A comparative study of online

shopper's Consumer Behavior for

B2C portals with reference to

Ahmedabad Region

Submitted By

Name Himanshukumar

Matharani

Mehul Dudhat

En.No. 137680592073 137680592170

Under the Guidance of Mr. Himanshu A. Chauhan

INTRODUCTION OF E-COMMERCE

• E-commerce refers to the purchase and sale of goods and/or services via

electronic channels, such as the Internet. Online retail is convenient due to

its 24-hour availability, global reach and ease of customer service.

• Michael Aldrich is the man who make-believe online shopping in 1979.

• here are basically 3 transactions that take place in an E-Commerce system:

• Product flow: Movement of goods from suppliers to end consumers

through E-Commerce and logistics players

• Information flow: Information transmission of orders from customers and

subsequent information flow of order status through the value chain

• Monetary flow: It involves payments from consumers to e-Commerce

players and suppliers and vice-versa through financial intermediaries

Classification of E-Commerce Model

3 Major Types of E-Commerce Transaction Model is :

B to B

B to C

C to C

Cont…

C2C (Consumer to Consumer):This kind of transaction takes place via online

classified Ads or auctions or by selling personal services online.

Ex: ebay.com auctions

B2B(Business to Business): This takes place when a company wants to conduct a

commercial activity with another business firm online. This is done when companies

have all their operations computerized and now they want to go to a higher stage by

linking their customers and vendors. This is done by the use of supply chain software

linked to the ERP application.

Ex: indiamart.com, alibaba.com

B2C (Business to Consumer):This is the most common form of E-Commerce in

which a variety of goods ranging from apparels, footwear, stationery, gifts, and services

like travel booking, online matrimonial and digital downloads are available. This mode

provide the consumer with services like information gathering, comparing and buying or

selling goods online.

Ex: shaadi.com, makemytrip.com, shopclues.com, flipkart.com

B2C Business Model

E-Commerce Driving Factors :

• Reduced search and transaction cost

• Reduced process lead-time and faster time to market

• Increased customer service

• Improved convenience and shopping experience

• Increased information transparency

• Knowledge generation

• Novel products and services

E-Commerce : Challenges and issues

• Affordable ICT infrastructure (Internet, broadband)

• Digital literacy among producers and users

• Electronic payment systems

• E-commerce platforms – local content

• Branding/recognition

• Delivery and distribution networks (physical transportation)

• Tracking, monitoring and taxing transactions

• Legal framework to build trust

• Risk of bias/unfair competition

• Circumvention of trade barriers

Global Scenario of B2C E-commerce Industry

Indian Scenario of B2C E-Commerce Industry.

• The Growth Story of E-Commerce in India

• Started in India in the year with the introduction of B2B portals in 1996, now

E-Commerce is all set to become one of the successful medium for

business transactions.

Between 2000 and 2005

Between 2005 and 2010

2010 onwards:

Indian E-commerce growth:

Cont…

• Present Scenario:

• India’s E-Commerce market grew at a staggering 88% in 2013 to $16

billion, riding on booming online retail trends and defying slower

economic growth and spiraling inflation, according to a survey by

industry body ASSCHOM.

• India’s E-Commerce market was about $2.5 billion in 2009, it went up to

$6.3 billion in 2011 and to $16 billion in 2013 and is expected to

growhuge $56 billion by 2023 that would be 6.5% of the total retail

market.

E-commerce in India Sector wise

SWOT ANYALASIS OF INDIAN B2C E-COMMERCE

INDUSTRY

• Strengths and Opportunities

• There is high internet penetration in tier 1 cities and the number of

online shoppers is rising.

• There is also a rise in the disposable income of customers.

• Funding, in the form of angel and seed funds, is available from

Venture Capitalists and Private investors

• Competitive pricing of the goods sold online has led to an increase

in demand for the goods.

• Demand for internet banking and cards (both debit and credit) is

high.

• The Cash-on-delivery mechanism, an innovation in the ecommerce

space has increased the confidence of customers.

• Possibility of price war among e commerce companies has led to

reduction in profitability.

• Weaknesses and Threats

• There is a lack of proper distribution channels particularly in tier 2

and tier 3 cities. This is going to reduce the level of customer

satisfaction.

• The element of “fun” in the shopping experience is missing in case

of online shopping.

• There are worries in the minds of customers about the personal

security and that the financial details entered while shopping online

will be misused.

• In some cases, there is also lack of trust amongst customers about

the quality of the product.

MAJOR PLAYERS OF INDIAN B2C E-COMMERCE INDUSTRY

LITERATURE REVIEW

• According to Jarvenpaa, Tractinsky, and Vitale

(1999),Source : International Journal in Multidisciplinary and Academic Research (SSIJMAR) Vol.

2, No. 1, January-February )

several factors below influence consumer online

purchasing behavior.1. Demographics (Age, Income, Gender, and Education)

2. Perceived Risk

3. The Reputation of Retailers

4. Information About A Product

5. Design of Website

6. Price of Product

7. Schemes & offers

8. Type of Access.

• PROBLEM STATEMENT

• There are many players in E-commerce B2C selling which has leadto immense competition and has made it compulsory for the existingas well as new players to study well,

1. Factors Affecting a Consumer Behavior while Doing OnlineShopping

2. Attitude of Buyers towards B2C websites

3. Motivation Factors for Doing Online Shopping

4. Preference of Consumer for Various B2C websites

5. Perception of Consumer for Various Existing B2C websites.

This need motivated me to prepare project under the title:

• "A comparative study of Consumer Behavior of onlineshopper's for B2C portals wrt Ahmedabad Region

Research Methodology

• Research Objectives :• To understand current market scenario in context of crowded E-commerce

B2c selling.

• To understand the importance of various factors, considered by the Buyers

While Doing Online Shopping.

• To Understand The Preference of Ahmedabad Region People In Context of

Various B2c Websites.

• To Understand the Online Shoppers Satisfaction level for Various B2C

Websites.

• To study the attitude of Buyers against various schemes provide to them.

• To Study the Various Problems Face By Consumers While Doing Online

Shopping.

• To Know People’s Perception for Major Players of B2c Website.

Cont…SR.NO. DESCRIPTION

H1.1There is significant difference among online Buyers who believe B2C

websites are provide more verity product.

H1.2 People of Ahmedabad city are satisfied with the after sales service of

Flipkart.com.

H1.3 Online Buyers Are Given a First Preference to Myntra.com for buying

clothes.

H1.4 Selection of Payment mode by Buyer is Co-related with his/her

Education level.

H1.5There is no significant difference between the customer perception

towards online shopping between male and female

H1.6People Ahmedabad city perception that, replacement of product is

difficult in jabong.com

Cont…

• RESEARCH DESIGN :

• The main purpose of Exploratory research study is that of formulating

a problem for more accurate investigation or of developing a working

hypothesis from an operational point of view. The major emphasis of

such studies is of the developing of discovery of idea and insight.

• SOURCES OF DATA

Primary Data collection Method:

Survey Method

Sources for Secondary Data :

• Reference Books.

• Internet.

• Journals

• Data Collection Instrument:

The questionnaire was used as an instrument for the survey method.

There are two type of questionnaire.

– Open ended

– Close ended

Mostly all questions are close ended questions. There is only one type of open

Ended question. In close ended questions we will use the dichotomous,

likert scale, ranking and multiple choice questions.

Population or Sampling Frame

Internet Users of Ahmedabad City.

Sampling method :

Non Probability Convenience & Snowball Sampling Technique

Cont…

Cont…

• Sample size – 300 respondents .

• N2 = (z2 *p*q) ÷ E2

• Where z = 1.96

• p = 0.5

• q=0.5

• E=0.05.

• So We Get n =300

• CONTECT METHOD:

• We will Collect Data by personal interview And Mail Interview Method.