Index

Chapter Particulars Page No.

No.

Title 1

Declaration 2

Acknowledgement 3

Certificate 4

Executive Summary 5

I INTRODUCTION

Introduction

Objectives of the study

Hypothesis of the study

Definition of the key terms

Need and Scope of the study

II REVIEW OF LITERATURE

Introduction

Review of Literature (Tabular Format)

III RESEARCH METHODOLOGY

Introduction

Tools & Techniques of Investigation

Design of the study

IV ANALYSIS AND INTERPRETATION

Graphical representation

Analysing the studies

V SUMMARY AND CONCLUSION

Conclusion

Suggestions and Recommendations

Limitations of the study

BIBLIOGRAPHY

APPENDIX- Questionnaire

1
EXECUTIVE SUMMARY
In today’s competitive world while entering in the market it is very necessary to have good knowledge of the
potential of a particular market. The information regarding the activities of competitor can help us plan our
each activity according to that. It is also necessary to retain the existing customers apart from attracting the
new customers.
Due to the exponential growth of internet, nature and structure of competition in traditional way of doing
business and e-commerce has been changed dramatically. Due to the exponential growth of internet, nature
and structure of competition in traditional way of doing business and e-commerce has been changed
dramatically.
Internet is changing the way consumers shop and buy goods and services, and has rapidly evolved into a global phenomenon.
Many companies have started using the Internet with the aim of cutting marketing costs, thereby reducing the price of their
products and services in order to stay ahead in highly competitive markets.
In traditional way of doing commerce, most businesses had to compete within a single industry and often
within a specific limited geographical area, but the internet is breaking all these boundaries.

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CHAPTER_I
INTRODUCTION
The increase in technology provides good opportunities to the seller to reach the customer in much faster,
easier and in economic way. Online shopping is emerging very fast in recent years. Now-a-days the internet
holds the attention of retail market. Millions and millions of people shop online. On the other hand, the
purchasing of product from traditional market is continuing since years. Many customers go for purchasing
offline so as examine the product and hold the possession of the product just after the payment for the product.
In this contemporary world customer’s loyalty depends upon the consistent ability to deliver quality, value
and satisfaction. Some go for offline shopping, some for online and many go for both kind of shopping. The
focus of the study is on the consumer’s choice to shop on internet and at the traditional stores at the information
gaining period. However online shopping is easier for the people and cheaper than the offline shopping. While
making any purchase decision consumer should know the medium to purchase whether online shopping or
the offline shopping. Consumer should decide the channel for them which can best suit to their need and wants
and which can satisfy them. In this competitive world how consumer can decide the medium for their purchase
of goods is very important to understand from a managerial point of view. Laing and Lai in 2000 said that the
internet shopping is the third best and most popular activity over internet. After online shopping next comes
the e-mail using, instant messaging and web browsing. These are even more important than watching or getting
entertained by the internet or getting any information or news, this are the two very common thought which
comes to the people’s mind when considering the internet users do when they are online. The behaviour of
online shopping is also known as online buying behaviour and internet shopping. Online shopping also
consists the same five steps which is related to traditional shopping behaviour.
But rather than searching actively, many a times potential consumers are attracted by the information about
the product they want. They see many products online and choose the best one which suits him/her. Then they
purchase that product and finally the transaction takes place and post sales service provided by the online sites.
Online shopping attitude and behaviour are related to the consumer. Previous studies have focused on why
the products of the online shopping is different from other products. Many studies have found that the high
touch products that the consumer feels when they need to touch, smell or try the product, it requires the offline
shopping at the purchasing stage because it cannot be done in the online shopping. Even with the increase in
the online shopping and the recognition that online shopping is more likely to impose the pressure on offline
shopping or traditional shopping,this research is very limited in this area or field. Online or e-shopping is a
kind of electronic shopping which allow the consumer to purchase goods over the internet directly from the
seller using a web browser. There are some alternative names of online shopping those are as follow- e-web
store, e-shop, e-store, internet shop, web-shop, web-store, online store, online store front and virtual store.
Mobile commerce or m-commerce is described as purchasing from the online retailer by the mobile optimized
online sites or application (app).
Online shopping is invented by an English entrepreneur Michael Aldrich in 1979. (Palmer& Kimberly,2007)
Tim Berners Lee is the one who created the first World Wide Web server in 1990. It was opened for a
commercial purpose. There after many technological innovations emerged in 1994 like the online banking,
the opening of online pizza shop by Pizza Hut, Netscape SSL v2 encryption standard for secure data transfer,
and Inters hop’s first online shopping system. In 1994 the first secure transaction was over the web either by
Net market or Internet shopping. Amazon was launched in 1995, it is the first online shopping site of the world
and after that eBay was introduced in 1995.Today many countries are doing online shopping but still some
countries are at the starting point of the experiment of online shopping. In 1987, the merchant account was
launched that helped the software developers to sell their software online easily. Swig was the name of first

3
software and the oldest software that is still available. Future shop is a book for how modern technology will
change the way of shopping and what the customer buy. It was published in the year 1992. The book consists
of the topic like what will happen in the future date of e-commerce and how the internet will take place in the
society. 1994 is the mouth of year of online commerce and Yahoo is launched in this year. In 1995 approx.
12000 domain names were registered in the internet. In 1998 Google entered the world of e-commerce and
launched google store online. The customer of online shopping should have internet and a valid method of
payment to purchase the products from the internet. Amazon, Myntra, flipkart are some of the examples of
the successful online shopping sites that use less price of the items and large stocks to attract the consumer.
ONLINE SHOPPING:
Online shopping is a form of electronic commerce which allows consumers to directly buy goods or services
from a seller over the Internet using a web browser. Consumers find a product of interest by visiting the
website of the retailer directly or by searching among alternative vendors using a shopping search engine,
which displays the same product's availability and pricing at different e-retailers. As of 2016, customers can
shop online using a range of different computers and devices, including desktop computers, laptops, tablet
computers and smartphones.
An online shop evokes the physical analogy of buying products or services at a regular "bricks-and-mortar"
retailer or shopping centre the process is called business-to-consumer (B2C) online shopping. When an online
store is set up to enable businesses to buy from another business, the process is called business-to-business
(B2B) online shopping. A typical online store enables the customer to browse the firm's range of products and
services, view photos or images of the products, along with information about the product specifications,
features and prices.
MAJOR COMPANIES OF ONLINE SHOPPING

Amazon: Amazon.com, Inc., doing business as Amazon, is an American electronic commerce and cloud
computing company based in Seattle, Washington that was founded by Jeff Bezos on July 5, 1994. The tech
giant is the largest Internet-based retailer in the world by total sales and market capitalization. Amazon.com
started as an online bookstore and later diversified to sell DVDs, Blu-rays, CDs, video downloads streaming,
MP3 downloads/streaming, audiobook downloads streaming, software, video games, electronics, apparel,
furniture, food, toys, and jewellery. The company also produces consumer electronics notably, Kindle e-
readers, Fire tablets, Fire TV, and Echo—and is the world's largest provider of cloud infrastructure services
Amazon also sells certain low-end products like USB cables under its in-house brand Amazon Basics
Amazon has separate retail websites for the United States, the United Kingdom and Ireland, France, Canada,
Germany, Italy, Spain, Netherlands, Australia, Brazil, Japan, China, India, and Mexico. Amazon also offers
international shipping to certain other countries for some of its products. In 2016, Dutch, Polish, and Turkish
language versions of the German Amazon website were also launched. In 2015, Amazon surpassed Walmart
as the most valuable retailer in the United States by market capitalization. Amazon is the fourth most valuable
4
public company in the world, the largest Internet company by revenue in the world, and the eighth largest
employer in the United States. In 2017, Amazon announced their plans to acquire Whole Foods Market for
$13.4 billion by the end of the year, which would vastly increase Amazon's presence as a physical retailer.
The acquisition was interpreted by some as a direct attempt to challenge Walmart as a physical store.

B. Alibaba: Chinese e-commerce company that provides consumer-to-consumer, business-to-consumer and

business-to-business sales services via web portals. It also provides electronic payment services, a shopping
search engine and data-centric cloud computing services. The group began in 1999 when Jack Ma founded
the website Alibaba.com, a business-to-business portal to connect Chinese manufacturers with overseas
buyers. In 2012, two of Alibaba's portals handled 1.1 trillion yuan ($170 billion) in sales. Suppliers from other
countries are supported (with more stringent checks than for Chinese companies), but the company primarily
operates in the People's Republic of China. At closing time on the date of its initial public offering (IPO), 19
September 2014, Alibaba's market value was US$231 billion. However, the stock has traded down and market
cap was about $212 billion at the end of December 2015.It is the world's largest and most valuable retailer as
of April 2016, surpassing Walmart, with operations in over 200 countries, as well as one of the largest Internet
companies. Its online sales and profits surpassed all US retailers (including Walmart, Amazon and eBay)
combined since 2015 It has been expanding into media industry, with revenues rising 3-digit percent year on
year. As of August 2017, Alibaba has over 529 million monthly active mobile users across its platforms. It
also provides an online digital distribution service 9Apps, which hosts huge amount of content and
applications for downloads.
As of October 2017, Alibaba's market cap stood at US$463.0 billion. It is one of the top 10 most valuable and
biggest companies in the world.

5
 C. flipkart: Flipkart was founded on 2007 by Sachin Bansal and BinneyBansal, both alumni of the Indian
Institute of Technology Delhi. They worked for Amazon.com, and left to create their new company
incorporated in October 2007 as Flipkart Online Services Pvt Ltd. The first product they sold was the book
Leaving Microsoft To Change the World to a customer from Hyderabad. Flipkart now employs more than
33,000 people.
In October and November 2011, Flipkart acquired the websites Mime360.com and Chakpak.com. Later, in
February 2012, the company revealed its new FliteDigital Music Store. a legal music download service in the
vein of iTunes and Amazon.com, offered DRM-free MP3 downloads. But it was shut down on 17 June 2013
as paid song downloads did not get popular in India due to the advent of free music streaming sites.
After its 2014 Big Billion Sale, Flipkart carried out a second Big Billion Sale. Where it is reported that they
saw a business turnover of $300 million in gross merchandise volume.
In 2015, Flipkart bought a minority stake in navigation and route optimization start upMapmyIndia to help
improve its delivery using Map my India asset
2. PAYMENT METHOD: Online shoppers commonly use a credit card or a PayPal account to make
payments. However, some systems enable users to create accounts and pay by alternative means, such as:

I. Billing to mobile phones and landlines

II. Cash on delivery (C.O.D.)
III. Cheque/ Check
IV. Debit card
V. Direct debit in some countries
VI. Electronic money of several types
VII. Gift cards
VIII. Postal money order
IX. Wire transfer/delivery on payment
X. Invoice, especially popular in some markets/countries, such as Switzerland
XI. Bitcoin or other cryptocurrencies
Some online shops will not accept international credit cards. Some require both the purchaser's billing and
shipping address to be in the same country as the online shop's base of operation. Other online shops allow
customers from any country to send gifts anywhere. The financial part of a transaction may be processed in

6
real time (e.g. letting the consumer know their credit card was declined before they log off), or may be done
later as part of the fulfilment process.
MODELS
A. ONLINE SHOPPING MODEL

OFFLINE SHOPPING
With the growing noise in the media about e-commerce and discounts, sometimes we forget that traditional
shopping is still the best! Most of the shopping is till done offline in physical stores.
If you are someone who believes in experiencing something before buying, you are not alone! We get you.
Here are a few reasons why we think traditional shopping is still supreme

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Wasn’t shopping supposed to make you feel happy about yourself, remember last time you did some shopping
and felt happy about it. E-commerce is taking the joy out of that experience. Instead of trying the clothes and
asking your best buddies how you are looking in it, you check photographs of the dress and how it looks on
others. Where is the fun in that?
Don’t you feel like a princess when the salesman at the shop drapes the clothes around you and you can see
how that dress looks on you. When the store attendant takes out that piece of garment just as per your
requirement! It takes a human to understand your requirements and show to you the stuff you like!
. MAJOR OFFLINE COMPANIES

A. D-MART: is a one-stop supermarket chain that aims to offer customers a wide range of basic home and
personal products under one roof. Each D-Mart store stocks home utility products - including food, toiletries,
beauty products, garments, kitchenware, bed and bath linen, home appliances and more - available at
competitive prices that our customers appreciate. Our core objective is to offer customers good products at
excellent value.
D-Mart was started by Mr. RadhakrishnanDamani and his family to address the growing needs of the Indian
family. From the launch of its first store in Powai in 2002, D-Mart today has a well-established presence in
132 locations across Maharashtra, Gujarat, Andhra Pradesh, Madhya Pradesh, Karnataka, Telangana,
Chhattisgarh and NCR. With our mission to be the lowest priced retailer in the regions we operate, our business
continues to grow with new locations planned in more cities.
The supermarket chain of D-Mart stores is owned and operated by Avenue Supermarts Ltd. (ASL). The
company has its headquarters in Mumbai.
The brands D Mart, D Mart Minimax, D Mart Premia, D Homes, Dutch Harbour, etc are brands owned by
ASL.

B. BIG BAZAAR:is an Indian retail store that operates as a chain of hypermarkets, discount department
stores, and grocery stores. The retail chain was founded by Kishore Biyani under his parent organisation Future
Group, which is known for having a significant prominence in Indian retail and fashion sectors. Big Bazaar is
8
also the parent chain of Food Bazaar, Fashion at Big Bazaar and e-Zone where at locations it houses all under
one roof, while it is sister chain of retail outlets like Brand Factory, Home Town, Central, Ezone, etc.
Working with Big Bazaar gives you an opportunity to be part of a family with a unique culture and beliefs.
Drawing from the vision of modern Indian retail, we have built a company that our people are proud of and
our customers and communities value. The Big Bazaar group family includes over 35,000 employees from a
large cross-section of social and economic strata. We nurture our employees for the long-term, ensuring their
passion and commitment leads to outstanding professional growth. Big Bazaar has attained a leadership
position in the retail space by promoting an environment of collaboration and meritocracy - an environment
that makes challenges enjoyable and rewarding every day. We believe that people give their best when they
are satisfied with all aspects of their lives. With an inclusive and richly diverse workforce, we offer a vibrant,
energetic and achievement-oriented environment Founded in 2001, Big Bazaar is one of the oldest and largest
hypermarkets chain of India, housing about 250+ stores in over 120 cities and towns across the country.

C. RELIANCE: Retail Ltd. is a subsidiary company of Reliance Industries. Founded in 2006 and based in
Mumbai, it is the largest retailer in India in terms of revenue. Its retail outlets offer foods, groceries, apparel
and footwear, lifestyle and home improvement products, electronic goods, and farm implements and inputs.
The company’s outlets also provide vegetables, fruits and flowers. It focuses on consumer goods, consumer
durables, travel services, energy, entertainment and leisure, and health and well-being products, as well as on
educational products and services.
It has a total of 3,383 stores as of June 2016 in India with an area of over 13 million square feet across 210
cities.
It had a turnover of Rs.216 billion in the fiscal year 2015-16. Approx. 56 per cent of this revenue came from
its 'value and other' segment that operates grocery chains Reliance Fresh, Reliance Super and Reliance
Reliance Fresh: Retail outlets of fruits, vegetables & groceries.
Reliance Digital: Consumer Electronics retail stores. It had 689 stores in October 2014.
Reliance LYF: 4G mobile handset manufacturer based in Mumbai, founded in 2015.
Reliance Jewels: Jewellery retail; it had revenues of approx. 8 billion in budget year 2012-13.
Reliance Time Out: Lifestyle store of Books, Music, Movies, Toys, Gaming, Fragrances, Stationery.Reliance
Trends, Reliance Footprint and Reliance Living: Apparel and Clothing. It had revenues of approx. Rs. 16
billion in fiscal year 2012-13 with a store count of 287

9
OFFLINE SHOPPING MODEL

Need of the study in online & offline shopping

(a) To analyse the significant difference between the online and offline consumer groups in terms of
demographic, technology use, availability and attitude of the consumer.
(b) To examine the factors influencing the consumer to switch from the offline shopping to online shopping
and online to offline shopping.
(c) The factor influencing the consumer to shop solely online and solely offline.
(d) To analyse whether the qualification of the consumer affect the online shopping and offline purchasing.
(e) To analyse whether the income of the consumer affect the online shopping and offline shopping.
(f) To know which method of shopping is mostly used by today’s generation.

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SWOT ANALYSIS

Strengths in the SWOT analysis:

ONLINE SHOPPING:

• 24/7 OPERATION
• Global business from anywhere
• Products reach to customer directly from producer at a lower price than market value
• Fast and effective
• Comparison shopping
• More affordable advertising
• Low staff cost
• Financial transaction through electronic fund transfer (eft) is fast
• Can be started with very low investment

OFFLINE SHOPPING

• Direct customer contact

• Can build up customer trust through communication
• No extra transportation cost is being involved
• Personalized attention and recommendation from sales staff
• No need to wait for the product you have ordered
• You can touch the product
• Happiness
Weaknesses in the SWOT analysis
ONLINE SHOPPING:

• No direct customer seller interaction.

11
 • Some customer prefers buying by reaching personally to the market
• Sometimes, transportation cost increases product cost
• No of potential customer who can buy through internet is still not enough
OFFLINE SHOPPING:

• High amount of capital required

• No 24/7 availability
• Slow marketing
• Excessive cost of maintenance
Opportunities in the SWOT analysis
ONLINE SHOPPING

• Internet users rapidly increasing

• More customer is feeling comfortable buying through internet exclusively
• Big companies already in the field blaze the path and bear the cost of developing a market
OFFLINE SHOPPING

• Face to face contact with the customers

• Free entry and exit from the market
• Can change out the product or service as per customers need and demand
• Low government interference
Threats in the SWOT analysis

ONLINE SHOPPING
• Changing buyer taste
• Likely entry to new competitors
• Adverse government policies
• Low trust between the customer and the seller

OFFLINE SHOPPING

• Too much competition

• Limited coverage

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OBJECTIVE OF THE STUDY
The present study broadly compares the online and offline shopping, specifically the objectives are:
1. To analyse the significant difference between the online and offline consumer groups in terms of
demographic, technology use, availability and attitude of the consumer.
2. To examine the factors influencing the consumer to switch from the offline shopping to online
shopping and online to offline shopping.
3. The factor influencing the consumer to shop solely online and solely offline.

HYPOTHESIS OF THE STUDY

1. Ho1 – There is no significant difference between the online and offline consumer groups in terms of
demographic, technology use, availability and attitude of the consumer.
2. Ha1 – There is significant difference between the online and offline consumer groups in terms of
demographic, technology use, availability and attitude of the consumer.
3. Ho2 – There is no significant factors influencing the consumer to switch from the offline shopping to
online shopping and online to offline shopping.
4. Ha 2- There is a significant factors influencing the consumer to switch from the offline shopping to
online shopping and online to offline shopping.
5. Ho3 – There is no significant factor influencing the consumer to shop solely online and solely offline.
6. Ha 3 - There is a significant factor influencing the consumer to shop solely online and solely offline.

Definition of key terms:

Consumer sovereignty: Consumer sovereignty is the declaration that consumer liking determines the
manufacture of goods and services. It is the freedom to choice the product to purchase. It is the product which
is desired by the consumer. The demand of the product will lead to manufacture of goods and services. The
demand will automatically lead to production.
Electronic shopping / Internet shopping/ online shopping: Purchasing of goods or services over the Internet
using web browser, by means of either a computer or an Internet television or a cell phone. It is the purchasing
of product through internet.
Consumer behaviour: Consumer behaviour is the study of how, when, why and where people do or do not
3buy products.it muddles elements from mind-set, sociology, social anthropology and economics. It tries to
recognise the buyer choice making process, both individually and in groups. It is the choice of the consumer
or consumers to buy or not to buy the products.
E-commerce: It consists of the buying and trading of products or services over electronic systems such as
the Internet and other computer networks.
Inexperienced shoppers: The people who have by no means conducted an online purchase, as “non-
shoppers”. The customer who has only gone through offline market for purchasing the products, who have
never practised the online shopping.
Experienced shoppers: The “shoppers” to people who do have obtained from an online site. The consumer
who has purchased any product from any online sites.

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SCOPE OF STUDY
The present study broadly compares the online and offline shopping, specifically the objectives are:
(a) To analyse the significant difference between the online and offline consumer groups in terms of
demographic, technology use, availability and attitude of the consumer.
(b) To analyse whether the income of the consumer affect the online shopping and offline shopping
(c) To know which method of shopping is mostly used by today’s generation.
(d) The factor influencing the consumer to shop solely online and solely offline.

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 CHAPTER-II
Review of Literature
INTRODUCTION
The extensive literature review has been conducted to gain deeper understanding of research about online and
offline customer and their experience. The review clarifies and simplifies the dominant dimension consumer
consider when they make any online purchase decision. Following this, the major theoretical gap related to
understanding what and why consumers do, and do not purchase using the Internet is explored with respect to
the theories of retail change and consumer behaviour theory with particular reference to the buying decision
process. More specifically, the study examined the interrelationships among quality, value, satisfaction, and
loyalty when consumers choose to shop online.
Review of Literature (Tabular Format given in Synopsis)

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 CHAPTER-III
RESEARCH METHODOLOGY
Research Methodology refers to the theoretical analysis of the methods appropriate to a field or to the
body of methods and principles particular to a branch of knowledge of research problem,
includes publication research, interviews, surveys and other research techniques, and could include both
present and historical information.
In Research Methodology, researcher always tries to search the given question systematically in our own
way and find out all the answers till conclus3ion. It offers the theoretical underpinning for understanding
which method, set of methods or so called “best practices” can be applied to a specific case.

Clifford Woody quotes “Research comprises defining and redefining problems, formulating hypothesis
or suggested solutions, collecting, organizing and evaluating data, making deduction and reaching
conclusions and at last carefully testing the conclusions to determine whether they fit to the formulating
hypothesis”

D.Slesinger and M.Stephenson quotes Research as “ Manipulation of things, concepts or symbols for
the purpose of generalizing to extend, correct or verify knowledge, whether that knowledge aids in
constructions to the existing stock of knowledge making for its advancement, It is the pursuit of truth with
enquiry.”
Research is an academic activity and as such the term should be used in a technical sense. Some people
consider research as a movement. A movement from the known to unknown confronts us. We wonder and
our inquisitiveness makes us probe and attain full and fuller understanding of the unknown. The
inquisitiveness is the mother of all knowledge and method, which man employs for obtaining the
knowledge of whatever the unknown, can be termed as research.

Types of Research Methodology

The term 'Research' consists of two words 'Re' means again and again and 'search' means to find out
something new. Thus research is a process of which person observes the phenomena again and again
collect the data and then he/she draws some conclusions on the basis of data.
Definition of Research
Webster's New International Dictionary quotes “Research is careful inquiry or examination in seeking
fats or principles, a diligent investigation ascertain something”.
James Harvey Robinson quotes “Research is a diligent search which enjoys the high flavour or primitive
hunting”.

I.V. Redman and A.V.H. Mary quotes “Research is a systematized effort to gain new knowledge.”

Type of Research
Generally there are two types of research.
Applied Level
Applied research is undertaken to solve an immediate practical problem.
Basic Level
Basic level research has been defined as basic research, designed to add an organized body of scientific
knowledge and does not necessarily produce results of immediate practical value.

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Kinds of basic research
On the basis of objectives of research
• Fundamental research
• Action research
On the basis of approach of research
• Longitudinal research:- Historical research, case study are under longitudinal approach of
research
• Cross sectional research:- Experimental research and survey are examples of cross sectional
research
On the basis of precision in Research Findings
• Experimental Research
• Non-Experimental Research
On the basis of Nature of findings
Explanatory Research: - It explains more concerned theories, law and principles
Descriptive Research: - It is most concerned with facts.

Tools and Techniques of Data Collection

Research instrument or tools is a testing device for measuring a given phenomenon, sac as paper and pencil
test a questionnaire, an interview, a research tool, or a set of observation.

Sampling

Sampling is the part of the strategy of research. The process of selecting the fractional part is called
sampling. Sampling design means the joint procedure of selection and estimation. Sampling should be
such that error of estimation should be minimum. The word sample is very often misinterpreted. The
dictionary meaning of sample is small part taken from quality to give an idea of quality to given an idea
of quality for whole. The main aim of sampling studies is to obtain maximum information of the
population under study with least sacrifice of money time and energy. These lead to presumption that
sampling not only necessary but advantages in all research study the need may be summarized sample
serves as react.

Sampling Selection

For this research study, the researcher has selected Purposive Sampling technique in order to collect the
data. It is impossible to study all the students. So, the researcher has selected 5 higher secondary schools
in Navi Mumbai.
The sample size is 50.
The questionnaire was given to the teachers of the five Higher Secondary Schools.

Research Design
Research design is catalogue of the various phases and facts relegating to the formulation or research
effort. It is an arrangement of collection and analysis of data in manner that aims to combine relevance to
the research purpose with economy in procedure.

Just like an architect who prepares a blueprint for construction, an army prepares a strategy before
launching an attack or an artist makes a design, so also a researcher makes a plan of his study before he
17
undertakes his work. This will enable a researcher to save time and resource. Such a plan or blue print for
study is called a Research Design.

Types of Research Design

Research design for exploratory or formulative studies

In this type of design, a vague problem is selected and understood and is then followed by exploratory
research to find a new hypothesis and then carrying out conclusion research decisions to finally get new
ideas.
Aims at finding a new hypothesis
Individual surveys, referring to secondary sources of data etc. play an important role in such research
designs
Reviewing related literature, following or surveying people having practical experience in the problem
related field act as very important and most used methods by an exploratory researcher

Research design for conclusive studies

Also referred to as the research design for the descriptive studies and is further divided as follows:-

Case Study method –

a. Finds extensive use in commerce and industry.
b. Very respectable method of teaching and research in management.
c. Helps greatly in knowing the causes and the results of the incident of the phenomenon.

Statistical method –
a. Also trying to find its place in commerce and industry.
b. Act as method of correlation and regressions, analysis, chi square etc.
c. Has been made very rigorous and sophisticated by coming up of the computers.

18
CHAPTER-IV
DATA INTERPRETATION AND ANALYSIS
Chart 1:Age of the respondent for online shopping

8.70% 8.00%

14.70%

68.60%

up to 18 18-25 25-35 above 35

Table:
Age of the Upto18 18-25 25-35 Above
respondent

Percentage 8% 69% 14.70% 8.70%

Interpretation: 8% of the population below 18 years go for shopping. 69% of the population in the range of
age 18-25 go for online shopping. 14.70% of the population in the range of age 25-35 go for online shopping.
8.70% of the population in the above 35 go for online shopping

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Chart 2: Qualification of age group

5.30%

26% 13.30%

55.30%

primary intermediate graduate others

Table:
qualification primary intermediate graduate Others

percentage 5.30% 13.30% 55.30% 26%

Interpretation:
The above pictorial representation shows the qualification of the respondent, and the maximum qualification
is others that is graduate people which consist around 55.30%. next is the others which is around 26% they
are of P.hd, Masters etc. The intermediate group which consist of 13.30% and the primary group consist of
5.30%. Qualification is a major factor for online shopping, Unless and until the person is qualified enough to
access the internet. They cannot do online shopping

20
Chart 3: Different income group of respondents

8.70%
7% 11.30%

4%

10.70%
64.70%

less than 15000 15000-30000

30000-40000 40000 and above
student housewifes

Table:
Income Less than 15000- 30000- 40000- student housewifes
group 15000 30000 40000 above

percentage 8.70% 11.30% 4% 10.70% 64.70% 7%

Interpretation:
The above pictorial representation shows the income of the respondent, and the maximum income for the
shopping site comes from the student.The representation shows that the 64.70% of the people are student.
Second comes the group of people who is having income of 15000-30000 it takes around 11.30% then
followed by the groups of income 40000 and above which is 10.7%, then comes the less than 15000 income
group which covered 8.7%, and after that 30000-40000 income group and last comes the housewives which
takes 4% and 7% respectively.

21
Chart 4: Preference of shopping site

1.30%
2%

8.70%
15.30% 48.70%

24%

flipkart snapdeal amazon myntra jabong other

Table:
Shopping flipkart snapdeal amazon myntra jabong Others
sites

percentage 48.70% 24% 15.30% 8.70% 2% 1.30%

Interpretation:
The most preferred website for online shopping is Flipkart is 48.70% as it was the only site for online shopping
in the country for many years later when other sites came into picture its market went down .The next comes
the snap deal site where nearly 24% of consumers prefer it. This is because of the recent increasing marketing
strategy of the site. Next is amazon site which covered 15.30% of the people. next online sites preferred are
myntra and jabong and the percentage of the people are 8.70% and 2% respectively .The least number of
percentages is 1.30% for shopping sites like –Yepme, craftvilla.com and others.

22
Chart 5: Mostly purchased goods from online shopping site

11%

16% clothes
50%
electronic items
23% books
others

Table:
Most purchased clothes Electronic items book Others
goods

Percentage 50% 23% 16% 11%

Interpretation:
The consumers mostly purchase clothes online comprising of 50% of the population. the quality provided is
also superior. So, there is a demand for clothes. Next comes the electronic items purchase with 23%. The next
demand comes of books comprising of 16% of the demand. The other products purchased online covers for
11% of the total items purchased online like –footwear, cosmetics, etc.

23
Chart 6: Timely delivery of the product

2.00%

10.70%

yes
11.30%
no
some times in time
never in time
76%

Table:
Delivery of the Yes No Some times in Never in time
product time

Percentage 76% 11.30% 10.70% 2%

Interpretation:
The time of delivering a product by the online shopping sites is one of the major factors that attract consumers
towards them. It is one of the key features that have enabled this site to build its market worldwide. according
to survey it was seen that 76% of the products ordered reach the destination on time. 11.3 % figure showed
not in time and 10.70% said sometime in time and the last 2% said that never in time.

24
Chart 7: Frequency of the product purchased from online shopping sites by the respondent

50
44.7%

45

40
34.7%

35

30

25

20

15
10%

10
4.5%

0
once in a week once in a month 2-3 month once in a year

Table:
Product Once in a week Once in a month 2-3 month Once in a year
purchased

Percentage 10% 34.7% 44.7% 4.5%

Interpretation:
Recent study shows that due to increasing need of society and time constraint has led most of the population
switch to online shopping. It is seen that nearly 44.7 % of the regular population do buy the product in every
2-3 months at a regular interval. 34.7% of population do online shopping every month which is because of the
availability of income and technology to do shopping. Moreover, 10% of population do online shopping every
week. And 4.5% once in a year.
25
Chart8: Is website providing the sufficient information?

80%
69%

70%

60%

50%

40%

30% 26%

20%

10%
5%

0% yes never Sometime

Table:
Sufficient Yes Never Sometimes
information

Percentage 69% 5% 26%

Interpretation:
Every product which is available for purchase on a particular site the site gives well- informed information.
Most of the times the site provide every valuable information needed and many times its avoided when the
product is not upto the mark in 69% of the cases it was seen that every information needed is provided which
makes the product administered user friendly and a customer can buy the product judiciously. Only in 5%
cases it was seen that the product information is not provided and 26 % of the respondent said that it provide
the information sometime.

26
Chart.9: Type of promotional activity mostly attracts people to purchase online

39.3%

40

30 26.7%
28%

20

10

0 6%

discount ads

sale ads
festive ads
others

Table:
Promotional Discount ads Sale ads Festive ads Other
activity

Percentage 39.3% 26.7% 28% 6%

Interpretation:
advertisement attracts its customer towards them to make income. The type of advertisement that attracts the
customer towards them is discount ads which is 39.3%, which give the customer a reason to buy their products
at reasonable prices. Also the sales ads bring more customers. Nearly 26.7% of total customer gets attracted
to it. The festive season is the duration during which majority of the population do their shopping is 28% and
if ads related to it is published then it brings more customer to them and 6% attracted from different
advertisement.

27
Chart 10: how do you prefer to buy a product when the price is same in both brick and mortar store
and on internet

shop, 31.30%

internet,
68.70%

Table:
Same price Internet Physical shop

percentage 68.70% 31.30%

Interpretation:
This Study shows that if the product has same price both in the market shop and internet then nearly 68.70%
of population prefers buying the product over the internet as it saves time and transportation cost added while
buying the product. But, in case of shop only 31.30% prefers may be due lack of technological resources to
do the purchase. Moreover, it gives the customer a sense of inspecting the product buying it.

28
Chart 11: preference of the respondent for shopping medium

80%
73%

70%

60%

50%

40%
27%
30%

20%

10%

0%
online shopping offline shopping

Table:
Shopping medium Online shopping Offline shopping

Percentage 73% 27%

Interpretation:
From the above graph it is clear that 73% respondent want to go for online shopping as they find it more
convenient and easier for them but 27% customer want to go through the offline shopping because they are
more comfortable in traditional market.

29
Chart 12: Prefer to do online shopping when price is lower than market price

24%

4%
60.70%
11.30%

yes no always sometimes

Table:
Price low yes No always Sometime

percentage 60.70% 11.30% 4% 24%

Interpretation:
It is clear from the study that 60.70% of people admit that they would prefer online shopping if they would
get price lower than the market price. 24% of people say that they are not sure which option to choose and
11.30% say that they would prefer shop over internet shopping. And 4% people said that they will prefer
online shopping instead of purchasing from offline shopping or traditional market.

30
Chart 13:Do you feel that online shopping is as secure as traditional shopping?

40%
42.70%

17%

yes no sometimes

Table:
Online shopping yes no Sometimes
secure then offline
shopping

Percentage 40% 17% 42.70%

Interpretation:
The Graph clearly shows what customers think about online shopping, with 42.70% sometime think its secure
sometimes it is not as compared to traditional shopping.40% customer think online shopping is as secure as
traditional shopping, while 17% believe it is not secure.

31
Chart 14: Type of promotional activity that mostly attracts to shop offline:

3%

23%

38%

36%

discount ads sale ads festive ads other ads

Table:
Promotional Discount ads Sale ads Festive ads Other ads
activity

Percentage 23% 36% 38% 3%

Interpretation:
festive ads play the key role with 38% in attracting the customers to go for offline shopping, followed by
sales ads with 36% this type of ads are magnificent events to attract customers by showing ads to customers
about sales for a limited period. The discount ads which covers up 23 % comes next to sales ads in attracting
customer for offline shopping, While remaining 3% are other miscellaneous ads such as off season etc. Also
somewhat attracts people.

32
Chart 15: Things you mostly prefer to buy through offline shopping

70%
60%
60%
50%
40%
30%
20%
20%
12.70%
7.30%
10%
0%
Clothing electronic items footwear others

Table:
Mostly clothes Electronic item footwear Other
purchased goods

Percentage 60% 20% 12.70% 7.30%

Interpretation:
About 60%, customer like to feel the fabric of clothes, The second which is most preferred for offline shopping
is electronic items 20% . Even footwear 12.70% , sizes vary from customer to customer, so people prefer to
buy those footwear which fits them and they are comfortable with. Rest 7.30% are miscellaneous goods which
people go for offline shopping such as gvegetables e

33
ANALYSING AND STUDY THE CHARTS
The study reveals that the male are less doing the online shopping than female. The female are more into
online shopping because they enjoy doing shopping whether it is traditional shopping or e-shopping. The
young generation are more often purchasing from online sites because of the revolution in the technology
among the youth population and they are able to use this technology for their well-being more than other age
group category. Flipkart is the shopping site which is more preferable by the youngster. There are increasing
demand of online shopping because the variety of options for the consumers to choose and that to at a
reasonable price and sometime even less price than the market. Electronic items were less demanded from the
e-shopping but clothes are much more demanded by the consumers. There are several products which are not
delivered by the shopping sites in the preferable area, it is seen that with the advancement of the technology
the preference of the online shopping increases. Earlier people more uses the traditional shopping. Now also
people who are not aware of the several shopping sites and not that technically advanced are less into internet
for shopping. This study advanced an ideal that uses consumer value perceptions to increase our thoughtful of
channel choice. Earlier work verified the key effect of perceived value has on purchase intentions, but merely
concentrated on product or store value insights. This paper extends the studies while asking the questions from
the consumer who are into online shopping as well as traditional shopping to rate both the channels in the
terms of performance, products, time of delivery, quality and other related aspects of online and offline
shopping. By accepting this approach, investigators and experts can gain valuable insights into the motivations
to adopt a definite channel for shopping. A cluster of all customer communication with products, services or
persons that is specific. Another concern was that the conceptual model, a theoretical context for the study of
the theoretical basis of all the research on it is placed. Customer behaviour is a process of discussions with
investors to buy consumer goods and consumer behaviour suggestions of the process

34
 CHAPTER-V
CONCLUSION

The study reveals that the male are less doing the online shopping than female. The female are more into
online shopping because they enjoy doing shopping whether it is traditional shopping or e-shopping. The
young generation are more often purchasing from online sites because of the revolution in the technology
among the youth population and they are able to use this technology for their well-being more than other
age group category. Flipkart is the shopping site which is more preferable by the youngster. There are
increasing demand of online shopping because the variety of options for the consumers to choose and that
to at a reasonable price and sometime even less price than the market. Electronic items were less demanded
from the e-shopping but clothes are much more demanded by the consumers. There are several products
which are not delivered by the shopping sites in the preferable area, it is seen that with the advancement
of the technology the preference of the online shopping increases. Earlier people more uses the traditional
shopping. Now also people who are not aware of the several shopping sites and not that technically
advanced are less into internet for shopping. This study advanced an ideal that uses consumer value
perceptions to increase our thoughtful of channel choice. Earlier work verified the key effect of perceived
value has on purchase intentions, but merely concentrated on product or store value insights. This paper
extends the studies while asking the questions from the consumer who are into online shopping as well as
traditional shopping to rate both the channels in the terms of performance, products, time of delivery,
quality and other related aspects of online and offline shopping. By accepting this approach, investigators
and experts can gain valuable insights into the motivations to adopt a definite channel for shopping. A
cluster of all customer communication with products, services or persons that is specific. Another concern
was that the conceptual model, a theoretical context for the study of the theoretical basis of all the research
on it is placed. Customer behaviour is a process of discussions with investors to buy consumer goods and
consumer behaviour suggestions of the process.

SUGGESTIONS FOR STUDIES

1.Companies should have more risk reduction activities as perceived risk could strongly influence
consumers‘ online purchase decisions. And specific types of perceived risk like online frauds should be
taken care of in different scenarios. Hence, the shopping sites should sport a Certificate of Authenticity (a
seal or small sticker designed to demonstrate that the item is genuine and risk free) and should have a
security symbol in order to safe shopping.

2. Companies should improve consumers‘ value perceptions about the products and reduce consumers‘
perceived risk in the online shopping environment by providing quality products, timely delivery and fulfil
their expectations. Also the companies should make their website easy in use and risk reduction activities
should be taken care.

3. The study suggests that the Indian customers give the most importance to security and privacy to
generate trust. Perceived privacy of customer information can be improved by ensuring that at no point of
time the customer is asked for irrelevant personal information.

4. The psychology of an Indian consumer is still the same of checking the product physically before
purchasing it, which creates a mental hurdle for online shopping. So the companies should devise certain
strategy so as to reduce the scams. The Indian customers want to experience the product before to buy the

35
product. So, online stores selling customized products should stress more on providing this facility and
provide better communication with the customers through telephone or online salesperson.

5. People are averse to online shopping because there is a difficulty in returning the faulty products. Hence
the companies should make the arrangement so that try and buy facility is available at the customer
doorstep and one can return if the product is faulty.

6. Online stores should use effective implementation of website factors such as information design,
features, communication, privacy and security, as a marketing tool by which trust towards the website can
be created among the consumers and subsequently enhance purchase intention.

7. The only worry of consumers is regarding the trustworthiness of some websites, since they have to give
their credit card details to shop online. Many of the consumers are aware of the various online scams due
to which they are very concerned and reluctant while providing their credit card information online. Also
the online purchases take a longer time in shipments and deliveries.

8. One of the most reason for not doing online shopping is that there is a less chance of making reasonable
negotiations and bargaining. It has been found that Indian Consumers are price sensitive.Hence the price
sensitive consumers do not take much interest in online shopping. So the companies should allow
considerable bargain for the customers.

9. Most of the people feel that products available through online shopping are costly because of the
shipping charges whereas in the traditional shopping there are no such charges. So the companies should
provide the facility of free delivery in order to create excitement among non users. 226

10. Companies should provide the personal service to the customers by way of salespersons because Indian
consumers are likely to deal with sales person before to buy. A salesperson provides a wide range of
services and satisfies the customer by giving the detailed study on the usage of products and educates them
in deriving maximum benefits from their products.

11. Online retailers should also look into the possibility of running call centres which could ensure that
the customer get a chance to formally interact with the other party before the actual purchase. Through
this way, the online shopping companies will be able to tap those customers who believes in experiencing
the salespeople and products before to purchase.

12. Online websites should pay more attention to the female segments as results prove that females shop
more in online shopping as compared to men. So companies should devise the policies and strategies to
attract more number of people in this segment in future also.

36
 Limitation of the Study
Online shopping becomes relevant in the last decade. The kind of business online retailer are doing is proof
enough that they are providing some benefits to customer which offline shopping does not give to the
customer. These are the limitation of online shopping:
Risk: When customer buy products from online shopping they do not touch or feel the product in a physical
sense .
Convenience : Online shopping is much more convenient than offline shopping. Instead of taking out your
vehicle and visit shop to shop you can just sit at your home and do the shopping. It is convenient to sit at one
place and shop the product of our choice without moving from place to place. Online shopping makes things
more convenient. We can have a lot of choice over there in any kind of material we want to deal with that too
without any fear of dealing with any dealer or distributers.
Anxiety: People’s anxiety of exploring the sites and experimenting over them is also a matter of concern.
Sometimes people those who are not very known to any sites like flip kart ,myntra or any sites they just feel
like it’s a tough kind of activity over net and its complicated in there sense as they are not very fond of doing
online shopping as it takes a time to even understand the product about its details.
Previous online experience: How has been a person’s experience in past as far as online shopping is
concerned is a major story of concern. Previous experience is what matters actually as its hamper or sometime
it keep good view or mood of people. There are two experiences one is about good and another is about bad.
Both has its own and different affect in the mind of buyers. So these factors also influence online shopping or
e shopping.
Pricing Policy: Online retailers gets an inherent advantage in pricing as they don’t have to bear expenses like
store rent, bills etc. They can pass their price directly to customer and generally offer a lower price to customer
than offline market.
Quality: The quality of product at online sites and offline stores vary a lot and then this determines the
frequency of online shopping. Quality also carries good affecting nature over any kind of shopping. As
consumer or buyer want to have a good quality of product as they spent their huge sum of money.
Online trust: It depends on customer perception whether they trust a particular site and its product and
services. Hence the frequency of online shopping also depends upon whether they trust a particular site or not.
People are different in there nature and thoughts, some kind of people trust online dealing some kind of people
are in fear of online dealing.
Tangibility of the product: At the store the customer gets to touch and feel the product they purchase before
buying which help the customer to take the decision to buy the product or not whether the product will suit
the customer need or not.
Delivery time: The product ordered by the customer in online shopping takes a minimum of six to seven days
to deliver the product to the customer. But in offline shopping the possession of the goods is immediately
transferred to the buyer. So this is a major factor which affects the online shopping. People want a good
delivery time; they prefer to get a product in a desired time or in short time of duration. Higher the income
higher wills the purchasing of online product and vise-versa.

37
Offers: Apart from offering products at lower price most online shopping regularly come up with discount
offers in association with bank, brand etc. Which entail customer to get additional saving while buying
products online? Offline stores only give offer or discount during stock clearance or when the manufactures
gives the discount on the products.
Instant gratification: Customer buying offline gets their products as soon as they pay for it but in online
shopping customer have to wait for their product to get their product. Under normal circumstances waiting a
day or two does not matter much but when a customer want to get the product instantly than offline shopping
become necessary.
Available product and services: Online shopping offer customers more benefit by providing more variety
of goods and services that they can choose from. There are some goods which a customer can only find online.
Limitation of Offline Shopping Offline
Shopping has existence since the existence of mankind. Offline shopping gives different types of benefits to
the customer. There are some factors which affect the shopping offline those are as follow:
Less number of choices: There are limited numbers of choices when it comes to offline shopping. The
numbers of varieties are limited. The ranges of products available in the shops are limited. Sometimes, the
stocks are old and are up for discount and sale. Basically in offline or any shop we get less numbers of choices
as it consists of manual work. We have to choice in that less number of materials due to manual factor.
Time consuming: It takes a lot of time to go shopping to a store. Distance from home or workplace to the
store is time consuming. It is also time consuming while trying out the outfits in a store or even going through
other products. In off-line shopping customer move one place to another and one shop to another in search of
their desired product.
Information: What generally happens is that the information provided by a shopkeeper isn’t correct. Also
this information doesn’t always suit our needs. And we buy products according to what they say when we
ourselves don’t have adequate knowledge about the products. Such purchases are based on goodwill when we
happen to know the shopkeepers.
Authenticity: Offline shopping is more authentic than online shopping. While buying the product we can
feel the texture of it and know what it’s like. We exactly know what we are buying while buying anything
offline. But in online shopping, we don’t always know what exactly we are buying. This is because what we
see on the websites is not always what we buy when the product reaches us.
Taste and preference: The taste and preferences of the customer change from time to time. While buying
any product from a store we have the flexibility and the choice to try out 9 outfits. But while buying any
product from a website we don’t have this facility. Therefore, buying offline caters more to the changing taste
and preferences of the customers.
Bargaining: In offline store a customer can do physical bargaining to the seller unlike shopping online. In
online shopping a customer cannot do bargaining as the price of the product is fixed. Some of the customer
purchased products depending upon bargaining so they do not go for online shopping as they feel shopping
online is more costly than the market.

38
Bibliography
Aron M.Levin ,Irvin P.levin &Joshua A.Weller . (2005). A Multi-Attribute Analysis of Preference For Online
and Offline Shopping : Difference Across Products,Consumer,and Shopping states: Journal of electronic
commerce Research , Vol.6, No.4.
Aron M.Levin, Irvin. P. Levin & C Edward Heath. (2003). Product Category Depends Consumer Preference
for Online and Offline Shopping Features and their Influence of Multi-Channel Retail Alliance. Journal of
Electronic commerce research, Vol.4, No.3.
Chanaka Jayawardhana Len Tui Wright. (2009). An Empirical Investigation into E-shopping Excitement :
Antecdents and effects: European Journal of Marketing,Vol.43 Issue 9/10 pp.1171- 1187. Cheng Lu Wang.
(2001). Online shopper Behaviour: Influence of Online Shopping Decision. Asian Journal of Business
Research . Vol.1, No.2.
Chung –Hoon Park Young Gul kim, (2003), Identifying Key Factors Affecting Consumer Purchase
Behaviour in an Online Shopping Content: International Journal of Retail & Distribution Managemant, Vol.31
Iss 1pp. 16-29.
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WEBSITES
The Future of Shopping - Harvard Business Review

Which Is Better For Retail Sales, Online Or Offline Customer ... - Forbes

What Amazon understands about offline retail - Marketing Land

39
ANNEXURE:
QUESTIONNAIRE: -

1. What is your qualification?

• Intermediate
• Graduate
• Others
2. What is your income?
• Less than 15000
• 15000 – 30000
• 30000 – 40000
• 40000 and above
• Student
• Housewife
3. What is your preference for different shopping sites?
• Flipkart
• Snapdeal
• Amazon
• Myntra
• Jabong
• Other
4. What do you purchase from online shopping?
• Clothes
• Electronic
• Books
• Others
5. Is product delivered quickly at your door step?
• Yes
• No
• Some time’s yes
• Never in time
6. How frequently do you shop from online websites?
• Once in a week
• Once in a month
• Once in 2 – 3 months
• Once in a year
7. Does websites provides sufficient information?
• Yes
• No
• Sometimes
9. which promotional activity attracts you to purchase online?
• Discounts
• Sale ads
40
 • Festive ads
• Other
10. If the price of the product is same both on websites and shop which one
will you prefer?
• Internet
• Shop
11.Where do you prefer to shop from?
• Online shop
• Offline shop
12.Is online shopping secure as traditional shopping?
• Yes
• No
• Sometimes
13. Does online shopping has more option of product than offline shopping?
• Yes
• Sometimes
• Never
14. What types of promotional activity attracts you to shop in traditional stores
• Discounts ads
• Sales ads
• Festive ads
• Others
15. What do you mostly purchase from traditional stores
• Clothes
• Electronic
• Footwear
• Others

41