Impact of Online Ordering on Consumer Shopping Behavior: A Report

This report analyzes the factors affecting consumers' online shopping behavior. It explores the advantages and disadvantages of online ordering, including financial risks, learning experiences, and cultural differences. The report also examines the impact of online shopping on both local and overseas retailers, discussing decreased customer loyalty and the influence of online engagement. It references several studies to support its findings, offering a comprehensive overview of the evolving landscape of online retail and its effects on consumer behavior and the retail industry. The report highlights the shift towards online shopping due to convenience and busy lifestyles, emphasizing the need for businesses to adapt to changing consumer preferences.

Running head: MARKETING
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Analysis of Factors Affecting Ability to Order Products Through Internet on Shopping
Behaviour of Consumers
There are different factors which are affecting the overall ability to order products
through online medium on shopping related behavior of the customers in the following
manner:
Firstly, there can be inclusion of financial risks wherein certain amount of money
can be lost while purchasing products and services online however, in the present scenario,
the millennials like us are not concerned relating to the online purchases in comparison to the
older generations who are skeptical in making the purchases (Chen et al. 2015).
Furthermore, there can be inclusion of learning and experience gained from
shopping online as the customers will be able to research the different products which will be
bought by them before purchasing the products. Both experiences along with learning plays a
vital role in influencing the behavior of the customers as it influences the purchase related
decisions.
Lastly, there can be cultural differences faced by the customers while ordering the
different products from online shopping website. From the different surveys, it has been
found that more than 43% of the buyers are from non-English speaking background and it is
the duty of the online firms which can be accounted for.
From the above, it can be identified that these are the different kinds of factors which
affects the ability of the shopping behavior of the consumers, however we are trying to shift
our focus on the online shopping experience and make our shopping worthy as we do not
have time to visit the offline retail stores due to the busy schedules of work life.
Advantages and Disadvantages of Ordering Online Products
There are different kinds of advantages along with disadvantages of the online
shopping which can affect the overall preferences of the buyers in a positive and negative
manner.
Advantages

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Firstly, there is no such pressure in shopping, unlike in physical stores, the sales
representatives are influencing buyers in buying the products, however in online shopping,
the customers are free to choose the products and buy as per their choice.
Moreover, online shopping helps in saving time as the customers don not have to
stand in queues in the cash counters to pay for the different products which are purchased by
them, and they purchase from their home or workplace and no time is wasted on travelling
(Thaichon 2017).
As to attract the different customers, the online e-commerce websites offer different
discounts to the different customers wherein they have cut down on the real estate along with
costs related to maintenance, the sellers do not back out in giving huge number of discounts
(Thaichon 2017).
Disadvantages
Firstly, there is delay in the process of delivery as the long duration along with lack of
appropriate inventory management results in the same. The payment of the products does not
take more than 15 minutes; however, the delivery of the products takes more time such as
more than 1-3 weeks which frustrates the customers and prevents them from shopping online
(Mallapragada, Chandukala and Liu 2016).
There can be inclusion of frauds in online shopping as there can be disappearance of
the shopping site itself and the online payments are not secured in nature as well (Stephen
2016). Moreover, presently, rate of cybercrimes has increased and the card details of
customers are misused.
Effect of Online Ordering on Local Retailers and Overseas retailers
Due to the online ordering system, it can be identified that it is affecting the local as
well as overseas retailers in a negative manner. Firstly, there is decreased loyalty among
customers in the market, for instance- while we were growing up, my parents or relatives
were content to purchase the products or brands from the shop, however presently, we prefer
online shopping which are supported by online reviews and it is affecting brand loyalty
negatively (Fang et al. 2016).

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The online engagement affects the retail businesses negatively as it is following the
different trends on positing the different products on the Facebook or Instagram pages and it
helps in forming a deeper connection with their customers (Lim et al. 2016). However, it is
snatching away the customers from the retail stores as the online validation is the most
crucial aspect which should be followed and affects the business of offline retailers.

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References
Chen, Y., Yan, X., Fan, W. and Gordon, M., 2015. The joint moderating role of trust
propensity and gender on consumers’ online shopping behavior. Computers in Human
Behavior, 43, pp.272-283.
Fang, J., Wen, C., George, B. and Prybutok, V.R., 2016. Consumer heterogeneity, perceived
value, and repurchase decision-making in online shopping: the role of gender, age, and
shopping motives. Journal of Electronic Commerce Research, 17(2), p.116.
Lim, Y.J., Osman, A., Salahuddin, S.N., Romle, A.R. and Abdullah, S., 2016. Factors
influencing online shopping behavior: the mediating role of purchase intention. Procedia
Economics and Finance, 35, pp.401-410.
Mallapragada, G., Chandukala, S.R. and Liu, Q., 2016. Exploring the effects of
“What”(product) and “Where”(website) characteristics on online shopping behavior. Journal
of Marketing, 80(2), pp.21-38.
Stephen, A.T., 2016. The role of digital and social media marketing in consumer
behavior. Current Opinion in Psychology, 10, pp.17-21.
Thaichon, P., 2017. Consumer socialization process: The role of age in children's online
shopping behavior. Journal of Retailing and Consumer Services, 34, pp.38-47.