Rationale
The emergence of online shopping platforms has led to significant
changes in several aspects of the Digital Market. However, why consumers buy
from these sites still needs to be determined. Online shopping, driven by
technological progress and evolving consumer demand, has been transformed
by various e-commerce platforms, which have continued to evolve despite the
An empirical study is based upon an online survey comprising 1489
respondents in China, all of whom had made purchases from the Jindong and
Taobao online stores, two of the largest e-commerce platforms in China. The
Chinese context was chosen because China currently leads the global ecommerce market, having not only a 42 percent market share (Manyika et al.,
2017) but also a sizable proportion of Chinese consumers who regularly make
purchases through e-commerce platforms. E-commerce has made shopping
more convenient than ever before. Customers can browse and purchase
products or services from the comfort of their own homes, without the need to
visit physical stores. This convenience has led to a significant shift in consumer
behavior and preferences.
Filipino consumers also resorted to e-commerce platforms to shop for
products and services. Two notable e-commerce platforms, Shopee, garnered
73.65 million monthly site visits, while Lazada has roughly 39.43 million monthly web
visitors. According tothe report published by DataReportal, in the third quarter of
2021, 62.5% of Filipino respondents said they shopped online (SRD, 2022). Locally,
6% of transactions in e-commerce occur in Cebu (Masigan, 2020).
Consumers in the Philippines, especially Millennials and Generation X and
Z, are digital experts (Lissitsa & Kol, 2016). They have an ardent desire for
immediate knowledge about the goods they buy. They demand digital proof to
verify product statements as they become more critical of company facts.
Undeniably, technology nowadays has become a cornerstone of today's
modern-day business, especially in retailing, and it no longer circumscribes the
capabilities and capacities of the store's operations. Simply, retailers today are
going on the offense and utilizing innovation to tempt purchasers to shop online
and offline.
An empirical study on Metropolitan Cebu residents' online buying
behavior during the community quarantine period indicates that consumers
behave differently in confinement times and discomfort situations, which resulted
in them continuing their online shopping motives even in the new average era
(Abella, Rai & Almaden, 2021)
Digitalization has provided consumers with easy access, a wide range of
services, more manageable payment, better services, and shopping, wherever
possible, due to the exponential growth of the internet, smartphones, and other
technology. Surprisingly, digitalization has significantly impacted today's Filipino
society, as Secretary Diokno stated that digitalization was among the factors that
helped Filipinos keep on living during the pandemic (Philippine et al., 2021). Words
like digitalization have become a lexicon for every Filipino mobile user nowadays.
It became a vernacular term that is more prominent, especially today.
The main focus of the study lies in the need to comprehend the intricate
and multifaceted factors that influence how Filipino (Cebuanos) consumers
engage with online retail platforms. The surge in online shopping activities has
reshaped the traditional retail landscape, and understanding the psychological
underpinnings of this shift is crucial. The research explores the motivations,
influences, and cultural nuances that drive Filipino consumers' online purchasing
decisions. Additionally, it seeks to explore the elements of trust and perceived risk
in online transactions, considering the impact of technological adoption and user
experience on consumer preferences. The study recognizes the significance of
post-purchase behavior, investigating satisfaction, loyalty, and the role of online
reviews and social media in shaping the overall consumer experience.
References:
Almaden, A. M., Abella, J., & Rabe, R. A. (2021, January 11). An Empirical Study
on Metropolitan Cebu Residents’ Online Buying Behavior during the Community
Quarantine
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https://doi.org/10.7719/jpair.v43i1.717
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Lissitsa, S., and Kol, O., (2016). Generation X vs. Generation Y–A decade of online
shopping. (“Generation X vs. Generation Y – A decade of online shopping”)
Journal of Retailing and Consumer Services 31, 304–312.
Inquirer, P. D. (2021, February 22). Digitalization cushions pandemic impact on
economy
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Inquirer
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INQUIRER.net.
https://business.inquirer.net/318238/digitalization-cushions-pandemic-impacton-economy
Statista Research Department (2022). Online shopping activities each week of
internet
users
in
the
Philippines
as
of
3rd
quarter
2021.
Statista.
https://www.statista.com/statistics/1125430/philippines-e-commerce-activitiesinternet-users/
Masigan, A. (2020). Numbers Don’t Lie. Business World.
Manyika, J., Woetzel, J., Seong, J., Wang, K.W., Chui, M., Wong, W., 2017. Digital
China: Powering the Economy to Global Competitiveness. Mckinsey Global
institute
Shanghai.
https://scholar.google.com/scholar_lookup?title=Digital%20China%3A%20Poweri
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