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Online Grocery Shopping: An exploratory study of consumer decision making processes
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In the last decade online shopping has been a consumer behavior that has changed the usual patterns of buying behavior in the market. This paper aims to present a literature review on the differences between the consumer characteristics that tend to purchase online food products and those who are later innovators of this new form of shopping. In the countries of the European Union there is an increase of 17% of online purchases for food products with a doubled trend of these purchases for rural areas. In the US, online food sales are expected to keep up after the pandemic and it is expected to double by 2025. Nevertheless, more than a decade ago, there is still a large group of customers resisting this way of buying. On the contrary, some surveys show that situational factors, such as having a baby or developing health problems, are triggers for starting to buy groceries online and also once these situational factors are gone consumer discontinues this behavior. Consumers consider o...
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Online grocery shopping is a newly established e-commerce business. The report talks about the concept in general and how do you go about shopping groceries on the internet. It also explains the general preference, that is, amongst people who all prefer to shop groceries online. In addition, it also states the benefits and limitations of the said concept and how has it influenced so far. For this research, a questionnaire was drafted and passed around. The responses were then summarized and analyzed. The report also asserts that there are a few impacts of this e-commerce business. It has been observed that monetary saving, customer loyalty and cash free transactions are some of the major factors that are prominent amongst customers for online grocery shopping. In conclusion, online grocery services meet a number of consumer needs including providing products for niche markets or helping the time starved consumer shop for the mundane weekly groceries. With the advent of online grocery shopping services. There has been a big advantage for space people who are home-bound, handicap, sick or unwell or unable to move, who are able to utilize this service to the best. It is realized that the online shopping vendors are able to reach a vast area of customers where in the local supermarkets or markets have to be visited by people and people would not like to travel long distances for such kind of physical shopping.
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PurposeThe purpose of this paper is to analyse the online preference structures of consumers.Design/methodology/approachNovel choice‐based conjoint experiments are used and are administered online. A select group of high net worth online grocery shoppers are examined. Both qualitative and quantitative procedures are used to determine the most frequently cited attributes affecting online patronage.FindingsWhilst there is no single attribute on which a retailer could develop a competitive edge, a significant market advantage can be gained by being simultaneously “best in class” on the top four attributes.Practical implicationsThis research approach has significant practical application to a wide range of strategic marketing questions.Originality/valueThese findings give focus to the management task facing marketing executives in the UK multichannel grocery market. How these findings might be used within a marketing plan is illustrated.
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Online shopping has been known as a rapidly growing business, and although online grocery shopping has not followed these same growth patterns in the past, it is now being recognized for its potential. As such, the focus of previous online shopping research has seldom encompassed this specific retail market, with the existing studies focusing essentially on consumers’ motivations and attitudes, rather than how consumers actually shop for groceries online. Therefore, this dissertation has the objective of uncovering some of the details of consumer decision making processes for this specific online retail market, details which can help further both academic research and managerial knowledge. The general consumer decision making process is characterized by a pres delusional, a delusional and a post-decision phase. All of which were addressed in an exploratory fashion, through a mixed methods strategy which combined both quantitative and qualitative methods of data collection. One of the main results obtained through this study is the complementary of retail channels - as it was found that online grocery shopping serves essentially for major shopping trips, being complemented with smaller trips to traditional stores.
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Evolution of the online grocery shopping experience during the covid-19 pandemic: empiric study from portugal.
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1. Introduction
2. literature review, 3.1. sample and measures, 3.2. data analysis, 4.1. evaluation of the pls model, 4.2. descriptive analysis, 4.3. statistical analysis, 4.4. explanatory analysis, 5. discussion, 6. conclusions, author contributions, institutional review board statement, informed consent statement, data availability statement, acknowledgments, conflicts of interest.
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Click here to enlarge figure
Frequency | Percent | |
---|---|---|
Gender | ||
Male | 114 | 31.8 |
Female | 244 | 68.2 |
Age | ||
Between 18 and 30 years | 231 | 64.5 |
Between 31 and 40 years | 39 | 10.7 |
More than 41 years | 88 | 24.7 |
Annual household income | ||
Less than 20,000 euros | 131 | 36.6 |
Between 20,000 and 39,999 euros | 133 | 37.2 |
Between 40,000 and 59,999 euros | 40 | 11.2 |
More than 60,000 euros | 54 | 15.1 |
Education level | ||
Secondary level | 155 | 43.3 |
Undergraduate | 141 | 39.4 |
Masters | 41 | 11.5 |
Other | 21 | 5.90 |
Academic Qualifications | Age | Annual Income | Consumer Behavior towards Food and Beverages | Gender | Intention to Buy Groceries Online | Online Grocery Shopping Experience | |
---|---|---|---|---|---|---|---|
Cronbach’s Alpha | 1.000 | 1.000 | 1.000 | 0.917 | 1.000 | 1.000 | 0.813 |
Composite Reliability | 1.000 | 1.000 | 1.000 | 0.930 | 1.000 | 1.000 | 0.859 |
Average Variance Extracted (AVE) | 1.000 | 1.000 | 1.000 | 0.547 | 1.000 | 1.000 | 0.468 |
Fornell–Larcker Criterion | |||||||
Academic Qualifications | |||||||
Age | 0.334 | ||||||
Annual Income | 0.068 | 0.143 | |||||
Consumer Behavior Towards Food and Beverages | 0.066 | −0.141 | 0.101 | ||||
Gender | 0.078 | −0.048 | −0.083 | 0.018 | |||
Intention to Buy Groceries Online | 0.002 | 0.045 | 0.127 | 0.106 | −0.057 | 1.000 | |
Online Grocery Shopping Experience | −0.047 | 0.048 | 0.128 | 0.184 | −0.075 | 0.404 |
Mean | Std. Deviation | |
---|---|---|
G5—Situational Factors | ||
(1) How would you describe your overall physical health? | 5.30 | 1.253 |
(2) During the COVID-19, how did your physical health change? | 4.17 | 1.477 |
Mean | Std. Deviation | |
---|---|---|
2.3.1. Easy to order | 5.99 | 1.201 |
2.3.2. I find everything I want | 5.30 | 1.386 |
2.3.3. The food is fresh | 5.62 | 1.216 |
2.3.4. Food price | 4.83 | 1.431 |
2.3.5. Delivery fee | 4.51 | 1.729 |
2.3.6 Delivery time | 5.13 | 1.526 |
2.3.7. The order arrived as requested | 5.73 | 1.419 |
5.1.1. I eat more fruit | 4.47 | 1.797 |
5.1.2. I eat more vegetables | 4.44 | 1.850 |
5.1.3 I eat more whole grains (e.g., brown rice, buckwheat, quinoa, oats) | 3.76 | 1.851 |
5.1.4. I eat more foods low in saturated fats and cholesterol | 4.07 | 1.747 |
5.1.5. I eat more foods that are rich in monounsaturated and polyunsaturated fats (i.e., fish, olive oil, avocados, nuts, and seeds) | 4.35 | 1.683 |
5.1.6. I use more natural sweeteners (i.e., raw honey, coconut sugar, dates) | 3.31 | 1.931 |
5.1.7. I drink more water | 4.99 | 1.792 |
5.1.8. I eat more cooked, steamed, grilled, or poached foods | 4.41 | 1.800 |
5.1.9. I eat more lean meats, such as poultry, fish, and eggs | 4.62 | 1.787 |
5.1.10. I consume more low-fat dairy products (i.e., low-fat milk, yogurt, sour cream, cheese) | 4.12 | 1.909 |
5.1.11. I consume more vegetables (i.e., beans, lentils, peas, peanuts) | 4.15 | 1.804 |
2.4. What is the probability of buying food after the pandemic (shopping online)? | 5.34 | 1.845 |
Original Sample (O) | Standard Deviation (STDEV) | T Statistics (|O/STDEV|) | p Values | |
---|---|---|---|---|
H1a: Gender - Online Grocery Shopping Experience | −0.009 | 0.060 | 0.150 | 0.881 |
H1b: Age Online Grocery Shopping Experience | −0.200 | 0.059 | 3.394 | 0.001 * |
H1c: Academic Qualifications Online Grocery Shopping Experience | 0.124 | 0.062 | 1.999 | 0.046 * |
H1d: Annual Income Online Grocery Shopping Experience | 0.122 | 0.051 | 2.407 | 0.016 * |
H2: Food and Beverage Consumer Behavior Online Grocery Shopping Experience | 0.184 | 0.056 | 3.309 | 0.001 * |
H3: Online Grocery Shopping Experience Intention to Carry Out Grocery Shopping Online | 0.404 | 0.047 | 8.546 | 0.000 * |
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Gomes, S.; Lopes, J.M. Evolution of the Online Grocery Shopping Experience during the COVID-19 Pandemic: Empiric Study from Portugal. J. Theor. Appl. Electron. Commer. Res. 2022 , 17 , 909-923. https://doi.org/10.3390/jtaer17030047
Gomes S, Lopes JM. Evolution of the Online Grocery Shopping Experience during the COVID-19 Pandemic: Empiric Study from Portugal. Journal of Theoretical and Applied Electronic Commerce Research . 2022; 17(3):909-923. https://doi.org/10.3390/jtaer17030047
Gomes, Sofia, and João M. Lopes. 2022. "Evolution of the Online Grocery Shopping Experience during the COVID-19 Pandemic: Empiric Study from Portugal" Journal of Theoretical and Applied Electronic Commerce Research 17, no. 3: 909-923. https://doi.org/10.3390/jtaer17030047
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Academy of Marketing Studies Journal (Print ISSN: 1095-6298; Online ISSN: 1528-2678)
Research Article: 2023 Vol: 27 Issue: 2S
Online Grocery Shopping: A Study of Consumer Behaviour on Staying and Switching between Amazon, Big Basket and Grofers
Richa Pandey, CHRIST (Deemed to be University)
Kavitha R Gowda, CHRIST (Deemed to be University)
Gautam S. Bapat, Vishwanath Karad MIT World Peace University
Satish Kumar, Jain Deemed-to-be University
Chitra Shashidhar, Department of Commerce and Management Seshadripuram
Citation Information: Pandey, R. Gowda, K.R. Bapat, G.S Kumar, S. & Shashidhar, C. (2023) Online grocery shopping: a study of consumer behaviour on staying and switching between amazon, big basket and grofers. Academy of Marketing Studies Journal, 27 (S2), 1-12.
Consumers have always been important in internet shopping. Because of technical improvements in the business sector and their influence on consumers, online purchase has grown in popularity. Groceries sell regardless of the situation of the economy. Without toothpaste, soap, vegetables, and foods, one cannot subsist. Due to time and geographical restrictions, consumers prefer online shopping over the fast-paced city life. The accessibility of payment options, as well as the availability of offers and discounts, are all suggestive features for online purchase. Several characteristics are heavily influenced by distribution at the door and convenience. When buying groceries, customers' demands are sometimes obeyed. Customers order groceries online from the retailer's website or through online grocery shops, and the food is delivered to their door.
Purpose – This study sought to identify and compare customer preferences across leading online grocery shopping websites as well as common categories that influence online purchasing behaviour. The goal is to learn more about the elements that influence the consumer's choice to go grocery shopping on Amazon, Big Basket, or Grofers.
Design/Methodology/Approach – Customers who have purchased groceries online were requested to answer the survey questionnaire using Google forms. The The convenience sampling method was utilised to collect 311 responses for data analysis..
Findings – The study found that a customer purchase decision and loyalty towards a single online shop highly depends on the factors which gives a positive experience to the customer. It was found that any factor which leads to a dissatisfied online experience makes the customer to switch to other online grocery selling website immediately.
Research Limitations/Implications - This research looked at customer feedback and concluded based on a small number of elements that influence the online consumer experience. There might be a few other elements that influence customers' online grocery shopping behaviour.
Originality/Value – This research will benefit both the scholars and the e-commerce players in understanding the reasons which would lead to a change in behaviour of a customer while buying grocery online. This will help the grocery selling websites to focus on the important factors which may lead to a negative online customer experience and work on it.
Online Customer Experience, Grocery Shopping, Switching, Loyalty.
Introduction
Online shopping for food has turned into a typical and vital part of our life. Shopping for food is one of the exceptional kinds of buying that needn't bother with any preparing of time. Shopping for food has become easier in recent years due to internet shopping platforms. Lately, web purchasing has collected a great deal of certainty, which is the reason food shopping through web-based stages has filled in ubiquity. The year 2020 changed the entire web buying medium, drawing in clients who had recently been reluctant to purchase on the web Ayedee & Kumar (2020) .
Basic foods have regularly been bought in stores, where clients can contact and actually look at things preceding buy, as well as administer the shipment of touchy items. E-grocery shopping has grown very fast in India and thud has increased the profitability of the business. Most clients have one or two misgivings about getting transitory things, for example, fish over the web since the help's dependability and responsibility are called into uncertainty. E-basic food item shops can lay out brand value, which will prompt recurrent business and market entrance in this industry. The fundamental benefit of looking for everyday food items online is its comfort. Whenever we buy on the web, we can undoubtedly search for and secure the things we really want without having to walk around those extensive passageways genuinely Bapat et al. (2021a) .
Buyers have made web buying a need in their regular routines Bapat et al. (2021b) .
Consumers have become more open to mechanical advancement in the business area, bringing about an expansion in the recurrence of online buys. Everyday food products sell regardless of the state of the economy Karthik et al. (2021) . Toothpaste, cleaner, veggies, and nourishment are all necessities. Because of the fast pace of city life, as well as time and geographical constraints, customers prefer to purchase online. The variety of options available, the ease with which payments may be made, as well as unique offers and constraints, are all important aspects of online buying. Many elements make a section as significant impacts, like doorstep conveyance and comfort. Regular food items are bought at different times in light of the customer's need and convenience Dange et al. (2021) .
Literature Review
Sathiyaraj et al. (2015) has highlighted how customers acquire items from an online shopping site based on factors such as discounts and restrictions, item assortment, free home conveyance, site ease of use, and money conveyance instalment option. According to the findings of the research, customer satisfaction had no effect on demographic characteristics. Buyers choose an easy-to-use website to get food goods online rather than searching for food in traditional ways Gowda & Chaudhary (2018) .
Over the most recent quite a long while, India has encountered a virtual blast of online basic food item entrances. Shopping for food, which was previously respected a tedious and repetitive task, is now seen as a pleasure all due to online grocery shopping. Consumers need a user-friendly website for grocery shopping with details of products . As per the discoveries of Hanif & Ravi (2015) , consumers, irrespective of income gropus categories are delivered products at door step , thus is attracting all income groups. Subsequently, there is a huge of space for development Noor et al. (2011) .
Kang et al. (2016) This study examines factors influencing online shopping for food and in volumes using innovative categorization theories. The factors like lifestyles related to food, shift to online grocery shopping due to technological innovation has its impact on online shopping behavior Sarangdhar et al. (2020) . The elements that decide the reception of online shopping for food, as well as the quantity of web-based food varieties bought, are talked about in this study. Food-related way of life characteristics, especially quality perspectives, affect the probability of taking on internet-based shopping for food with regards to reception. The elements of convenience significantly affect the reception of online shopping for food Kumar et al. (2020a) .
The internet based staple business is one of India's quickest developing regions, as per the article. Individuals in the service business are the probably going to encounter this, trailed by the business class and retirees Sambargi & Gopal (2016) . This paper explored the Indian internet based staple business top to bottom. The significant inspiration for purchasing food web based, as per Budhiraja & Mittal (2016) , is to save time and exertion. Purchasers in this model are by and large content with the nature of the things they get, and merchants ordinarily give clients substitution choices. The author additionally looks at a customer’s food buying habits , both on the web and in an actual store. The issue with this system is that booked online order sometimes delays due to unforeseen conditions and nonavailability of products Kumar et al. (2020b) .
Anesbury et al. (2016) This paper examines the advantages of the retailers and brand managers. In any case, the survey illuminates’ organizations that individuals hope to promptly see their favourite brands. This outcome isn't generally clear; for instance, vendors might be enticed to feature things as of now at a bargain or brands for which they produce more benefits on the main page. According to the research, such techniques, which may increase the customer's search time, may not be the best option. Although it may be tough to choose which brand should display on the cover page/first page, it is critical to make the search option simple from the customer's perspective so that it is simple, straightforward, and faster to pick the products/brands they are acquainted with Ranjana (2021) .
As indicated by a review done by online food retailers have various issues Kaur & Shukla (2016) . Because of a general absence of real information on consumer needs, wants and demand, developing a e-grocery profitable enough for online retailers would be challenging. It is critical to understand the elements influencing online grocery buying, as well as the technical challenges. Other than gender, wealth is the most essential demographic characteristic to consider when analysing online food shopping. To assess the variables respected to be vital in internet based staple purchasing, as well as to perceive the issues and mechanical impediments that are accepted to affect online shopping for food inclinations Hansen (2008) .
Rajesh (2017) In his review, he frames his objectives for finding the factors that impact online basic food item purchasing. The study found that it was product description, delivery and item substitution were the most important reasons for online shopping. E-advertisers will arrange their promoting system around these fundamental necessities to give their clients unmistakable and extraordinary shopping encounters Haridasan & Fernando (2018) .
Munson et al. (2017) Consumer behaviour has changed because of the exceptional opportunities and challenges offered by online shopping for food. As per Munson et al. (2017) , the essential social and technological factors that could prompt these changes, for example, simplicity of cost examination, attitude toward purchasing short-lived items on the web, and logistical considerations. The study's goal is to learn how customers feel about e-grocery and what they enjoy about it Wang et al. (2016) .
As indicated by the kavitha (2017) , The review analyses how buyers are moving their food and shopping for food propensities from the nearby Kirana store to online web organizations. The reason for the review is to figure out how purchasers feel about e-staple and what they like. This exploration will help decide whether e-basic food item will outperform conventional buying techniques in future and if it would increase the number of individuals shopping online for food.
One of India's quickest developing areas is online food shopping. Customers like it since they have more access the web and really like to shop on the web. They ordinarily buy from online organizations that offer the best customer support and fulfilment, as well as those that save time and effort since shopping isn't restricted by time. The customers assumptions are definitely unique while buying food online versus at an actual store. Due to the Internet, most of the members know about the brand Viknesh et al. (2021) .
Notwithstanding the far-reaching utilization of online food and shopping for food, little examination has been done to explore the qualities that impact customer online food buys Heng et al. (2018) . The information show that four interpretable measures significantly affect the worth of purchaser criticism: Amazon Operation, Physical Aspect, Taste Feature, and Subjective Speech. Customer surveys believe objective audits to be more valuable than emotional ones. Moreover, the value of a customer review is conversely corresponding to the length of the survey. The discoveries show that encouraging more positive comments will assist potential buyers make better selection and business profits Chen & Dibb (2010) .
Kaur (2018) Examines the acts of Online Grocery Portals in Customer Relationship Management that resulted in increased customer loyalty, as well as how these exercises add to the organization's rising worth. While all internet based staple organizations endeavour to improve shopper joy, some are more effective than others. This study adds to how we might interpret the attributes that have brought about buyer fulfilment from the exploration paper's online interfaces. It will likewise help organizations in distinguishing the imperfections that add to client fulfilment with online staple stages. They should also understand the reasons for not effectively able to serve the customers Pitts et al. (2018) . It was found that every one of the entryways is insufficient in at least one region where they should work with tirelessness for the necessary outcomes further upgrading the ability in view of the factors under study Desrochers et al. (2019) .
Azhar & Bashir (2018) Online grocery stores, as indicated by the report, are turning out to be more famous than ever. With the developing number of people looking for basic foods on the web, considering e-dedication in this context is significant. Regardless of its rising significance, online food buying e-loyalty is a little-concentrated topic the thriving web-based business writing. The motivation behind this exploration is to research and comprehend the interceding job of e-loyalty in internet-based food purchasing dedication. The indicators of the study (comfort, promoting, site design, and monetary security) are utilized to additionally foster the model by focusing on e-satisfaction leading to e-loyalty. There is contribution in three essential classifications, as indicated by the study. To begin, the research investigates an existing e-satisfaction model in the critical but understudied area of online grocery purchasing. The study provides new insights by deepening our understanding of e-loyalty, hence addressing a research gap.
Technology Acceptance as a Determinant of Online Grocery Shopping Adoption, Bauerová & Klepek (2018) According to the overview, the Internet and new developments have had an impact on routine purchases. Consumers are increasingly turning to the internet to fulfil their buying demands. The web and innovation have altered the ways of obtaining products and services as a result of the dominance of online-based shopping. As seen by the development in individual Internet grocery trades, online grocery buying is the most advanced sort of web-based purchasing. An effective arrangement of innovation support for online shopping for food is critical in the specialized business. On the business side, e-grocery is unable compete owing to the fact of operational efficiency and logistics issues.
The motivation behind this review, as indicated by Kian et al. (2018) , is to study the elements that impact customers decisions Pentina & Hasty (2009) .
Conceptual Framework
A model was created to investigate the influence of many elements that contribute to online shopping as well as consumer loyalty and commitment to a particular online grocery store. Variables such as product quality, loyalty benefits, special offers, brand image, and high-quality service impact consumer happiness and trust, causing them to stay or switch between various online stores. The following are the study's independent variables:
1. Demonstrated expertise: Customer Service and Responsiveness.
2. Task-related performance: Delivery, Return and Refund, and Order Cancellation Management.
3. Effectiveness of service: ease of use, website navigation, and quick delivery.
4. Price, Product Quality, and Selection.
5. Graphic Influence: Website Simplicity and Appearance.
6. Special Offers: Discounts and Premium Membership.
And dependent variables are:
1. Frictionless customer experience.
2. Pleasurable customer experience.
3. Behavioural response Figure 1 .
![academy-marketing-studies-platforms academy-marketing-studies-platforms](https://www.abacademies.org/articles-images-2022/academy-marketing-studies-platforms-27-S2-001-g001.png)
Figure 1 Platforms
Statement of Problem
Considering the 3 major players i.e. BIGBASKET, GROFERS and AMAZON GROCERY, the customers tend to experience all these platforms, evaluate certain factors and then stay or switch to another online shop. As per online reviews and research it is found that there are customers who try buying grocery from different platforms and then eventually become loyal to one. It is also noticed that a loyal customer switches to another platform for a certain factor which is not satisfied by the online shop Vanessa & Japutra (2021) .
Considering factors like price, quality, service and experience the research has been done to identify the reasons which makes a customer to stay or switch among different grocery sellers.
This research would assist merchants and rising online companies in properly preparing and studying consumer behaviour toward online grocery shopping so that they could retain their consumers loyal to them and compete with the current competition Pan et al. (2017) .
Research Purpose
The purpose of this study is:
⮚ To analyse the factors which leads to switching or staying between different online shops.
⮚ To study the variation in purchase intent of consumer towards purchases of grocery products from different online shops.
⮚ To focus on factors influencing consumer choice Mortimer et al. (2016) .
Research Methodology
Primary data was acquired via a well-designed questionnaire delivered online through Google Docs to 313 consumers of all classes, which included questions about variables in our study model based on demographic distributions. Also, secondary data from numerous study publications' literature evaluations. Closed-ended questions on a five-point Likert scale were offered to respondents. The approach of convenient sampling is used.
Data Analysis Tools
Based on the response, the data was analysed using various statistical methods. To calculate the mean frequency analysis was conducted and, reliability analysis was performed to get Cronbach's Alpha. This was accomplished using IBM SPSS STATISTICS 25.0's Descriptive Analysis feature. Following this, the Kaiser-Meyer-Olkin (KMO) and Bartlett's tests were performed. Hypotheses are tested via regression analysis. Based on the value of independent variable, value of dependent variable was predicted by using regression Mkansi et al. (2018) .
Data Analysis and Intrepretation
The respondents were asked certain question in the beginning of the survey where their choices and preferences in regards with grocery shopping were asked. It was found that 72.1 % of the respondents preferred buying grocery through supermarkets before the pandemic. 45.5% bought grocery from Kirana /Provisional stores and only 22.4% people preferred the online shops before year 2020.
After the world was hit by the pandemic, the survey results show that 52.1% people bought grocery through online shops whereas the remaining population still bought grocery from Kirana/provisional stores and supermarkets Hand et al. (2009) .
When asked which Online grocery selling shop, they bought their groceries from, 42.2% respondents mentioned Big Basket, 36.4% mentioned Amazon Grocery and 14.1% respondents mentioned Grofers. There were few respondents who mentioned Jio Mart and few local vendors who started selling online. But because the major population mentioned about BIGBASKET, AMAZON and GROFERS, therefore our research results would be based on these three online groceries selling shops.
Demographic Profile
The demographic profile of the responders is shown in the table below. After gathering primary data by questionnaire from 313 respondents, 50.8 percent of whom were male and 49.2 percent of whom were female, The age bracket 18-24 has the highest proportion of respondents (68.4 percent), while the age group 37-44 has the lowest proportion of respondents (2.2 percent).
Postgraduates gave most replies, accounting for 54% of the total, while PhDs received just 1.6% of the total. 85.6 percent of those who replied to the poll were students or employed members, while 7 percent were jobless Tables 1- 4 .
Age | |||||
Frequency | Percent | Valid Percent | Cumulative Percent | ||
Valid | 18-24 | 214 | 68.4 | 68.4 | 68.4 |
25-30 | 70 | 22.4 | 22.4 | 90.7 | |
31-36 | 12 | 3.8 | 3.8 | 94.6 | |
37-44 | 7 | 2.2 | 2.2 | 96.8 | |
45 and above | 10 | 3.2 | 3.2 | 100.0 | |
Total | 313 | 100.0 | 100.0 |
Gender | |||||
Frequency | Percent | Valid Percent | Cumulative Percent | ||
Valid | Male | 159 | 50.8 | 50.8 | 50.8 |
Female | 154 | 49.2 | 49.2 | 100.0 | |
Total | 313 | 100.0 | 100.0 |
Qualification | |||||
Frequency | Percent | Valid Percent | Cumulative Percent | ||
Valid | Pre- University | 6 | 1.9 | 1.9 | 1.9 |
Graduation | 133 | 42.5 | 42.5 | 44.4 | |
Post-Graduation | 169 | 54.0 | 54.0 | 98.4 | |
PhD | 5 | 1.6 | 1.6 | 100.0 | |
Total | 313 | 100.0 | 100.0 |
Occupation | |||||
Frequency | Percent | Valid Percent | Cumulative Percent | ||
Valid | Student | 176 | 56.2 | 56.2 | 56.2 |
Employed | 92 | 29.4 | 29.4 | 85.6 | |
Unemployed | 22 | 7.0 | 7.0 | 92.7 | |
Self-Employed | 23 | 7.3 | 7.3 | 100.0 | |
Total | 313 | 100.0 | 100.0 |
Frequency Distribution of Demographic Profile
Reliability Analysis
SPSS was used to conduct reliability analysis after the constructs were transformed. The Cronbach's alpha value indicates the items' internal consistency (Arif et al, 2016). The alpha value should be larger than 0.6. The Cronbach's Alpha found is 0.903, which is larger than 0.6, indicating that the data is credible and may be used for future study Table 5 .
The Incredible Data | |
Reliability Statistics | |
Cronbach’s Alpha | No. of items |
0.903 | 28 |
Kaiser-Meyer-Olkin (KMO) and Bartlett’s test
According to the table, the value obtained for KMO and Bartlett's Test is 0.891, which is more than 0.50. This implies that the data gathered is sufficient for structure identification and subsequent analysis Table 6 .
KMO and Bartlett's Test | ||
Kaiser-Meyer-Olkin Measure of Sampling Adequacy. | 0.891 | |
Bartlett's Test of Sphericity | Approx. Chi-Square | 2832.136 |
df | 378 | |
Sig. | 0.000 |
Regression Analysis
Hypothesis For Regression
H1 to H8 are the hypotheses formulated between relationship commitment and its corresponding antecedents.
Task Related Performance
H1a: There is no significant relation between Task related performance and frictionless customer experience.
Demonstrated Expertise
H2a: There is no significant relation between Demonstrated Expertise and frictionless customer experience.
Service Efficiency
H3a: There is no significant relation between Service Efficiency and frictionless customer experience.
Economic Benefit
H4a: There is no significant relation between Economic Benefit and frictionless customer experience.
Visual Appeal
H5a: There is no significant relation between Visual Appeal and Pleasurable customer experience.
Special Offers
H6a: There is no significant relation between Special Offers and Pleasurable customer experience.
Frictionless Customer Experience
H7a: There is no significant relation between Frictionless Customer Experience and Behavioural Response.
Pleasurable Customer Experience
H8a: There is no significant relation between Pleasurable Customer Experience and Behavioural Response.
H1 through H8 (0.000) have significant values less than 0.05; hence, all null hypotheses are rejected Table 7 .
Analysis | ||||||
Regression Analysis | ||||||
Hypothesis | Relation | Unstandardized B | R square | Significance | Decision | |
H1 | TRP---->FCE | 0.506 | 0.29 | 0.000 | Reject H0 | |
H2 | DE--->FCE | 0.416 | 0.229 | 0.000 | Reject H0 | |
H3 | SE---->FCE | 0.451 | 0.235 | 0.000 | Reject H0 | |
H4 | EB---->FCE | 0.584 | 0.300 | 0.000 | Reject H0 | |
H5 | VA----> PCE | 0.685 | 0.386 | 0.000 | Reject H0 | |
H6 | ST----> PCE | 0.605 | 0.408 | 0.000 | Reject H0 | |
H7 | FCE--->BR | 0.625 | 0.352 | 0.000 | Reject H0 | |
H8 | PCE--->BR | 0.390 | 0.254 | 0.000 | Reject H0 |
This shows that Economic Benefit with Beta Value 0.584has more impact on Frictionless Customer experience followed by Task Related Performance.
PCE=0.685 VA+0.605 ST+C
This shows that Visual appeal with Beta value 0.685 has more impact on Pleasurable Customer experience followed by Special Treatment.
BR= 0.625 FCE+0.390 PCE+C
Frictionless customer experience with Beta value 0.625 has more significant impact on Behavioural response than Pleasurable customer experience.
The suggested structure enumerates the factors that influence customers' online purchasing decisions. This conceptual framework diagram depicts the customer experience features and elements that influence their propensity to patronise, as indicated by their intention to repurchase and word of mouth. Customers, as mentioned previously, expect a smooth and enjoyable online grocery shopping experience; retailer’s must keep their promises and provide outstanding service so that their investment is completely reimbursed. The findings show that factors like service quality, return and refund policies, and special offers, when successfully experienced by clients, might lead to a loyal attitude toward a particular online organisation. Inconsistency in such services, on the other hand, leads to the client switching to another brand. The poll found that the most crucial aspect in a flawless customer experience is product cost, followed by service quality. It also shows that a website's quality, as well as its simplicity and visual beauty, create a more enjoyable experience, whereas clients are more likely to switch to another firm if a website is challenging. Customers' behaviour in terms of referrals and repurchase intent is significantly impacted when they do not obtain the benefits they want (both intrinsic and extrinsic), leading to a search for other firms that may meet their expectations. Customers' contributions on online forums, rather than their direct usage of the service, indicate how they feel about their buying experience.
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Received : 26-Sep-2022, Manuscript No. AMSJ-22-12617; Editor assigned : 03-Oct-2022, PreQC No. AMSJ-22-12617(PQ); Reviewed : 17-Oc-2022, QC No. AMSJ-22-12617; Revised : 30-Nov-2022, Manuscript No. AMSJ-22-12617(R); Published : 01-Dec-2022
RSIS International
![thesis online grocery shopping RSIS](https://rsisinternational.org/wp-content/uploads/2018/01/rsis-logo.png)
A Descriptive Analysis of Consumer Perception on Online Grocery Shopping
- March 19, 2018
- Posted by: RSIS
- Category: Management
International Journal of Research and Scientific Innovation (IJRSI) | Volume V, Issue III, March 2018 | ISSN 2321–2705
Sabari Shankar R*, Nareshkkumar S**
![thesis online grocery shopping IJRISS Call for paper](https://www.rsisinternational.org/wp-content/uploads/2020/04/1-1-scaled.jpg)
*Academic Associate, Marketing Management Area, Indian Institute of Management Kozhikode, Kerala, India **Academic Associate, Humanities and Liberal Arts, Indian Institute of Management Kozhikode, Kerala, India
Abstract- Online shopping has been intruding in all sector and walks of life. As businesses are expanding it brick to click, it is highly relevant for consumers and businesses to understand the consumer perception. India has witnessed new changes in evolving grocery shopping styles such as online grocery shopping which is constructed by retailers to attract the consumers. This paper intends to understand the consumer perception of online grocery shopping and the impact of demographic factors on the same. To find out the facts, 200 respondents were considered as sample size and data was collected through structured questionnaire. SPSS was used to analyse data and findings were interpreted. The major findings are there is impact of demographics on consumer perception on online grocery shopping and monthly saving and budget control are possible. The important dimensions considered for online grocery shopping are listed. This paper would be relevant for the people and businesses that are interested and impacted by online grocery shopping.
Keywords – Online shopping, grocery, consumer perception, demographics, retail businesses
I. INTRODUCTION
Online shopping has become an integral part of consumers. Innovation of technology in the business world and its impact on consumers resulted in increase in the frequency of shopping online. Groceries sell irrespective of the state of the economy. One cannot live without toothpaste, soap, vegetables and groceries. Fast phased city life, constrains due to time and place, consumers prefer online shopping. The availability of options, convenience of payment facilities, offers and discounts are the indicating factors for online shopping. Delivery at doorsteps and convenience at many factors lead as important influencers. Groceries are bought at times according to consumers requirements. Online grocery shopping refers to the process where consumers shop grocery online through retailers website or online grocery stores which results in delivery of grocery at the doorsteps of consumers (Choi, 2013).
![title= thesis online grocery shopping](https://rsisinternational.org/wp-content/uploads/2016/01/SS-aug.png)
Target: Skeptical Of The Walmart-Driven Rally
![thesis online grocery shopping Shri Upadhyaya profile picture](https://static3.seekingalpha.com/images/users_profile/056/911/839/small_pic.png)
- Walmart's earnings tide has lifted many boats, including Target's, but I remain a skeptic.
- Target's fortunes have diverged from Walmart and a slowing economy might drive Target's customers towards Walmart, which could partly explain the strong Walmart earnings.
- Shaky geopolitics, leading economic indicators and softer than expected labor market would make me invested only in the strongest of names, and Target is not one of them.
- I rate this company as a Sell in the medium term.
![thesis online grocery shopping Confused Client Thinking What to Buy in a Supermarket](https://static.seekingalpha.com/cdn/s3/uploads/getty_images/2156432028/image_2156432028.jpg?io=getty-c-w750)
nicoletaionescu/iStock via Getty Images
Walmart's ( WMT ) earnings seemed to defy most skeptics of the economy. Contrary to many expectations, Walmart topped Q2 estimates and raised its FY25 outlook. Its net sales and operating income were the highest in two years. This ignited a broad-based rally in the retail sector with Target ( NYSE: TGT ) being a key beneficiary, but I do not think this was justified . The way I see it, some names are being benefitted while many other companies ( NKE , LULU , HD etc.) feel the pain of a weak consumer. Consumers are bargain-hunting, and Target may not be a beneficiary. I rate Target as a Sell.
Target is not Walmart
The paths taken by two of the biggest retailers are not entirely the same. Walmart has seen a more steady growth in its fortunes whereas a series of missteps have marked Target. This is to say that Target's revenues may not be as resilient, and it would be incorrect to think that Walmart's rising tide will lift Target's boat.
![thesis online grocery shopping REvenue and EPS growth YOY for Target and Walmart](https://static.seekingalpha.com/uploads/2024/8/18/56911839-17239970408325047.png)
Author generated from Company data
Over the years the dip in Target's financials during different years can be attributed to several reasons.
- Competition from Walmart affected Target's market share and sales growth as Walmart's aggressive pricing strategies attracted more price-sensitive consumers .
- A massive data breach that compromised the personal information of millions of customers. The repercussions of this breach extended into 2014, eroding consumer trust and leading to a decline in sales as customers were wary of shopping at Target.
- While Walmart has been able to expand and is well-established in Canada, Target's attempt to expand into Canada faced significant challenges, including supply chain issues and a failure to resonate with Canadian consumers. These difficulties led to financial losses and ultimately Target's decision to exit the Canadian market in 2015.
- Most recently, high inflation and a slowing economy have affected price-conscious customers who have reduced spending on discretionary items disproportionately affecting Target which makes up a significant portion of Target's merchandise.
Finally, the fates of their balance sheet has also evolved differently. Walmart debt to equity is down overall, whereas Target's has always been much higher than Walmart and is up higher than it was a decade ago (So even in the face of a collective downturn for the entire industry Walmart has much higher balance sheet flexibility than Target)
![thesis online grocery shopping Chart](https://static.seekingalpha.com/uploads/2024/8/19/saupload_fc8d586465410ed4fa0773a3777675e8.png)
Target's upcoming Q2 earnings
![thesis online grocery shopping Target's comparable sales QoQ](https://static.seekingalpha.com/uploads/2024/8/19/56911839-17240408144244528.png)
For Target Corporation, it wouldn't be surprising to see another down quarter after seeing four consecutive quarters of declining growth. Additionally, for the fiscal year the number of up revisions is 6 for EPS , whereas the number of down revisions is 19. For revenues there are 20 down revisions versus 7 up revisions. In their first quarter earnings call , the management maintained that they are cautious of near term outlook and expect discretionary trends remain under pressure. However, for the quarter they are expecting to finally break out of negative topline growth and expand their profit rate.
In the second quarter, we are planning for a comparable sales increase in the 0% to 2% range. While this is below the growth rate we'd expect to deliver over time, it reflects a continued cautious approach to our near term outlook, which has served us well in recent quarters. On the bottom line in Q2, we're guiding to a range of $1.95 to $2.35. The midpoint of this EPS range represents a growth rate of approximately 20% over last year as we continue to build on the profit rate expansion we've seen over the last few quarters. - Michael Fiddelke - EVP, COO and CFO
Interpreting from Walmart's Q2 Earnings call
So while Walmart's results were positive news for its stock, I am struggling to go along with the market narrative that the consumer is strong and it is a positive for all retail stocks. If anything Target would be more affected by this trend once you start digging into Walmart's earnings call.
- E-commerce sales were the biggest contributor to profits and also saw a reduction in delivery cost per order improving gross margins
- The company has highlighted the use of Gen AI for increased efficiency and growth behind online sales
- Groceries, accounting for about 60% of Walmart's U.S. sales, have been a key factor in helping the retailer increase its market share and attract shoppers from various income levels.
- The company's focus on being a low-cost seller led to reduced prices on 7,200 items with a 35% increase in the number of rollbacks on food items
- International sales rose 8.3% led by big gains in Mexico and China.
Target's e-commerce sales suffered last year and it continued this year mainly due to its focus on discretionary items which consumers have cut back on whereas Walmart has been able to make up for that due to the strength of their grocery deliveries. While Gen AI may have a significant impact on its operations, the jury is still out on its efficacy and/or how long it takes Target to make it effective enough in its operations. Target is not a low-cost seller and although it has been reducing prices for its items to be better competitive with Walmart, I am doubtful of the margins as its operations may not be optimized enough to compete in the low-cost segment. Finally, Target is only present in the U.S. so no international market opportunities to benefit from.
Trying to predict the economic future through Walmart’s results could present a skewed picture. It was a really strong quarter for Walmart, but I don’t necessarily think that’s a good thing for the economy. People are looking for value, and instead of going to Target, Kroger or wherever else they shop, they’re now going to Walmart for at least a portion of their purchases - Steven Shemesh, Retail analyst at RBC Capital Markets
Target's Valuation and Risks to this thesis
A valid risk to a Sell rating would be Target's valuation . Currently, Target company trades at 15 times earnings and with an increased outlook on its earnings, its forward multiple is 15.5x. Its EV/EBITDA and its cash flows are also trading at a discount to the sector.
![thesis online grocery shopping Target's valuation ratios](https://static.seekingalpha.com/uploads/2024/8/19/56911839-1724081215783453.png)
This shows that the market may have discounted a bad short term future already into its stock price. Looking at its percentile rank against its own ten year history and against the Consumer staples sector, it is clear that more than 50% of the time the multiples were trading higher than the present values.
![thesis online grocery shopping Target's valuation percentile rank](https://static.seekingalpha.com/uploads/2024/8/19/56911839-1724081956734314.png)
Target's valuation percentile rank (Koyfin)
So any good news (however slight it may be) may help the short term upside movement in its stock price. But I would personally view a rally from here as a chance to sell till the short term uncertainty in the economy changes. There is enough to make a case for uncertain market. Along with shaky geopolitics on multiple fronts, warnings signs have come in the form of a weakening labor market , the Conference Board's Leading Economic Index (LEI) on a downward trend, and the highest credit card account delinquency in more than a decade. All in all, I am skeptical of the Walmart driven rally.
This article was written by
![thesis online grocery shopping Shri Upadhyaya profile picture](https://static3.seekingalpha.com/images/users_profile/056/911/839/medium_pic.png)
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
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COMMENTS
Online grocery shopping refers to buying groceries online using click-and-collect or home delivery services ... Type of publication form: published scientific journal articles, and unpublished conference papers, dissertations, or theses: 0 = published (N = 32) 1 = unpublished (N = 15) Publication Year: Year the study was published:
The online grocery industry grew exponentially alongside the COVID-19 pandemic in the U.S. With the implications of this growth still unclear, this study aimed to identify key influences and barriers towards the adoption of online grocery shopping, and to understand how online grocery shopping may affect food security and dietary intake.
Objectives(i) To determine the current state of online grocery shopping, including individuals' motivations for shopping for groceries online and types of foods purchased; and (ii) to identify the potential promise and pitfalls that online grocery shopping may offer in relation to food and beverage purchases.DesignPubMed, ABI/INFORM and ...
Bachelor Thesis 15 ECTS Title: Online grocery shopping: the key factors influencing consumers' purchase intention: a study based on consumers in Sweden Authors: Junru Li, Hanna Ohlsson Tutor: Imran Nazir Date: 2017-5-22 Subject terms: online grocery shopping, consumers' purchasing intention, E-commerce, planned behavior Abstract
Nonetheless, studies show that online grocery shopping can be influenced by a range of other issues, including situational factors such as the presence of a baby in the family, the health of the ...
re 9 Online grocery preference over physical shopping.According to the responses, 38.9% (7) respondents say the. won't prefer online grocery over physical shopping. Six out of the 18 responden. s would prefer online shopping over p. ysical shopping. The rest 27.8% (5) had other reasons. A follow-up question was not as.
Online shopping has intensified in the last decade. The COVID-19 pandemic has imposed circulation limitations and more restrictive behaviors on consumers due to fears of contracting the virus, boosting online grocery shopping. This study aims to assess the relationship between the online food purchasing experience during the pandemic and the intention to purchase food online after the pandemic.
Online Grocery Shopping (OGS) is a relatively new sales channel for retailers and manufacturers that is changing retailing considerably. ... The findings support our thesis that shopper ...
This thesis will analyze these three online grocers' business models and explore the underlying reasons that contributed to their failure and success, respectively. A recent trend in online grocery business is to positions online grocery store as a premium food and service provider that delivers high quality food products to the upper-income group.
The author found that the main factors that affect online shopping are convenience and attractive pricing/discount. Advertising and recommendations were among the least effective. In the study by Lian and Yen (2014), authors tested the two dimensions (drivers and barriers) that might affect intention to purchase online.
Introduction. This paper examines the practice of online grocery shopping during the COVID-19 pandemic. Shopping in general and food shopping in particular changed drastically during the pandemic (Babbitt, Babbitt, and Oehman Citation 2021; Hassen et al. Citation 2021b).Although general consumption levels went down, food consumption increased.
its place. I was curious about this click-and-collect grocery shopping mechanism, and I wondered how it could potentially change the massive grocery shopping industry. In 2017, the food retail industry, comprised of grocery stores, convenience stores, super markets, drug stores, and foodservice facilities, saw retail sales exceeding $5.5 trillion
Bachelor's Thesis in Business Administration Title: Consumer Attitudes Towards Online Grocery Shopping Author: Anna Blomqvist, Frida Lennartsson & Louise Nyman Tutor: Joaquín Cestino Date: 2015-05-10 Subject terms: Consumer Behaviour, Attitude, Theory of Planned Behaviour, E-commerce, Intention, Online Grocery Shopping Abstract
With the dawn of the COVID-19 pandemic, Grashuis et al., 2020 implemented a SC experiment to investigate grocery shopping channel choice using an online panel with 900 participants. They looked at the attributes of purchasing method (online purchase, in-store pickup, or in-store purchase), fees, minimum order amount, and time window.
shopping online and sales are projected to increase in value to £9.5 bn by 2015 (Shukri. 2014 ). Similarly, in the USA, online grocery sales are projected to grow from $23 bil-. lion in 2014 to ...
With the recent rise of online purchasing, many companies have focused on developing recommendation systems, where customers are suggested different options for comple-menting their purchases. This thesis will introduce and test four different approaches for a recommendation system for online shopping at supermarkets, based on the historical of
thesis. posted on 2022-11-23, 18:50 authored by George Panas. This study draws on construal level theory to explore the concepts of supply chain transparency, waste and psychological distance in online grocery shopping. The study proposes that consumers in a more abstract mindset place less weight on peripheral details, such as how a product ...
1. Introduction. E-commerce growth has grown exponentially in recent years. An e-commerce transaction starts when the seller advertises products on a website, and customers show acceptance, evaluate the products' features, prices, and delivery options, buy products of interest, and then check out (Ribadu & Rahman, Citation 2019).Tailoring these products to specific markets and targeted ...
Online Shopping Online shopping is a method of obtaining products and services through Internet-based stores, which gives customers convenient access to products and pricing information, as well as allowing them to compare products (Chu et al., 2010). This form of commerce has increased globally in recent years. As the internet expands in
Aims: The aim of this study is to compare online with in-store grocery shopping in terms of consumers' environmental characteristics and food shopping habits. Subjects & Setting: A total of n= 101, 84 women, 17 male, from age range 18-74 years, from 54 in-store and 47 the online participants were recruited at Wigan town centre (Manchester).
The factors like lifestyles related to food, shift to online grocery shopping due to technological innovation has its impact on online shopping behavior Sarangdhar et al. (2020). The elements that decide the reception of online shopping for food, as well as the quantity of web-based food varieties bought, are talked about in this study. Food ...
This paper intends to understand the consumer perception of online grocery shopping and the impact of demographic factors on the same. To find out the facts, 200 respondents were considered as sample size and data was collected through structured questionnaire. SPSS was used to analyse data and findings were interpreted.
Target's Valuation and Risks to this thesis. A valid risk to a Sell rating would be Target's valuation. Currently, Target company trades at 15 times earnings and with an increased outlook on its ...