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St.

Mary’s Academy
Guagua, Pampanga

In partial fulfilment of the requirements

For Inquiries, Investigation and Immersion (III)

Virtual Shopping: Consumer Behaviour towards Online Shopping

Banzil, Francis Daniel G.

Esguerra, Crystal T.

Jao, Ernest P.

Manlangit, Airah Mae P.

Nacpil, Mary Jane F.

Navarro, Francis Micaela L.

April 2021
Consumer Behaviour towards Online Shopping

Table of Contents

Abstract …………………………………………………………………………………..1

I. Introduction
Background of the Study………………………………………………….2
Review of Related Literature……………………………………………...3
Significance of the Study………………………………………………….4
II. Research Methodology
Research Design…………………………………………………………...5
Research Locale……………………………………………………………6
Participants…………………………………………………………………6
Research instruments……………………………………………………….6
Data Collection Procedure………………………………………………….7
Data Analysis……………………………………………………………….7
III. Findings……………………………………………………….……………8-9
IV. Discussion…………………………………………………………………..9-11
V. Limitations of the Study……………………………………………………11
VI. Recommendations…………………………………………………………..12
VII. Conclusion…………………………………………………………………...13
Reference List…..…………………………………………………………………….14
Appendices……………………………………………………………………………15
Consumer Behaviour towards Online Shopping 1

Abstract

With the increasing popularity of online shopping nowadays, it is important to understand

consumer behavior when purchasing products online. In this study, a total of five participants were

chosen through purposive sampling technique. The participants all reside in Pampanga. The

researchers formulated questions relevant to the study and looked for professionals to validate

these questions. An interview was conducted through online and the results showed four themes,

namely: (1) Convenience, (2) Privacy and Security Risks, (3) Time saving, and (4) Product review.

The beneficiaries of this study are recommended to use the gathered information as a guide when

shopping online and to create marketing strategies that will provide a good online shopping

experience to consumers.

Keywords: online shopping, consumer behaviour


Consumer Behaviour towards Online Shopping 2

Introduction

Background of the Study

The trend of online shopping has increased rapidly over the years ever since the internet

became influential and accessible to most people. According to the UCLA Center for

Communication Policy (2001), online shopping has become the third most popular Internet

activity, following emailing and web browsing. It is one of the most common transactions

nowadays because it does not only offer convenience to the customers but it also gives huge

advantages to business organizations by reducing the sales and marketing cost as well as the overall

operational cost and increases efficiency and maximizes profit margin. Furthermore, Alsuwat

(2013) signifies that more and more organizations are shifting from bricks to clicks due to new

opportunities as well as challenges that have emerged in the market. Hence, online shopping has

obviously become the new business trend in the twenty first century.

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. People browse through social media

or a website to look for products that they could purchase in order to satisfy their needs and wants.

Unlike in a physical store, all goods in online stores are described through text, photos, and

multimedia files. And if the consumers want more information about the product, the seller can

provide them a link that they could go through to answer their queries. On the other hand, online

consumers can be different from one another, from the way they interact or the way they converse

with online sellers. Some can be fun seeker and shopping lover, while some can be technology

muddler who hates waiting for a long time for a product to be shipped. That is why online

consumer behaviour became an area for research to understand the nature of online shopping.
Consumer Behaviour towards Online Shopping 3

The primary goal of business organizations is to offer products and services that best serve their

consumers’ needs. A business who is able to bring their consumers into satisfaction is most likely

to be more successful for satisfied buyers tend to make a repetitive purchase. And due to

modernization and fast- paced life, the number of people who shops online is most likely to

increase in the future. Thus, the purpose of this study is to understand the consumer behaviour

towards online shopping and the factors that influences them to shop online.

Review of Related Literature

Kuester (2012) defined consumer behaviour as the study of individuals, groups, or

organizations and the processes they use to select, secure, and dispose products, services,

experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer

and society. With the reference of what is cited; Consumer behaviour of every individual is

different from each other depending on buying choices which is influenced by buying habits and

choices that are turn tampered by psychological and social drivers that affect purchase decision

process. (Brassington, F. and Pettitt, S., 2000)

“We’re not aware of changing our minds even when we do change our minds. And most people,

after they change their minds, reconstruct their past opinion — they believe they always thought

that.” (KEYS, 2011). Consumer behaviour is difficult to define and it is a system of short cuts and

rule of thumb which is unpredictable. The short cuts in decision making vary from person to person

and focusing on the past experience of consumers; we can predict the future trends by bringing

profitable products and services into the market.

According to Lakshmi. S (2016) consumer behaviour can be explained in four dimensions: First

is through the personal characteristics of a person, which means a person’s age, gender, occupation,
Consumer Behaviour towards Online Shopping 4

income status, education, and lifestyle. Second is the psychological characteristics which involves

the motivation, perception, personality, attitude, and emotion of a consumer as they

psychologically question themselves if they should purchase a certain product. Third is the social

characteristics which refers to the reference groups or virtual communities where consumers can

see discussions or opinions of other consumers about their experiences and opinions regarding a

product that is purchased in a website. Lastly is the cultural characteristics which refers to a

person’s culture or beliefs that affects how they give and receive information, and how they make

decisions.

Significance of the Study

The findings which this study will reveal, may benefit certain groups and the benefits they

may be able to gain are as follows:

Online consumers – the results of this study will be beneficial to this group because it will give

them awareness regarding the factors that influences consumers like them when purchasing a

certain product online, and they can also apply these factors when making their own purchase

decisions

Online sellers – the results of this study will be beneficial to this group because understanding

consumer behaviour will help them formulate appropriate marketing strategies to capture the

demands of consumers and enhance their online shopping experience.

Future researchers – the ideas presented in this study may be used as a reference data and a

source for additional information. This can also serve as their guide in case they want to conduct

a study regarding the same topic.


Consumer Behaviour towards Online Shopping 5

Present Study

The previous study shows the four dimensions of consumer behaviour which are personal

characteristics such as age, gender, occupation, income status, education, and lifestyle. Second is

psychological characteristics like a person’s motivation, perception, personality, attitude, and

emotion. Third is social characteristics which refers to the opinions and experiences of consumers

when purchasing a product online. And lastly are the cultural characteristics which refers to a

person’s cultures and beliefs. While this study will attempt to find out how consumers behave

while shopping online, the factors that influences them to shop online, and analyse if these

characteristics also affects consumer online buying behaviour.

Research Methodology

Research Design

A qualitative research was conducted to obtain the needed data in this study. Specifically,

a phenomenology study was utilized to understand consumer behavior while shopping online. The

researchers used qualitative method to come up with non – numerical data and phenomenology

study in order to determine and explore the lived experiences of people about a particular

phenomenon. The participants were interviewed about their experiences in online shopping with

open – ended questions. The researchers then examined the answers of the participants to find out

consumer behavior while shopping online and the factors that influences online buying behavior.
Consumer Behaviour towards Online Shopping 6

Research Locale

The study was conducted in the Philippines. The researchers chose participants that are

residing in Pampanga. They were interviewed through video call in their houses or any comfortable

place they chose to. The study was conducted in the second semester of the academic year 2020 –

2021.

Participants

Participants (N = 5, M = 18, SD = .45) were chosen using a type of non – probability

sampling which is the purposive sampling to access a particular subset of people which are online

consumers. Five participants were approached; four females and one male, all of them are online

shoppers who purchase goods and services online for three or more times in a month. The selected

participants provided the researchers insights regarding the phenomenon under investigation

which is online buying behavior.

Research Instruments

To understand consumer behavior while shopping online, a semi – structured interview

was conducted through video call utilizing the messenger application where the participants

answered questions formulated by the researchers to come up with the needed information that

will satisfy the objectives of the study. The researchers made use of an interview guide to ensure

that all questions were covered. Furthermore, the researchers also made use of an audio recorder

throughout the whole duration of the interview to record spontaneous responses, along with a video

recorder to take down unexpected responses.


Consumer Behaviour towards Online Shopping 7

Data Collection Procedure

Before the data collection, the researchers received an approval from the panelists to be able

to conduct the study. They then formulated six questions that were related to the topic and then

looked for professionals with knowledge regarding consumer behavior to examine and validate

the questions for possible revisions and to ensure appropriateness. Purposive sampling was used

to choose the participants, and then later on informed consents and personal data sheets were sent

to ensure that they willingly participated in the study and approved of being recorded throughout

the whole interview. All participants that participated gave out responses to the questions asked

by the researchers.

Data Analysis

After the interview, the researchers listened to the recordings and transcribed it.

Transcribing is the process of putting spoken words into writing in order to come up with findings

that will soon be discussed in the paper. The researchers also translated some parts of the interview

into English because some of the participants made use of the Filipino language on their answers

for the interview. The researchers then did a coding process, where they grouped and labelled the

information with the similar concepts into themes. While the irrelevant information and details

were disregarded from the study.


Consumer Behaviour towards Online Shopping 8

Findings

The themes that follows are those that emerged from the data analysis conducted by the

researchers based on the answers of the participants. These themes are; convenience, privacy and

security risks, time saving, and product review.

Convenience

Majority of the participants described online shopping as convenient because with just one

click the product is already going to be delivered at their home without any hassle. There is no

need for them to go outside, instead they can just shop inside their homes or anywhere because all

they have to do is to click, fill up the delivery information, and then the item will automatically be

shipped at their location. One of the participants stated that compared to personal shopping, it is

very tiring because you have to transfer from different stores when buying products because there

are times they are not located in one place. The participants also noted how convenient online

shopping is now that we are in this time of pandemic because since it is risky to go outside, online

shopping lessens the need to do that and having physical contact with people.

Privacy and Security Risks

One of the concerns of participants when it comes to online shopping is their data

information might be used in a wrong way. As we all know, in order to purchase a product online

you need to provide certain information such as your name, address, and phone number, all of

these are considered to be personal information of a person that can be stolen by hackers and use

for their own personal interests.


Consumer Behaviour towards Online Shopping 9

Time Saving

Online shopping helps consumers to save time when purchasing for the products that they

want. Participants have stated how this is one of the reasons why they shop online and consider

this as one of the advantage when shopping online. Unlike with personal shopping, online

shopping does not require them to go outside the comfort of their own homes. This helps save time

because there is no need to travel to go to the actual store but rather it can be done inside the house

or anywhere the consumers want to.

Product Review

In online shopping behaviour, reviews and ratings of a particular product have an impact

on the purchase decision of the consumers. Participants stated that a good review or rating of a

product is what motivates them to shop online. If they see that a product has a good review from

previous consumers, then they will purchase it.

Discussion

In the study conducted, four themes emerged: convenience, privacy and security risks, time

saving, and product review.

Convenience is the theme that came out the most among the participants. It is the best aspect of

online shopping and is the very main reason why people chose to shop online instead of personal

shopping. In a study conducted by Darian (1987) it was mentioned that online shoppers carry

multiple benefits in terms of convenience, such as less time consuming, flexibility, very less

physical effort etc. Bhatnagar and Ghose (2004) claims for convenience as one of the most

important advantage for online shopping. According to the Robinson, Riley, Rettie and Wilsonz
Consumer Behaviour towards Online Shopping 10

(2007) the major motivation for online purchasing is convince in terms of shop at any time and

having bundles of items delivered at door step.

Consumers would choose to shop because with it, there is no need for them to go outside in the

comfort of their homes especially now in this time of pandemic where it is risky go outside, but

instead, they can purchase the products that they want through an app or through a website. Then

all they have to do is to fill up the delivery and purchase information and wait for the product to

be delivered to their location.

The second theme is privacy and security risks. Online shops usually requires to register personal

information of their consumers such as name, address, and contact number. This became a concern

towards one of the participants as they are worried that their personal information might be used

by hackers in their own personal interest. However, in a literature review regarding consumer

privacy concerns and behaviour conducted by Sambada, Jagdish & Bhayani, Sanjay. (2018), it was

observed that consumers are not always aware about their privacy. Their privacy concerns are

mainly about their loss of control over personal information, ineffectiveness of Government

regulations and privacy policies, lack of trust in the companies and ineffectiveness of

privacy protecting technologies.

The third theme that emerged from the study was time saving. It is one of the most influential

factors when it comes to online shopping because time is one of the resource that is being

consumed the most when people choose to shop on physical stores. Through online shopping,

consumers are able to save time and effort because when they want to look for a particular product

they can just search it up and variety of choices will appear in their screens. There is also no need

for them to leave their homes to go to an actual shop because they can just do it at their own homes.
Consumer Behaviour towards Online Shopping 11

And according to Rohm and Swaminathan’s (2004), one possible explanation that online shopping

saves time during the purchasing of goods is because it can eliminate the traveling time required

to go to the traditional store. Morganosky and Cude (2000) have also concluded that time saving

factor was reported to be primary reason among those consumers who have already experienced

the online grocery buying. So the importance of the time saving factor can be a motivation behind

online purchasing.

Lastly is product review. In this theme it shows how the reviews of previous consumers can affect

the purchase decision of other consumers when it comes to purchasing a particular product. This

theme can also be considered as one of the social characteristics that was mentioned in the present

study by Lakshmi. S (2016) regarding the four dimensions on how consumer behaviour can be

explained. These product reviews are from reference groups and virtual communities where

consumers can see the discussions and opinions of other consumers who previously purchased the

product. Consumers read the opinions of other consumers to make an assessment whether the

purchase made by these buyers was successful or not. If the reviews of a particular product was

good then they are more likely to purchase the product as well.

Limitations of the Study

The study has limitations that were experienced beforehand and along the way it was being

conducted.

The first limitation experienced by the researchers was there were no local literature based in the

Philippines that could have served as their guide in the study. Second, the researchers have

limitations during the data collected because due to the pandemic, interviews were conducted

through video call via messenger. Third, there was difficulty in finding time to conduct the
Consumer Behaviour towards Online Shopping 12

interview because the participants have busy schedules. And lastly, the answers of the participants

were very limited and were not detailed enough to gather many information regarding the study.

Recommendations

The following are the beneficiaries of the study along with the recommendations of the

researchers.

Online Consumers: They are considered to be the pivot of every business. They deserve to be

satisfied when it comes to the product that they purchased along with protection for their privacy.

The researchers therefore recommends for them to rely on the reviews made by other consumers

regarding a particular product before deciding to make a purchase. They should be aware of the

seller’s information and make sure if it is guaranteed seller to ensure a good online shopping

experience.

Online sellers: The results of this study may be used by the online sellers to improve their service

or develop marketing strategies that could increase their product sales. Based on the answer of the

participants, it can be seen that two of the reasons why they shop online is because of the

convenience and the time that is being saved when it comes with it. The reviews made by other

consumers also affects their purchase decisions and they also have concerns when it comes to their

personal information. The researchers therefore recommends for online sellers, to always ensure a

good online shopping experience to their consumers. Make sure that the product being delivered

to them is right or what they asked for, in order to avoid refunds and returns which can cause hassle

in the part of the consumers. Through this, they will be able to leave good reviews regarding their

product and service which can also influence others to purchase from them.
Consumer Behaviour towards Online Shopping 13

Future Directions

The researchers recommend future researchers who will be conducting a study regarding

the same topic to gather more information about consumer behaviour. They can make use of a

quantitative approach where they can gather more participants and utilize questionnaires in order

to gather data. The researchers also recommend to find more literature that can further prove the

credibility of the study. Lastly, find a local literature to understand consumer behaviour in a local

setting.

Conclusion

Consumer behaviour refers to how individuals make decisions when it comes to purchasing

a product or acquiring services. It is very different when it comes to purchasing products through

an online store to purchasing products from an actual shop. There are factors that influences the

purchase decisions’ of the consumers. And these factors are: convenience, privacy and security

risks, time saving, and product review.

To sum up, most of the consumers find online shopping convenient to use. It is flexible, time-

saving and less work to do. In just one click you can easily buy the product you want, in other

words it is less hassle. Consumers can shop wherever they are, it might be at their home, work, or

any place that they’re at. They can also purchase the product easily and quickly, all they have to

do is choose the product that they want, fill up the information needed and pay the product and

after that it will be automatically shipped to their place. In the process of choosing the product, the

consumers consider and read the ratings and reviews of the products made by previous consumers.

Good ratings and reviews helps them to decide if they should buy the product or not. And the only

main concern of the consumers is their privacy. Since when they are purchasing a product, they

have to give personal information such as name, address, email, and phone number. Consumers
Consumer Behaviour towards Online Shopping 14

worry about that their information might be used in a wrong way. Hackers are all over the

community, they might use the information for fraud and other crimes.

References

Bashir, A. (2013). Consumer Behavior towards Online Shopping of Electronics in Pakistan.


https://www.theseus.fi/bitstream/handle/10024/53661/Thesis.pdf

Sultan, M. U. and Uddin, M.N. (2011). Factors Influencing Gotland Consumers to Shop Online.
Consumers’ Attitude towards Online Shopping
https://www.diva-portal.org/smash/get/diva2:420724/FULLTEXT01.pd

Jawa, H. A., & Chaichi, K. (2015). Factors Influencing Consumer Behavior Towards Online
Shopping in Saudi Arabia. International Journal of Multicultural and Multireligious
Understanding, 2(4), 1-10 https://ijmmu.com/index.php/ijmmu/article/viewFile/19/19
Rahman, M. A., Islam, M. A., esha, B. H., Sultana, N., & Chakravotry, S. (2018). Consumer
buying behavior towards online shopping: An empirical study on Dhaka city,
Bangladesh. Cogent Business & Management, 5(1), 1–22.
https://doi.org/10.1080/23311975.2018.151494

Sambada, J. (2018). A Review of Literature on Consumer Privacy Concerns and Behaviour.


International Journal of Management Studies, 3(9), 23.
http://dx.doi.org/10.18843/ijms/v5i3(9)/04

Robinson, M., & Surya, R. (2019). Consumer Awareness about Privacy and Security Risk for
Online Shopping. International Journal of Trend in Scientific Research and Development
(IJTSRD), 3(3), 394–397.
http://www.ijtsrd.com/papers/ijtsrd21695.pdf

Vasić, N., Kilibarda, M., & Kaurin, T. (2019). The Influence of Online Shopping Determinants
on Customer Satisfaction in the Serbian Market. Journal of Theoretical and Applied
Electronic Commerce Research, 14(2).
https://doi.org/10.4067/S0718-18762019000200107

Lakshmi. S., (2016). Consumer Buying Behavior Towards Online shopping. International
Journal of Research-Granthaalayah, 4(8), 60-65
https://doi.org/10.5281/zenodo.60696
Consumer Behaviour towards Online Shopping 15

Appendices

A. Informed Consent Form

Virtual Shopping: Consumer Behavior towards Online Shopping


Research Title

Information and Purpose: The interview for which you are being asked to participate in, is a
part of a research study that is focused on examining consumer behavior towards online
shopping. The purpose of this study is to know how consumers behave while shopping online
and the factors that influences online shopping behavior. The study is a phenomenological study
as it seeks to understand and describe the lived experiences of the participants.

Your Participation: Your participation in this study will consist of answering five questions and
shall take approximately 30 - 40 minutes of your time. You may pass on any question that makes
you feel uncomfortable. There is no penalty for discontinuing participation.

Benefits and Risks: The benefit of your participation is to contribute information in knowing
behavior of consumers when shopping online and the factors that influences them to shop
online. The gathered data will help the researchers have stronger basis for their research theories
and be able to complete the research on time. There are no risks associated with participating in
the study.

Confidentiality: Your name and identifying information will not be associated with any part of
the written report of the research. All of your personal information and answers will be kept
confidential. The researcher will not share your individual answers or personal data with anyone
other than the research supervisor.

If you have any questions or concerns, please contact Micaela Navarro (09494592840). By
signing below I acknowledge that I have read and understand the above information. I am aware
that I can discontinue my participation in the study at any time.

Signature: ____________________________________________ Date: ______________

B. Personal Data Sheet


Personal Data Sheet
Name:
Age:
No. of times shopping online:

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