000
e) 20000 or more

Q-6 Which does you thinks are the advantage(s) of online shopping?
a) Having comparison shopping
b) Wide variety of brand choices
c) Getting latest product information
d) Time-saving
e) Money-saving
f) 24-Hour accessibility
g) Convenience
h) Others
Q-7 Have you reduced the frequency of traditional shopping due to online shopping?
a) Yes
b) No

Q-8 Will you read the return policy of the shops before conducting transactions?
a) Yes, whole part of it
b) Yes, just scan through it
c) No

Q-9 If you never had online shopping, please specify the reason-
a) I don’t know about online shopping
b) Risk of Credit Card Transactions
c) Internet illiteracy
d) Risk of Identity Theft
e) Others

Q-10 What kind of problem do you face while conducting online purchase?
a) Delay in Delivery

57
b) Cheap Quality of Products
c) Product Damage
d) Non- Delivery
e) Others

Q-11 Overall, were you satisfied with your experience of online shopping?
a) Highly Satisfied
b) Satisfied
c) Neither Satisfied nor Dissatisfied
d) Dissatisfied
e) Highly Dissatisfied

Q-12 How would you rate your overall experience with your online shopping?
a) Excellent
b) Very Good
c) Neutral
d) Poor
e) Very Poor

Q-13 Would you recommend online shopping to others you know?

a) Yes
b) May be
c) No

Q-14 If you need the same or another product in the future would you use online shopping or
retail markets?
a) Definitely
b) Possibly
c) Unlikely
d) No

58
Q-15 Why would you choose any website over others for your purchase? (Check all that apply)
a) Best Product Selection
b) Offered Desired Product
c) Best Pricing
d) Preferred Shipping Option
e) Preferred Payment Options
f) Reputation
g) Good Customer Service
h) Recommendation

Q-16 What would be your best payment method if you buy online?
a) PayPal
b) Cheque
c) Debit / Credit Card
d) Cash on Delivery
e) Postal Drafts

Q-17 What do you believe to be of most important, to a Website user?

a) Security
b) Trust
c) Privacy
Q-18 What do you believe to be the best marketing approach to advertise an E-commerce
website?
a) Bill Boards
b) Magazines
c) Newspapers
d) Search Engines
e) Others

Q-19 Please rank your favorite online sites. (Check all that apply)
a) Flipkart.com

59
b) EBay.in
c) tradus
d) Futurebazaar.com
e) Buytheprize.com
f) Myntra.com
g) Snapdeal.com
h) Jungle.com
i) Homeshop18.com
j) Jabong.com

Q-20 What features that you think necessary for an online shopping site?
a) Design
b) Social networking integration
c) Policy & Secure Checkout
d) Credibility
e) Customer Friendly

60