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LEMERY SENIOR HIGH SCHOOL

Factors Affecting Consumers’ Buying Behavior Towards Online Shopping

S.Y 2020-2021

A research Paper presented to the

Faculty of Lemery Senior High School

Lemery, Batangas

In partial fulfillment

of the requirements for Practical Research 1

Grade 11 Senior High School

By:

ABM 11-2 Group II

Leader: Valencia, Jan Julia F.

Asst. Alteza, Lady Ann

Secretary: Calanog, Jenica Mae

Barredo, Cherry Ann, Magsino Faith

Barredo, Kimberly, Aquino Lyndon

Cueto, Jean Aivie, Marcellana Aeron

Dela Rosa, Catherine


LEMERY SENIOR HIGH SCHOOL
Approval Sheet

This research study entitled “Factors Affecting Consumers’ Buying Behavior


Towards Online Shopping” prepared and submitted by Group II (ABM11-2), in partial
fulfilment of the requirements for the subject Practical Research 1, has been examined
and is recommended for acceptance and approval for Oral Examination.

EUNICE GRACE R. MENDOZA

Research Adviser

PANEL OF EXAMINERS

Approved by the committee on Oral Examination with the grade of

___________________

Jay Pee R. Morales

Chairman

Zandra B. Atienza Marina R. Villanueva

Member Member

Approved and accepted in partial fulfillment of the requirements for the subject Practical
Research 1

Noted by:

Simeona Rechie C. Ojales, Ed. D Principal II

Abstract
LEMERY SENIOR HIGH SCHOOL
In the era of globalization electronic marketing is a great revolution. Over the

last decade maximum business organization s are running with technology change.

Online shopping or marketing is the use of technology for better marketing performance.

And retailers are devising strategies to meet the demand of online shopper; they are

busy in studying consumer behavior in the field of online shopping to see the

consumer’s behavior towards online shopping. Therefor we have also decided to study

consumers’ behavior towards online shopping and specifically studying the factors

influencing consumers to shop online.

The population selected for the research is Lemery, and narrowed down to

Lemery online shoppers, the sample size selected for this research is 10 and we used

purposive sampling technique wherein the selected respondents are those who can

only satisfy the given qualifications in answering all the problems that was specifically

created for online shoppers.

The researchers interviewed 10 online shoppers of ages 16-43 by means of

asking a free response type of questionnaire which is based on the purpose and

statement of the problem of this research. The questions that the researchers provide

are about the respondent's opinions and experience in online shopping

Keywords: Consumer; behavior; online shopping; online shopping factors; Lemery

Acknowledgement
LEMERY SENIOR HIGH SCHOOL
First of all, we would like to say thank God the most beneficent and merciful,

who has provided us the courage and health to complete our work. Secondly we would

like to thank our families back home who have supported us and encouraged us for our

work. We full heartily appreciate to our friends and our former classmates here in

Lemery in supporting us upon conducting this study.

With our deepest gratitude to our subject teacher Mrs. Eunice Grace Mendoza

and Mr. Jay Pee Morales for their encouragement, motivation and help throughout the

dissertation work., without their support it would be difficult to complete the work in

limited time period. Our special thanks to Mrs. Eunice Grace Mendoza who has helped

us a lot in data analysis.

Last but not the least we would like to thank all the respondents who

participated in our survey and my fellow classmates and to those who have directly and

indirectly supported

ABM 11-2

GROUP II

Dedication
LEMERY SENIOR HIGH SCHOOL

Table of Contents
LEMERY SENIOR HIGH SCHOOL

Chapter I

The Problem and the Background

1.1 Background of the Study


LEMERY SENIOR HIGH SCHOOL
Consumer buying behavior refers to the actions taken (both on and offline by

consumers before buying a product or service. It is also referring to the buying behavior

of the ultimate consumer. The background of this study is collected from a wide range of

source materials like literature, books and journals, internet database, reports and also

literature. The main concept of consumer behavior is to give an information or feedback

in the marketplace and the underlying motives for those actions. History of consumer

behavior seems to be highly intertwined with the history of marketing thought. It

attempts to forecast emerging trends in consumer behavior research and a theory as a

consequence of new and emerging schools of marketing thought. Marketing kept its

focus on individual customers but began to borrow more and more from the behavioral

schools of marketing thought.

Online shopping has thus far tended to be a niche business - highly successful

in selling digital products such as shares, software and, increasingly, music and films, it

has been less successful in persuading the purchasers of "traditional" goods such as

cars, clothes, toiletries, or household appliances to forsake their physical retailers and

move into cyberspace. (Swatman & Chin 2004). According to Oxford Dictionary, online

shopping is the action or activity of buyinggoods or services over the Internet. This type

of shopping is a continuous and growing trend globally. By means of the term “globally”,

the Philippines had no escape with it.

Websites like Lazada, Zalora, OLX, Shop This Easy, Ayos Dito, Widget City, Keekay.ph

and Goods.ph proves online shops‟ popularity in the country. Recent statistics from

Statista stated that the revenue of the Philippine’s e -commerce market amounted to

US$ 1,237 M (Php 62,346,500) last year. The market penetration reached 32.2 percent.
LEMERY SENIOR HIGH SCHOOL
An estimated total of 33.81 M users is recorded. Meanwhile, electronics and media

serve as the largest segment with a market volume of US$543 M (Php 27,367,900,000).

This year, estimated revenue of the country’s e -commerce will strike to US$ 1,491 M

(Php 75,148,500) with the same largest segment as last year. The number of users is

expected to hit 37.75 M with an increase of 1.42% market penetration. By 2022, it is

predicted to continuously grow with 53.8 M users with market penetration of 46.95%

and total revenue of US$ 2,169 M (Php 109,321,000).

With the growth of e-commerce in the country, it is important to understand the

factors why people resort to online shopping than the traditional one. People relied on

the internet on a daily basis may it be on social media platforms or the gadget

application. Many studies were produced during the past years, some of which are

pertaining to information systems usage behavior (i.e. theory of reasoned action,

technology acceptance model, theory of planned behavior, and social cognitive theory).

But not only the information systems and technology itself should be given focus but the

user himself.

1.2 Statement of the Problem

The study aims to determine the factors affecting the consumers' behavior

towards online shopping. The findings of this research will not only help Lemery

marketers to formulate their marketing strategies for online shoppers but will also
LEMERY SENIOR HIGH SCHOOL
increase the knowledge and research in field of online shopping. Specific questions that

the researcher aims to answer are the following:

1. What are the factors that affects the behavior of consumers towards online shopping?

2. What are the key factors that motivates consumers in Lemery to purchase products

through online? How does an online shopper choose where to buy online?

3. Why people prefer to buy online? Despite of dangers in online shopping?

4. What are the advantages of online shopping to shoppers?

1.3 Significance of the Study

The study defines the consumers’ buying behavior on online shopping. The

study talks about, what are the reasons why people preferred to buy online rather than

buying in traditional way?

The benefits of studying consumer's behavior have significant bearing on

marketing and public relations decisions. Studies focusing on consumer behaviors yield

important information and insight into what consumers are thinking. With these insights,

marketing and public relations firms may enhance their particular marketing campaigns

to successfully connect with consumers. This study will not only help to understand the

past but even predict the future. The significance of this study is for the online marketers

who are obligated in terms of online buying and online consumers. Marketers should

know the services that they can offer to meet the satisfaction of a buyer. Marketers also
LEMERY SENIOR HIGH SCHOOL
should know what are the factors or the things they need to make people pursue their

products.

This study aims for the benefit of entrepreneurs who are planning to start online

business. It will be very beneficial for online marketers to use this study in order for

them to have better knowledge regarding the behavior of their potential customers. By

means of knowing the factors that affecting the consumer's buying behavior towards

online shopping, the online sellers may come up with the idea of improving their

services, in order to have lots of customers. The findings of this study will be a great

benefit to the online retailers considering that its population is increasing as the online

shopper increases. As this study aims to discover the consumers' attitude and behavior

towards online shopping, retailers would have knowledge on what to improve regarding

their service and products. Furthermore, this study would be very beneficial to the

researchers as this study would provide them information

In the world of business, the consumer's buying behavior is necessary for the

companies to determine how to keep their business going. Consumer's buying behavior

refers to how customers behave while deciding what products will they purchase and

use a certain product that will satisfy their needs and wants. Study of consumer buying

behavior is most important for marketers as they can understand the expectation of the

consumers. It helps the company to assess what kind of products will they release to

the market.

The company can understand the likes and dislikes of the customers. It also

studies about the various situations such as what will customers buy, when do they buy

and why do they buy that certain item or product.


LEMERY SENIOR HIGH SCHOOL
Understanding customer behavior is essential for a company to find its own

success. Every customer has a different perspectives and ways of purchasing an item.

Also, we have different style and tastes on products. In business, consumer

differentiation is a way to identify and helps to make a target group of customers that

has a similar behavior. Although each group are different with their wants and needs,

the company can still get a chance to make a separate process of designing a different

product that is important for the customers. Consumer behavior is not just to attract for

new customers but also useful to retain existing buyers.

When customers are happy and satisfied to a particular product, it can convince

them to buy that product again and it will also gain another customer. We should focus

on the satisfaction of the consumers. That is why we should keep the quality of the

products and the services to the customers so that they will purchase again.

1.4 Scope, Limitation and Delimitation

This study is conducted primarily for the purpose of identifying the consumers

‘behavior towards online shopping and how it affects them. It seeks to know the key

factors that motivate consumers to buy online. The main source of data was through an

interview with 10 respondents. This study is limited only on the online consumers, ages

16-43 years’ old that have experienced and tried shopping online. The location of who

the interviewers had interviewed is not exceeded in the borders of Lemery.

The interviews were conducted within three days because of the limited time given by

our research adviser. The limitations of this study are the interviewee have limited

responses and did not have brief explanations for their answer.
LEMERY SENIOR HIGH SCHOOL
Chapter II

Reviews of Related Literature and Studies

2.1 Related Literature

E-commerce is becoming the „new normal‟ in Southeast Asia, as consumers in

the region take to online shopping because of the variety of goods and services

available, competitive pricing and improved delivery options make the whole process

much easier. Mobile devices such as smartphones have also brought online shopping

to the palm of our hands (Tomlinson, 2015). Convenience garnered 52 percent as the

top reason why Filipinos love to shop online. Other reasons are door-to-door delivery,

affordability, and accessibility.

The increasing engagement in online shopping, coupled with payment

technologies available in the market, ensure robust growth and steady development of

local e-commerce businesses. (Visa Consumer Payments Attitude Study 2015).

The Philippines‟ e-commerce industry has about 10 million customers every

day. E-commerce makes Filipinos more efficient, so they cannot lose time to traffic,

they can work more and generate more income for the country (Balci, 2017). He cited

that heavy traffic is one of the causes as to why people turn to online shopping.

Even though not a large number of Filipinos are active cardholders, it does not

hinder the growth of the e-commerce industry in the country. Most people prefer to shop
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with their gadgets mostly of which are smartphones and others to be desktops and

laptops. Due to this preference, it was predicted that soon a rise of the m-commerce

(mobile commerce) will be observed.

MasterCard produces Online Shopping Survey annually. During the 2012

study, it was found that local deals and promo websites took over the country’s e

-commerce caused by cautiousness. Security topped the list of concerns from

respondents. It was then followed by the speed of transaction.

According to the 2014 study, more individuals rely on mobile phones in

purchasing products online as it enables them to do it on the go. Ease (73.3 percent)

and convenience (71.9 percent) are cited the most out of the reasons why Filipinos are

satisfied to shop online.

Marketing consumers provides a means for developing one-on-one

relationships with consumers and establishing consumer databases for conducting

online research. Online business-to-consumer marketing requires marketers to

understand consumers and deliver the products and services consumer want, need, just

as traditional marketing does (Peter, J.Paul; Olson, Jerry C., 2009)

The Philippines is a thriving market for investors as the country's economic

situation is growing: the majority of the population was young workers, fervent internet

users. Inspired by this vibrant market the Filipino e-commerce scene is bubbling as

more young entrepreneurs are launching their businesses. Most of these companies are

specialized in financial technology, new technologies, health care, social development,


LEMERY SENIOR HIGH SCHOOL
real estate, tourism, education, services, or on device services. Front runners stand-out

of this scenesuch as Zip match (real estate), Pouch (technology), Lenddo (financial

technology), Paynamics (financial technology), and Carmudi (retail), according to

Euroasia Research Experts.

78% of e-commerce sales are made in products and services. In those 78%,

the majority of sales are leisure related (52% for travel and airlines, 18% for

entertainment). Only 3% are spent for food which is really low considering that foods are

the largest section of Filipino families‟ expenditures. This shows that online food e-

commerce isn't yet a very challenge business and could be an opportunity in the

Philippines(DigitalMarketingPhilippines.com). The figure below shows the strength,

weakness, opportunity, and threats of the online market in the Philippines. One of the

strengths included is the high internet and mobile penetration. In this country where

there is an estimated 101.1 million people, 44.2million are active user’s zee (44%), 42

million are active social media users (42%), 114.6 million has mobile connection (113%)

and 36 million are active mobile social users (36%). (We Are Social,

DigitalMarketingPhilippines.com)

Milorad Kilibarda (2019) discussed in his article entitled "The Influence of

Online Shopping Determinants on Customer Satisfaction in the Serbian Market" through

Scielo's webpage. Consumer satisfaction is the result of comparing the expectations

and the experience; in other words, the consumer is pleased when the delivery meets or

exceeds their expectations. Satisfaction and loyalty are the key elements determining

the success of the market concept implementation. Satisfied customers are the ones
LEMERY SENIOR HIGH SCHOOL
that will repeat the purchase if the service provider reached or exceeded their

expectations. It is significant to identify the variables of consumer satisfaction, since

they present the business benchmark and serve as a guide to future improvements.

There are eight determinants identified as important for customer satisfaction; those are

the following: web design, security, information quality, payment methods, e-quality of

the service, product quality, product range, and service provision.

On the other hand, argues the following to be the determinants of consumer

satisfaction: consumer interface quality, information quality, perceived quality, and

privacy. The literature is closely related to the current study for the researcher also

tackled about the consumer's behavior in online shopping at their native place. Our

common objectives are to determine the different underlying factors that affects online

shopping and to gain knowledge about the active strategies conducted by online shop

owners.

Järvenpää, Todd, Järvenpää, and Todd (1997) proposed a model of attitude,

behavior, and shopping intention towards Internet shopping in general. The design

includes several indicators classified into four broad categories like product value,

quality services offered through the website, the shopping experience, and the risk

perception of the online shopping. Chang, Cheung, and Lai (2005) studied categories of

variables, which drive online shopping activity. In their study, they divided the features

into three broad categories. Perceived characteristics of the web sale channel are the

first one which includes risk, online shopping experiences, advantage, service quality,

trust. The second category is a website and product features which are risk reduction

measures, site features, and product characteristics; and the last group is consumer
LEMERY SENIOR HIGH SCHOOL
characteristics. Various types of features, demographic variables, consumer shopping

orientations, consumer innovativeness and psychological variables, computer, Internet

knowledge, and usages drives consumer characteristics.

This is similar to the present study because it both discussed the behavior of

consumers towards online shopping. It showed the improvement and enhancement of

technology that played a big role in our lives. The difference between our studies is we

narrowed our target population to get the concrete and desired results.

Schiffman and Kanuk (2006) noted that consumers have different types of

involvement for different products. Consumers can be involved not only with a product

but also with the purchasing processes, consumption of the product and the

communications process. These different involvement levels can form an overall profile

of consumer involvement that encompasses purchasing and consumption occasions, or

they can be treated as separate types of involvement that focus on a particular

consumer-object context. The relevance of a consumer’s need determines the level of

involvement with the product that satisfies the need (Bloch & Richins, 1983; Havitz &

Mannell, 2005; Laurent & Kapferer, 1985; McQuarrie & Munson, 1987; Ogbeide &

Bruwer, 2013). Thus, consumer involvement is not a stable state for all products, but

varies for individual

products. That is why consumers show indifference towards some products and great

passion for others (Andrews et al., 1990; Schiffman & Kanuk, 2006

Studies have reported that a consumer has two main involvement variants:

situational involvement (SI) and enduring involvement (EI), (Bowen & Chaffee, 1974;

Day, 1970; Laurent & Kapferer, 1985; O’Cass, 2000; Schiffman & Kanuk, 2006).
LEMERY SENIOR HIGH SCHOOL
Consumers experience situational involvement such as attraction or distraction that

affects their cognitive ability to process information (Schiffman & Kanuk, 2006) or

process the same information consistently or in different ways. Situations such as a

special promotion, discount price, ‘End of Year’ or season bonanza, or special

merchandising displays can trigger unusual states of anxiety such as a lost shopping list

and thus impact on the opportunity and ability to make purchase decisions (Beharrell &

Denison, 1995).

As said by Raman (2014) online retail market in India has been emerging at an

extraordinary rate. With the growing internet diffusion and broadband availability, and

increasing usage of Smart phones and tablets, Indian population have started buying

products online. According to a report by Gartner more than 30% of the traffic on online

shopping portals is coming from smart phones and tablets. E-commerce industry has

picked up pace and has been striding leaps and bounds over the past few years. This

scenario is estimated to carry on as the market is expected to reach $14.5 billion by

2018. Forrester Research projections for Asia-Pacific also portray the rapid growth of e-

commerce market in India. The prediction depicts e-commerce’s growth in India, where

sales are expected to grow by 57% yearly till 2016. It will reach $8.8 billion by 2016.

This demand is backed by increase in consumers’ online buying behavior and growing

penetration of technology.

According to Nguyen & Nham (2014), online customer loyalty has been the

dominating behavioral issue in researches of customer service. The reason is that

customer loyalty nowadays is critical to many aspects of the society, including the e-

commerce field. The central thrust of the marketing activities of a firm is often
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considered to be development, maintenance, or enhancement of customers’ loyalty

towards its products/services.

2.2 Related Studies

Internet is changing the way consumers shop for goods and services and has

rapidly evolved into a global event. Rowley Jennifer, (1998) examined that internet is

becoming a hotbed of advertising, shopping and commercial activity. Buying online has

become the third most popular internet activity following the e-mail usage and web

browsing. This can be considered as an exchange of time, effort, and money for

receiving products or services. It is the process whereby SMEs directly buy goods or

services from seller in real-time, without an intermediary service. It represents the

automation of traditional paper-based business processes.

"Today's consumer no longer goes shopping, but is shopping, all the time and

everywhere. And in a truly global online marketplace, competition is no longer limited to

local shops during regular business hours. Consumers can easily buy from retailers and

manufacturers located anywhere in the world-or from those with no physical retail

locations at all." (Willy Kruh, Global Chair, Consumer Markets, KPMG International).

Because of the internet, becoming the center of hot issues, Hsieh et al., (2013)

stated that internet is influencing people’s daily life more so as compared to past.

People’s daily activities have gradually shifted from physical conditions to virtual

environment. The shopping and payment surroundings have also changed from

physical store into online stores. And online shopping got out of the box and it is taking

all over worldwide. Jush andLing, (2012) defined online shopping as the process a
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customer takes to purchase a service or product over the internet. A consumer may at

his or her leisure buy from the comfort of their own home products from an online store.

Because of the fast pace of online shopping the incredible advances of

information technology have changed the face of the business-to-business transactions.

Business buyers are purchasing all kinds of products and services electronically. Such

cyber purchasing gives SMEs access to new suppliers, lowers purchasing costs, and

hastens order processing and delivery (Armstrong and Kotler, 2004). Merchants need to

understand the needs, interests and expectations of their potential customers. That

means knowing not only what they want to buy, but how and where they prefer to

purchase. And most importantly, be responsive to their biggest concerns: price,

selection, shipping and security. (Zegras, 2015) Merchants can also undergo change

and going with the flow of this change to meet their expectations as sellers.

Consumers have started gathering a great deal of product information online,

and to date, the most studied online behavior among TV viewers has been searching for

advertised brands and products using search engines (e.g., Joo et al. 2014). Because

of these, it is obvious that the consumers who buy online have a behavior of what and

why they shop online. The attitude and behavior of SMEs‟ towards online buying are

two main factors that affect e-buying potential. Based on several studies, the major

reasons for buying online seem to include convenience, flexibility of opening hours, and

saving money. Subsequently, firms buy online because they can get detailed product

information, delivery, convenience, product quality and lower prices (Durmuş, Y., et.al.

2011).
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Weiber and Kollmann, (1998) investigated that online technologies provide

many competitive advantages like agility, selectivity, individuality and interactivity.

However, in order to enjoy all the benefits of buying online, it requires careful

management to address the legal, security and privacy issues (Awoyelu, I.O and

Awoyelu, F. 2010)

The firms‟ attitude and behavior towards buying online are known as the main

factors that affect e-buying potential. Attitudinal issues play a significant role in online

buying adoption. Their buying choices are influenced by four major psychological

factors such as motivation, perception, learning and beliefs and attitude. Attitudes serve

as the bridge between firm’s characteristics and their business goals and objectives.

This means that, through motivation and perception, attitudes are formed and they

make decisions. Business buyers usually face more complex buying decisions because

their purchases often involve large sums of money, complex technical and economic

considerations, and interactions among the different levels of the organization.

Online shopping has been shown to provide more satisfaction to modern

consumers seeking convenience and speed ((Yu and Wu, 2007)). According to Li and

Zhang‟s (2002) taxonomy that developed based on their analysis, there are ten impacts

of relevant factors on online consumer behaviors. These ten factors could be

categorized into five independent variables (external environment, demographics,

personal

characteristics, vendor/service/product characteristics, and web site quality) and five

dependent variables (attitude toward online shopping, intention to shop online, decision

making, online purchasing, and consumer satisfaction). The five independent variables
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are identified as antecedents, which directly determine attitudes towards online

shopping.

The consumers’ confidence in buying certain product through online shopping

are sometimes affected by social influence that they usually gather from reading the

comments or reviews of other previous buyers. Consumers tend to vote for reviews with

high varied uncertainty, while they continue to prefer to purchase product with less

product uncertainty from reviews (Nan et. al, 2017). Reading product reviews has a big

effect in building the online shopper's trust regarding the products that they like to

purchase. Such factors may have negative influence on consumer decision to shop

online. Security perceptions are defined as “the subjective probability” with which

consumers believe that private information will not be viewed, stored and manipulated

during transit and storage by inappropriate parties in a manner consistent with their

confident expectations (Pavlou, 2001).

On the other hand, some consumers still feel uncomfortable to buy online.

There are still people who prefer to purchase products in the traditional way. Perceived

risk is identified by the discomfort from consumer through the impersonal interaction

and intangible effects that come from operating online (Chen and Mort, 2007; Pavlou,

2003; Pavlou & Gefen, 2004; Warkentin et al., 2002). Lack of trust, for instance, seems

to be the major reason that impedes consumers to buy online. Also, consumers may

have a need to exam and feel the products and to meet friends and get some more

comments about the products before purchasing.

Most people still choose the traditional way of shopping because they are not

used to shopping online and not comfortable with how online shopping works. These
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are just few of the reasons of slow e-commerce production, and it is because of culture.

Shopping malls has been a part of the culture of Southeast Asians. It is a hindrance to

slow e-commerce acceptance. Because most people would rather see the goods first

before buying to ensure that these products fit their own respective tastes and

preferences such as color and texture (Edralin Lim, 2014). However, E-commerce

continues to be a promising opportunity, and is only starting to boom (Fredrikson, 2013;

Si, 2013; Fleenor and Raven,2002). With the emergence of the internet, Internet-based

electronic commerce developed and this environment provides individuals to reach

information about products and services easily (Lakshimi. S, 2016).

2.3 Synthesis of the Reviewed Literature and Studies

Internet is changing the way consumers shop for goods and services and has

rapidly evolved into a global event. Internet becomes the center of hot issues, stated

that internet is influencing people’s daily life more so as compared to past. And because

of this, business-to-business transaction has changed. Online shopping has become

new normal habit in South East Asia. Shopping online has become the third most

popular internet activity following the e-mail usage and web browsing. Most people

prefer to shop online using their gadgets mostly of which are smartphones and others to

be desktops and laptops. Because of this, it was predicted that soon a rise of the m-

commerce (mobile commerce) will be observed.

Convenience is the major factor that motivates the consumers to shop online.

The other reasons why they shop through online is because of its affordability and
LEMERY SENIOR HIGH SCHOOL
accessibility. The firms‟ attitude and behavior towards buying online are known as the

main factors that affect e-buying potential.

Because of the fast pace of technology, at the same time it goes with the rising

popularity of online shopping which influence their way of buying.

Chapter III

Methodology

3.1 Research Design

One of the core steps in the marketing research process is the selection of

appropriate research design. A research design is a framework that specifies the

processes, procedures and activities of how the research should be conducted in order

to provide answers to the research questions that satisfy the research objectives and

consequently provide information necessary for decision making. A descriptive type of

study using judgmental sampling for selecting the samples from online shopping users

in Lemery. The data has been collecting with the help of questionnaire. The factor

analysis is performed for identifying the factors, the nonparametric test has been used

for hypothesis testing

3.2 Research Environment

This study is conducted primarily for the purposes of identifying the consumer'

behavior towards online shopping and how it affects them. It seeks to know

the key factors that motivate consumers to buy online. The main source of data was

through an interview with 10 respondents here in Lemery ages ranges from 16-43

years’ old that have experienced and tried shopping online. The location of who the
LEMERY SENIOR HIGH SCHOOL
interviewers had interviewed is not exceeded outside the town. The interview conducted

through online lasted for hours and have gathered enough data’s. The limitations of this

study are the interviewee have limited responses and did not have brief explanations for

their answer.

The researchers conducted an indirect interview using purposive sampling

technique wherein the selected respondents are those who can only satisfy the given

qualifications in answering all the problems that was specifically created for online

shoppers The researchers interviewed 10 online shoppers of ages 16-43 by means of

asking a free response type of questionnaire which is based on the purpose and

statement of the problem of this research. The questions that the researchers provide

are about the respondent's opinions and experience in online shopping.

Aside from using a primary source of data which is conducting an interview,

this study also uses some secondary sources of data such as internet and books. The

researchers gathered information through legitimate online journal websites and a few

available books on the net which is related to the topic of this research.

The researchers used online free response type questionnaires as a

measurement device. This instrument was used to show the key factors which motivate

a consumer to buy online.

3.3 Respondents; Subject of the Study


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3.4 Data Gathering Procedures

In gathering data’s in this study, we must determine first what

information/details we have to collect. You’ll need to decide what topics the information

will cover, who you want to collect it from and how much data you need. Your goals,

what things you hope to accomplish using your data that will determine your answers to

these questions. Once you have finalized your plan, you can implement your data

collection strategy and start collecting data. Be sure to stick to your plan and check on

its progress regularly. It may be useful to create a schedule for when you will check in

with how your data collection is proceeding, especially if you are collecting data

continuously. You may want to make updates to your plan as conditions change and

you get new information. Once you’ve collected all of your data, it’s time to analyze it

and organize your findings. The analysis phase is crucial because it turns raw data into

valuable insights that you can use to enhance your marketing strategies, products and

business decisions. Once you’ve uncovered the patterns and insights in your data, you

can implement the findings to improve your business.

Chapter IV

Presentation, Analysis and Interpretation of Data

4.1 Presentation, Analysis and Interpretation of Data


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NAME AGE ONLINE REASON AS HOW KEY FACTORS
SHOPS YOU START TO THAT MOTIVATE
YOU SHOP ONLINE? YOU TO BUY
VISIT

Raymundo 33 Lazada, Influence of Family Low Price


Luna Shopee

Rhea Caag 37 Lazada Influence of Family Cash On Delivery

Althea Maligo 17 Lazada, Friend Quality and


Shopee, Recommendation Quantity
SheIn
Pauline 16 Zalora, Through Quality and Quality
Bendana Lazada advertisements
and
SheIn
Merry Grace 27 Lazada Through Convenience
Bagay advertisements

Danie Valencia 21 Lazada, Through Low price, Cash


Shopee advertisements On Delivery

Joyce Maligo 22 Lazada, Friend Low price and the


Shopee recommendation availability of the
product

June Jacob 27 Lazada Friend Low Price and


Cal recommendation Convenience
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Roseann 30 Lazada, Friend Low Price
Valencia Shopee recommendation
Babylin 34 Lazada Influence of family Low Price and
Marquinez
Convenience

Results from the questionnaires handed to 10 respondents showed that

Lazada is the most visited online shop ages from 16-43. Out of the respondents, 4

answered social influence such as friend recommendations/suggestions/influence of

friends or influence of family as a reason on how they start to shop online. Three of

them answered that it was due to advertisements

Respondents whose ages from 16-25 stated convenience, low price, good

quality, Cash on Delivery and availability of the product are their motivation in buying

online. The most common motivations out of those stated above are quality, low price.

Meanwhile, respondents whose ages ranges from 32-43 has convenience, low

price, COD. Compared to the results from the other respondents (ages from 16-25),

there is no difference with the common motivation these customers have. Nonetheless,

motivations such as convenience, price, and sale promotions are perceived to have an

impact to an online consumer behavior. We, researchers proved that social influence,

as well as advertisements, plays a big role in honing the buying decision of a person. In

terms of our study, this influenced paved the way for a number of respondents to shop

online rather than the traditional way.

Chapter V
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Summary, Conclusion and Recommendations

5.1 Summary

7 out of 10 or 70% of the respondent ages 16-43 years old says that they build

their trust to the online shops/sellers when there are positive feedbacks or reviews of

Lemereños, other customers. 10 out of 10 respondents uses Lazada as a medium of

acquiring goods and services that they needed and most of them started online

shopping due to the influence of friends while some are influenced by TV

advertisements. According to respondent convenience, cheaper price, more options of

products, hassle free, and sale promotions are the main factors why they prefer to buy

online.

5.2 Findings

5.3 Conclusions

The study successfully accomplishes to find the answers on how online

shopping affects people's behavior in terms of buying. Based from all the gathered

information, it is concluded that people's frequent usage of online shopping leads to the

changes of its standards in terms of acquiring goods and services that they needed.

Consumers tend to be wiser as they try to look first all the possible opportunity cost that

they may encounter if they shopped in a traditional way, such as time, effort, and

productivity. The behavior of online shoppers when it comes to building trust with the

shop
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or seller is based in what they see on the reviews. Even though there are issues about

defects or failed products from online shops, most shoppers prefer to buy online

because of convenience, the key factor that has the biggest impact to the consumers

and next is the cheaper price compare to physical stores. The advantages of online

shopping to online shoppers are the time-consumed in shopping online is less that the

tine the shoppers shop in tradition. It is stated in the interviews that online shopping is

favorable to them because of the same promotions and cheaper prices than the original,

it is said to be hassle free because of the Cash in Delivery (COD) payment mode and

the product or service will be delivered to the customer. Today's technology contributes

to online shopping in a way that technology is the medium of online shopping from

consumer to buyer. Technology is a choice for the most of the shoppers because it

offered convenience in time and offers the desired place of the buyers. Technology's

fast pace and fast spreading throughout worldwide it helps online shopping more

popular. People are also encouraged to shop online because of the advertisement

popping in every side of the web. Technology helps online shopping more popular

because some are also encouraged to sell online

5.4 Recommendations

The researchers recommend this study especially to the future researchers

who want to study more about the consumers' buying behavior on online shopping. The

future researchers can improve this study by gathering present information


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that can be used to make new and more informative research about the said topic.

Having a wider and more informative research will help the readers gain deeper

knowledge about online shopping and to become open-minded when it comes to this

topic. The researchers can discuss supplementary factors affect the consumers'

behavior for them to shop online. It would also be better if they would hear the side of

the online marketers regarding this topic for them to gain more information for their

study.

Researchers can also indicate to their future study, the latest situations that

happen to the online shopping industry or even to those consumers who shop online.

The researchers also recommend this study to all entrepreneurs who are planning to

start online business to read this study for further information about the consumers'

behavior to be able for them to know the services or products they can offer to meet the

satisfaction of customer. Because of this, their business may be the number one in the

market in the near future. The researcher also recommends to them to do some deeper

research about online shopping in order for them to know and learn more about this

topic, since the researchers only cover about consumers' behavior towards online

shopping. Entrepreneur should know the circuitous system of online shopping to

familiarize on it. Therefore, they can handle their business much better and run it

smoothly.

The researchers would also recommend this study to the online shoppers as it

would make them more knowledgeable and have an edge to those online shoppers who

only have little knowledge about this topic. Having this study would be a great

advantage to them for it would help them to know the things they should consider when

buying products online. Also, to help prevent themselves by the risks and dangers that it
LEMERY SENIOR HIGH SCHOOL

might bring to them knowing that diving in online shopping can be dangerous at some

point. By having the people read this study, the researchers are expecting a more open-

minded and knowledgeable shopper so that online shopping industry would develop

faster in the future.


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Bibliography
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Appendices
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