"Online - Shopping" - A Study with Special Reference to Trivandrum District

Online shopping is the process whereby consumers directly buy goods or services from a seller in real-time, without an intermediary service, over the internet. It is a form of electronic commerce. An online shop, e-shop, e-store, internet shop, web-shop, web-store, online store, or virtual store evokes the physical analogy of buying products or services at a bricks-and – mortar retailer or in a shopping center. The process is called business-to-consumer (B2C) online shopping. When a business buys from another business, it is called business-to-business (B2B) online shopping.Increased Internet penetration, improved security measures, convenience of shopping in lives pressed for time, and, of course, dozens of retailers to choose from – these are a few factors that are attracting more and more consumers to shop online. In fact, the recently concluded Google's Online Shopping Festival (GOSF) saw some 16 million Indians shopping online within four days. Yet, while online shopping is an easy way for comparison of different products on the basis of their features and specifications—without going from shop to shop, many consumers do find it difficult to choose the best and safest sites for making. The present study reveals the impact of online shopping.

INTRODUCTION

 

         
Internet is changing the way of consumers shopping and buys goods and services, and has rapidly evolved into a global phenomenon. Online shopping is the act of purchasing product or services over the internet. Online shopping has grown in popularity over the years, mainly because people find it convenient and easy to bargain shop from the comfort of their home or office. Companies also use the Internet to convey, communicate and disseminate information, to sell the product, to take feedback and also to conduct satisfaction surveys with customers. Customers use the Internet not only to buy the product online, but also to compare prices, product features and after sale service facilities they will receive if they purchase the product from a particular store.
Online shopping is the process through which the consumers purchase products or services over the internet. An online shop, e-shop, e-store, internet shop, web shop, web store, online store, virtual evokes the physical analogy of buying products or services at a bricks-and-mortar retailer or in a shopping mall. Internet shopping is shaping up. However, today internet shopping is really significant part of the retail sector. Internet shopping is the new shopping experience of the future. But the major hurdle for internet shopping is shipping charges, sometimes they are very expensive. The rate of growth for internet shopping is growing.
Online shopping is a type of E-commerce used for business-to-business (B2B) and business-to-consumer (B2C) transactions. In addition to the tremendous potential of the E-commerce market, the internet provides a unique opportunity for companies to do more business efficiently and reach existing and potential customers. But most of the revenue of online transactions comes from business-to-business commerce. Along with the development E-retailing, researchers continue to explain E-consumers’ behavior from different perspectives.

Internet shopping is easier, safer, and more convenient than at any point in its history. Internet shopping is fast becoming one of the easiest ways to buy almost anything you want. Internet shopping is a way of shopping that allows shopping for required products without going to the store physically. One of the biggest benefits of shopping online is the convenience and access to more products and information 24 hours a day and 7 days a week. Online shopping is definitely a great way to shop with everything available on the websites. From clothes, gift items, food, home needs, medicines, and many more, this mode of shopping allows one to shop conveniently without hassle on spending hours in a supermarket or shopping areas. The Internet with its wide array of information allows the customer to go through various reviews of the product or service before actually heading for purchases. These online shopping websites also have daily deals for the customer looking for discounts and store offerings.

Consumer behaviour towards online shopping is a field of interest for both scholars and professionals because internet has greatly influenced the preferences and buying pattern of customers. Internet is changing the way consumers shop and buy goods and services, and has rapidly evolved into a global phenomenon. Many companies have started using the Internet with the aim of cutting marketing costs, thereby reducing the price of their product and service in order to stay ahead in highly competitive markets. Companies also use the Internet to convey, communicate and disseminate information to sell the product, to take feedback and also to conduct satisfaction surveys with customers.

Customers use the internet not only to buy the product online, but also to compare prices, product features and after sale service facilities. Scholars and practitioners of electronic commerce constantly strive to gain an improved insight into consumer behaviour in cyberspace. Along with the development of e-retailing, researchers continue to explain e-consumers behaviour from different perspectives. Many of their studies have factors or assumptions which are based on the traditional models of consumer behaviour, and then examine their validity in the internet context.

Laing and Lai, said that the internet shopping is the third best and most popular activity over internet after online shopping next comes the e-mail using, instant messaging and web browsing. These are even more important than watching or getting entertained by the internet or getting any information or news, these are the two very common thought which comes to the people’s mind when considering the internet users do when they are online. The behavior of online shopping is also known as online buying behavior and internet shopping. Buying behavior means the purchase of good over internet using web browser.

STATEMENT OF PROBLEM

 

Online shopping has gained a lot of importance in present marketing conditions. Due to advancement of technology and internet, customers are finding it easier to buy product online from home at their own leisure. A large number of people prefer online buying to direct buying. At the same time they are concerned about privacy & security, mode of payment, quality of goods, delay in getting product, after sales services etc. On the above presented issues, my study is based on knowing the problem faced by e-customers, consumers’ satisfaction and towards online shopping and to determine the factors that influence customers to shop online.

 

REVIEW OF LITERATURE

 

         

Every piece of ongoing research needs to be connected with the work already done, to attain an overall relevance and purpose. The review of literature thus becomes a link between the research proposed and the studies already done. Literature reviews are secondary sources, and do not report new or original experimental work the studies on consumer’s perception on online shopping and other rented topic in the Indian context are limited as the online shopping has entered into the market only a few years only. The literatures so far reviewed relates to the studies conducted outside India especially in the United States where the online shopping is a big hit.

Christy M. K. Cheung, Lei Zhu, Timothy Kwong, Gloria W.W. Chan,MoezLimayem, (2002) The topic of online consumer behavior has been examined under various contexts over the years. Although researchers from a variety of business disciplines have made significant progress over the past few years, the scope of these studies is rather broad, the studies appear relatively fragmented and no unifying theoretical model is found in this research area. In view of this, provide an exhaustive review of the literature and propose a research framework with three key building blocks (intention, adoption, and continuance) so as to analyze the online consumer behavior in a systematic way.

Burke, R.R. (2002)Trust is a key factor that determines the success of Business to Consumer (B2C) e-commerce transactions. Previous researchers have identified several critical factors that influence trust in the context of online shopping. This research focuses on available security measures which assure online shoppers safety and great sales promotions and online deals which stimulate customers to shop online.

Abel Stephen (2003) in his paper represents the findings of research studies that address e-commerce design and associated consumer behavior. The innovation of e-commerce has affected not only the marketplace through the facilitation of the exchange of goods and services, but also human behavior in response to the mechanisms of online services. Researchers have identified and hypothesized on relevant subject matters ranging from Web usability, marketing channels and other factors influencing online buying behavior. Though researchers have focused on what appear different aspects of online buying behavior, their studies may be shown to be interrelated and interdependent, even to the extent of revealing constructs upon which e-commerce, in terms of future design and research, could be built.

Balasubramanian, S., Konana, P. and Menon, N.M. (2003) in this environment, some traditional service quality dimensions that determine customer satisfaction, such as the physical appearance of facilities, employees, and equipment, and employees_ responsiveness and empathy are unobservable. In contrast, trust may play a central role here in enhancing customer satisfaction. Model trust as an endogenously formed entity that ultimately impacts customer satisfaction. We elucidate the linkages between trust and other factors related to the performance of the online service provider and to the service environment.

Rajeev Kamineni (2004) in his study finds that World Wide Web can change human behavior and human interactions to a very large extent. Web based shopping behavior is one major example to point out the trends in this direction. This study is of a very exploratory nature and it intends to establish the differences between several web-based shoppers from different parts of the world. Several critical factors associated with online shopping behavior have been explored. A cross cultural dataset has been collected and an illustrative description of the shoppers has been provided. As a final step the cross cultural differences between several shoppers explored.

Ying (2006) in his study “Essay on modeling consumer behavior in online shopping environments” examined online purchase behavior across multiple shopping sessions. Shopping cart abandonment is the problem of many e-commerce websites. He investigated abandoned shopping carts in an online grocery shopping setting. Specifically, he developed a joint model for the cart, order, and purchase quantity decisions. Empirical analysis shows that not all abandoned shopping carts result in lost sales. Customers routinely pick up abandoned carts and complete the final orders. Among the factors that propel customers to continue with aborted shopping are the time of shopping, time elapsed since the previous visit, the number of items left in the abandoned cart, and promotion intensity. The study offers marketers important managerial implications on how to mitigate the shopping cart abandonment problem.

Benbaset (2006) The Relevant exogenous factors in the context of consumer behaviour are “consumer traits” “situational factors” “product characteristics” “previous online shopping experiences” and “trust in online shopping”. By incorporating these exogenous factors next to the basic determinants of consumers’ perception and intention to use a technology, the framework is applicable in the online shopping context. Together, these effects and influences on consumers’ perception toward online shopping provide a framework for understanding consumers’ intentions to shop on the Internet

Haver (2008) identified Today’s younger, more ‘green’ shoppers aren’t going to waste precious money and gas going from store to store looking for just the right item. They shop online whenever they can, narrowing their choices to one or two items then go to the store to touch, feel , bounce and check out the actual product to see if it looks the way it was represented online.

Chen (2009) in his dissertation entitled “Online consumer behavior: an empirical study based on theory of planned behavior” extends theory of planned behavior (TPB) by including ten important antecedents as external beliefs to online consumer behavior. The results of data analysis confirm perceived ease of use (PEOU) and trust are essential antecedents in determining online consumer behavior through behavioral attitude and perceived behavioral control.

Archana Shrivastava, UjwalLanjewar, (2011) in online buying, the rate of diffusion and adoption of the online buying amongst consumers is still relatively low in India. In view of above problem an empirical study of online buying behavior was undertaken. Based on literature review, four predominant psychographic parameters namely attitude, motivation, personality and trust were studied with respect to online buying. The online buying decision process models based on all the four parameters were designed after statistical analysis. These models were integrated with business intelligence, knowledge management and data mining to design Behavioral Business Intelligence framework with a cohesive view of online buyer behavior.

Geissler, (2012) The shopping motivation literature is abound with various measures of individual characteristics (e.g., innovative, venturesome, cosmopolitan, variety seeking), therefore, innovativeness and risk aversion were included in this study to capture several of these traits.

K.Vaitheesewaran (2013) examined the convenience of online shopping “With product getting standardized, specifications getting fixed and the concept of service getting eroded, the post sale responsibility of the retailer has comes down drastically. Hence customers go to stores to explore the product physically detail but by online at a cheaper rate. Heavy discounts of e-commerce firms are possible because of their no warehouse model.”

Prashant Singh (2014) in his article “Consumer’s Buying Behaviour towards Online Shopping A case study of Flipkart.Com user’s in Lucknow City” published in Abhinav stated that future of e-retailers in India looking very bright. E-retailers give consumers the best way to save money and time through purchasing online within the range of budget. Flipkart.com offering some of the best prices and completely hassle-free shopping experience. The whole concept of online shopping has altered in terms of consumer’s purchasing or buying behaviour and the success of E-retailers in India is depending upon its popularity, its branding image, and its unique policies.

Upasana Kanchan, Naveen Kumar and Abhishek Gupta (2015) in their article “A Study of Online purchase behaviour of Customers in India” Published in ICTACT Journal on Management Studies stated that online shopping is gaining popularity among people of young generation. Higher income groups and educated people are purchasing more via e-retailing websites. People have hesitations in doing online shopping due to security concerns. At the same time people are resistant to change because of technological complexity in making
online purchase. Companies involved in online retailing should focus on building trustworthy relationship between producers and customers.

NEED AND SIGNIFICANCE OF THE STUDY

In recent years, online shopping has become very popular. The growth of technology has made these a part and parcel of everyday lifestyle. The advent of plastic money or the debit /credit card and the smooth access to the World Wide Web has brought the shops from around the world to the desktop. Now days many people are surfing through various online shopping sites and purchasing things. Student community has become so strong that even the parents seek the help and advice of their children before doing big purchases. This is solely because of their exposure to web and social media. Moreover, while it comes to personal purchases, peoples are very particular that they get best products available in the market and seek all the possible online sites to secure the best products.


The study is very relevant because it can give a clear picture of the future of online markets in India and the emerging 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.

 

SCOPE OF THE STUDY

The study has been conducted within the confines of Thiruvananthapuram city only. It analysis the reason behind consumers in the city prefer online buying instead of direct buying, then finds the level of satisfaction while purchasing online product. It helps the online shop to carry out their business successfully by understanding customer’s perception taste and preference towards products and services offered at the online shops. The present study will help people to know about the online shopping and its advantages and also propel customers to adopt online buying.

OBJECTIVES

• To identify the factors influencing online shopping.
• To examine the level of consumer satisfaction on online shopping.
• To study the problems faced by consumer on online shopping.

RESEARCH METHODOLOGY



Sources of data: Primary and secondary source were used for collecting the data.

§ Primary source – Questionnaires, interviews and discussion with consumers

§ Secondary source – Books, Journals, Articles, Research papers and Websites.



SAMPLE DESIGN



Sample unit

For studying consumer buying behavior, samples are selected from Trivandrum city.



Sample media

The medium used in the study was face to face interview (personal interviews) with respondents.



Sample size

The present study has a sample size of 100 respondents.



Variables of the study: Variables included in the study are age, gender, income and occupation.



Sampling technique used

Convenient sampling technique (non probability sampling) has been used for this study.



Tools for data collection

The data processing and analysis were done manually. Mathematical tool used for analysis was percentage. Tables were also used for comparing the data collected through questionnaire. Tools like graphs and diagrams were used to simplify the presentation of data.







LIMITATIONS OF THE STUDY



No research is complete without admitting the limitations that was faced while conducting a study which will contribute to learning. This study too has certain constraints which have been discussed below.

· The data is restricted in Trivandrum city.

· Results are purely based on primary information.

· Short time duration, with in such short span of time it is too much difficult to analyze the topic.

· Lack of customer support, while asking the consumer they were behaving differently and not responding to the questions properly.





E-COMMERCE

Electronic commerce, commonly known as e-commerce, is buying and selling of products and services by businesses and consumers over the internet. People use the term “E-commerce to describe encrypted payments on internet. E-commerce is the online transaction of business, featuring linked computer system of the vendor, host, and buyer. Electronic transaction involved the transfer of ownership or rights to use a good or service. Most people are familiar with business-to-consumer electronic business (B2C). Common illustrations include Amazon.com, EBay.com, flipkart.com, travelosity.com, and hotels.com. Internet sales are increasing rapidly as consumers take advantage of lower prices offer by wholesalers retailing their products. This trend is set to strengthen as websites address consumer security and privacy concerns.

E-commerce businesses may employ some or all of the following:

Ø E-commerce allows business transactions on the cross country bound can be more convenient and more effective as compared with the traditional commerce.

Ø Online shopping websites for retail sales direct to consumers

Ø Providing or participating in online market places, which process third-party business-to consumer or consumer-to-consumer sales

Ø Business-to-business(B2B) buying and selling

Ø E-commerce technology allows for personalization. Business can be adjusted for a name, a person's interests and past purchase message objects and marketing message to a specific individual

Ø Gathering and using demographic data through web contacts and social media

Ø Business-to-business electronic data interchange (EDI)

Ø Marketing to prospective and established customers by e-mail or fax (for example, with newsletters)

Ø Engaging in pre-tail for launching new products and service

Ø E-commerce technologies is an unusual feature, is the technical standard of the Internet, so to carry out the technical standard of e-commerce is shared by all countries around the world standard.



MODELS OF E-COMMERCE



1) Business-to-Consumer (B2C)

Common notion about e-commerce is that it is a business selling something through an online interface to a consumer. And this is the Business-to-Consumer (B2C) model. The most widely known ecommerce businesses, such as Flipkart, Amazon, etc. are ones where a retailer sells directly to a consumer.



2) Business-to-Business (B2B)

Business-to-business (B2B) refers to a business (the e-commerce retailer) selling directly to another business. The seller can sell goods or services that are used by the recipient to run their business. It may be as fundamental to their business as selling iron to a construction company, or as supplemental as selling coffee to be consumed by employees. Wholesalers like subsidiaries of Alibaba and India MART typically sell B2B.



3) Consumer-to-Business (C2B)

In a consumer-to-business (C2B) model, consumers sell products and services to businesses, instead of it being the other way around. Example - Freelancer websites elance.com, where the end-user lists jobs that businesses (either individual or larger businesses) can buy from them. In a way, job portals are also C2B as here, the ‘end-user’ (the prospective employee) lists their ‘product’ (resume) to attract businesses to hire them.



4) Consumer-to-Consumer (C2C)

In a consumer-to-consumer (C2C) model, the ecommerce website serves to facilitate the transaction between two consumers. Auction sites such as eBay (specifically when items are sold by individuals, rather than businesses listing products for auction) is a classic example of C2C e-commerce model.



Apart from these 4 major models, there are 2 more models where one of the entities is Government. This model is B2G (Business to Government), G2B (Government to Business), G2E (Government to Employee), G2G (Government to Government), G2C (Government to Citizen), C2G (Citizen to Government).

HISTORY OF ONLINE SHOPPING



Online shopping has been around longer than you think. It predates the world wide web, and coincides with the first email ever sent. A lot has changed in the past forty years, but for now, let’s start at the beginning…



· 1971: This is where it all starts. With the invention of email, the first online transaction occurs. Somewhat comically, it’s a cannabis sale between students at Stanford and MIT.

· 1979 – It all began when Michael Aldrich ‘invented’ online shopping. Using videotext, a two-way message service, it revolutionized businesses. We now know this as e-commerce.

· 1981 – Saw the first business to business transaction by UK based Thomson holidays.

· 1982 – Mintel, a videotext online service accessible by telephone lines, could be used to make online purchases, train reservations, check stock prices, chat and search a telephone directory. It is considered the most successful pre-WWW online service.

· 1984 – The first ever shopper buys online at a Tesco store.

· 1985 – Nissan carries out the first online credit check.

· 1987 – SWREG was founded. This offered businesses a chance to sell products online. As it is today, SWREG offers many payment options, as well as customization and distribution into international markets. Users can purchase items with their currency of preference using all major debit and credit cards.

· 1989 – In the USA the first online grocery store starts trading. Peapod.com

· 1990 – Tim Berners-Lee created the first WWW server and browser. This started a whole new revolution. Nearly 25 years on, he is today still working hard at guiding the development and spread of the web, using the mantra ‘If it isn’t on the web then it isn’t happening’.

· 1991 – The internet is commercialized and we saw the birth of e-commerce.

· 1994 – Netscape launches the first commercial browser, which was once the dominant browser in terms of ‘visitors.’ It lost out in the first browser war.

· 1995 – Amazon started selling books online; currently it sells almost anything. Companies like Dell and Cisco started using the internet for all their transactions. eBay is founded by Pierre Omidyar, though it was originally called Auction web.

· 1997 – Began the era of comparison sites.

· 1998 – PayPal is founded. This enabled transaction of money without sharing financial information and gave customers the flexibility to pay using their PayPal account balances, bank accounts, PayPal Credit and other credit cards. Today, people can now pay across their favorite apps in a single touch (one touch) on any platform, eliminating the need for usernames and passwords each time you pay.

· 1999 – the first online-only shop began, ‘Zappos’ although it was later bought by Amazon for $1.2 bn.

· 2001 – Amazon launches mobile services.

· 2003 – US online shopping hits $50 billion, in the same year Amazon posted their first yearly profit of $35.3m.

· 2005 – Social commerce emerges. Consumers begin to recommend items to friends via Facebook and Twitter

· 2007 – A Pew Internet research study found that 81% of the Americans they surveyed had searched online for a product they intended to buy, with 15% doing so almost every single day. 66% of online users said they had actually bought something online.

· 2008 – Increase in growth of online shopping by 17% from the last year in the US, with ecommerce sales figures around $204 billion. In the same year Groupon is launched as is Magneto – so anyone could have a go at creating their own online store.

· 2013 – UK shoppers spent a whopping £91bn online.

· 2014 – In 2014, 198 million U.S. consumers bought something online in the first quarter alone, (comScore) which is 78% of the U.S. population age 15 and above.

· 2015 – Today’s shoppers combine online shopping with real life shopping, using access to Wi-Fi and the showrooming trend. They often make purchases in a retail stores at the same time as using mobile devices to buy something online. In fact, this Forbes report tells us that 74 per cent of people use their mobile phone to help them while shopping, with 79 per cent making a purchase as a result.

· 2016: The future of online shopping is finally here. Shop.co allows you to checkout from anywhere online, all at once. Enter your shipping info and your credit cards once, and use them anywhere. Online shopping is finally hassle free.



AIDA PRINCIPLE IN ONLINE MARKETING

1. AWARENESS

2. INTREST

3. DESIRE

4. ACTION



v A – AWARENESS: Initial point where your brandand/or business is recognized and acknowledged.



v I – INTEREST: Generating thoughts and discussion about your brand.





v D – DESIRE: Communicate your messages through the use of social media and email marketing.



v A – ACTION: The stage where the conversion is complete and back to the ‘interest’ stage to retain them. Your website is responsible for this stage.





THINGS TO REMEMBER WHILE BUYING FROM ONLINE STORES



When you are buying from online stores make sure that you check out the following.




Does the online store value your privacy and confidentiality? Is their privacy policy available to read if you want to see it?
How long have they been in business? Are they reputed in business with great reviews from customers?
Does the online store have a way to contact them?
If you’re unhappy with your purchase, do they have a refund policy?







TYPES OF ONLINE SHOPPING



Online shopping gives users the ability to buy any product they want, at any time, from any place (as long as they have a shipping address and are connected to the internet). It also gives businesses the opportunity to expand their customer market across global borders. There are different kinds of online shopping experiences. Here are some of the most common:

Strictly online presence: Many companies have seen the benefits of having a solely online presence. The costs associated with the brick and mortar store are virtually eliminated and elements such as inventory are streamlined on a demand and supply basis. Forbes magazine pointed out that online retailers are even surpassing their traditional physical storefront counterpart in sales growth in the US during this past holiday season. Sites like Amazon are obvious examples of the successes of online retailers.

Brick and mortar combination: Many companies have made the smooth transition from a complete brick and mortar approach to a combination of physical and virtual storefront. This transition will usually create a dual experience for both the customer and the company. Examples companies like this are tech giant Apple. For the customer, they have the benefits of both physical interaction with the product and convenience of purchase. Many times a customer sees a product in the store but they are unsure if they buy it or not. If they choose not to and then wish they had, they have the ability to simply visit the company website and purchase the item from home as well as returning to the store. This creates even more opportunities for the business to sell products. The Internet creates the awareness and spark in interest and the physical storefront allows the user the satisfaction of testing the product.

User to user: The idea of selling between consumers is not new by any means, but there has been a rapid change in the way that this type of business is conducted. Auction sites like EBay have totally changed the online marketplace while sites like Craigslist have built of the idea of the classifieds column to create a site that connects sellers and buyers all over the world. Online shopping is also constantly evolving with the potential for users to simply create their own website for their product they wish to sell. It is no longer necessary to invest in a physical property.

Supplementary websites: Along with the traditional online shopping, many sites now also add something to enhance your user experience. Many times it is cheaper to buy a product online, and sites like add to this concept by providing a place to find vouchers for all kinds of products and online stores. Or sites such as Group on give benefit to both the user and the business. The business can simply choose to advertise their product or service while the consumer is able to usually find great deals at the same time. It is a win-win situation.

QUALITIES OF ONLINE SHOPPING WEBSITES

1. Ease of Navigation

When attempting to sell products to visitors, the first requirement for selling a product is that the shopper has to be able to find specifically what he or she is looking for. Effective navigation is important to any website, but it’s especially critical for e-commerce sites. Lost visitors will result in lost sales, so every effort should be made to have a site with clear, logical navigation. E-commerce sites often face considerable challenges with navigation because of the number of products that are presented on the site. Large sites, such as those of department stores, have to be especially careful with navigation, because finding what you want will usually become increasingly difficult with more options. Sufficient user testing is extremely helpful for identifying potential navigational issues.



2. The Design Does Not Overpower the Products

The focus of an e-commerce site should be on the products that are available for purchase. A design that is extravagant for no legitimate reason will usually do more harm than good, as it will draw attention to the design of the site and away from the products. Yesterday we posted a showcase of e-commerce sites with a minimal design approach. There sites have chosen to keep the design simple so that the products don’t have to compete for the attention of visitors.



3. Easy Checkout

User experience on e-commerce sites is critical to success. If the checkout process involves too many steps or is confusing, shoppers will wind up abandoning their cart with items left unpurchased. Ideally, the checkout should involve a minimal number of steps and should be as easy as possible for shoppers.Making it as easy as possible for your customers to pay is essential for increasing conversions and sales.



4. Branded

Many shoppers are influenced in their purchasing decisions by the brand, and so the need to establish a strong brand is import for both online and offline selling. In the cases of stores that sell online as well as in physical locations, the website is only a part of an overall branding strategy. In these cases the website should work well with other branding efforts of the company so that customers feel comfortable on the website.



5. The Design Style Matches the Products

However, when designing an e-commerce site it’s important to consider the style of the products that will be available on the site. This is a little bit more relevant for smaller stores with a specific type of product and for websites of a particular brand or company that has established a certain identity.



6. Showcases the Most Popular Products

Many e-commerce sites make an effort to showcase items that are likely to be of interest to visitors, obviously with the intention of helping visitors to find something that they will buy. A number of sites are using a large area on the homepage that they can use to promote current sales, new product lines, or whatever will generate interest. On these sites, this area will often be updated frequently, or it may include some type of slideshow.



7. Promotes Related Products

One of the keys to a successful e-commerce store is the promotion of related products that the customer may also be interested in. Sometimes you will see related products listed and shown on item detail pages, and other times you will see suggestions being made after adding an item to your cart. Promoting the right products that buyers are likely to be interested in is key regardless of the approach that is used.



8. Effective, Accurate Product Photos

Selling online is different than selling in a physical store because the buyer cannot touch the product or see it in person before making a buying decision (unless they have seen it somewhere else). Providing quality photos that accurately portray the product can help to overcome this challenge and can make the buying decision easier on visitors.





9. Effective Site-Wide Search

Although navigation is critical for making it easy on visitors to find what they want, there is still the need to allow them to search. Some visitors will still have trouble finding a specific product even with good navigation, and with larger e-commerce sites it may often be more feasible to simply do a search than to move through several layers of links. The type of search and the amount of options that should be offered to narrow the search should be based on the size of the site and the items that are available.






ONLINE SHOPPING PERSONALITY TRAITS

Shopping behavior data derived from a behavioral commerce analytic platform used by several prominent online retailers was analyzed to determine the 10 most common shopping personality profiles. The various types of online shoppers are:



1. The distracted shopper: “When I shop online, I often begin the check-out process but for one reason or another I don’t always complete the purchase.”

Note: This type of shopper is frequently distracted and is prone to multitasking while shopping.

To close the deal: Offer 10 percent off the next order if she completes this one. You can also show her the types of products she was browsing to remind her to return and complete the purchase.

2. The premium shopper: “I only buy the best. I want premium name brands with the latest features and most advanced technology.”

Note: This shopper is a trendsetter who doesn’t mind showing off or inciting a little jealousy in her friends.

To close the deal: Show this shopper the newest products that have just arrived. Increase the average order value by throwing in a small offer if she reaches a high order value threshold.

3. The determined shopper: “I always research before I buy. I’ll view the exact item I want multiple times, looking for a drop in price, or a special offer.”

Note: This shopper wants to be absolutely certain she has made the right choice before buying.

To close the deal: Provide positive reinforcement during her shopping process. Let the shopper know that this is the right product by showing positive consumer feedback on the items she’s browsing and, if necessary, provide an incentive like $10 off to write a product review.

4. The active shopper: “I’m always browsing but not always buying. I’m not looking for incentives, but they can help me convert when I’m window shopping.”

Note: Active shoppers like the positive psychological effects of browsing products online across different sites.

To close the deal: Try secret sales, daily deals, or flash sales to get these shoppers over the finish line. Try offering additional items that complement what they’ve been browsing.

5. The free shipping hunter: “I like to buy online, but if the retailer doesn’t offer free shipping, I’ll leave and find a website that does.”

Note: This shopper is turned off even if shipping costs are minimal.

To close the deal: Offer free shipping to these shoppers to ensure that they complete the purchase.

6. The thrifty shopper: “I like to buy used or refurbished items. If I can get the same product used for much less, I’ll buy it.”

Note: For this shopper, the amount of savings can be more powerful than the product need itself.

To close the deal: Make used and returned items visible to them. Show her overstock and clearance items based on what she’s been browsing. Those products might be just as attractive to her based on the savings.

7. The loyal shopper: “I only purchase if I can join a rewards club or special rewards program. This often leads to me purchasing at the same stores.”

Note: This shopper likes to build up and then cash in points from loyalty reward programs. This type of shopper will generally spend more than others in the pursuit of rewards points.

To close the deal: Remind her how many points she’ll get for buying certain items. Provide extra points for items you’re trying to clear out. Offer loyalty club deals so club members feel they’re getting something in return for their loyalty.

8. The methodical shopper: “When I shop online, I like to browse for the exact product I’m looking for. I often use site navigation until I find that perfect match.”

Note: These shoppers are tenacious and don’t like being distracted by marketing messages or product fluff. They follow site navigation and site maps to find the rig

To close the deal: Present a message to these shoppers asking if they need help or have product questions if they seem to be getting lost within your site. Provide additional product suggestions combined with offers based on what they’ve been browsing to help generate sales.

9. The impatient shopper: “If I don’t find what I want immediately, I look somewhere else.”

Note: These shoppers are antsy to buy and be done with it. Making the navigation and checkout process fast will increase the likelihood of closing the sale.

To close the deal: Create a bold offer to grab their attention and maximize conversions. If they leave without purchasing, quickly present an offer combined with what they were browsing to try and win them back.

10. The wish list shopper: “I like to shop online, but I don’t always purchase. I add everything I like to the shopping cart to see what the total price will be.”

Note: This shopper needs help moving from fantasizing about products to actually purchasing the products.

To close the deal: Daily deals, flash sales, and secret sales work well for these shoppers. Add to their shopping excitement by showing additional items that complement existing items in their cart. This completes the visual picture for these shoppers and can drive them to purchase everything.









ARGUMENT FOR ONLINE SHOPPING
Convenience. The convenience is the biggest perk. Where else can you comfortably shop at midnight while in your pajamas? There are no lines to wait in or shop assistants to wait on to help you with your purchases and you can do your shopping in minutes. Online shops give us the opportunity to shop 24/7, and also reward us with a ‘no pollution’ shopping experience.
Better prices. Cheap deals and better prices are available online, because products come to you direct from the manufacturer or seller without middleman being involved. Many online shops offer discount coupons and rebates as well.
More variety: The choices online are amazing. One can get several brands and products from different sellers all in one place. You can get in on the latest international trends without spending money on airfare. You can shop from retailers in other parts of the country, or even the world, all without being limited by geography.
You can send gifts more easily. Sending gifts to relatives and friends is easy, no matter where they are. Now, there is no need to make distance an excuse for not sending a gift on occasions like birthdays, weddings, anniversaries, Valentine's Day, Mother's Day, Father's Day, and so forth.
Fewer expenses. Many times, when we opt for conventional shopping, we tend to spend a lot more than planned. There are other outside expenses on things like eating out, transportation, and let's not forget impulse buys!
Price comparisons. Comparing and researching products and their prices are so much easier online. Also, we have the ability to share information and reviews with other shoppers who have firsthand experience with a product or retailer.
No crowds. If you are like me, you hate crowds when you're shopping. Especially during festivals or special events, they can be such a huge headache. Also, it tends to be more chaotic when there are more crowds out and this sometimes makes us feel rush or hurried. Grumpy, annoying, and smelly people also annoy me when I'm out shopping. Plus, parking becomes a huge issue. All of these problems can be avoided when you shop online.
Less compulsive shopping. Often times when we're out shopping, we end up buying things compulsively that we don't really need. All because shop keepers pressure us or use their selling skills to compel us to make these purchases. Sometimes, we even compromise on our choices because of the lack of choices in those shops.
Buying old or unused items at lower prices. The marketplace on the Internet makes it much easier for us to buy old or unused things at rock bottom prices. Also, if we want to buy antiques, there's no better place to find great ones.
Discreet purchases are easier. Some things are better done in the privacy of your home. Online shops are best for discreet purchases for things like adult toys, sexy lingerie, and so on. This enables me to purchase undergarments and lingerie without embarrassment or any paranoia that there are several people watching me.



ARGUMENT AGAINST ONLINE SHOPPING

Sometimes a deal that looks great falls short of what has been advertised. Communicating dissatisfaction can be difficult online and often takes enormous patience and tenacity to achieve satisfaction. Problem-solving face-to-face with local store employees is often faster and more satisfying.

Contacting the next level of management is much easier at local stores than online.

Other disadvantages of shopping online include:
Online shoppers do not have the ability to physically inspect or try on the items being considered for purchase.
Online shoppers sometimes lose the power to negotiate the price and payment terms that may exist in local stores.
Items ordered online are sometimes back ordered, but shoppers may not find out until weeks later. This is particularly problematic when buying gifts.
Online shoppers do not always know if a site is a legitimate retail store and if is safe to shop.
Restocking and shipping costs are often charged on returns.
Online shoppers often do not have a person (or the same person) to talk to when dealing with a problem.
It is sometimes easier to get money refunded locally when the item purchased drops in price within the guaranteed price period.
Online shoppers do not get to take advantage of seasonal statewide tax-free shopping events.

· Online stores advertising free products will sometimes increase the cost of shipping so that they profit from the purchase.

PORTER 5 FORCE ANALYSIS IN ONLINE SHOPPING

Porters Five Forces is a framework for describing factors that affect the profitability and attractiveness of industries. Named after Michael E. Porter, this model identifies and analyzes 5 competitive forces that shape every industry, and helps determine an industry's weaknesses and strengths.

1. Supplier Power

2. Buyer Power

3. Competitive Rivalry

4. Threat of Substitutes

5. Threat of New Entry

1. Supplier Power

Here we assess how easy it is for suppliers to drive up prices. This is driven by the number of suppliers of each key input, the uniqueness of their product or service, their strength and control over us, on. The fewer the supplier choices we have, and the more we need suppliers' help, the more powerful the suppliers are.

2. Buyer Power

This is driven by the number of buyers, the importance of each individual buyer to one’s business, the cost to them of switching from one’s products and services to those of someone else, and so on. If you deal with few, powerful buyers, then they are often able to dictate terms to you.

3. Competitive Rivalry

What is important here is the number and capability of your competitors. If you have many competitors, and they offer equally attractive products and services, then you'll most likely have little power in the situation, because suppliers and buyers will go elsewhere if they don't get a good deal from you. On the other hand, if no-one else can do what you do, then you can often have tremendous strength.



4. Threat of Substitutes

This is affected by the ability of your customers to find a different way of doing what you do – for example, if you supply a unique software product that automates an important process, people may substitute by doing the process manually or by outsourcing it. If substitution is easy and substitution is viable, then this weakens your power

.

5. Threat of New Entry

Power is also affected by the ability of people to enter your market. If it costs little in time or money to enter your market and compete effectively, if there are few economies of scale in place, or if you have little protection for your key technologies, then new competitors can quickly enter your market and weaken your position. If you have strong and durable barriers to entry, then you can preserve a favorable position and take fair advantage of it.





GAINT PLAYERS IN ONLINE SHOPPING OR ONLINE RETAILERS





Ø FLIPKART

Flipkart is an Indian e-commerce company which was founded by Binny Bansal and Sachin Bansal in October 2007. Headquartered in Bangalore, the company has a market value of $5.54 billion as of November 2016, according to Morgan Stanley. Binny Bansal served as the chief operating officer of the company till January, 2016, following which he took over as its CEO. Sachin Bansal was replaced as CEO of the company in January, and currently serves as it executive chairman.

In April 2017, Flipkart raised a fund of Rs 9,000-crore ($1.4-billion) from Tencent, eBay and Microsoft. The deal was led by China's Tencent with an investment of $700 million while eBay Inc contributed $500 million and also received Flipkart stock worth $200 million in lieu of its Indian operations. Microsoft, which recently signed an agreement with Flipkart to make Azure the etailer's exclusive public cloud platform, has put in $200 million to round off the deal.

Founded in 2004 with only Rs. 400000 now in 2014 tuned over 60,000 Crore company. You can not only buy books online through Flipkart, but also mobile phones & mobile accessories, laptops, computer accessories, cameras, movies, music, televisions, refrigerators, air-conditioners, washing-machines, Clothings, Footwears, Accessories, MP3 players and products from a host of other categories. After takeover of letsbuy.com now flipkart is largest player of e-commerce of India.
Flipkart Coupons
Flipkart Deals & Offers





Ø MYNTRA

Myntra is an Indian fashion e-commerce marketplace company headquartered in Bengaluru, Karnataka, India. The company was founded in 2007 by Indian Institute of Technology graduates - Mukesh Bansal along with Ashutosh Lawania and Vineet Saxena - with a focus on personalisation of gift items. By 2010, Myntra shifted its focus to the online retailing of branded apparel. In May 2014, Myntra.com merged with Flipkart. Myntra allows its users to choose varieties of dress. One can choose any type of dress of any brand from Myntra. The best thing about Myntra is its product quality and service. Now, Myntra is merged into Flipkart to compete Amazon, but myntra.com is still running as a separate website and entity. Buying clothes and gifts online can be best done via Myntra.

Myntra.com is leading online retailer of lifestyle and fashion products. Myntra offers T-shirts, Shoes, watches and more at discounted price.
Myntra Coupons
Myntra Deals & Offers





Ø AMAZON

Amazon is an American e-commerce company founded by Jeff Beroz, the chairman, president and CEO, in July 1994. Named Cadabra, Beroz changed it to Amazon in the year after its establishment. Headquartered in Seattle, Washington, it is the largest online retailer in the world in terms of sales. Although the company began its journey as an online bookstore, it later expanded in offering a wide variety of products - including its own brand called Amazon Basics. Over the years, Amazon has expanded to several countries - including India, and is now looking at 'revolutionize' shopping-in-store experience.

In 2016, Amazon created headlines by opening Amazon Go for its employees in Seattle, and on a trial basis. Making use of numerous sensors, the store charges a shopper's Amazon account as he/she picks and carries items out of the store. The company promises to cut back time spent in lines and checkouts, in a move that signals a shift from Amazon's base online.

World leader in e-commerce market recently started operation in India, Now Indians can buy Books, CDS and Electronic at cheaper price from Amzon.in. For limited time they offering free shipping.
Amazon Coupons
Amazon Deals & Offers





Ø SNAPDEAL

Snapdeal is an e-commerce retailer with their headquarters in New Delhi. The company was started by Kunal Bahl and Rohit Bansal in 2010. As of 2016, Snapdeal has 275,000 sellers, over 30 million products and has spread to over 6,000 towns and cities across the country. It began as a daily deals platform but on September 11, 2011 it expanded to online market. Over the years, Snapdeal has grown into a large marketplace for buying products and has given tough competition to their biggest rivals, Flipkart and Amazon.

In March 2015, Snapdeal brought actor Aamir Khan onboard for the promotion of its website in India.Recently after the demonetisation decision was announced by the government, Snapdeal announced the launch of a "cash@Home" service, which allows users to order cash and have it delivered at their doorstep for a certain fee.



SnapDeal offers everything from local daily deals on restaurants, spas, travel to online products deals. They offer you best price with free shipping.
Snapdeal Coupons
Snapdeal Deals & Offers









Ø EBay

EBay Inc. is a multinational e-commerce corporation, facilitating online consumer-to-consumer and business-to-consumer sales. It is headquartered in San Jose, California. eBay was founded by Pierre Omidyar in 1995, and became a notable success story of the .com bubble. 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. 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.

After almost 6month of dominating at number 1 eBay has come down at number two on indiafreestuff.in list. eBay.in is the Indian version of the popular online shopping portal eBay.com - world's online marketplace. eBay has a diverse and passionate community of individuals and small businesses. eBay offers used and fresh items with a wide network of international shipping. http://www.ebay.in
eBay Coupons
eBay Deals & Offers





Ø SHOPCLUES

Shopclues.com is the Indian subsidiary of Clues Network Inc., an American company. The Indian unit was started in 2011 and is based in Gurgaon, Haryana. It is amongst the top e-commerce companies in India. It was founded by Sandeep Aggarwal, a Washington University alumnus, and Sanjay Sethi, ex-Global Product Head of eBay. Shop clues has been able to create its own space and reached great heights in the Indian online shopping industry in a very short span of time. The net worth of Shopclues.com in June 2015 was US$ 9,09,68,286.

Shopclues is famous for their heavily discounted Jaw Dropping deals. Shopclues is one of the best online stores that offers a wide variety of cameras, Computer accessories, Mobile, Gift, Jewellery, Cosmetics, toys, clothes, books and bag. Their Jaw Dropping deal has become most liked deal of 2012.
Shopclues Coupons
Shopclues Deals & Offers





Ø JABONG.COM

An Indian lifestyle and fashion online major, Jabong.com was founded in 2012 and is headquartered in Gurgaon, Haryana. It provides a variety of lifestyle and branded fashion products and items to its customers, which includes shoes, clothes, watches, cell phones, home decoration products and so on. Today, it is one of the top e-commerce companies in India with a net worth estimated to be US$ 24,58,23,695 in June 2015.

Jabong Fashion & Lifestyle Store offers you great discount on all listed product. They offers wide range of products from Apparel to Home needs.
Jabong Coupons
Jabong Deals & Offers





Ø CRAFTSVILLA.COM

Crafts villa is an Indian e-commerce portal that sells ethnic apparel, footwear, fashion accessories, beauty products, handcrafted home accessories and other ethnic fashion and lifestyle products. The company is headquartered in Mumbai, Maharashtra. Craftsvilla.com uses an online marketplace model by aggregating artisans, designers and retailers from all over India onto a single platform and connects local artisans and designers directly to global customer.


Ø HOMESHOP 18

Here you find large range appliances, kitchen, cameras, mobiles, laptops, site, Indian, gifts, apparel, buy, online, gifts. and more, HomeShop18 is a venture of theNetwork18 Group, India's fastest growing media and entertainment Group. Network18 operates India’s leading business news television channels - CNBC TV18 and CNBC Awaaz. HomeShop18 has also launched India’s first 24 hour Home Shopping TV channel. The company has its headquarters in Noida, UP. The website has received the 'Best shopping site" award from PC World Magazine in 2008
Homeshop18 Coupons

· Homeshop18 Deals & Offers

ARGUMENT FOR ONLINE SHOPPING
Convenience. The convenience is the biggest perk. Where else can you comfortably shop at midnight while in your pajamas? There are no lines to wait in or shop assistants to wait on to help you with your purchases and you can do your shopping in minutes. Online shops give us the opportunity to shop 24/7, and also reward us with a ‘no pollution’ shopping experience.
Better prices. Cheap deals and better prices are available online, because products come to you direct from the manufacturer or seller without middleman being involved. Many online shops offer discount coupons and rebates as well.
More variety: The choices online are amazing. One can get several brands and products from different sellers all in one place. You can get in on the latest international trends without spending money on airfare. You can shop from retailers in other parts of the country, or even the world, all without being limited by geography.
You can send gifts more easily. Sending gifts to relatives and friends is easy, no matter where they are. Now, there is no need to make distance an excuse for not sending a gift on occasions like birthdays, weddings, anniversaries, Valentine's Day, Mother's Day, Father's Day, and so forth.
Fewer expenses. Many times, when we opt for conventional shopping, we tend to spend a lot more than planned. There are other outside expenses on things like eating out, transportation, and let's not forget impulse buys!
Price comparisons. Comparing and researching products and their prices are so much easier online. Also, we have the ability to share information and reviews with other shoppers who have firsthand experience with a product or retailer.
No crowds. If you are like me, you hate crowds when you're shopping. Especially during festivals or special events, they can be such a huge headache. Also, it tends to be more chaotic when there are more crowds out and this sometimes makes us feel rush or hurried. Grumpy, annoying, and smelly people also annoy me when I'm out shopping. Plus, parking becomes a huge issue. All of these problems can be avoided when you shop online.
Less compulsive shopping. Often times when we're out shopping, we end up buying things compulsively that we don't really need. All because shop keepers pressure us or use their selling skills to compel us to make these purchases. Sometimes, we even compromise on our choices because of the lack of choices in those shops.
Buying old or unused items at lower prices. The marketplace on the Internet makes it much easier for us to buy old or unused things at rock bottom prices. Also, if we want to buy antiques, there's no better place to find great ones.
Discreet purchases are easier. Some things are better done in the privacy of your home. Online shops are best for discreet purchases for things like adult toys, sexy lingerie, and so on. This enables me to purchase undergarments and lingerie without embarrassment or any paranoia that there are several people watching me.



ARGUMENT AGAINST ONLINE SHOPPING

Sometimes a deal that looks great falls short of what has been advertised. Communicating dissatisfaction can be difficult online and often takes enormous patience and tenacity to achieve satisfaction. Problem-solving face-to-face with local store employees is often faster and more satisfying.

Contacting the next level of management is much easier at local stores than online.

Other disadvantages of shopping online include:
Online shoppers do not have the ability to physically inspect or try on the items being considered for purchase.
Online shoppers sometimes lose the power to negotiate the price and payment terms that may exist in local stores.
Items ordered online are sometimes back ordered, but shoppers may not find out until weeks later. This is particularly problematic when buying gifts.
Online shoppers do not always know if a site is a legitimate retail store and if is safe to shop.
Restocking and shipping costs are often charged on returns.
Online shoppers often do not have a person (or the same person) to talk to when dealing with a problem.
It is sometimes easier to get money refunded locally when the item purchased drops in price within the guaranteed price period.
Online shoppers do not get to take advantage of seasonal statewide tax-free shopping events.

1. Online stores advertising free products will sometimes increase the cost of shipping so that they profit from the purchase