Major Project Report
On
“CUSTOMERS SATISFACTION TOWARDS ONLINE SHOPPING”
Submitted In Partial Fulfillment Of The Requirement
Of
Bachelor Of Business Administration
Submitted To:
Submitted By:
Project Guide
Name of the student :
Ms M. Bhuvneshwari
Sudhir Kumar Yadav
Designation: Asso. Prof.
Enrl. No. : 04350501715
Batch: 2015-2018
Submitted To:
Banarsidas Chandiwala Institute of Professional Studies, Dwarka, New Delhi
(Affiliated to Guru Gobind Singh Indraprastha University)
1
DECLARATION
I hereby declare that this Project Report titled “CUSTOMERS SATISFACTION TOWARDS
ONLINE SHOPPING” submitted by me to Banarsidas Chandiwala Institute of Professional
Studies, Dwarka is a bonafide work undertaken during the period from Jan 2018 to April 2018
by me and has not been submitted to any other University or Institution for the award of any
degree diploma / certificate or published any time before.
(Signature of the Student)
Date: /
Name: Sudhir Kumar Yadav
Enroll. No.: 04350501715
2
/ 2018
CERTIFICATE
This is to certify that the project work done on “CUSTOMERS SATISFACTION
TOWARDS ONLINE SHOPPING” Submitted to Guru Govind Singh Indraprastha
University, Delhi by Sudhir Kumar Yadav in partial fulfillment of the requirement for the
award of degree of Bachelor Of Business Administration, is a bonafide work carried out
by him/her under my supervision and guidance. This work has not been submitted
anywhere else for any other degree/diploma. The original work was carried during Jan
2018 to April 2018 .
Name of the guide
Date:
Ms M. Bhuvneshwari
Designation : Asso. Prof.
Counter signed by
-------------
Director /HOD
Date:
3
/
/ 2018
AKNOWLEDGEMT
This project work has been a great experience to me. This work would not have been possible
without the help, cooperation, constructive suggestion and well wishes of many people. I would
like to thank all of them.
I owe my profound respect to Ms. M. Bhuvneshwari , my project guide, and express my deep
sense of gratitude for her inspirations, valuable and scholarly guidance, imperative suggestions
and personal attention at each stage of the Work. Her knowledge, dedication towards research,
exemplary devotion and trust towards me has been unique and is the prime key behind the
success of this project. Her personality has been instrumental in blending an exciting spirit and
atmosphere for research. It has been a great opportunity and experience to work with her, as I
will forever cherish the deep interaction I had with her.
4
S.NO.

TABLE OF CONTENT
Executive Summary / Synopsis
PAGE. NO.
6
CHAPTER – 1: INTRODUCTION
7-9
1.1
Introduction
7
1.2
Top players / Competitors
9
CHAPTER – 2: LITERATURE REVIEW
10
CHAPTER – 3: OBJECTIVES AND SCOPE OF THE STUDY
13
3.1
Objective of the Study
13
3.2
Scope of the study
13
CHAPTER – 4: RESEARCH METHODOLOGY
14-18
4.1
Introduction Of Research Methodology
14
4.2
Research data and Sources
15
4.3
Techniques and tools
16
4.4
Sample technique/size
17
CHAPTER – 5: DATA ANALYSIS AND INTERPRETATIONS
(using various charts and graphs)
5.1
Data Analysis & Interpretations
19-36
19
CHAPTER – 6: FINDINGS AND CONCLUSIONS
37
CHAPTER – 7: RECOMENDATION AND SUGGESSION
38
BIBLIOGRAPHY AND REFERENCES
39
ANNEXURE ( Questionnaire)
40-46
5
Executive summary
Internet became more powerful and basic tool for every person’s need and the way people work.
By integrating various online information management tools using Internet, various innovative
companies have set up systems for taking customer orders, facilitate making of payments,
customer service, collection of marketing data, and online feedback respectively. These activities
have collectively known as e-commerce or Internet commerce. Online shopping made so easy
for everyone with their product variations and simple way to buy things. An attempt has been
made to critically examine the customer perception towards Online shopping. And delivers the
information about the factors that
influence the customer views to succeed in e-commerce
market.
Here, survey method is being used here for collecting the responses. Which means it is a
descriptive study.
Reliability may be a concern because the questionnaire is mostly floated amongst the students.
Scope is not that much limited because everyone has accessibility to the internet.
The central objective of the study is to know whether the customers are satisfied with the
product and services being offered by the online sellers , Who are the major players in this field ,
their prospected segment.
6
Chapter - 1
Introduction / Theoretical Background
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 "bricksand-mortar" retailer or shopping center; the process is called business-to-consumer (B2C) online
shopping. When an online store is set up to enable businesses to buy from another businesses, 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.
7
Online stores typically enable shoppers to use "search" features to find specific models, brands or
items. Online customers must have access to the Internet and a valid method of payment in order
to complete a transaction, such as a credit card, an Interac-enabled debit card, or a service such
as PayPal. For physical products (e.g., paperback books or clothes), the e-tailer ships the
products to the customer; for digital products, such as digital audio files of songs or software, the
e-tailer typically sends the file to the customer over the Internet. The largest of these online
retailing corporations are Alibaba, Amazon.com, and eBay.
Customer buying behaviour in digital environment
The marketing around the digital environment, customer's buying behaviour may not be
influenced and controlled by the brand and firm, when they make a buying decision that might
concern the interactions with search engine, recommendations, online reviews and other
information. With the quickly separate of the digital devices environment, people are more likely
to use their mobile phones, computers, tablets and other digital devices to gather information. In
other words, the digital environment has a growing effect on consumer's mind and buying
behaviour. In an online shopping environment, interactive decision may have an influence on aid
customer decision making. Each customer is becoming more interactive, and though online
reviews customers can influence other potential buyers' behaviors.
Subsequently, risk and trust would also are two important factors affecting people's' behavior in
digital environments. Customer consider to switch between e-channels, because they are mainly
influence by the comparison with offline shopping, involving growth of security, financial and
performance-risks In other words, a customer shopping online that they may receive more risk
than people shopping in stores. There are three factors may influence people to do the buying
decision, firstly, people cannot examine whether the product satisfy their needs and wants before
they receive it. Secondly, customer may concern at after-sale services. Finally, customer may
afraid that they cannot fully understand the language used in e-sales. Based on those factors
customer perceive risk may as a significantly reason influence the online purchasing behaviour.
Online retailers has place much emphasis on customer trust aspect, trust is another way driving
customer's behaviour in digital environment, which can depend on customer's attitude and
8
expectation. Indeed, the company's products design or ideas can not met customer's expectations.
Customer's purchase intension based on rational expectations, and additionally impacts on
emotional trust. Moreover, those expectations can be also establish on the product information
and revision from others
Payment
Online shoppers commonly use a credit card or a PayPal account in order to make payments.
However, some systems enable users to create accounts and pay by alternative means, such as:

Billing to mobile phones

Cash on delivery (C.O.D.)

Debit card

Direct debit in some countries

Electronic money of various types

Gift cards

Wire transfer/delivery on payment

Invoice, especially popular in some markets/countries, such as Switzerland

Bit-coin or other crypto-currencies
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 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 fulfillment process.
There are several competitors fighting here such as:
1) Flipkart 2) Snapdeal 3) Amazon 4) Jabong 5) Alibaba and etc.
9
Chapter - 2
Literature review:
For the above stated objectives, a detailed review of literature has been done and the information
collected and utilized for the research works have been presented below;
 Siriporn
Thananuraksakul
(2018),”
FACTORS
INFLUENCING
ONLINE
SHOPPING BEHAVIOR INTENTION: A STUDY OF THAI CONSUMERS”
This research is aimed at contributing to the literature on factors influencing Thai online
shoppers' purchasing intention, particularly on shoppers in Bangkok. The Theory of Planned
Behavior is adapted as the theoretical foundation for the conceptual model used in the research.
Descriptive research and an anonymous questionnaire are designed as the data collection
methodology and are used in the survey fieldwork conducted at central shopping malls in
Bangkok during November and December, 2005 covering 384 sample participants aged 25 years
old and older, with Internet competency. The One-way analysis of variance (ANOVA) and
Multiple Regression are used for inferential statistics. The findings show that the most important
factor is posittive attitude toward online shopping followed by trust and subjective norm.
 Subhankar Trivedi (2017), “Customers satisfaction towards Online shopping”,
discussed that different options in internet encouraged people to search and eventually purchase
online, because there are more than 100 million internet users in India. People those who are
using internet from 5 to 7 hours a day were found to be adopter of online shopping. Price
consciousness, convenience and variety, easy payment options and challenges of online shopping
are the factors found to be a significant in online shopping.
 Saravanan S and Brindha Devi K (2015), “A Study on Online Buying behavior with
special reference to Coimbatore city ”
focused on online shoppers’ preferences and problems on various online shopping marketers
.Higher computer literacy makes internet shopping smarter. Their awareness about the internet
also makes them better positioned to identify and take decision for products and services.
10
 Ashish Pant (2014), “An Online Shopping Change the Traditional Path of
Consumer Purchasing”
concluded in his research article that a successful web store is not the just a good looking website
with the dynamic technical features but is also emphasis on building the relationship with
customers with making money.The success of any e-tailer company in India is depending upon
its popularity, its branding image, its unique & fair policies, and its customer relations etc.
 Dhevika V.P.T, Latasri O.T.V, S Karmugil (2014), in their paper “Factors Affecting
Online shopping of Customers”
revealed that the most important factor influencing online shopping is-security, followed by –
trust worthy shopping and –website design/features and the least important factor influencing is
–bargaining shopping, there is no significant association between security and website
design/features of the respondents and their overall online buying behaviour.
 Adrita Goswami (2013), studied “Customer Satisfaction towards Online Shopping
with Special Reference to Teenage Group of Jorhat Town”
study concludes that online customers are satisfied in the aspects such as Price, Quality of
products, Ease of use in mobile platform and Timely Delivery at remote areas. This research
explicitly indicates that online marketer should give more importance on price factor and after
sale factor.
 ANTHONY D.MIYAZAKI , ANA FERNANDEZ, First published: 3 March 2005
(Consumer Perceptions of Privacy and Security Risks for Online Shopping)
Government and industry organizations have declared information privacy and security to be
major obstacles in the development of consumer‐related e‐commerce. Risk perceptions regarding
Internet privacy and security have been identified as issues for both new and experienced users
of Internet technology. This paper explores risk perceptions among consumers of varying levels
of Internet experience and how these perceptions relate to online shopping activity. Findings
provide evidence of hypothesized relationships among consumers’ levels of Internet experience,
11
the use of alternate remote purchasing methods (such as telephone and mail‐order shopping), the
perceived risks of online shopping, and online purchasing activity. Implications for online
commerce and consumer welfare are discussed.
 What makes consumers buy from Internet? A longitudinal study of online shopping
Published in: IEEE Transactions on Systems, Man, and Cybernetics - Part A:
Systems and Humans (Volume: 30, Issue: 4, Jul 2000 )
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.
12
Chapter-3
Objective and Scope of the study
 OBJECTIVES OF THE STUDY :

To record the respondents perception towards Online shopping.

To investigate the major factors that impact customer satisfaction towards Online
purchase.

To know the motivating factors to increase purchase.

To know the factors that influences the customer, to switch.

To know the customers are satisfied with service network or not.

To know the whether seller’s performance matching with the customers expectations.
 SCOPE AND LIMITATION OF THE STUDY :

The study covers the companies who have only e-existence for processing transactions.

The Sample Size is Limited, So as to give the accurate information regarding Customer’s
thoughts.

The scope is very limited, because attitude & expectations of the people change
according to the time & situation.

95 respondents participates in gathering information.

2 Months is the time duration for the study conducted.
13
Chapter- 4
Research Methodology
Topic :

“CUSTOMERS PERCEPTION TOWARDS ONLINE SHOPPING”.
Sample Size :

The sample size for the survey conducted was 95 Respondents.
Instrument :

Questionnaire
Type of study :
Descriptive study
Type of data collected :
There are two types of data used. They are primary and secondary data.

Primary data--Primary research involves the collection of original primary data by
researchers. It is often undertaken after researchers have gained some insight into an issue
by reviewing secondary research or by analysing previously collected primary data. In
this study questionnaire is being used as primary data collecting.
14

Secondary data--Secondary data refers to data that was collected by someone other
than the user. Common sources of secondary data for social science include censuses,
information collected by government departments, organisational records and data that
was originally collected for other research purposes. For secondary data collection
several websites were floated. (like google scholar ,emeraled study and etc).
Techniques of Data Analysis :

Data analysis is a process of inspecting, cleansing, transforming, and modeling data with
the goal of discovering useful information, suggesting conclusions, and supporting
decision-making.

Statistical tools are used here.

Data is presented in both chart as well as in graphs for better understanding.
15
Chapter-5
Data Analysis & Interpretation
( using various charts and graphs )
1) Please tick the age group you belong to :
Interpretation:
From the above chart, we find that there are large no. of people of younger age that is
82.1%.

But there is a sudden decline when we talk about the age group of 25-35 ,35-50 and 50+.

95 people answered this question out of 95.
16
2) Gender
Interpretation :

Female participants in the survey are higher in count as compared to male participants.
(i.e. 51.1%) .

And male participants are 47.9% .

94 people answered this question out of 95.
17
3) Occupation
Interpretation :

All the participant answered this question.

Maximum no. amongst them are students with the percentage of 73.7.

9.5 is the percentage of both Business and Salaried professionals.

Salaried junior or junior executive are 7.4%.
18
4) Income Range
Interpretation :
As the maximum number of respondents are student that’s why 57.6 % of people selected
the group of less than 2 lakhs.

85 people responded to this question out of 95.

And the second highest count of participants are from 2 to 5 lakhs per annum group.

10.6, 9.4, 8.2 is the percentage of respondents from income group of 8 to 10 lakhs pa. ,5
to 8 lakhs pa. , more than 10 lakhs respectively.
19
5) Qualification
6) Are you aware of ecommerce website
Interpretation :- Max no. of people are aware of it only 1.1% (i.e. 3 out of 96) doesn’t.
20
7) How frequently do you shop through e-commerce website
Interpretation :
Most of the people very frequently do online shopping i.e.68.4%.

But we also have some of the people that didn’t shop online ever till now.
21
8) How did you come to know about online shopping.
Interpretation :
From the above chart, we find that there are large no. of people who get aware
from television advertisements. (i.e. 34 participants).

But all the marketing techniques works for these online sellers.

In short, Most of the people came to know about it through friends followed by
television and online advertisements. This proves that word of mouth strategy is the
most successful means of making people aware about them and their products. This
success can only be gained through satisfied customers who act as advocates for your
products.
22
9) Which is your most preferred e-commerce website
Interpretation :
According to this survey, flipkart is used by maximum no. of people then snapdeal arises
with 51.6% and 21.1% respectively.

Jabong is used by 15.8%.

Myntra and amazon users were around 6.3% and 5.3% respectively.
23
10) How frequently have you used the e-commerce website for getting information
before shopping at a physical store
Interpretation :

Maximum no. of people uses e-commerce sites to get some kind of information.

15 out of 96 always goes for that.
24
11) How often does the promotional scheme on websites influence you to visit their
site?
Interpretation :

More than 50% of the people usually get influenced by the schemes shown on its website.

12.8% of the people always got influenced by the schemes shown.

But there is some percentage of people who rarely or never get influenced.

Schemes are working.

Yet there is a scope for improvement.
25
12) How often does the product review influence your decision?
Interpretation :

Many Participants often go through the product review before making their decision to
purchase more than those who occasionally read the product review before taking their
purchase decision. Product review is a kind of word of mouth strategy where product
users leave their review on their experiences.
26
13) Tick all the product varieties that you generally prefer buying online?
Interpretation :

Here percentages belongs to:
 Clothing - 70.5%
 Personal products (perfumes, beauty creams, razors, toothbrush) - 31.6%
 Mobiles/ tablets - 82.1%
 Laptops and accessories – 29.5%
 Cameras - 0
 Books - 7.4%
 Kids product - 36.8%
 Sports and Fitness - 3.2%
 Furniture - 0
27
14) I sometimes don’t purchase a certain category of products because of
Interpretation :

Delivery time, inability to touch and experience the product online and lack of trust are the
reasons for not going towards online shopping.

And habit of purchasing from open market is also one of the major reason.
28
15) Please rate the user friendliness of website’s for product comparison
Interpretation :
If we analyze this response in term of positive and negative then it will be ;

49.4% positive response i.e. good for product comparison(from 18+29 respondents)

29.5% neutral or moderate. (i.e. 28 respondents )

21.1% negative response from 21 people out of 95.
29
16) Please rate the user friendliness of website’s for price comparison (1-5,excellent
to very poor).
17) Rate from 1 which represents excellent to 5 which represents very poor for
Payment options offered
30
18) Please rate from 1 which represents excellent to 5 which represents very poor
regarding the speed or response time.
19) Please rate your expectations in a shopping model (in a scale of 1 - 5, Least
preferred to most preferred)
Convenience
31
Minimum delivery time (in a scale of 1 - 5, Least preferred to most preferred)
Interpretation : Acc to the responses delivery is quite appreciable.
Product trial experience (in a scale of 1 - 5, Least preferred to most preferred)
Interpretation : Also in this regard results are positive.
32
Discounts/ deals
Interpretation : Discounts granted and deals are very much excel from customers point of view.
Product variety
Interpretation : This response states that online seller’s provides large varieties of choice from
each segment which they offers to its customers.
33
Chapter- 6
Findings and Conclusions
Frequency of purchase is more among Students.
People’s earning doesn’t matter whether they shop online or not.
Both male and female goes for online purchase in equal ratio.
The number of people with older age are not that much interested to shop online so the
companies should also do something for this segments.
Word of mouth was more influential in promotion as many people was made aware by
their friends.
Most of the respondents are satisfied with the services and are willing to recommend
them to make others to go for it.
Except trial experience, all others are considered important in the decision making of
online purchases.
People are not at all interested in buying furniture.
Almost all the factors that these companies are focusing onto are of high importance to
the Younger age people.
The commercials used by them are effective enough to convey the message since the ads
are interesting enough to gain attention and position itself into the prospects mind.
34
Chapter -6
Recommendation / Suggestion
“Brands can significantly improve the customer experience by product reviews on their
site.
Senior aged people have a very less frequency of purchase. Therefore the co. should
attract them also.
Online sellers need to be aggressive at providing better services which can be fulfilled by
reducing the delivery time, selling second hand products which will increase consumers’
affordability much more and enhance penetration into the market.
They can even have their retail stores which can give an access to consumers to feel and
analyze the products, which will help them win the consumers faith.
Be very focused on consumers and build amazing experiences for the customers.
35
References / Bibliography

Wikipedia

Google scholar.

Google (forms ,docs ,sheets)

https://aujm.au.edu/index.php/AUJM/article/view/24

https://www.emeraldinsight.com/doi/abs/10.1108/JRIM-02-2017-0015

https://www.emeraldinsight.com/doi/abs/10.1108/09590550310457818


shopping-inertia/so-article1-780440.aspx
businesstoday.intoday.in/story/flipkart-online-shopping-e-commerce-order-booksonline/1/20797.html

Images from Google Images.com

Commercials from Youtube.com
36
( Appendix / Annexure)
CUSTOMERS PERCEPTION TOWARDS FLIPKART’S
PRODUCTS AND SERVICES.
(Copy of Questionaire)
1) Please tick the age group you belong to.
16-25
25-35
35-50
50 or above
2) Gender
Male
Female
3) Please tick your occupation
Salaried Professional
Salaried senior/ junior executive
Business
Student
37
Unskilled
Others, please specify ________
4) Please tick your income range
Less than Rs.2 lakhs per annum
Rs.2 to Rs.5 lakhs per annum
Rs.5 to Rs.8 lakhs per annum
Rs.8 to Rs.10 lakhs per annum
More than 10 lakhs per annum.
5) Please tick your education as relevant
Post graduate
Graduate
Higher secondary school certificate
High School certificate
Less than 12 years in school.
6) How frequently do you shop through e-commerce websites
38
Most Likely
Very likely
Not likely
I never shop online.
7) Are you aware of a e-commerce website
Yes
No.
8) How did you come to know about them?
a) Friends
b) Television
c) Newspapers and Magazines
d) Advertisements on Websites
e) Others if any please Specify ………………
9) Which is your most preferred e-commerce website
Flipkart
39
Jabong
Snapdeal
Myntra
Others, please specify___________
10) How frequently have you used the e-commerce website for getting information before
shopping at a physical store
Always
most often
often
quite rarely
Rarely
never
11) How often does the promotional scheme on websites influence you to visit their site?
Always
Often
40
Occasionally
Rarely
Never
12) How often does the product review influence your decision?
Always
Often
Occasionally
Rarely
Never
13) I sometimes don’t purchase a certain category of products because of:
(a)Delivery time
(b)I can’t touch and experience product online
(c)Replacement time
(d)Price
(e)Habit of purchasing from open market
41
(f)Lack of immediate service
(g)Lack of trust
(h) Others (please specify if any) --_________
14) Tick all the product varieties that you generally prefer buying online
Clothing
Personal products (perfumes, beauty creams, razors, toothbrush)
Mobiles/ tablets
Laptops and accessories
Cameras
Books
Kids product
Sports and Fitness
Furniture
15) Please rate the user friendliness of these website’s (1-5,excellent to very poor)
42

For product comparison

For price comparison

Payment options offered

speed of website
16) Please rate your expectations in a shopping model (in a scale of 1 - 5, Least preferred to
most preferred)

Convenience

Minimum delivery time

Product trial experience

Discounts/ deals

Product variety
43