Caution Notice

Volume 4, Issue 2

Home / Journal / Browse Issues / Journal Of General Management Research /
Volume 4, Issue 2

Online Shopping Behaviour of Customers in Tier III Cities of India


Naveen Kumar, Upasana Kanchan and Abhishek Gupta

  1. Assistant Professor, School of Management, Gautam Buddha University, Greater Noida, Uttar Pradesh (India)
  2. Assistant Professor, Lal Bahadur Shastri Institute of Management & Technology, Bareilly, Uttar Pradesh (India)
  3. Assistant Professor, Shri Ram Murti Smarak College of Engineering & Technology, Bareilly, Uttar Pradesh (India)

Today, internet has developed to a highly competitive market. The size of e-commerce market in India is worth around Rs 9,500 crore, out of which the pure play online shopping market is worth Rs 1,300 crore. While online shopping globally is growing at around 8-10%, in India the growth rate is upwards of 30%. With the growing importance of the online retail industry in India, it becomes imperative for E- retailers and internet marketers to understand the determinants of online purchase behaviour of customers to understand what is important to the Indian online customer.

Purpose: The main purpose of the research is to understand the behavior of customer while purchasing online and to analyze the impact of various demographic factors that affect the behaviour of online shoppers in India.

Design/methodology/approach: A broad range of published works in the field of online retail industry especially in India have been reviewed to analyze the factors behind increase in growth of the industry. The author also conducted an empirical study which uses primary data collected through survey of 220 online shoppers. A structured-non-disguised questionnaire has been employed for collecting the information from the respondents about their demographics, security and privacy concerns, technological familiarity, past online shopping experiences and intentions to buy various types of products through internet in future. The collected data was analyzed with the help of Statistical Package for Social Sciences (SPSS18.0) for windows.

Practical Implications:Study findings entail interesting implications for the marketers. They need to give adequate attention to consumer characteristics while designing their e-marketing strategies. Online marketers should target their products to young and more educated customers earning higher income and ensure about the high security of personal information of customers and financial transactions along with providing good experience of online shopping so that customer may continue purchasing online in future also.

Major findings: The findings of the study indicate that customer online purchase behaviour is significantly related to their gender, education, age, and income. It is found that both the gender are likely to purchase goods/services online with same frequency. People who have higher income are more engaged in purchasing goods over internet. As per the results of the study, it is found that convenience, perceived usefulness of medium, internet expertise; product risk, security risk, convenience risk, non-delivery risk and return/ shipment policy are the factors which influenced the decision of customers while purchasing online.

Originality/value: The framework of the research enhances understanding of the factors affecting customer online shopping behaviour, helps in profiling typical Indian online shoppers and may help e-marketers developing more specific marketing strategies to increase e-commerce sales.


Online purchase behaviour, Online shopping, e-shopping, e-retailing, e-commerce

  1. Alba, J., Lynch, J., Weitz, B., Janiszewski, c., Lutz, R., Sawyer, A. and Wood, S. (1997) ‘Interactive home shopping: consumer, retailer and manufacturer incentives to participate in electronic marketplaces’, Journal of Marketing, 61 :3, pp. 38-54.
  2. Ansary, Osama El. And Roushdy, Ahmed Samir (2013), Factors Affecting Egyptian Consumers’ Intentions for Accepting.
  3. Bai B, Law R, Wen I (2008) The impact of website quality on customer satisfaction and purchase intentions: evidence from Chinese online visitors. Int J Hosp Manag 27(3): 391–402.
  4. Brecht, F., Baumann, A. and Günther O. (2011), Shopping Online – Determining Consumer Acceptance of Online Shops, Proceedings of the Seventeenth Americas Conference on Information Systems, Detroit, Michigan August 4th-7th 2011.
  5. Clarke, K. R. (July 2000). Shopping for apparel online gains popularity, from 29888D297A7AA8852569230046325C
  6. Donthu, N. and Garcia, A. (1999), ‘The Internet Shopper’, Journal of Advertising Research, 39(2).52-58
  7. Fram, E. H., & Grandy, D.B. (1997), “Internet shoppers: Is there a surfer gender gap?”, Direct Marketing, Vol.59, No. 1, pp. 46-50.
  8. Gupta, Sunil, Donald R Lehmann and Jennifer Ames. Stuart (2004), “Valuing Customers,” Journal of Marketing Research (JMR), 41(1), 7-18.
  9. Hawkins, D., Best, J. and Coney, K. A. 1995, Consumer Behaviour: Implications for Marketing Strategy, Chicago II, Irwin.
  10. Hollensen, S. (2004) Global Marketing- A Decision oriented Approach (3rd edition), Pearson Higher Education.
  11. Jain Sanjay K. and Jain Manika (2011), Exploring Impact of Consumer and Product Characteristics on E-Commerce Adoption: A study of consumers in India, Proceedings of 5th International Conference on Services Management.
  12. Jarvenpaa, S.L. and Todd, PA. (1996), ‘Consumer reactions to electronic shopping on the World Wide Web’, International Journal of Electronic Commerce, 1:2, pp. 59-88.
  13. Kotler, P. and Armstrong, G. (2007), Principles of Marketing (12th edition), Upper Saddle River, Prentice-Hall.
  14. Kumar Shefali, (August 2000), Consumers’ Behavioral Intentions Regarding Online Shopping, Published thesis of University of North Texas.
  15. Kunz, M.B. (1997), “On-line customers: identifying store, product and consumer attributes which influences shopping on the Internet”. Published doctoral dissertation. The University of Tennessee, Knoxville.
  16. Li Jianguo (January2001), A Framework of Individual Consumer’s Acceptance of Online Shopping.
  17. Li, N & Zhang, P 2002, Consumer online shopping attitudes and behavior: An assessment of Research, Paper presented at the Eighth Americas Conference on Information Systems.
  18. Lin Pin-Wuan (2006). The Effects of Consumers’ Online Shopping Goals and their Characteristics on Perceived Interactivity and Shopping Behaviors, Published Thesis of University of Missouri-Columbia
  19. Maditinos Dimitrios, Sarigiannidis Lazaros and Kesidou Elisavet (June 2009), Consumer Characteristics and Their Effect on Accepting Online Shopping, In the Context of Different Product Types, Proceedings of 5th HSSS Conference, Democritus University of Thrace, Xanthi, Greece.
  20. Mathwick C, Rigdon E (2004) Play, flow, and the online search experience. J Consumer Res 31(2): 324–332.
  21. Mathwick, C., Malhotra, N. K., & Rigdon, E. (2001). Experiential value: Conceptualization, measurement and application in the catalog and Internet shopping environment. Journal of Retailing, 77(1), 39-56.
  22. Online Shopping”, The Journal of American Academy of Business, Cambridge, Vol. 19, No. 1, pp. 191-201.
  23. Peterson, RA., Balasubramanian, S. and Bronnenberg, BJ. (1997) ‘Exploring the implications of the internet for consumer marketing’, Journal of the Academy of Marketing Science, 25: 4, pp. 329-346.
  24. Phau, I. and Sui, M.P. (2000) ‘Factors influencing the type of products and services purchased over the internet’, Internet Research: Electronic Networking Applications and Policy, 10(2), pp. 102-113
  25. Smith, d. A. and Rupp, T W. (2003), ‘Strategic Online Customer Decision Making: leveraging the transformational power of internet.’ Online Information Review 27:6, 418-432.
  26. Sultan, F., & Henrichs, R.B. (2000), “Consumer preferences for Internet services over time: initial explorations”, The Journal of Consumer Marketing, Vol. 17, No. 5, pp. 386-403.
  27. The Internet Shopper, Business World Marketing Whitebook 2013-14.
  28. Then, N., & DeLong, M. (1999). Apparel shopping on the Web. Journal of Family and Consumer Sciences, 91(3).
  29. Wu, S. (2003), ‘The Relationship between Consumer Characteristics and attitude towards Online Shopping’, Marketing Intelligence and Planning 21: 1, 37-44.
  30. Zhou Lina, Dai Liwei and Zhang Dongsong (2007), Online Shopping Acceptance Model — A Critical Survey of Consumer Factors In Online Shopping, Journal Of Electronic Commerce Research, Vol 8, No.1.