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INTRODUCTION
Online Shopping or e-shopping is a part of e-commerce where the customers or consumers buy goods /
products / and other services directly from the merchants over the internet. Today E-commerce is a byword
in Indian society and it has become an integral part of our daily life. There are websites providing any
number of goods and services. Theoretically it is more convenient to buy products online due to its flexible
nature, but in India the adoption rate of the technology is significantly different from other nations because
of the countrys unique social and economical characteristics. India has diverse culture and extreme
disparities of income.
1.1 Internet in India
With the prove of statistics it is clear that forty-eight million users in India and the Internet community in
India is the fifth largest in the world, although Internet users formed only about 4.3 percent of the countrys
population in 2005. Access is gradually expanding from the most heavily populated urban centers, currently
41 percent of users, to small cities and towns. The E-commerce Industry in India has come a long way since
its early days. The market has matured and new players have entered the market space. In the present
dynamic scenario, e-commerce market in the B2C space is growing in demand as well as in the array of
services. According to TOI article ("With 243 million," 2013), internet penetration in India may not have
crossed 16% of the population, but thats enough to reach a number which is approximately 10 times the
population of Australia. The report published by Internet and Mobile Association of India (IMAI) and Indian
Market Research Bureau (IMRB) estimates 243 million internet users in the country by June 2014,
overtaking the US as the world's second largest internet base after China. The following years that indicating
to the internet market of india from the beginning stage.
1986: ERNET project starts up; email exchange using UUCP protocol established between National Centre
for Software Technology, Bombay, and IIT Bombay (Bombay was renamed Mumbai in 1995)
1987: Email exchange between ERNET institutions in metros; TCP over X.25 established between the
ERNET gateway at NCST and internet via CWI in Amsterdam.1988: Leased lines used to connect ERNET
partner institutions to ERNET gateway in Bombay.1989: LWBBS (Live Wire BBS) and BBS CiX launch
online services; VSNL commissions a Gateway Packet Switching System (GPSS) running X.25 protocol;
1990: TCP/IP implemented for communication between ERNET centers connected by leased lines.1991:
LWBBS turns into a paid subscription service and expands to other cities such as Ahmadabad, Madras
(Chennai), Pune, Calcutta (Kolkata), Baroda, Vapi.
1992: Business India launches aXcess, a value-added service offering email as well as e-news, stock
quotes.1997: Tamil newspaper Dinamani sets up website; Hotmail creator Sabeer Bhatia sells Hotmail to
Microsoft for $400 million;
Debansu Chatterjee, Indrajit Ghosal IJSRE Volume 2 Issue 11 November 2014
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1998: Private ISPs allowed to set up internet infrastructure; LWBBSs Pune node, JabberWocky operated by
WMI becomes the first ISP licensee;2000: Parliament passes Information Technology Act 2000; foreign
portals like Yahoo and MSN set up Indian sites; Bazee.com launched based on the eBay model
2001: Subscription sites set up by thenewspapertoday.com and NaiDunia.com; Times of India group
launches 8888 mobile service; India Today group launches 2424 mobile service; 2002: Malayalam
Varikha.com, the website of weekly Malayalam magazine, launches paid site; NPTEL (National Programme
on Technology Enhanced Learning) initiative launched;
2003: Air Deccan launches Indias first online air ticketing site; 2004: DoT declares its Broadband Policy;
BSNL introduces broadband; eBay buys Bazee.com; Monster.com buys Jobsahead.com; 2005: Social
networking sites like Orkut make their presence felt; online registration of .IN domains begins; Indic
language user interface appears on basic cellphones
2006: Facebook makes India debut; 2007: Major media websites switch to tab-based design; Arzoo.com relaunched as a travel portal by Sabeer Bhatia; Twitter makes its India debut; Google News launches Hindi
service
2008: India sets a world record by sending 10 satellites into orbit in a single launch; Apple iPhone debut in
India; Internet Governance Forum (IGF) held in India; 2009: GoI puts forth the draft policy on Indian
language IDNs.
2010: 3G spectrum auctioned by telecom players 2011: Mobile number portability launched; ICANN
approves 7 Indian language Internationalised Domain Names (IDNs) for India; iPad enters India market
after its Dell and Samsung rivals; Pearson Group takes controlling stake in e-education startup TutorVista;
Indian government launches National Knowledge Network (NKN); The major drivers of internet penetration
in India are mobile devices, with some of the cheapest and most basic hand-sets today offering access to the
internet. India has 110 million mobile internet users of which 25 million are in rural India. The growth of
internet penetration in rural India is driven largely by the mobile phone; 70% of rural India's active internet
population accesses the web via mobile phones. This may have to do with the difficulty in accessing PCs.
Lastly am showing a graph which represents the using of internet users in the India from 1980-2030
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1.2.E-Commerce in India
Over the last two decades, rising internet and mobile phone penetration has changed the way we
communicate and do business. E-commerce is relatively a novel concept. It is, at present, heavily leaning on
the internet and mobile phone revolution to fundamentally alter the way businesses reach their customers.
While in countries such as the US and China, e-commerce has taken significant strides to achieve sales of
over 150 billion USD in revenue, the industry in India is, still at its infancy. However over the past few
years, the sector has grown by almost 35% CAGR from 3.8 billion USD in 2009 to an estimated 12.6 billion
USD in 2013.Industry studies by IAMAI indicate that online travel dominates the e-commerce industry with
an estimated 70% of the market share. However, e-retail in both its forms; online retail and market place,
has become the fastest-growing segment, increasing its share from 10% in 2009 to an estimated 18% in
2013. Calculations based on industry benchmarks estimate that the number of parcel check-outs in ecommerce portals exceeded million in 2013. However, this share represents a miniscule proportion (less
than 1%) of Indias total retail market, but is poised for continued growth in the coming years. If this robust
growth continues over the next few years, the size of the e-retail industry is poised to be 10 to 20 billion
USD by 2017-2020. This growth is expected to be led by increased consumer-led purchases in durables and
electronics, apparels and accessories, besides traditional products such as books and audio-visuals.
LITERATURE REVIEW
The different studies have highlighted the benefits that Internet shopping offers to consumers which include
ability to shop round the clock at anywhere, to search and browse products, to compare prices, and to make
flexible electronic payments (Hoffman et al., 1995; Alba et al., 1997; Peterson et al., 1997; Strauss and
Frost, 1999; Shim et al., 2001).
Delone and Reif (2004) have found that at present customers are more likely to continue shopping online
when they have a greater experience of online shopping. It is also found that young adults have a more
Debansu Chatterjee, Indrajit Ghosal IJSRE Volume 2 Issue 11 November 2014
Page 2408
positive attitude towards online buying. Lavie and Tractinsky (2004) have expressed the expressive
aesthetics of web-sites that convey a sense of creativity and uniqueness. This type of aesthetics is likely to
serve an important role when shopping for specialty goods. The expressive design is relevant to specialty
goods because of their unique characteristics that emphasised the shopping experience. Bauer et al., (2006)
have compared the services of online retail service vs. traditional retail services. They have identified that
the online retail services are broken into two rather distinct phases: the client interaction phase taking place
online and the fulfilment phase taking place offline. They also have suggested that web-site quality is a
matter of delivering both hedonic and utilitarian elements.
India's e-commerce market was worth about $2.5 billion in 2009, it went up to $6.3 billion in 2011 and to
$14 billion in 2012. About 75% of this is travel related (airline tickets, railway tickets, hotel bookings,
online mobile recharge etc.). Online Retailing comprises about 12.5% ($300 Million as of 2009). India has
close to 10 million online shoppers and is growing at an estimated 30% CAGR vis--vis a global growth rate
of
810%.
Electronics
and
Apparel
are
the
biggest
categories
in
terms
of
sales.
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To investigate any association between the demographic variables (age, gender, education, income
etc.) and the customer preferences of e-marketing.
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instrument will be determined by content and construct validity. The construct validity will be determined
through the factor analysis in which the Kaiser- Meyer (KMO) index of sampling adequacy and
Bartletts test of sphericity will equally be determined. All variables with KMO above .56 - .6 will be
regarded as valid for this proposed study.
Customers Preferences on Online shopping in West Bengal:
Women, particularly women workforce are vital part of buying behavior. It has been found hat
Working women are more involved with the purchasing activities. They are more price conscious as
compared to the non working married women. It has also been found that working
women are more Store loyal than non working married women. In case working women are more quality
conscious than non working married women. But non-working unmarried women are quality conscious.
This study also prevails that there is a significant difference in buying behaviour of working women
depending on what type of organization they work. Women are
apt to be more involved with purchasing than men, since women have traditionally been the family
purchasing agents (Davis 1971, Wilkes 1975) and perceive purchasing as being associated with their role in
the family. Woman's role as the family purchasing agent, however, seems to be changing, due primarily to
the large increase in the number of working women in recent decades. Therefore, working women has
developed as an important segment for the marketers.
Therefore, marketers should consider them with utmost importance.
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Marketing, Web Marketing, and Online Marketing etc.) can be defined. As the promotion of products or
services through the Internet whereas; e-tailing can be defined as selling products and services by using the
Internet. Wang (2002) has provided a broad definition of e-tailing by defining it as the selling of goods and
services to the consumer market via the internet. According to Turban et al. (2006), e-tailing is defined as
retailing conducted online, over the internet. In general, the activities of e-tailing encompass three main
activities.
They are:
(i) A product search facility (often referred as a product evaluation or information gathering facility),
(ii) An on-line purchase function and (iii) a product delivery capability (Kolesar and Galbraith, 2000). Like
general marketing activities of an organization, e-tailers have also stick to the same 4Ps of marketing
activities. They are: Product, Price, Promotion and Place. With regard to the right products, e-stores can
offer a larger spectrum of product offering like traditional retailers in categories ranging from electronics to
shoes. E-store is the Internet version of stores that set up electronic storefronts on the Internet. It provides all
kinds of products and renders service to the e-customer at the click of a mouse button and makes money by
selling products directly to e-customers. When it comes to the right price, e-stores can be operated with low
profit margin because of the lower cost and higher sales volume. As for the right promotion, e-stores have
unlimited direct marketing, advertising and selling opportunities. Finally, with regard to the right place; the
location of e-stores is not important in the Internet and e-customer can connect and purchase products and
services from the Internet at any time and place. According to Lim and Dubinsky (2004), e-store is defined
as a commercial web site on which e-customers can shop and make purchases. According to Rao (1999), ecommerce offers increased market activity for retailers in the form of growing market access and
information and decreased operating and procurement costs. The consumers can gain better prices due to the
competition and also can enrich their knowledge on goods and services. According to a survey conducted by
Internet and Mobile Association of India (IAMAI) and Indian Market Research Bureau (IMRB), the ecommerce market in India has garnered Rs. 9210 crore in 2007-08, whereas e-tailing market was only about
Rs. 1150 crore). In general, e-tailing industry, from a business perspective offers an opportunity to cater to
consumers across geographies, no operational timings, unlimited shelf space and all this with miniscule
quantity of infrastructure. For a country like India, the growth in the e-tailing market is driven by the need to
save time by urban India. Besides with over 2.5 billion internet users, access to internet has also played an
important role in growing the markets. Consumers decision-making process has considerably changed with
the introduction of the Internet asan alternative channel for shopping. The new wave of consumerism
coupled with increasing urbanization and burgeoning middle class with paradigm shifts in their demographic
and psychographic dynamics have driven consumers frequently to use retail websites to search for product
Debansu Chatterjee, Indrajit Ghosal IJSRE Volume 2 Issue 11 November 2014
Page 2412
information and/or make a purchase of products. In India, the shift from physical stores to e-store takes
place due to the in-adequacy of time of consumers and the relatively high disposable incomes as well as due
to a high need for labor-saving goods and services (Gehrt, Yale and Lawson 1996).
ANALYSIS:
Factor analysis based on demographic factor:
EMPIRICS
The demographics factor is presented under the 5 attributes i.e. age, gender, qualification, profession,
income level. The following table(s) depicts the respondents profile and the type of company they have
selected for patronizing. As far as age is concerned, almost 50% of the respondents were between 2130 years old (50%) followed by the age group of 31-40 years (26%) . On the other hand, 5 respondents
(10%) were 41-50 years of age and 7 respondents (14%) were in the 51-60 years age group. Gender-wise,
56% of the respondents were male and only 44% were female. 50% of the respondents were Graduates
followed by 32% higher secondary, Post graduates (12%) and PhD(s) only 6%.
Table 1: Parameter: Age
Valid
21-30
31-40
41-50
51-60
Total
Frequency
25
13
5
7
50
Percent
50.0
26.0
10.0
14.0
100.0
Valid Percent
50.0
26.0
10.0
14.0
100.0
Cumulative
Percent
50.0
76.0
86.0
100.0
Valid
Male
Female
Total
Frequency
28
22
50
Percent
56.0
44.0
100.0
Cumulative
Valid Percent Percent
56.0
56.0
44.0
100.0
100.0
Valid
Frequency
Higher Secondary 16
Graduate
25
Percent
32.0
50.0
Cumulative
Valid Percent Percent
32.0
32.0
50.0
82.0
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Post Graduate
PhD
Total
6
3
50
12.0
6.0
100.0
12.0
6.0
100.0
94.0
100.0
Percent
20.0
34.0
28.0
18.0
100.0
Cumulative
Valid Percent Percent
20.0
20.0
34.0
54.0
28.0
82.0
18.0
100.0
100.0
Valid
< 1,00,000
1,00,000-3,00,000
3,00,000-6,00,000
>6,00,000
Total
Frequency
10
17
14
9
50
Measure
of
Sampling Adequacy.
Bartlett's Test of Approx.
Sphericity
Square
df
Sig.
Chi-
.562
1843.318
351
.000
Page 2414
BUSINESS
-.055
.030
.005
-.059
-.082
-.044
-.028
.772
.082
CONVIENI
-.355
.038
.252
-.063
.615
.118
-.218
.193
-.011
CROWD
.074
-.101
.002
.053
.046
.051
.003
.856
-.017
E_DATA
-.213
.151
-.041
.203
.708
-.020
-.183
.074
-.253
ECO_DEV
.606
-.114
-.154
.352
.011
-.013
.052
.363
-.118
E_PAYMNT
.116
.048
-.053
.007
.837
-.025
.057
-.129
.042
TIME
.795
.016
.090
-.002
.021
-.020
-.077
.004
-.016
LIFE_STL
.228
.424
-.172
-.224
.553
.051
.160
-.151
.080
B_ENV
.760
.131
.215
-.182
-.041
.034
-.153
-.132
-.003
ECONOMY
.238
.671
-.142
-.122
.235
.019
.059
-.140
.141
EBS_USE
.612
.109
.412
.001
-.111
.019
-.131
.030
-.032
MODRNTY
.128
.783
.021
.055
.119
-.011
.046
.056
.042
CC_MUSE
.309
.159
.685
.059
.008
.033
-.092
.156
-.014
PRIVACY
-.213
.722
.298
.089
-.025
.015
-.015
-.040
-.105
ORDER
.088
.057
.739
.088
-.021
-.083
.137
-.048
.039
TECHNLGY
-.290
.354
.340
-.082
-.085
.046
.523
-.047
-.122
ISSUES
.069
-.276
.633
.158
.008
-.033
.320
-.168
.300
UNEMP
-.188
.082
.171
.008
-.103
.062
.782
.026
.052
E_BIZ_RQ
.134
-.255
.257
.458
.124
-.016
.344
.047
.217
CYBERLAW
-.023
-.039
-.160
.147
.023
.398
.670
-.051
-.173
USE_FRND
-.042
-.012
.070
.831
.060
.014
.118
.060
.159
SERVICE
-.073
.056
-.005
.253
-.001
.743
.203
-.144
-.170
ENJOY
-.020
.091
.093
.789
-.073
.086
-.090
-.091
.241
ENVRNMNT
-.006
.032
-.078
.031
.095
.837
.030
-.006
.019
APPRECBL
-.010
.053
.014
.365
-.018
.044
-.089
-.012
.758
GDP
.082
-.055
.047
-.173
-.081
.693
.059
.152
.238
Page 2415
E_FUND
-.085
.022
.084
.138
-.057
.019
-.002
.073
.794
Extraction Method: Principal Component Analysis. Rotation Method: Varimax with Kaiser Normalization.
a Rotation converged in 12 iterations.
In the Rotated Component Matrix table, each number represents the partial correlation coefficient between
variable and rotated component. All the variables having factor loadings of greater than .50 for a given
component define the component.
Page 2416
Convenience, EFunds and Trust is the second factor considered for this research study. In order to
successfully implement the Online Shopping, companies must ensure that the services are easy, simple,
rapid and of sufficiently high quality to ensure consumer satisfaction in order to maintain e-customers. A
user friendly website with a good graphical user interface and easy to use navigation tools will certainly help
in this regard.
Security and Risk is another important factor. Security and risk are key factor of the ecommerce and online
shopping. Mainly credit card uses and sophisticated technical use leads to varies loopholes leads to varies
cybercrimes and technological hackings. As a result it is become a barrier in the development In the field of
e business and online shopping in west Bengal. Develop easy & user friendly customer support applications
for flexibility reasons.
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