International Journal of Commerce and Management

Trends and practices of consumers buying online and offline: An analysis of

factors influencing consumer’s buying
. Sunil,
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. Sunil, (2015) "Trends and practices of consumers buying online and offline: An analysis of factors
influencing consumer’s buying", International Journal of Commerce and Management, Vol. 25 Issue:
4, pp.442-455, https://doi.org/10.1108/IJCoMA-02-2013-0012
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IJCOMA
25,4
Trends and practices of
consumers buying online
and offline
442 An analysis of factors influencing
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Received 7 February 2013 consumer’s buying

Revised 5 May 2013
Accepted 20 May 2013 Dr Sunil
Department of Commerce, College of Vocational Studies,
University of Delhi, New Delhi, India

Abstract
Purpose – The purpose of this paper is to assess the trends and practices of consumers buying their
products online and offline. Further, it also analyses the factors which influence consumers to go online
and offline for their purchases.
Design/methodology/approach – To analyse the factors influencing consumer’s buying behaviour,
18 variables have been identified and questionnaire using a seven-point scale (where 1 indicating very
unimportant and 7 very important) was designed. It was circulated among 875 consumers residing in
Delhi and National Capital Region between February 2012 and April 2012, who buy offline or online or
from both sources. The responses so collected have been tabulated and analysed with the help of a factor
analysis method. The principal component method has been used to determine the minimum number of
factors that would account for the maximum variance in the data collected. The data have been analysed
by using SPSS version 19.
Findings – The study identifies Factor 1 (F1) as a Pre-sales Offer which includes the following
variables that influence consumers mostly: less price, special sales, rebates and coupons, easy to get
product information, physical examination of product, immediate possession of a product, uncertainty
about getting the right item, accept all forms of payment and helpfulness of sales people. Thereafter, the
study identifies Factor 2 (F2) as Better Assortment and After Sales Policy which includes the following
variables: brand selection and variety, post-purchase service, exchange refund policy, quality of
merchandise, availability of products in stock and ability to compare products. Finally, it identifies
Factor 3 (F3) as Product and Its Importance which includes the following variables: speed of selection
and purchase, social and family experience, shipping and handling charges and easy browsing of the
products which influence consumer behaviour.
Research limitations/implications – The findings of this study are purely based on the
information provided by the respondents. The sample forms little part of the total population.
Originality/value – Though online retailing in India is in nascent stage, yet it has shown its presence.
To sustain and grow in a competition, the retailers need to understand the purchasing behaviour and
factors influencing purchase behaviour of consumers. The behaviour of consumers is unpredictable and
dynamic. The study suggests offline and online retailers to adopt policies or strategies after considering
three factors extracted from the study to attract and retain consumers to their stores. Further, it also
International Journal of Commerce provides ideas to consumers to choose their retailers on comparative advantages basis.
and Management
Vol. 25 No. 4, 2015 Keywords Online store, Social networking, Assortment, Moms & Pops store, Offline store,
pp. 442-455
© Emerald Group Publishing Limited Virtual malls
1056-9219
DOI 10.1108/IJCoMA-02-2013-0012 Paper type Research paper
 Introduction Consumers
With the upsurge in the retail sector, consumers have wider choices for their purchases. buying online
The competition among the online and offline retailers has become stiffer. The
consumers have become more knowledgeable than before. The information available to
and offline
them about retailers and their products is in abundance. Company websites; virtual
malls; social networking sites, i.e. Facebook, Tweeter, Orkut, Google Chrome, etc.,
responses; reviews and feedback from peer groups and facility of comparison provided 443
by web stores have further strengthened the knowledge of the consumers about the
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product (Nielsen News). Retailers, whether operating kirana stores, specialised shops,
organised stores and online stores, have been providing various services to consumers
on their doorsteps that are free of cost. Consumers have also become more demanding.
They expect retailers to provide quality products and services at minimum price. The
retailers have been forced to be competitive and provide everything that consumers
demand. To be able to compete, online retailers have also been opening offline stores and
offline retailers are going online (Sean Sands, Frank Reed, Lin Jing and Su Zhou). They
want to avail themselves of the advantages of both retailing formats.
Changes in the patterns of retailing have also brought immense transformation to
consumer’s purchasing behaviour. Consumers want to be assured about the product
before they finally purchase it. They collect all possible information available about the
product from various sources. They go online to compare products and prices. They also
get feedback from consumers and rely on reviews and comments of their peer groups.
The dependence on the local shops is a thing of the past. Consumers have access to
far-off retailers in the domestic markets, as well as international markets. These retailers
are providing a better assortment of products at competitive prices. The services that
are being provided by local retailers are also being provided by the online stores. Online
retailers are providing various types of services to compete with offline retailers. They
are providing cash on delivery, customised services, product comparison options, free
shipping and handling services, better product return policies, discount coupons, etc.
(Nielsen News). In such a situation, it has become inevitable to assess the behaviour and
practices of consumers, as they choose retailers for their purchases.

Objectives of the study

• To assess the trends and practices of consumers buying their products online and
offline.
• To identify the factors which influence consumers to go online and offline for their
purchases.
• To analyse the comparative strengths and weaknesses of online and offline stores.

Review of literature
Google India’s Study on Consumer Behavior (2008) states that large numbers of people
research electronic goods, technology products, consumer electronics, mobiles, laptops
and digital cameras on the Internet but mostly buy offline. Neilsen (2010) found that
consumers are relying on the products that are online reviewed by consumers and peer
groups. Bughin et al. (2011), in a study conducted in France, India and the USA, reveal
that consumers visit price comparison websites before buying online and offline.
Further, they state that prices shown online are an average 10 per cent lower than offline,
as a result of the price transparency afforded by research tools.
 IJCOMA Rand Media Group (2012) states that as per the report by the Nielsen and Pew
25,4 Research Centre, social networking sites are becoming very useful for learning about a
specific brand or retailers and active users of these sites follow a brand. Platforms
coming out on top for brand research and vetting are consumer review sites like Yelp
and Amazon reviews. Consumer generated reviews and products rating are the most
preferred sources of products information among social media users. Ufer (2012) states
444 that consumers want to have better relationship with brands. They expect brands to be
healthier and ensure more fulfilling lives. Vangie (2011), in his study, found that
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research engines are primarily used for searches, followed by gathering information
from retailers and manufacturers’ websites. The product reviews are the number one
factor that impacts the buying decision.
Wigder & Bahl (2012), in their study, found that people from urban and rural areas
have two distinct goals. Many users shop online because they have more money but
cannot access the product they want. While many rural users go online for things they
need but cannot access cheaply where they live. Mehta and Sivadas (1995) stated that
gender, marital status, residential location, age, education and household income are
important factors for online purchases. Revolution in information technology has
attracted most of the net surfers towards online shopping. The study, conducted by the
Internet and Mobile Association of India in collaboration with Cross Tab Marketing
Services (2006), clearly established the presence of people to people reference in online
shopping spaces, with 31 per cent respondents finding sites through word of mouth. As
much as 55 per cent of visitors to e-commerce sites have adopted the Internet as a
shopping medium, out of which 25 per cent of regular shoppers are in the 18-25 age
group, while 46 per cent in the 26-35 age group and 18 per cent in the 35-45 age group.
AC Nielsen (2009) found that India beat global counterparts in numbers of
transactions per month. In India, people buy books online mostly, followed by airlines
reservation; electronic items; apparel; music and electronic entertainment, such as
movies, DVDs and games. The most favoured mode of payment for online purchases in
India is the use of credit cards followed by cash-on-delivery. Vijay and Balaji (2009)
revealed that consumers are increasingly shifting from the crowded stores to the online
stores at the global level. However, it revealed that trends in India are quite different. A
survey among 150 Internet users, including both users and non-users of online
shopping, was carried out to understand why some buy online and others do not. The
result suggested that convenience and saving of time drive Indian consumers to shop
online, while security and privacy concerns move them away from online.
Ranganatham and Ganapathy (2002) found that security and privacy issues drive
away consumers from online shopping. They are reluctant to pass their personal
information. Rishi (2010) highlighted that reliability, accessibility and convenience are
the major motivating factors which motivate consumers to buy online. He also stated
that reluctance and preference are the two decisional factors which influence the
decision of the consumer to buy online or offline. Mishra (2009) stated that four types of
risk, namely, financial, product performance, time/convenience and psychological
(privacy) risk, have a great impact on online patronage behaviour. The security and
privacy provided by online channels have frequently been questioned by consumers.
The above review of the literature shows that there are numerous factors that
influence the purchasing behaviour of consumers. With the changes in the
socio-economic, political, technological and cultural environment, the behaviour of
 people also tends to change, as these have direct and indirect influence on people and Consumers
their livelihood. buying online
Methodology and offline
To fulfil the objectives, 875 consumers were selected at random by using a simple
random technique from the Delhi/National Capital Region (NCR) region between
February 2012 and April 2012. To measure the behaviour and preferences of consumers
when purchasing offline and online, a questionnaire using a seven-point scale for 18
445
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variables was designed. The responses were measured on the seven-point scale, where
1 indicates very unimportant and 7 indicates very important. Maximum focus was given
on products offered for sale, pre-sales schemes, payment options, post-sales services and
charges for services by offline and online retailers. The sampling size included both
male and female consumers from different age groups, occupations, education levels
and income groups. However, the study has some limitations that need to be addressed.
The sample for this study was taken only from the Delhi/NCR region. Therefore, there is
a risk of generalising the result obtained. The analysis has been done up to identification
of factors only, which could be further analysed by applying multivariate procedure to
test the impacts of these three factors as independent variables as consumers intention
to shop via a particular medium. Further, it can also be tested for effects of covariates
like the different categories of goods being purchased for judging their impact on choice
of shopping medium.

Tools and techniques used

Factor analysis is a general name denoting a class of procedures used for data reduction
and summarising. This method has been applied for the purpose of analysing the data
in the study. Kaiser–Meyer–Olkin (KMO) measure of sampling adequacy and Bartlett’s
test of sphericity were applied to examine the appropriateness of factor analysis and to
examine the hypothesis that the variables are uncorrelated in the population,
respectively. The principal component method has been used to determine the minimum
number of factors that would account for the maximum variance in the data collected.
The data were analysed by using SPSS version 19. The results of the factor analysis
using the principal component method were found, and only three factors with
eigenvalue(s) greater than 1 were retained and others were ignored. By comparing the
varimax rotated factor matrix with un-rotated factor matrix (entitled component
matrix), rotation provided simplicity and enhanced interpretability. From the rotated
factor matrix, three factors were extracted and listed in Table IX. To supplement the
analysis, Scree Plot, a graph of the eigenvalues against all the factors, was constructed
for determining the number of factors to be retained. The point of interest is where the
curve starts to flatten (Figure 1).

Data analysis
There are several thoughts that come to consumers’ minds before purchasing a product.
There are plenty of options available to them. Therefore, consumers analyse various
options on the basis of availability of products, facilities, payment options, services, etc.,
extended by online and offline stores. Table I shows the socio-economic profile of
respondents.
The responses were collected from various age groups, occupations, gender
categories, income groups and levels of education so as to have better representation.
 IJCOMA Variable name No. of respondents (%)
25,4
Age groups (in years)
15-25 428 48.9
25-35 243 27.8
35-45 101 11.5
446 45-55 85 9.7
55-65 11 1.3
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Above 65 7 0.8
Total 875 100
Occupations
Business 204 23.3
Government employee 80 9.1
Private employee 295 33.7
Student 187 21.4
Self-employed 72 8.2
Others 37 4.3
Total 875 100.0
Sex categories
Male 550 62.86
Female 325 37.14
Total 875 100.0
Level of education
Primary 10 1.14
Secondary 200 22.86
Graduate 415 47.43
Postgraduate 250 28.57
Total 875 100.0
Income groups (in rupees)
Less than 50,000 11 1.26
Table I. 50,000-1,00,000 125 14.29
Socio-economic 1,00,000-5,00,000 220 25.14
profile of the 5,00,000 and above 519 59.31
respondents Total 875 100.0

There are various factors that may influence consumer purchasing from offline
stores or online. These factors may be price, sales promotions, coupons, rebates,
availability of requisite information about the products, physical examination of
products, quick possession, helpfulness of salespersons, credit facilities and
payment mode, brands and variety, quality of products and services, after sales
services, transaction costs, family and social experience, availability of stock,
shipping and handling charges, ease of selection and browsing, etc. Table II reveals
that almost all the factors somehow influence the consumers when choosing online
or offline for their purchases. It is not clear which factors influence them more. To
make it simpler to understand, factor analysis could be more effective. Factor
analysis helps in reducing the number of factors in such a way that helps in better
interpretation of data.
 Attributes Description N Mean SD
Consumers
buying online
X1 Low price 875 5.37 1.82 and offline
X2 Special sales, rebates and coupons 875 5.2 1.49
X3 Easy to find product information 875 5.5 1.40
X4 Physical examination of products 875 5.45 1.48
X5 Immediate possession of a product 875 5.17 1.46
X6 Uncertainty about getting the right item 875 5.35 1.42
447
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X7 Accept all forms of payment 875 5.35 1.48

X8 Helpfulness of salespeople 875 5.11 1.44
X9 Brand selection and variety 875 5.48 1.39 Table II.
X10 Post-purchase service 875 5.37 1.37 Empirical variables
X11 Exchange refund policy for returns 875 5.45 1.42 influencing
X12 Quality of the merchandise 875 5.68 1.42 consumers choosing
X13 Product found in stock 875 5.19 1.45 web stores or
X14 Ability to compare product 875 5.2 1.39 traditional stores for
X15 Speed of selection and purchase 875 5.03 1.48 their purchases and
X16 Interesting social or family experience 875 4.83 1.54 consumers’
X17 Charges for shipping and handling 875 4.92 1.55 preferences to these
X18 Easy browsing for the products 875 5.47 1.35 variables

Table III’s correlation matrix shows that there are relatively high correlations among X1
(low price), X2 (special sales, rebates and coupons) and X3 (easy to find product
information); X4 (physical examination of products) and X3 (easy to find product
information); X9 (brand selection and variety), X11 (exchange refund policy for returns)
and X12 (quality of the merchandise); and X14 (ability to compare product), X13
(product found in stock) and X15 (speed of selection and purchase). These variables may
also be expected to correlate with the same set of factors. Bartlett’s test of sphericity has
been used to test the null hypothesis that the population correlation matrix is an identity
matrix. It is clear from Table IV that the test result rejects the null hypothesis. The
chi-square value is 6,217.736 with 153 degrees of freedom, which is significant at the 0.01
level. Furthermore, the KMO measure of sampling adequacy shows a greater value than
0.5. So, variables are statistically significant and meet the fundamental requirement for
factor analysis. Furthermore, it also satisfies the ratio between variables and sample
size.
In Table V, the communalities show how much of the variance in the variable has
been accounted for by the extracted factors. By analysing the communalities, it is found
that low price (X1), special sales, rebates, coupons (X2), ease of getting product
information (X3), brand selection and variety (X9) and social or family experience (X16)
have a high factor loading of above 0.6. The remaining 13 factors have loadings of less
than 0.6. Table VI explains the extraction statistics and the number of factors to be
extracted in the succeeding level. By using the cut-off initial eigenvalue of 1.00, three
factors have been identified.
The factor loading pattern and percentage of variance for each of the factors have
been derived by using orthogonal variance rotation. The first factor is accounted for
39.342 per cent of the variance explained, as compared to 22.594 per cent in the rotated
matrix. It can also be seen from the scree plot in Figure 1 that the curve is being flattened
between factors 3 and 4. Moreover, factor 4 has an eigenvalue of less than 1 (Table VI).
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25,4

448

Table III.
IJCOMA

Correlation matrix
Attributes X1 X2 X3 X4 X5 X6 X7 X8 X9 X10 X11 X12 X13 X14 X15 X16 X17 X18

X1 1.00 0.635 0.505 0.457 0.244 0.299 0.257 0.239 0.315 0.288 0.316 0.346 0.285 0.244 0.193 0.180 0.222 0.282
X2 0.635 1.00 0.558 0.487 0.300 0.343 0.337 0.253 0.345 0.290 0.358 0.310 0.307 0.314 0.279 0.255 0.284 0.293
X3 0.505 0.558 1.00 0.541 0.440 0.371 0.339 0.328 0.437 0.363 0.375 0.383 0.402 0.357 0.379 0.313 0.285 0.348
X4 0.457 0.487 0.541 1.00 0.429 0.418 0.337 0.400 0.416 0.344 0.341 0.437 0.322 0.351 0.336 0.292 0.205 0.348
X5 0.244 0.300 0.440 0.429 1.00 0.442 0.425 0.436 0.407 0.348 0.317 0.296 0.408 0.325 0.329 0.278 0.257 0.348
X6 0.299 0.343 0.371 0.418 0.442 1.00 0.450 0.406 0.421 0.361 0.449 0.396 0.321 0.303 0.263 0.264 0.278 0.313
X7 0.257 0.337 0.339 0.337 0.425 0.450 1.00 0.425 0.459 0.398 0.406 0.331 0.325 0.239 0.316 0.249 0.232 0.297
X8 0.239 0.253 0.328 0.400 0.436 0.406 0.425 1.00 0.448 0.451 0.362 0.341 0.339 0.303 0.294 0.301 0.214 0.327
X9 0.315 0.345 0.437 0.416 0.407 0.421 0.459 0.448 1.00 0.492 0.514 0.524 0.423 0.378 0.337 0.239 0.211 0.303
X10 0.288 0.290 0.363 0.344 0.348 0.361 0.398 0.451 0.492 1.00 0.457 0.454 0.380 0.350 0.345 0.253 0.268 0.351
X11 0.316 0.358 0.375 0.341 0.317 0.449 0.406 0.362 0.514 0.457 1.00 0.487 0.487 0.360 0.380 0.289 0.304 0.336
X12 0.346 0.310 0.383 0.437 0.296 0.396 0.331 0.341 0.524 0.454 0.487 1.00 0.423 0.475 0.376 0.248 0.236 0.380
X13 0.285 0.307 0.402 0.322 0.408 0.321 0.325 0.339 0.423 0.380 0.487 0.423 1.00 0.522 0.494 0.400 0.274 0.364
X14 0.244 0.314 0.357 0.351 0.325 0.303 0.239 0.303 0.378 0.350 0.360 0.475 0.522 1.00 0.509 0.444 0.269 0.389
X15 0.193 0.279 0.379 0.336 0.329 0.263 0.316 0.294 0.337 0.345 0.380 0.376 0.494 0.509 1.00 0.478 0.371 0.399
X16 0.180 0.255 0.313 0.292 0.278 0.264 0.249 0.301 0.239 0.253 0.289 0.248 0.400 0.444 0.478 1.00 0.445 0.378
X17 0.222 0.284 0.285 0.205 0.257 0.278 0.232 0.214 0.211 0.268 0.304 0.236 0.274 0.269 0.371 0.445 1.00 0.418
X18 0.282 0.293 0.348 0.348 0.348 0.313 0.297 0.327 0.303 0.351 0.336 0.380 0.364 0.389 0.399 0.378 0.418 1.00
 Hence, three factors have been retained. Table VII further simplifies the data by Consumers
grouping these under three factors. The factor solution was derived from the component buying online
analysis with orthogonal variance rotation of the 18 empirical variables listed for the
purpose of this study. Rotation helps in reducing the number of factors on which
and offline
the variable under investigation has high loading. It also helps in interpretation of the
analysis more precisely.
Looking at Table VII, it can be noticed that factor 1 (F1) has 8 significant loadings, 449
while 6 and 4 loading are in factor 2 (F2) and factor 3 (F3), respectively. These factors can
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be used for further analysis (Table VIII). The three factors extracted are labelled as
Pre-Sales Offer (F1), Better Assortment and After Sales Policy (F2) and Product and Its
Importance (F3) (Table IX). These three factors not only show the influence on the
consumers when purchasing online or offline but also reveal the sequence of their
importance for them.

Key findings of the study

The first factor (F1) Pre-Sales Offer extracted from the study indicates that consumers
are attracted to the stores by pre-sale offers made by online and offline retailers. Low
prices, special sales, rebates and coupons and ease of getting product information attract

Kaiser-Meyer-Olkin Measure of Sampling Adequacy 0.929

Bartlett’s test of sphericity Approximate chi-square 6217.736 Table IV.

df 153 KMO and Bartlett’s
Significance 0.000 test

Attributes Description Initial Extraction

X1 Low price 1.000 0.729

X2 Special sales rebates and coupons 1.000 0.742
X3 Easy to get product information 1.000 0.626
X4 Physical examination of products 1.000 0.557
X5 Immediate possession of a product 1.000 0.424
X6 Uncertainty about getting the right item 1.000 0.475
X7 Accept all form of payment 1.000 0.490
X8 Helpfulness of salespeople 1.000 0.500
X9 Brand selection and variety 1.000 0.604
X10 Post-purchase service 1.000 0.500
X11 Exchange refund policy 1.000 0.496
X12 Quality of the merchandise 1.000 0.468
X13 Availability of product in stock 1.000 0.514
X14 Ability to compare products 1.000 0.529
X15 Speed of selection and purchase 1.000 0.598
X16 Social or family experience 1.000 0.606
X17 Shipping and handling charges 1.000 0.459
X18 Easy browsing for the products 1.000 0.449
Table V.
Note: Extraction method: principal component analysis Communalities
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25,4

450

explained
Table VI.
IJCOMA

Total variance
Initial eigenvalues Extraction sums of squared loadings Rotation sums of squared loadings
Component Total % of variance Cumulative % Total % of variance Cumulative % Total % of variance Cumulative %

1 7.082 39.342 39.342 7.082 39.342 39.342 4.067 22.594 22.594

2 1.432 7.954 47.296 1.432 7.954 47.296 3.119 17.326 39.920
3 1.253 6.961 54.257 1.253 6.961 54.257 2.581 14.337 54.257
4 0.977 5.425 59.682
5 0.830 4.610 64.292
6 0.709 3.941 68.233
7 0.652 3.625 71.858
8 0.612 3.402 75.260
9 0.568 3.154 78.414
10 0.553 3.070 81.483
11 0.500 2.775 84.258
12 0.485 2.697 86.955
13 0.450 2.501 89.456
14 0.426 2.368 91.825
15 0.400 2.222 94.047
16 0.380 2.111 96.159
17 0.373 2.071 98.230
18 0.319 1.770 100.000

Note: Extraction method: principal component analysis

 Consumers
buying online
and offline

451
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Figure 1.
Scree test for
component analysis

consumers to buy online and offline. Furthermore, consumers also want to assure
themselves that whatever goods are shown and offered to them are of the same quality
or specification. Facilities like physical examination of product, immediate possession of
a product, acceptance of all forms of payment and helpfulness of sales people further
influence the buying decisions. Generally, online stores offer low price products, special
sales offers, rebates and coupons and easy and timely information about the product to
the consumers (Kacen et al., 2013, Mckinsey). Offline stores provide facility of physical
examination of product to the consumers. The consumers, after satisfying themselves,
make decisions to buy or not. Consumers also get immediate possession of products
when buying offline. Though online stores also provide this facility, it is available only
for those products which can be transferred online. Offline stores provide all forms of
payment facility. They offer goods on credit terms, too. To address the queries of
consumers, offline stores have sales executives and sales persons available at their
stores who take the queries and resolve them on the spot.
The second factor (F2) extracted from the study is Better Assortment and After Sales
Policy. Consumers wish to visit those stores that provide a variety of products and
brands, better post-purchase service, exchange refund policies, quality of merchandise,
availability of products in stock and facility of comparing various products. Online
stores offer a variety of products and brands to the consumers and also keep an ample
stock of products with them. Online stores provide the facility of comparison of various
products and brands so as rational decisions are made by the consumers when
purchasing (Lieber and Syverson, 2011). Offline stores provide better after sales
 IJCOMA Component matrixa Rotated component matrixb
25,4 Component Factor interpretation component
Attributes 1 2 3 1 2 3

X1 0.691 ⫺0.326 0.732

X2 0.691 0.679
452 X3 0.676 0.671
X4 0.669 0.655
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X5 0.668 0.623
X6 0.667 ⫺0.301 0.607 0.304
X7 0.642 0.567 0.305
X8 0.635 0.341 0.564
X9 0.631 0.763
X10 0.626 0.436 0.718
X11 0.625 0.647
X12 0.614 ⫺0.407 0.445 0.312 0.642
X13 0.610 ⫺0.354 0.574
X14 0.606 ⫺0.325 0.434 0.555
X15 0.604 0.831
X16 0.556 ⫺0.483 0.432 0.819
Table VII. X17 0.547 0.490 0.328 0.662
Factors influencing X18 0.494 0.355 0.413 0.591
consumer preference
to buy from web Notes: a Extraction method: principal component analysis; three components extracted; b extraction
store or traditional method: principal component analysis; rotation method: varimax with Kaiser normalisation; rotation
store converged in six iterations

Component 1 2 3

1 0.694 0.550 0.464

2 ⫺0.171 0.752 ⫺0.636
Table VIII. 3 ⫺0.699 0.362 0.617
Component
transformation Notes: Extraction method: principal component analysis; rotation method: Varimax with Kaiser
matrix normalisation

services, quality products and better exchange refund policies, as compared to online
stores (Vardhan, 2011; Kacen et al., 2013).
The third factor (F3) extracted from the study is Product and its Importance.
Consumers are attracted to those stores that provide more facility in selection and ease
in purchase of items. On the one hand, there are consumers who do not wish to waste
their time in making comparisons and selections of products and, on the other hand,
there are consumers who wish to have a social and family experience when they shop.
Shipping and handling charges and ease of browsing of products also affect the
purchasing behaviour of the consumers. Online stores provide easy information about
the products, as they display them on their websites, which enables consumers to make
speedy selections and purchases. Consumers feel that shipping and handling charges
charged by online stores increase the prices of products to a great extent. However, there
 Factors Factor interpretation Variables included in the factors
Consumers
buying online
F1 Pre-sales offer Low price, special sales, rebates and coupons, easy to get and offline
product information, physical examination of product,
immediate possession of a product, uncertainty about
getting the right item, accept all forms of payment and
helpfulness of sales people
F2 Better assortment and after sales Brand selection and variety, post-purchase service,
453
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policy exchange refund policy, quality of merchandise,

availability of products in stock and ability to compare
products Table IX.
F3 Product and its importance Speed of selection and purchase, social and family Factors influencing
experience, shipping and handling charges and easy consumer’s buying
browsing of the products online and offline

are consumers who do not mind paying extra for the products which they value more.
Offline stores provide facility to those consumers who wish to have a social and family
experience while they shop.

Conclusion
In the era of competition, consumers are the king. Offline and online stores have to work
hard to attract consumers towards their stores. Therefore, it has become imperative for
them to assess the factors that influence consumer purchasing decisions. The study
reveals that pre-sales offers, better assortments and after sales policies and products
influence consumers when making their purchases. They choose offline and online
stores for their purchases on the basis of products and services offered to them.
Therefore, online and offline stores must adopt certain policies after considering the
factors extracted from the study, which can help them attract and retain consumers.
Moreover, it has become more important in the light of foreign direct investment in
multi-brand retail in India to be competitive and innovative to survive and grow in the
competition.

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consequences”, Journal of Business Research, Vol. 57 No. 7, pp. 42-53.
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2009).
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com/News/Latest%2BNews/Science%2Band%2BTeh/Story/A1… (accessed 3 October
2012).
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marketingpilgrim.com/2012/07/the-local-store-advantage-in-an-online-world… (accessed
2 October 2012).
Sands, S. (2008), Online Offline Trends in Retailing, The Australian Centre for Retail Studies,
Monash University, pp. 1-8.
 Tabatabei, M. (2009), “Online shopping perception of offline shoppers”, Issue in Information Consumers
System, Vol. 10 No. 2.
buying online
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co.kr/www/news/bizfocus/2012/09/331_120559.html (accessed 3 October 2012). and offline

Websites
www.comscore.com 455
www.iamai.in
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www.trai.gov.in

Corresponding author
Dr Sunil can be contacted at: sjaspa@yahoo.co.in

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