CHAPTER I
THE PROBLEM AND ITS SCOPE
Introduction and Rationale
Online shopping was increasing gradually even before the coronavirus disease 2019 (COVID-
19) pandemic began. With stay-at-home orders in place around the country, a huge increase in
people ordering everything from groceries to clothing to household supplies online might be
expected. (Ecola et, al., 2020)
Rizwan (2013) states that satisfaction is usually related to the changing of perception or feelings
of customers towards the quality of the service or product, price and other factors.
In accordance with Adjei & Denanyoh (2014) customer satisfaction is the customers’ evaluation
after purchase, and it will be affected by customer’s response on the product or services
experiences. Customer satisfaction can also be recognized from consumers’ prior experiences
and post purchase behaviour which include complaints, product usage and repurchase intention.
According to research by We Are Social and Hootsuite reveals that 71% (76 million) of the
country’s total population of 107.3 million people are active Internet users. Of that number, 70%
have purchased a product or service online in the past month. The majority of Filipinos who shop
online are between the ages of 18 to 31 — members of Gen Z and Millennials who are tech-
savvy and prolific social media users. More women (12%) shop online than men (8%) do.
(Baguios& Leong, 2019)
Mandru&Camarda (2009) asserts that it is well known nowadays, clients expect high quality
of purchased products and therefore, companies have to able to measure the quality of products
they supply, trying to see the measure in which those satisfy costumer’s needs and expectations.
Laudon and Traver (2009) said in terms of online communication, when customers see banner
1
ads or online promotion, these advertisements may attract customers’ attention and stimulate
their interesting particular products. Before they decide to purchase, they will need additional
information to help them out.
Kim et. al., (2004) also states that customer service can be defined as system of activities that
consists of customer support systems, complaint processing, and effectiveness of complaint
processing, comfortable in reporting complaints and friendliness when reporting complaints.
In addition from Lee and Whang (2001) since product delivers directly to a customer’s home or
business rather than to the store in online shopping, the quality of logistics services concerning
the timeliness of “last mile” delivery is a significant determinant of customer satisfaction and
purchase intentions.
Collier and Bienstock (2006) suggest that timeliness of delivery as one of the dimension of
service quality has a significant influence on customer satisfaction and future behavioral
intentions.
2
Theoretical Background
Related Theories
The EDP implies that consumers purchase goods and services with prepurchase expectations
about anticipated performance. The expectation level then becomes a standard against which the
product is judged. That is, once the product or service has been used, outcomes are compared
against expectations. If the out- come matches the expectation, confirmation occurs.
Disconfirmation occurs where there is a difference between expectations and outcomes. A
customer is either satisfied or dissatisfied as a result of a positive or negative difference between
expectations and perceptions. In contrast, when product performance is not as good as expected,
there is a negative disconfirmation between expectations and perceptions, which causes
dissatisfaction.
The U&G (Uses and Gratifications) theory identifies the complete process of media
consumption and provides recognition to media users by selecting the right media to gratify
their emerging needs (Katz, Blumler, & Gurevitch, 1974). This theory applies a user-centric
functionalist perspective on social media and observes its effects from an individual‟s
viewpoint. The proposed model has specifically employed this theory in not only knowing
“how people use media” but also “why people use media”. Motivations here need to be
understood as gratifications sought i.e. if a specific media behavior becomes a means to attain a
specific goal, then that motivation is a means to achieve that goal directed behavior.
Perceived Value Theory which a customer derives satisfaction from appraising a composite of
value-adding attributes that is attached to a service. CSR (Customer Service Representative)
enhances customers' perceived value through participation in good causes. In addition, the
process of identifying, implementing and communicating CSR activities to customers enhances
customer-specific knowledge and subsequently result in greater customer satisfaction.
3
Theoretical- Conceptual Framework
Expectancy The U & G Perceived
Disconfirmation (Uses and Gratifications) Value
Theory Theory Theory
The Significant Relationship Between Customer’s Satisfaction in Online Shopping Among
Teenagers in the residents of Ponce Capitol Site
The respondent’s evaluation in The respondent’s reaction to Respondent’s experiences in
the quality of the product the product from the customer service
advertisement and reality
Analysis of Results
Summary, Conclusions and Recommendations
4
Related Literature
In accordance with Saleh (2008) increased product durability or design lifetime mapped into an
additional flow of utility from the system.
(Aaker, 1997; Greengrove, 2002; Neal and Wurst, 2001) demonstrated and analysed product
quality to the extent that effective designs can aid in customer’s influence.
Patterson (1993) pointed out that the product performance is the most powerful determinant
related to satisfaction.
Zeithaml and Dawar (1999) asserts that product quality in a broad sense, is defined as
“superiority or excellence” of a product.
Iwarere (2009) describes that “Quality management is considered as a competitive weapon.” The
relationship is such that an improved product quality results in increasing both production and
product reliability.
According to Holmstrom (1979) Imperfect information is among the basic causes of moral
hazard, people might reveal or share information with each other when they could benefit from
the outcomes.
Gardner (1975) pointed out deception is an utter/outright lie, therefore, consumer cannot benefit
from the claims made by the advertisement.
According to Carson et al. (1985) deliberation of a false claim in the advertisement orally or in
writing can qualify as a lie with verbal manifestation.
Monika, Rasa (2012) have explored consumer’s purchasing decision is ending up through
deceptive practices in advertisements at high prices and low quality.
According to Gaeth & Heath (1987) the processing of deceptive advertising varies among older
and younger adults, the difference between actual performance of the product and false beliefs
created by the advertising represents the degree to which a consumer is misled/deceived.
According to Collier and Bienstock (2006) online consumers are quite sensitive to delivery time,
and therefore, this factor has a strong impact on consumer satisfaction.
Collier and Bienstock (2006) stated that the delivery aspect is mostly related to timeliness and
delivery speed. As online consumers are especially sensitive to on-time delivery, this factor is
known to enhance consumer
satisfaction significantly.
Xu et al. (2017) indicated that fast delivery (within 24 hours) increases consumer satisfaction for
hedonic products such as toys, wine, and jewelry because online consumers tend to buy these
products on impulse and want to possess them quickly.
Rao et al. (2011) indicated that delivery delays decrease the consumers level of satisfaction.
Kotler (2006) stated that in a competitive marketplace where businesses compete for customers,
delivering quality service is seen as a key differentiator and has increasingly become a key
element of business strategy.
5
The Problem
Statement of the Problem
To determine the teenager’s level of satisfaction from the product quality, advertisement and
customer service in online shopping.
How was the purchase product in terms of durability, size and design?
Did they meet the expectation of the product from advertisement in actual?
How is the customer service of online shops in terms of time delivery and seller’s response?
6
Significance of the Study
This research is significant to the following:
Teenagers. This study will serve as their basis in decision making upon purchasing
online.
Marketers/Online Sellers. This will help them formulate strategies towards online
marketing.
Students. This will help them to have insights about their Marketing Subject.
Community. This will help them to better understand the factors in online shopping
especially in the midst of pandemic.
Future Researchers. This will be a useful reference for the researchers who would plan
to make any related study precisely about the Customers Satisfaction in Online Shopping.
7
Scope and Delimitation of the Study
This study complied with the research started from April 2021 up to June 2021.
Teenagers from Barangay Ponce Capitol Site residence are the respondents of the
study.
The selection of the respondents are only limited due to pandemic and the strict policy
in the said barangay.
The data will be gathered through an online survey among the said respondents.
The research is all about customer’s satisfaction in online shopping among teenagers.
This study aims to determine the teenager’s level of satisfaction in online shopping as
to; product quality, advertisement and the customer service.
8
Definition of Terms
Product Quality – these refers to the overall performance of the product that has capacity to meet
the consumers’ needs.
Advertisement – these refers to the communication and promotion technique to persuade the
online shoppers.
Customer Service – these refers to the intangible product or the support that online shops offer to
the customers both before and after they purchase and use the products or services.
Satisfaction – these refers to the evaluation that determines how happy the customer through
his/her experience from online shopping.
9
CHAPTER II
RESEARCH METHODOLOGY
The study uses Non-Experimental Research – Evaluation Studies
which involves collecting and analyzing information about the activities, characteristics,
and outcomes of such decisions. Its purpose is to make judgments about a program, to
improve its effectiveness, and/or to inform decisions. This study is concerned with the
measurements of an individual’s perception with regards in their online shopping
satisfaction.
According to Bryman and Bell (2007) Convenience sample is one that is conveniently
available to the researcher with its goodness of accessibility.
By keeping in view, the limitations of time, resources and population the researcher
have decided to apply convenience sampling technique for the purpose of collecting
empirical material. The respondents are obtained on the availability due to the COVID-
19 virus pandemic.
It utilizes behavioral observations to measure behavior to identify the function
maintaining a problem behavior and to evaluate the success of
a positive behavior support plan.
The respondents are limited to 15 teenagers from Barangay Ponce Capitol Site, Cebu
City.
10
The following instruments were used in the study: Lee and Joshi (2006). The concept
of satisfaction with online shopping can benefit by examining ‘satisfaction’ literature
from different angles, for instance, customer satisfaction from a marketing perspective,
user satisfaction from information systems and job satisfaction from organizational
behavior.
The instrument utilizes questionnaires to the respondents through an online survey.
According to (Pradip Dwevedi), poor quality for product and services on customer
satisfaction “Once you have delivered your product, there may be quality issues that
may come up. This will become a major problem for the customer as well as the
organization. A trust issue will crop up, since the customer may not rely on you for any
another purchase. Quality must be a high priority for a project manager. Customer
satisfaction is required for a successful project”.
The data will be collected through an online survey by giving questionnaires to the
selected respondents. This study aims to determine the teenager’s level of satisfaction
in product quality, advertisement and customer service in online shopping.
The study uses bivariate analysis to examine the relationship between the product
quality to customer satisfaction. The effect of advertisement to customer satisfaction
and customer service to customer satisfaction. The statistical software used for
analysis will be Ms. Excel. After which is to summarize the data using pie chart then
find the key measures of location. Next, is to calculate measures of spread then make
future predictions based on past behavior result. Lastly, is to test an experiment's
hypothesis.
11
CHAPTER III
PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
This chapter discusses the quantitative findings using different statistical tools to measure the
level of satisfaction of teenagers in online shopping. The interpretation of findings is organized
base on the following sub-headings: (a) product quality; (b) advertisement; (c) customer service
Product Quality
The data shows the teenagers evaluation in the quality of product in costumers in online
shopping among the residents from Barangay Ponce Capitol Site, Cebu City which presented in
the following pages. The items are rank in a tabular table along with the mean, equivalent and
description.
Table 1. Product Quality
Frequency % Equivalent Description
(f)
Item 1: The product that I
purchased online served me
9 60 Agree Positive
well.
Satisfied
Item 2: My purchased product
last long.
8 53.33 Agree Positive
Satisfied
Item 3: I experienced to
received defective products.
6 40 Agree Positive
Satisfied
Item 4: The design of the 7 46.67 Good Positive
product I purchased is good.
Satisfied
Item 5: The first impression I
12
had in the product is good. 10 66.67 Good Positive
Satisfied
Item 6: I am satisfied with the
product quality of my
9 60 Satisfied Positive
purchased product.
Satisfied
OVERALL 9 57.14 Satisfied Positive
Satisfied
Agree
Good
Table 1. Respondents’ evaluation in the quality of product
Table 1 shows that 57.14% of teenagers are satisfied and agree that product quality is
important in online shopping.
This means that most of the teenagers from teenagers preferred to purchase a good
quality product.
The result implies that customers are satisfied with a good quality of product.
It supports the study of Patterson (1993) that the product performance is the most
powerful determinant related to satisfaction.
Additionally it supports the study of Neal and Wurst (2001) that product quality to the
extent that effective designs can aid in customer’s influence.
Also, the study of Saleh (2008) supports that increased product durability or design
lifetime mapped into an additional flow of utility from the system.
13
Advertisement
The data shows the teenagers reaction to the product from the advertisement to the actual
purchase in online shopping among the residents from Barangay Ponce Capitol Site, Cebu City
which presented in the following pages. The items are rank in a tabular table along with the
mean, equivalent and description.
Table 2. Advertisement
Frequency (f) % Equivalent Description
Item 7: The
product in the
6 40 Disagree Negative
advertisement
Dissatisfied
similar to its
actual product.
Item 8: I trust in
what I hear and
11 73.33 Yes Positive
saw in the
Satisfied
advertisement.
Item 9: There is
no information
Yes Positive
from the
9 60 Satisfied
advertisement
that I haven't
seen in the actual
product.
Item 10: The
product I
9 60 Yes Positive
purchased is
Satisfied
similar as I
14
received.
Item 11: I
experienced to
7 46.67 Disagree Negative
received
Dissatisfied
different
products than I
purchased.
OVERALL 7 64.44 Yes Positive,
Satisfied
Negative,
10 43.33 Disagree
Dissatisfied
Table 2. Respondent's reaction to the product from the advertisement to the actual
Table 2 shows that 64.44% of teenagers approved that information from the
advertisements are factual in the actual product while 43.33% have disapproved to the
conducted factual advertisement.
This means that most of the teenagers meet the expectation of the product from the
advertisement and in actual.
The result implies that customers are satisfied when they meet their expectation from
advertisement and in actual.
The result supports the study of Monika, Rasa (2012) that consumers purchasing decision is
ended up through deceptive practices in advertisements at high prices and low quality.
However, the study of Gaeth & Heath (1987) negates that the processing of deceptive
15
advertising varies among older and younger adults, the difference between actual
performance of the product and false beliefs created by the advertising represents the
degree to which a consumer is misled/deceived.
Holmstrom (1979) also negates that imperfect information is among the basic causes
of moral hazard, people might reveal or share information with each other when they
could benefit from the outcomes.
Customer Service
The data shows the teenagers experiences in customer service during an online shopping among
the residents from Barangay Ponce Capitol Site, Cebu City which presented in the following
pages. The items are rank in a tabular table along with the mean, equivalent and description.
Table 3. Customer Service
Frequency (f) % Equivalent Description
Item 12: I think
the information
7 46.67 Agree Positive
is enough
Satisfied
provided by the
sellers about the
goods available
for purchase.
Item 13: The
sellers respond
15 100 Yes Positive
to my inquires.
Very Satisfied
Item 14: I am
16
satisfied with the 8 53.33 Agree Positive
product details
Satisfied
given by the
sellers.
Item 15: I prefer
to receive early
8 53.33 Agree Positive
arrival of my
Satisfied
orders.
Item 16: I
received my
9 60 Yes Positive
purchased
Satisfied
products on
time.
OVERALL 9 62.67 Yes Positive
Agree Satisfied
Table 3. Respondent's experiences in customer service
Table 3 shows that 62.67% of teenagers approves that there is a good customer service
in an online shopping.
This means that most of the teenagers increases their satisfaction with a good
customer service in an online shopping.
The result implies that customers are satisfied when there is a good customer service.
The result supports the study of Collier and Bienstock (2006) that online consumers are
quite sensitive to delivery time, and therefore, this factor has a strong impact on
consumer satisfaction. Additionally, it is stated that the delivery aspect is mostly related
to timeliness and delivery speed. As online consumers are especially sensitive to on-
17
time delivery, this factor is known to enhance consumer satisfaction significantly.
Therefore, Xu et al. (2017) indicated that fast delivery (within 24 hours) increases consumers
satisfaction for hedonic products such as toys, wine, and jewelry because online consumers tend
to buy these products on impulse and want to possess them quickly.
However, Rao et al. (2011) negates that when delivery delays it decreases the consumers level of
satisfaction.
Additionally, Kotler (2006) supported that in a competitive marketplace where businesses
compete for customers, delivering quality service is seen as a key differentiator and has
increasingly become a key element of business strategy.
CHAPTER IV
SUMMARY, CONCLUSION AND RECOMMENDATIONS
Summary
The study utilized quantitative research to determine the teenagers’ level of satisfaction
through an online survey. This will identify the product quality, advertisement and customer
service. The selection of the respondents are only limited to 15 teenagers due to pandemic and
the strict policy in the Barangay Ponce Capitol Site. This study took from May to June 2021.
It sought to answer the following questions:
1. How was the purchase product in terms of durability, size and design?
18
2. Did they meet the expectation of the product from advertisement in actual?
3. How is the customer service of online shops in terms of time delivery and seller’s response?
Findings
1. Most of the teenagers preferred to purchase a good quality product.
2. Most of the teenagers meet the expectation of the product from the advertisement and in
actual.
3. Most of the teenagers increases their satisfaction with a good customer service in an online
shopping.
Conclusions
The students who participate the online survey are teenagers from Barangay Ponce
Capitol Site, Cebu City having different answers from the given questions that test the
relationship of customer satisfaction in online shopping. After reviewing the data collected, the
researcher came up with a conclusion.
The researcher focuses and gives importance to this study to determine the teenager’s level of
satisfaction from the product quality, advertisement and customer service in online shopping.
The research outcome is significant since it shows the respondents level of satisfaction through
evaluation from their different experiences in online shopping.
19
The study showed that teenagers prefer good quality of product, meet their expectation of the
product from advertisement and in actual and good customer service in online shopping.
Therefore, this study will truly help marketers or online sellers to formulate different strategies
towards online marketing to be able to meet the satisfaction of a customer.
Recommendations
The following recommendations are offered base on the work accomplished during the
data interpretation, findings and on the conclusions given previously.
Teenagers. This study will serve as their basis in decision making upon purchasing online.
Marketers/Online Sellers. This will help them formulate strategies towards online marketing.
Students. This will help them to have insights about their Marketing Subject.
Community. This will help them to better understand the factors in online shopping especially
in the midst of pandemic.
Future Researchers. This will be a useful reference for the researchers who would plan to make
20
any related study precisely about the Customers Satisfaction in Online Shopping.
REFERENCES
Carson, T. L., Wokutch, R. E., & Jr, J. E. C. (1985). An ethical analysis of deception in
advertising. Journal of Business Ethics, 4(2), 93–104.
Collier, J.E., and Bienstock, C.C. 2006. “Measuring Service Quality in E-Retailing.” Journal of
Service Research 8 (3):260–75.
Gaeth, G. J., & Heath, T. B. (1987). The Cognitive Processing of Misleading Advertising in
Young and Old Adults: Assessment and Training. Journal of Consumer Research, 14(1), 43–54.
Gardner, D. M. (1975). Deception in Advertising: A Conceptual Approach. Journal of
Marketing, 39(1),
40–46.
21
Hölmstrom, B. (1979). Moral Hazard and Observability. The Bell Journal of Economics, 10(1),
74–91.
Kotler P and Armstrong (2010) Marketing management 13th Edith Pearson
Education Inc.
Monika, R. (2012). Interrelation of Misleading Advertising and Solutions of
Consumers: Legal Regulation and Institutional Background in Lithuania. ISSN
1822–8402 European Integration Studies. 2012. No 6, 192-201.
P.G. Patterson, Expectations and product performance as determinants of satisfaction for a high-
involvement purchase, Psychology and Marketing, vol. 10, no. 5, pp. 449-465, 1993.
Rao, S., Griffis, S.E., and Goldsby, T.J. 2011b. “Failure to Deliver? Linking Online Order
Fulfillment Glitches with Future Purchase Behavior.” Journal of Operations Management 29(7–
8):692–703.
Saleh, J. H. (2008). Analysis of marginal cost of durability and cost per day: A first step
towards a rational choice of durability. Journal of Engineering Design, 19(1), 55-
74.
Xu, X., Munson, C.L., and Zeng, S. 2017. “The Impact of EService Offerings on the Demand of
Online Customers.” International Journal of Production Economics 184:231 44.
Zeithaml et al, (1998) Study Guide for use in Marketing, Journal Marketing Research.
Website:
Retrieved from https://www.rand.org./pubs/research_reports/RRA3086.html
Retrieved from https://www.resarchgate.net/publication/333985295_
Retrieved from https://janio.asia/articles/who-are-philippines-online-shoppers/
APPENDIX A
LETTER REQUEST TO CONDUCT STUDY
City Central National High School
Senior High School Department
Osmeña Boulevard St., Cebu City
DR. CINDY O. PERIGO
School Principal
City Central National High School
Osmeña Boulevard St., Cebu City
MR. REYMAR R. SARSOZA
Research Adviser
City Central National High School
22
Osmeña Boulevard St., Cebu City
Sir/Madam:
Good day!
The undersigned, a Grade 12 senior high school student from Accountancy Business and
Management (ABM) strand who is currently working on her Quantitative Research study entitled
“The Significant Relationship Between Customer's Satisfaction in Online Shopping Among
Teenagers in the residents of Ponce Capitol Site" this study when finished will serve as a partial
fulfilment of the requirements for the subject Practical Research 3. This study aims to determine
the teenager’s level of satisfaction from the product quality, advertisement and customer service
in online shopping.
In line with this, I humbly ask your permission to administer the survey tools needed for this
quantitative study. The respondents will be the teenagers from Barangay Ponce Capitol Site
Cebu City. The results would substantially suffice a contributory knowledge exposure and
experience in achieving competencies in research
I’m looking forward to your favorable response with regard to this matter. Thank you very much
for your support.
Sincerely yours,
MAILEEN C. SUARING
Researcher
Noted:
DR. CINDY O. PERIGO
School Principal
APPENDIX B
LETTER TO RESPONDENTS
May 18, 2021
Dear Respondents:
Greetings of Joy!
I am presently conducting a research study entitled " The Significant Relationship Between
Customer's Satisfaction in Online Shopping Among Teenagers in the residents of Ponce
23
Capitol Site" as a requirement for Practical Research III. In connection, we hope you can help
us through participating and answering our online survey which will help us to gather relevant
information. Rest assured that all information gathered will be kept confidential and will be used
for research purposes only. Thank you and God Bless.
Respectfully,
Maileen C. Suaring
The Researcher
GRAPHS, TABLES AND CHART
24
25
26
Timetable / Grantt Chart
27
Februar
y March April May June July
Identify
Research 1st
Area week
2nd
Introducti wee
on k
Formulate 3rd
Research wee
Question k
4
Formulate Research strategy, wee
design, and select methods ks
Write 4
Research wee
Proposal ks
2
Literature wee
Review ks
Data 2
Collectio wee
n ks
1st
Data wee
Analysis k
2nd
Write wee
first draft k
Write 3rd
second wee
draft k
4th
Write wee
final draft k
1st
Dissertati wee
on Due k
COST ESTIMATE
28
The researcher has a total of 5,000.00 which undertaken the study above. The majority
of funds goes towards the equipment expenses for essential but time-consuming activities of
conducted and analyzed 15 questionnaires. This includes the budget for reliable internet
connection worth 1,000 good for 5 months. And also for the electronic supplies
such as laptop, mouse and keyboard used for thesis making worth 4,000.
ITEM OF QTY UNIT TOTAL
EXPENDITURE COST
Prepaid Wi-Fi 1 999 999.00
Laptop 1 3,500 3,500.00
Mouse 1 200 200.00
Keyboard 1 300 300.00
TOTAL: 4,999.00
CURRICULUM VITAE
29
MAILEEN C. SUARING
Ponce Capitol Site, Cebu City
0912695014
maileen.suaringabmgmail.com
PERSONAL INFORMATION
Birth date : November 22, 2002
Birthplace : Cebu City
Nationality : Filipino
Languages : Cebuano, Filipino, English
EDUCATIONAL BACKGROUND
Senior High School : City Central National High School
P. Del Rosario Street, Osmena Blvd., Cebu City
2021
Junior High School : City Central High School
P. Del Rosario Street, Osmena Blvd., Cebu City
2015-2019
Elementary : City Central School
P. Del Rosario Street, Osmena Blvd., Cebu City
2009-2015
INTERESTS
30
● Reading Books
● Singing
● Dancing
● Cooking
● Watching Movies
31
