PREFACE

As a part of the BBA Curriculum and in order to gain practical Knowledge in

the field of management, we are required to make a report on “Study Of

Relationship Between Consumer Online Behaviour And Marketing Mix

Components” The Basic Objective behind doing this project report is to get

knowledge tools of different tools of marketing.

In this project report we have included various concepts, effects and

implications regarding the customers Attitude towards Online Shopping.

Doing this Project report helped us to enhance our knowledge regarding the

work in to the attitude of consumer towards celebrity advertisement Vs non-

celebrity we doing undergo many experiences related with our topic

concepts. Through this report we come to know about importance of team

work and role of devotion towards the work.

ACKNOWLEDGEMENT

To make any project, essential requirement is able guidance and references

without which project is incomplete. I am very much thankful to Mr.Amit

Kishore Sinha and who has provided us an opportunity and motivation to

gain knowledge through this type of project. We will get practical knowledge

from this project and this will help us a lot in our career.

We are also thankful to School of Management Sciences for providing

facility of library and computer laboratory, which are proved as valuable

input resources for preparing our project.

We are also obliged by our respondents, whose co-operation has contributed

major part in our project. At last but not the least, we are thankful to all our

colleagues, friends and other persons who have directly and indirectly helped

us during preparation of report.

Thank you.

Shubham Sarraf

BBA-VI

Roll No.: B/17/75

School Of Management Sciences

Varanasi

Index

S.no Particulars

1.

2. 3.

4. 5.

6.

7. 8.

9. 10.

11. 12.

13.

14. 15.

16. 17.

18.

19. 20.

21. 22.

23.

24. 25.

26.

Introduction

Marketing Marketing Concept

Features Of Marketing What can be Marketed

Functions of Marketing

Marketing Mix Product

Price Promotion

Place(Distribution) Online V/S Traditional Shopping

Survey

Questionnaire Survey Analysis

Average Opinion of Customer Survey Report 2016 of Online Shopping

How Much Shopping is done online

Age Group Respondents Does coupon deal Matter

Where do they search Coupons and Deals? Frequency of shopping online

App use isn’t always frequent

Reasons to Choose Online Shopping Type of products sold in the online Stores

The most Frequented E-Shopping Site

S.no Particulars

27.

28.

29.

30.

Preferred Payment Mode In Online Shopping Where does consumer Spend Their Shopping Time

Evaluation According to Gender, Age, Income, Education Conclusion

Cretificate

This is to certify that Master Shubham Sarraf of BBA-VI of

School Of Manangement Sciences, Varanasi During the

Academic Year 2013-16 Completed the Assigned Project

Under the Guidence Of Mr.Amit Kishore Sinha And has

Submitted a Satisfactory Account of his project.

Date:____________ ______________________________

(Signature of the Supervisor)

_______________________________

(Name of the Supervisor) ________________________________

(Designation of the Supervisor)

Declaration

I hereby declare that this Project Report titled “Study Of

Relationship Between Consumer Online Behaviour And

Marketing Mix Components” submitted to the School Of

Management Sciences,Varanasi and is a record of original work

done by me under the guidance of Mr. Amit Kishore Sinha

The information and data given in the report is authentic to the best of my knowledge.

This Project Report is not submitted to any other university or

institution for the award of any degree, diploma or fellowship or

published any time before.

Introduction To Marketing And Marketing Mix

What is Marketing ?

Marketing is based on thinking about the business in terms of customer needs and their satisfaction. Marketing differs from selling because (in the words of Harvard

Business School's retired professor of marketing Theodore C. Levitt) "Selling

concerns itself with the tricks and techniques of getting people to exchange their

cash for your product. It is not concerned with the values that the exchange is all

about. And it does not, as marketing invariable does, view the entire business

process as consisting of a tightly integrated effort to discover, create, arouse and

satisfy customer needs." In other words, marketing has less to do with getting

customers to pay for your product as it does developing a demand for that product

and fulfilling the customer's needs.

Marketing is a widely used term to describe the means of communication between the company and the consumer audience. Marketing is the adaptation of the commercial activities and use of institutions by the organizations with a purpose to induce behavioral change on a short-term or permanent basis. The American Marketing Association most recently defined Marketing as "the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large."

The techniques used in marketing include choosing target markets through

market analysis and market segmentation, as well as understanding methods of

influence on the consumer behavior. The marketing planning creates strategies

for the company to place advertising to the dedicated consumer.

From a societal point of view, marketing provides the link between a society's

material requirements and its economic patterns of response. This way

marketing satisfies these needs and wants through the development of

exchange processes and the building of long-term relationships.

Marketing are activities of a company associated with buying and selling a product or service. It includes advertising, selling and delivering products to people. People who work in marketing departments of companies try to get the attention of target audiences by using slogans, packaging design, celebrity endorsements and general media exposure.

Marketing Concept :

1.Market

An actual or nominal place where forces of demand and supply operate, and where buyers and sellers interact (directly or through intermediaries) to trade goods, services, or contracts or instruments, for money or barter.

Markets include mechanisms or means for (1) determining price of the traded item, (2) communicating the price information, (3) facilitating deals and transactions, and (4)

effecting distribution. The market for a particular item is made up of existing and potential customers who need it and have the ability and willingness to pay for it.

Market is one of the many varieties of systems, institutions, procedures, social relations

and infrastructures whereby parties engage in exchange. While parties may exchange goods and services by barter, most markets rely on sellers offering their goods or

services (including labor) in exchange for money from buyers. It can be said that a market is the process by which the prices of goods and services are established. Markets facilitate trade and enables the distribution and allocation of resources in a society.

Markets allow any trade-able item to be evaluated and priced. A market emerges more or less spontaneously or may be constructed deliberately by human interaction in order

to enable the exchange of rights of services and goods.

Markets can differ by products (goods, services) or factors (labour and capital) sold, product differentiation, place in which exchanges are carried, buyers targeted, duration,

selling process, government regulation, taxes, subsidies, minimum wages, price ceilings, legality of exchange, liquidity, intensity of speculation, size, concentration, information

asymmetry, relative prices, volatility and geographic extension. The geographic boundaries of a market may vary considerably, for example the food market in a single

building, the real estate market in a local city, the consumer market in an entire country, or the economy of an international trade bloc where the same rules apply throughout.

Markets can also be worldwide, for example the global diamond trade. National economies can be classified, for example as developed markets or developing markets

2.Customer

A customer (sometimes known as a client, buyer, or purchaser) is the recipient of a Good or a service, or a product, or an idea, obtained from a seller, vendor, or supplier via

a financial transaction or exchange for money or some other valuable consideration. Etymologically, a client is someone merely inclined to do business, whereas a purchaser procures goods or services on occasion but a customer customarily or habitually engages

in transactions. This distinction is merely historic. Today customers are generally categorized into two types:

An entrepreneur' or trader (sometimes a commercial Intermediary) who is a

dealer that purchases goods for re-sale. An end user or ultimate customer who does not re-sell the things bought but is the

actual consumer or an agent such as a Purchasing officer for the consumer.

A customer may or may not also be a consumer, but the two notions are distinct, even

though the terms are commonly confused. A customer purchases goods; a consumer uses them. An ultimate customer may be a consumer as well, but just as equally may have purchased items for someone else to consume. An intermediate customer is not a

consumer at all. The situation is somewhat complicated in that ultimate customers of so-called industrial goods and services (who are entities such as government bodies,

manufacturers, and educational and medical institutions) either themselves use up the goods and services that they buy, or incorporate them into other finished products, and

so are technically consumers, too. However, they are rarely called that, but are rather called industrial customers or business-to-business customers. Similarly, customers

who buy services rather than goods are rarely called consumers.

Features of Marketing:

Some of the most important features of marketing are as follows:

1. Customer focus

2. Customer satisfaction

3. Objective-oriented

4. Marketing is both art and science

5. Continuous and regular activity

6. Exchange process

7. Marketing environment

8. Marketing mix

9. Integrated approach

10. Commercial and non-commercial organizations

11. Precedes and follows production.

1 . Customer focus:

The marketing function of a business is customer-centred. It makes an attempt to study the customer needs, and goods are produced accordingly. The business existence

depends on human needs. In a competitive market, the goods that are best suited to the customer are the ones that are well-accepted. Hence, every activity of a business is

customer-oriented.

2 . Customer satisfaction:

A customer expects some services or benefits from the product for which payment is

made. If this benefit is more than the amount paid, then the customer is satisfied. In the long run, customer satisfaction helps to retain market demand. It helps achieve

organizational objectives. Customer satisfaction can be enhanced by providing value-added services, which includes providing additional facilities at little or no extra cost.

3 . Objective-oriented:

All marketing activities are objective-oriented. Different objectives are fixed at different levels, but the main objective is to earn profit from business along with the satisfaction

of human wants. Marketing activities undertaken by sellers make an attempt to find out the weaknesses in the existing system, and measures are taken to improve the shortfalls so that the objectives are achieved.

4 . Marketing is both art and science:

Art refers to a specific skill that is required in marketing activities of any type of

business. Science refers to a systematic body of knowledge, based on facts and principles. The concept of marketing includes a bunch of social sciences such as economics, sociology, psychology and law. It indicates market operations based on some

principles. Hence, marketing is an art as well as a science.

5 . Continuous and regular activity:

Marketing is an activity designed to plan, price, promote and distribute products. At the

same time, it also addresses both the current and future consumers. Thus, it is a continuous process. A marketer has to consistently monitor environment. This helps in

coming up with new products.

6. Exchange process:

Marketing involves exchange of goods, services and ideas with the medium of money.

Exchange takes place between sellers and buyers. Most of marketing activities are concerned with the exchange of goods. Functions such as distribution, after-sale services

and packaging help in the exchange process. Channels of distribution and physical distribution play an important role in the exchange process by creating place utility.

7 . Marketing environment:

Economic policies, market conditions, and environmental factors, such as political, technological, demographic and international, influence marketing activities. Marketing

activities are inseparable from such environmental factors. A successful marketer needs to adapt to these changing factors and adjust marketing strategies to suit new market

developments.

8 . Marketing mix:

A combination of four inputs constitutes the core of a company’s marketing system—product, price, place, and promotion. Marketing mix is a flexible combination of vari-

ables. They are influenced by consumer behaviour, trade factors, competition and government regulatory measures.

9 . Integrated approach:

The marketing activities must be co-ordinated with other functional areas of an organization. Functions such as production, finance, research, purchasing, storekeeping

and public relations (PR) are to be integrated with marketing. This will help in achieving organizational objectives. Otherwise, it will result in organizational conflicts.

1 0. Commercial and non-commercial organizations:

With the societal marketing concept gaining importance, social marketers are finding useful new ways of applying marketing principles. Commercial organizations are also

adopting cause-related marketing to strike long-term relations with consumers.

Business organizations such as educational institutions, hospitals, religious institutions and charitable trusts have also found meaningful applications of marketing. Thus,

marketing is applicable to both business and non-business organizations.

1 1. Precedes and follows production:

Identifying consumer needs and wants is the primary task of a marketing manager.

Production activities are adapted to these consumer needs. Thus, marketing precedes production. Marketing helps in the distribution of the goods which follows production.

Hence, production and marketing activities are closely related to each other.

What can be Marketed :

Marketing is typically seen as the task of creating, promoting and delivering goods and

services to consumers and businesses. In fact, marketing involves ten types of entities: goods, services, experiences, events, persons, places, properties, organisations, information and ideas.

1 . Goods:

Physical goods constitute the bulk of most countries’ production and marketing effort.

Examples are: refrigerators, television sets, food products, machines etc.

2 . Services:

As economies advance, a growing proportion of their activities is focused on the

production of services. Examples are: services include the work of airlines, hotels, car rental firms, barbers, beauticians etc. and professionals such as, Accountants, bankers, lawyers, engineers, doctors etc.

3 . Experiences:

By orchestrating several services and goods, a firm create, stage and market experiences.

For examples: travels, climbing Mount Everest etc.

4 . Events:

Marketers promote time-based events, such as trade-shows, artistic performance, Asian

Games, Sport-events etc.

5 . Persons:

Celebrity marketing is a major business. To-day, every major film star has an agent, a

personal manager and ties to a public relations agency. For Examples, artists, musicians, physician etc.

6 . Places:

Cities, states, regions and whole nations compete actively to attract tourists, factories, company headquarters and new residents. Further examples: commercial banks, local

business associations, real estate agents, Economic development specialists etc.

7 . Properties:

Properties are intangible rights of ownership of either real property (real estate) or

financial property (stocks, bonds etc.). Properties are bought and sold, and this requires marketing.

8 . Organisations:

Organisations actively work to build a strong, favourable and unique image in the minds of their target publics. Universities, museums, performing arts organisations and non-

profits all use marketing to boost their public images and to compete for audiences and funds.

9 . Information:

Information can be produced and marketed as a product. This is essentially what schools and universities produce and distribute at a price to parents, students and communities.

For examples, magazines, encyclopaedias, news-papers etc. supply information.

1 0. Ideas:

Every market offering includes a basic idea. “In the factory, we make cosmetics; in the

store we sell hope.” Social marketers are busy in promoting such ideas.

Functions :

1 . Gath ering and Analysing Market Info rmatio n:

Gathering and analyzing market information is an important function of marketing. Under it, an effort is made to understand the consumer thoroughly in the following

ways:

(a) What do the consumers want?

(b) In what quantity?

(c) At what price?

(d) When do they want (it)?

(e) What kind of advertisement do they like?

(f) Where do they want (it)?

What kind of distribution system do they like? All the relevant information about the

consumer is collected and analysed. On the basis of this analysis an effort is made to find out as to which product has the best opportunities in the market.

2 . Marketing Planning:

In order to achieve the objectives of an organisation with regard to its marketing, the marketeer chalks out his marketing plan. For example, a company has a 25% market

share of a particular product.

The company wants to raise it to 40%. In order to achieve this objective the marketer has

to prepare a plan in respect of the level of production and promotion efforts. It will also be decided as to who will do what, when and how. To do this is known as marketing planning.

3 . Pro duct Designing and De v elo pment:

Product designing plays an important role in product selling. The company whose product is better and attractively designed sells more than the product of a company

whose design happens to be weak and unattractive.

4 . Standardisatio n and Gradin g:

Standardisation refers to determining of standard regarding size, quality, design, weight, colour, raw material to be used, etc., in respect of a particular product. By doing so, it is

ascertained that the given product will have some peculiarities.

This way, sale is made possible on the basis of samples. Mostly, it is the practice that the traders look at the samples and place purchase order for a large quantity of the product

concerned. The basis of it is that goods supplied conform to the same standard as shown in the sample.

Products having the same characteristics (or standard) are placed in a given category or

grade. This placing is called grading. For example, a company produces commodity – X, having three grades, namely A’. ‘B’ and ‘C’, representing three levels of quality; best,

medium and ordinary respectively.

Customers who want best quality will be shown ‘A’ grade product. This way, the customer will have no doubt in his mind that a low grade product has been palmed off to

him. Grading, therefore, makes sale-purchase easy. Grading process is mostly used in case of agricultural products like food grains, cotton, tobacco, apples, mangoes, etc.

5 . Packaging and Labelling:

Packaging aims at avoiding breakage, damage, destruction, etc., of the goods during transit and storage. Packaging facilitates handling, lifting, conveying of the goods. Many

a time, customers demand goods in different quantities. It necessitates special packaging. Packing material includes bottles, canister, plastic bags, tin or wooden boxes, jute bags

etc.

Label is a slip which is found on the product itself or on the package providing all the information regarding the product and its producer. This can either be in the form of a

cover or a seal.

For example, the name of the medicine on its bottle along with the manufacturer’s name, the formula used for making the medicine, date of manufacturing, expiry date, batch no.,

price etc., are printed on the slip thereby giving all the information regarding the medicine to the consumer. The slip carrying all these is details called Label and the

process of preparing it as Labelling.

6 . Branding:

Every producer/seller wants that his product should have special identity in the market. In order to realise his wish he has to give a name to his product which has to be distinct

from other competitors.

Giving of distinct name to one’s product is called branding. Thus, the objective of branding is to show that the products of a given company are different from that of the

competitors, so that it has its own identity.

For instance, if a company wants to popularise its commodity – X under the name of “777” (triple seven) then its brand will be called “777”. It is possible that another

company is selling a similar commodity under AAA (Triple ‘A’) brand name.

Under these circumstances, both the companies will succeed in establishing a distinct identity of their products in the market. When a brand is not registered under the trade

Mark Act, 1999, it becomes a Trade Mark.

7 . Custo mer Suppo rt Serv ice:

Customer is the king of market. Therefore, it is one of the chief functions of marketer to

offer every possible help to the customers. A marketer offers primarily the following services to the customers:

(i) After-sales-services

(ii) Handling customers’ complaints

(iii) Technical services

(iv) Credit facilities

(v) Maintenance services

Helping the customer in this way offers him satisfaction and in today’s competitive age

customer’s satisfaction happens to be the top-most priority. This encourages a customer’s attachment to a particular product and he starts buying that product time and

again.

Marketing mix :

Definition: The marketing mix refers to the set of actions, or tactics, that a company

uses to promote its brand or product in the market. The 4Ps make up a typical

marketing mix - Price, Product, Promotion and Place. However, nowadays, the

marketing mix increasingly includes several other Ps like Packaging, Positioning, People

and even Politics as vital mix elements.

All the elements of the marketing mix influence each other. They make up the business

plan for a company and handled right, can give it great success. But handled wrong and

the business could take years to recover. The marketing mix needs a lot of

understanding, market research and consultation with several people, from users to

trade to manufacturing and several others

A planned mix of the controllable elements of a product's marketing plan commonly

termed as 4Ps:

1. Product

2. Price

3. Place

4. Promotion.

Product:

Every product is subject to a life-cycle including a growth phase followed by a maturity

phase and finally an eventual period of decline as sales fall. Marketers must do careful research on how long the life cycle of the product they are marketing is likely to be and

focus their attention on different challenges that arise as the product moves.

The marketer must also consider the product mix. Marketers can expand the current product mix by increasing a certain product line's depth or by increasing the number of

product lines. Marketers should consider how to position the product, how to exploit the brand, how to exploit the company's resources and how to configure the product mix so

that each product complements the other. The marketer must also consider product development strategies.

The amount a customer pays for the product. The price is very important as it determines the company's profit and hence, survival. Adjusting the price has a profound

impact on the marketing strategy and, depending on the price elasticity of the product, often it will affect the demand and sales as well. The marketer should set a price that

complements the other elements of the marketing mix.[4]

When setting a price, the marketer must be aware of the customer perceived value for the product. Three basic pricing strategies are: market skimming pricing, market

penetration pricing and neutral pricing. The 'reference value' (where the consumer refers to the prices of competing products) and the 'differential value' (the consumer's view of

this product's attributes versus the attributes of other products) must be taken into account.[4]

Price:

The second element P is Price, which is the value customer’s exchange for a product. When the price rises higher, the demand will lower. As the result, some customers will

not able to afford the high price product, or they will find other product to replace (Prices come from supply and demand: Supply and demand, 2012). In the other hand,

too lower price may not cover the cost. For instance, if the car costs only $100, the volume of sales will be increase because most consumers can bear the cost. In turn, if

the car price rises to $1,000,000, the demand will be decreased rapidly. Only a few people will be able to afford them. When prices rise, demand drops. In the past, price

may become a core factor because there are no more suppliers to fit the market, however, more and more C2C platforms have developed. To some extent, the Internet

allows the customer access to a large amount of information on website. Customer would use different filters to choose the product online. Furthermore, it is definitely promote the manufactures use competitive price and service to compare with other same

product operator.

All of the methods of communication that a marketer may use to provide information to

different parties about the product. Promotion comprises elements such as: advertising, public relations, sales organisation and sales promotion.[4]

Promotion:

Advertising covers any communication that is paid for, from cinema commercials, radio

and Internet advertisements through print media and billboards. Public relations is where the communication is not directly paid for and includes press releases,

sponsorship deals, exhibitions, conferences, seminars or trade fairs and events.

It refers to all the decisions related to promotion of sales of products and services. The important decisions of promotion mix are selecting advertising media, selecting promotional techniques, using

publicity measures and public relations etc.

There are various tools and elements available for promotion. These are adopted by firms to carry on

its promotional activities. The marketer generally chooses a combination of these promotional tools.

Following are the tools or elements of promotion. They are also called elements of

promotion mix:

1. Advertising

2. Sales promotion

3. Personal selling

4. Public relation

Place(Distribution) : Refers to providing the product at a place which is convenient for consumers to access.

Various strategies such as intensive distribution, selective distribution, exclusive distribution and franchising can be used by the marketer to complement the other

aspects of the marketing mix.[4][9] The last P is place, the distribution channel which is the location where the delivery the value. The role of the marketing channels is not only focus on the participate in demand satisfaction by offering goods, but also need to

stimulate demand through information, creating proximity and promotion by customer (Balasecu, 2014). In other words, distribution channels for the product is a system

process. Generally, majority of the product need a retail shop. But place also can be a telephone call center or a website.

The "seven Ps" is a marketing model that adds to the aforementioned four Ps, including "physical evidence", "people", and "process":[10] It is used when the relevant product is a

service, not merely a physical good.

Category Definition

Physical

evidence

The evidence which shows that a service was performed, such as the

delivery packaging for the item delivered by a delivery service, or a scar left by a surgeon. This reminds or reassures the consumer that the service

took place, positively or negatively. People The employees that execute the service, chiefly concerning the manner and

skill in which they do so. Process The processes and systems within the organization that affect the execution

of its service, such as job queuing or query handling.

Online v/s Traditional Shopping :

In recent years, the online shopping industry has absolutely exploded, to the point that

there are now many people who will only buy new products online. It’s not difficult to understand the potential benefits of online shopping, but at the same time there are also people who are sticking to ordinary shopping, and they have their reasons as well.

Ultimately, it certainly seems as if things are trending toward online shopping becoming more and more popular, but it is also highly unlikely that ordinary stores are going

anywhere. So, where do you stand on the issue? Here is a brief analysis of the factors that play into the debate.

All the Yes points :

1. Convenience 2. Selection 3. Immediacy 4. Quality 5. Saving Money 6. Discounts and offers

E- tailing has emerged as a significant retail force—consumers are shopping online. Now it's up to traditional brick and mortar retailers to respond.

With even more recent pressure on pure-play dot.com retailers, an integrated retail strategy seems to be in mode. Whether you adopt the creative label, or simply treat the

Internet as a channel extension of the physical store, the virtual world has much to offer the offline shopping experience and vice versa.

Online information capture is more detailed and frequent. Click stream data provides details on the way a consumer shops, while virtual shopping carts play the role of loyalty

cards that capture consumers' purchase habits. As a result, e-tailers can increase sales by targeting repeat buys based on personalized content for each shopper. More importantly,

e-tailers can mine consumer behavior data to turn switching decisions or abandoned shopping baskets into operational indicators of how to stock merchandise and serve

consumers.

Shopping is probably one of the oldest terms used to talk about what we have all been doing over the years, if possible, eras. Then again, in ancient times, the terms that would

have been used would be ‘trading’ or ‘bartering’ and probably even ‘market.’ So what has traditional shopping have to offer now that the internet has opened up a wider and

more enticing market to the current consumers?

What is online shopping?

Simply put, it is any form of sale that is done over the internet. Shopping has certainly

gotten a new definition since the arrival of the internet. Because of what the internet has to offer, that is, any person or company from any part of the world who is able to post and sell goods on the internet via a website is able to sell. What’s more, any consumer

does not have to worry about having to find means to exchange monetary paper because not just online banking is made available, the consumer is given the option to pay

through different payment methods. These days, it is even easier to find the most difficult of all products, by easily typing in the product or item that you are looking for.

One doesn’t have to worry about location because logistic companies are also joining the bandwagon, so to speak, and helps in making sure that their products would be available

to any and all destinations in the world. In fact, there are more and more advantages and benefits to online shopping and why people choose to do this type of shopping over

traditional shopping.

What is traditional shopping?

Imagine going to a store, think of your favorite store in the nearest mall to where you live. You get into the store, slowly walking from rack to rack, checking out the display,

putting a dress over your body and trying to check out your reflection on one of the nearby full-view mirrors that are placed all around the store. You move on to the next

display rack, and probably make another selection and do the same thing you did earlier. This is what traditional shopping is about. Having the ability to physically choose and

check out what an item or product is like, would look like, and what its features are. This is why some consumers still prefer the traditional type of shopping over online shopping

because for one, it allows them to meticulously check out an item. Some consumers are not quite certain with their own size, sometimes fitting a size that would normally be

bigger or smaller than their actual size. So in retrospect, while online shopping has not just numerous benefits and advantages as explained by many online consumers as well

as studies and surveys, there are still conventional shoppers who like to check out the product that they are interested in buying.

Thinking of shopping, you might come up with a sentence like “When comparing online shopping with traditional shopping, I found that online shopping seems to provide extra convenience while the traditional shopping provides a greater comfort factor.” Are you a shopper that prefers to shop online or a shopper that prefers shopping in the real store? Traditional shopping can be very time consuming if you haven’t made the decision of what to buy. By contrast, online shopping allows people to shop anytime, anywhere, and of course with no boundaries between countries. In fact, these two ways of shopping share the same purpose, which is buying things. Yet, there are some differences between them.

1. The first difference between online shopping and traditional shopping is authenticity. To make an appealing advertisement of products, some online shopping stores tend to exaggerate the facts of the products. By contrast, most traditional stores have no guts to do so. It is because real stores must display the products in front of customers in order to let them touch and feel the products.

2. The second difference between online shopping and traditional shopping is convenience. Shopping online reduces limitations. It is so convenient that you can shop anytime and anywhere. For example, you can easily visit the website, find the product you want to buy and wait for the product being delivered to you. If you need time to reconsider about the products, all you have to do is put the product in the virtual shopping bag or on the virtual wish list. Usually, you have topay additional shipping costs while shopping online. By contrast, real store shopping is not convenient for people who live far away from stores. Real store shopping istoo time consuming for customers to drive to the stores.

3. The last difference between online shopping and traditional shopping is the safety issue. Online shopping is not always safe. To make an order online, you have to expose personal data and credit card information. Some bad people can access personal information easily through online transaction andsteal it for unauthorized deals. That is to say, it is quite hard for consumers that buy stuff online to avoid exposing personal data.

In conclusion, both kinds of shopping have merits and shortages. The benefits of both shopping online and shopping in real stores are countless. However, it is true that sometimes merits could become shortages and vice versa, depending on the different perspectives that people hold.

Survey Report Of Consumer Online Buying

Behaviour

Questionnaire Given For Survey :

A STUDY OF RELATIONSHIP BETWEEN CONSUMER ONLINE BUYING AND SELECTED SERVICE

MARKETING MIX COMPONENTS

Questionnaire

Age (years) 18-25 26-35 36-50 Above 50

Education 10th 12th Graduate PG Other Income per annum (Family income)

Below 2,50,000

2,50,000-5,00,000

5,00,000-10,00,000

Above 10,00,000

Gender Male Female Occupation Business/

Profession Service Housewife Student Other…………

……

Marital Status Single Married

You like to purchase product through Internet due to:

1-

Definitely No

2 3 4 5 6 7-

Definitely Yes

Easy to search tools on Website

Mobile App facility

Payment through my preferred bank

Good Product Replacement policy

Good Money Refund policy

Online tracking facility of ordered products during transit

Any time and any place product purchase facility

Why did you purchase through Internet (Please specify reason):

the appropriate box

Survey Analysis :

These are the analysis of questionnaire of 100 people Survey :

Age

18-25 26-35 36-50 Above50

26 40 24 10

Education

10th 12th Graduate PG

8 28 38 26

Income

Per annum

Below 250000 250000-500000 500000-

1000000

Above

1000000

8 18 38 36

Occupation

Businessman Service Housewife Student

30 30 16 24

Gender

Male Female

60 50

Marital

Status

Single Married

64 36

People’s Average opinion Held by the

Questionnaire :

1.Easy to search tools on Website : 76% of people think it is easy to

search on websites than app. 2.Mobile App facility : 87% uses application and consider it more

handling and easy.

3. Payment through my preferred bank: 53% of people find there preferred banks credit/debit card on online Shopping

4. Good Product Replacement policy : 75% of the people are in

favour of the replacement policy of various online companies 5. Good Money Refund policy : 39% of customer are only satisfied

with the refund policy of Traders

6. Online tracking facility of ordered products during transit : 47% of people uses the traking Facility available to them

7. Any time and any place product purchase facility : Almost 92% of the people are enjoying the facility of “Shop any time any Where”.

Survey Report 2016 of Online Shopping :

Online shopping is rapidly picking up pace in India, and most of the retailers now

understand the potential of online shopping. The estimated size of current e-commerce

in India is approximately $1.6 billion in sales, and this is expected to grow by 2 to 4

times in next 2 to 3 years.

Our Top findings were -

1 .Comfort of Shopping Online as Important as Discounts for Online shoppers:

74% of the respondents listed the convenience to shop as the most important reason to shop online, which was on par with discounts. The product diversity was the second most important reason, cited by over 50% of respondents.

2 .50% of respondents considered for getting more variety of Goods:

Now a days you will get the maximum variety of your favorite good and services.Goods like clothing and Accessories have the vast variety of stuffs and even

electronics are best to Purchase

3 .74% of Respondents Look for Discounts and Coupons Before Purchasing:

When asked about Coupons and Discounts, over 95% of the respondents said they look for deals and coupons while shopping. This result was as expected as we saw

respondents earlier mentioned discounts as key to their shopping online. The survey also confirms that coupons are the most important factor while making any purchase. Sites like CouponRani.com have been increasingly fuelling this very need of the

customer by offering coupon from 1000+ online merchants in India.

How much shopping is done online?

Over 27% of respondents shared that their 50% of all shopping activity is

done online. This was hugely surprising and inspiring as online shopping

only constitutes 1-3% of total retail market in India. 31% of surveyed people

admitted that online shopping constitutes less than 30% of their overall

shopping activity. With retail companies taking a big leap in reaching out to customer through online media, customers are putting bigger pie of their shopping budget to online shopping. Only 31% audience said they shopped less than 30% of the time online. It was found that 27% of the respondents said they did 50% of shopping online. This result was surprising to us and showed how a large population of youngsters are comfortable with online shopping.

Age Group Respondents :

Survey Data: Majority of the survey respondents - over 53% - were below 25 years - We

believe this is similar to distribution of people shopping online. Facebook data (ad

panel) shows over 60% of Facebook users in India are below 25 years.

Detailed Survey Results :

Majority of our respondents were below 25 years We had over 100+ people answer our online survey. The survey was conducted on few of our online web properties which are focussed on Deals and Coupons.During survey it was found that majority of the customers - over 53% belong to 0 - 25 years and 40% of the customers were in 26 to 40 years age group. We believe this suggests that the young generation are more incline to online shopping. This also matches with % of people that are online by age group. Facebook usage data from their ad panel shows over 68% of their users in India are below 25 years.

Does Coupons and Deals Matter?

Besides convenience, coupons and deals are the most important factors for an

online shopper in India. It was revealed that 95% of all respondents search for

coupons and deals before making any online purchase.

This throws light on the price war which is currently going inside Indian

ecommerce market. And most probably, this is the reason that so many

eCommerce startups are shutting their shops. Digital Entrepreneurs need to

find creative ways to offer coupons and deals for customers, so that price is

not compromised and the shopper get more value for money. This is a factor

which will need more brainstorming and testing.

Where do they search Coupons and Deals?

Coupon sites are top destination for searching attractive deals and coupons

for online purchases, as 74% of respondents told that they visit such sites

before making a purchase. 46% of respondents used Google to search for

these coupons and 42% relied on Social Media. 33% visited Merchant sites

and 16% searched newspapers to get some good offers and discounts.

The survey results tell us that today’s Indian online shopper is smart and

suave. He is empowered with knowledge and he knows what he wants. He

wants to save his time and money and will leave no stone unturned to

discover the best possible deals. He is comfortable using internet and doing

shopping online.

Frequency of shopping online :

Among the 100 samples, the respondents included both males and females

aged from 20 to 50, with the gender proportion of 46.8% and 53.2%

respectively.

According to the survey, 45.8% of the respondents do shopping online twice

to four times every month, 19.2% five to nine times, 16% even more than 10

times, 15.2% less than once, and only 3.8% never try to go shopping this

way.

The survey showed that consumers choose to go shopping online mainly on

account of its time saving and convenience, followed by the advantages as

affordable price and abundant commodity varieties. Moreover, there are

other contributing reasons that attract more and more consumers to do

shopping online. For instance, they can buy commodities that are not

available in local places or they can buy what they want up to date.

App use isn’t always frequent :

A consumer downloading your app is not a guarantee that it will be used. In

fact, Forrester reports that most surveyed shoppers use retail apps rather

infrequently.

Takeaway: Users need an incentive to use your app, and ads are a great way

to give them a reason to open it. Target people who have recently

downloaded your app with re-engagement ads featuring limited time sales,

exclusive products, or coupon codes. Make sure those ads run on mobile

devices; that way you can use deep linking to drive users directly to your

app.

Reasons to Choose Online Shopping :

1. 81.3% Tax saving and Convenience

2. 78% Cheaper Price

3. 75.4% Abundant Varieties

4. 46.4% Target Commodities which are not Available Locally

5. 39.7% Fashionable Persuit

6. 2.3% Other Reasons

Type of products sold in the online Stores :

2/3 of the ‘best e-commerce sites’ sell clothing online.That confirms data

from an earlier online shopping behavior survey saying that clothing is

the most popular product buyers shop for online.

1. Clothing-76.7%

2. Beauty & Bath Product-34.9%

3. Electronics-25.6%

4. Home Décor & Accessories-25.3%

5. Jewellery-23.3%

6. Furniture-23%

The most Frequented E-Shopping Site:

Flipkart was the most frequented e-Shopping site. It was followed by

ebay, Snapdeal and Jabong. Among booking sites, IRCTC was at the

top followed by Bookmyshow, MakeMyTrip, Yatra and Cleartrip.

Preferred Payment Mode In Online Shopping :

The survey finds that 59% of the respondents used credit card to

shop online, while 28 per cent used debit card, reflecting the

maturing of consumer behaviour in urban markets. 40 per cent of the

respondents, however, mentioned that they opted for cash on

delivery as their payment mode. A total of 50 responses were

received by the survey.

Where does consumer Spend Their Shopping Time

:

According to the Survey :

* 61% of consumer shopping time is spent in stores.

* 31% of consumer shopping time is spent online; with 4% via mobile, and

4% by catalog.

Evaluation According to Gender, Age, Income,

Education :

The same survey goes on to answer the question of “Would people shop

online using their credit cards?”, 40.8 % of the respondents say that they will

not shop online. And as far as trusting the local web sites, just 6.64 % of the

respondents answered positively. The above graph shows that still there is a

long journey to go. Although the percentage of those who use the Internet and

know about the online shopping possibilities is high, the percentage of people

who shop online is very low. People still prefer traditional ways to shop

because they still do not trust the Online Purchasing through Credit Card.

Conclusion :

The market share in India is one of the fastest growing e-commerce markets in Asia-

Pacific and the industry expecting it to grow $8.8 billion by end of 2016.

India has encountered a great exponential increase in its online market. The youth of our

country have contributed a lot to this increase irrespective of the geographical locations. The people of age group 15-25 years literally live and breathe through internet. Purchasing items with just few clicks has become the newest and the latest trend of

shopping, which has not only saved time but more importantly money. In today’s world, no one has time to walk to different shopping malls or to cover great lands to buy

products to fulfill their daily needs.

Online shopping has grown to new heights over the last decade and shows no signs down. The Internet has brought practically every store in the world to the fingertips of

anyone with Internet access. Shopping online gives the user the opportunity to search for the product they want through endless avenues. Online shopping has grown so large that

many companies are not investing in buildings and mall space, rather in online websites and web advertising. Through this paper I will discuss the reasons why shopping online

is a better alternative to traditional shopping.

The first benefit of online shopping is the convenience. While others are out fighting traffic and waiting in lines, online shoppers are home relaxing. Online shoppers can go

from store to store with a flick of a mouse, while traditional shoppers have a walk, drive or cant get to the stores they want. Online shoppers also benefit when it comes to

comparison-shopping. Traditional shoppers have to put a lot of work into comparison-shopping.

They have to drive from place to place to find items and price and go onto the next place. This can be exhausting and stressful. The online shopper can do this from his or

her couch. Online shoppers can search the planet for the product they are looking for, while traditional shoppers are limited to a small area. Saving money is always a concern

when shopping. Many people argue that shipping is the downfall of online shopping. The truth is that if you take all things into consideration shipping charges are minor.

Often time the money you spend on gas, food, and time far outweighs the cost of shipping.

In conclusion I think that the comparison to online shopping versus traditional shopping

is that online shopping makes it more convenient for every one who doesn’t have a car or transport.