CONSUMER ATTITUDE TO, AND EXPERIENCE WITH ONLINE SHOPPING: A CASE STUDY OF CONSUMERS IN THE UNIVERSITY OF BENIN, BENIN CITY

  • Chapters:5
  • Pages:81
  • Methodology:ANOVA
  • Reference:YES
  • Format:Microsoft Word
(Business Administration and Management)
CONSUMER ATTITUDE TO, AND EXPERIENCE WITH ONLINE SHOPPING: A CASE STUDY OF CONSUMERS IN THE UNIVERSITY OF BENIN,
    BENIN CITY.    
ABSTRACT

The Internet is changing the way consumers shop and buy goods and services, and has rapidly evolved into a global phenomenon. The growth of online shopping has been characterized by strong consumer demands and the increasing number and type of goods available. Hence, the internet as a communication medium has broadened the scope of marketing communications considering the number of people who can be easily reached including the locations where they are reached, for example, from laptops to mobile smart phones and related devices.
Along with the development of online shopping, researchers are now being confounded in attempts to explain consumers’ behavior relevant for making business decision. This study contributes in that direction by using primary data to ascertain consumers attitude and experience towards shopping online, find out the challenges consumers encounter when shopping online and to determine how online shopping platforms have affected buying behaviour of consumers. This research employed stratified random sampling and simple random sampling techniques in this direction.Questionnaires were administered to 200 respondents selected across the different groups within the University of Benin and where analyzed using frequencies, percentages and Analysis of Variance -for inferential reasons.Finding in this research showed that the attitude of consumers to online shopping in Nigeria is poor. It was also discovered that the experience level of consumers who shop online was good. It was also observed that the challenges consumers face while shopping online such as poor internet connectivity, security risk associated with giving out sensitive information when shopping online, lack of privacy shopping online amongst others where similar. Finally it was discovered that online shopping platforms have influenced buying behavior in a very significant way, and as the test of hypothesis result showed, this influence cuts across board in a similar fashion. The study concludes by positing that all actors in the shopping space have significant roles to play to improve the use of shopping platforms, deliver benefit to the consumer while at the same time rake in revenue for the government through relevant taxation. On the part of the individual or group consumers, there is need for them to familiarize themselves with the various online shopping platforms and learn how to use the internet properly without divulging too sensitive information. The online platforms should ensure protection of valuable customer data, deliver products in a timely manner, develop a good return policy amongst others. While the government needs to effectively set up a monitoring and evaluation framework for online vendors, to check against inordinate practices.
TABLE OF CONTENT
CHAPTER ONE: INTRODUCTION
Background to the study    -    -    -    -        
Statement of the Research problem    -    -    -
1.3 Research Question    -    -    -    -    
1.4 Objectives Of The Study-    -    -    -    
1.5 Research Hypothesis    -    -    -    -    
1.6 Significance Of The Study    -    -    -
1.7 Scope Of The Study    -    -    -    -    -
1.8 Limitations Of The Study    -    -    -    
1.9 OrganisationOf The Study    -    -    -
CHAPTER TWO: LITERATURE REVIEW
2.0     Introduction    -    -    -    -    -    -
2.1    Conceptual Clarification    -    -    -    -    -
2.2    Review of Empirical Literature    -    -    -
2.2.1     Reasons for Shopping Online    -    -    -    
2.2.3    Consumer Attitude    -    -    -    
2.2.4     Consumer Factor    -    -    -    
2.2.5     Marketing Factors    -    -    -    -
2.3    Factors Hindering online shopping in Nigeria    -
2.4    Theoretical Models of Consumer Behaviour    -
CHAPTER THREE: METHODOLOGY
3.1      Introduction    -    -    -    -    
3.2     Sampling methods & techniques-    -    -
3.3     Sample size    -    -    -    -    -    
3.4     Data collection methods & instruments    -
3.5     Questionnaire    -    -    -    -    -    
3.6      Data analysis, processing and presentation    -
CHAPTER FOUR:DATAPRESENTATIONAND ANALYSIS
4.1     Introduction    -    -    -    -    -    -    -
4.2    Validity and Reliability Testing    -    -
4.2.1    Validity Testing    -    -    -    -
4.2.2     Reliability Testing    -    -    -    -    
4.3     Data Presentation And Analysis    -    -
4.3    Test of Hypothesis    -    -    -    -    
4.3.1    Test of Hypothesis 1        -    -    -
4.3.2    Test of Hypothesis 2    -    -    -    -
4.3.3    Test of Hypothesis 3    -    -    -    -    -
4.3.4    Test of Hypothesis 4        -    -    
4.4     Summary of Findings    -    -    -
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATION
5.0:     Introduction    -    -    -    -    
5.1:     Summary of the Findings    -    -    -    -
5.2:     Conclusion And Policy Recommendations    -    -    
5.3:     Contribution Of Work        -    -    -    -    
5.4    Suggestions for Future Research    -    -    -    
BIBLIOGRAPHY    -    -    -    -    -
APPENDIX    -    -    -    -    -    
LIST OF TABLES
Table 1: Reliability test    -    -    -    -    
Table 2: Respondent Rate of Return    -    -    -    
Table 3: Socio Demographic Data    -    -    -    -    
Table 4: How did you hear about online shopping    -    -    -
Table 5: How familiar are you with online shopping    -    -    
Table 6: Which of these online shopping Platforms have you use    -
Table 7: Do you enjoy Shopping online    -    -    -
Table 8: Would you recommend online shopping to friends or associates    -
Table 9: How often do you shop online    -    -    
Table 10: How likely are you going to shop online in the future    -    
Table 11: Rate the following characteristics of online shopping service based on your experience    -    -    -    -    
Table 11:  Which factors discourage you from shopping online    -
Table 12: Analysis of Variance on Attitude of the different consumers to online
Shopping    -    -    -    -
Table 13: Analysis of Variance on the experience level of consumers while
shopping online    -    -    
Table 14: Analysis of variance of the difference in challenges various consumers face when shopping online    -    
Table 15: Analysis of variance of the effect in the way various online platforms have affected buying behavior of consumers    
Table 16: Summary of statistic
CHAPTER ONE
INTRODUCTION
1.1    Background to the study
The Internet is changing the way consumers shop and buy goods and services, and has rapidly evolved into a global phenomenon. Throughout the world, online buying has grown exponentially. Many companies are using the internet with the aim of cutting marketing costs, thereby reducing the price of their products and services in order to stay ahead in highly competitive markets.  Consumers may still be concerned about the security of online shopping, but more and more of them are prepared to buy on the web. Faster delivery, easier return policies, and many sites offering free shipping have also increased the desirability of online buying. IBIS World research forecasts an 8.6% per year increase in online revenues over the next five years. Growth of online shopping has been characterized by strong consumer demands and the increasing number and type of goods available. Hence, the internet as a communication medium has broadened the scope of marketing communications considering the number of people who can be easily reached including the locations where they are reached, for example, from desktops to mobile smart phones. Consumers are even much more available to receive marketing messages due to the “always-on” environment created by mobile devices which results to an extraordinary increase in marketing opportunities for firms (Laudon&Traver 2013).
According to Wikipedia, online shopping sometimes known as e-tail from "electronic retail" or e-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. It is generally known as internet buying, electronic shopping, online purchasing or internet shopping. (Kim 2004) sees internet shopping as examining, searching for, browsing for or looking at a product to get more information with the possible intention of purchase on the Internet. We could also consider online shopping as an exchange of time, effort and money for receiving products or services. Retailers see it as internet/online retailing, e-commerce or e-store/online store,which refers to “the sale of retail goods via online channels, valued at retail selling price” (Data monitor, 2009). This prelude goes to show that online shopping could be seen in various ways,it depends on which perspective one is looking at or interested in.
The process of online shopping consists of five steps similar to those associated with traditional shopping behavior (Liang & Lai, 2000). In the typical online shopping process, when potential consumers recognize a need for some good or service, they go to the Internet and search for the product/service-related information. However, at times potential consumers are attracted by information about products or services associated rather than searching actively. They then evaluate alternatives and choose the one that best fits their criteria for meeting the felt need. Finally, a transaction is conducted and post-sales services provided. Nigeria is a lucrative market even though the per capita income in Nigeria is low and it remains a huge market, even for costly products.With the ever-increasing penetration of internet and social media, the purchasing behavior of Nigeria consumers has changed dramatically. Urbanization is taking place in Nigeria at a dramatic pace and is influencing the life style and buying behavior of the consumers. Online trading platforms have emerged since this online shopping trend, creating avenues for buyers and sellers to interact and even act as middle men. These platforms are even a new wave of business. Such companies in Nigeria like Jumia and Konga are raking in an increasing level of profit yearly. Online shopping has grown in popularity over the years, mainly because people find it convenient and easy to bargain shop from the comfort of their home or office and it saves time. Some of the most enticing factors about online shopping is that it provides low and transparent prices, comprehensive assortment of goods and services and a much more convenient shopping alternative that has eliminated such traditional shopping inconveniences of squeezing through crowds, stuck in long queue at cashier counter, and battling for parking spaces at a busy mall.
In Nigeria and other African countries, a growing generation of young, internet-savvy individuals has embraced new, online technology. The International Telecommunication Union (ITU) has documented an increased internet penetration in sub-Saharan Africa. The numbers of users are still far below the world average of around 30%, but are increasing as Africans become more familiar and proficient with online shopping. Approximately 28% of Nigeria’s population has internet access according to ITU figures. E-commerce activities have expanded in Nigeria both due to the proliferation of mobile phones and availability of faster internet networks
1.2 Statement of problem
It has been almost two decade since business-to-consumer E-commerce first evolved. Scholars and practitioners of electronic commerce constantly strive to gain an improved insight into consumer behavior and attitude in cyberspace. Along with the development of E-retailing, researchers continue to explain E-consumers’ behavior from different perspectives. Many of their studies have posited new emergent factors or assumptions which are based on the traditional models of consumer behaviour, and then examine their validity in the Internet context.
(Butler and Peppard 1998) explained the failure of International Business Machine (IBM) sponsored web shopping malls by the naïve assumption of the true nature of online consumer attitude. A critical understanding of consumer attitude in the virtual environment, as in the physical world, cannot be accomplished if the factors affecting the purchase decision are ignored, misunderstood or misrepresented. For instance, online consumers’ concerns about lack of opportunity to examine products prior to purchase are regarded as the specific factor affecting the online buying decision. Therefore, several researchers proposed that consumers’ shopping behaviour in online shops may be fundamentally different from that in the traditional environment (Alba et al., 1997; Wineretal., 1997). If E-marketers intend - whether consciously or not - to ignore the fundamental truths about consumer attitude and behaviour due to this point, most of the promises of E-marketing in the business-to-consumer context will not be fulfilled. The Nigerian experiences in all these have been partially explored. (Ayo et al 2011) surprisingly asserted that in spite of the growth rate of internet marketing, consumers still assess business website only to source for information but yet make their purchases traditionally. Some possible factors causing this such as the quality of internet infrastructure in Nigeria was not tested by him. On the other hand, the recent work of (Chukwu&Uzoma 2014) provided scientific evidences to show that Nigerian consumer patronize online retailers very significantly. One wonders what is responsible for the noted changes. Furthermore the use of social media especially the facebook and twitter have been playing an important role but whether these have encouraged actual online purchases is yet to be scientifically determined. All these are issues begging to be resolved. The need to examine these issues so as to position e-marketers properly for service delivery, which will overall add to their contribution to the Nigerian economy, is therefore compelling.
1.3 RESEARCH QUESTION
The research questions to be examined in this research are as follows;
What is the attitude of consumers to online shopping?
What is the experience of consumers with shopping online?
What are the challenges consumers encounter with shopping online?
How have online shopping platforms affected buying behavior of consumers?
1.4 OBJECTIVES OF THE STUDY
The objectives of this study are;
To ascertain consumers attitude towards shopping online.
To ascertain consumers experience with online shopping.
To find out the challenges consumers encounter when shopping online.
To know how online shopping platforms have affected buying behaviour of consumers.
1.5 RESEARCH HYPOTHESIS
The hypotheses to be tested in this research are stated below.
Hypothesis 1
Ho: There is no significant difference in Consumers attitude to online shopping.
H1 : There is a significant difference in Consumers attitude  to on online shopping.
Hypothesis 2
Ho: There is no significant difference in Consumers experience with online shopping.
H1: There is a significant difference in Consumers experience with online shopping.
Hypothesis 3
H0 = There is no statistically significant difference in the type of challenges various consumers who shop online face.
H1= There is a statistically significant difference in the type of challenges various consumers who shop online face
Hypothesis 4
Ho: There is no significant difference in the way various online platforms have affected buying behavior of consumers.
H1: There is a significant difference in the way various online platforms have affected buying behavior of consumers.
1.6 SIGNIFICANCE OF THE STUDY
This study is expected to improve our understanding of online consumer attitude. In addition, some valuable insights on how to develop effective strategies to obtain success in the intensive electronic market place will be presented to E-marketers. If E-marketers know the factors affecting consumers’ online purchase decisions, and how consumers make these decisions, their attitude and experiences, then they can develop their marketing strategies to convert potential customers to real ones, and also to retain existing customers.
It is clear from the above that understanding the mechanisms of virtual shopping and the behavior of the online consumer is a priority issue for practitioners competing in the fast expanding virtual market place. Given the continuous expansion of the internet in terms of user numbers, transaction volumes and business penetration, this research endeavor to uncover various technicalities involved would be an indispensable tool for various stake holders in the sector.
        Finally, the study is an invaluable contribution in academics, where the results will add to the mass of scientific knowledge utilizable in training and further research.
1.7 SCOPE OF THE STUDY
This research work focuses on the attitude and experience of consumers to online shopping in the University of Benin, Benin City. Data shall be obtained from 200 consumers in the University of Benin using questionnaires. 100 questionnaires responses shall be solicited from the academic community on campus (which includes students and lecturers) and 100 from the non-academic community (which includes business owners, administrative officers, and others) on campus. The sampled consumers will be from various departments of learning, different levels of study, different religion, different age bracket, different background and also different gender.
1.8 LIMITATIONS OF THE STUDY
The major constraint limiting this study is time. Considering the number of online consumers in the University of Benin, Benin City, covering them all within the time frame for this research work will almost be a practical impossibility and a scientific exercise in futility.
However, In spite of this obvious challenges, the relevance of the study is not undermined as care will be taking in selecting a well representative sample of the population, in the methodology and empirical analysis also, and the overall study in general. The thrust, policy implication, business inference to draw, significance and the result of this study shall remain very useful as they will not be adversely affected by the constraint.
1.9 ORGANISATION OF THE STUDY
       This study is organized into five chapters. As already shown, chapter one is the introduction. Chapter two reviews the literature on online shopping and consumers attitude. In Chapter three, the methodology adopted in the study is discussed. Chapter four comprises data presentation, empirical analysis and the results thereof.
        Finally in charter five, we present the summary of our findings, the conclusions drawn and the necessary recommendations made.   

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Project Details

Department Business Administration and Management
Project ID BAM0736
Price ₦3,000 ($9)
Chapters 5 Chapters
No of Pages 81 Pages
Methodology ANOVA
Reference YES
Format Microsoft Word

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    Project Details

    Department Business Administration and Management
    Project ID BAM0736
    Price ₦3,000 ($9)
    Chapters 5 Chapters
    No of Pages 81 Pages
    Methodology ANOVA
    Reference YES
    Format Microsoft Word

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