Premium Essay

What Drives Consumers to Shop Online? a Literature Review

In:

Submitted By zax173
Words 9196
Pages 37
The Emerald Research Register for this journal is available at www.emeraldinsight.com/researchregister

The current issue and full text archive of this journal is available at www.emeraldinsight.com/0956-4233.htm

IJSIM 15,1

What drives consumers to shop online? A literature review
˜ ´ Tonita Perea y Monsuwe, Benedict G.C. Dellaert and Ko de Ruyter
Maastricht University, Maastricht, The Netherlands
Keywords Information media, Internet, Purchasing, Shopping Abstract While a large number of consumers in the US and Europe frequently shop on the Internet, research on what drives consumers to shop online has typically been fragmented. This paper therefore proposes a framework to increase researchers’ understanding of consumers’ attitudes toward online shopping and their intention to shop on the Internet. The framework uses the constructs of the Technology Acceptance Model (TAM) as a basis, extended by exogenous factors and applies it to the online shopping context. The review shows that attitudes toward online shopping and intention to shop online are not only affected by ease of use, usefulness, and enjoyment, but also by exogenous factors like consumer traits, situational factors, product characteristics, previous online shopping experiences, and trust in online shopping.

102

Introduction Despite the slowing penetration of regular Internet users, the number of consumers using the Internet to shop for consumer goods and services is still growing (Forrester Research, December 2001). Research from the GfK Group (2002) shows that the number of online shoppers in six key European markets has risen to 31.4 percent from 27.7 percent last year. This means that 59 million Europeans use the Internet regularly for shopping purposes. However, not only does the number of online shoppers grow, the volume of their purchases also increases over-proportionally. In the

Similar Documents

Premium Essay

E Ticketing Case Study

...Introduction 1.1 Background Evolution of technology has profoundly changed the way of consumer buy products and services. “Consumer behavior is the study of an individuals, groups or organization and the process that been used to select, secure and dispose of products, services, experiences or ideas to satisfy needs and the impacts that the processes have on the consumer and society.” (Kuester, 2012). According to Comscore, the report found stated that low cost airline website have experienced a strong growth visitation from consumer who are continue to search for the best travel deals online. The concept of e-ticketing was first been initiated by Air Asia in 2001 and subsequently be followed by Malaysia Airline in 2005. Airline’s company...

Words: 1983 - Pages: 8

Premium Essay

Service Management

...CBEB2105 BUSINESS RESEARCH Research Proposal “Factors of Consumer Purchase Intention in Online Purchase” Lecturer: Dr Amrul Asraf Mohd Any Group members: Chin Wei Wen CEB120012 Hamizah binti Hairuddin CEB120022 Lye Yi Ting CEB120034 Wong Pei Ling CEB120064 Table of Contents 1.0 Abstract 3 2.0 Introduction 3 3.0 Literature Review 3 3.1 Concept 3 3.2 Debates of Literature 3 3.3 Identified Variables and Hypotheses development 3 3.4 Conceptual Framework 3 4.0 Research Methodology 3 4.1 Research Design 3 4.2 Sources of data 3 4.3 Sampling and Data Collection Technique 3 4.4 Variable Measurement 3 5.0 Time frame 3 6.0 Conclusion 3 7.0 References 3 1.0 Abstract Internet has become a crucial medium for the purchase of products and services in virtual or online market and it able to link all businesses from different countries. This study aims to examine the factors influencing consumer’s intention to purchase through online from Malaysian perspective. Online trust, Information quality, online purchase experience, price and convenience were evaluated to determine whether these factors are related to online purchase intention. A stratified sampling method was used and the sample comprised of 180 students who are undergraduate and post-graduate study in University of Malaya. Data were collected via self-administrated questionnaire that using five point Likert scale. 2.0 Introduction With the advancement of internet...

Words: 4580 - Pages: 19

Free Essay

An Investigation Into Factors of Affecting Online Shopping Within China on College Students

...objectives 2 4. Literature review 2 4.1 Advantages of purchasing online 2 4. 2 The characteristics of online shoppers 3 4. 3 Factors of affecting online shopping 3 5. Methodology 5 5.1 Research design 5 5.2 Data sources defined 6 5.3 Data collection methods 7 5.4 Data analysis 7 6. A statement of possible outcomes 8 7. Ethical consideration 8 8. Risk assessment and risk management 9 9. Resource management 9 References 11 1. Project title An investigation into factors of affecting online shopping within China on college students 2. Research Context With the proliferation of using internet,the way of living and working has increasingly changed, such an environment enables people to gain information such as pictures, videos, news and knowledge as well as purchase goods through internet. So, The proportion of E-shopping has been consistently growing. Internet World States (2010) reports that China is the world’s largest Internet market. According to “China Internet network information center” (CNNIC) reported that in 2009 the number of Chinese online shoppers is108 million with 45.9% annual growth rate. At present the rate of online shopping has reached to 28.1% from 22.1% at the end of 2007. However, which group of people are the main customers to shop online and what factors drive these people to purchase on the internet? A survey did by Iresearch ( Iresearch is a company that focuses on internet media, e-commerce, online games and...

Words: 4156 - Pages: 17

Premium Essay

Assignment

...size, whether congomerates, SMEs or one-man ventures. Social networking Websites are used to drive traffic to the e-commerce Websites through ads, blogs, by posting deals or new products on social networking Websites. Hence they have become a “standard” advertising and marketing channel for retailers. The assignment consists of 2 parts, namely: Part A In order to realize the potential of social networking Websites, you need to do research about online social networking marketing. Summarize at least TWENTY (20) academic papers on the effectiveness of online social networking marketing. You can get these through Google Scholar or MMU Online Database (EBSCO, Proquest). This should be presented as a literature review in the form of a report. Part B Having understand the progress of academic research on social networking, you are expected to come out with a comprehensive, indepth and creative answer to one of the below: 1. What are the ways that an e-commerce company can take advantage of the social networking Websites? 2. If you are hired as an E-commerce expert, what kind of recommendations (for online social networking marketing) you will give to your client who is currently has only a physical shop doing retailing business. 3. If you are about to start up a business online, how do you use online social networking to promote your products and reach potential consumers? 4. You can even come up with your idea that any new way of using social networking Websites...

Words: 548 - Pages: 3

Premium Essay

Dissertation

...Factors Affecting Purchase Decision of Online Shopping Mall in Hong Kong Background and Overall Research Aim According to the global transaction service provider, PayPal (2015), predicted that the online expenditure of Hong Kong will reach 25 Billion US Dollars by 2015. The main cause of this significant growth is drive by the rise of online shopping malls. However, a report which conducted by Hong Kong Trade Development Council (Hong-kong-economy-research.hktdc.com, 2015) states that the proportion of sales through online shopping platforms are only share 7.7% of the whole e-Commerce industry, which means the online shopping phenomenon is just at the early stage, with the growing of social media, such as Facebook, Twitter and Weibo (Castronovo and Lei, 2012), there is a plenty of room to grow. In order to understanding the e-commerce industry in Hong Kong, Go-Globe Hong Kong conduct a research about the e-commerce environment in Hong Kong. The main group of online shoppers are 25 to 34 years old (76.4%), while 40.5% aged between 50 to 64 years old. In 2013, there are 8.5% increase of Hong Kong residents shopping online in compare with 2011. Four out of five Hong Kong consumers use the internet to research what they want before purchasing or even purchase it online. And 49% of them are willing to spend more money on online shopping mall in the near future. With the smartphone are become more and more popular, 89% of smartphone users search a product which they desired in smartphone...

Words: 2648 - Pages: 11

Premium Essay

Doc, Pdf

...Introduction Internet is changing the way consumers shop and buys 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. Companies also use the Internet to convey, communicate and disseminate information, to sell the product, to take feedback and also to conduct satisfaction surveys with customers. Customers use the Internet not only to buy the product online, but also to compare prices, product features and after sale service facilities they will receive if they purchase the product from a particular store. Many experts are optimistic about the prospect of online business. In addition to the tremendous potential of the E-commerce market, the Internet provides a unique opportunity for companies to more efficiently reach existing and potential customers. Although most of the revenue of online transactions comes from business-to-business commerce, the practitioners of business-to-consumer commerce should not lose confidence. It has been more than a decade since business-to-consumer E-commerce first evolved. Scholars and practitioners of electronic commerce constantly strive to gain an improved insight into consumer behavior in cyberspace. Along with the development of E-retailing, researchers continue to explain E-consumers’ behavior from different perspectives...

Words: 11357 - Pages: 46

Free Essay

Visual Merchandising the Last Weapon of the Brick and Mortal Fast Fashion Retail

...College HND Business Management Simeon Alvas D0913058 David Game College HND Business Management Simeon Alvas D0913058 Abstract Consumer behaviour models are designed to explain how individuals make decisions to spend their available resources. It includes what they buy, how they buy it, why and when they buy it and how often they used it. One of the ways to influence this behaviour in a fast fashion retail setting is to use visual merchandising strategies which trigger a number of stimuli influencing the consumers’ perception. The purpose of this research is to establish to what extent this visual merchandising strategies influencing consumers with a different cultural background in a highly competitive multicultural retail environment with an emphasis on the flagship store of Armani Exchange Regent Street, London. The author argues that the available models of consumer behaviour does not provide sufficient flexibility due to their linear nature. Therefore, they are unsuitable to address the needs of a contemporary retailer operating in a multicultural environment. The researcher build his hypothesis by examining the available literature in the area of retail marketing. Consequently, the hypothesis is tested by analysing a mixed sources of primary and secondary data. The conclusion of the author is that due to the absence of adequate consumer behaviour model the researched organisation is missing on a considerable amount of sales. Furthermore, the author argues that the contemporary...

Words: 20248 - Pages: 81

Premium Essay

Should Csr Be Used as a Marketing Tool by Producers in the Cosmetics Industry?

...Should CSR be used as a Marketing Tool by Producers in the Cosmetics Industry? ABSTRACT The purpose of this paper is to prove that CSR can be used as a positive approach in the area of marketing and promotion, particularly in the cosmetic industry. The paper substantiates this hypothesis by drawing on theory from scholarly articles and literature and analysing data from annual reports. A portion of the research is dedicated to the Body Shop, based on analysis of their annual reports, as well as the reaction of different stakeholder groups based on several literatures. The paper finds that there are positives and negatives in using CSR and promoting it using marketing depending on the consumers’ perceptions. It also finds that there exists an information asymmetry between producers and consumers in terms of CSR for their products. The paper supports previous ideas that CSR is useful in benefitting the company brand and value and that it can also be used to influence a consumer’s purchase decision of the cosmetics. INTRODUCTION In conceptual theory, CSR is how a company incorporates “social, environmental and economic issues into their values and business operations in a transparent and accountable manner” (FAITC, 2012). In simple terms, CSR is the actions that a company undertakes or doesn’t undertake during their business functions to benefit society and their stakeholders. There are many arguments for and against CSR and also differing views on whether it actually “pays”...

Words: 3361 - Pages: 14

Premium Essay

Financial Analysis at David Jones 2012

...RIM Q3 Marketing Update 29th September 2010 Richard Jones & Melvin Tan Structure • Review of 5 Marketing Strategic Components & our approach • Q2 SEA launch review & learnings • Proposed Q3 plans • Summary Brightstar Confidential & Proprietary 2 Marketing Strategy Definitions: what we will influence Marketing Strategy Themes Customer Experience & POSM Trade Marketing & Training Definitions All material points of physical contact with endusers Activities that ensure our Vendor partners are connected with the our customers & end-users; TTL execution that drives sell-through All communications (print & on-line) with customers & end-users Mechanics to encourage end-user loyalty, increase spend & to drive sell-through Activities to provide technical and after-sales support to end-users. Includes delivery of CRM opportunities Online, PR & Digital Marketing Consumer Incentive Programmes Customer Care Marketing Strategy Components: what we deliver These Operational & Tactical mechanics are co-developed by Regional & Local Marketing teams. They are then implemented by Local teams, with Regional review Customer Experience & POSM Fixtures In-store Literature Store-in-a-store Dummy units Live units Live SIMs Design, manufacture & Design & production of ininstallation of fixtures store literature: consumer or (or a combo of the retail staff focused above) Design & delivery of store-in-store environments Sourcing dummy handsets for retail Sourcing SIM cards Sourcing live for live...

Words: 2413 - Pages: 10

Free Essay

E-Commerce Article

...Introduction of Industry and Company Standing The company that I am working now is a brick and mortar company, which named Jefferson. The company has no E-commerce transaction. After doing some research on how to establish an E-commerce website for the company, we had come out with the whole idea on how to achieve it. Jefferson is a clothing company which origin from Malaysia. The main business we are doing all the time was producing cloth with affordable price yet fashionable for male. Going back to the history of the brands, in 1987, the company started their businesses in Komtar, Penang. Through years, the company had sails through successfully with the company’s strong venture in manufacturing and retailing their clothing. As time goes by the company has graced the fashion industry with beautiful apparels from formal lounge suits to off shelf design, smart casuals and classic lifestyle apparels. Riding the wave of paradigm, Jefferson moved beyond custom tailoring to its own classy boutiques and house brand. With this, the core of the company still remains as time passes by which is to produce high quality products from time to time. The company will always have and always welcome customer’s feedback for better understanding about their needs and concerns. Besides that, we also provide custom made clothes for some special occasion. We have this service is because we want to make sure our cloth is always up to the trend and able to compete with our competitors. We have...

Words: 3394 - Pages: 14

Premium Essay

What Makes Consumers Buy from Internet a Longitudinal Study of Online Shopping

...IEEE TRANSACTIONS ON SYSTEMS, MAN, AND CYBERNETICS—PART A: SYSTEMS AND HUMANS, VOL. 30, NO. 4, JULY 2000 421 What Makes Consumers Buy from Internet? A Longitudinal Study of Online Shopping Moez Limayem, Mohamed Khalifa, and Anissa Frini Abstract—The objective of this study is to investigate the factors affecting online shopping. A model explaining the impact of different factors on online shopping intentions and behavior is developed based on the Theory of Planned Behavior. The model is then tested empirically in a longitudinal study with two surveys. Data collected from 705 consumers indicate that subjective norms, attitude, and beliefs concerning the consequences of online shopping have significant effects on consumers’ intentions to buy online. Behavioral control and intentions significantly influenced online shopping behavior. The results also provide strong support for the positive effects of personal innovativeness on attitude and intentions to shop online. The implications of the findings for theory and practice are discussed. Index Terms—e-commerce, online shopping, TPB. I. INTRODUCTION HE use of the Internet as a shopping and purchasing medium has seen unprecedented growth. Most experts expect the global electronic market to dramatically impact commerce in the twenty first century. Jaffray [1] estimates the total volume of cybersales to reach $201 billion in 2001 and Forrester Research [2] predicts electronic commerce activities to reach $327 billion in 2002...

Words: 10659 - Pages: 43

Premium Essay

Tesco

...Impact of digital sales promotional offers on consumer perceptions of ASOS, UK ABSTRACT Digital sales promotion is a new marketing technique used by the organizations for communicating with large number of customers in an easy manner. Attractive digital sales promotions generate positive attitude among the customers and it directly increases the customer perceptions. In this context, the present study analyses the impact of digital sales promotional offers on consumer perceptions of ASOS, UK. ASOS is a UK based online retailer and it extensively use digital sales promotional techniques for attracting young generation. Digital sales promotion through social media, SEO, etc helps the company to improve its sales volume. However, improper management of social networking sites, failure in creating unique customer experiences, etc adversely affects customer perception and thereby sales of the company. So, the researcher has decided to analyse the case of ASOS for evaluating the research problem. The present study was conducted on the basis of positivism philosophy, deductive approach and descriptive research design. The researcher has interviewed the managers and surveyed the customers of ASOS for collecting primary data for the study. Interview method provided qualitative data and survey method provided quantitative data required for the research. Internal and external secondary sources were referred by the researcher for gathering secondary data. From the research study, it...

Words: 15019 - Pages: 61

Premium Essay

Onlinevisual Merchandise

...Master Thesis On Visual Merchandising in an Online Store By Aryamparambil Pooja Kishor Babu Roll No: 005 PGDM - Marketing Under the guidance of Prof. Vilasini Jadhav K J SIMSR K J Somaiya Institute of Management Studies & Research January, 2016 DECLARATION I, Ms. Aryamparambil Pooja Kishor Babu hereby declare that this thesis is the record of authentic work carried out by me during tri semester IV and has not been submitted to any other University or Institute for the award of any degree / diploma etc. Signature Name of the student: Aryamparambil Pooja Kishor Babu Roll No: 005 Date ACKNOWLEDGEMENT I take this opportunity to express my deep gratitude to my instructor and faculty guide Ms. Vilasini Jadhav, whose expertise and able guidance helped me immensely in the successful partial completion of this Master Thesis. I express my sincere thanks to K.J.SIMSR for providing me the opportunity to work on this thesis. Lastly, I thank God, my parents and family for their constant encouragement and support in my endeavor. Table of Contents | |Topic |Page No. | | |Cover Page ...

Words: 3809 - Pages: 16

Free Essay

The Influences of Social E-Shopping in Enhancing Young Womens Online Shopping Behaviour

...CUSTOMER JOURNAL OF BEHAVIOUR The influences of social e-shopping in enhancing young women’s online shopping behaviour Charles Dennis, Brunel University, UK* Alesia Morgan, UltraSoft Technologies Ltd., UK Len Tiu Wright, Business School, De Montfort University, UK Chanaka Jayawardhena, Loughborough University Business School, UK Abstract The background to this paper is that shoppers, particularly women, are motivated by a variety of different reasons, including socialising and enjoyment. Despite the growth of Internet retailing (e-retailing), these social needs are largely unmet in e-shopping. In the high street, women do most of the shopping but online shopping (e-shopping) tends to be dominated by male shoppers. At the same time, social networking is growing fast and is especially popular amongst young females. The purpose of this paper is to draw on prior research about why people shop in order to explore the concept of social e-shopping, based on combining e-shopping with social networking. We propose that shoppers, particularly young females, will prefer social e-shopping to traditional e-shopping. We carried out a qualitative study for our propositions with a comparison experiment, semistructured questionnaire and focus group, to compare a traditional e-shopping website with a social e-shopping one. The findings reveal that young women prefer social e-shopping sites. Both utilitarian and hedonic young adult female shoppers found social e-shopping enjoyable and...

Words: 12117 - Pages: 49

Premium Essay

The Importance Of Online Shopping

...The University of California, Los Angeles (UCLA) communication policy (2001), asserts that online shopping is in fact the third most popular activity on the internet following the use of email and web browsing. Based on the results of AcNielsen report on Global Consumer Attitudes towards Online Shopping (2007), more than 627 million people globally had conducted online shopping. While Nielsen (2014a) online survey reports that online purchase intention rates have doubled (in some cases tripled) for more than half of 22 consumer product categories between 2011 and 2014. Categories growing exponentially comprise e-books, event tickets, computer software, sporting equipments, toys and dolls, music, videos/DVDs/games, baby provisions, plants, cars, alcoholic drinks and pet-related...

Words: 3082 - Pages: 13