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Title: Consumer Behavior Towards Online Shopping

This document discusses consumer behavior towards online shopping. It notes that online shopping has increased rapidly in recent years due to easy internet access. The most popular items purchased online are books, airline tickets, clothing, videos, and electronics. The typical online purchasing process involves 5 stages: need awareness, information search, alternative evaluation, purchase decision, and post-purchase evaluation. Understanding consumer behavior online involves examining how people search for product information and customizing websites accordingly. Personal, lifestyle, and psychological factors influence consumer behavior both online and offline.

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453 views4 pages

Title: Consumer Behavior Towards Online Shopping

This document discusses consumer behavior towards online shopping. It notes that online shopping has increased rapidly in recent years due to easy internet access. The most popular items purchased online are books, airline tickets, clothing, videos, and electronics. The typical online purchasing process involves 5 stages: need awareness, information search, alternative evaluation, purchase decision, and post-purchase evaluation. Understanding consumer behavior online involves examining how people search for product information and customizing websites accordingly. Personal, lifestyle, and psychological factors influence consumer behavior both online and offline.

Uploaded by

Jainessa Sinsuat
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Title: Consumer Behavior Towards Online Shopping

Introduction

Generally speaking the trend of e-commerce has been increased rapidly in the recent years with

the development of internet and due to the easy accessibility of internet usage. Easy access to

internet has driven consumers to shop online in fact according to the University of California,

Los Angeles (UCLA) communication policy (2001), online shopping is third most popular

activity on the internet after email using and web browsing. Globally more than 627 million

people have done online shopping so far, World’s biggest online shoppers include Germans and

British. Books, airline tickets/reservations, clothing/shoes videos/games and other electronic

products are the most popular items purchased on the internet. (ACNielsen Report on Global

Consumer Attitudes towards Online Shopping, 2007). Through electronic marketing and internet

communication business firms are coordinating different marketing activities such as market

research, product development, inform customers about product features, promotion, customer

services, customer feedback and so on. Online shopping is used as a medium for communication

and electronic commerce, it is to increase or improve in value, quality and attractiveness of

delivering customer benefits and better satisfaction, that is why online shopping is more

convenience and day by day increasing its popularity.

The typical online purchasing decisions are made in a process comprising of the following stages: 1) need

awareness; 2) searching for relevant product information; 3) evaluating available alternatives; 4)

implementing the purchase decision; and 5) Post-purchase decision-making.

Hadjiphanis & Christou notes that understanding consumer behaviour in e-commerce involves
gaining insight on how the people search for product information in an online environment (1).
Once understood, the retailer can then customize their websites to meet the specific information
needs that consumers need in order to make the purchase decision.

This study acknowledges that consumer behaviour; just like in the traditional marketplace is
influenced by personal, lifestyle and psychological factors. As such, the paper will seek how
each of the factors affects consumer behaviour and how online retailers can meet the consumers
needs highlighted in such behaviours.

Lowe defines e-commerce as the act of purchasing an online product (363). This involves
ordering the product and making the payment for the same.

Literature Review

In a research of e-commerce in Canada, Lowe (363-374) notes that though this new way of
purchasing products and services gives consumers a wider choice and is more convenient, it is
yet to be embraced by a large percentage of consumers as was predicted when the concept began.

Most notably, Canada’s e-commerce by individuals in 2001 was estimated to be worth $2 billion
only and represented 0.4 percentage of the total household spending (Lowe 363). Some of the
factors affecting e-commerce by individuals include their access to internet, their willingness to
use the internet to purchase products and services, and the products available for purchase on an
online setup (Lowe 364).

Hadjiphanis & Christou argue that in order to understand consumer behaviour in e-commerce,
one has to look at the consumer as an information processor; they processes information
presented to them by marketers, become aware of the different products presented to them, and
finally make a purchase decision (2).

Typically, the e-consumers will visit a retail store with the intention of either purchasing an item
or simply enjoying the shopping experience. Just like in behaviour portrayed by consumers in
traditional purchases, Hadjiphanis & Christou states that e-commerce consumers make their
decisions based on operational, temporal and spatial considerations (3).
This search strategy is observed in brand conscious consumers. Such use the search engines to
purchase brand items that they already know and possibly use. They value reliability,
consistency, quality, affection, trust reputation and loyalty.

Brand conscious consumers also have specific expectations when thinking, purchasing or using a
specific product. The operational dimension is most noted in early adopters (Hadjiphanis &
Christou 2). When such is the case, the shoppers go directly to a specific site for purchase instead
of using search engines.

Objective

The main objective of this research was:

To assess the behavior of consumers towards online shopping. The specific objectives of the
research included:

1. To select an appropriate framework for assessing the consumer behaviors of online shoppers.

2. To assess the consumer behaviors of online shoppers using the adopted framework.

3. To suggest changes to the framework based on the results and findings of the study

References

AcNielson Report (2005). ” Global consumer attitudes towards online shopping”, online:
http://www.kr.en.nielsen.com/reports/GlobalConsumerReports.shtml, (Retrieved 2011-25-04).

Hadjiphanis, Lycourgos & Christou, Loizos. “The Role of E-Commerce on Consumer


Behaviour”. The Journal of Business Administration 5.1 (2006): 1-7.

Lowe, Robin. “E-Commerce and Consumer Behaviour”. Statistics Canada (2003):363-374.

UCLA internet report (2001). ” Surveying the digital future”, online:


http://live.online.se/wip/publishedarchive/ucla-internet-2001.pdf, (Retrieved 2011-21-02).

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