Dissertation Proposal Submitted by: Muhammad Zeeshan B01658630 MBA Digital Marketing 1/29/2024 Working Title E-commerce in the UK: A Sentiment-Based Analysis of Consumer Preferences Introduction The shift in consumer purchasing patterns towards online platforms has significantly altered the retail landscape, particularly in the UK. The rapid growth of e-commerce not only presents new opportunities but also challenges in understanding and responding to consumer needs and preferences. This is evident in the way customer feedback, primarily through online reviews, influences purchasing decisions and brand perception. The direct correlation between online reviews and purchasing decisions in the e-commerce sector remains an area ripe for exploration. Problem Statement In the realm of e-commerce, consumer reviews play a pivotal role in shaping purchasing decisions and brand loyalty. However, there's a noticeable gap in how businesses utilize this wealth of consumer sentiment data. Many e-commerce entities struggle to effectively analyze and integrate consumer feedback into their strategic decision-making processes. This gap poses a significant management problem, as it hinders the ability of businesses to adapt to consumer needs, improve customer satisfaction, and tailor their marketing strategies accordingly. The complexity lies in systematically analyzing and interpreting the sentiments expressed in consumer reviews, which are often vast in number and varied in content. Research Question The core research question is: How can sentiment analysis of consumer reviews in the UK ecommerce sector be effectively utilized to enhance customer satisfaction and inform business strategies? This question aims to explore the potential of sentiment analysis in transforming raw consumer feedback into actionable business insights. Literature Review Sentiment Analysis Techniques: Understanding the methodologies and tools used in sentiment analysis is crucial. Liu (2012) provides a comprehensive overview of sentiment analysis and opinion mining techniques. Pang & Lee (2008) offer insights into the methods and algorithms used in analyzing sentiments in text. Consumer Behavior in Digital Markets: The work of Kotler & Keller (2016) is seminal in understanding marketing management, including consumer behavior in online settings. Blythe (2013) explores consumer psychology, providing a foundation for understanding consumer decision-making processes. Influence of Online Reviews on Consumer Decisions: Chevalier & Mayzlin (2006) investigate the effect of word of mouth on sales, particularly in online book reviews. Hennig-Thurau et al. (2004) discuss the impact of electronic word-of-mouth on consumer behavior. E-commerce Trends and Consumer Feedback: Moe & Trusov (2011) examine the relationship between social media, consumer behavior, and e-commerce. Smith & Brynjolfsson (2001) analyze consumer decision-making in online shopping environments. Application of AI in E-commerce: Huang & Rust (2018) discuss the role of artificial intelligence in enhancing customer service in the e-commerce sector. Additional References: Tussyadiah & Park (2018) Consumer evaluation in hotel reviews. Godes & Mayzlin (2004) The impact of online reviews on product sales. Ghose & Ipeirotis (2011) Estimating the helpfulness and economic impact of product reviews. Hu, Pavlou & Zhang (2009) Overcoming the J-shaped distribution of product reviews. Mudambi & Schuff (2010) What makes a helpful online review? Dellarocas (2003) The digitization of word-of-mouth. Kozinets (2002) The field behind the screen: Using netnography for marketing research in online communities. Chatterjee (2001) Online reviews: Do consumers use them? Lee & Youn (2009) Electronic word of mouth (eWOM): How eWOM platforms influence consumer product judgment. Zhang, Craciun & Shin (2010) When does electronic word-of-mouth matter? Research Methodology The methodology for this research will adopt a manual approach, focusing on hands-on data collection and analysis. Data Collection: 1. Selection of E-commerce Platforms: The study will target major UK e-commerce platforms like Amazon UK and eBay UK. These platforms will be chosen based on their market presence, the diversity of consumer products they offer, and their influence in the e-commerce sector. This step ensures a comprehensive overview of the current e-commerce landscape in the UK. 2. Manual Collection of Consumer Reviews: A systematic approach will be employed to collect consumer reviews. This will involve manually browsing through high-traffic product categories and selecting reviews that are representative of consumer opinions. The aim is to gather a broad range of feedback encompassing various products and user experiences. 3. Data Recording: For each selected review, key information will be meticulously recorded. This includes the full text of the review, the star rating given, the date when the review was posted, the name of the product, and, if available, the general location of the reviewer. This information will be transcribed into a structured spreadsheet format, facilitating ease of analysis. Data Analysis: 1. Qualitative Sentiment Analysis: Each review will be manually examined to assess its overall sentiment – categorizing it as positive, negative, or neutral. This step involves a nuanced interpretation of the language and tone used in the review, going beyond surface-level assessment to understand the underlying customer sentiments. 2. Thematic Analysis: The reviews will be analyzed to identify key themes and patterns. This includes recognizing and documenting recurrent topics such as product quality, customer service efficiency, and perceived value for money. This thematic analysis aims to uncover deeper insights into consumer attitudes and preferences. 3. Comparative Analysis: The sentiments and themes identified in the reviews will be compared across different products and e-commerce platforms. This comparison will help in understanding how consumer perceptions vary across different contexts and identifying both unique and shared trends in consumer feedback. Problems and Limitations The primary challenge is the time-intensive nature of manual data collection, which might limit the scale of data gathered. Additionally, manual analysis may introduce subjective bias, affecting the consistency of sentiment categorization. To mitigate these issues, a systematic approach to data collection will be employed, and multiple readings of the reviews will be conducted to ensure objectivity and reliability in sentiment categorization. Project Schedule Week 1-2: Literature Review and Selection of E-commerce Platforms Week 3-4: Manual Data Collection Week 5-6: Data Analysis Week 7-8: Drafting the Report Week 8-9: Revisions and Final Submission Conclusion This research proposal aims to bridge the gap in understanding and utilizing consumer sentiment data in the UK e-commerce sector. By adopting a manual approach to data collection and analysis, this study seeks to offer insightful and actionable findings that can inform business strategies and enhance customer satisfaction in the rapidly evolving online retail landscape. References: Liu, B. (2012). Sentiment Analysis and Opinion Mining. [Book] Pang, B., & Lee, L. (2008). Opinion Mining and Sentiment Analysis. Foundations and Trends in Information Retrieval, 2(1-2), 1-135. Kotler, P., & Keller, K. L. (2016). Marketing Management. [Book] Blythe, J. (2013). Consumer Behaviour. [Book] Chevalier, J. A., & Mayzlin, D. (2006). 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