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“A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND

CONSUMER SATISFACTION IN ONLINE SHOPPING AMONG


AMAZON AND FLIPKART WITH RESPECT TO AMRAVATI CITY ”

A Dissertation

Submitted By

MS. UNNATI A. SABLE

(MBA II yr)

Under The Guidance of

PROF. R. K. DHANUKA

To

“SANT GADGE BABA AMRAVATI UNIVERSITY, AMRAVATI”


In Partial Fulfillment of the Requirements

For The Award of Degree of

MASTER OF BUSINESS ADMINISTRATION

PRMIT & R

DEPARTMENT OF MANAGEMENT STUDIES (M.B.A.)


PROF. RAM MEGHE INSTITUTE OF TECHNOLOGY AND
RESEARCH, BADNERA-AMRAVATI
(2021)
A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND
CUNSUMER SATISFACTION IN ONLINE SHOPPING AMONG
AMAZON AND FLIPKART WITH RESPECT TO AMRAVATI
CITY

A Dissertation

Submitted By
MS. UNNATI A. SABLE
MBA II yr

Under the Guidance of


PROF. R. K. DHANUKA

To
Sant Gadge Baba Amravati University, Amravati

In partial fulfillment of the requirement for


the award of Degree of

MASTER OF BUSINESS ADMINISTRATION

PRMIT & R
Through
The Head
Department of Management Studies (M.B.A.)
PROF.RAM MEGHE INSTITUTE OF TECHNOLOGY AND
RESEARCH-BADNERA-AMRAVATI

(2021)

VIDARBHA YOUTH WELFARE SOCIETY, AMRAVATI


PROF. RAM MEGHE INSTITUTE OF TECHNOLOGY & RESEARCH
BADNERA-AMRAVATI
(Approved by A.I.C.T.E. and Govt. of Maharashtra, N.B.A. Accredited and
affiliated to Sant Gadge Baba Amravati University, Amravati)
Anjangaon Bari Road, Badnera-Amravati. 444701 (M.S.)
Ph.0721-2681246 Fax: 0721 - 2681337 web site: www.mitra.ac.in
(DEPARTMENT OF MANAGEMENT STUDIES-M.B.A.)

CERTIFICATE

This is to certify that the Dissertation entitled-

A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND


CONSUMER SATISFACTION IN ONLINE SHOPPING AMONG
AMAZON AND FLIPKART WITH RESPECT TO AMRAVATI
CITY

Submitted By
MS. UNNATI A. SABLE MBA
II yr.

In partial fulfillment of the requirement for the award of degree of M.B.A


(Master of Business Administration) to the Sant Gadge Baba Amravati
University, Amravati has been prepared under my supervision and
Guidance.

It is also certified that:


1. The Candidate has satisfactorily conducted the research work for not
less than one academic year.
2. The dissertation is of sufficiently high standard to warrant its
presentation for the examination.

PROF. R. K. DHANUKA
(Guide)
Prof.A.V.Deshmukh Dr.A.P.Bodkhe
(HOD) (PRINCIPAL)

Date-
Place-Amravati

Declaration
I (MS. UNNATI A. SABLE) hereby declared that this
dissertation is the result of my own Research work and the
same has not been previously submitted to any
examination of this University, or any other
University.
The Dissertation shall be liable to be rejected and/or
cancelled if found otherwise.

Date- MS. UNNATI A. SABLE


Place-Amravati (MBA II Yr)
PRMIT&R-MBA

ACKNOWLEDGEMENT
I take this opportunity to acknowledge the deep sense of gratitude towards
my Guide, Prof. R. K. Dhanuka, Assistant Professor, Department of
Management Studies-MBA, Prof.Ram Meghe Institute of Technology and
Rresearch,Badnera-Amravati.While working on this Dissertation, I faced
innumerable problems and practical difficulties, but the revered guide
proved to be my inspiration and sailed me through all the obstacles
impressing upon. I am gratefully indebted to him for his strainous efforts
and excellent Guidance from time to time during the entire course of
Dissertation work.
My sincere thanks to our Honorable, Principal, Dr.A.P.Bodkhe,
Prof.Ram Meghe Institute of Technology and Research, BadneraAmravati,
for their constant encouragement.
I wish to thank our Honorable, Head of the Department,
Prof.A.V.Deshmukh, for their Valuable Guidance and motivation. I would
like to thanks all the teaching and non teaching staff of Department of
Management studies for their valuable support.
I would like to thank my beloved parents & friends for their inspiration
and motivation provided by them in the due course of my Dissertation
work.
I would also like to extend my sincere thanks to all those persons who
provided their timely and much needed help directly and indirectly for the
completion of this Dissertation work.

Date- MS. UNNATI A. SABLE


Place-Amravati (MBA-II yr)
INDEX

Sr. No. Chapters Page No.

List of Tables

List of Graphs

ABSTRACT

Chapter 1 INTRODUCTION 1-14

1.1 An Overview Of Online Shopping


Behaviour

1.2 Features of Online Buying

1.3 Reasons for Online Shopping


Penetration

1.4 Reasons for Online Shopping


Penetration

1.5 Attitude Towards Online Buying

1.6 Online Buying Process

1.7 Impediments in Online Shopping

1.8 The Growth of Online Shopping

1.9 Company Profile

Chapter 2 REVIEW OF LITERATURE 15-20

Chapter 3 RESEARCH METHODOLOGY 21-25

3.1 Research Methodology


3.2 Research Problem Definition

3.3 Research Objective

3.5 Research Design

3.5 Data Sources

3.6 Data Sources and Method

3.7 Sampling

3.8 Data Analysis and Interpretation

3.9 Utility Of The Research

3.10 Limitations Of The Research

Chapter 4 DATA ANALYSIS AND 26-45


INTERPRETATION

Chapter 5 FINDINGS , CONCLUSIONS & 46-49


SUGGESTIONS

5.1 Findings

5.2 Conclusion

5.3 Suggestions

BIBLIOGRAPHY 50

APPENDCES 51-53
LIST OF TABLES

Table No. Table Name Page No

4.1 Gender wise distribution of respondents 26

4.2 Age wise distribution of Respondents 27


4.3 Classification on basis of educational 28
qualification

4.4 Classification on basis of Income Range 29

4.5 Classification on basis of use of Internet 30

4.6 Classification on basis of awareness of an online 31


shopping websites.

4.7 Classification on basis of shopping through e – 32


commerce websites.

4.8 Classification on basis of most preferred e – 33


commerce websites.

4.9 Classification on basis of way prefer for 34


payment

4.10 Classification on basis of user friendly of the e- 35


commerce websites which preferred the most

4.11 Classification on basis of expectation in a 36


shopping model.
4.12 Classification on basis of product varieties that 37
generally prefer buying through flifkart.

4.13 Classification on basis of How comfortable are 38


you with the features of flifkart.

4.14 Classification on basis of e – commerce would 39


get better in the future.

4.15 Classification on basis of e – commerce would 40


take place of physical store.

4.16 Classification on basis of Barrier to Purchase 41


through online shopping.

4.17 Classification on basis of online shopping is 42


better than shopping at store.

4.18 Classification on basis of compare price of 43


Flifkart products with different websites

4.19 Classification on basis of reason to choose 44


Flifkart for shopping

4.20 Classification on basis of satisfaction with the 45


service offered by Flifkart
LIST OF GRAPHS

Graph No. Graph Name Page No.

4.1 Gender wise distribution of respondents 26

4.2 Age wise distribution of Respondents 27


4.3 Classification on basis of educational 28
qualification

4.4 Classification on basis of Income Range 29

4.5 Classification on basis of use of Internet 30

4.6 Classification on basis of awareness of an 31


online shopping websites.

4.7 Classification on basis of shopping through e – 32


commerce websites.

4.8 Classification on basis of most preferred e – 33


commerce websites.

4.9 Classification on basis of way prefer for 34


payment

4.10 Classification on basis of user friendly of the e- 35


commerce websites which preferred the most
4.11 Classification on basis of expectation in a 36
shopping model.

4.12 Classification on basis of product varieties that 37


generally prefer buying through flifkart.

4.13 Classification on basis of How comfortable are 38


you with the features of flifkart.

4.14 Classification on basis of e – commerce would 39


get better in the future.

4.15 Classification on basis of e – commerce would 40


take place of physical store.

4.16 Classification on basis of Barrier to Purchase 41


through online shopping.

4.17 Classification on basis of online shopping is 42


better than shopping at store.

4.18 Classification on basis of compare price of 43


Flifkart products with different websites

4.19 Classification on basis of reason to choose 44


Flifkart for shopping

4.20 Classification on basis of satisfaction with the 45


service offered by Flifkart
ABSTRACT

What is that you do when you need to gift your parents or friends on their birthday or for
any festival? The majority of people today hop to the internet, browse through a few
websites that sell gift items like books, clothes, perfumes etc. and order one of them to be
dispatched to the person’s address. It takes just a few minutes at the maximum and a click!
Very few people today bother or even have the time to drive down in the heavy traffic to
some boutique and go through all the items there, hop on to a next one and so on and finally
select a gift and then go to the courier shop to parcel them off.

The growth of e-commerce industry has made lives easier for countless people. It’s not just
gifts but even everyday items like grocery and notebooks and pens that can be bought
online. Books, clothes, shoes, jewellery and accessories, travel tickets and hotel bookings
are some of the commonly purchased items online.

In looking over the challenges identified above, one certainly could ask, “So what is really
different about e-business?” Overall, the answer that firms have faced most of the
challenges identified in the past, and that this simply represents the latest iteration of these
challenges.

Organizations have faced the challenge of integrating autonomous businesses. A


Considerable literature has grown up around all of the problems in managing projects.

Any technology-based firm must deal with developing people skills among their Technical
managers, be they engineers, financial analysts, or software developers.

Managing across generations is certainly not a new issue. And both the job churn and the
ensuing talent shortage are inherent in any technological revolution. Thus, again, what’s
new? We argue that two factors distinguish managing people in an e-business today from
managing in a brick and mortar business.
A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

CHAPTER 1

INTRODUCTION

1.1 An Overview of Online Shopping Behavior

The internet has played a significant role in our daily life in that people can talk through
the internet to one who is actually on the other side of the Earth, can send email around the
clock, can search information, can play game with others, and even can buy things online.
Meanwhile, Internet shopping has been widely accepted as a way of purchasing products
and services. It has become a more popular means in the Internet world (Bourlakis et al.,
2008).

It also provides customer more information and choices to compare product and price, more
choice, convenience, easier to find anything online (Butler and Peppard, 1998). Online
shopping has been shown to provide more satisfaction to modern customers seeking
convenience and speed (Yu and Wu, 2007). On the other hand, some customers still feel
uncomfortable to buy online.

Lack of trust, for instance, seems to be the major reason that impedes customers to buy
online. Also, customers may have a need to exam and feel the products and to meet friends
and get some more comments about the products before purchasing. Such factors may have
negative influence on customer decision to shop online.

Online Customer behaviour is a complex construct and not easy to understand or to predict.
It is obvious that customers likely to get information online but prefer to make the actual
purchase offline. Even if they bought something over the internet, if the product is
defective, they preferred to hand it over to physical experts to get it repaired (Ward A.
Hanson and Kirthi Kalyanam, 2007). Of late, the internet is a new buying channel which
is preferred by many of the shoppers and decides whether to buy or not to buy online (Susan
G.Holl, 2012).

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

1.2 Features of Online Buying

There are some salient features of online buying. They are as follows:

i) Assortment can be unlimited-depending on the ability of the retailer to physically


deliver the products.

ii) Items are not on hold- someone has to deliver the product and it involves delays
and costs.

iii) On the net, a customer cannot touch or feel the product iv) Better information makes

the customer a better shopper.

v) Internet makes it easier to do comparison shopping and to compare prices from different
sellers.

vi) The customer has to plan ahead when he buys on the internet.

1.3 Reasons for Online Shopping Penetration

Middle-class population with spending power is growing. There is about 200 million of
middle-class population with good spending powers. These people have very little time to
spend for shopping. Many of them have started to depend on internet to satisfy their
shopping desires. The amount of customer spending through online buying has shown a
steady trend during the last few years.

1.4 Reasons for Online Shopping Penetration

Middle-class population with spending power is growing. There is about 200 million of
middle-class population with good spending powers. These people have very little time to
spend for shopping. Many of them have started to depend on internet to satisfy their
shopping desires. The amount of customer spending through online buying has shown a
steady trend during the last few years. The key enablers are given as under:

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

1.4.1 Increase in PC Penetration

India is comparatively a young nation with more than 50% of population with a median
age of 25 years. Young customers are Internet savvy and access it on regular basis. Battle
among online retailers is for the mind-share of customers (Madaan K.V.S, 2009).

1.4.2 Proliferation of Options

Growth usage of credit cards, cheques and cash on deliveries have prompted customers
even with low payment capacity to opt for online shopping experience.

1.4.3 Saves Time and Efforts

Now the customers are likely to spend money but have little time for their shopping list.
Ease of buying by spending little time is the prime factor prompting the buyers to purchase
online. It is a much better option in case of routine purchases.

1.4.4 Convenience of Shopping at Home

In addition to convenience online, retailing makes products available at places where it is


not available otherwise. It is time independent. Customers can access merchandise
24x7x365.

1.4.5 More Variety of Merchandise

Though optimum utilization of space is an issue in online retailing, it does not face space
constraints like physical stores. So, more choices can be actually offered to customers.
India plaza is carrying over thousands of Stock Keeping Units (SKU) spread over 27-28 of
product categories (Christopher Lovelock and Lauren Wright, 2002).

1.4.6 More Economical Prices

Online retailers tend to ensure that products are available at prices lower than that of
market. E-retailers can use price discrimination in an efficient manner (Singh.K.D, 2012).

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

1.4.7 More Detailed Information about the Products

Though human interface and spontaneous response to customer queries are not there in
cyberspace, more detailed and accurate information about the products can still be found
on the online stores.

1.4.8 Better Comparison of Brands and Products

Websites such as flipcart.com, amazon.com make the process of comparing, buying and
receiving books that are interesting, convenient, and easy to use.

1.4.9 Search Option

With web search capabilities (which need further development) it is easier to find the
particular types of goods required by a customer. The customer decides what he wants to
buy rather than the retailer offering what he wants to sell. This ultimately translates into
customer empowerment.

1.4.10 No Real Estate Costs

E-retailers do not have to maintain expensive showrooms or warehouses in prime locations:


they operate through their websites and thus, save drastically on the real estate costs. The
real estate costs in the metropolitan cities are sky high. Besides this, maintenance costs of
a virtual store vis a vis a physical store is much less.

1.5 Attitude Towards Online Buying

Customers‟ Attitude toward online shopping has gained a great deal of attention in the
empirical literature. It is believed that Customers‟ Attitude will affect the intention to shop
online and eventually whether a transaction is made. It refers to:

i) The Customers‟ acceptance of the internet as a shopping channel,

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

ii) Customers‟ attitude toward a specific inter store (i,e., to what extent customers
think that shopping at this store is appealing).

Following are the Customers attitude towards online buying:

1.5.1 Intention to Shop Online

Customers‟ intention to shop online refers to their willingness to make purchases in an


internet store. Commonly, this factor is measured by Intention to Shop online:
Customers‟ willingness to buy and to return for additional purchases. The latter also
contributes to Customer loyalty. Intention to Shop online: Customer‟s intention to shop
online is positively associated with the Attitude towards internet buying which influences
their decision-making and purchasing behavior. In addition, there is evidence of reciprocal
influence between the intention to shop online and customer satisfaction.

1.5.2 Online Shopping Decision Making

Online shopping decision-making includes information seeking, comparison of


alternatives, and choice making. The results bearing on this factor directly influence the
customers‟ purchasing behavior. In addition, there appears to be an impact on user‟s
satisfaction.

1.5.3 Online Purchasing

This is the most substantial step in online shopping activities, with most empirical research
using measures of frequency (or number) of purchases and value of online purchases as
measures of online purchasing; other less commonly used measures are unplanned
purchases.

Online purchasing is reported to be strongly associated with the factors of personal


characteristic vendor/service/product characteristics, website quality attitudes towards
online shopping, intention to shop online, and decision making.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

1.5.4 Customer Satisfaction

It can be defined as the extent to which customer‟s perceptions of the online shopping
experience confirm their expectations. Most customers form expectations of the product,
vendor, service, and quality of the website that they patronize before engaging in online
shopping activities. These expectations influence their attitudes and intentions to shop at a
certain Internet store, and consequently their decision-making processes and purchasing
behavior. If expectations are met, customers achieve a high degree of satisfaction, which
influences their online shopping attitudes, intentions, decisions, and purchasing activity
positively.

1.6 Online Buying Process

A general purchase model has been proposed to help the companies design strategies for
online marketing, advertising and selling. This process model consists of almost all of the
online activities that a customer may perform during a purchase. However in practice, some
of these activities may be performed offline in some cases where digitization is not feasible.

The purchase process model consists of seven activities that can be grouped into three
phases namely pre-purchase phase, purchase consummation and post-purchase interaction.
Although each customer has a distinct way of purchasing and district criteria for making
online buying decision, some generalizations can be made for understanding the broad
customer dynamics. Each of the customers purchasing phase in detail, which are as follows:

1.6.1 Pre-Purchase Preparation

The Pre-Purchase preparation phase includes the search for the product(s) in question in a
larger information space based on some customer criteria and attributes. The search on
attribute comparison is based on the prices, discounts, delivery terms, etc.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

1.6.2 Customer Information Search Process

The pre-purchase preparation or the search for the right product often involves some
prepurchase deliberation on the part of the customer. This may be defined as the elapsed
time between the customers‟ first thought of buying the product and the actual purchase
itself. The extent of pre-purchase deliberation may vary depending on the customer
(impulsive, patient or analytical), the product and the purchase situation.

It is during this pre-purchase period that customers look for information on variables that
are important in the purchase decision. It is for the companies and marketers to tap the
prospective customers during the deliberation period by designing and creating suitable
online shopping environments. For this they need to focus on questions such as:

i) How much time the buyers spend on their purchasing decisions with respect to various

products? ii) What are the factors that affect the customer decision time?

iii) What is the right shopping environment that keeps customers happy and wanting to

return? iv) What are the processes/trends that customers mostly rely on for informational

search?

v) Whether customer shopping is planned with a utilitarian or a hedonic aim?

1.6.3 Product Selection and Negotiation Process

The next step after customer information search is the product selection based on various
attributes. Here the intermediaries called information brokers play a vital role. Information
brokers are needed for three reasons namely comparison shopping, reduced search costs,
and integration.

Comparison shopping agents provide a comparative analysis of the product from various
sources/vendors in terms of price, delivery terms and product attributes, thus helping the
customers in selecting the best buy. Some comparison agents may focus on products

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

attributes based on customer choices/criteria while for others the lower price may be sole
aim. Intermediaries or information brokers also perform the function of service integration.
For example, an intermediary may integrate the functions of providing information on
products to customers, negotiating the terms with the manufacturer, accepting the orders
and payments and also the delivery of the product.

1.6.4 Purchase Consummation

Once the products to be purchased have been identified, a transaction is carried-out between
the buyer and the seller. The transaction consists of an exchange of information between
the buyer and the seller for the negotiation of terms, confirmation of order, payment, and
delivery of products/services. Depending upon the degree of digitization of the delivery
and payment, the transactions under different situations may be different.

The buyer contacts the seller with a request to buy. This may be through the website of the

vendor, e-mail or telephone. ii) Vendor quotes the price, if a customer requests. iii) Buyer

and seller may enter negotiations on the price and other terms.

iv) Once the terms have been decided, the buyer authorizes payment to the vendor.
This may be through encrypted credit card number or online smart card payment or
electronic cash.

v) The vendor contacts the appropriate payment institution for the verification of the
payment authorization.

vi) The payment institution approves the payment and gives the vendor a green signal
to carry-out the delivery.

vii) The vendor informs the buyer the details of delivery in case of physical delivery or
delivers the product electronically for the digital products.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

viii) Buyer sends vendor the receipt of information or products. In turn, the vendor tells

the payment institution to complete the transaction. ix) The payment institution bills the

buyer either at once or periodically.

The companies or marketers design strategies for the best online services to the
customers/buyers. This may be achieved through interactive and user friendly from for
purchase requests, payment details, delivery details, etc. Also if the vendor is accepting
online payments, it should be in a position to accept payments in any form-credit card,
ecash, smart cards, etc., for the convenience of the users. This will also aid in increasing
the customer base of the vendor.

1.6.5 Post-Purchase Interaction

Post-Purchase Interaction between the buyer and seller mainly consists of customers
service issues. These may involve issues as product installation/use, information or related
products, service requests, products enhancements, etc. To deal with the postpurchase
interaction phase, the companies‟ marketers need to set-up online helpdesks for quick
service to the customers.

1.7 Impediments in Online Shopping

Major reason that impede customers from online shopping include unsecured payment,
slow shipping, unwanted product, spam or virus, bothersome emails and technology related
problems. E-retailers should be aware of such major problems which lead to dissatisfaction
in online shopping.

1.7.1 Issues related to Customer Service, Distribution and Logistics

On-line buying tends to facilitate the business transactions but unless the transaction
involves a digital product such as, software or music, etc., due emphasis should be given
on prompt and smooth delivery of the products. Majority of E-retailers focus on significant

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

marketing efforts to attract customers, in order to execute transactions but tend to follow
through and ensure a smooth delivery to the customer.

The companies can also use the web to enhance the customer experience by allowing the
customers to track the status of the transaction. So, it is not simply a case of allowing for
delivery but enhancing the delivery experience with the web.

1.7.2 Issue related to the Mode of Payment

In the online medium, credit card transactions are fast and are becoming the preferred mode
of payment. Credit card providers take a percentage of the transaction, and this may

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

be higher for the web than for a traditional retail store. The high transaction cost is
perceived, as a risk premium because the E-retailer cannot capture the signature of the
purchaser, to remove any possibility of credit card misuse in the online environment.
Emerging payment media include Smart Cards, Paypal, Verisign, etc. for the online retail
markets to grow to their full potential.

1.7.3 Personalization versus Privacy Issues

In an online environment, there is a conflict between the need for privacy on the part of the
customer and the need to be able to personalize the offering on the part of the Eretailer
(aimed at providing a better experience to the customer). Finding an equilibrium between
the two is tricky. E-retailing solutions that can simultaneously address both the issues can
make a significant impact on the growth of this segment.

1.7.4 Security Issues

Security issues hold the centre stage when it comes to customer concerns while shopping
through the online media. A lack of trust and privacy concerns prevents a lot of customers
from making online purchases. Customers are also concerned with the use of their data
provided during the online transactions.

1.7.5 Issues related to the Portal Design

Portal design plays a critical role in on-line buying. The overall design of the portal has
been an issue as web designers often fall short of understanding this medium and its
capabilities. A common problem about to be finalized, Shopping cart technology is used to
facilitate the online transaction process.

1.7.6 Issues Related to the Ease of Access

A Majority of customers still find the medium of internet difficult to access and use. The
adoption of broadband has been slowed-down due to the last-mile connectivity issues. This
has put a limitation on the ability to design the right e-retailing environment to encourage

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

online transactions. The customers using the online shopping channel should be assured
that the product that they have ordered would reach them in due time. For this the retail
companies have resorted to private guaranteed courier services compared to postal services.

1.7.8 Lack of Touch and Feel

Another reason why the concept of e-retailing or online has not gained prominence in India
is that the Indians prefer to touch the products physically before buying them. This facility
is provided through the multi-brand outlets, not available online. Studies have revealed the
preferences of the customers towards the traditional shopping methods. Hence, the retailer
online should first make it a point to spot the potential customers and accordingly plan-out
the product.

1.7.9 Legal Issues in a Global Business Environment

On-line buying extends beyond the national boundaries and connects a global audience.
Rules for commerce and its legal framework have evolved within the geographically
limited national and state borders. To facilitate the growth of on-line buying, a legal
framework needs to evolve that makes sense for a global marketplace (Magg et al., 2006).
This is perhaps the most challenging aspect to overcome in order to help the growth.

1.8 The Growth of Online Shopping:

Indian e-commerce market has grown up at a combined annual rate of 30% since 2009, and
is anticipated to be around Rs 111600 crores opportunity by 2015. The conclusion a part
of report Indian e-commerce tip of the iceberg, by Macquire Equities analysis on rising
web inhabitants, over three hundred million social class population, growing mobile access
and small ranks of online shopping movement. Compared to the India‟s on-line shopping
business continues to be in its babyhood. Ecommerce contributes solely zero. The 6% of
the country‟s value vs 1-3% for other countries, with only 12 tone music of India‟s on-line
population transacting online vs sixty fourth for the United States and over five hundredth
for China. The growth can additional be brings out by firms entering into for public listing.

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The character of Indian e-commerce is additionally totally changed. Travel has the big
share of 71 of Indian e-commerce market; however e-tailing has grown up the quickest, at
a 59 CAGR between 2009 -2013 to succeed in e-commerce market. India‟s ecommerce
business continues to be in its babyhood, compared to the west. However we tend to judge
that it should become a much more a piece of the complete trade creation than within the
west.

A number of young Indians, on-line shopping might become their key thanks to such during
their lives. Whenever necessary chance like e-commerce gift themselves, several market
contributors compete sharply to do to come out as undisputed leaders to realize brand
recognition and client loyalty, and often players amendment their trade sculpt on the thanks
to raise with the e-commerce market. Two chief industry associations created separate
reports on e-commerce in India for the period of the year 2000-2001. One of them was
prepared by the Confederation of Indian industry (CII), whereas the opposite was specially
made by the NASSCOM both the reports are hopeful about the expansion of e-commerce
in India. The Confederation of Indian industry (CII) report estimates the volume of e-
commerce to grow to Rs.500 billion in the year 2003. The NASSCOM report, on the other
hand, estimate for identical year that the total volume of e-commerce was Rs.1950 billion.

AMUL, Anand Milk Union Limited was formed as a cooperative dairy in the small town
of Anand in 1946. Anand Milk Union Limited is the largest manufacturer of Milk and Milk
Products in India. By using e-commerce AMUL milk cooperative, is lucratively to expand
its brand reliability. Likewise, in the automotive sector corporate are raising their client
dealings through this intermediate. A quantity of the fresh names that square measure
rediscovering e-commerce during fresh entry at relatively small capital cost, while not
project capital supply. In the recent years the budding use of the internet and small price of
the computer has exposed the marvellous expansion of e-commerce in India.

India is its first phase of development, as compared to the western countries. E-Market
forecast that on-line auction can over double by reaching $168.7 billion in 2011. As per the

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Indian e-commerce report released by Internet And Mobile Association of India (IAMAI)
and Payments Council of India (PCI) the digital expenses business is normally to raise at a
rate of 40% to achieve Rs 120120 crores by December 2014 which was pegged at Rs 85800
crores in December 2013.

1.9 Company Profile – Flipkart

Type of business Private, subsidiary

Type of site E-commerce

Available in English, Hindi, Tamil, Telugu, Kannada, Marathi

Founded 2007; 14 years ago

Headquarters Singapore (legal domicile) Bengaluru, Karnataka, India


(Operational Headquarters)

Area served India


Founder(s) Sachin Bansal, Binny Bansal

Key people Kalyan Krishnamurthy (CEO)

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Flipkart is an e-commerce company headquartered in Bangalore, Karnataka, India, and


registered in Singapore. The company initially focused on online book sales before
expanding into other product categories such as customer electronics, fashion, home
essentials, groceries, and lifestyle products.

The service competes primarily with Amazon's Indian subsidiary and domestic rival
Snapdeal. As of March 2017, Flipkart held a 39.5% market share of India's e-commerce
industry. Flipkart has a dominant position in the apparel segment, bolstered by its
acquisition of Myntra, and was described as being "neck and neck" with Amazon in the
sale of electronics and mobile phones. Flipkart also owns PhonePe, a mobile payments
service based on the Unified Payments Interface.

In August 2018, U.S.-based retail chain Walmart acquired an 81% controlling stake in
Flipkart for US$16 billion, valuing Flipkart at around $20 billion

History

Flipkart logo used from 2007 to 2015

Flipkart was founded in October 2007 by Sachin Bansal and Binny Bansal, alumni of the
Indian Institute of Technology Delhi and former Amazon employees. The company
initially focused on online book sales with country-wide shipping. Flipkart slowly grew in
prominence and was receiving 100 orders per day by 2008. In 2010, Flipkart acquired the
Bangalore-based social book discovery service WeRead from Lulu.com.

CHAPTER 2

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REVIEW OF LITERATURE

Day & Landon, (2017) explained that, Sometimes strategies of online marketers are not
according to the online shoppers, so that they are not satisfied with the delivery system of
online shopping.

Crawford, (2017) in his study, said that the traditional customer behavior shopping has its
own model, where firstly they identify the problem, get the information, search the
alternative, then purchase.

Dubrovski, 2015 said that internet marketing having so much of alternative available to
customers where the can screen the items & services and avail them.

George 2016 used theory of planned behavior (TPB) to develop a model for customers‟
online purchasing behavior. A strong correlation between how trustworthy an individual
finds on the internet and how positive an individual's attitude is towards online purchasing
and that an individual's attitude towards online purchasing has strong effect on the intention
to make them purchase by internet is highly supported.

Vyas and Srinivas (2018), in their study stated that majority of the internet users were
having Positive behaviors towards online shopping. There exists a need for developing
awareness about customers‟ rights and cyber laws.

Ahasanul Haque& Ali Khatibi, 2017 in this, Customers like online shopping, because it
saves time because no need to go anywhere. By rapid access customers get information
quickly. It removes of physical appearance.

Miyazaki and Finandez (2015) made an attempt to explore the relationship among the
internet experience levels, risk perception and online purchasing rates. They analyzed that
higher level of internet experience could lead to lower risk perception regarding online
shopping, fewer concern regarding system security or fraud and more concern regarding
privacy, customer participation on another remote purchase methods related to lower risk

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perception regarding online shopping. It was concluded that higher internet experience and
the use of other remote purchasing methods were related to lower levels of perceived risk
towards online shopping which could result in higher online purchase rates.

Smith and Alan (2019) in their paper observed that over years, the internet has provided an
inexpensive and efficient way for companies to create an additional electronic sales channel
to market their products. Like any marketing channels, the goal is to increase sales and one
method that delivers content that is relevant to electronic commerce termed as e-
personalization. The current E- commerce channels can be enhanced through the use of
personalization techniques provided that companies with the products, contents and
information them alive. However, privacy and accuracy of personal information plays an
important role in personalized contents which has raised the questions of government
intervention in to the realm of e- personalization.

Sita Mishra (2017) in his paper he empirically studied a sample size of 200 Internet users
in Delhi. From this study he explained that customers have positive attitude towards online
shopping. The analysis revealed that in null hypothesis that the age and income do not have
significant association with customer purchasing attitude.

The study concluded that the customers with higher income do online shopping more and
also found that the respondents having different age groups demonstrate different attitudes
towards online shopping. Finally, he said that convenience and technological advancement
plays a major role in online shopping.

Delafrooz, Narges et al. (2014) analyzed that customers‟ attitude towards online shopping
are affected by four main factors. Those factors are utilitarian orientation, convenience,
price and wider selection. He discussed that there were three more things which were
personalities of customers, online shopping perceived benefits and promotions of shopping
sites.

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Saprikis, Vaggelis et al. (2015) analyzed the perceptions of Greek university Students on
online shopping in terms of demographic profile, expectations of online stores, advantages
and problems related to online purchases. He found that there were lot of differences
regarding online purchases between various customers

depend upon their behaviors. The results showed significant differences between the two
groups of customers, who were involved in the online shopping and who were not
interested in online shopping. Interested customers were having higher expectations from
e-marketers on issues related to privacy policy and risk. The differences found were related
to perceptions on benefits and problems of online shopping.

Syed et al. (2018) analyzed that there were four key factors which affected the young
customers‟ perceptions towards online shopping that those factors were website design,
website reliability, customer service and privacy. The very important factor that was affect
customers behavior towards online shopping was trust, reliability which is everything for
the buyers.

Asakawa and Okano (2017) analyzed the factors influencing customers‟ perception of
online shopping and explained that were convenience, anxiety regarding security and poor
navigation. He found that convenience had a positive influence on online shopping whereas
anxiety regarding security and poor navigation had a negative influence.

Shergill and Chen.(2015), discussed the relationship between the factors affecting the
buyers‟ behavior towards online shopping and the type of online buyers that were website
design, website reliability, website customer service and website security or privacy.

Adams et al. (2014) discussed the underlying factors related to personal online shopping in
the workplace. The reasons for online shopping at work that were boredom, connection
speed, convenience, work life balance, efficiency etc. In their study they found that
Americans were more found of shopping online at workplace than Canadians. So the main
reason that they realized was faster connection.

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Changchit (2016), examined the perception of customers towards online shopping and the
various factors which were perceived differently by the groups of customers. Those factors
were past experience with online shopping, perceived risk with online shopping, perceived
benefits of online shopping, perceived uncertainty of online shopping and perceived ease of
online shopping.

Bhatnagar, Misra and Rao (2011) calculate how demographics, wholesaler service item
characteristics, and web site value influence the shoppers, their approach towards online
looking and accordingly their on-line shopping for performance. There are three division
of TV looking including home looking infomercials, networks and therefore the short form
industrial (Agee & Martin, 2011). Lack of trust is one of the foremost commonly cited
reasons for shoppers not looking on the web (Lee and Turban, 2001).

Carol & Jay (2002) specified that shoppers United Nations agency leaf through or acquire
on the web had completely different awareness of convenience. Shoppers doubtless need
to buy within the store locating and discard multiple types of non store looking. Others
wish to browse numerous non store media and have comprehensive their browsing to the
web, yet preserve their loyalty to in store purchases. The Internet symbolize a
internationally network linked of computers providing individuals, corporations and
businesses, instructional establishments, governmental organization and countries the
flexibility electronically to speak (E-Marketer, 2002).

Kim and Park (2013) in a very study "Identifying key factors distressing customer purchase
behavior in looking situation" investigated the relationship between completely different
characteristics of online looking and customer purchase trends.

Jongeun Kim (2012) explored the approaches of respondents towards getting product on
internet. the aim of the study was to steer round the variations among four potential teams
of internet users the non web user, the user UN agency solely visits internet stores without
purpose to shop for, the internet browser UN agency has AN aim to buy online still has not
at all done thus and therefore the one who has created an online buy.

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The relevant market structures and therefore the distinctiveness of the merchandise in
question to begin of the patron decision chain are going to be influenced by the place.

Customers' angle towards on-line looking may be a well-known issue touching actual
shopping for trends.

Research summarized by E-marketer (2015) showed that the internet applied a superior
influence than for offline media for natural philosophy compared thereto wear, beauty or
home perfection as would be expected. Net selling has modified the method folks obtain
and sell good and service.

Rose Sebastianelli, Nabil Tamimi and Murli Rajan (2017) studied the North American
people online customer‟s awareness concerning the excellence of online looking
experiences. With the study whether or not the prevalence with that they buy product online
and therefore the sorts of product they purchase concern their perceptions of net distributor
superiority. Within the study, the standard of on-line looking is measured employing a set
of things that symbolize four phases encountered once looking via the Internet:

(1) The Retailer‟s Homepage

(2) Online Product Catalog

(3) Forms

(4) Client Service and Support.

Lian and lin (2008) studied the four completely unusual product that enclosed Books,
online magazines, TV recreation computer games and system. The study point out that
person privacy issues harmfully influenced client approaches toward for books online
shopping. The systematic consequences point out confidentiality issues harmfully affected
approach toward online purchases of Television recreation systems. For online magazines
and news, solely item participation considerably and completely influenced approach

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toward getting trends. The professed internet safety and merchandise participation were set
up to completely have an effect on attitudes toward online purchases of computer games.

Norazah Suki and Norbayah Suki (2019) performed a study on „Cellular Phone Users
enthusiasm to buy Online‟. As per study recommended marketers ought to provide a lot of
on enticing promotion such as advertisements or is counts through the online.

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CHAPTER 3

RESEARCH METHODOLOGY

3.1 Research Methodology

The present study is carried out to know customer awareness towards online shopping in
Amravati city. Methodology of the research includes primary and secondary data through
interview, observation, and online information.

Research is a systematic activity to achieve the truth. Research includes the procedure of
collecting data, analyzing the data and finding the conclusion or truth. Research depends
upon the scientific procedure. Research methodology is a way to systematically solve the
research problem. It may be understood as a science of studying how research is done
scientifically. Research methodology involves activities designed to achieve research
objectives. In order to ensure that the appropriate information is collected, a detailed
research plan must develop.

3.2 Research Problem Definition

The planet earth is experiencing the impact of the developments and products of Science
and Technology. One of its main contributions is online shopping. Online shopping is an
emerging, innovative and interesting area in marketing. Today‟s customers are so comfort
seeking and demands everything in their place itself. Online shopping best fit the present
customer‟s requirement.

So to understand customers awareness it is desirous to study the research problem referred


as “A STUDY ON ANALYSIS OF CUSTOMER BEHAVIOUR TOWARDS ONLINE
SHOPPING WITH FLIPKART SITE”

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3.3 Research Objective

• To study present status of online shopping in Amravati city.

• To analyze the factors those affects customers attitude towards online shopping in
Amravati city.

• To study factors motivates customers attitude towards online shopping through


flipkart Amravati city.

• To study potential for development of online shopping in Amravati city.

• To know the most preferred sites for online shopping.

3.4 Research Design

A research design is the arrangement of condition or collecting and analysis of data in


manner that aims to provide relevance to the research purpose with economy in producer.
It constitutes of decisions regarding what, where, when, how much, by what means a
research study could be carried out. research design is a master plan or model for conduct
of formal survey.

A research design specifies the method and procedure for concluding a particular study.
Research design can be grouped into three categories exploratory research, descriptive
research and hypothesis testing.

3.5 Data Sources

Primary Data:

Primary data: Data collected by the investigator himself/ herself for a specific purpose.

If the investigator collects the data originally for the investigation this data is called as
“Primary Data”

Primary data is collected through,

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● Personal interviews

● Observation

● Questionnaires

● Official records

Secondary Data:

Secondary data refers to data that was collected by someone other than the user. Common
sources of secondary data for social science include censuses, information collected by
government departments, organizational records and data that was originally collected for
other research purposes.

If the investigator does not collect the data originally but uses data collected by other,
investigator or agency and available or unpublished form this data id called as
“Secondary Data”

Secondary data is collected through

● Books

● Magazines

● Internet

● Journals

● Websites

3.6 Data Sources and Methods

The study is based on both primary data and secondary data. The primary data has been
collected by using a questionnaire and the secondary data has been collected from both
magazines and the internet.

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3.7 Sampling
Sampling means it consists of what is sampling unit, sample size and sampling technique.
The sampling is the basic unit of containing the elements of population to be sampled.

Universe
The universe of this study was Amravati.
Sampling elements

The simple percentage technique and ranking techniques is used for satisfying the above
objectives.

Sampling method
The sampling method used for this study was Simple Random Sampling technique. Simple
random sampling is a type of probability sampling in which the researcher randomly selects
a subset of participants from a population. Each member of the population has an equal
chance of being selected. Data is then collected from as large a percentage as possible of
this random subset
Advantages of Method:- Simple random sample advantages include ease of use and
accuracy of representation. No easier method exists to extract a research sample from a
larger population than simple random sampling.
Limitations of Method:- Difficulty Accessing Lists of the Full Population
Time Consuming
Costs
Sample Selection Bias
Sample design
A definite plan for obtaining a sample from sampling frame is called the sample design. It
refers to the technique or the procedure a researcher adopts in selecting some sampling
units.
Sample size
For the research of study sample size were 100 respondents who do online shopping

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Research Method
The research method used for this study was quantitative method. Quantitative methods
emphasize objective measurements and the statistical, mathematical, or numerical analysis
of data collected through polls, questionnaires, and surveys, or by manipulating pre-
existing statistical data using computational techniques.
Advantages of Quantitative Method
➢ The quantitative approach allows researcher to reach a higher sample size.
➢ Researcher can collect information quickly when using quantitative research.
➢ Quantitative research uses randomized samples.
➢ Results duplication is possible when using quantitative research. Limitations of
Quantitative Method
➢ Related secondary data is sometimes not available or accessing available data is
difficult/impossible
➢ Difficult to understand context of a phenomenon
➢ Data may not be robust enough to explain complex issues

3.8 Data Analysis and Interpretation


The statically tool used for the purpose of the analysis of this study is simple percentage
technique and ranking techniques. After the collection of through the questionnaire, editing
is done carefully. Based on the responses of the samples, tables were prepared.
The data collection were analyzed and interpreted with the help of tables and figures.

3.9 Utility Of The Research

● This research will develop new resource for the researcher who will study on future.

● This study will be useful for marketing student also.

3.10 Limitations Of The Research

● Time is the major limitation.

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● As only one city was surveyed, it does not represent the overall view of the Indian
market.

● Some of the respondents were reluctant to share the information with the researcher.

CHAPTER 4
DATA ANALYSIS AND INTERPRETATION
Google Form Link:- https://forms.gle/E3NaD5nMaDxDS16W7

4.1) Gender wise distribution of respondents.

Table 4.1 Gender wise distribution of respondents.


Gender No. of respondent Percentage %

Male 58 58%
Female 42 42%
Total 100 100%
Graph 4.1 Gender wise distributions of respondents.

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Gender

Male
42% 58% Female

Interpretation :-

From the above graph it is interpreted that 58% participants are male and 42% are female.

Analysis :-

The study shows that most of participants are male.

4.2) Age wise distribution of Respondents

Table 4.2 Age wise distribution of Respondents.


Age No. of Respondents Percentage%
18-26 yr 50 50%
26-35 yr 30 30%
36-45 yr 14 14%
46 above 6 6%
Total 100 100%

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Graph no. 4.2- Age wise distribution of the respondents

Age Analysis
60

50

40

30
50 No. of Respondents
20
30
10
14
6
0
18-26 yr 26-35 yr 36-45 yr 46 above

Interpretation:-
From the above graph it is interpreted that 50% of respondents were between the age of
18-26 yr ,30% were between the age of 26-35 yr, 14% respondent were between the age
of 36-45 yr and 6% respondents belong to the above 46 years age group .

Analysis:-

The study shows that most of respondents were in the age group of 18-26 years that is young
age group.

4.3) Classification on basis of educational qualification


Table 4.3 Classification on basis of educational qualification
Educational No. of respondent Percentage %
qualification
Graduate 40 40%
Post Graduate 50 50%
None 3 3%

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Under Graduate 7 7%
Total 100 100%
Graph 4.3 Classification on basis of educational qualification.

Educational Analysis
7%
3%

Graduate
40% Post Graduate
None
50% Under Graduate

Interpretation :-

From the above graph it is interpreted that 40% participants are graduate, 50% are post
graduate, 7% are under graduate and 3% are none.

Analysis :-

The study shows that majority of participants are post graduate.

4.4) Classification on basis of Income Range

Table 4.4 Classification on basis of Income range


Income Range No. of Percentage
respondent %
Less than Rs. 2 lakhs per 45 45%
annum

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Rs. 2 lakhs to 5 lakhs per 35 35%


annum
5 lakhs to 10 lakhs per annum 10 10%
More than 10 lakhs per 10 10%
annum.
Total 100 100%
Graph 4.4 Classification on basis of Income Range

Income Range
Less than Rs. 2 lakhs
per annum
10
10 Rs. 2 lakhs to 5 lakhs
45 per annum
5 lakhs to 10 lakhs per
35 annum
More than 10 lakhs
per annum.

Interpretation :-

From the above graph it is interpreted that 45% participants have less than 2 lakh per
annum, 35% Rs. 2 lakhs to 5 lakhs per annum, 10% 5 lakhs to 10 lakhs per annum, 10%
More than 10 lakhs per annum.

Analysis :-

The study shows that majority of participants are having less than 2 lakh per annum

4.5) Classification on basis of use of Internet

Table 4.5 Classification on basis of use of Internet


Internet Use No. of respondent Percentage %
Once a week. 5 5%

2 to 3 days a week 8 8%
1or 2 hrs. a day 42 42%

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More than 3 hours 45 45%


Total 100 100%
Graph 4.5 Classification on basis of use of Internet

Use of Internet
5 8 Once a week.

45 2 to 3 days a week
1or 2 hrs. a day
42
More than 3 hours

Interpretation :-

From the above graph it is interpreted that 5% participants have use of Internet once a week,
8% 2 to 3 days a week, 42% 1 to 2 hrs a day, 45% more than 3 hours.

Analysis :- The study shows that majority of participants use internet more than 3

hours a day.

4.6) Classification on basis of awareness of an online shopping websites.

Table 4.6 Classification on basis of awareness of an online shopping websites.


Awareness No. of respondent Percentage %
Yes 100 100%

No 0 0%

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Total 100 100%

Graph 4.6 Classification on basis of awareness of an online shopping websites.

Awareness

100%

80%

60% 100% Awareness


40%

20%
0%
0%
Yes No

Interpretation :-

From the above graph it is interpreted that 100% participants are aware about the online
shopping,.

Analysis :- The study shows that majority of participants are aware about the online
shopping.

4.7) Classification on basis of shoping through e – commerce websites.

Table 4.7 Classification on basis of shop through e – commerce websites.


Ecommerce shopping No. of respondent Percentage %
Most likely 20 20%

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Very likely 40 40%

Not likely 20 20%

I never shop online 20 20%

Total 100 100%

Graph 4.7 Classification on basis of shop through e – commerce websites.

E-Commerce Shopping

20 20 Most likely
Very likely

20 Not likely
I never shop online
40

Interpretation :-

From the above graph it is interpreted that 20% participants are most likely shop through e-
commerce, 40% very likely, 20% Not likely, 20% never shop online.

Analysis :-

The study shows that majority of participants are very likely to shop e-commerce.

4.8) Classification on basis of most preferred e – commerce websites.

Table 4.8 Classification on basis of most preferred e – commerce websites.


Ecommerce Websites No. of respondent Percentage %
Flipkart 20 20%

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Amazon 35 35%
Jabong 15 15%
Snap deal 10 10%
paytm 20 20%
Total 100 100%

Graph 4.8 Classification on basis of most preferred e – commerce websites.

E-Commerce Websites
40
30
20 35
10 20 15 20
10 No. of respondent
0

Interpretation :-

From the above graph it is interpreted that 20% participants are most likely shop through
flip kart, 35% Amazon, 15% jabong, 10% snap deal, 20% paytm.

Analysis :-

The study shows that majority of participants are very likely to shop e-commerce amazon
site.

4.9) Classification on basis of way prefer for payment

Table 4.9 Classification on basis of way prefer for payment


Payment mode No. of respondent Percentage %
Wallet 21 21%

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RESPECT TO AMRAVATI CITY

Debit/ credit card 46 46%

Cash 33 33%
Total 100 100%

Graph 4.9 Classification on basis of way prefer for payment

Payment mode

50

40

30
46%
20 Payment mode
33%
10 21%

0
Wallet Debit/ credit Cash
card

Interpretation :-

From the above graph it is interpreted that 21% participants have use wallet for payment,
46% debit/ credit cards, 33% cash.

Analysis :-

The study shows that majority of participants use debit/ credit card for the payment.

4.10) Classification on basis of user friendly of the e- commerce websites which


preferred the most

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Table 4.10 Classification on basis of user friendly of the e- commerce websites which
you preferred the most
Ecommerce shopping No. of respondent Percentage %
For product comparison 35 35%

For price comparison 40 40%

Payment option offered 15 15%

Speed of website 10 10%


Total 100 100%
Graph 4.10 Classification on basis of user friendly of the e- commerce websites which
you preferred the most.

E-Commerce Shopping

For product
10 comparison
15 35
For price comparison

Payment option
40 offered
Speed of website

Interpretation :- From the above graph it is interpreted that 35% participants are most
likely shop through ecommerce site for product comparision, 40% For price comparison,
15% Payment option offered,10% Speed of website.

Analysis :- The study shows that majority of participants are very likely to shop ecommerce
site for product comparision.

4.11) Classification on basis of expectation in a shopping model.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Table 4.11 Classification on basis of expectation in a shopping model


Ecommerce shopping 1 2 3 4 5
Convenience 10 19 26 25 20

Minimum delivery time 10 20 23 18 29

Product trial experience 12 20 25 25 18

Discount deals 4 6 20 30 40

Product variety 5 15 20 30 30

Graph 4.12 Classification on basis of expectation in a shopping model

Interpretation :-

From the above graph it is interpreted that most of the participants rated 5 for the discount
deals and product veriety.

Analysis :- The study shows that majority of participants are rated mostly the discount deals
on shopping websites.

4.12) Classification on basis of product varieties that generally prefer buying through
Flifkart.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Table 4.12 Classification on basis of product varieties that generally prefer buying
through Flifkart.
Ecommerce shopping No. of respondent Percentage
%
Clothing 35 24%

Mobiles 40 28%
Personal product ( perfumes, 15 10%
beauty creams)
Laptops and accessories 20 14%
Home and furniture 5 3%
Books 20 14%
Healthcare product. 10 7%
Total 100 100%

Graph4.12 Classification on basis of product varieties that you generally prefer


buying through Flifkart.
Clothing
Products
7% Mobiles
14%
24%
3%
Personal product (
14%
28% perfumes, beauty
creams)
Laptops and accessories
10%

Interpretation :- From the above graph it is interpreted that 24% participants are most
likely shop clothing through Flifkart, 28% mobiles, 10% personal products, 14% laptop
and assesories, 3% home and furniture, 14% books.

Analysis :-The study shows that majority of participants are very likely to shop mobiles
from through Flifkart site.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

4.13) Classification on basis of How comfortable are you with the features of
flifkart.

Table 4.13 Classification on basis of How comfortable are you with the features of
flifkart.
Ecommerce shopping No. of respondent Percentage %
Very Satisfied 30 30%
Satisfied 40 40%
Neutral 15 15%
Dissatisfied 15 15%
Very dissatisfied 10 10%
Total 100 100%
Graph 4.13 Classification on basis of how comfortable are you with the features of
flifkart.

Satisfaction to Flifkart

10 Very Satisfied
15 30 Satisfied
Neutral
15
dissatisfied
40 Very dissatisfied

Interpretation :-

From the above graph it is interpreted that 30% participants are very satisfied from features
of flifkart, 40% satisfied, 15% Neutral, 15%dissatisfied, 10% very dissatisfied.

Analysis :- The study shows that majority of participants are satisfied from features of
flifkart.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

4.14) Classification on basis of e – commerce would get better in the future.

Table 4.14 Classification on basis of e – commerce would get better in the future.
Ecommerce No. of respondent Percentage %
Yes 46 46%
No 25 25%
Maybe 29 29%
Total 100 100%
Graph 4.14 Classification on basis of e – commerce would get better in the future.

Ecommerce in future
50

40

30
46 No. of respondent
20
25 29
10

0
Yes No Maybe

Interpretation :-

From the above graph it is interpreted that 46% participants say yes that ecommerce will be
better in future, 25% no, 29% may be.

Analysis :-

The study shows that majority of participants are think that ecommerce will be better in
future.

4.15) Classification on basis of e – commerce would take place of physical store.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Table 4.15 Classification on basis of e – commerce would take place of physical store.
Ecommerce No. of respondent Percentage %
Yes 23 23%
No 46 46%
Maybe 31 31%
Total 100 100%

Graph 4.15 Classification on basis of e – commerce would take place of physical


store.

Physical Store

23
31 Yes
No
Maybe
46

Interpretation :-

From the above graph it is interpreted that 23% participants say yes that ecommerce will
take place of physical stores, 46% no, 31% may be.

Analysis :-

The study shows that majority of participants are think that ecommerce not take place of
physical stores.

4.16) Classification on basis of Barrier to Purchase through online shopping.

Table 4.16 Classification on basis of Barrier to Purchase through online shopping.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Barriers No. of Percentage


respondent %
Worried about giving credit card no. 15 15%

Like to see product in personal before 25 25%


buy
Product is expensive due to access 19 19%
Net connectivity trouble 5 5%
Wrong/ bad product arrived & could 31 31%
not return
others 5 5%
Total 100 100%

Graph 4.16 Classification on basis of Barrier to Purchase through online shopping.

Barriers Worried about giving credit


card no.
5% Like to see product in
15% personal before buy
31% Product is expensive due to
25% access
Net connectivity trouble

19% Wrong/ bad product


arrived & could not return
5% others

Interpretation :- From the above graph it is interpreted that Barrier comes to Purchase
through online shopping.in which 15% participants say Worried about giving credit card
no., 25% Like to see product in personal before buy, 19% Product is expensive due to
access, 5% Net connectivity trouble,31% Wrong/ bad product arrived & could not return,
5%others

Analysis :- The study shows that majority of participants says Wrong/ bad product arrived
& could not return is the Barrier to Purchase through online shopping.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Classification on basis of
4.17) online shopping is better than shopping at store.

Table 4.17 Classification on basis of online shopping is better than shopping at store.
Online shopping is better No. of respondent Percentage %
than shopping at store
Yes 35 35%
No 45 45%

Can't say 20 20%

Total 100 100%

Graph 4.17 Classification on basis of online shopping is better than shopping at


store.

Online shopping is better than


shopping at store

20%
35% Yes
No
Can't say
45%

Interpretation :-

From the above graph it is interpreted that online shopping is better than shopping at store
in which 35% says yes, 45% says no and 20% says can‟t says

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Classification on basis of
Analysis :-

The study shows that majority of participants says store shopping is better than shopping
online.

4.18) compare price of Flifkart products with different websites Table 4.18
Classification on basis of compare price of Flifkart products with different websites
Price Comparision No. of respondent Percentage %
Yes 55 55%
No 20 20%

Sometime 25 25%

Total 100 100%

Graph 4.18 Classification on basis of compare price of Flifkart products with


different websites

Price Comparision

25%
Yes
No
55%
Sometime
20%

Interpretation :-

From the above graph it is interpreted that respondents compare price of Flifkart products
with different websites in which 55% respondents says yes, 20% says no and 25% says
sometimes Analysis :-

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Classification on basis of
The study shows that majority of participants compare price of Flifkart products with
different websites.

4.19) reason to choose Flifkart for shopping

Table 4.19 Classification on basis of reason to choose Flifkart for shopping.


Reason No. of respondent Percentage %
Variety of Products 42 42%
Trustworthy 20 20%
Fast Service 25 25%

Easy Return 12 12%


Other 1 1%

Total 100 100%

Graph 4.19 Classification on basis of reason to choose Flifkart for shopping

Reason
1%

12% Variety of Products


Trustworthy
42%
25% Fast Service
Easy Return
20% Other

Interpretation :-

From the above graph it is interpreted that 42% respondents says they choose Flifkart for
shopping due to Variety of Products, 20% says it is Trustworthy, 25% says it have Fast
Service , 12% says it have Easy Return facility, 1% says Other reason

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Classification on basis of
Analysis :-

The study shows that majority of participants sats product verity and fast service is the
reason to choose flifkart.

4.20) satisfaction with the service offered by Flifkart Table 4.20 Classification on
basis of satisfaction with the service offered by Flifkart
Satisfaction with service No. of respondent Percentage %
Yes 55 55%
No 20 20%

Somewhat 25 25%

Total 100 100%

Graph 4.20 Classification on basis of satisfaction with the service offered by Flifkart

Satisfaction with service

25%

Yes
55%
20% No
Somewhat

Interpretation :-

From the above graph it is interpreted that 55% respondents says that they are satisfied
with the service offered by Flifkart, 20% are not satisfied and 25% are somewhat
satisfied.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Classification on basis of
Analysis :-

The study shows that majority of participants are satisfied with the service offerd by
flifkart.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

CHAPTER 5

FINDINGS, CONCLUSIONS AND SUGGESTIONS

5.1 FINDINGS

❖ It is find that most of participants are male with age group 18-26 years.
❖ It is find that 40% participants are graduate, 50% are post graduate, 7% are under
graduate and 3% are none.
❖ It is find that 45% participants have less than 2 lakh per annum, 35% Rs. 2 lakhs
to 5 lakhs per annum, 10% 5 lakhs to 10 lakhs per annum, 10% More than 10 lakhs
per annum.
❖ It is find that 5% participants have use of Internet once a week, 8% 2 to 3 days a
week, 42% 1 to 2 hrs a day, 45% more than 3 hours.
❖ It is find that 21% participants have use wallet for payment, 46% debit/ credit cards,
33% cash.
❖ It is find that 69% participants are aware about the online shopping, 29% are not
aware about online shopping.
❖ It is find that 20% participants are most likely shop through e-commerce, 40% very
likely, 20% Not likely, 20% never shop online.
❖ It is find that 20% participants are most likely shop through flip kart, 35% Amazon,
15% jabong, 10% snap deal, 20% paytm.
❖ It is find that 35% participants are most likely shop through ecommerce site for
product comparision, 40% For price comparison, 15% Payment option offered,10%
Speed of website.
❖ It is find that most of the participants rated 5 for the discount deals and product
veriety.
❖ It is find that 24% participants are most likely shop clothing through ecommerce
site, 28% mobiles, 10% personal products, 14% laptop and assesories, 3% home
and furniture, 14% books.

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RESPECT TO AMRAVATI CITY

❖ It is find that 30% participants are very satisfied from features of ecommerce, 40%
satisfied, 15% Neutral, 15%dissatisfied, 10% very dissatisfied.
❖ It is find that 46% participants say yes that ecommerce will be better in future, 25%
no, 29% may be.
❖ It is find that 23% participants say yes that ecommerce will take place of physical
stores, 46% no, 31% may be.
❖ Barrier comes to Purchase through online shopping. are 15% participants say
Worried about giving credit card no., 25% Like to see product in personal before
buy, 19% Product is expensive due to access, 5% Net connectivity trouble,31%
Wrong/ bad product arrived & could not return, 5%others.
❖ Study shows that 42% respondents says they choose Flifkart for shopping due to
Variety of Products, 20% says it is Trustworthy, 25% says it have Fast Service ,
12% says it have Easy Return facility, 1% says Other reason
❖ It is find that 55% respondents says that they are satisfied with the service offered
by Flifkart, 20% are not satisfied and 25% are somewhat satisfied.

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5.2 CONCLUSION

Emerging trends in shopping is shopping through online which has caters all classes of
people. In order to shop online, one must be ableto have access to a computer, a bank
account and a credit / debit card.Online shopping basically provides the customers go
shoppingand purchase goods and services with reasonable price on the internet. From the
study, researchers have also found that the respondents are aware of all the products and
services available in online shopping and also all the facilities offered.

Due to revolution in telecommunication sector no. of users of internet are increased in India
in recent time and customers are using internet for online shopping but still for regular
purchase most of customers first choice is manual shopping. To increase no. of customers
for online shopping there is need of extensive publicity and promotion by online shopping
companies to attract all class of customers Most of the customers are of opinion that
shipping charges charged by companies are very high, it is suggested to companies to either
reduce shipping charges or delivery of product should be given freely. Companies may use
it as one of the promotional activity. After research it is observed that major hurdle behind
development of online shopping is of customer awareness. Majority of customers are not
aware about various pre and post services rend by this online shopping companies.

When a customer purchases a online, he or she is affected by various factors. The main
influencing factors have been identified as Price, Trust ,and Convenience. The Price factor
exists because prices are often lower on Internet stores compared to physical stores due to
lower costs. Purchasing a online can greatly benefit the customer in terms of convenience
and saving money. It is also convenient to shop on various sites with different assortments,
from the home. Trust is evidently needed since the customer must share detailed personal
and financial information when purchasing a online. These types of data include the full
name, delivery address and credit card number for example, which makes Trust an
important factor.

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RESPECT TO AMRAVATI CITY

5.3 SUGGESTION

The most important factor that is necessary in growing E-Commerce in India –Trust. If we
Look at the Indian context, I feel that there is a general lack of trust between retailers and
Customers. Customers don‟t trust the retailers because they feel that they are either being
Over charged or that they wouldn‟t be able to get appropriate level of customer service
once The sale is complete.

It is my opinion that this general lack of trust is the primary barrier that is impeding the
growth of E-Commerce within India. Here are some of the practical techniques that online
retailers can employ to improve this level of trust and build an environment where
customers feel safe in clicking that “Proceed to Checkout” button.

Customer Reviews: Customer‟s trust for an online retailer will increase if the retailer
offers an ability to let customers share their positive as well as negative reviews about
products or vendors.

Price Match Guarantee: A Price Match Guarantee (PMG) is a store policy which entitles
a customer to a refund of the difference between the stores‟ asking price and a competitor‟s
price.

Well trained call centre: It is more impotent that the call centre agents be trained to have
Good problem solving skills.

Fraud Protection: Not only should an online retailer ensure that the appropriate security
certificates are setup to handle checkout related transactions.

Real time inventory updates: Retailers must invest in building automated capabilities that
keep an up to date record of how much inventory is available for all their products.

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SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

E-Commerce will see a significant growth in India. However, the chasm between the early
Adopters of E-Commerce and the ones who are waiting can only be crossed by building a
Strong level of trust with customers – and winning them, one customer at a time.

BIBLIOGRAPHY

BOOKS:

• Kothari C R-Research Methodology Methods and Techniques(New Age


International Publishers,2nd Ed)
• C.S.V. Murthy- E-commerce, Himalaya publication, New Delhi.
• E.Turban, J. Lee, D. King and H.M. Chung, Electronic Commerce:
AManagerialPerspective. Prentice Hall, 1999.

JOURNALS:

❖ Ernst & Young Report 2012: Rebirth of e-commerce in India.


❖ Malhotra.,(2008),"Enabling knowledge exchanges for e-business communities",
Information Strategy: The Executive‟s Journal, 26-31

WEBSITES

❖ http://www.iamwire.com/2012/04/india-to-be-the-fastest-growing-e-
commercemarket-in-asia-pacific-market-set-to-grow-to-8-8-billion-by-2016/
❖ http://in.myinfoline.com/forum/reply/2065
❖ http://articles.timesofindia.indiatimes.com/2013-04
26/internet/38842529_1_indian-internet-internet-shopping-internet-penetration ❖
www.zdnet.com/.../india-e-commerce-industry-faces-consolidation-7000...
http://indiaranker.com/websites/ecommerce

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RESPECT TO AMRAVATI CITY

APPENDIX I:
QUESTIONNAIRES FOR CUSTOMER RESPONSES

I am Ms. Unnati A. Sabale Doing research study on “A COMPARATIVE STUDY OF


CUSTOMER PREFERENCE AND CUSTOMER SATISFACTION IN ONLINE
SHOPPING AMONG AMAZON AND FLIPKART WITH RESPECT TO AMRAVATI
CITY” as part of our course curriculum. Please, answer the questions that follow by ticking
the appropriate option (if provided) or writing unrestrictedly for open-ended questions.
Please answer all questions freely but objectively.

The information is for academic purposes only.

Ms. Unnati A. Sabale


(MBA)

Name of customer…………………………………………………………………

1) Gender : Male Female

2) Age: 18-25 25-35


35-45 45 Above
35-46
3) Educational qualification:
Graduate Post Graduate
None Under Graduate
4) Please Tick your income range

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Less than Rs. 2 lakhs per annum

Rs. 2 lakhs to 5 lakhs per annum

5 lakhs to 10 lakhs per annum

More than 10 lakhs per annum

5) How often do you use internet?

Once a week. 1or 2 hrs. a day 2 to 3 days a week

More than 3 hrs.

6) Are you aware of an online shopping websites?


Yes No 7) How frequently do you
shop through e – commerce websites?

Most likely Very likely

Not likely I never shop online


8) Which is your most preferred e – commerce websites?

Flip kart Amazon Jabong

Snap deal Myntra


9) Please rate the user friendly of the e- commerce websites which you preferred the
most.( please rate 1 to 5).
For product comparison For price comparison

Payment option offered Speed of website

10) In which way you prefer payment?

Wallet Debit/credit card


Cash

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

11) Please rate your expectation in a shopping model through flifkart and amazon (1
to 5).

Convenience Minimum delivery time

Product trial experience Discount deals

Product variety
12) Tick all the product varieties that you generally prefer buying online through
flifkart and Amazon
Clothing
Personal product ( perfumes, beauty creams)

Mobiles Laptops and accessories

Home and furniture Books

Healthcare product.
13) How comfortable are you with the features of flifkart and Amazon?(Please rate 1
to 5).

Very satisfied Satisfied

Neutral Dissatisfies
Very dissatisfied

14) Do you think e – commerce would get better in the future?

Yes No
Maybe
15) Do you think e – commerce would take place of physical store?

Yes No
Maybe
16) What are the Barrier to Purchase through online shopping?

Worried about giving credit card no.

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A COMPARATIVE STUDY OF CUSTOMER PREFERENCE AND CONSUMER
SATISFACTION IN ONLINE SHOPPING AMONG AMAZON AND FLIPKART WITH

RESPECT TO AMRAVATI CITY

Like to see product in personal before buy

Product is expensive due to access

Net connectivity trouble

Wrong/ bad product arrived & could not return

others

17) Do you feel that online shopping is better than shopping at store?
Yes No Can‟t say

18) Do you compare price of Flifkart and amzon products with different websites?
Yes No Sometime
19) What is the reason to choose Flifkart and amzon for shopping?

Variety of Products Trustworthy


Fast Service Easy Return
Other
20) Are you satisfied with the service offered by Flifkart and Amazon ?

Yes No Somewhat

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