online shopping habits-Chapter 4

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online shopping habits-Chapter 4

  1. 1. 24 CHAPTER-4 ONLINE SHOPPING HABITS AMONG STUDENTS AND TEACHERS: AN EMPIRICAL ANALYSIS 4.1 INTRODUCTION The population selected for the purpose of the study was students and teachers of St. Thomas College, Pala. A sample consisting of thirty students and twenty teachers were randomly selected and they were served the questionnaire. This chapter is an empirical analysis of the data thus collected. The response of the sample population is analysed here using different statistical tools. 4.2 ST.THOMAS COLLEGE - AN OVERVIEW St. Thomas College Palai was founded in1950 by the Diocese of Palai. It is one of the prominent higher education destinations in Kerala. It is affiliated to Mahatma Gandhi University and in 2010 UGC selected the college for College with Potential for Excellence status. The college offers fourteen Post Graduate Programmes and thirteen Under Graduate Programmes. Eleven departments of the college are approved research centers. Students all over the state seek education here. About 1800 students are studying here at present. The faculty strength of the college is about 140. The college has students belonging to various socio-economic backgrounds. However, majority of the students hail from middle class families. Teachers of the college are economically well placed and maintain a higher standard of living. Agriculture and business are the main sources of income for most of the families .Income earned from working abroad is also a major contributor to family income stream. Other than the income from parents lots of students earn a considerable amount by their own by doing part time jobs. Youngsters are a target group by business firms and they regularly make innovations and improvisations to attract youngsters. The situation is not much different in Pala also. Students spend a lot of money for purchasing various commodities and services. They look for the most convenient methods of purchasing and maximum consumer satisfaction. It has led a major portion to go
  2. 2. 25 for online shopping .Teachers are also trying to catch up with the changing trends. They possess a considerableamount at their disposal and thus form a strong consumer group. Thus the population under study will enable us to make some general conclusions which, we think, would be true for most of the similar situations and studies. SAMPLE DETAILS Table 4.1 Details of sample units Category No.of respondents Percentage Students 30 60 Teachers 20 40 Total 50 100 Source: primary data Out of the total sample, i.e., fifty, thirty were students which amounts to sixty percentage of the sample population and twenty were teachers who forming forty percentage of the sample. Figure 4.1 Source: primary data 60% 40% Details of sample population Students Teachers
  3. 3. 26 Table 4.2 Online shopping experience Category Conducted online shopping TotalYes No Students 17(57%) 13(43%) 30(100%) Teachers 8(40%) 12(60%) 20(100%) Total 25(50%) 25(50%) 50(100%) Source: primary data Among students 57% have conducted online shopping and 43% have never conducted online purchases. In the case of teachers only 40% has online shopping experience. When both the category is taken together coincidently 50% are online shoppers and the remaining 50% are non-shoppers. Table 4.3 Classification of respondents according to age Age category Students Teachers Online shoppers Non shoppers Online shoppers Non shoppers 18-21 10(59%) 5(38%) - - 22-25 7(41%) 8(62%) - - 26-30 - - 3 (37.5%) 2(17%) 31-40 - - 3 (37.5%) 3(25%) 41-50 - - 2 (25%) 5(41%) Above 50 - 2(17%) Total 17(100%) 15(100%) 8(100%) 12(100%) Source: primary data Among student online shoppers 59% lie in the age category of 18-21.Students of 22-25 are relatively less oriented towards online shopping than students of 18- 21.While coming to teachers the propensity to shop online is higher among those who belong to the age categories of 26-30 and 31-40.They are relatively young. Interestingly there are no online shoppers above the age of 50.
  4. 4. 27 Table 4.4 Classification of respondents according to sex Sex Students Teachers Online shoppers Non-shoppers Online shoppers Non shoppers male 14(82%) 6(46%) 8(100%) 12(100%) female 3(18%) 7(54%) - - total 17(100%) 13(100%) 8(100%) 12(100%) Source: primary data Among student online shoppers females account to only 18% of the total sample population. Among non-shoppers females form 54% of the total sample units. When the whole population is taken in to consideration only 30% of females have online shopping experience while 70% of males have experience of shopping online. The analysis is not relevant for teachers because there were no female teachers among the sample population. Table 4.5 Classification according to monthly income Monthly income (in Rs.) Students Teachers Online shoppers Non-shoppers Online shoppers Non-shoppers No. percentage No. percentage No. percentage No. percentage Less than2000 11 64.7 6 46.15 _ _ _ _ 2000- 5000 6 35.3 6 46.15 _ _ _ _ 5000- 10000 _ _ 1 7.7 _ _ _ _ 10000- 40000 _ _ _ _ 2 25 2 16.66 Morethan 40000 _ _ _ _ 6 75 10 83.33 Total 17 100 13 100 8 100 12 100 Source: primary data
  5. 5. 28 From the data it becomes clear that income does not have much influence on online shopping habits of people. Level of income among respondents who conducted online shopping is almost similar to those who did not conduct. Table 4.6 Frequency of doing online shopping during last one year Frequency No.of Students No.of Teachers Once 3(18%) - Twice 5(29%) 3(38%) Thrice 3(18%) 3(38%) Four times 2(11%) 1(12%) 5 and more 4(24%) 1(12%) Total 17(100%) 8(100%) Source: primary data 10% of the online shoppers have conducted purchases more than 5 times last year. But the frequency of shopping online was less than 5 times among 90% of the online shoppers. Table 4.7 Types of goods purchased by respondents Item No.of respondents TotalStudents Teachers Books 5(29%) 6(75%) 11(44%) Electronic gadgets 13(76%) 3(38%) 16(64%) Computer products 4(24%) 2(25%) 6(24%) Apparels 4(24%) 1(12%) 5(20%) Airplane/railway ticket 2(12%) 4(50%) 6(24%) Others 2(12%) 1(75%) 3(12%) Source: Primary data Electronic gadgets are the most popular item among online shoppers.64% of the shoppers has bought various electronic goods. It is followed by books with 44% and computer products with a popularity of 24%.
  6. 6. 29 Table 4.8 Problems while conducting online shopping Response No.of respondents TotalStudents Teachers Faced problems 7(41%) 2(25%) 9(34%) Didn’t face any problem 10(59%) 6(75%) 16(66%) total 17(100%) 8(100%) 25(100%) Source: primary data 34% of online shoppers have felt problems while conducting online purchases. To be more precise, 41% of student shoppers and 25% of teachers faced problems in the process of online shopping. Figure 4.2 Problems faced while conducting online shopping Source: primary data Interestingly the problem faced by 73% of the respondents was delay in service, the others being product damage and dispatch of wrong items. 73% 9% 9% 9% Delay in service Product damage Dispatch of wrong item Other problems
  7. 7. 30 Table 4.9 Reasons for not conducting online shopping Reasons Students Teachers No. percentage No. percentage Don’t know about online shopping 2 15.38 _ _ Risk of online transactions 3 23.07 3 25 Risk of identity theft 2 15.38 - - Haven’t felt the need 3 23.07 7 58.33 Other reasons 3 23.07 2 16.67 Total 13 100 12 100 Source: primary data Majority of the non-shoppers cited risk of credit card transactions followed by fear of identity theft as the major reasons for not conducting online shopping.23% of students and 58% of teachers have never felt the need of shopping through online. The table is better explained in the figure below. Figure 4.3 Reasons for not conducting online shopping 15.38 23.07 25 15.38 23.07 58.33 23.07 16.67 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Students Teachers Don't know about online shopping Risk of online transactions Risk of identity theft Haven't felt the need Other reasons
  8. 8. 31 Table 4.10 General purchasing habit of people Items No.of respondents Students (30) Teachers (20) Over the internet Over the phone A retail store Over the internet Over the phone A retail store Computer products 12(40%) - 18(60%) 4(20%) - 16(80%) Airplane/railway ticket 14(47%) - 16(53%) 8(40%) - 12(60%) Electronic gadgets 11(37%) - 19(63%) 3(15%) - 17(85%) Books/CDs 14(47%) - 16(53%) 8(40%) - 12(60%) Cinema tickets 1(3%) 9(30%) 20(67%) - 7(35%) 13(65%) Clothes 3(10%) - 27(90%) 1(5%) - 19(95%) Furniture - - 30(100%) - - 20(100%) Groceries - 2(7%) 28(93%) - 3(15%) 17(85%) Source: primary data The general purchasing habits of people are in favour of retail stores.The items which showed a trend in favour of online shops are purchase of airplane and railway tickets, electronic goods, books and computer products.People’s choices of different modes of purchase for various items are given in the above table.Nobody would purchase furniture and groceries through online including the online shoppers.
  9. 9. 32 Table 4.11 Use of internet among respondents Internet use Students Teachers Online shoppers Non shoppers Online shoppers Non shoppers No. percentage No. percentage No. percentage No. percentage Less than 1 hr. - - 9 69.24 - - 8 66.67 1-2 hrs. 4 23.5 2 15.3 3 37.5 4 33.33 2-3 hrs. 6 35.3 2 15.3 3 37.5 - - 3-4hrs 4 23.5 - - 2 25 - - More than 4hrs. 3 17.7 - - - - - - Total 17 100 13 100 8 100 12 100 Source: primary data From the data it can be inferred that people who shop online spend more time on internet than those who do not. 76% of online shoppers spend more than 2 hours daily on internet while 70% of non-shoppers spend less than 1 hour. Table 4.12 Internet proficiency of respondents Category No.of respondents students Teachers Online shoppers Non shoppers Online shoppers Non shoppers Novice - 3(23%) - 4(33%) Intermediate 5(29%) 8(62%) 5(62%) 7(58%) Advanced 12(71%) 2(15%) 3(38%) 1(9%) Total 17(100%) 13(100%) 8(100%) 12(100%) Source: primary data Proficiency of internet was found to be alike among both online shoppers and non-shoppers.36% of the respondents think that their internet proficiency is advanced while 50% consider themselves to be intermediate.Among the student respondents 47% have advanced knowledge of internet while 60% of teachers rank themselves as intermediate. However, non-shoppers lag behind online shoppers in the case of internet proficiency.
  10. 10. 33 Table 4.13 Habit of using information on internet prior to shopping Use of information No. of respondents Students Teachers Online shoppers Non shoppers Online shoppers Non shoppers Yes 17(100%) 7(54%) 8(100%) 5(42%) No - 6(46%) - 7(58%) Total 17(100%) 13(100%) 8(100%) 12(100%) Source: primary data It was interesting to note that 54% among student non-shoppers and 42% of teachers belonging to non-shopper categoryrefer to information on internet before conducting a purchase. Cent percent of online shoppers gather information from net prior to a purchase whether it is online or traditional. The table is better represented in the below figure. Figure 4.4 Habit of using information on internet prior to shopping Source: primary data 54 42 0 20 40 60 80 100 120 Students Teachers Online shoppers Non shoppers
  11. 11. 34 Table 4.14 People’s choice of purchasing various items online Item No.of respondents Students Teachers Yes No Total Yes No Total Cosmetics/jewelry 3(10%) 27(90%) 30(100%) 2(10%) 18(90%) 20(100%) CDs/Books 17(57%) 13(43%) 30(100%) 11(55%) 9(45%) 20(100%) Clothes/Shoes 15(50%) 15(50%) 30(100%) 3(15%) 17(85%) 20(100%) Household furniture 4(13%) 26(87%) 30(100%) 2(10%) 18(90%) 20(100%) Groceries 2(6%) 28(94%) 30(100%) - 20(100%) 20(100%) Electronic gadgets 18(60%) 12(40%) 30(100%) 12(60%) 8(40%) 20(100%) Hotel reservation 21(70%) 9(30%) 30(100%) 14(70%) 6(30%) 20(100%) Stocks/bonds 26(87%) 4(13%) 30(100%) 18(90%) 2(10%) 20(100%) Airplane/railway ticket 23(77%) 7(23%) 30(100%) 20(100%) - 20(100%) Computer products 17(57%) 13(43%) 30(100%) 8(40%) 12(60%) 20(100%) Source: primary data While asked if they are given a chance to conduct online shopping, what all commodities they would purchase most of the respondents responded in favour of CDS/books, Clothes, Electronic gadgets ,hotel reservation, stocks and bonds, and airplane/railway tickets. Majority of the respondents would not buy cosmetics, jewelry, household furniture, groceries, computer products etc. through online. The tendency to purchase online was among those who had previous online shopping experience. The non-shoppers were little bit hesitant about purchasing online. Table 4.14 explains people’s choice to different category of consumer items. Table 4.15
  12. 12. 35 Approximate amount spent on a single online purchase Amount Students(17) Teachers(8) No. percentage No. percentage Less than 1000 2 12 2 25 1001-3000 2 12 3 38 3001-5000 9 52 2 25 5001-1000 2 12 - - More than 10000 2 12 1 12 Source: primary data Majority of the student respondents (52%) spend 3001-5000 rupees on a single online purchase, whilemajority of the teachers spend 1001-3000 for a single purchase. Table 4.16 Approximate maximum amount spent in a year Amount students teachers No. percentage No. percentage 1000-5000 5 29 - - 5001-10000 8 47 4 50 10001-20000 1 6 2 25 More than 20000 3 18 2 25 total 17 100 8 100 Source: primary data Majority of the students and teachers spend 5001-10000 rupees annually for purchasing online. It was found that 50% of teachers spend more than 10000 for online shopping in a year. Table 4.17
  13. 13. 36 Factors attracting people to online shopping Factors No.of respondents Total(50)Students(30) Teachers(20) Time saving 26 (87%) 14 (70%) 40(80%) 7*24 hrs. accessibility 22 (73%) 12 (60%) 34(68%) Broad selection 19 (63%) 11 (55%) 30(60%) Accurate information 16 (53%) 8 (40%) 24(48%) Less monetary cost of shopping 25 (83%) 14 (70%) 39(78%) Provision of cash on delivery 22 (73%) 13 (65%) 35(70%) Source: primary data The major factors that attract people to online shopping are saving of time, less monetary cost of shopping, broad selection of goods, twenty four hours accessibility, etc. Table 4.18 Factors refraining people from online shopping Factors No.of respondents Total(50)Students(30) Teachers(20) Waiting to receive the product 11 (37%) 8 (40%) 19(38%) Risk of using credit card 19 (63%) 14 (70%) 33(66%) Fear of identity theft 17 (57%) 12 (60%) 29(58%) Difficulty in returning the product 24 (80%) 15 (75 %) 39(78%) Necessity of having a bank account 6 (20%) 3 (15%) 9(18%) Privacy loss 14 (47%) 13 (65%) 27(54%) Source: primary data
  14. 14. 37 Factors that mainly refrain people from online shopping are risk of credit card transactions, fear of identity theft , difficulty in returning products, privacy loss etc. Features that people think necessary for an online shopping sites These features were identified after seeking opinions from respondents and are ranked according to their preference. Ranking of online sites according to people’s choice These websites were identified as the most popular online retailing sites in India. The ranking is based on the choices of the sample population. These sites face stiff competition from some other emerging sites such as jungle.com, naaptol.com etc. 1.Privacy and secure check out 2.Credibility 3.Multiple payment gateways 4.Customer friendly 4.Design 5.Social networking integration 1.Flipkart.com 2.eBay.in 3.Jabong.com 4.Snapdeal.com 5.Yebhi.com
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