FY028 Inquiry Project: Impact of COVID-19 on Boohoo UK Customers

This report presents an inquiry-based project analyzing the impact of COVID-19 on the e-commerce industry in the UK, with a specific focus on Boohoo UK. The research investigates the changes in customer behavior, including the shift towards online shopping, and the strategies Boohoo UK implemented to adapt to these changes. The report includes a literature review, methodology (primary and secondary data collection), and analysis of the collected data, presented through graphs and interpretations. Findings reveal the positive impact of COVID-19 on the e-commerce sector, with a significant increase in online purchases. The study also examines the strategies employed by Boohoo UK, such as increasing product offerings and focusing on customer experience, to deal with the evolving consumer behavior. Recommendations are provided based on the analysis and discussion, offering insights into how Boohoo UK can maintain success in the post-pandemic retail environment. The report is based on a student's research and is available on Desklib, a platform for AI-based study tools.

Inquiry Based Learning
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Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................3
Background of study....................................................................................................................3
Company Overview.....................................................................................................................3
Research aim:...............................................................................................................................3
Research objectives.....................................................................................................................3
Research question:.......................................................................................................................3
Rationale for the research............................................................................................................4
LITERATURE REVIEW................................................................................................................4
Impact of Covid-19 on E-commerce industry of UK..................................................................4
Changes in customer behaviour affecting BOHOO since Covid-19...........................................4
Strategies used by BOHOO to deal with changes in customer’s behaviour due to Covid-19.....5
Methodology....................................................................................................................................5
Analysis and Discussion..................................................................................................................7
RECOMMENDATIONS...............................................................................................................10
Conclusion.....................................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
Background of study
COVID-19 has developed a watershed moment in economic, civic and organisational
terms. It change the scenario of whole world and impact on all over the industries but e-
commerce industry is now gain high growth and success (Al-Khalaf and Choe, 2020). The
behaviour of customers is also change towards E-commerce due to Covid-19 as they now prefer
to buy product and service online in order to prevent them from virus.
Company Overview
For the present study, Boohoo UK is taken into consideration. It is an online fashion
retailer which was established in year 2006 and headquarter in Manchester, United Kingdom. It
specialise in own brand fashion clothing for 16-30 years old people and offer more than 36,000
products. The increase in preference of customers to buy online product enhance sales and
profitability of organisation. In addition to this, it also assist in increasing customer base level
and improve its market presence in an effective manner.
Research aim:
“To analyse changes of the customer’s behaviour in UK Ecommerce since Covid-19”. A
case study of BOOHOO UK.
Research objectives
 To identify the impact of Covid-19 on E-commerce industry of UK.
 To determine changes in customer behaviour affecting BOHOO since Covid-19.
 To explore strategies used by BOHOO to deal with changes in customer’s behaviour due
to Covid-19.
Research question:
 What is the impact of Covid-19 on E-commerce industry of UK?
 What are the changes in customer behaviour affecting BOHOO since Covid-19?
 What are the strategies used by BOHOO to deal with changes in customer’s behaviour
due to Covid-19
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Rationale for the research
One Of the main reason to conduct this study is to gain knowledge about changes of
customer behavior due to Covid-19 in E Commerce industry. It is stated that COVID-19 has
affected all the industries but E Commerce industry has gain higher growth and success as
preference of customers is changed from offline to online buying. In addition to this, it also help
researcher to gain both personal and professional growth. In context to professional, it allow
investigator to know about E Commerce industry and in relation to personal, it help in enhancing
skills such as data analysis, data collection, communication, time management and many more.
LITERATURE REVIEW
Impact of Covid-19 on E-commerce industry of UK
As per the view point of Margaret Kashuba, (2020) It is analyzed that COVID-19
pandemic change the whole world and impact on the overall economy. The E Commerce
industry gain higher growth and online sales is increase rapidly. The buying preference of
customers has changed as they shift towards from offline to online. Customers buy food, clothes,
essential items and any other things online in order to safeguard them from virus. It also saves
the time as well as cost of customers which impact positively on the sales and profitability of an
organization (How has COVID-19 impacted consumer behaviors & organizational responses,
2020 ). E-Commerce industry is one of the industry which gain growth in this pandemic and
organization to rapid development in order to maintain their performance level. Before Covid-19,
the 50% of population of UK preferred to buy products and services online but it is analyzed that
after COVID-19 around 85% of population prefer ordering online. It is stated that there is
positive impact of COVID-19 on E Commerce industry within the United Kingdom.
Changes in customer behaviour affecting BOHOO since Covid-19
According to Carl Zangerl, (2020) It is analyzed that from panic buying to online shopping, this
pandemic has disrupted the overall consumer behavior within a short timeframe. Online
shopping is rapidly increasing and E Commerce industry gain growth in this pandemic. There are
many people who buy non perishable food as well as essential product in large number of
quantity but this pandemic arise panic buying as well as unanticipated reaction of customer. The
sales of E-grocery is getting doubled as compared to other aspects as people prefer not to go out
and services at their doorstep ( The impact of Covid-19 on Ecommerce, 2020). Some of the
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customers are forced to shop online because of safety motives and are afraid of getting virus
from grocery stores. This impact both positively as well as negatively on the customer behavior
as it is effective for people who prefer quality and purchase in short amount whereas it is not
good for people who prefer to buy products in large quantity and is not able to manage things
because of high pricing. The customer buy their products as well as services on the first click and
received their products at doorstep which is easy and save time of customer an also develop
positive behavior and attitude towards online shopping.
Strategies used by BOHOO to deal with changes in customer’s behaviour due to Covid-19
According to Methew yan, (2020), it is analyzed that there are various strategies used by
organizations in order to deal with the changes take place in the consumer behaviour and attitude
because of COVID-19 pandemic. One of the strategy is increasing number of offerings in order
to provide various options and fulfill the requirement of customer at one place only (Cullinane
and et. al. 2019). This help companies to make loyal customers and enhance its customer base
level in an effective manner. Another strategy is providing effective customer experience as it
helps to develop positive mindset of customers towards brand because of it the future sales and
performance of organization is maintained. Development of good relationship with customers
and remain in touch with them on constant basis is also undertaken as a strategy to deal with the
changes of customer behaviour since COVID-19. It is important for an organization to develop
and implement effective strategies so that they can deal with Covid-19 situation and maintain its
performance as well. There are also other strategies used by organisations that is offering product
and services at low prices, on time delivery, customer feedback, quality and safety assurance and
many more. All these strategies will help in maintaining and retaining customers also to develop
positive customer behavior towards the organization.
Methodology
Primary data
It is undertaken as original and fresh information that is being gathered for the first time by
investigator withban objective to attain research aims within given timeframe. In addition to this,
primary information is gathered from particular sources which are never stated and used by
someone else. There are various sources for collecting primary information such as
questionnaire, interview, observation and many more (Krithika and Rohini, 2021). It is analyzed
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that collecting primary data is time consuming and expensive method but help in gaining in-
depth understanding about the topic due to which researcher is able to draw valid and reliable
conclusion. For the present study, questionnaire is taken into consideration for collecting primary
data about changes in customer behavior due to COVID-19 in E-commerce industry. This
primary method will help in gaining proper information and attaining research objectives.
secondary data
This form of data is wholly an opposite to primary data collection and has been collected as
well as altered by investigator as per the research topic. In addition to this, secondary data is
undertaken as finished information that has suitable history. By the assistance of secondary
information, investigator is allowed to conduct particular research for the project and also
analyze the research gaps(Lee and Lee, 2019). There are various sources of secondary data
collection such as such as articles, Internet, companies website, journals, books and many more.
It is stated that collecting secondary information take less time and cost of researchers. In the
present research, the viewpoint of various authors is considered in order to gain knowledge about
research topic.
Quantitative method
It is a form of collecting information which is in the form of numbers and statistics. It is
undertaken as one of the easiest form of collecting as well as gathering information in which
researcher collect data from large number of people and represent it in the form of numbers and
graphs. In addition to this, quantitative methodology requires large number of participants for
data collection. Here in, the method tends to be use are experiment, survey design, close ended
question and so on. This form of research method help in gaining appropriate information about
research topic due to which an effective and valid conclusion is drawn in given timeframe.
Qualitative method
It is undertaken as a form of data collection associated to words and meaning that is
different from quantitative method. Here in, the suitable concept as well as experiences consider
for gaining understanding about research topic (Lee and Chow, 2020). There are various
methods for collecting qualitative information such as interview, open-ended questionnaire,
literature review and so on. It allows researchers to collect information in less time and cost as
well.
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For the present study, quantitative method is used by researchers. This help researcher to
gain in-depth knowledge about research topic that is change in customer behavior due to
COVID-19 in e-commerce industry. By the assistance of quantitative information, researcher
will be able to gain or collect data from large number of people. It also assists investigator to
represent information in the form of graphs and numbers that is easy to understand and interpret.
Moreover, using of such research method assist investigator to gain valuable and effective results
timely.
Analysis and Discussion
Q1. What is the impact of Covid-19 on the E-commerce industry
within UK?
Frequency
a) Positive impact 15
b) Negative impact 3
c) Neutral 2
Interpretation: From the above graph, it is interpreted that there is positive impact of COVID-
19 on E-Commerce industry within United Kingdom and is said by 15 respondents out of total
20 participants. In addition to this, 3 respondents said that there is negative influence Whereas
the remaining 2 participants perceive that there is no effect of COVID-19 on E-commerce
industry in United Kingdom.
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Q2. As per your view point, is Covid-19 change the customer
behaviour and attitude towards buying of product and services?
Frequency
a) Yes 16
b) No 4
Interpretation: By interpreting the above graph, it is said that out of total 20 participants,
16 respondents said that COVID-19 has change customer behaviour and attitude towards buying
of product and services. The remaining 4 participant is not agree with the point.
Q3. What are the strategies used by Ecommerce companies to deal
with the changing behaviour of customer due to Covid-19?
Frequency
a) Increase in number of offerings 9
b) Focus on providing high customer experience 6
c) Customer feedback 5
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Interpretation: It is analyzed from the above graph that there are various strategies used
by E-commerce companies for dealing with changing behavior of customers. One of the
strategies increasing number of offerings which is said by 9 participants. The other 6 respondents
said that focus on providing high customer experience is an effective strategy whereas the
remaining 5 said that customer feedback is one of the effective strategy used by E-commerce
company for dealing with changing behavior of customer due to Covid-19.
Discussion on basis of secondary data
By conducting secondary analysis, it is determined that COVID-19 has affected E
Commerce industry in a positive manner and assist in gaining high growth and success at
marketplace. It is analyse that the behaviour and attitude of customers towards online shopping is
become positive as they prefer to buy products as well as services online instead of offline in
order to secure themselves (Sharma and Jhamb, 2020). It is important for organizations who deal
in online offering to ensure providing high customer experience in order to retain then for longer
time frame. There are various strategies used by E-commerce companies to deal with changing
customer behaviour such as increasing number of offerings, providing delivery on time, remain
in touch with customers, focus on quality and so on. This help organization to maintain its
Performance and enhance its market presence in an effective manner.
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RECOMMENDATIONS
By analyzing the above study, some of the recommendations to respective organization is
given below:
 It is recommended to higher authorities of Boohoo UK to ensure customers timely
delivery along with quality so that its customers did not switch to any other brand and
retain with them for longer time.
 In the present time period, there are large number of companies who offer products as
well as services online and to deal with them, it is important for Boohoo UK to focus on
providing high customer experience and remain in touch with them (Testa, Iovino and
Iraldo, 2020). This help company to maintain its performance and attain competitive
advantage at marketplace.
Conclusion
From the above study, it has been conclude that Covid-19 brings a wide change in the whole
organisation and effect adversely on their performance of organisation. On the other hand, E-
commerce industry gain a high boom and success as well. There are many challenges faced by
E-commerce industry due to pandemic such as change in customer behaviour, high demand and
so on. Moreover, it is important for investigator to select an effective method for data collection
in order to gain effective knowledge about topic and to draw valid conclusion as well.
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REFERENCES
Books & Journal
Al-Khalaf, E. and Choe, P., 2020. Increasing customer trust towards mobile commerce in a
multicultural society: A case of Qatar. Journal of Internet Commerce. 19(1). pp.32-61.
Cullinane, S., and et. al. 2019. Retail clothing returns: A review of key issues. Contemporary
Operations and Logistics. pp.301-322.
Krithika, D.R. and Rohini, K., 2021, March. Comparative Intrepretation Of Machine Learning
Algorithms In Predicting The Cardiovascular Death Rate For Covid-19 Data. In 2021
International Conference on Computational Intelligence and Knowledge Economy
(ICCIKE) (pp. 394-400). IEEE.
Lee, J. and Lee, Y., 2019. Does online shopping make consumers feel better? Exploring online
retail therapy effects on consumers’ attitudes towards online shopping malls. Asia
Pacific Journal of Marketing and Logistics.
Lee, S.H. and Chow, P.S., 2020. Investigating consumer attitudes and intentions toward online
fashion renting retailing. Journal of Retailing and Consumer Services. 52. p.101892.
Sharma, A. and Jhamb, D., 2020. Changing Consumer Behaviours Towards Online Shopping-An
Impact Of Covid 19. Academy of Marketing Studies Journal. 24(3). pp.1-10.
Testa, F., Iovino, R. and Iraldo, F., 2020. The circular economy and consumer behaviour: The
mediating role of information seeking in buying circular packaging. Business Strategy
and the Environment. 29(8). pp.3435-3448.
Zhong and et. al. 2019. Using online reviews to explore consumer purchasing behaviour in
different cultural settings. Kybernetes.
Online
The impact of Covid-19 on Ecommerce, 2020 [Online] Available through;
http://www.thegarnergrp.com/blog/5-great-employer-branding-examples
How has COVID-19 impacted consumer behaviors & organizational responses, 2020 [Online]
Available through; https://www.northeastern.edu/orgcomm/2020/06/06/how-covid-19-is-
impacting-consumer-behaviors-and-organizational-response-strategies/
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APPENDICES
Q1. What is the impact of Covid-19 on the E-commerce industry
within UK?
Frequency
a) Positive impact 15
b) Negative impact 3
c) Neutral 2
Q2. As per your view point, is Covid-19 change the customer
behaviour and attitude towards buying of product and services?
Frequency
a) Yes 16
b) No 4
Q3. What are the strategies used by Ecommerce companies to deal
with the changing behaviour of customer due to Covid-19?
Frequency
a) Increase in number of offerings 9
b) Focus on providing high customer experience 6
c) Customer feedback 5
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