This document summarizes a research paper on online shopping behavior in Turkey. The paper studied over 900 online shoppers in Eskisehir, Turkey to understand their demographic traits and online shopping behaviors. It tested several hypotheses, including that frequent online shoppers are more price sensitive, auctions can lead to impulse purchases, and website loyalists prefer online shopping. The analyses found support for some hypotheses but not others. Factor analysis was used to reduce 24 variables measuring attitudes and behaviors into 7 components to analyze relationships between variables.
1. Online Shopping Behavior and Characteristics of Consumers in
Eskisehir, Turkey: Who, What, How Much and How Often?
Dr. Nuri Calık and Dr. N. Figen Ersoy, Anadolu University, Eskisehir, Turkey
ABSTRACT
This paper tries to bring about a better understanding of the online shopping behavior of consumers who
reside in Turkey. It attempts to draw a profile of them with respect to their demographic traits. The study consists of
three parts. The first part deals with the theoretical background based on literature review and summarizes past
research dealing with this phenomenon. Consumer online shopping behavior, perceived quality of the services
rendered by the establishments, risks attached to online shopping, mall and user characteristics, and the typology of
online shoppers are discussed in this section. The second part mainly discusses the survey of online shoppers, the
research model and the basic premises of the model, and the hypotheses formulated. The third part discusses the
outcomes of the analyses in terms of bivariate and multivariate tests and evaluates the relative attitudes of the
consumers with respect to their demographic traits. With these results, we try to bring forth the typology of such
consumers.
INTRODUCTION
Internet shopping in Turkey first started almost two decades ago with banking transactions. The ease and
comfort provided by the services rendered in these transactions attracted many consumers to Internet usage for
shopping purposes. A rapid growth is observed, in recent years, in the number of shoppers and malls where
consumers have started to satisfy most of their needs—from foodstuffs to durable goods and especially sophisticated
electronic equipment. Of course considerable risks are also taken with the widespread use of the Internet for
shopping purposes. But the majority of these risks are addressed by adding more security precautions (passwords,
digipasses, e-cards, firewalls, private information interrogations etc.). The major advantages of Internet shopping
for the consumers appear to be: price comparisons and lower prices, brand comparisons and extended product lines,
online communication facilities, prompt delivery and extended search capability.
LITERATURE REVIEW AND PRIOR RESEARCH
Consumer Online Search Behavior
The customer online search process, via Web directories, catalogues, databases and search engines, has
become a common practice within the last two decades. Kumar et al. (2005) tried to find out the liaisons between the
technological and behavioral aspects of consumer search performance where minimization of search costs is
targeted. Obtaining product information at a reduced cost provides the consumers more chances to judge price and
quality (product features, perceived qualities, performance, etc.) on a broader basis. Kumar et al. propose four basic
Web search types that consumers adopt. They are as follows (ibid, p.91):
Undirected viewing. Internet users do not start search with a pre-determined need.
Conditional viewing. User’s attention is directed specifically on a certain type of information, i.e. the information is directly related
to a pre-selected topic.
Informal search. Information is sought by the consumers to obtain a broader understanding and knowledge of a specific topic.
Formal Search. A specified and well-defined topic is targeted by the consumer to obtain specific information.
The research model developed by Kumar et al. simply relates dependent and independent variables in the
search process. User ability, search engine capability and search task appear as independent variables; and search
performance is identified by two different factors as search cost and user satisfaction stands out as a dependent
variable. In between, the search heuristic plays the role of moderating variable. These relationships can be visualized
more clearly in the diagram below (ibid, p.94):
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2. Figure 1. Consumer Online Search Model
User Ability
Search Engine
Capability
Search Task
Customer Perceptions and e-service Quality
Search
Heuristic
Search Performance
• Search Cost
• User Satisfaction
Electronic commerce, or e-commerce, is the concept that considers the subject matter from businesses’
point of view. The success of the companies who sell their products to a large extent on the Web is measured by
how the quality of these services is perceived and appraised by the consumers. Service quality is an abstract concept.
It is difficult to measure since it mostly mixed up with perception and varies with respect to the psychographic
constructs of consumers. The service quality is measured on a scale of a computer model developed by
Parasuraman, which yields satisfactory results on the measurement of e-service quality (Parasuraman et al., 1988).
E-service quality can be defined as “overall customer evaluations and judgments regarding the excellence and
quality of e-service in the virtual market place” (Santos, 2003). E-service quality dimensions, defined in a survey
carried out by Lee and Lin in 2005, are: website design, reliability, responsiveness, trust and responsibility. They are
related to overall service quality and customer satisfaction, which in turn leads to purchase intensions as depicted in
the following diagram (Lee and Lin, p.164):
Figure 2 E-service Quality Dimensions which lead to Purchase Intentions
Website design
Reliability
Responsiveness
Trust
Personalization
H1a
H1b
H2a
H2b
H3a
H3b
H4a
H4b
H5a
H5b
Privacy and Security Risks of Online Shopping
Overall service
Quality
Customer
Satisfaction
Purchase
Intentions
H6
H7
H8
Privacy and security risks of online shopping stems largely from accumulation of consumer-related
information and dissemination of it to those interested in this information. Companies’ efforts to decrease the actual
or perceived risks on the part of the consumers have been widely observed in recent years, especially in the banking
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3. sector. Miyazaki and Fernandez studied he relationships between Internet experience levels, risk perceptions and
online purchasing rates in 2001. They note the inverse relationship between the Internet experience and perceived
risk of online purchases, as well as the existence of concerns regarding the privacy and security of online purchases.
Secondly, they propose that the established methods for telephone and mail-order shopping is negatively correlated
with the perceived risk of conducting online purchases, together with the existence of concerns regarding the privacy
and security of online purchases. Third, the consumer rate of purchasing products online has reverse impacts on the
perceived risk of conducting online purchases and the consumer concerns regarding the privacy and security of
online purchases. All these proposed relationships are shown below (ibid, p.32):
Figure 3. Relationships Between Internet Experience, Perceived Risks and Online Purchasing
Internet Experience
Duration
Frequency
Remote Purchasing Method Use
Telephone
Mail-order
Risks&
Concerns
of Online
Purchasing
Mall and User Characteristics Affecting Online Purchase Intent
Online
Purchasing
Rate
Another important approach to online purchasing behavior is to find out the dominant attributes of users
and the shopping sites that have significant effects on purchase decisions. Malls on the Web, located in cyberspace,
have significant advantages over the traditional physical shopping malls. The greatest benefits for the consumers are
in terms of time and space. Consumers can make better price- and product-feature comparisons with less time and
effort. The quality of Internet shopping on the part of the business enterprises is explained by two main factors: the
information and computing systems of these enterprises and whether these systems enable smooth and quick access
to the required information and its comprehendible outlook; and supply of sufficient services to all intended
geographical locations (Kim and Shim, p. 26). Customer support is the second constituent of the Internet shopping
mall’s characteristics. The continuity of providing top-quality service, therefore building customer loyalty, is an
important aspect of the customer-support service. The essentials of customer-support service is summarized by Kim
and Shim as follows:
“Access possibilities such as help desks, FAQ service, e-mail contact, and feedback response time should be evaluated. Mail Web
pages should be customized in accordance with the customer profiles and offer personalized starting pages, and provide certain
customer groups with special service and easy-to-use keyboard functions (p. 27).”
Shopping mall recognition and security are the other two characteristics explaining purchase intent. Internet
shopping malls can attract the attention of consumers and possibly enhance their confidence by exerting more direct
influence on the consumers than do traditional shopping malls. Quick search and delivery options, product variety,
and easy-to-use features of a website all bring forth increased consumer confidence and therefore increased mall
recognition. Security is discussed in the previous chapter.
Kim and Shim discuss personal traits in two parts: “hedonistic purchase traits” and “practical pursuit traits.
Consumers visit online shopping malls not only with practical purposes in mind but also with emotional and
pleasure-based drives to satisfy their hedonistic needs. Internet shopping mall characteristics together with user
shopping traits affect purchase intent, as shown in the diagram below:
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4. Figure 4. Purchase Intent and Related Factors
Characteristics of Internet shopping mall
• Quality of the system
• Customer support service
• Shopping mall perception
• Security
User shopping traits
• Hedonistic purchase trait
• Practical pursuit trait
Typology of Online Shoppers
PURCHASE
INTENT
Studies on online shopper typology produced different results with respect to the contents of the studies
together with the difference in the geographical locations in which these surveys are conducted. Hamilton in 2000
classified the online shopping consumers into six main categories:
The Simplifiers. This type of consumer is the most feasible user of the Internet. Typical Internet use is limited to seven hours per
month on average, yet they account for half of all Internet transactions.
The Surfers. These consumers are dedicated users of the Internet. They spend one-third of their waking hours Web surfing. They
browse four times more than average, yet their transaction rate is much lower than that of the simplifiers.
The Connecters. These are relative newcomers to Internet usage and prefer mostly traditional face-to-face consumer experiences.
Bargain Shoppers. These consumers are keen on deals and bargains and they look for them on the Internet.
The Routine Followers. These people use the Internet mainly for information-seeking purposes.
The Sportsters. These sports fans use the Internet for sports and entertainment events and frequently visit specific sites.
RESEARCH MODEL AND HYPOTHESES
This field research was conducted in May 2007 in Eskisehir, Turkey, a large city with 500,000 inhabitants.
Over 1000 consumers were selected on a random basis using the Stratified Sampling Method, of which 930 were
found eligible to be included in the research project. Eighty senior students taking a “Marketing Research” course
were selected as pollsters and given extra credit for collecting reliable information. The respondents were required to
answer a total of 33 questions, of which 24 were of the five-point Likert scale type ranging from “1= strongly
disagree” to “5= strongly agree.” Two were nominal, one was ordinal scale-type and one was ratio type. Five were
nominal and interval-type demographic questions. The survey is restricted to online shopping; other motives for
Internet usage are excluded from the study.
Research hypotheses are listed as follows:
H1: The persons who purchase more items on the Internet are more price-sensitive than consumers who purchase less
items on the Internet. (PRICESENSITIVE NOOFITEMS )
H2 Auctions on the Internet lead people to impulse buying. (AUCTIONS- IMPULSEBUYING)
H3 : Surfers spend more time online, but buy fewer items. (FREQUENCY - NOOFITEMS)
H4: People who purchase specialty goods (watches, jewelry, electronics etc.) do more intense evaluation of brands and
make more price and quality comparisons than those who buy relatively cheaper items. (NOOFITEMS-EVALUATE;
NOOFITEMS- COMPARE; NOOFITEM- CHARACTERISTIC)
H5: Website loyalists prefer to purchase online rather than traditional-physical stores. (NOSWITCH-. PREFONLINE)
H6: Consumer demographic traits differentiate them significantly in terms of online shopping behavior.
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5. The variables used in the analyses and their explanations are as follows:
Table 1. Variables and Their Explanations
Variables Explanation*
EVALUATE Better chance of evaluating more brands in online shopping.
COMPARE Gets into the habit of comparing different brands before making purchase decision.
REACH Prefers to reach quite a number of brands in Internet shopping.
CHARACTERISTIC Takes a brand characteristic as a criterion and compare the other brands with respect to this characteristic.
ADVDISADV Considers the advantages and the disadvantages of a particular brand before purchasing it.
PRICCOMP Have the chance of making more price comparisons during online purchasing.
GETHELP Gets online help in qualifying and disqualifying of brands.
IMPULSEBUYING Frequently purchases brands on impulse.
PREFONLINE Prefers to purchase products online even that product is sold in traditional stores.
AUDIOVIDEO Buys audio and video CDs, VCDs and DVDs online.
AUCTIONS Often takes part in online auctions of brands of interest.
PRICESENSITIVE Is more price-sensitive while purchasing goods online.
PROMOTIONS Is more attracted to online promotions.
WELLKNOWN Prefers well-known brands while shopping online.
CONSPICUOUS Keeps in mind the most conspicuous feature while choosing a brand.
SEARCHENGINE Usually uses the same search engine.
FRUSEDITEMSMENU Generally uses "frequently used items" menu when connecting to websites.
BROWSE Prefers to browse photos rather than reading text material on websites.
POPUPS Likes to open ad pop-ups when visiting websites.
WEBADS Ads on websites draw more attention than TV commercials.
QUALICAR Prefers to browse websites to thoroughly learn the qualifications of a car rather than going to dealer.
QUALCOMP Prefers to browse websites to thoroughly learn the qualifications of a computer rather than going to a salesperson.
MINREQUIREMEN Declines to purchase a brand that does not meet the minimum requirements.
NOSWITCH Is reluctant to switch to a new website from a familiar one for shopping even if the former starts an ad campaign.
FREQUENCY Frequency of Internet usage: 1. More than one hour a day 2. Less than one hour a day 3. A couple of times
per week 4. One day per week or less 5. A couple of times per month
NOOFITEMS # of items purchased online in the last twelve months: 1. 1-2 items 2. 3-6 items 3. 7-14 items 4.
15-30 items 5. +31 items
MOSTPURCHASED Most purchased three items: 1. Computer products 2. Camera 3. Mobile telephone 4. Home electronics (TV,
DVD, music etc.)5. Kitchenware (refrigerator, dishwasher etc.) 6. health and beauty items 7. Furniture 8.
Watches, jewelry 9 Hardware, garden utensils 10. Car accessories 11. Automobile 12. Books, stationery 13.
Hobbies, games 14. Pet shop products 15. Clothing 16. Food 17. Computer games, toys 18. Sports products
19. Second-hand items 20. Other..(state)........................................
PAYMETHOD Payment method of Internet shopping: 1. Credit cards 2. E-cards 3. Mail-order 4. Bank or post remittance
5. Paid at the residence
AGE (ratio scale) 18-25 26-40 41-62 62+
GENDER(nominal scale) female male
OCCUPATION
(nominal scale)
wage or salary earner businessman self-employed professional or manager retired
housewife
EDUCATION(ordinal) Elementary High School College or university
INCOME (ratio scale) 0-600 USD/month 600-1200 USD/month 1201-2400 USD/month 2401-4800 USD/month 4801+
USD
* The attributes are inspired by Kau et al.
ANALYSIS AND RESULTS
Spss 13 package program is used in this survey where bivariate and multivariate analyses are utilized. All
relationships are tested at ρ<0.01 significance level. Factor Analysis reduced 24 scale variables into seven basic
components as stated below (table 2):
The hypothesis tests yielded the following conclusions (Chi Square Tests):
•H1 is sustained, where consumers who trade heavily online are significantly different than those who purchase a couple of items per
year (80 % vs. 32.9 %).
•H2 is accepted since high frequency of taking parts in online auctions is motivated largely by impulse buying (66.6 % vs. 31.0 %).
•H3: This hypothesis is rejected at significance level, since 85 out of 92 persons who purchase at least 15 durable goods per year
online spend at least one hour a day on the Internet.
•H4 is rejected, where conscious shoppers make price, quality and price comparisons with utmost care regardless of whether they look
for a precious item or a cheap item.
•H5 hypothesis is tested and accepted. It has, however, a diverse effect such as that two compared statements (variable) have
opponents (those disagree and strongly disagree) as well as those who are in favor of it (those who agree and strongly agree).
Although the average score of website loyalists is 30.6 %, the average score of those in favor of online shopping rather than
traditional shopping is 38.2 % (above the average).
•H6 hypothesis is supported in most cases with respect to consumer demographics and online shopping behavior, with respect to
consumer demographic traits that differ from other groups. Details are as follows:
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6. Table 2. Categorization of Consumer Attributes in Terms of Brand Choice: Gift-Giving and Brand Evaluation Behaviors
Component 1 Component 2 Component 3 Component 4
Ad Orientation Conscious Shopping Help Seeking Traditional Shopping
POPUPS .829* COMPARE .731 GETHELP .539 QUALCOMP .861
WEBADS .806 CHARACTE .695 QUALICAR .868
AUDIOVIDEO .566 ADVDISADV .619
PROMOTIONS .540 REACH .592
PREFONLINE .496 PRICCOMP .316
AUCTIONS .446 EVALUATE .190
Component 5 Component 6 Component 7
Conservative Shopping Impulse Buying Reluctant Purchase
WELLKNOWN .685 IMPULSEBU .706 MINREQUIRE .206
SEARCHENG .678
PRICESENSIT .560
CONSPICUOUS .414
FRUSEDITEMS .295
* Rotated Factor Scores
Scale Reliability (α) : Component 4: Traditional Shopping .819
Component 1: Ad Orientation: .779 Component 5: Conservative Shopping:.528
Component 2 Conscious Shopping. 511 Component 6: Impulse Buying: NA
Component 3: Help Seeking: .NA Component 7: Reluctant Purchase: NA
Overall Reliability: .766 Sample Adequacy (KMO test) : .795
AGE. Younger people:
prefer to reach quite a number of brands in online shopping
have the chance of making more price comparisons
frequently purchase brands on impulse
buy audio and video products online
make more price comparisons during online purchasing
prefer to browse websites to learn the qualifications of the product thoroughly rather than go to a dealer to buy a car or computer
use the Internet more frequently than elderly people.
purchase computer products more than elderly people.
use credit cards for payment more than elderly people.
Elderly people:
keep in mind the most conspicuous feature while choosing a brand
like to open ad pop-ups
purchase more items on the Internet
purchase cameras more than younger people
use bank or postal remittance for payment more than younger people
GENDER. Females:
decline to purchase a brand that does not meet the minimum requirements
purchase health and beauty items more than males
use house-payment method more than males
Males:
prefer to purchase products online even if those products are sold in traditional stores.
use the Internet more frequently than females
purchase more items online than females
purchase computer products more than females
use credit cards for payment more than females
are more reluctant than females to switch to a new website from a familiar one and start shopping there even if the former starts a
campaign
OCCUPATION. Self-employed Professionals or Managers:
prefer to purchase a product online even if that product is sold in traditional stores
prefer to reach quite a number of brands in Internet shopping
have the chance of making more price comparisons during online purchasing
frequently purchase brands on impulse
buy audio and video CDs, VCDs and DVDs online
are more attracted by Internet promotions
like to open ad pop-ups when visiting websites
use the Internet more frequently
purchase more items online
purchase computer products more than do those in other occupations
use e-cards for payment more than do those in other professions
Retired People:
purchase cameras more than do those in other occupations
purchase mobile phones more than those in other occupations
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7. Businessmen:
use credit cards for payment more than do those in other occupations
Housewives:
get into the habit of comparing different brands before making purchase decisions
Wage and Salary Earners:
prefer to browse websites to thoroughly learn the qualifications of the product rather than go to a dealer to buy a car or computer
EDUCATIONAL LEVEL. Elementary School-educated people:
purchase more cameras
purchase more mobile phones
High-school Level-educated people:
have the chance of evaluating more brands in online shopping
get into the habit of comparing different brands before making purchase decisions
prefer to reach quite a number of brands in Internet shopping
have the chance of making more price comparisons during online purchasing
prefer to browse photos or pictures rather than reading text material on websites
prefer to browse websites to thoroughly learn the qualifications of the product thorough rather than go to a dealer to buy a car or
computer
College or University Level-educated people:
prefer to purchase a product online even if that product is sold in traditional stores
get into the habit of comparing different brands before making purchase decisions.
prefer to reach quite a number of brands in Internet shopping.
take a brand characteristic as a criterion and compare the other brands with respect to this characteristic
have the chance of making more price comparisons during online purchasing
buy audio and video CDs, VCDs and DVDs online
prefer to browse websites to thoroughly learn the qualifications of a product rather than go to a dealer to buy a car or computer
use the Internet more frequently
purchase computer products more than do others
INCOME. High-Income Level people:
prefer to purchase a product online even if that product is sold in traditional stores
take a brand characteristic as a criterion and compare the other brands with respect to this characteristic
have the chance of making more price comparisons during online purchasing
buy audio and video CDs, VCDs and DVDs online.
often take part in online auctions of brands of interest
keep in mind the most conspicuous feature while choosing a brand
purchase more items online
purchase computer products and mobile phone more so than others
Middle-Income Level people:
get online help in qualifying and disqualifying of brands.
use the Internet more frequently
Low-Income Level people:
are more price-sensitive when purchasing goods online.
prefer to browse websites to thoroughly learn the qualifications of the product rather than go to a dealer to buy a car or computer
purchase cameras more than do others
LIMITATION OF THE STUDY AND FUTURE STUDIES
This study reflects only one aspect of the vast subject of “consumer online shopping behavior.” It tries to
categorize online consumers with respect to their demographic traits and the manner of their Internet usage. Social
and psychological motives are excluded and will have to be undertaken in future research.
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