ABSTRACT by the year 2015 with both online

 

 

 

 

 

 

 

 

ABSTRACT

 

For business owners to remain competitive in today’s
scenario, it is necessary to understand and adapt with the changing market
situations. The growing use of internet and online buying among consumers have
widened the base of E-commerce market especially in B2C segment. If E-marketers
are well versed with the Web based factors influencing the behavior of online
consumers, they can formulate their marketing strategies as per the needs and
requirements of the customers. This paper focuses on review of literature
related to the web based factors affecting online shopping. The results showed
that perceived ease of usefulness, online trust, risk perception, convenience,
reliability, security of transactions, internet functionality had a positive
impact on the creation of positive intention of consumers. Comparison of
competitor’s prices, shortage of time and wide assortment of products available
online were some other factors that have a significant positive influence on
online shopping behavior.

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Keywords: E-commerce, E-marketers, consumers etc.

 

 

 

 

 

 

 

 

“Increase in the adoption and penetration of the Internet
has turned the online marketplace into an important distribution and
communication channel where consumers and businesses interact with each other.
“Since the advent of Internet enabled e-commerce, online sales have attracted
an increasing share of overall sales revenues” (Van der Meer, Dutta and Datta,
2012). “The Internet and virtual  technologies created a new and unprecedented
environment for governments, businesses, educational institutions, and
individuals enabling them to webcast any information using multimedia tools. We
are seeing a proliferation of websites with enormous amount of information”.(Hassan & Abuelrub, 2008).

 

“Purchase behaviour on the Internet in general is a very
complicated phenomenon which comprises various aspects and is influenced by
many factors. The influences of the Internet are not limited to
consumer purchase decisions. The Internet also influences the way consumers
behave in an online market in terms of interaction with different retailers. It
 is transforming the distribution of
purchase over different products and retailers” (Brynjolfsson, Dick and Smith,
2010). “The online environment facilitates lower search costs, and offers the
possibility of visiting different retailers at the same time, and comparing
various alternatives simultaneously. Online retailers are competing to gain
more consumers and increase their market share” (Tih and Ennis, 2006).

 

 

According to a study conducted by the Internet and Mobile Association of
India, the e-commerce sector was expected to reach Rs. 2,11,005 crore by
December 2016. The study also stated that online travel accounts for the
biggest share i.e. 61% of the e-commerce market. Overall e-commerce market had
reached Rs 1,07,800crores (US$24 billion) by the year 2015 with both online
travel and e-tailing contributing equally.

 

India had an internet user base of about 354 million as
of June 2015 and is expected to cross 500 million in 2016. Inspite of being on
the second position regarding internet user base in the world, only lagging
behind China (650 million, 48% of population), the penetration of e-commerce in
India is low in comparison to markets like the United States (266 million,
84%), or France (54 M, 81%), but is still 
growing at a good rate by making an addition of around 6 million new
users every month. India’s e-commerce market value was approximately about $3.9
billion in 2009, it went up to $12.6 billion in 2013. In 2013, the e-retail
segment was worth US$2.3 billion.

 

 

SIGNIFICANCE OF THE STUDY

Many studies have addressed the issues of online behaviour by directly
applying the knowledge of traditional purchase to the Internet context. Online
purchase behaviour is different from the traditional one and current knowledge
of online consumer behaviour is still limited” (Dennis et al., 2009). Hence, increasing
the theoretical knowledge in this area, which considers the particular
characteristics of the online environment, is crucial.

 

OBJECTIVE OF THE STUDY

 

This is a
conceptual study that mainly aims at drawing out variables that affect
purchasing in an online setup. In this study an exploratory approach has been
adopted to find out the factors affecting the behavior of consumers to buy
online through study of existing literature in various thesis and journals
related to online marketing.

 

 

 

 

 

 

 

 

Sr. No.

Author

Study

Findings

1.

Chen, Y.H.& Barnes, S.
(2007)

Initial trust and online buying behavior”

The study examined consumers’ online trust by four
perspectives or determinants :perceived technology, perceived risk, company
competency and trust propensity. Online trust was found to have significant
relationship with perceived security, privacy, reputation, customization,
familiarity with online buying and purchase intention.

2

Berter,E.& Blomqvist,C. (2010)

Online consumer sales promotion in retail clothing
companies

The findings of the study revealed that loyalty
programs and discounts are the most effective sales promotion tools in
Europe. Other sales promotion tools such as samples, Advertising
specialities, cross promotion were not much significant.

3.

Kwek Choon Ling (2010)

The effects of shopping orientations, online trust and prior
online purchase experiene toward costumer’s online purchase intention

The results of the study showed that shopping
orientation in context of impulse purchase, quality orientation, brand
orientation, online trust of the customers in online shopping and prior
purchase experience of online purchases had a positive impact on the creation
of positive intention of customers.

4.

Foroozan Kamari and Saeid Kamari (2012)

Trust in electronic commerce: A new Model for Building
online Trust in B2C

The proposed
model outlined some key factors for understanding the key issues relevant for
building good relations with customers on the internet. The model consisted
of four variablesviz–professionalism,reputation,trustworthiness,technology
incentives that have a significant contribution in trust building in online
environment. Professional graphics, design and capabilities of a website,
proper branding were considered to be effective elements for enhancing the
trust factor.
 

5.

Mohammad Harisur et. al (2012)

Developing online shopping intention among people”:
Bangladesh perspective

The study developed a conceptual model for developing
customer’s intention and motivation level towards online shopping. The model
developed indicates that online purchase decision or intention depends on the
customer’s attitude towards online buying and this attitude further developed
by the belief customers pose on perceived consequences and some other
influencing factors.

6.

Nasir,et.al(2012)

Social media and buying behaviour of women in Pakistan
towards the purchase of textile garments”

The findings of the study revealed that friends and family
opinion i.e. word of mouth and referral plays a big role in creating brand
awareness among Pakistani women. Friends and Family opinion was most
influential on Pakistan women’s buying decision in comparison to online
recommendations.

7.

Fatema, K. & Stephen, T. (2012)

Online shopping environments in fashion shopping : An
S-O-R based review

The study revealed that risk perception and trust are
the two most important variables that influence the consumers intention to
purchase online. Environmental stimuli mainly influence cognitive processes
such as risk perception and website trustworthiness , pleased and aroused
consumers are more likely to purchase and have positive behavioural
intention.

8.

Yong, L., Hongxiu ,Li. , Feng, Hu
(2013)

 

The findings of the study indicated that convenience
factor has a positive influence on consumer’s intent to buy online. The price
variable was found to have no impact on online purchase intentions. Product
type characteristics were also found to have a positive impact on consumer’s
behaviour to shop online.

9.

Aindrila Biswas, Jagjeet Ajmani and Mousumi Roy (2014)

Leveraging factors for online shopping

The results of
the study concluded that online shopping behaviour is affected by multiple
factors. Product quality, trust on the information provided by online sellers
were the factors that make customers sensitive towards online shopping.
Consumers inclination towards online shopping is dependent upon the user
friendliness of online buying process and variety of product offerings and
the value for money provided by online shopping.
 

10.

L. Richard Ye and Hao-hong Zhang (2014)

Applying the Technology Acceptance Model in
consumer-to-consumer market places

The results of the study supported the TAM based
research Model indicating that consumer’s buying behaviour and intention in
C2C transactions can be easily predicted by checking the impact of sales
promotion, perceived ease of use and perceived usefulness.

11.

Tanushree chauhan, Pankaj Dalal (2014)

Review on factors affecting quality of B2C website”

Various factors were determined on the basis of the
results of the literature survey such as usability, reliability,
trustworthiness on the part of customers, easy access, security of
transactions and efficiency that assess the quality of a website.

12.

Rashid Hussian and Aminu Adamu (2014)

The impact of social media on virtual marketing in
Nigeria

The effect of social media promoters viz– Facebook,
Twitter, E-mail, online chat, E-discussion was investigated on customers
online buying decision. The results of the study showed that Facebook and
twitter were the two most important social media websites that influenced
online buying of Nigerian customers.

13.

Bulbul Ahamed, S.M. Monirul Islam, Kismant Qaom (2015)

Customers attitude towards E-Commerce in Bangladesh

The findings of the study revealed that among the
eleven attributes finally selected for evaluation, easy information searching
opportunity was considered most important and return facility if needed and
activeness of customer care was least important attribute.

14.

Garima Malik and Himanshu Sachdeva (2015)

Impact of sales promotion technique used online dealers
on consumers”

The results showed that promotional emails, promotional
SMS, discounts, user friendly interface, promotional POP ups, convenience and
sales promotion influences were the factors that played a big role in shaping
the behaviour of online consumers.

15.

Jenyo, G. K. & Soyoye, K. M. (2015)

Online marketing and consumer purchase behaviour: A
study of Nigerian firms

The findings of the study revealed that there is a
significant relationship between online marketing and consumer purchase
decisions. The unique internet characteristics such as easy access to
information, functionality of the websites, sites usability, interactivity
have huge impact in modifying the behaviour of the consumers.

16.

Otugo Nkiru Esther et. al (2015)

Social Media Advertising/Marketing: A study of
awareness, attitude and Responsiveness

The findings of the study revealed that Nigerian Youths
especially the undergraduate students were regular users of Facebook.
Majority of the Nigerian youths were well aware of the Facebook Ads ranging
from product advertisements, telecommunication, fashion accessories on mobile
phones. The youths believed that using social media for advertisements is
good and they had a positive response towards Facebook ads and said that if
they are fan of any brand on Facebook they could think of buying it.

17.

Živil? Baubonien?,Gintar?
Gulevi?i?t?
(2015)

E-commerce
factors influencing consumers online shopping decision

The study concluded that convenience, simplicity and
better prices were the main drivers of online shopping. Comparison of prices
online , lack of time and wide range of products were the reasons for the
online consumers of age group between 25-35 yrs to adopt online shopping.

18.

Aineah,N..
(2016)

Factors
influencing online purchasing intention among college students in Nairobi
city

The
findings showed that there is a strong positive relationship between
intention to purchase online and Transactional Security, Perceived Usefulness
and Perceived Ease of Use. Perceived Usefulness was the most important
variable followed by Perceived Ease of Use and lastly by Transactional
Security.

19.
 
 
 
 

Jadhav,
V., & Khanna, M. (2016)

Factors
Influencing Online Buying Behavior of College Students: A Qualitative
Analysis

The study explored the factors influencing buying
behavior of college students using content analysis. The major influencers
found were availability, low price, promotions, comparison,
convenience, customer service, perceived ease of use, attitude, time
consciousness, trust and variety seeking.

20.

Yi Zin Lim et.al
(2016)

Factors  influencing online shopping behaviour: The
mediating  role of purchase  intention

The study depicted that subjective norm and
perceived usefulness significant positively influence online purchase
intention but subjective norm insignificant influence shopping behavior in a
negative way. Finding also revealed that purchase intention has a significant
positive  influence on online shopping
behavior.

21.

Rani,Suchitra.t. et.al (2017)

Online
Shopping Purchase Patterns with Special Reference to Demographic and Informational
Influence

The study found that the gender and age had no role in
influencing online buying decisions and poor quality and fakeness were the
major negative factors that deter online purchasing. Social media was the
main informational source that had an impact on the choice of websites.

 

 

 

 

FINDINGS
& CONCLUSION

 

 

A lot of research has been conducted till date to
evaluate the impact of E-marketing strategies on the buying behavior of
consumers. The study explored that web based factors affecting online shopping.
The findings of the various studies taken into consideration for review
elucidate that consumers positive attitude towards online shopping, behavioural
factors, demographic factors, psychological factors, risk perception, trust,
prior purchase experience of online shopping, functionality aspects such as functionality
of the websites, internet infrastructure are the major influencers of online
shopping. Nowadays , social media also has a big role in creating brand
awareness . Facebook Ads and Twitter are the biggest contributors in that
context. Amongst the sales promotion techniques employed, loyalty programs and
discounts are the foremost important factors. For the E-marketers to be
successful in their marketing campaigns, they need to understand and embibe the
abovementioned factors related to the virtual environment in their strategies
to convert more and more offline prospects into online prospects and also to
effectively retain the existing one.

 

 

 

 

 

 

                  

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