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A

PROJECT REPORT
ON

"A STUDY OF CONSUMER BEHAVIOUR ON ONLINE


SHOPPING "
A group project report submitted to the department of
commerce, Osmania University in partial fulfilment of the
requirement for theaward of the degree of

BACHELOR IN COMMERCE (COMPUTER APPLICATIONS)

Submitted by
BATHULA GANESH RAJ [1118-21-405-010]

JAYDEV SINGH [1118-21-405-037]


A. SAHIL SINGH [1118-21-405-006]
P. RAKESH [1118-21-405-074]

Under the guidance of


Ms. BEENAMONI RAMYA, M.COM

DEPARTMENT OF COMMERCE

LAL BAHADUR DEGREE COLLEGE


(AFFILIATED TO OSMANIA UNIVERSITY, HYDERABAD)
Near Mehdipatnam, Hyderabad, Telangana

500028(2021-2024)
LAL BAHADUR DEGREE COLLEGE
(AFFILIATED TO OSMANIA UNIVERSITY HYDERABAD)
Mehdipatnam, Hyderabad

CERTIFICATE
This is to certify that BATHULA GANESH RAJ [1118-21-405-

010], JAYDEV SINGH [1118-21-405-037], A. SAHIL SINGH [1118-21-405

-006]

P. RAKESH [1118-21-405-074] are the bonafide students of B.com


(COMPUTER APPLICATIONS) III Year in Lal Bahadur Degree College. We have
worked on the project titled "A STUDY OF CONSUMER BEHAVIOUR ON
ONLINE SHOPPING", under the supervision and guidance of Ms. BEENAMONI
RAMYA, Lecturer in the Commerce Department of this college.

Ms. BEENAMONI RAMYA


SMT.N. JYOTHIRMAI PROJECTSUPERVISOR
PRINCIPAL

EXTERNAL SIGNATURE COLLEGE STAMP


DECLARATION

We, BATHULA GANESH RAJ, JAYDEV SINGH, A. SAHIL SINGH, P. RAKESH students of Lal

Bahadur Degree College, Hyderabad, bearing H.T.NO:1118-21-405- 010, 1118-21-405-037, 1118-

21-405-006, 1118-21-405-074, do hereby declare that the project "CONSUMER BEHAVIOUR ON

ONLINE SHOPPING" is an original piece of work and bonafide by us.

The results drawn thereon are based on data collected originally by us for
the purpose of this research. Secondary data wherever used has been duly
acknowledged and cited appropriately in the report. No part of this report has
been submitted for evaluation elsewhere for the award of any degree.

Date:
Place: Hyderabad

BATHULA GANESH RAJ

JAYDEV SINGH

A. SAHIL SINGH

P. RAKESH
ABSTRACT

The study on “Consumer behaviour on online shopping” which is to find

out why consumers prefers online shopping over ofline shopping. Mainly in the

retail industry online shopping has become popular, So the most of the

companies in market depends on online and to make all understand about the

light and the variety of products speed of delivery internet speed, pricing of the

products and many other and also how they affect the consumer decision

making process.
ACKNOWLEDGEMENT

We wish to acknowledge with deep gratitude for the valuable support


received from our beloved chairman SRI.N.MADHUSUDHAN RAO GARU in
every aspect in making this success.

We express Our Cardinal thanks to our beloved honourable principal,


SMT.N.JYOTHIRMAI GARU for the valuable support and cooperation.

It is a matter of immense pleasure & privilege to pay special regards


and thanks to our faculty MS.BEENAMONI RAMYA, M.Com without whose
guidance, inspiration and personal interest it wouldn't have been possible to
complete the work.

We express our appreciation to our parents and our friends for their
whole hearted support and suggestion, which helped us in the completion of
our project work.
INDEX

CHAPTERNO. CONTENTS PAGE.NO.

1. Introduction 1-3

2. Objectives and Research Methodology 4-10

3. Company profiles 11-16

4. Data Analysis and Interpretations 17-29

5. Findings, Suggestions and Conclusion 30-32

Bibliography 33-34

Annexure 35-38
LIST OF TABLE’S

S.
PAGE.
N TABLES NO
O
1.
GENDER
18
AGE
2. 18

3. MARITAL STATUS OF RESPONDENTS


19

4. EDUCATION QUALIFICATION OF RESPONDENTS


19

5. OCCUPATION OF THE RESPONDENTS 20

6. ANNUAL INCOME OF THE RESPONDENTS 21

HAVE YOU EVER PURCHASED ONLINE


7. 21

8. IF YES, WHAT TYPE OF PRODUCTS/SERVICES DO YOU BUY ONLINE 22

9. IF NO, PLEASE SPECIFY THE REASON 23

HOW OFTEN DO BUY PRODUCTS/SERVICES ONLINE?


10. 23

HOW MANY TIMES DID YOU HAVE SHOPPING DURING LAST ONE MONTH?
11. 26

12. HOW MUCH DID YOU SPEND ON SHOPPING DURING LAST ONE MONTH? 26

13. DO YOU USE INTERNET PRIOR TO PURCHASE FOR COLLECTING 27


INFORMATION

14. IF YES HOW OFTEN? 27


WHERE DO YOU MAINLY DO YOUR SHOPPING?
15. 27

16. DO BRAND NAMES INFLUENCE YOU PURCHASING A TYPE OF PRODUCTS? 27

17. DO YOU TEND TO BUY MORE WHEN THERE ARE SALE AND 28
SPECIAL OFFERS ON?

18. WHAT INFLUENCES YOU THE MOST TO SHOP IN A SPECIFIC WEB 28


STORE?

19. DOES ADVERTISEMENT EFFECT ON YOUR SHOPPING? 29


LIST OF GRAPHS

S. GRAPHS PAGE.N
NO O

1. GENDER 18

2. AGE 18

3. MARITAL STATUS OF RESPONDENTS 19

4. EDUCATION QUALIFICATION OF RESPONDENTS 20

5. OCCUPATION OF THE RESPONDENTS 20

6. ANNUAL INCOME OF THE RESPONDENTS 21

7. HAVE YOU EVER PURCHASED ONLINE 21

8. 22
IF YES, WHAT TYPE OF PRODUCTS/SERVICES DO YOU BUY ONLINE

9. 23
IF NO, PLEASE SPECIFY THE REASON

10. 24
HOW OFTEN DO BUY PRODUCTS/SERVICES ONLINE?

11. 24
HOW MANY TIMES DID YOU HAVE SHOPPING DURING LAST ONE MONTH?

12. HOW MUCH DID YOU SPEND ON SHOPPING DURING LAST ONE MONTH? 25

13. DO YOU USE INTERNET PRIOR TO PURCHASE FOR COLLECTING INFORMATION 26

14. IF YES HOW OFTEN? 26

15. WHERE DO YOU MAINLY DO YOUR SHOPPING? 27

16. DO BRAND NAMES INFLUENCE YOU PURCHASING A TYPE OF PRODUCTS? 27

17. DO YOU TEND TO BUY MORE WHEN THERE ARE SALE AND SPECIAL OFFERS ON? 28

18. WHAT INFLUENCES YOU THE MOST TO SHOP IN A SPECIFIC WEB STORE? 28

19. DOES ADVERTISEMENT EFFECT ON YOUR SHOPPING? 29


CHAPTER-I
INTRODUCTION
INTRODUCTION
CONSUMER BEHAVIOUR
Consumer behaviour is the study of individuals, groups, or organisations and all the activities
associated withthe purchase, use and disposal of goods and services. Consumer behaviour consists
of how the consumer's emotions, attitudes, and preferences affect buying behaviour. Consumer
behaviour emerged in the 1940–1950s as a distinct sub-discipline of marketing, but has become an
interdisciplinary social science that blends elements from psychology, sociology, social
anthropology, anthropology, ethnography, ethnology, marketing, and economics (especially
behavioural economics).
The study of consumer behaviour formally investigates individual qualities such as
demographics, personality lifestyles, and behavioural variables (such as usage rates, usage
occasion, loyalty, brand advocacy, and willingness to provide referrals), in an attempt to understand
people's wants and consumption patterns. Consumer behaviour also investigates on the influences
on the consumer, from social groups such as family, friends, sports, and reference groups, to society
in general (brand-influencers, opinion leaders).
Research has shown that consumer behaviour is difficult to predict, even for experts in the
field; however, new research methods, such as ethnography, consumer neuroscience, and machine
learning[1] are shedding new light on how consumers make decisions. In addition, customer
relationship management (CRM) databases have become an asset for the analysis of customer
behaviour. The extensive data produced by these databases enables detailed examination of
behavioural factors that contribute to customer re-purchase intentions, consumer retention, loyalty,
and other behavioural intentions such as the willingness to provide positive referrals, become brand
advocates, or engage in customer citizenship activities. Databases also assist in market
segmentation, especially behavioural segmentation such as developing loyalty segments, which can
be used to develop tightly targeted customised marketing strategies on a one-to-one basis. (Also
see relationship marketing).

Origins of consumer behaviour


In the 1940s and '50s, marketing was dominated by the so-called classical schools of thought which
were highly descriptive and relied heavily on case study approaches with only occasional use of
interview methods.At the end of the 1950s, two important reports criticised marketing for its lack of
methodological rigor, especially the failure to adopt mathematically-oriented behavioural science
research methods. The stage wasset for marketing to become more inter-disciplinary by adopting a
consumer-behaviourist perspective.
From the 1950s, marketing began to shift its reliance away from economics and towards other
disciplines, notably the behavioural sciences, including sociology, anthropology, and clinical
psychology. This resulted in a new emphasis on the customer as a unit of analysis. As a result, new
substantive knowledge was added to the marketing discipline – including such ideas as opinion
leadership, reference groups, and brand loyalty. Market segmentation, especially demographic
segmentation based on socioeconomic status (SES) index and household life-cycle, also became
fashionable. With the addition of consumer behaviour, the marketing discipline exhibited increasing
scientific sophistication with respect to theory development and testing procedures.

1
In its early years, consumer behaviour was heavily influenced by motivation research, which had
increased the understanding of customers, and had been used extensively by consultants in the
advertising industry and also within the discipline of psychology in the 1920s, '30s, and '40s. By the
1950s, marketing began to adopt techniques used by motivation researchers including depth
interviews, projective techniques, thematic apperception tests, and a range of qualitative and
quantitative research methods. More recently, scholars have added a new set of
tools including ethnography, photo-elicitation techniques, and phenomenological interviewing.
Today, consumer behaviour is regarded as an important sub-discipline within marketing and is
included as a unit of study in almost all undergraduate marketing programs.
Definition and explanation
Consumer behaviour entails "all activities associated with the purchase, use and disposal of goods
and services, including the consumer's emotional, mental and behavioural responses that precede or
follow these activities." The term consumer can refer to individual consumers as well as
organisational consumers, and more specifically, "an end user, and not necessarily a purchaser, in
the distribution chain of a good or service." Consumer behaviour is concerned with:
● purchase activities: the purchase of goods or services; how consumers acquire products and
services, and all the activities leading up to a purchase decision, including information search,
evaluating goods and services, and payment methods including the purchase experience
● use or consumption activities: concerns the who, where, when, and how of consumption and
the usage experience, including the symbolic associations and the way that goods are
distributed within families or consumption units
● disposal activities: concerns the way that consumers dispose of products and packaging;
may also include reselling activities such as eBay and second-hand markets
Consumer responses may be:
● emotional (or affective) responses: refer to emotions such as feelings or moods, mental (or
cognitive) responses: refer to the consumer's thought processes, their
● behavioural (or conative) responses: refer to the consumer's observable responses in
relation to the purchase and disposal of goods or services.
According to the American Marketing Association, consumer behaviour can be defined as "the
dynamic interaction of affect and cognition, behaviour, and environmental events by which human
beings conduct theexchange aspects of their lives."
As a field of study, consumer behaviour is an applied social science. Consumer behaviour analysis is
the "use of behaviour principles, usually gained experimentally, to interpret human economic
consumption." As a discipline, consumer behaviour stands at the intersection of economic
psychology and marketing science.

2
Need for studying consumer behavior

□ To survive in the market, a firm has to be constantly innovating and understand the latest
consumer
needs and tastes. It will be extremely useful in exploiting marketing opportunities and in
meeting the challenges that the Indian market offers.
□ It is important for the marketers to understand the buyer behavior due to the following reasons.
□ The study of consumer behavior for any product is of vital importance to marketers in
shaping the fortunes of their organizations.
□ It is significant for regulating consumption of goods and thereby maintaining economic stability.
□ It is useful in developing ways for the more efficient utilization of resources of marketing. It
also helpsin solving marketing management problems in more effective manner.

3
CHAPTER-II
Objectives and Research Methodology

4
Scope of Consumer Behaviour:

□ To define the scope of a subject it is important to set parameters or a framework within


which it shall be studied.
□ Figure on next slide presents one such framework for studying consumer behavior.
□ This framework is made up of three main sections-the decision process as represented
by the
inner-most circle, the individual determinants on the middle Circle and the external
environment which is represented by the outer circle.
□ The study of all these three sections constitutes the scope of consumer behavior

5
Significance of Consumer Behaviour

□ Customer retention
□ Improve customer service
□ Competition
□ Effective marketing
□ Market trends
□ Product innovation
□ Adapting to changing consumer trends
□ Consumer differentiation
□ Developing new products
□ Habitual buying
□ Variety- seeking buying behavior
□ Decision
□ Effective production system
□ Increase sales

6
OBJECTIVES OF STUDYING CONSUMER BEHAVIOUR:
• Understanding consumer needs and preferences

• Predicting consumer buying behaviour

• Exploring decision-making processes of consumer.

• Assessing customer satisfaction and loyalty

• Adapting to changing consumer trends for understanding changes taught in the process of consumer.

HYPOTHESIS :
The hypothesis that certain demographic factors, such as age, income, and education, influence
consumer behavior in predictable ways. For example, younger consumers may be more likely to buy
trendy or innovative products, while older consumers may prefer more traditional or established
brands.

HYPOTHESIS FORMULATION:
H0: Consumer behavior helps on Predicting consumer buying behavior.
Ha: Consumer behavior doesn’t help on Predicting consumer buying behavior

7
ADVANTAGE OF STUDY OF CONSUMER BEHAVIOUR:
1. Saves from disaster

The failure rate of new product is surprisingly high not only in highly competitive economies of USA,
Europe and Japan etc. but even in India. For instance, Roohafza of Hamdard succeeded well but
when other companies tried like the Dabur to produce similar products they could not succeed.
Dabur had to stop production of Sharbat, because consumers did not like its taste. Meghee
became very popular with consumers but when other companies tried they failed.
2. Helps in Development of New products

Before launching a new product proper study of consumer taste behaviour avoids later failure and
loss. This is particularly true for food items and daily consumption products. It is equally true for
fashion goods like garments, cosmetics, cigarettes and new flavours of existing products. In certain
cases if a product is reintroduced after a long gap this type of study helps.

3. Helps in reorientation of packaging

A great deal of importance is being given to packaging for quite some time by marketing department
and marketing research. But whether a particular packaging is liked by consumers or not is a recent
phenomenon. Consumer if likes say packing helps in pushing sales. Producers of vanaspati
(hydrogenated oil), milk, drinks items, etc. have developed utility packaging so that can be used for
refilling. In certain cases this fact is advertised also.
4. Helps in product orientation

The study of consumer behaviour helps findft out why consumer's are drifting away from a product
or why they are not liking it. for instance, some of Indian toothpastes are being produced for long
like Neem but it could not capture the market. There are many other instances when a new product
has been developed or reoriented to again capture its old glorious position.
5. Helps in Formulating Right Marketing Strategy

If one studies well what factors will influence demand of a product accordingly production and
marketing strategies can be framed. Nirma in initial stages succeeded in its washing powder only on
account of its price.It gave tough competition to Hindustan Lever, surf the market leader and today
Nirma has become a big producer. In food item its taste which decides whether customer will buy it
or not. Besides big names event small producers have succeeded because of proper product.

8
LIMITATIONS
● Incomplete in a number of aspects, very reductionist
● Variables in the model have not been clearly defined
● A number of assumptions have been made that question the validity of this model, for instance:
✔ What type of consumer are we talking about?
✔ The company and the consumer have an existing relationship? What type?
✔ Is this for a new product?
✔ Is this the first exchange the consumer has had with the producer?

HOWARD-SHETH MODEL
ASSUMPTIONS:

□ Consumer behaviour is a rational exercise in purchase problem solving


□ It is a systematic & orderly approach caused by inputs like stimuli & results like output
□ This model is based upon the theory that what happens between the receipt of stimuli ie: input
and its action ie: output is consumer behaviour

9
SOURCE DATA

Primary Source Data:


A questionnaire was prepared helped in gaining an insight view of the factors effecting the

customer needs and related issues. The addresses of various customers were given and with the

help of the questionnaire prepared, I need to find out the first hand information regarding the

consumer in every segment in the market and the satisfaction level of each customer.

Each day I met 5 customers for 4 weeks the sample size of 100 respondents was decided upon. Any

problem and issues were noted and were informed to our guide later.

Secondary Data:

Secondary data is 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.

PERIOD OF STUDY
Period Of Study From- FEBRUARY 2024 TO MAY 2024.

10
CHAPTER-III
Company profile

11
FLIPKART.COM (http://www.flipkart.com/)
Flipkart is an Indian e-commerce business based in Bangalore, Karnataka. It was founded in 2004. It was
created in 2007 by Sachin Bansal and Binny Bansal, who are brothers. Flipkart began by focusing on the
online selling of books, but it quickly expanded to include electronic items and a wide range of other
things as the company grew. Multiple payment options are available on Flipkart, including credit card,
debit card, net banking, electronic gift vouchers, and Cash on Delivery (COD).

Flipkart launched in 2007 with the goal of making books widely accessible to anybody with an internet
connection, regardless of where they lived. They may be found in a variety of categories, including
movies, music, games, mobile phones, cameras, computers, healthcare and personal items, home
appliances, and electronics - and there are yet more to be discovered!

In the country, they are one of the most successful e-commerce operators, with over 11.5 million book
titles, 11 distinct categories, more than 2 million registered users, and a daily sales volume of 3000
products (or more).

Most of their success may be attributed to their unwavering commitment to providing clients with a
remarkable online shopping experience. Whether it's Cash on Delivery, a 30-day replacement policy, EMI
choices, free delivery, or the low pricing that they provide, they've got something for everyone. Then
there's the specialised Flipkart delivery staff, which works around the clock to personally Page | 49
ensure that items are delivered on schedule and in good condition. For the time being, they are only
present in 27 lucky cities, but don't worry, plans are in the works to expand to many more.

Flipkart.com's Historical Development


Founded in 2007 by Sachin and Binny Bansal, both graduates of the Indian Institute of Technology, Delhi,
Flipkart is a leading online marketplace. They were employed at Amazon.com before resigning and
forming their own business venture. They were both excellent coders, and they had hoped to launch a
comparison website for other ecommerce websites. However, there were few such sites in India, so they
chose to start their own e-commerce business, Flipkart.com, which was launched in October, 2006.

As a result, Flipkart was founded in October 2007 with an initial investment of Rs. 4 lakhs (co-founders’
savings). It was never going to be simple, especially considering India's previous negative experiences
with e-commerce transactions. It was a difficult market to break into because people were quite picky
about spending money for something that they had not seen and received in person first. Customers
from India lacked confidence in the company. In order to do this, Flipkart needed to instil confidence and
trust in its consumers. And they repeated the process in the same way afterwards.

Initially, they relied on word-of-mouth marketing to spread the word about their firm.

Books were the starting point for Flipkart because they are inexpensive, easy to procure, have a large
target market that enjoys Page | 50 reading them, provide more margin, are easy to pack and deliver, do
not get damaged in transit, and most importantly, are not very expensive. As a result, because books are
inexpensive, the amount of money a customer has to spend to try out one's service for a single time is
very small. During its initial two years of operation, Flipkart solely sold books. Following this, the firm
sold its first book on Flipkart.com, John Woods' Leaving Microsoft to Change the World, which was
published in 2012.

12
Flipkart originated with the consignment model (demand-driven procurement), which meant that anytime
a client placed an order for a book, they would personally purchase the book from the dealer, pack the
book in their office, and then courier the book to the customer's location. Customers used to be able to
reach the founders on their personal mobile phones during the early months of the company.
Consequently, they made every effort to give excellent service, concentrate on making the website user-
friendly, easy to explore and purchase from, and work tirelessly to fix any consumer concerns that arose.
This provided them with a great deal of room to develop because there were no established companies
in the industry at the time, and they did in fact grow at a very quick speed.

Flipkart Today

Today, according to Alexa traffic statistics, Flipkart is among the top 20 Indian Web sites, and it has been
dubbed "India's largest online bookshop" due to the fact that it has more than 11 million titles available
for purchase. Since its inception, the store has sold books, CDs, DVDs, mobile phones and accessories;
cameras; computers; computer accessories and peripherals; pens and stationery; and other electronic
items such as home appliances; kitchen appliances; personal care gadgets; health care products; and
other items such as toys and games. Further, in 2012, Flipkart expanded its product offerings to Page |
51 include air conditioners, air coolers, school supplies, office supplies, art supplies, and other lifestyle
items. As of today, the company began with only two employees and has grown to include more than
4500 personnel.

As a book seller in Bangalore, Flipkart.com first launched its services in 2007. In September 2010, it
expanded its product line to include mobile phones, launching in the consumer electronics market. Since
then, it has continued to grow by introducing additional product categories such as books, mobile
phones, laptops, cameras, home & electronic devices & appliances, and more. In addition to these
extremely favourable conditions, Flipkart.com has recently expanded its product range by entering the
rapidly growing digital content industry with the introduction of Flyte, a digital music shop. The company
is still expanding its product offering. With over 11.5 million book titles, 14 different categories, 3 million
registered users, and sales of over 30,000 items per day, it has emerged as one of India's leading e-
commerce players. It is currently ranked among the top 20 websites in India, with a presence in 37 cities
and a presence in over 20 countries. This company offers online customers with a remarkable online
shopping experience via the use of unique services such as:

• Cash on Delivery,
• A 30-day replacement policy is in force.
• Simple monthly payment plans are available (EMI),
• Shipping is completely free.
• Price reductions and special offers

As previously mentioned, Flipkart began with a consignment strategy. However, because the
procurement model is responsible for the majority of customer concerns such as delivery delays and
other issues, the firm began establishing its own warehouses as it received more funding. Initially, the
firm established a warehouse in Bangalore, and then expanded to include warehouses in Delhi, Kolkata
and Mumbai. Today, the firm has over 500 vendors with whom it collaborates. As of now, more over 80
percent of Flipkart orders are processed through warehouses, which allows for more timely and efficient
service.

Flipkart has grown from its humble beginnings selling books to currently offering a diverse range of
items including: cell phones, laptops, computers, cameras, games, music, audio players, televisions,
healthcare products, washing machines, and many more. In spite of this, Flipkart generates around 50%
of its income from the sale of books online. Flipkart is the market leader in India when it comes to selling
books both offline and online, with an online market share of about 80 percent. There are several
13
participants in the electrical products market, including Naaptol, Letsbuy, Indiaplaza, Tradus, Infibeam,
Yebhi, and others. The electronic market share is spread among them in a variety of unknowable
proportions, according to the data.

The number of internet users in India now is around 13.5 crore, but the number of houses with Cable and
Satellite (C&S) television is approximately 10.5 crore. By 2014, it is projected that 30 crore internet users
would have joined the network, and 14 crore C&S houses will have been built. As a result, India has
experienced enormous internet development, and with customers becoming more used to e-commerce,
the future of the e-commerce sector is unquestionably bright. This year, around 25 lac individuals have
transacted online, and the figure is expected to rise in the next months and years.

Also worth mentioning is that the majority of Flipkart consumers place their orders through the internet
from their PCs or laptops. At the moment, the use of mobile internet for e-commerce transactions is
extremely limited, but with the introduction of smart phones, the use of mobile internet for e-commerce
transactions will skyrocket in the near future. At the moment, India has 8 crore mobile internet users,
with the number anticipated to grow to 22.5 crore by the year 2014.

Flipkart had revenue of 4 crore in the fiscal year 2008-2009, 20 crores in the fiscal year 2009-2010, 75
crores in the fiscal year 2010-2011, and revenue of 500 crore in the fiscal year 2011-2012, which ends on
March 31, 2012. This is, without a doubt, a significant increase. By 2015, the firm expects to generate
sales of Rs. 5000 crores.

14
AMAZON
INTRODUCTION:

Amazon is an American multinational technology company which focuses on e-commerce, cloud


computing, digital streaming, and artificial intelligence. It is one of the Big Five companies in the U.S.
information technology industry, along with Google, Apple, Microsoft, and Facebook. The company has
been referred to as "one of the most influential economic and cultural forces in the world", as well as the
world's most valuable brand. Amazon is known for its disruption of well-established industries through
technological innovation and mass scale. It is the world's largest online marketplace, AI assistant
provider, livestreaming platform and cloud computing platform as measured by revenue and market
capitalization. Amazon is the largest Internet company by revenue in the world. It is the second largest
private employer in the United States and one of the world's most valuable companies. As of 2020,
Amazon has the highest global brand valuation. Amazon distributes downloads and streaming of video,
music, and audio books through its Amazon Prime Video, Amazon Music, Twitch, and Audible
subsidiaries. Amazon also has a publishing arm, Amazon Publishing, film and television studio Amazon
Studios, and a cloud computing subsidiary, Amazon Web Services. It produces consumer electronics
including Kindle e-readers, Fire tablets, Fire TV, and Echo devices.

History:

Jeff Bezos founded Amazon in July 1994. He chose Seattle because of technical talent as Microsoft is
located there.In May 1997, Amazon went public. It began selling music and videos in 1998, at which time
it began operations internationally by acquiring online sellers of books in United Kingdom and Germany.
The following year, Amazon began selling items including video games, consumer electronics, home
improvement items, software, games, and toys.
In 2002, Amazon launched Amazon Web Services (AWS), which provided data on website popularity,
Internet traffic patterns and other statistics for marketers and developers. In 2006, Amazon grew its
AWS portfolio when Elastic Compute Cloud (EC2), which rents computer processing power as well as
Simple Storage Service (S3), that rents data storage via the Internet, were made available. That same
year, Amazon started Fulfillment by Amazon which managed the inventory of individuals and small
companies selling their belongings through the company internet site. In 2012, Amazon bought Kiva
Systems to automate its inventory-management business, purchasing Whole Foods Market supermarket
chain five years later in 2017. In January 2021, Amazon invested with over $278 million by opening two
new centers in Italy (Novara and Modena) and creating over 1100 jobs.

On February 2, 2021, Amazon announced that Jeff Bezos would be stepping down as CEO and transition
to Executive Chair of Amazon's board in Q3 of 2021. Andy Jassy, who is currently CEO of AWS, will
succeed Bezos as CEO of the company.

Branches:
Amazon is an American technology company that has a multinational presence with offices and
15
facilities around the world. The company is based in Seattle, Washington and has over 800,000 U.S.
employees. Amazon's global headquarters are in more than 40 owned and leased buildings spread
across Seattle's adjacent South Lake Union, Denny Triangle, and Downtown neighborhoods. The
company was previously headquartered in rented space within the Pacific Medical Center, located in the
city's Beacon Hill neighborhood, from 1998 to 2011. On August 21, 2019, Amazon opened its largest
campus in the world at Nanakramguda in Hyderabad, India. It is the first Amazon-owned campus located
outside the United States and features the single largest Amazon-owned building in the world. The 9.5
acre campus houses over 15,000 employees.
Fulfillment and warehousing: -
Amazon fulfillment centers are large facilities with hundreds of employees, sometimes thousands.
Employees are responsible for five basic tasks: unpacking and inspecting incoming goods; placing
goods in storage and recording their location; picking goods from their computer recorded locations to
make up an individual shipment; sorting and packing orders; and shipping. A computer that records the
location of goods and maps out routes for pickers plays a key role: employees carry hand-held
computers which communicate with the central computer and monitor their rate of progress. A picker
may walk 10 or more miles a day.

Products and Services:

Amazon's product lines available at its website include several media (books, DVDs, music CDs,
videotapes and software), apparel, baby products, consumer electronics, beauty products, gourmet food,
groceries, health and personal-care items, industrial & scientific supplies, kitchen items, jewelry, watches,
lawn and garden items, musical instruments, sporting goods, tools, automotive items and toys & games.

Amazon has separate retail websites for some countries and also offers international shipping of some
of its products to certain other countries. In November 2020, the company started an online delivery
service dedicated to prescription drugs. The service provides discounts up to 80% for generic drugs and
up to 40% for branded drugs for Prime subscribe users.

16
CHAPTER-IV
DATA ANALYSIS AND INTERPRETATION

17
RESEARCH METHODOLOGY
Data Interpretation
Table-1 Gender
Options No. Of Respondents Percentage %
Male 84 83.2%
Female 17 16.8%
Total 101 100

Graph-1

Interpretation:
The above pie chart shows gender wise distribution of the respondents. It reveals that out of 101
respondents, 84 respondents were Male & 17 respondents were Female, constituting a percentage
of about 83.2% & 16.8% respectively. The data concludes that majority of the respondents are Male.

Table-2 Age
Options No. Of Respondents Percentage %
13-18 19 19%
18-24 67 67%
Above 24 14 14%
Total 100 100%

Graph-2

18
Interpretation:
The above pie chart shows the age group distribution of the respondents where majority of the
respondents 67% are in the age group of 18- 24 years, 19% of the respondents are in the age group of
13-18 years, 14% of the respondents are in the age group of above 24 years

Table-3 Marital Status


Options No. Of Respondents Percentage %
Married 31 30.7%
Unmarried 70 69.3%
Total 101 100

Graph-3

Interpretation:
The information from the above table reveals that 30.7% of the respondents are Married, 69.3% of
respondents are Unmarried.

Table-4 Education
Responses No. Of Respondents Percentage %
Undergraduate 36 37.1%
Graduate 35 36.1%
Post Graduate 14 14.4%
Doctorate 12 12.4%
Total 97 100%

19
Graph-4

Interpretation:
The information from the above table reveals that 37.1% of the respondents are Undergraduate, 36.1%
of the respondents are Graduate , 14.4% of the respondents are Post Graduate and 12.4% of the
respondents are Doctorate.

Table-5 Occupation
Occupation No. Of Respondents Percentage %
Student 51 51%
Unemployed 19 19%
Employed 15 15%
Self-Employed 12 12%
Retired 3 3%
Total 100 100%

Graph-5

Interpretation:
The information from the above table reveals that majority of the respondents 51% are Students, 19% of
the respondents are Unemployed, 15% of the respondents are Employed and 12% of the respondents are
Self-Employed and 3% of respondents are Retired.

20
Table-6 Annual Income (Yearly)
Options No. Of Respondents Percentage %
<2Lakhs 27 27.6%
2 to 5 Lakhs 37 37.8%
5 to 8 Lakhs 23 23.5%
8 to 10 Lakhs 11 11.2%
Total 98 100%

Interpretation:
The information from the above table reveals that 37.8% of the respondents income is between 2 to 5
Lakhs, 27.6% of the respondents income is Below 2 Lakhs , 23.5% of the respondents income is
between 5 to 8 Lakhs and 11.2% of the respondents income is between 8 to 10 Lakhs.

Table-7 Have you ever purchased online

Options No. Of Respondents Percentage %


Yes 79 78.2%
No 22 21.8%
Total 101 100%

21
Interpretation:
The information from the above table reveals that majority of the respondents 78.2% has purchased
products online, 21.8% has not purchased products online.

Table-8 If YES, what types of products/ services do you buy online?


Response No. Of Respondents Percentage %
s
Event tickets 20 20%
Clothes or Apparels 40 40%
Consumer electronics 33 33%
Hotel/ Travel booking 24 24%
Groceries 21 21%
Books 25 25%
Others 23 23%
Total 100 100%

Interpretation:
The information from the above table reveals that the 20% of respondents buy Event tickets ,40% of
respondents buy Clothes or Apparels ,33% of respondents buy Consumer electronics ,24% of
respondents buy Hotel/ Travel booking, 21% of respondents buy Groceries, 25% of respondents buy
Books ,23% of respondents buy Others.

22
Table-9 If NO, please specify the reason
Responses No. Of Respondents Percentage %
I don’t know about online 09 9.7%
shopping
Risk of credit card transaction 15 16.1%
Internet illiteracy 11 11.8%
Risk of identify theft 25 26.9%
Others 33 34.4%
Total 93 100%

Interpretation:

The information from the above table reveals that 9.7% of respondents does not buy online because
they don’t know about online shopping, 16.1% of respondents does not buy online because of Risk of
credit card transaction, 11.8% of respondents does not buy online because of Internet illiteracy,
26.9% of respondents does not buy online because of Risk of identify theft, 34.4% of respondents
does not buy online because of
Others reasons.

Table-10 How often do you purchase products/ services online


Sl No. Opinion No. of respondents Percentage of the
respondents
1 Regularly 21 21%
2 Frequently 35 35%
3 Occasionally 33 33%
4 Rarely 11 11%
23
TOTAL 100 100%

Graph-10

Interpretation:
The information from the above chart reveals that 35% of the respondents Frequently buy products
online, 33% Occasionally buy products online, 21% Regularly buy products online, 11% Rarely buy
products online.

Table-11 How many times did you have shopping during last one month?

Sl no. Opinion No. of respondents Percentage of the


respondents
1 >10 times 18 17.8%
2 5 to 10 times 46 45.5%
3 1 to 5 times 32 31.7%
4 Never 5 5%
TOTAL 101 100%

24
Interpretation:
The information from the above chart reveals that 45.5% of the respondents have 5 to 10 times
shopping, 31.7% of respondents have shopping 1 to 5 times, 17.8% of respondents have shopping
above 10 times and 5% of respondents have never done shopping last one month.

Table 12- How much did you spend on shopping during last one month
Sl no. Opinion No. of respondents Percentage of the
respondents
1 <1000 35 35%
2 1000 to 5000 times 46 46%
3 5000 to 10000 times 19 19%
TOTAL 100 100%

Interpretation:
The information from the above chart reveals that 35% of the respondents have spent rupees below
1000 on shopping, 46% of respondents have spent 1000-5000 rupees on shopping, 19% of respondents
have spent rupees 5000-10000 on shopping during last one month.

Table- 13 Do you use internet prior to purchase for collecting information


Sl no. Opinion No. of respondents Percentage of the
respondents
1 Yes 73 73.3%
2 No 27 26.7%
TOTAL 100 100%

Interpretation:

The information from the above chart reveals that majority of the respondents 73.3% use internet prior
to purchase for collecting information 26.7% of respondents doesn’t use internet prior to purchase for
collecting information.

Table-14 If YES, how often?


25
Sl no. Opinion No. of respondents Percentage of the
respondents
1 Very often 15 14.9%
2 Often 15 14.9%
3 Sometimes 50 49.5%
4 Rarely 14 13.9%
5 Never 07 6.8%
TOTAL 101 100%

Graph-14

Interpretation:
The information from the above chart reveals that 49.5% of the respondents use internet sometimes to
purchase for collecting information, 14.9% use internet very often to purchase for collecting information,
14.9% use internet often to purchase for collecting information, 13.9% use internet rarely to purchase for
collecting information,6.8% use internet never to purchase for collecting information.

26
Table-15 Where do you mainly do you shopping?
Sl no. Opinion No. of respondents Percentage of the
respondents
1 Online 55 16%
2 Shopping malls 29 29%
3 Convenience stores 16 16%
TOTAL 100 100%

Interpretation:
The information from the above chart reveals that majority of the respondents 55% do shopping on
online, 29% of respondents do shopping in Shopping malls, 16% of respondents do shopping in
convenience store.

Table-16 Do brand name influence you purchasing a type of product?


Sl no. Opinion No. of respondents Percentage of the
respondents
1 Always 29 28.7%
2 Sometimes 65 64.4%
3 Never 7 6.9%
TOTAL 100 100%

Graph-16

Interpretation:
27
The information from the above chart reveals that majority of the respondents 64.4% tells the brand
names Sometimes influence them purchasing a type of product, 28.7% tells the brand names Always
influence them purchasing a type of product, 6.9% tells the brand names Never influence them
purchasing a type of product.
Table-17 Do you tend to bye more when there are sales and special offers on?
Sl no. Opinion No. of respondents Percentage of the
respondents
1 Always 39 39%
2 Sometimes 51 51%
3 Never 10 10%
TOTAL 100 100%

Interpretation:
The information from the above chart reveals that majority of the respondents 51% tells they sometimes
tend to buy more when there are sales and special offers on, 39% tells they Always tend to buy more
when there are sales and special offers on, 10% tells they Never tend to buy more when there are sales
and special offers on.
Table-18 What influences you the most to shop in a specific web store?
Sl no. Opinion No. of respondents Percentage of the
respondents
1 Price 27 27%
2 Offer 36 36%
3 Brands 28 28%
4 Convenience 9 9%
TOTAL 100 100%

Interpretation:

28
The information from the above chart reveals that 36% of the respondents got influence the most by the
offers, 27% of respondents got influenced by the prices, 28% of respondents got influenced by the
Brands, 9% of respondents got influenced by the Convenience.

Table-19 Does Advertisement effect on your shopping?


Sl no. Opinion No. of respondents Percentage of the
respondents
1 Yes 83 83%
2 No 17 17%
TOTAL 100 100%

Interpretation:
The information from the above chart reveals that majority of the respondents 83% agrees that
Advertisement effect on their shopping, 17% of respondents doesn’t agrees that Advertisement
effect on their shopping.

29
CHAPTER-V
FINDINGS, SUGGESTIONS AND CONCLUSION

30
CONCLUSION
After the survey collection of data, analysis and interpretation, we have found that the majority of

respondents shifted to online shopping from traditional shopping because the benefits of online

shopping. Advantages of online shopping are saves time, energy, attractive price makes the consumer

to attract towards online shopping and from any place we can do online shopping across the world and

online shopping should increase security policy for online payment and it should deliver the correct

products to the consumer with good quality and government should also take measures towards fake

sites.

FINDINGS

 Most of the respondents are of the age group 18-24 i.e 83.2% of the respondents are
Male & 16.8% of the respondents are Female.
 Majority of the respondents are undergraduate and students.
 Most of them purchase clothes online.
 Most of the people purchase online products or services frequently.
 46% of them spend 1000-5000 rupees on shopping every month.
 55% of respondents do shopping online.
 Majority of the respondents i.e,51% tells they sometimes tend to buy more when there
are sales and special offers.
 Some of the respondents i.e,36% of the respondents got influence the most by the offers.
 Majority of the respondents i.e 83% agrees that Advertisement effect on their shopping.

31
SUGGESTIONS:

1. Providing more competitive price can attract customers.

2. Online shopping sites should increase the security for online payment.

3. More attractive offers on products can attract more customers.

4. Measures to be taken in order to avoid delivery of duplicate products.

5. Measures to be taken in order to reduce delivery of damaged products.

6. Government should also take measures towar.

CONCLUSION

From the survey, collection of data, analysis interpretation, we have found that the

majority of respondents shifted to online shopping from traditional shopping. Because the

benefits of online shopping are saving time, energy, attractive prices and from any place we can

shop online and we send the products across the world and it’s main benefits are secured

policy towards online payments.

32
BIBLIOGRAPHY

33
BIBLIOGRAPHY
https://en.wikipedia.org/wiki/Online_advertising
http://www.georgescifo.com/2010/05/10-advantages-of-online-advertising/
http://smallbusiness.chron.com/six-benefits-internet-marketing-31382.html
http://smallbusiness.chron.com/advantages-disadvantages-advertising-internet-4029.html
http://smallbusiness.chron.com/disadvantages-online-advertising-options-10212.html
http://www.yourarticlelibrary.com/advertising/6-main-benefits-of-advertising-to-consumers/2037/
http://www.yourarticlelibrary.com/advertising/5-important-disadvantages-of-advertising/1110/
http://insights.wired.com/profiles/blogs/how-the-internet-is-affecting-retail
http://english.manoramaonline.com/business/companies/co

34
ANNEXURE

35
QUESTIONNAIRE
1. Name
___________________________________________________________________.
2. Gender
a) Male b) Female

3. Age
a) 13-18
b) 18-24
c) Above 24

4. Marital Status
a) Unmarried
b) Married

5. Education
a) Undergraduate
b) Graduate
c) Post Graduate
d) Doctorate

6. Occupation
a) Student
b) Unemployed
c) Employed
d) Self-Employed
e) Retired

7. Annual Income (Yearly)


a) < 2 Lakhs
b) 2 to 5 Lakhs
c) 5 to 8 Lakhs
d) 8 to 10 Lakhs

8. Have you ever purchased online?


a) Yes
b) No

36
9. If YES, What types of products/services do you buy online?
a) Event tickets
b) Clothes or Apparels
c) Consumer electronics
d) Hotel/Travel booking
e) Groceries
f) Books
g) Other

10. If NO, Please specify the reason


c) Internet illiteracy
d) I don’t know about online shopping
e) Risk of credit card transaction
f) Risk of identity theft
g) Option 5
h) Other

11. How often do you buy products/services online?


a) Regularly
b) Frequently
c) Occasionally
d) Rarely

12. How many times did you have shopping during last one month?
a) > 10 times
b) 5 to 10 times
c) 1 to 5 times
d) Never

13. How much did you spend on shopping during last one month?
a) < 1000
b) 1000 - 5000
c) 5000 - 10000
d) Above 10000

14. Do you use internet prior to purchase for collecting information


a) yes
b) no
37
15. If YES, how often?
a) Very Often
b) Often
c) Sometime
d) Rarely
e) Never

16. Where do you mainly do your shopping?


a) Online
b) Shopping malls
c) convenience store

17. Do brand names influence you purchasing a type of product?


a) Always
b) Sometimes
c) Never

18. Do you tend to buy more when there are sales and special offers on?
a) Always
b) Sometimes
c) Never

19. What influences you the most to shop in a specific web store?
a) Prices
b) Offers
c) Brands
d) Convenience

20. Does Advertisement effects on your Shopping?


a) Yes
b) No

38

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