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A STUDY ON CUSTOMER PERCEPTION TOWARDS ONLINE

SHOPPING IN BHAIRAHAWA CITY

BY

Manisha Kumari Yadav

Roll no: 18817/17

T.U. Registration No. 7-2-0052-0319-2017

A Summer Project Report Submitted to

Faculty of Management, Tribhuvan University

In partial fulfillment of the requirement for the degree of

Bachelor of Business Administration

At the

Bhairahawa Multiple Campus

Tribhuvan University

Bhairahawa

April 2022
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STUDENT DECLARATION

This is to certify that I have completed the summer project entitled “A Study on customer
perception towards online shopping in Bhairahawa city” under the guidance of Dr. Sahadev
Bhatta in partial fulfillment of the requirement for the degree of Bachelor of Business
Administration at Faculty of Management, Tribhuvan University. This is my original
work and I have not submitted it earlier elsewhere.

Manisha Kumari Yadav

April 2022

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CERTIFICATE FROM THE SUPERVISOR

This is to certify that the summer project entitled “A Study on customer perception
towards online shopping in Bhairahawa city” is an academic work done by “ Manisha
Kumari Yadav” submitted in the partial fulfillment of the requirements for the degree of
Bachelors of Business Administration at Faculty of Management, Tribhuvan University
under my guidance and supervision. To the best of my knowledge, the information
presented by him/her in the summer project report has not been submitted earlier.

…………………………...

Signature of the supervisor

Dr. Sahadev Bhatta

April 2022

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ACKNOWLEDGEMENT

This project work has been prepared for the partial fulfillment of requirement of BBA
degree. It’s my great honor to get assigned this project work. This project work is based
on the customer perception towards online shopping in Bhairahawa city and has made me
familiar with the ongoing trends of online shopping as the concept of E-shopping has
been emerging in the contemporary business.

Firstly, I would like to express my sincere gratitude to my report supervisor, Dr. Sahadev
Bhatta for his consistent help and support in completing the report. Indeed, his guidance,
co-operation, encouragement is very admirable and praiseworthy. Like-wise, I am
equally thankful to my all teachers and friends for their moral support and
encouragement.

I am also grateful to those customers who provide me the necessary information, co-
operation and support necessary for the report. I acknowledge further comments and
suggestions.

Manisha Kumari Yadav

April 2022

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TABLE OF CONTENTS

STUDENT DECLARATION……………………………………………...………………i

CERTIFICATE FROM THE SUPERVISOR………………………………………..…...ii

ACKNOWLEDGEMENT…………………………………...…………………………...iii

LIST OF TABLE……………………………………………...………………………….vi

LIST OF FIGURE……………………………………………...………………………..vii

EXCUTIVE SUMMARY……………………………………………...……………….viii

CHAPTER I…………………………………………………………...…………………..1

INTRODUCTION……………………………………………………...…………………1

1.1 Context of information………………………...………………………………1

1.2 Statement of problem…………………………………...……………………..3
1.3 Purpose of the study……………………………………...……………………4
1.4 Research Question………………………………………..…………………...4
1.5 Significance of the study……………………………………...……………….4
1.6 Limitation of the study………………………………………...………………4
1.7 Theoretical review………………………………………………..…………...5
1.8 Conceptual framework…………………………………………...……………7
1.9 Research methodology…………………………………………….…………10
1.9.1 Research design………………………………………………….11
1.9.2 Population and sample size………………………………………11
1.9.3 Sampling procedure and sampling technique……………………11
1.9.4 Analytical Tools…………………………………………………12
1.9.5 Data source, collection procedures………………………………12
1.9.6 Organization of the study…………………………….…………..12

CHAPTERII………………………………………………………………..…………….14

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FINDING, RESULTS AND DISCUSSION………………………………….…………14

2.1 presentation and analysis of data……………………………….……………14

2.2 Respondents profile………………………………………………………….14

Figure 2.4 Classification of respondents by attraction……………………….20

Figure 2.5 Classification of respondents by payment……………………….21

2.3 Major finding……………………………………………………….………..27

CHAPTER III……………………………………………………………………………30

SUMMARY, CONCLUSION AND RECOMMENDATIONS………………………..30

3.1 SUMMARY…………………………………………………………………30.

3.2 CONCLUSION………………………………………………………………31

3.3 RECOMMENDATIONS…………………………………………………….31

REFERENCES

APPENDIX

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LIST OF TABLES

Title

Table 2.1 Respondent profile………………………………………………….…………16

Table 2.2 Respondent gender…………………………………………………...………..17

Table 2.3 Respondent age………………………………………………………..………17

Table 2.4 Respondent occupation………………………………………………..………18

Table 2.5 What? Attracts the most to shop online……………………………………….19

Table 2.6 Mode of payment after online………………………………………..………..20

Table 2.7 How often do you shop online………………………………………..……….21

Table 2.8 Which Gadget do you use to shop online……………………………………..22

Table 2.9 Which? Shopping site do you use often……………………………………….23

Table 2.10 Customer’s perception towards online shopping……………………….……25

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LIST OF FIGURES

Title

Figure 1.1 Conceptual framework……………………………………...…………………8

Figure 2.1 Classification of respondents by gender…………………….………………..17

Figure 2.2 Classification of respondents by age…………………………………………18

Figure 2.3 Classification of respondents by occupation…………………………………19

Figure 2.4 classification of respondents by attraction……………………………...……20

Figure 2.5 Classification of respondents by payment……………………………………21

Figure 2.6 Classification of respondents by use of online………………….……………22

Figure 2.7 Classification of respondents by use of gadget………………………………23

Figure 2.8 Classification of respondents by use of shopping site………….…………….24

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EXECUTIVE SUMMARY

The objective of this research work is to study the level of customer perception towards
online shopping in Bhairahawa city. This research presents the impact of different factors
on the customer perception towards online shopping. This is a descriptive research, which
has documented the level of agreement and disagreement of the online shoppers on
various factors related to online shopping which has eventually increase the level of
customer satisfaction. The sample size 100 online shopping users are randomly selected
and responses were collected through personally administered questionnaire. The
responses from this sample size were analyzed using statistical tools like MS-Excel,
Mean, and Standard Deviation. The results from the analysis show that the level customer
satisfaction is high in the online shopping in Bhairahawa city. Internet is the rapidest
growing media during the past decade. Especially, online shopping is a rapidly growing
e-commerce area. Online stores are usually available 24 hours a day, and many
consumers have internet access both at work and at home. This study aims to establish a
preliminary assessment, evaluation and understanding of the characteristic of online
shopping. Although the benefit of online shopping are considerable, when the process
goes poorly it can create a thorny situation. A few problems that shoppers potentially face
include identify theft, faulty products, and the accumulation of spyware, as well as the
precautions to be taken are studies in this paper.

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CHAPTER I

INTRODUCTION

1.1 Context Information

Online shopping is a form of electronic commerce which allows consumers to directly

buy goods or services from a seller over the internet using a web browser or a mobile
app. Consumers find a product of interest by visiting the website of the retailer directly or
by searching among alternative vendors using a shopping search engine, which displays
the same product’s availability and pricing at different e-retailers. As of 2020, customers
can shop online using a range of different computers and devices, including desktop
computers, laptops, tablet computers and smart phones.

An online shop evokes the physical analogy of buying products or services at a regular
“bricks-and –mortar” retailer or shopping centre; the process is called business-to
consumer (B2C) online shopping. When an online store is set up to enable businesses to
buy from other businesses, the process is called business-to-business (B2B) online
shopping. A typical online store enables the customer to browse the firm’s range of
products and services, view photos or images of the products, along with information
about the product specifications, features and prices.

Online store usually enables shoppers to use “search” features to find specific models,
brands or items. Online customers must have access to the internet and a valid method of
payment on order to complete a transaction, such as a credit card, an interact-enabled
debit card, or a service such as PayPal. For physical products (e.g., paperback books or
clothes), the E-tailer ships the products to the customers; for digital products, such as
digital audio files of songs or software, the E-tailer usually sends the files to the customer
over the internet. The largest of these online retailing corporations are Alibaba.com,
Amazon.com, and eBay.

Online shopping has become a popular way of shopping for consumers. This new
innovative shopping is not only bringing a great number and variety of merchandise to
potential consumers, but also offers a numerous business activities and huge market.

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Social media is not longer known only as a media that facilitates its users to present
themselves on the internet but also as media to sell some products to consumers known as
an online shop. Because of the numerous advantages and benefits, more people say that
they prefer online shopping over conventional shopping these days. Online shopping or
marketing via internet is the use of technology for better marketing production.

Online shop on Instagram now develops its function along the update and the increases of
people’s needs. Companies that sell stuffs such as clothes, makeup, shoes, have learned
to use the recent technologies like Instagram in order to be able to reach the potential
buyer since almost everyone uses social media these days. Over these past years E-
commerce has developed very fast because of many advantages related to buying on
internet because of easier transaction and lower cost as compared to other types of
shopping. Through online shopping everyone can buy faster, have more alternatives and
can order various product or services with lower price.

The status of e-commerce in Nepal seems promisingly good. Many users are attracts to
online shopping and using online services. Many online portals and shopping portals are
launched. The competition is rapidly increasing day-to-day due to an increasing number
of online stores in Nepal, which will ultimately benefit the future e-commerce in Nepal.
Similarly entrepreneurs have also enhanced another aspect for online shopping by
increasing the trend of using social media as a shopping platform. The major online
companies in Nepal are working as business-to-consumer (B2C) or consumer-to-
consumer (C2C) model business. For instance, Hamrobazar.com is a free online portal
which provides a free platform to connect buyers and sellers where both of them are
consumers.

Online shopping is the easy solution for busy life in today’s world. In the past decade,
there had been a massive change in the way of customer’s shopping. Despite consumer’s
continuation to buy from physical store, the users or buyers feel very convenient to online
shopping. Some of online companies have been performing the dual features of doing
business, maintaining the physical existence of shop as well as an online portal for online
shopping. Similarly, some of the online companies in Nepal have specialized in a specific

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product or service only. Other than the above two techniques, an approach called
Facebook page or portal, rather than from a separate website. Expansion of the internet
facilities, cost reduction by the internet service providers and changing life-style of the
urban teenage population, has increased the scope of online shopping in Nepal. The
increasing popularity, booming of online shopping companies, and shopping pages on
social media, reflect the expansion and growth of the online shopping in Nepal,
especially at Facebook and on Instagram. The dual nature of online shopping, one
through own shopping portal of the company, and others through the use of social media,
shoppers get a bulk of choice for online shopping in Nepal. At the same time, customers
are also raising issues with online shopping in Nepal. The paper has tried to find out the
reasons behind to prefer online shopping by the Nepalese shoppers, and the problems
they have been facing while going for it.

1.2 Statement of Problem

Nowadays due to the modern technology every people preferred online shopping for
clothing and any other household products to make it quick and easy in their busy
schedule. This report is all about problem faced by the people and to know customers are
not being able to get those products on their given delivery time but also customers are
still shopping through online just because it is not time consuming to visit store
physically. Even if the delivery charges are increasing gradually people preferred to pay
more rather than going store just to save their time. After the order is done by the person
regarding their choice, people are still not getting same products as per the size and
colour as well as some online store also has no facility of exchanging those wrong
products. The problem related to the high price charge on online site and problem of
exchange facility of defect products, the problem related to quality between display on
online and about the actual product while delivering, problem related to the consumers
privacy and security related to their credit card or other payment modes and account
numbers have been discussed in the research.

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1.3 Purpose of the Study

The main objective of the study is to determine the level of customer satisfaction on
online shopping in Bhairahawa city provided by many online websites. The other specific
objectives are as follow

 To know the consumers perception towards online shopping.

 To know the type of products purchased by consumers through online shopping.
 To know the stimuli which contributions for buying behavior of consumers
 To find out the various issues, if any, faced by the consumer in online shopping
 To discriminate analysis of perception on gender basis.

1.4 Research Question

What are the factors that affect the customer perception towards online shopping?

1.5 Significance of the Study

Online shopping has become one of the emerging concepts in the market of Nepal. It is
one of the biggest opportunities for marketers as well as online shopping consumers. The
significances of this study are as follows:

 It helps to know positive and negative impacts of online shopping.

 It helps to know the existing situation of online shopping sites as well as
customer perception towards online shopping in Bhairahawa city.
 It helps to provide information about online shopping to the readers.
 It helps to create an online shop management system that will provide
secure services to customers, easy to use and provide management with
features to store (products) management.

1.6 Limitation of the Study

The major limitations of the study were as follows:

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The main limitation of this study is that it could not cover all the aspect choice of
consumer. It covers only price, delivery time, security, quality, exchange facility. But it
does not consider other prospects of consumer choice have not been studied.

• The survey was conducted in Bhairahawa. It does not include other city.
 The study is based on the assumption of linear relationship between
dependent and explanatory variables. Thus study has not considered
the non-linearity biases.
 All the respondents of this study are from Bhairahawa city. Hence, the
study does not incorporate wide geographical character of the respondents.
 The total number of sample of observation of primary data is only 100.
Less sample size might lead to less significance result as expected.
 There is limited finance while carrying out research.
 There is limited time for research.

1.7 Theoretical Review

Havre (2008) identified today’s younger, more ‘green’ shoppers aren’t going to waste
precious money and gas going from store to store looking for just the right item. They
shop online whenever they can, narrowing their choices to one or two items then go to
the store to touch, feel, bounce and cheek out the actual product to see if it looks the way
it was represented online. An OFT market study (2007) study establishes the scale and
growth of internet shopping is impressive. In 2005, the most recent year for which
reliable figures are available, sales to households were over f21bn – a fourfold increase
during the previous three years. It is benefiting millions of people and thousands of
business. Over 20 million UK adults shopped online in 2005, with 56 per cent of internet
shoppers we surveyed having spent over f500 each during the year. In the same year, an
estimated 62000 UK businesses were selling online to households. We found that people
shopped online because they find it convenient, it increases their choice and helps them
to hunt for lower prices. Retailers sell online to reach more customers, to sell around the
clock and in reaction to competition from rivals.

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Kodandarama Setty (2013) stated that “we are facing some threat from online stores in
these electronics categories; however, in the big market of consumer durables we are safe
for now”.

Childers et al. (2001) claimed that online shopping does have several merits and
interactions which can bring about interesting experiences. Demangeot & Broderick
(2006) even thought online shopping has many benefit, there are still consumers who
have reasons to avoid it. Kim, (2010), in his study found out that the consumer factor,
comprised of privacy, security and trust, time saving, ease of use, convenience,
enjoyment provide by shopping, company reputation and tactility, was most significant
for who interested to purchase online shopping and who did buy online. Reinhardt and
passariello, (2002) in the US, says that online sales are forecasted to exceed $36 billion in
2002, and grow annually by 20.9 percent to reach $81 billion in 2006. Europeans are
spending more money online as well. Whereas combined revenues for Amazon.com
European operations grew at more than 70 percent annually in each of the past three
quarters, topping $218 million. While these figures shows that a large number of
consumers in the US and Europe frequently for shopping purpose, it is not clear what
drives them to shop online and whether these numbers could be even.

According to Bowie, (2014), although the measurement of offline and online marketing is
extensively researched, the literature on online performance measurement still has a
number of limitations such as slow theory advancement and predominance of technology
and practitioner-driven measurement approaches in affiliate and online marketing
managers is identified. Cugelman, (2010), A few scholars have argued that the internet is
a valuable channel for social marketing, and that practitioners need to rethink how they
engage with target audiences online. However, there is little evidence that online social
marketing interventions can significantly influence behaviors, while there are few
evidence-based guidelines to aid onli0ne intervention design. Likely to Trziste, (2015),
the advantages of electronic retailing can, among other things, result in uncontrolled
buying by online consumers, i.e. in extreme buying behavior. Online consumers are
influenced by three factors; compulsivity, impulsivity, and functionality. The analysis of
various reveals that significant differences exist between the extracted factors and buyer’s

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online buying characteristics. Similarly to Jadhav and Khanna, (2016), the main
influencing factors for online shopping were identified as availability, low price,
promotions, comparison, convenience, and customer service, perceived ease of use,
attitude, time consciousness, trust and variety seeking. Makinen, (2017), online booking
was perceived as an easy and convenient way to purchase in travel services. However,
security and trustworthiness of the website were important factors when making the
decision. There were no significant cultural differences observed in buying behavior. Lou
& Byun, (2018), certain adjustment strains significantly lowered international student’s
self-esteem, which further affected their happiness and engagement in compulsive online
buying. The importance of understanding underlying drivers and consequences of
international student’s adjustment strains to facilitate better adaption to a foreign culture
and to prevent negative consumption tendencies.

1.8 Conceptual Framework

A conceptual framework is an analytical tool with the several variation and the contexts.
A theoretical structure of assumptions, principles and rules hold together the ideas
comprising a broad concept. It is use to make conceptual distinctions and organize ideas.
Strong conceptual framework captures something real and does this in a way that is easy
to remember and apply.

Delivery
Time
Price

Security Customer perception

towards online
Quality shopping

Exchange
facility

Fig 1.1: conceptual framework

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The above figure of the research model shows the relationship between dependent and
independent variables. Customer’s perception is the dependent variables whereas delivery
time, price, security, quality and exchange facility will be independent variables that will
have different perception among customers that might be negative and positive regarding
online shopping.

 Perception

Perception is the way people think about something or someone. It can be positive or
negative. It differs every time and can’t be perceived to be the same next time.
Customer’s perception equities are built over a period of moment in time by hi-tech
innovations, consistent high quality, hostile advertisement and encouragement and
accessibility of the products is another influential success factor, as commodities are of
small value, frequently purchased daily use item. Customers have different perception
about online shopping regarding the facilities provided by them which will surely
influence in their behavior of purchasing through online. Perception can be either in
quality, time, monetary value, and so on. In this report, perception is all about the view of
customers on online shopping.

 Delivery Time

The time at a buyer has been told that goods will arrive at the place where they are
wanted. In the report, delivery time has interrelated with the perception of customer
through online shopping. Customer will make different perception regarding the delivery
time of products that might be before, after or that exact time. Customer usually prefers
rapid delivery times and if they have a choice between several companies with similar
pricing, they are more likely to go with the company that offers the quickest delivery
time. Delivery time is the length of time between the preparation of product for shipping
and the delivery of the product to the end consumer. It is also sometimes referred to as
the delivery period. Companies keep track of their delivery times for the purpose of being
able to provide accurate estimates when orders are placed so that consumers know when
to expect a delivery. This tracking is also used internally to monitor efficiency.

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 Price

Price is a form of monetary that people use for any transactions. In online environment
customers are able to visit sites of competitors and compare the prices; moreover
intermediaries provide prices comparisons, which make process of evaluation more
convenient and time saving. Furthermore the cost for performing online business is lower
than for offline (e.g. minimal staffing cost, no retail space cost), this also lead to lower
prices. However, some researches show those consumers are ready to pay for the online
products same as for offline in exchange for the convenience.

 Security

In this report, customer has different perception regarding the security of their personal
information, increase in fraud, hacking and so on. Some will think online shopping can
be fully trusted for their security whereas some people has doubt if their information will
be provided to third party. Security, especially online payment security is one of the main
concerns for the consumers in e-shopping. Even the internet and advance technology
improving fast, there are still high proportions of online users who are very cautious
about making online purchase due to the concerns over credit and debit card security.
Majority of customers have concerns whether the company is legal and private
information will be not distributed to third parties, due to high percentage of hackers
operating online.

 Quality

Product quality is known as how well the product does what it’s supposed to do, and how
well it holds up over time. Some consumers view quality as a price point while others
appreciate a product because it’s “greener”. Quality is the performance of the product as
per the commitment made by them producer to the consumer. A product is known as a
quality product only when it satisfies various criteria for its functioning for the consumer.
It is not sufficient to products/goods or services in the right quality and at right time; it is
important to ensure that the goods/items and services produced/provided are of the right
quality.

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 Exchange facility

Exchange facility is essential for the customer’s convenience and satisfaction. Majority of
researches shows that the rate of online returns are low, however it is only due to the fact
that customers find the process of returning is too complex. Such disgruntled customers
are unlike to continue online shopping in future. In the developing country like Nepal,
there are still low chances of being the product exchange. Even when the goods are not
matched as per their expectation and as shown in the sites there is no such facilities for
exchange which will make disappointment and make them to have negative perception
towards online shopping store.

1.9 Research Methodology

Research methodology is simply the study to analyze relation between various variables
and elements. Here in this research, the researcher has regarded dependent elements as
customer perception and various independent elements like price, time durability,
security and quality of products. This aspect is a procedure used in making systematic
observation, obtaining data evidence or information as part of research project or study.

To know in-depth information about the topic the researcher will discuss with the
professional related for several time and other related secondary information. For the
preparation of the report data will be collected from the both primary as well as
secondary sources which will include; text books, research articles, journals, and related
website links. This chapter contains a brief description or methodology that a researcher
will use to fulfill the research objectives at various stages of the research.

Descriptive Research is a study framework for this research fact finding collecting
adequate information for supporting research. This research will be based on primary
sources of data which will be collected by asking questions through Google documents in
online as well as providing forms to respondents to fill it up and from secondary sources
of data published in journals, newspapers, and books.

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1.9.1 Research Design

A research design is plan of the purposed work. A research mode or design represents a
complete dictated by mainly practical consideration. Research design is a research plan
providing guideline to researcher to get answer of the research objective and to help
control experimental and errors variance of a particular research problem.

The study will be based on descriptive research design. In can be explained as a statement
of affairs they are at present with the researcher having no control over variable.
Moreover descriptive research design maybe characterized as simply the attempt to
determine, describe or identify what is, while analytical research attempts to establish
why it is that way or how it came to be.

1.9.2 Population and Sample Size

From total population of Bhairahawa city I will take 100 respondents as a sample who
can spend more time on internet and more knowledge to use it which will be enough
helpful to collect the proper data for the report. The survey will be done by meeting the
respondents in their respective place.

1.9.3 Sampling Procedure and Sampling Technique

A convenience sampling will be used for the study. Convenience sampling is a type of
non probability sampling that involves that sample being drawn from that part of
population that is close to hand. Convenience sampling will be chosen because it is easy
to reach and will be less cost. Convenient sampling is a type of sampling where the first
available primary data sources will be used for the research without additional
requirements. In other words, this sampling methods involves getting participations
wherever you can find them and typically wherever is convenient.

1.9.4 Analytical Tools

Various tools and techniques of data collections are used to obtain the data and
information. The researcher can collect data through interview, making a list of

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questionnaires and asking, and collecting the information from different publications.
Analytical tools are required to draw the conclusions of the whole report.

-weighted aggregate percentage

-weighted average

1.9.5 Data Sources, Collection Procedures

The primary focus of data collection will be on primary data that is self-administered
questionnaires. The prepared questionnaire will be provided to sample population by
asking them of fill it. Some of the questions will be asked in Likert scale. After the data
collected, it will be coded in excel. They will be follow pie charts and figures will also be
constructed based on the data. The secondary data is collected from articles, newspapers,
and internet sources. In order to know the factors that influences the customer’s
perception towards online shopping.

1.9.6 Organization of the Study

Organization of the study broadly, this study has five chapter from introduction to
summary, conclusion and recommendations. The first chapter, introduction deals with the
subject matter of the study, research question, significance of the study, and limitation of
the study. Second chapter literature survey deals with review of related studies and
conceptual framework. Third chapter deals with research methods (research design,
population & sample size, sampling procedures and sampling technique, data gathering
procedures or analytical tools, the model & variables or data sources, and collection
procedures), statement of hypothesis and organization of the study. The fourth chapter,
data analysis and major finding, includes presentation and analysis of the data collected
through primary method and major findings. The last chapter deals with summary,
conclusion, and recommendation.

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CHAPTER II

FINDING, RESULTS AND DISCUSSION

This chapter provides systematic presentation and analysis of primary data. Different
statistical models described in previous chapter have been used for the study purpose.
This chapter is divided into three sections. The first section deals with the presentation
and analysis of the primary data and presents the results of questionnaire survey. The
second section covers weighted average mean. The third section of this chapter deals with
concluding remarks on the basis of finding from primary data analysis.

2.1 Presentation and Analysis of Data

This study is based on primary data analysis, which mainly deals with the aspects of a
respondents profile followed by different questionnaires asked to respondents regarding
price, quality, delivery time, facility of exchange as well as customers satisfaction. This
section reports the result of questionnaire survey conducted among different groups of
customers. A set of questionnaires including multiple choice and Likert scale questions
are provided. The respondents profile along with their personal characteristics and result
of the survey are presented in the following sections. The percentage, frequency, mean
value, weighted mean value has been calculated to do the proper analysis of data.

2.2 Respondent’s Profile

Table 2.1 shows the personal profile of the respondents.

Regarding the gender of the respondents, majority of the respondent 60% are female
followed by 40% of the male respondents. The age of the respondents is divided into four
groups that majority of the respondents (15%) are of the age group of 15-20 years
followed by, (70%) are of the age group 21-25 years, (5%) respondents between the age
group of 26-30 years, (10%) respondents between the age group of 30 above. Majority of
respondents (76%) are students followed by, (10%) respondents are unemployed and
remaining (14%) respondents are jobholders and (0%) are self-employed. Majority of
respondents (37%) is attracted by reasonable price, followed by (21%) are attracted by
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discounted and offer, (16%) respondents are attracted by good quality, (11%) respondents
are attracted be easy selection and remaining (15%) respondents are attracted by other
features. Majority of respondents (60%) have preferred to pay cash on delivery and
(40%) respondents are comfort to pay through online payment mode. Regarding the use
of online shopping, majority of respondents (66%) are shopping frequently, followed by
(19%) respondents are shopping regularly, (5%) are shopping occasionally, and (10%)
respondents are using rarely. Regarding the statement “which gadget do you use”
Respondents responses (40%) prefer Smartphone, followed by (30%) respondents use
laptop as well as (30%) prefer other gadgets. Majority of respondents (44%) shop from
Daraz, (18%) from Basemark, (16%) from Pretty Click, (12%) prefer to shop from
Foody.com and remaining (10%) shop from other online sites.

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Table 2.1 Respondent profiles

Respondent character Frequency
Male 40
Female 60
Total 100

Age
15-20 15
21-25 70
26-30 5
30 above 10
Total 100
Occupation
Self employed 0
Job holder 14
Student 76
Unemployed 10
Total 100
What attracts you the most
Reasonable price 37
Good quality 16
Easy selection 11
Discount and offers 21
Other 15
Total 100
Mode of payment
Online 40
Cash on delivery 60
Total 100
How often do you shop online
Frequently 66
Regularly 19
Occasionally 5
Rarely 10
Total 100
Which gadget you use
Smart phone 40
Laptop 30
Other 30

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Total 100

Respondent character Frequency

Male 40
Table 2.2 Respondent Gender
Female 60
Total 100

The classification of the respondents by gender category is presented in Figure 2.1

Gender

male
Female

Figure 2.1 classifications of respondents by gender

Regarding the gender of the respondents, majority of the respondents 40% male are
followed by, 60% of the female respondents.

Table 2.3 Respondent age

Age Frequency
15-20 15
21-25 70

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26-30 5
30 above 10
Total 100

The classification of the respondents be age category is presented in Figure 2.2

Age
15-20 21-25 26-30 30 above

10%
15%
5%

70%

Figure 2.2 classifications of respondents by age

The of the respondents is divided into four groups that majority of the respondents (15%)
are of the age group of 15-20 years followed by (70%) are of the age group 21-25 years,
(5%) respondents between the age group of 26-30 years, (10%) respondents between the
age group of 30 above.

Table 2.4 Respondent’s occupation

Occupation Frequency
Self employed 0
Job holder 14
Student 76
Unemployed 10
Total 100

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The classification of the respondents by occupations category is presented in Figure

4.3

Occupation
80
70
60
50
40
occupation

30
20
10
0
Self employed Job holder Student Unemployed
Figure 2.3 Classification of respondents by occupation

Majority of respondents (76%) are students, followed by, (14%) respondents are job
holder and remaining (10%) respondents are unemployed and (0%) are self-employed.

Table 2.5 what attracts the most to shop online

What attracts you the most Frequency
Reasonable price 37
Good quality 16
Easy selection 11
Discount and offers 21
Other 15

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Total 100

The classification of the respondents by attraction category is presented in Figure

2.4

What attracts you the most

40
35
30
25
20
15
10
5 What attracts you the most
0
e ty n rs
pric ali ctio ffe
e q u le o
abl d se an
d
n oo as
y t
so G n
a E ou
Re isc
D

Figure 2.4 Classification of respondents by attraction

Majority of respondents (37%) is attracted be reasonable price, followed by (21%) are

attracted by discounts and offer, (16%) respondents are attracted by good quality, (11%)
respondents are attracted be easy selection and remaining (15%) respondents are attracted
by other features.

Table 2.6 mode of payment after online

Mode of payment Frequency
Online 40

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Cash on delivery 60
Total 100

The classification of the respondents by payment category is presented in Figure 2.5

Payment

Online Cash on delivery

40%

60%

Figure 2.5 Classification of respondents by payment

Majority of respondents (60%) have preferred to pay cash on delivery and (40%)
respondents are comfort to pay through online payment mode.

Table 2.7 how often do you shop online

How often do you shop online Frequency
Frequently 66
Regularly 19
Occasionally 5

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Rarely 10
Total 100

The classification of the respondents by use of online category is presented in Figure

2.6

How often do you shop online

70

60

50

40 How often do you shop

online
30

20

10

0
Frequently Regularly Occasionally Rarely
Figure 2.6 Classification of respondents by use of online

Regarding the use of online shopping, majority of respondents (66%) are shopping
frequently, followed by (19%) respondents are shopping regularly, (5%) are shopping
occasionally, and (10%) respondents are using rarely.

Table 2.8 which gadget do you use to shop online

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Which gadget you use Frequency
Smart phone 40
Laptop 30
Other 30
Total 100

The classification of the respondents by use of gadget category is presented in

Figure 2.7

Use of gadget
Smart phone Laptop Other

30%
40%

30%

Figure 2.7 Classification of respondents by use of gadget

Regarding the statement “which gadget do you use” Respondent’s responses (40%)
prefer Smartphone, followed by (30%) respondents use laptop as well as (30%) prefer
other gadgets.

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Table 2.9 which shopping sites do you use often
Shopping site you use Frequency
Daraz 44
Basemark 18
Pretty click 16
Foody 12
Other 10
Total 100

The classification of the respondents by use of shopping site category presented in

Figure 2.8

Shopping site you use

50
45
40
35
30
25
shopping site you use
20
15
10
5
0
Daraz Basemark Pretty Foody Other
click

Figure 2.8 Classification of respondents by use of shopping site

Majority of respondents (44%) shop from Daraz, (18%) from Basemark, (16%) from
pretty click, (12%) prefer to shop from Foody and remaining (10%) shop from other
online sites.

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Table 2.10 percentage, frequency and mean of customer perception towards online
shopping in Bhairahawa city.
Statements Strongly Disagree Neutra Agree Strongly N Mean
disagree l agree

Satisfaction F 14 35 25 6 0 100 2.33

Level % 14 35 25 6 0 100

A% 69 25 6

Exchange F 3 35 21 33 8 100 3.08

facility
% 3 35 21 33 8 100

A% 38 21 41

Price F 3 37 43 14 4 100 2.74

% 3 37 43 14 4 100

A% 40 43 18

Quality F 9 30 43 14 4 100 3.74

% 9 30 43 14 4 100

A% 39 43 18

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Delivery F 7 9 46 34 4 100 3.19
Time
% 7 9 46 34 4 100

A% 16 46 38

Weighted 2.796
Average
mean

The above 2.10 shows the percentage, the percentage, frequency and mean of the
customer’s perception on online shopping. The statement is measured in five-point Likert
scales: 1 as strongly disagrees, 2 disagree, 3 as neither agree nor disagree, 4 as agree and
5 as strongly agree.

Majority of respondent (69%) disagreed that are not satisfied with online shopping,
whereas minority of respondent (6%) agreed that they are satisfied with online shopping
and remaining respondent (25%) shared indifferent view on that statement. Majority of
respondent (41%) agreed that the defect product are exchanged, minority of respondent
(21%) shared their neutral view regarding this statement and remaining respondent (28%)
disagree that the defect products are not exchanged by the online companies. Majority of
respondent (43%) shared their indifferent view that currently online products are
expensive, followed by (40%) respondent sharing their disagreement that online product
are expensive and remaining respondent (17%) agreed that online products are expensive.
Regarding the statement, “I think the price is a vital element in judging the quality of an
online product”, majority of respondent (43%) shared indifferent view in this statement,
minority of respondent (18%) agreed with the statement and remaining (39%) showed
their disagreement on the statement. Majority of respondent(46%) showed their neutral
response on statement that they get delivery on time; whereas minority of respondent
(16%) disagree that they get delivery on time, and remaining respondent (38%) that they
will get delivery on time.
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Weighted average mean value for the consumer’s satisfaction level is 2.33 which means
consumers are not satisfied with online shopping and they often worry about something
while perceiving about online shopping. Weighted average mean value for exchange
facility is 3.08 which indicate that more number of consumers defect products have been
exchanged by the online sites. The more number of products are exchanged because the
average mean lies between 3-4 ranges of Likert scale. Weighted average mean value for
price is 2.74 which indicate the level of price of online products has impact on the online
shopping of customer’s and the customers who are shopping feels the price of online
products are expensive than they visit the physical stores. Weighted average mean value
for quality is 3.74 which indicate that quality is the most important factor which has vital
role in online shopping and the quality that online sites provides of the products are being
quite good. Weighted average mean value for delivery time 3.19 which indicate that the
delivery is neither quicker and nor delayed for most of the times because it lies between
the Likert scale range 3-4. The weighted average mean of all the variables i.e. satisfaction
level, exchange facility, price, quality, and delivery time is 2.796 which indicates that
customers perception towards online shopping is slightly below neutral. The result shows
that most of the customers view is below average. Therefore we can conclude that
customer’s perception towards online shopping is below par with the base of the
collected data which are presented in table 2.10 above.

2.3 Major Findings

The major findings of this study are as follows:

 Out of total respondents, that majority of the respondents (40%) are male
followed
by (60%) of the female respondents.
 The age of the respondents is divided into four groups that majority of the
respondents (15%) are of the age group of 15-20 years followed by (70%) are of
the age group 21-25 years, (5%) respondents between the age group 26-30 years,
(10%) respondents between the age group of 30 above.

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 In terms of occupation, majority of respondents (76%) are students, followed by,
(14%) respondents are job holders and remaining (10%) respondents of
unemployed and (0%) are self-employed.
 Majority of respondents (37%) is attracted be reasonable price, followed by (21%)
are attracted by discount and offer, (16%) respondents are attracted by good
quality, (11%) respondents are attracted by easy selection and remaining (15%)
respondents are attracted by other features.
 Majority of respondents (60%) have preferred to pay cash on delivery and (40%)
respondents are comport to pay through online payment mode.
 Regarding the use of online shopping, majority of respondents (66%) are
shopping frequently, followed by (19%) respondents are shopping regularly, (5%)
are shopping occasionally, and (10%) respondents are using rarely.
 Regarding the statement “which gadget do you use” respondent’s responses
(40%) prefer Smartphone, followed by (30%) respondents use laptop as well as
(30%) prefer other gadgets.
 Majority of respondents (44%) shop from Daraz, (18%) from Basemark, (16%)
from pretty click, (12%) prefer to shop from Foody and remaining (10%) shop
from other online sites.
 Majority of respondent (69%) disagreed that they are not satisfied with online
shopping, whereas minority of respondent (6%) agreed that they are satisfied with
online shopping and remaining respondent (25%) shared indifferent view on that
statement. Weighted average mean for the consumer’s satisfaction level is 2.33
which means consumers are more satisfied with online shopping.
 Majority of respondents (41%) agreed that the defect product are exchanged,
minority of respondent (21%) shared their neutral view regarding their statement
and remaining respondent (28%) disagreed that the defect products are not
exchanged by the online companies. Weighted average mean value for exchange
facility is 3.08 which indicate that more number of consumers defect products
have been exchanged by the online sites.
 Majority of respondent (43%) shared their indifferent view that currently online
products are expensive, followed by (40%) respondent sharing their disagreement
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that online products are expensive and remaining respondent (17%) agreed that
online products are expensive. Weighted average mean value for price is 2.74
which indicate the level of price of online products has impact on the online
shopping of customer’s.
 Regarding the statement, “I think the price is a vital element in judging the
quality of an online product”, majority of respondent (43%) shared indifferent
view in this statement, minority of respondent (18%) agreed with the statement
and remaining (39%) showed their disagreement on that statement. Weighted
average mean value for quality is 3.74 which indicate that quality is the most
important factor which has vital role in online shopping.
 Majority of respondent (46%) showed their neutral response on statement that
they get delivery on time; whereas minority of respondent (16%) disagree those
they get delivery on time, and remaining respondent (38%) agreed that they will
get delivered on time. Weighted average mean value for delivery time is 3.19
which indicate that.
 Quicker delivery of the products leads to higher satisfaction and higher online
shopping.
 Factors (satisfaction, exchange facility, price, and product quality and delivery
time) have significant impact in the customer’s perception on products through
online shopping.

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CHAPTER III

SUMMARY, CONCLUSION AND RECOMMENDATIONS:

This chapter deals with the brief summary of the entire study and highlights major
findings of the study. Moreover, the major conclusions are discussed in separate sections
of this chapter that is followed by some implications and the recommendations regarding
the factors affecting customer’s perception on products through online shopping inside
Bhairahawa area.

3.1 SUMMARY

In this report I have drawn about customer perception towards online shopping in
Bhairahawa city and importance of online marketing in current situation. Online
shopping is a form of electronic commerce which allows customers to buy products and
services over internet. Shopper can visit web stores from the comfort of their homes and
shop as they sit in front of computer. Online shopping for clothes, grocery and other
household products is a basic part of life. As some people are so impressed by the
facilities of buying products through online which has saved their time and they will be
convinced whereas some people will found difficult to shop through online stores.

Now, a day the life of the people is different. People feel uncomfortable and time
consuming for going markets. So, E-shopping is a boon as it saves lot of time. Online
shopping is a process whereby consumers directly buy goods, services etc. from a seller

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without an intermediary service over the internet. Shoppers can visit web stores from the
comfort of their house and shop as by sitting in front of the computer. Online stores are
usually available 24 hours a day and many consumers have internet access both at work
and at home. So it is very convenient for them to shop online. One of the most enticing
factors about online shopping, particularly during holiday season is, it alleviates the need
to wait in long lines or search from a store for a particular item. Varieties of goods are
available in online. So the researcher wants to know the preference of the consumers. So
one hundred respondents were met and data were collected regarding their preference
towards shopping online. The customers are satisfied with lower price, discount facility
and different types of offer, exchange facility of the defect products as well as online
payment system.

3.2 CONCLUSION

Online shopping has become one of the important platforms for consumers to get
different benefits while shopping through it. There are a lot of reasons why consumer
today prefer shopping online. Some of them of them are: it is more convenience, price
comparison, no crowds so that you can observe everything from home and can get the
product deliver at home and have the facility to pay through online or as well as cash.
There are negative impacts of online shopping too. Consumers are not getting the product
as they have ordered. They have to compromise on quality and some consumers are not
getting the exchange facility of the defect products. Satisfaction level of consumer, the
exchange facility of the defect products, price of the products and it attached facilities
like discount and offers, quality of the products and delivery time of the product after the
order is placed will have great impacts on consumer’s perception on products through
online shopping.

3.3 RECOMMENDATIONS

The some of the points I would like to recommend under my research topic, customer
perception towards online shopping in Bhairahawa city. The main objective of my
research is to identify the perception of customers towards online shopping. Based on the
findings some of the following recommendations have been made.

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 Government should make proper laws and regulations regarding the conservation
of consumers right on online shopping.
 Government should make regulations from both prospects that are consumer as
well as online sites.
 Online shopping sites should aware customers regarding how security regarding
consumers regarding credit card number is maintained by the companies.
 Online sites should make aware consumers regarding return policy and
procedures if wrong or bad products deliver.
 Companies should make returning policy simpler, like few companies to recent
products if any wrong or bad product arrived. Instead of these companies should
collect products from consumers and deliver right product to them in minimum
time.
 Online sites must be concern about consumer secrecy and more privacy should
be implemented.
 Many online sites have been demonstrating one and delivering the other product
so government must monitor such activities and take the action to those fraud
sites.
 Many online sites like Daraz have been showing different offers and discounts
on online but charging the high price on products than the actual price which
must be stopped.
 Consumers are facing the problem of low quality products while shopping on
online so online sites must have concern on product quality rather than on price.

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REFERENCE

Aluko, M. A. O. (2003). The impact of culture on organizational performance in selected

textile firms in  Nigeria. Nordic Journal of African Studies, 12(2), 164-179.

Aziz, N. N. A., & Wahid, N. A. (2018). Why Consumers are Hesitant to Shop Online:
The Major Concerns towards Online Shopping. International Journal of Academic
Research in Business and Social Sciences, 8(9), 1175–1185.

Bauer, H. H., Falk, T., & Hammerschmidt, M. (2006). eTransQual: A transaction

process-based approach for capturing service quality in online shopping. Journal of
Business Research, 59(7), 866-875.

Bhuyan, S. (2016). Factors influencing buying decision of online shoppers in Pune city.
International Journal of Advance Engineering and Research Development, 3(11), 111-
122.

Cetină, I., Munthiu, M-C., & Rădulescu, V. (2012). Psychological and social factors that
consumer behavior. Procedia - Social and Behavioral Sciences, 62 (2012), 184 -188.

Debei, M. M., Akroush, M. N & M. I. Ashouri (2015). Consumer attitudes towards

online shopping: the  effects of trust, perceived benefits, and perceived web quality.
Internet Research, 25(5), 707-733.

Jadhav, V., & Khanna, M. (2016). Factors Influencing Online Buying Behavior of
College Students:A Qualitative Analysis. The Qualitative Report, 21(1),1-15. 

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 https://doi.org/10.46743/2160-3715/2016.2445

Jahwari, N.S., Khan, M.F.R., Al Kalbani, G.K., & Al Khansouri, S.S. (2018). Factors
influencing customer satisfaction of online shopping in Oman:Youth perspective.
Humanities & Social Science Reviews, 6(2), 64- 73.

Pappas, I. O., Pateli, A. G., Giannakos, M. N., & Chrissikopoulos, V. (2014). Moderating
effects of online shopping experience on customer satisfaction and repurchase
intentions. International Journal of Retail & Distribution Management.

APPENDI

Survey Questionnaires

Dear Respondent,

I am Bachelors a student of Bhairahawa Multiple Campus as a part of course requirement

of BBA programs of Tribhuvan University. I am conducting a research entitle “A Study
on Customer perception towards online shopping in Bhairahawa city.”

I would like to request you for the contribution of your valuable time on responding to
the attached questions below. Your responses would be great contribution to this
research. I would like to assure that the information provided in this regard will be treated
in the strictest confidence and will be used for the study purpose only.

Thank you for your time and support

Respondent’s profile

a) Please specify your age:

o 15-20
o 21-25
o 26-30
o 30 above

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b) Please specify your gender:

o Female
o Male
o Prefer not to say

c) Please specify your occupation:

o Self employed
o Job holder
o Unemployed

Please respond on your preferred option

a) What attracts you the most on online shopping?

o Reasonable price
o Good quality product
o Easy online selection and purchase option
o Discounts and offers
o Others

b) Select the payment mode normally adopted by you in internet shopping?

o Online payment
o Cash on delivery

c) How often do you shop online?

o Frequently
o Regular
o Occasionally
o Rarely

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d) Which gadget is mostly use by you to shop online?

o Laptop
o Others
o Smartphone

e) Which online shopping site do you use the most?

o Daraz
o Pretty click
o Basemark
o Foody
o Others

Tick the following box depending on your personal choice:

Strongly Agree neutral disagree Strongly
disagree
Agree

Satisfaction
level

Exchange
facility

Price

Quality

Delivery
time

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36