Business Research Paper
Business Research Paper
Business Research Paper
Nibha Ritwick
Simran
Masters in commerce
Abstract
The Covid-19 Pandemic has bought a paradigm shift in the buying behavior of the consumers. It is
responsible for breaking the stereotype in the market trend. This paper tries to understand the change
in consumer buying behavior during lockdown caused due to Covid-19 pandemic. The traditional offline
shopping habits of the consumers was replaced by online shopping. It was also seen that consumers
preferred those companies which did good work during the pandemic. Also consumers wished that
companies must focus more on improving their experiences and relationships with their customers
during the pandemic.
Introduction
The purpose of this study is to evaluate how COVID-19 is changing consumer behavior and how it is
changing e-commerce trends. The COVID-19 pandemic significantly affects many aspects of life,
including how individuals deal with their essential and nonessential. The behavior of people, the nature
of businesses, and the manner of life have changed. It spreads fears among individuals that they should
avoid interacting with. Coronavirus is changing world patterns dramatically. In every business, a fast shift
has taken place. The behavior of people, the nature of businesses, and the manner of life have changed.
It spreads the fears among individuals that they avoid interacting with. For the above reasons, this study
is essential for the buyer and business perspective.
The growth rate of Coronavirus cases has changed the behavior of people to purchase common goods
which can meet the demand of people to purchase goods through e-commerce. For the above reasons,
this study is essential for the buyer and business perspective. This study emphasis why needs e-
commerce is essential in this situation like COVID-19 pandemic.
Literature review
The effects of the corona virus illness (COVID-19) outbreak were unparalleled and felt all across the
world. The pandemic had a significant impact on the workplace. Along with endangering the general
public's health, the economic and social upheaval endangers the long-term livelihoods and general well-
being of millions of people. The pandemic has a significant impact on labor markets, economies, and
businesses, as well as on worldwide supply networks, causing significant commercial disruptions.
Bounie et al. (2020) examined the changes in the behavior of consumers during COVID-19 in France
using consumer transaction data from banks or other financial institutions. The study finds that
consumers switched over to online shopping options as a result online sales increased much more
substantially compared to physical stores during the pandemic. As per a survey conducted by McKinsey
& Company, At least two-thirds of shoppers report having tried new types of buying in nine out of the 13
major nations McKinsey surveyed. And in all 13 of those nations, at least 65 percent of people say they
intend to keep doing it. The pandemic will speed up internet purchasing in developing economies like
India and Brazil, though only somewhat. (Sneader and Singhal, 2021).
Sheth (2020) argued that the pandemic had several powerful and immediate effects on consumer
behavior while facing constraints, consumers improvised and replaced old habits with new ones, such as
switching to online retail channels, enabling thereby the “store to come home”. This study finds eight
immediate impacts of COVID-19 that are hoarding, improvisation, pent-up demand, embracing digital
technology, blurring of work-life boundaries, store to home, reunions with family and friends and
discovery of talent. The study indicates that although consumer behaviors will undoubtedly alter, they
will not disappear; rather, they'll come back, providing marketers with a fresh chance.
Accenture (2020) finds consumer priorities have shifted to prioritize the most fundamental needs, which
has caused the demand for hygiene, cleaning, and staples products to increase and the demand for non-
essential categories to decline during the pandemic. Shankar et al. (2021) provides that many shoppers
moved a large portion of their business online during the COVID-19 outbreak either by choice or due to
regulation. The major driving forces behind the exponential proliferation of online channel use in the
context of COVID-19 were governmental regulations and restrictions and pandemic-induced changes in
customer behavior.
Objectives:
To understand the change in consumer buying behavior, from Offline to Online, during
lockdown caused due to Covid-19 pandemic.
To analyze the impact of different brands and shopping expenditure on the consumer buying
behavior.
To analyze the customer’s expectations from the businesses.
To know more about the customer’s future expectations from the known businesses and their
top-most priorities after the lockdown.
Research Methodology
Type of Research: A descriptive research was used to study the consumer buying behavior which had
included surveys and fact-finding enquiries.
Data collection - The primary data is collected through the random survey based on a specially carved
questionnaire filled by the respondents residing in different parts of North India, to understand their
buying behavior during lockdown.
Secondary data – was collected from published and unpublished literature on consumer behavior. We
have also used the latest references available from the journals, newspapers, research publications and
magazines, past records and other relevant sources available online.
Questionnaire – Design and implementation: It was done with the aid of experts in statistical
techniques and taking into account the measurement needs & objectives of the study. The
questionnaire was administered to the sample population and sample size.
Sampling Techniques: To conduct this study different respondent was selected from various age groups.
this involved a minimum requirement of 60 samples, to achieve the minimum requirement a total of 70
questionnaires were distributed and 62 were received in return.
The data collected was analyzed using basic analytical tools. The data analysis was conducted with the
purpose of attaining the set objectives. Mentioned below is the analysis which is presented graphically
and in tabulated form for better interpretation.
Observation: According to the above chart it can be stated that majority of the respondents i.e. 58.1%
were found to be purchasing through both the modes, 21% of the respondents were found to be using
the online mode of shopping most of the times, 16.1% were preferring only offline option of buying
goods and only 4.8% of the respondents preferred always shopping in online mode.
Observation: According to the above chart it can be stated that 32.3% of the respondents do believe
that there was a change of ₹4,000 in their online shopping during lockdown, 30.6% of the respondents
believed that there was an additional change of ₹2,000 in their online shopping during lockdown.
Whereas 24.2% of the respondents agree to have incurred an additional expense of ₹6,000 in their
online shopping during lockdown. Around 6.5% people believe to have incurred an additional expense of
₹8,000 and ₹10,000 each, respectively in their online shopping during lockdown.
Chart 4: Actions from businesses during pandemic
Observation: According to the above chart it can be stated that 30.6% of the respondents do believe
that the companies first priority should be to understand the social circumstances during lockdown.
Whereas 25.8% of the respondents agree that the companies must adopt the digital changes as quickly
as possible during lockdown. 21% of the respondents believed that educating customers about various
aspects related to the pandemic during lockdown, was most important. Around 16.1% people believe
that companies must keep their values at their top most priority, and almost 6.5% people agree that
companies must always be creative during lockdown.
Observation: According to the above chart, more than 25 respondents consider that companies must
focus on improving their consumer’s shopping experience each time. Somewhere around 24
respondents believe that the companies must keep improving their work’s future possibilities in case
any such pandemic hits again. Similarly, around 20 people consider that businesses must keep up with
the customer’s expectations, improving customers relationships, productivity and focusing on their
brand values. Around 15 people rank enhancing consumer behavior and company’s growth as number
1. Similarly we can notice other rankings and aspects too and thus conclude that most of the people
believe that improving customer’s shopping experience each time should be company’s foremost
priority.
The Covid-19 Pandemic has drastically bought a shift in the consumer buying behavior. Due to the many
restrictions laid down by the government with respect to market timings, availability of goods as per
necessity and social distancing norms; the consumers have shifted their buying behavior. These
regulations of the government made a large number of consumers shift to the online mode of shopping
than the traditional offline shopping mode. It was also preferred due to ease in buying, convenience and
also from safety perspective. Also the consumers agree to the fact that their shopping expenses in
online shopping during lockdown substantially increased as compared from the earlier times.
The respondents believe that the companies first priority should be to understand the social
circumstances during lockdown. Additionally, most of the people believe that improving customer’s
shopping experience each time should be company’s foremost priority.
References
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consumer transaction data: expenditures, mobility and online substitution”, available at:
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Define 2021- and beyond.” at: https://www.mckinsey.com/featured-insights/leadership/the-next-
normal-arrives-trends-that-will-define-2021-and-beyond
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