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The document is a marketing project submitted by graduate student Shaikh Mantsasha for a Bachelor of Management Studies degree at the University of Mumbai, focusing on 'Consumer Behaviour Analysis in E-Commerce.' It includes sections on the rationale for the study, the history and models of e-commerce, and the advantages and disadvantages of online grocery shopping. The project aims to analyze consumer behavior in the context of e-commerce and provide insights for businesses to adapt to changing consumer needs.
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0% found this document useful (0 votes)
6 views71 pages

My PDF Project

The document is a marketing project submitted by graduate student Shaikh Mantsasha for a Bachelor of Management Studies degree at the University of Mumbai, focusing on 'Consumer Behaviour Analysis in E-Commerce.' It includes sections on the rationale for the study, the history and models of e-commerce, and the advantages and disadvantages of online grocery shopping. The project aims to analyze consumer behavior in the context of e-commerce and provide insights for businesses to adapt to changing consumer needs.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 71

A MARKETING PROJECT BY GRADUATE STUDENT FOR

THE DEGREE OF BACHELOR OF MANAGEMENT STUDIES


THE FACULTY OF COMMERCE
OF
UNIVERSITY OF MUMBAI

ON

“CONSUMER BEHAVIOUR ANALYSIS IN E-COMMERCE”

SUBMITTED BY

MS. SHAIKH MANTASHA

GUIDED BY RESPECTED

ASST. PROF DR. PURVA GUPTA

SHRI L. P RAVAL COLLEGE OF MASS MEDIA MANAGEMENT STUDIES

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DECLARATION

I, SHAIKH MANTASHA the student of final year BMS (Year 2024 - 2025) hereby
declare that I have completed my project on

“CONSUMER BEHAVIOUR ANALYSIS IN E-COMMERCE”

The information submitted is true and original to the best of my knowledge.

SHAIKH MANTASHA

Name of the student: SHAIKH MANTASHA

Roll No: 14

Shri L.P Raval College of Mass Media & Management Studies

College Address: Raval Nagar, Near Rlv. Stn, Mira Road I, Thane 401107

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ACKNOWLEDGEMENT

To list who all have helped me is difficult because they are so numerous and depth is
enormous.
I would like to acknowledge & express my gratitude to the following respected mentors,
for providing idealistic channels and fresh dimension in the completion of this project.
I would like to thank my Principal, DR. SONI SINGH for providing the necessary
facilities for completion of this project.
I would like to express my sincere gratitude towards my project guide Asst. Prof. DR.
PURVA GUPTA whose guidance and care made the project successful.
I would also like to thank my college library, for having provided me various reference
books and magazines related to my project.
Lasty, I would like to thank each and every person who directly or indirectly was
involved in making of this project and helped in completion of the project especially my
parents and peers, who supported me throughout the journey of this project.

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TABLE OF CONTENTS

Chapter 1: Introduction of the Topic 7


1.1 Rationale of the Study 8

1.1.1 Definitions 10

1.2 Introduction to Industry 11

1.2.1 History of E-commerce 12

1.2.2 Timeline of E-commerce 13

1.2.3 Models of E-commerce 15

1.2.4 Online Shopping in India 16

1.3 Introduction to Company 17

1.3.1 Advantages of Online Grocery Shopping 18

1.3.2 Disadvantages of Online Grocery Shopping 18

1.3.3 Short Introduction of Online Grocery Company in India 19

1.4 Justification of the Study 24

Chapter 2: Review of Literature 25

2.1 International Review 26

2.2 National Review 30

Chapter 3: Research Methodology 34

3.1 Research Objective 35

3.2 Research Hypothesis 36

3.3 Scope of the Study 37

3.4 Research Design and Methodology 38

3.4.1 Sample Design 38

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3.4.2 Sampling Method 38

3.4.3 Data Collection Tool 38

3.4.4 Analysis of Data 38

3.5 Limitations of the Study 39

Chapter 4: Data Representation and Analysis 41

4.1 Data Representation and Interpretation 42

Chapter 5: Findings and Conclusion 58

5.1 Major Findings 59

5.2 Discussions and Suggestions 61

5.3 Conclusion 63

6. References 65

7. Annexure 67

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CHAPTER 1

INTRODUCTION TO THE TOPIC

1.1 Rationale for the Study

1.1.1 Definitions

1.2 Introduction to Industry

1.2.1 History of E-commerce

1.2.2 Timeline of E-commerce

1.2.3 Models of E-commerce

1.2.4 Online Shopping in India

1.3 Introduction to Company

1.3.1 Advantages of Online Grocery Shopping

1.3.2 Disadvantages of Online Grocery Shopping

1.3.3 Short Introduction of Online Grocery Company in India

1.4 Justification of the Study

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CHAPTER 1

INTRODUCTION

1.1 Rationale for the Study

The term internet refers to a vast communication network that connects a network
across the world. It allows people to share information, thoughts, reviews, etc. The
Internet not only changes our day-to-day lifestyle but also completely changes the
business world. Internet not only changes the way the businessman conducts their
business but also the way consumers make a purchase decision.

Many companies started e-commerce to reduce market cost, which results in a


reduction in the price of products and services. It assists a businessperson in
understanding customers taste, choices, and needs in terms of goods and services.
Internet helps consumers, to know more about products and services, and it also tells
the positive and negative experience of other consumers. Many experts are hopeful
about the likelihood of online business.

E-commerce is one of the enormous sectors of today era. The adoption of e-


commerce growing every day. In today almost 90% of companies have a website or
even companies that don’t offer e-commerce services, (Chadwick, 2011). E-
commerce is one of the leading sectors. Several kinds of research have done on the
impact of e-commerce on consumer behaviour.

With the change in technology consumers lifestyle, the standard of living,


preferences, choice, need and buying habit of consumers also changes. This study is
conducted to understand consumers buying behaviour with technology change.

This study tried to fill the time gap between existing literature and the current
literature. This study will help e-commerce firms to understand the need and wants
of consumers, and it also helps to follow current market trends. It aids firms to
respond very quickly to change in technology, needs and wants of consumers.

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This study studied both the positive and negative of consumers because both
behaviours have an equal impact on consumers buying behaviour. This study aid e-
commerce firms to well understand preferences, choices, needs, and the desire of
consumers. It also aids firms in identifying what are the liking and disliking of
consumers regarding online shopping.

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1.1.1 Definitions

1. Internet: Internet is a network connection that connects the entire world. Internet
is a mode of sharing an idea, thoughts, information, etcetera, from one place to
another. It allows people to share anything from any corner of the world at any time.

2. E-commerce: E-commerce stands for electronic commerce. It is a kind of business


that offered products and services. E-commerce not only means buying and selling
goods, but it also includes services like online bill payments, online movie
watching, online song listening, e-learning, social media, net banking, etc.
Electronic commerce is a branch of electronic business, and it deals exclusively in the
distribution of goods and services (Gandhi, 2018-19).

3. Consumer Buying Behaviour: According to (Solomon, 1995), consumer buying


behaviour is a process of choosing, purchasing, using and disposing of products and
services by individuals and groups to satisfy their needs and wants.

4. Online Grocery Shopping: As per this research, online grocery shopping is the art
of buying grocery products via an internet connection. It's like buying any other
goods online.

5. Bhopal City: Bhopal is the capital of Madhya Pradesh. Bhopal is in central India.
Bhopal is well known as a city of lake. Bhopal city has uneven elevation and has
small hills. Bhopal is a beautiful tourist spot, and it is full of natural resources.
Bhopal city is one of India’s greenest cities.

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1.2 Introduction to Industry:

The advanced internet technology is attracting people for the last two decades, and it not
only changes the day-to-day lifestyle of people, but it also transformed the way the
organization has done its business to survive in a competitive globalized market.
Development in internet technology makes life innovative.

Now, people are doing business online innovatively. It gives birth to electronic
commerce. The Internet era largely contributes to the growth of E-commerce. E-
commerce completely changes the business world.

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1.2.1 History of E-commerce:

In 1970, E-commerce was introduced by using EDI (Electronic Data Inter-Channel).

(Miva, 2011): E-commerce is the process of buying and selling goods with an internet
connection. E-commerce doesn't only mean buying and selling goods with an internet
connection, but it also includes services like online bill payment, online ticket booking,
mobile recharge, ordering food, etc, are examples of e-commerce.

Online shopping was inverted in 1979 by Michael Aldrich in the UK. The first World
Wide Web server created by Tim Berners-Leein in 1990 and 1991 opened for
commercial use. Amazon started in 1995 in the US market who start selling products.
Many companies come after Amazon, which started e- commerce.

(Morrish, 2020), E-commerce achieving success since its beginnings, with its sales
projected to grow to 599.2 billion USD by2024. The Covid-19 outbreak increases e-
commerce sales by 25% in March 2020 alone.

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1.2.2 TIMELINE OF E-COMMERCE:

1. In the year 1969, CompuServe is invented, and it founded by Dr John R. Goltz


and Jeffrey Wilkin. CompuServe built utilizing dial-up-connection.

2. In 1979, Michael Aldrich invented online shopping by connecting modified TV


to the transaction-processing computer via a telephone line. Michael Aldrich is
also known as the father of e-commerce.

3. In 1982, the Bonston Computer exchange invented. It was a world-first e-


commerce company. It allowed people to sell their used computers.

4. In 1992, Charles M. Stack founded Book Stacks Limited. It was the first online
book shop. In 1994 switched to the internet and operated from the Books.com
domain.

5. In 1994, Netscape Navigator launches, Marc Andreessen and Jim Clarl co-created
it as a web browser.

6. In 1995, Amazon inverted. Jeff Bezos is the founder of Amazon. Primarily


Amazon is an e- commerce platform for books.

7. In 1998, PayPal inverted as the e-commerce payment system. In 2000, it merged


with Elon Musk’s online banking company.

8. In 1999, Alibaba inverted as an online marketplace.

9. In 2000, Google launches Google Ad Words as an online advertising tool for business.

10. In 2004, Shopify launches. It is subscription-based software that allows anyone


to start their business online.

11. In 2005, Amazon launches Amazon Prime Membership. In 2005, Etsy inverted.
It is an American e-commerce website which allows crafters, and small seller to
sell their goods.

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12. In 2009, BigCommerce was invented. It founded by Eddie Machaalani and
Mitchell Harper. It headquartered in Austin, San, Fransico.

13. In 2011, Google Wallet launches as an online payment method, now knows as
Google pay. In 2011 Stripe launches founded by John and Patrick Collison.

14. In 2014, Apple pay invented as a mobile payment method. In 2014, Jet.com
introduced. It founded by Marc Lore.

15. In 2017, Shoppable Instagram is introduced.

16. In 2020, the growth of e-commerce rises because of covid-19 people switched
to online shopping, especially for grocery, entertainment, etc.

E-commerce not only means conducting business on the internet. In the era of internet
technology, e-commerce completely changes our lifestyle. E-commerce continuously
achieving success, and it has become more important for businessmen to follow the
current trends because as technology changes, consumer behaviour also changes.
Consumer behaviour has a tremendous impact on e-commerce.

Electronic commerce is far more than just transacting business over the internet. It will
have a far-reaching and more significant effect than we presently realize. This is since
the information technology revolution is occurring at the same time as other trends, most
notably the globalization of business.

The new era of global e-commerce is spawning an entirely new economy, which will
profoundly influence our lives, reshape competition in multiple sectors, and change the
world economy.

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1.2.3 Models of E-commerce:

1. Business to Business e-commerce (B2B): Business to Business electronic


commerce is a model of e-commerce, which electronically sells goods and
services to wholesaler then wholesaler sells them to final consumers.

2. Business to Consumer (B2C) e-commerce: Business to consumer electronic


commerce is a model of e-commerce model. There is a direct relationship
between business and consumer. It directly sells goods and services to its
customers by using its website.

3. Consumer to Business (C2B) e-commerce: Consumer to business electronic


commerce is a model of e-commerce, where the consumer provides products or
services to the business.

4. Consumer to Consumer (C2C) e-commerce: Consumer to consumer is a kind


of electronic commerce model where both buyer and seller are consumers. (OLX
app is an example of C2C e-commerce where consumers sell their old goods to
another consumer).

5. Business to Government (B2G) e-commerce: Business to government


electronic commerce is a type of e-commerce model where the business has a
business relationship with the government.

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1.2.4 Online Shopping in India:

With the advent of the internet in India in 1995, online shopping was born. In the years
1999- 2000, it becomes popular. K. Vaitheeswaran introduced the first e-commerce
website in India. India online market categorized into different sectors like Net banking,
Travel and Tourism.

In India, online shopping sites include Amazon, Big basket, Myntra, Flipkart, Snapdeal,
etc. Online shopping plays an enormous role in the development of the country.

(Rebekah, 2020), According to the survey, India ranked 7th in 2019 based on the CAGR
of online retail penetration in e-retail industries across the world, it increases at a rate of
36%peryear. With a steep drop in data rates in recent years. India's e-retail industry is at
an inflexion.

The Indian online retail market is, expected to expand at a 30%CAGR over the next five
years. According to FY2025 estimates, it serves 300 to 350 million shoppers. In India
due to the outbreak of the covid-19, the use of online shopping increases.

Due to covid-19 shops are shut down and only a few shops like Bigbasket, Ondoor,
etcetera delivering online services.

Consumers find that online shopping is better than offline shopping. Every day the
numbers of online shoppers increase in India.

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1.3 Introduction to Company:

It becomes difficult for grocery stores to survive in this era of modernization without
having an online shopping site.

Online grocery shopping is the process of buying grocery products online. It’s like
ordering any other product online.

In the earlier 1990s, online grocery shopping started. HomeGrocer.com was the first
online grocery shopping website, which was started in1997 in Washington.

In Today’s era, almost 80% of the population used online grocery shopping. Online
grocery shopping has some advantages and some disadvantages.

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1.3.1 Advantages of Online Grocery Shopping:

 Online grocery shopping save time consumers does not need to go to different stores.

 Online grocery shopping offered 24*7services.

 Online shopping provides several choices for products and services.

 A most important advantage is that online grocery shopping is convenient.

 Online shopping gives complete information about products like quality,


demerits, characteristics.

 It also provides the positive and negative experience of other consumers so the
buyer can easily decide whether to purchase or not.

1.3.2 Disadvantage of Online Grocery Shopping:

 One of the disadvantages of online grocery shopping is that you cannot touch
the products.

 Sometimes because of some reason, there can be a delay in delivery

 In online grocery shopping, there are chances of fraud.

 In online grocery shopping, there are chances of wrong delivery of products.

 Online grocery mainly depends on the internet, if a consumer doesn’t have an


internet connection, he is unable to buy e-grocery.

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1.3.3 Short Introduction of Online Grocery Companies in India:

1. Big Basket:

Big basket was incorporated in December 2011 and headquartered in Bangalore.

It is an Indian Online grocery store that plays an enormous role in India's online
grocery market.

They have a website and an app that allows consumers to shop for groceries
online Big Basket also has partnerships with local merchants.

They pick goods from the closest suppliers and deliver them quickly.

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2. Amazon pantry:

Amazon Pantry started in 2014 in India.

Amazon pantry offered its services in almost 300 cities in India.

Amazon Pantry is well known online grocery store in the world.

As its name implies that, it is an Amazon brand.

While selecting the Amazon Pantry option on their website or app, consumers
can buy groceries.

It offered a different variety of grocery products.

It offered services to only those consumers who are members of Amazon Prime.

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3. D-Mart Online:

D-mart is an Indian company.

Radhakishan Damani is the owner of the D-mart.

D-mart headquartered in Powai, Mumbai, India.

It offers both- offline and online services.

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4. Flipkart Grocery:

Flipkart started in 2007.

It has its headquarters in Bangalore, Karnataka, and registered in India.

Flipkart is one of the leading online stores and has also started selling grocery.

It offers the best quality of grocery products.

It also offers clothes, footwear, electronic goods, stationery products, books, etc.

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5. Nature’s Basket:

It was started in 2005, headquartered in Mumbai.

Devendra Chawla is the CEO of Nature’s Basket.

Tanmay Kumar is the CFO of Nature’s Basket.

It has multiple stores in India.

It offers dairy products, fruits, vegetables, snacks, nutrition products, etc.

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1.4 Justification for the Study:

The purpose of conducting this study is to know the impact of e-commerce on consumer
buying behaviour in Bhopal city, to understand what factors influence consumers in
buying online grocery products in Bhopal city.

This research studied both the positive and negative behaviour of consumers while
making a purchase decision. Positive and negative attitude have an equal impact while
making a purchase decision. This study also tries to know which is the most preferred
e-commerce website in Bhopal District.

E-commerce has been very successful in the Indian market because of its
straightforward and consumer-friendly business model. If consumers adopt innovative
technology into their daily lives, the market's need and appetite are shifting.

Consumers are becoming more sophisticated because of e-commerce and its smooth
incorporation into everyday life, and their habits and standards of living are changing.
Consumer perceptions in e-commerce are changing as life shifts at a quick rate. While
reviewing the existing study, it was found that there is a huge time gap between existing
literature and current research.

Hence, there is a need to study consumers buying behaviour because, with the change
in time, technology, standard of living, consumers behaviour also changes.

This study is conducted to study consumers buying behaviour with change in technology
or other factors.

This study also aimed to fill the time gap between existing research and current research.

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CHAPTER 2

REVIEW OF LITERATURE

2.1 International Review

2.2 National Review

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CHAPTER 2

REVIEW OF LITERATURE

2.1 International Review

(Bhatiasevi, 2018), This study investigated factors that influence consumers buying choices
while online grocery shopping in Thailand. This research conducted as a quantitative online
self- administered survey of Thailand consumers who purchased groceries online.

According to this study, the maximum number of buyers rarely buy groceries online. This
study examined those factors like technology acceptance, model variable had an influential
impact on consumers online shopping behaviour. This research indicated that both
technology and consumer behaviour influenced online purchasing decisions and that this
needs to be examined further.

(ChrisHand,2009), This study aimed to identify the factors that affect the consumer's
attitude in acceptance and abandonment of online grocery shopping. This study goal was to
determine the involvement of situational factors in the adoption of online grocery shopping.

A two-step research methodology was employed. The first step was to conduct exploratory
qualitative research to achieve a better understanding of consumers' online grocery shopping
habits, results of the qualitative research confirmed by a largescale quantitative survey,
which extends the findings of the qualitative research and verifies the role of situational
factors in provoking the start and stop of online grocery shopping.

Cluster analysis used for customer segmentation, based on a significant type of


circumstances. The impact of situational factors, such as having a child or developing health
issues, are factors for starting to buy groceries online is demonstrated by both qualitative
and quantitative findings.

The researcher said that once the initial cause faded or they faced a problem with the service,
many shoppers abandoned online grocery shopping.

(Yang Huang, 2006), The purpose of this study, to know if or how shipping charges and

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other three contextual factors influence shoppers' grocery shopping channel preference. A
sample size of 152 Supermarket buyers in South England, was evaluated. Two hypothetical
grocery shopping cases, with four situational factors, were presented to each participant. In
each case, respondents asked whether they preferred to shop online or offline. They also
revealed details about their most recent grocery shopping trip.

The finding found that consumers shopping choices are affected by all four situational
factors. This study discovered that, although delivery charges influence consumer
behaviour, delivery charges are not that important factor. A fifteen-minute distinction in
grocery store travel time had an enormous impact on whether people preferred to shop
online or in stores than a £5 delivery fee.

(Hanus, 2016), The purpose of this paper was to present the circumstances of online
grocery shopping and understand the attitude of the customer regarding purchasing food
on the internet connection. This research based on secondary data.

The researcher found that there were no restrictions on location or work hours with
online grocery retailers, and customers can shop from a wide range of stores and brands
from around the country. He discussed that the most significant benefits of online
shopping are convenience and time savings, although the most significant drawbacks
for customers are the risk of wrongly evaluating certain goods and concerns about the
selection and handling of perishable food like vegetables, eggs, and meat products.

(George Adamides, 2006), The authors of this paper explored a particular aspect of
online grocery shopping. The purpose of this study is to examine and understand how
Cypriot consumers feel about online grocery shopping.

The study was held in Nicosia, the capital of Cyprus. This study employed a self-
administered questionnaire to gather data from respondents. Consumers in Cyprus, still
hesitate to consider e-grocery shopping as a viable alternative to conventional grocery
shopping.

According to the results of this study, e-grocers should choose between "good quality

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of the goods offered" and "a money-back guarantee" as the best risk relievers.
Furthermore, "competitive product pricing," "secure Online transaction," and "loyalty
to well-known products" may be extremely effective rewards to increase the number of
online shoppers.

(Vijayasarathy, 2004), In this study, the researcher used a sample of 281 consumers in
his survey. To test the role of consumer behaviour to shop online. This study finds that
Compatibility, utility, convenience, and security are important factors of online
shopping attitudes. This study also revealed that perceptions toward online shopping,
normative beliefs, and self-efficacy impacted willingness to use online shopping.

(Ling Alice Jiang, 2013), This paper aims to define the key convenience dimensions of
online shopping, as convenience is one of the primary drivers of customer adoption of
online shopping.

The researchers use in-depth focus group interviews with online shoppers to determine
the characteristics of online shopping convenience and then use data from a Web-based
questionnaire survey to devise and evaluate a five-dimension to measure online
shopping convenience. This research finds that access, search, evaluation, transaction,
and possession/post-purchase convenience are the five dimensions of online shopping
convenience.

(Mariam Saleem, 2018), This study aimed to know about Pakistani shoppers' attitudes
and behaviours for e-grocery shopping. The researcher discussed that consumers might
be to switch e- grocery shopping and adopt online shopping as their primary mode of
purchasing by the factors described in this research study (product quality, service
quality, assurance on goods, the comfort of consumers, price of products and services,
variety of products and services, perceived risk, social rules, and styling or interface of
the online platform). While comparing all the factors, the researcher found that high
perceived risk was the most important and relevant factor in the case of e- grocery
shopping.

Questionnaires were employed to gather data using purposeful and snowball sampling
approaches. This study showed that a lack of variety and overpriced goods were also big

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factors in selecting online grocery as a primary shopping source. This study examined
current online shopping patterns as well as consumers attitudes toward e- grocery
shopping. Besides, this research sheds light on the future of online grocery shopping
patterns in Karachi, Pakistan.

(Guo Jun, 2011), The researcher was considered the following factors in this study:
perceived accessibility, perceived intelligence, perceived privacy, perceived after-sales
service, perceived marketing mix, and perceived credibility. Primary and secondary
sources of data used in this study to collect the data.

The perceived accessibility, perceived security, perceived privacy, perceived after-sales


service, perceived marketing mix, perceived credibility, and customers' attitudes toward
embracing online shopping in China were all found to be related in this study. In this
study, only the marketing mix and credibility, were found to have an enormous impact
on consumers' willingness to accept online shopping. The researcher said that results aid
in understanding consumers' online shopping habits.

(Michelle A. Morganosky, 2000), A preliminary evaluation of consumer reaction to and


demand for online food retail channels was presented in this article. Primary data was
gathered from 243 online grocery shoppers in the United States. The maximum number
of e-shopping users were female and under 55 years old, with annual wages of $70,000
or more.

Over 70% cited convenience and time savings as the main reasons for purchasing
groceries online, while 15% cited physical or constraint concerns that made shopping at
Kirana stores difficult. 19% of those polled said they bought all of their groceries online.

Demographic and online shopping factors that are linked to the main reason for shopping
online, ability to purchase all grocery products online, perception of time spent shopping
online vs. in-store, and experience with online grocery shopping.

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2.2 National Review:

(Singh, 2012), The researcher started the study in Nirala Impex Inc. in the Taiwanese
market, distributing Indian grocery products to local retailers and wholesalers. This study
began with understanding consumers behaviour toward online shopping and the factors that
influence a consumer's decision to buy goods and services.
Part 2 of this project focused on the characteristics of e-shopping that affected the
respondent's buying decision. It also figured out the problems facing online shopping. The
third section of this study identified the supermarket buying decision. It identified how
people choose to shop for groceries based on price, quality, variety, proximity, and special
offers/discounts. The project also proposed a company operating strategy that works with
local grocery stores to contract dealerships.

(Sharma, 2015), The primary motive of this research was to study consumers behaviour
towards online shopping, he also tried to understand customer choices towards the attribute
of the e- shopping app. The secondary objective of this study is to identified parameters for
choosing a specific shopping channel for buying grocery products, he also tried to
understand whether online shopping is good and on what factor.

This research used secondary and primary data, a sample size of 200 respondents selected
in Bikaner. The finding of this study found that most respondents agree to shop online. This
study also found that factors like quality, convenience, save-time, variety of choices are
beneficial for the consumer to shop online.

(S. Sathiyaraj, 2015), This study aimed to identify consumer choices for online grocery
shopping in Chennai. The researcher used primary and secondary data as a source of
research. The survey method is employed to collect primary data, the sample size to collect
primary data is 200 respondents in Chennai. The study found that 29% of respondents said
they shop online because they want to find the best price for unique and special items. This
study also found that demographic factors, such as gender and age group, did not affect
customer satisfaction.

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(Rajesh, 2019), This study aimed to identify the factors that influence e-grocery consumer
shopping behaviour. It also aimed to identify demographic factors that influence consumers
decisions to purchase groceries online. This study had held in the Mumbai vicinity. The
technique of exploratory research was employed. For data collection, an online survey had
conducted. Customers' demographic profiles, such as gender, age, and monthly income, as
well as the frequency of shopping and shopping sites used, had all been analyzed using a
structured questionnaire.

A total of 117 people who shop for groceries online in Mumbai included in the sampling.
The technique of convenience sampling was employed. The findings of the study found that
e-grocery shopping factors such as product selection, availability, and delivery time choices
had an impact on both male and female shoppers. The researcher suggested that marketers
should concentrate on three factors: product descriptions, online grocery delivery and
replacement, and product choice and availability.

(Rajagopalan, 2017), This research aimed to understand e-grocery shopping was salutary
and, if so, what factors influence it. To identify shoppers who were aware of the existence
of e-grocery shopping sites. And to study whether the quality of a product or service affects
a customer’s attitude toward online shopping. To learn more about how people feel about
paying for groceries online. The purpose of the survey was to find out how shoppers in
Coimbatore felt about online grocery shopping. To collect the needed data an online
questionnaire method is employed. The research showed that a consumer’s perception when
purchasing groceries online and in an offline store were different. According to this study,
the primary factor that influenced consumers for buying groceries online is to save time and
effort, and there are no time constraints on online shopping.

(Ranadive, 2015), He has conducted a study to determine the level of acceptance of online
grocery shopping among Vadodara city's customers. He examined the variables that
influence a consumer's purchasing intentions and preferences. The finding of this research
confirmed that the Theory of Planned Behaviour (TPB) framework can be used to measure
consumer behavioural intentions during purchasing e-grocery.

31|Page
This research provides significant empirical support for Ajzen's TPB model's applicability
to online shopping behaviour. As a result, the study showed that the TPB's predictive
effectiveness in predicting online shopping behaviour, particularly for grocery shopping in
the city of Vadodara, using all three TPB factors.

(Dr. Kanjer Hanif, 2015), This research aimed to quantify the average consumer spending
on online grocery platforms. The researcher used primary and secondary data.

The questionnaire method was employed. This study found that consumer spending on
online portals was less than Rs. 2700/-, indicating that consumers spend a relatively low
amount on online shopping. This might be due to concerns such as a lack of confidence or
unfamiliarity with the platform.

This research also tried to determine the average monthly number of visits to online grocery
websites. The maximum time's respondents visited the portals was 3.34 per month, which
was a lower figure.

Majority of consumers who prefer to shop online were between the age group of 20 and 40,
according to this study. The researcher suggested that considering these two considerations,
the marketing department should use online ads to increase the number of visitors to the
portals.

The researchers also wanted to know how online grocery shopping spending is affected by
the consumer's income level, the researcher found that spending was unaffected by income
group, implying that online grocery platforms would target customers from all income
groups, indicating that there is a large market for online grocery portals. As a result, there
is a lot of growth.

(Mohammad Anisur Rahman, 2018), To better understanding consumer behaviour. A self-


constructed questionnaire of 160 respondents in Dhaka city. This study found that
consumers shop online to save time and to access a wide range of goods and services. This
study found that both men and women behave in the same way when it comes to preferring
and despising factors; they prefer door delivery and hate the lack of personal presence of
products not there.

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They gather electronic shopping information from websites, social media sites, and buy
clothing and accessories primarily using the cash-on-delivery payment method. Majority of
customers are concerned about the payment system's security, and their satisfaction level
with online shopping is combined.

(Mittal, 2013), This study aimed to collect quantitative data on the reality of online shopping
in India and to clarify the growth of the industry and its effects on customer behaviour. This
study based on existing related literature and this research also examined consumer
behaviour through questionnaires.

Additionally, the future growth of online shopping was assessed, as well as a thorough
comparison of consumer behaviour across countries. This study found that customer
confidence and perceived risk have a significant effect on their buying decisions on the
internet shopping. Consumer confidence, privacy issues, and security issues are the main
factors that impact a consumer's buying decision when using the internet for shopping.

(Himanshu Budhiraja), The Indian online grocery industry was strategically evaluated in
this paper. This study found that online grocery shopping was more effective for working
women, followed by men.

The research also revealed that the primary motivation for buying groceries online is to save
time and effort; on average, consumers who use this model are pleased with the quality of
the goods they receive, and vendors provide substitution options.

The research also showed that customers’ expectations when purchasing groceries online
and in a physical store are vastly different.

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CHAPTER 3

RESEARCH METHODOLOGY

3.1 Objective of the study

3.2 Research Hypothesis

3.3 Scope of the Study

3.4 Research Design and Methodology

3.4.1 Sample Design

3.4.2 Sampling Method

3.4.3 Data Collection Tool

3.4.4 Analysis of Data

3.5 Limitation of the Study

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CHAPTER 3

RESEARCH METHODOLOGY

3.1 Objectives of the Study:

 To study the impact of e-commerce on consumers buying behaviour in Bhopal City.

 To understand the factors that influence consumers buying behaviour to shop


grocery products online in Bhopal City.
 To identify the most preferred e-commerce website or app in Bhopal City.

 To identify which model of payment consumers prefers more for online shopping or
e-shopping provided payment security or not.

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3.2 Research Hypothesis:

Following hypothesis framed to achieve research objective:

 H0: There is no impact of e-commerce on consumers buying behaviour.

 H1: There is signific ant impact of e-commerce on consumers buying behaviour.

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3.3 Scope of the Study:

 E-grocery is becoming increasingly popular in India.

 In the future, e-shopping will supplant offline shopping.

 Though offline shopping will continue to exist, online shopping has the potential to
change consumers buying behaviour.

 This study conducted to understand the behaviour of consumers towards online


shopping and to examine which factors influence consumers to shop grocery online.

 This study is an attempt to find out which characteristics of e-shopping consumers


don’t like and which quality of e-shopping they like.

 This study limited to Bhopal City with sample size of 95 respondents.

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3.4 Research Design and Methodology:

In this research project report, both primary and secondary data is used.

1. Primary Data: These are the data or information that are collected from other
primary sources, i.e., the data's source of origin. In this project report primary data collected
from a sample size of 95 respondents residing in Bhopal.

2. Secondary Data: Secondary data is a kind of data that already exist. In this project
report, secondary data collected from existing literature, the internet, books.

3.4.1 Sample Design:

 Population: A population is a whole group regarding which you want to conclude


about, is known as population. The population of this study is residents of Bhopal
city.

 Sample Size: The sample size chooses for this studyare95 in Bhopal City.

3.4.2 Sampling Method:

Stratified Random sampling method employed in this study.

 Stratified Random Sampling Method: (Hayes, 2020), Stratified random sampling


refers to a sampling method that involves the division of the population into smaller
sub-group known as strata.

3.4.3 Data Collection Tool: To collect the primary data Questionnaire tool is used for the
empirical research on the impact of e-commerce on consumer buying behaviour with
special reference to grocery product in Bhopal.

3.4.4 Analysis of Data:

The following tools are employed for the analysis of data in this study.

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Descriptive and inferential data analysis used.

Percentage Analysis:

Percentage Analysis is employed to determine the relationship between the two or more
series.
Chi Square test is employed for hypothesis testing.
Percentage Analysis = No. of respondents / Total no. of respondents*100

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3.5 Limitation of the Study:

 This study mainly focuses on online consumers buying behaviour.

 The survey is limited to Bhopal City.

 In this study, the questionnaire based on google form, so personal presence was not
there.

 Another limitation of this study was that most of the respondents filled the
questionnaire very poorly.
 Another disadvantage of this study is that at the time collecting primary data it was
difficult to find out the respondents who shop online.

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CHAPTER 4
DATA REPRESENTATION AND ANALYSIS

4.1 Data representation and Interpretation

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CHAPTER 4

DATA REPRESENTATION AND ANALYSIS

4.1 Data representation and Interpretation:

Percentage = No. of Respondents /Total no. of Respondents*100

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Question 1) Gender:

Table 4.1.1: Table showing the Gender of Respondents

Gender Respondents Percentage


Male 44 46.32%
Female 51 53.68%
Total 95 100%

Pie Chart 4.1.1: Pie Chart showing the Gender % of Respondents

46.32%
53.68% Male
Female

Interpretation:

 The table and diagram show that out of the total 95 respondents, 53.68% of the participants
were women and 46.32% were male.

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Question 2) Age:

Table 4.1.2: Table showing Age of the Respondents

Age Respondents Percentage


20-30 86 90.53%
30-40 5 5.26%
40-50 3 3.16%
50 above 1 1.05%
Total 95 100%

Bar Chart 4.1.2

Bar chart showing Age % of the Respondents

Age of Respondent
100
90
80 86
70
60
50
40
Respondents
30
20
10
0
5 3 1

20-30 30-40 40-50 50 above

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Interpretation:

 The above table and diagram show that out of the total respondents, 90.53%
were between 20- 30, and 5.26% were between 5.26%, 3.16% were between
40-50, and only 1.05% where 50 above respondents were participated in the
survey.

 It means that the majority of respondent who were participated in survey


between the age group of 20-30.

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Question 3) Preference for online shopping:

Table 4.1.3

Table showing the preference for online shopping

Preference of E-shopping Respondents Percentage


Yes 90 94.74%
No 5 5.26%
Total 100 100%

Pie Chart 4.1.3

Pie chart showing the preference % of E-shopping

Preference for E-shopping


5.26%

Yes
No
94.74%

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Interpretation:

 The above table and diagram show that out of the total respondents, 94.74%
preferred online shopping, or only 5.26% don't prefer it.

 It means that the majority of respondents preferred online shopping.

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Question 4) Products Preferred in Online Shopping:

(In this question people select more than one checkbox, so %are more than 100 and
respondents are more than 95.)

Table 4.1.4

Table showing products preferred in E-shopping

Products Respondents Percentage


Grocery 36 37.9%
Electronic Goods 50 52.6%
Cloths 75 78.9%
Footwear 46 48.4%
Accessories 48 50.5%
Cosmetic Products 32 33.7%
Other (Bags and Furniture) 2 2.2%

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Bar Chart 4.1.4

Bar Chart showing products preferred in E-shopping

Products preferred in e- commerce

(Other) Bags and Furniture 2

Cosmetic Products 32

Accessories 48

Footwear 46
Responded
Cloths 75

Electronic Goods 50

Grocery 36

Interpretation:

 The above table and diagram revealed that the majority of respondents purchase
Clothes.

 Electronic goods, Accessories, and Footwear are the second most preferred
Products.

 It also shows that the majority of women buy Grocery and Cosmetic products.

 The other items that are sold in e-shopping are bags and furniture.

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Question 5) Most preferred E-shopping App and Sites:

(In this question respondents select more than one checkbox, that’s why % are more than
100 and total respondents more than 95)

E-shopping sites
Koovs and Symtten 2
Ajio 2
Ondoor and grofer 3
4
Nykaa and Purple
Myntra 14
BigBasket 14
Respondents
Flipkart 79
Walmart Grocery 5
Big Bazaar
16
Amazon
80

0 20 40 60 80 100

Table showing most preferred E-shopping App and Sites


E-shopping Sites Respondents Percentage
Amazon 80 84.2%
Big Bazaar 16 16.8%
Walmart Grocery 5 5.3%
Flipkart 79 83.2%
BigBasket 14 14.7%
Other (Myntra) 14 14.7%
(Nykaa and Purple) 4 4.21%
(Ondoor and Grofer) 3 3.15%
(Ajio) 2 2.2%
(Koovs and Symtten) 2 2.2%

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Interpretation:

 The above diagram depicts that the majority of respondents purchase product and services
from Amazon and Flipkart.

 It means that Amazon and Flipkart are the most trustable brands.

 Big Bazaar, Big Basket, Myntra are the second-most usable sites and app.

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Question 6) How often respondents buy grocery products online?

Table 4.1.6

Table showing the frequency of e-grocery purchase

Options Respondents Percentage


Always 7 7.37%
Often 15 15.79%
Sometime 39 41.05%
Rarely 19 20.00%
Never 15 15.79%
Total 95 100%

Bar Chart 4.1.6

Bar Chart showing the frequency of e-grocery purchase

Frequency of E-grocery Purchase

Never 15

Rarely 19

Sometime 39
Respondents

Often 15

Always 7

0 5 10 15 20 25 30 35 40 45

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Interpretation:

 The above table and diagram depict that out of total respondents, 41.05%
sometimes bought e-grocery, and only 7.37% of respondents were always
buying e-grocery.

 It means that out of the total respondents, the majority of respondents


sometimes buy online grocery.

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Question 7) Buying grocery online is beneficial or not?

Table 4.1.7

Table showing buying grocery online is beneficial or not

Options Respondents Percentage


Yes 64 67.37%
No 31 32.63%
Total 95 100%

Pie Chart 4.1.7

Pie Chart showing buying grocery online is beneficial or not

Buying e-grocery beneficial or not

32.63%

yes
67.37%
No

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Interpretation:

 The above table and diagram revealed that out of the total respondents,67.37%
agree with the statement that buying grocery online is beneficial, and 32.63% did
not agree.

 It means that the majority of respondents think that buying grocery online is
beneficial.

 The remaining respondent thinks buying grocery online is not beneficial because
of factors like high price, wrong delivery, inability to touch and feel products.

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Question 8) Which factors are most important to consumers while buying grocery
online:

(In this question respondent, select more than one checkbox, that is why % are more than
100 and respondents are more than 95.)

Table 4.1.8

Table showing which factors important to customers while buying e-grocery

Factors Respondent Percentage


Price 63 66.3%
Delivery Time 54 56.8%
Customer Service 36 37.9%
Speed 24 25.3%
Freshness 61 64.2%
Other (Time saving and quality) 2 2.2%

Bar Chart 4.1.8: Bar chart showing the most important factors while buying e-grocery

Factors important for e-


Other (Timesaving and
2
Quality)
Freshness 61

Speed 24

Customer Service 36 Respon


dents
Delivery Time 54

Price 63

0 10 20 30 40 50 60 70

56|Page
Interpretation:

 The above table and diagram show that freshness and price are the most
significant factors for customers while making an e-grocery purchase decision.
 Delivery time is the second important factor after customer service and speed.
 It means that all the above factors are important while making an e-grocery
purchase decision.

57|Page
CHAPTER 5
FINDINGS AND CONCLUSION

5.1 Major Findings

5.2 Discussions and Suggestions

5.3 Conclusion

58|Page
CHAPTER 5

FINDINGS AND CONCLUSION

5.1 Major Findings:

This study has conducted in Bhopal City among 95 respondents. The above-collected
data, in this study, observes that young people falling between the age group of 20-30
years are more likely to purchase online.

This study finds that most respondents prefer Amazon and Flipkart as a primary
platform for online shopping.

This study also finds that the majority of respondent think buying groceries online is
beneficial than buying groceries from the offline store, and it is also cheaper than offline
shopping.

The above-collected data also revealed that price, delivery time, freshness, quality of
products, speed, timesaving, etcetera are the most significant factors for consumers
while making an online grocery purchase decision.

In the above-collected data, one condition is given to the respondent (If there were
annual membership fee but not delivery charges, how likely would you be to buy
groceries online) majority of respondents likely to accept the situation.

This study also shows that most of the respondent avoid items if they didn’t get
information of items or due to unspecified production practice of items, unsafe handling
during delivery.

This study finds that these shopping platforms offer discounts and rewards.

It also revealed that the majority of respondent prefers, cash on delivery as a mode of
payment for online shopping. The above-collected data also finds that majority of
respondent think e-shopping platform provide payment security.

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This study also depicts that inability to touch and feel products, poor return policy,
wrong delivery of products, lack of after-sale services, etcetera, are enormous
disadvantages of e- shopping.

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5.2 Discussions and Suggestions:

From the above analysis, it is clear that timesaving, convenience, variety of products,
quality, speed, etc, are the factors that influence consumers to shop grocery online. It
also finds that if consumers are unable to find information about specific products or
services, they deny the purchase decision, so the e-commerce platform should design in
such a way so that consumers can easily find information that they are looking for
regarding specific products and services. \

The firm should create awareness by adopting different advertising mediums regarding
shopping stores or products and services.

Freshness and quality are two important factors while making an e-grocery purchase
decision, so the firm should provide grocery products in refrigerator cool box to keep
them fresh.

Inability to touch and feel products is one of the major disadvantages of online shopping.
Many consumers still wish to see products before purchasing them; however, an attempt
should be made to change this attitude of consumers by educating them about the
advantages of grocery shopping.

The above-collected data also find that out of the total respondent37.9%, were neither
agreed nor disagreed that the e-shopping platform offer discounts and rewards.

To attract new consumers firm should offer various schemes and festive deals, as well
as cash discounts on bulk purchases, etcetera. It also helps e-commerce businesses in
increasing their productivity.

Rather than going the traditional e-commerce path, the company could begin by getting
an established retailer online.

The firm should educate its consumers about e-commerce, including safety tips such as
reading the item listing, checking for the seller's feedback ratings, asking

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questions, spotting spoof emails, and being informed about new online crimes that occur
regularly.

In an era of the fastest-growing technology with changes in technology, consumers


behaviour also changes continuously. For a better understanding of consumers
preference, wants, needs, choices, etcetera, the firm should continuously evaluate
consumers behaviour by taking the survey, feedback.

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5.3 Conclusion:

The Indian electronic commerce market has experienced significant growth over the
last two decades. The two key causes of this are increased use of internet access and
cell phone penetration.

Furthermore, the increase in acceptance of internet purchases, as well as favourable


demographics, have altered how businesses connect, engage, and conduct business
with consumers. It has changed the way India's e-commerce industry operates. As
the Internet continues to play a significant role in connecting information and
individuals, the demand on markets that have already adopted online services,
especially markets where selling goods online is new, has increased.

This study mainly focused on understanding what factors influence consumers


buying behaviour to shop groceries online. This study also tried to determine the
most preferred e-commerce app and sites. It also studies the impact of e-commerce
on consumer buying behaviour. This study also determines online grocery shopping
is beneficial or not.

The last objective of this study is to identify which model of payment prefers more
for online shopping.

In this study, to collect primary data, a questionnaire method was, employed in


Bhopal City among 95 respondents.

The findings of this study found that factors like timesaving, quality, speed,
customer services, variety of products are the factors that influence consumers to
shop grocery online.

It also revealed that the majority of respondent think that buying grocery online is
beneficial. This study found that Amazon and Flipkart are the most preferred e-
shopping sites.

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The above-collected data depict that majority of respondents preferred cash on
delivery as a mode of payment for online shopping, most of the consumers think e-
commerce platform provides payment security.

This study also finds that inability to touch products, poor return policy, wrong
delivery of products, etc are the prime disadvantages of online shopping, may this
are the reasons that most of the consumers hesitate to shop online.

Consumer buying behaviour should continuously be studied because with the


change in technology consumers behaviour also changes. It also helps the firm to
understand consumers behaviour in a better way.

64|Page
CHAPTER 6
REFERENCES

Works Cited

Rebekah, K. (2020). Indian online shoppers: from 100 million in 2020 to 350 million by
2025.

S. Sathiyaraj, A.k. (2015) consumer perception towards online grocery stores, Chennai.

International journal of Multidisciplinary Research.

Sharma, M. C. (2015). Consumer perception towards online grocery stores

Bhalla, P. (2021) The History of e-commerce and its evolution- A timeline.

Bhatiasevi, P. L. (2018, oct 26) Elucidating the Behaviour of Consumers toward Online
Grocery Shopping: The Role of Shopping Orientation.

Chadwick,E.(2011). Journal of Internet Commerce, Volume 17, 2018 - Issue 4, 418-455.

Chris Hand.F.D.(2009) Online grocery shopping; the influence of situational factor in.

European Journal of Marketing.

Dr.Kanjer Hanif, M.K.(2015) AN EMPIRICAL STUDY ON CONSUMER SPENDING

PATTERNS ON ONLINE GROCERIES PORTALS. International Journal of Management


(IJM).

65|Page
Dr. C R Kothari, D. (2019). Research Methodology. New Age International Publisher;
Fourth Edition.

George Adamides, G. M. (2006). Traditional vs Online Attitude Towards Grocery Shopping


in Cyprus. Computers in Agriculture and Natural Resources, 4th World Congress
Conference.

Guo Jun, N.I. (2011) A Study on Consumers’ Attitude towards Online Shopping in China.

International Journal of Business and Social Science.

Hanus, G (2016). Consumer Behaviour during online grocery shopping.

WWW.CBUNI.CZ,WWW.JOURNAL.CZ.

Hayes, A. (2020, March 3) Dotdash. Retrieved 2020, from Investopedia:


https://www.investopedia.com/terma/stratified_random_sampling.asp

Himanshu Budhiraja, K. M. (n.d.). Consumer’s Purchase Intentions for E-Grocery Shopping


in India. IOSR Journal of Business and Management (IOSR-JBM).

Vijayasarathy, L. R. (2004). Predicting consumer intentions to use on-line shopping: The


case for an augmented technology acceptance model.

Singh, R.T. (2012) "Consumer perception towards online grocery stores". Solomon. (1995).
consumer buying behaviour.

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CHAPTER 7

ANNEXURE

1. Name

----------------------

2. Gender

 Male

 Female

3. Age

 20-30

 30-40

 40-50

 50above

4. Do you prefer e-commerce (online shopping)?

 Yes

 No

5. Which product do you buy online?

 Grocery

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 Electronic goods

 Cloths

 Footwear

 Accessories

 Cosmetic products

 Other:

6. Which website or app do you use for online shopping?

 Amazon

 Big Bazaar

 Walmart Grocery

 Flipkart

 BigBasket

 Other:

7. How often do you buy grocery products online?

 Always

 Often

 Sometimes

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 Rarely

 Never

8. Do you think buying grocery online is beneficial?

 Yes

 No

9. Which of these factors are most important to you when buying groceries online?

 Price

 Delivery time

 Customer Services

 Speed

 Freshness

 Other:

10. How likely would you be to buy groceries online and have them delivered if there
were annual membership fee but not delivery charges?

 Very likely

 Likely

 Neither likely nor Unlikely

 Unlikely

 Very unlikely

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10. Is online grocery shopping more costly than offline shopping?

 Yes

 No

11. Online shopping offers great discounts and rewards.

 Strongly disagree

 Disagree

 Neutral

 Agree

 Strongly agree

12. Online shopping tells the positive and negative experience of people.

 Strongly disagree

 Disagree

 Neutral

 Agree

 Strongly agree

13. Do you avoid certain items because you are unable to determine its ingredients
or nutritional information?

 Yes

 No

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14. Do you avoid certain purchases because of unspecified production practices of
the specific item, fear of cross-contamination, or potentially unsafe handling
during delivery?

 Yes

 No

15. Which mode of payment do you use in online shopping?

 Cash on delivery

 Debit Card

 Credit Card

 ATM Card

 Net Banking

 Other:

16. Online shopping provides payment security.

 Strongly disagree

 Disagree

 Neutral

 Agree

 Strongly agree

 Other

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17. What characteristics of online shopping you don't like?

 High price

 Poor return policy

 Inability to touch and feel

 Lack of after sale service

 Wrong delivery of products

 Other:

18. Is there any other thing do you want to share regarding online shopping especially
in the case of grocery product?

-------------------------------------------------------------------------

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