Online Shopping Systems Evaluation: Customer and Retailer Analysis

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This report provides a comprehensive evaluation of online shopping systems, focusing on both customer and retailer perspectives. The evaluation methodology involves usability testing with users from both groups, assessing their interactions with the system through specific tasks. The report details the use cases considered, including customer bidding, sign-up processes, product searches, order placement, payment methods, and feedback mechanisms. Retailer tasks involve inventory management, order fulfillment, and customer relationship management. The evaluation aims to assess system usability, identify errors, and gather user feedback on various aspects of the online shopping experience. The report analyzes quantitative data and user interviews to determine system performance and areas for improvement, covering aspects like login time, password strength, product search efficiency, payment processes, and user interface design. The findings will help to understand the strengths and weaknesses of the system from both customer and retailer viewpoints and provide insights for optimizing the online shopping experience.
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Online Shopping Systems 1
EVALUATION OF ONLINE SHOPPING SYSTEMS
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Online Shopping Systems 2
ABSTRACT
Increased use of internet has led to improved online marketing strategies. Resultantly, the
number of customers shopping online has skyrocketed with time. With significant major
advancements being made in the technological sector, online retailers must adopt best practices
and technologies in running their businesses. Online systems evaluation by observing users
perform a set of tasks issued by the evaluator gives firsthand information on what the users think
about the system. Online shopping system developers must strive to deliver systems that meet
the user's expectations by ensuring they involve the users of these systems at different levels of
evaluation.
Keywords
Online systems, users, evaluators
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Online Shopping Systems 3
INTERACTIVE SYSTEMS AND ITS' USERS
Electronic commerce is the art of selling and buying of goods over the internet as well as
providing information to the customers or clients (Shaw, Blanning, Strader, & Whinston, 2012).
E-Commerce systems such as online shopping systems rely on computer network technologies
for functionality (Kenneth & Carol, 2009). These technologies provide services such as
electronic transfer of funds, automated data collection programs, managing inventory systems
and electronic data interchange between businesses (Jetton, 2013). Millions of people world over
have adopted E-Business as their preferred means of transacting business. Nowadays electronic
commerce uses technologies such as emails or the World Wide Web to carry out some aspects of
transactions (William & Ephraim, 2014).
An online shopping system is a business that offers goods and services in exchange for
other goods and services or money (Luo, Ba & Zhang 2012). A customer is the receiver of goods
or services from a vendor or supplier herein referred to as a retailer (Armstrong, Kotler , Harker
& Brennan, 2015). Online shopping allows a customer to go through the available products or
services from different vendors with the intent of making an order of the most appealing product
or service (Brunk et al 2018).
The customer is able to see all the available retailers and other intermediaries while on
the system. The online retailer may employ the services of a third party in shipping of ordered
goods. The third party offers services such as shipping of goods to the customer from the retailer
and sometimes linking the customer and the retailer (Kuruzovich et al 2008).The beauty of
online shopping and marketing on the side of the customer is that he/she gets to order goods
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Online Shopping Systems 4
from the comfort of their homes and the commodity is delivered at their doorstep. Retailers too
are able to make sales with ease.
Online shopping is informed on a variety of factors;
1) Customer Demographics
i. Customer's net income may positively or negatively influence the online shopping
tendency of the customer (Richa, 2012).
ii. Men are more involved in online shopping than women. This can be attributed to the
skeptical nature of women when it comes to shopping online (Forte Consultancy, 2015).
iii. Education levels of customers may hinder them from shopping online (Saidalavi, 2014).
iv. A society exercising a collective culture is likely to have declined levels of online
shopping compared to an individualistic cultured one.
2) Internet experience influence customer perception on product risk. Optimistic customers
are likely to shop more over the internet (Zheng, Zhao, & Stylianou, 2013).
3) Motivation to shop and the orientation received on shopping platforms. The satisfaction
achieved after shopping online impacts on the future online shopping tendencies by the
customer .
USE CASES
A use case is a step to step written description on how activities will be rolled out in a
system (Ruparelia, 2016). In this case, we will focus on the user interface from a customer and
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Online Shopping Systems 5
retailer oriented perspective and performance based on technology deployed by the online
shopping system. Our research aims to explore customer/seller versus system interaction. We
will not venture into the inner details of system development. The following use cases will be
considered;
1) The customer bids on products and services. New customers are required to sign up for
the system. During sign up, the customer's email address and password are requested for.
After customers are signed up and logged into the system, they are able to see the
available products, prices, and information about the products (Wallach, 2015).
2) After placing an order the customer is redirected to check out. This is where payment is
made.
3) The customer rates the level of services offered by the online shopping system by
dropping comments on a drop box available at the system upon completion of the
purchase (Park & Nicolau, 2015).
4) The retailer posts products they are offering, their price, products on promotion, an
inventory of products stocked, fulfilled orders as well as pending orders (Forman, Ghose,
& Goldfarb, 2008).
5) The retailer outsources the services of shipping of goods. The shipping company system
is then linked and integrated with the online shopping system.
6) The retailer takes stock at the warehouse where the actual physical goods are stored. The
retailer runs an inventory of goods received from suppliers and prepares them for sale by
packaging them in readiness for delivery.
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Online Shopping Systems 6
Payment of goods purchased is made through the retailer acceptable modes of payment.
Most commonly used mode of payment includes the use of prepaid cards, PayPal, and mobile
money cash transfers (Sumanjeet, 2009). The shipping/delivery company gets the goods to the
customer.
EVALUATION METHODOLOGY
The evaluation procedure will involve testing the usability of the system by the customers
and retailers through tasks fronted by the evaluator. This evaluation aims at;
i. Testing the visibility of the system status- a good system keeps its user on the know-how
on what's happening at realistic time intervals.
ii. Compare the similarities between the system and the users - users should be able to
identify themselves with the terms and concepts used in the system (Liu, He, Gao, & Xie,
2008).
iii. Assist users in identifying errors and recover from errors- the users should be able to
identify errors and get suggestions on the solution to these errors
The users will be classified into three classes namely, customer class and retailer class.
The views of other users of the system as proxies will be factored in through the class of users
who link them to the system. In each class, three users will be involved in the evaluation process.
Each user will be closely monitored, observed and timed as they perform tasks posed to them by
the evaluator. The evaluator will have absolute control of the testing environment and the format
to be used. A laboratory set up kind of isolation will be employed. The users will be filmed while
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Online Shopping Systems 7
performing the task. For the purposes of this evaluation users in each class will be classified as
user one, user two and user three.
Data used will be quantitative and statistically validated. All the classes of users will be
asked to comment on a list of user level of satisfaction questions in a filmed interview. The
performance margin will be quantified by the evaluator at the end of each evaluation and
recorded for later reference.
Customer test
New customers will be required to sign up for the system by filling their details on the
pop-up notification box that appears on their screen after the customer clicks on the sign-up link.
Customers already signed up in the system will be required to log in to the online shopping
system, search for goods or services they want and in case they find a variety to choose from
they will be required to conduct a personal product analysis by checking on the product review
comments from customers who rated the product before them after purchase. Once the customer
has arrived at a conclusive decision of what they want they will then be required to place a bid
and request for delivery of the purchased goods. The customer will then be required to proceed
in making payment for the purchased goods using the mode of payment preferred.
After the delivery of the purchased product(s), the customer will be required to scrutinize
if the products delivered are faulty or if they meet the standards the customer was looking for
while placing the order. This would be necessary mostly likely due to the deceptive outlook of
the product(s) when viewed at the system. If the product falls short of the customer expectations,
a return request will be sent to the retailer customer care. The customer will then wait for the
response from the retailer concerning their request.
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Online Shopping Systems 8
The evaluator will observe and record the amount of time taken by a customer to log into
the system, go through the steps involved in the purchase of the products, strength of password
required in the password field, the easiness of accessing commodities searched on the system,
response time of the system on different prompts by the customer, graphical user interface of the
system and the systematic arrangement of items on the system. The evaluator will also assess the
errors made by the customer when performing the above tasks as a result of faults in the
shopping system.
At the end of the customer usability test, a filmed interview will be conducted to
document the views of the customer about the usability of the system. It will therefore not be
necessary for the customer to rate the system at the customers portal at the end of the task. A
couple of randomized set of questions will be posed by the evaluator to the customer and the
answers from the customer documented in a recorded film. The questions asked will be as
follows;
1. What's the customers' opinion on the time that is taken to log in the system, the strength
of the password required to log into the system and the overall time taken to successfully
complete a purchase?
2. How did the customer find the product delivered as compared to the product ordered
from the system?
3. How long did it take for the purchased product to be delivered to the customer?
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Online Shopping Systems 9
4. What's the customer's perception of the time taken by the retailer to acknowledge receipt
of customer's order and the processing time?
5. The customer's rating of the graphical user interface of the system.
6. Customer's opinion on the process of making payments of purchased goods.
7. The opinion of the customer on the integrity of the customer reviews on the rating
section.
8. Customer's satisfaction or dissatisfaction by the sequence of links in the system and the
premium ads.
Retailer test
The retailers will be required to log into the system, run a close check of the product(s)
stocked on the system against those stocked at the physical warehouse by going through the
inventory section of the portal. Confirm orders placed by the customers, arrange with the
shipping or delivering company for shipment or delivery of the goods to the customer's specified
location.
The retailer will also be required to come up with a list of frequent customers from the
system by checking from the orders section, customers who have made orders more than the
typical number of times in a period of one month. From the orders section, the retailer will also
be required to come up with the list of frequent shoppers and all shoppers who have ever
purchased products from the system. The retailer will be asked to post goods he/she wish to put
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Online Shopping Systems 10
on offer at the system, reward the loyal customers through his/her appraise ship program policy
available on the system on the retailer's policy section.
THE EVALUATION
Systems program evaluation aims to help understand the functioning of the system
features and ways to help improve the performance and appeal to users.
Customer Evaluation
With our online shopping system customers' evaluated involved new customers trying to
sign up for the system and already signed up current customers. For this purpose customers were
classified as a customer "one", "two" and "three". The customer was closely monitored when
login into the system. New customers were required to sign up in order to access the system.
Already signed up customers took a moderately considerable amount of time to log in the system
with the fastest customer logging in a matter of seconds and the slowest in a minute. The time
taken to log in the system by all the evaluated customers was not in any way affected by outside
factors such as the internet speed, therefore quantification of time taken was based on a
presumption that all the customers were evaluated in the same environment. The password field
in the login section required the customer to feed the password in form of letters and numeric
only.
Once the customer logs in, the system automatically redirects them to the main shopping
page. The customer is able to see the products available from different retailers, navigate on the
different sections of the system, view price of products posted, and search for products without
having to navigate through the list of posted products. While on the system, the customer
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Online Shopping Systems 11
initiates the process of purchasing products by clicking on the "purchase" link below every
product (Li, Liu & Wang, (2018).
The customer is redirected to another page where a form with details of the customer's
credentials is provided; this includes customer's physical address, state, and city, desired means
of payment and the quantity of product the customer wishes to purchase. The customer
completes the form by filling in the empty fields. Once dully field, the form is sent to the retailer
who is expected to confirm and process the order upon receiving the form (Hou & Elliott, 2010).
The customer receives an acknowledgment message from the seller after the order is received.
Once the retailer has fully processed the order, the customer is invoiced the total cost of the
purchase order.
The customer proceeds to the check out section. In this section, the customer is allowed
to choose their preferred mode of payment from the available modes of payment. Different
customers used different modes of payment as indicated below:
1. Prepaid cards processor payment method - this involves payment by use of debit or credit
cards. The customer has to make a request to their online payment provider asking them
to credit the account of the retailer the cost of the purchased goods.
2. PayPal - it entails controlled bank transfer management services. The customer first
deposit cash into their PayPal account from their bank account or at least confirms that
they have enough money in their account before making payments.
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Online Shopping Systems 12
3. Mobile money transfer- this form of payment involves the use of mobile phones in
processing payment using direct carrier services. The cost of purchases is included in the
next phone bill (Vaughan, Fengler & Joseph, 2013).
After choosing the desired mode of payment and keying in the required information, the
customer confirms the shipping/delivery address they provided and authorizes payment
(Tutorialspoint, 2016). When the customer clicks on the logout link at the system, a drop box
appears on the screen prompting the customer to rank the system and give some reviews
(Riquelme, Isabel & Sergio, 2014).
After the goods are delivered, the customer double checks the goods to confirm if they
are a true reflection of the commodities purchased from the system. In case the product fails to
meet the customer's preference, the customer establishes contact with the retailer customer care
in a bit to see if they can change the product delivered. However, the customer is required to
cater for the shipping back costs.
At the end of the evaluation, the customer was asked a couple of questions regarding how
they found the system responsive to their needs. The following were their answers;
1. Time taken to log into the system was considerably fine from the customer's perspective
but the time taken to complete the purchasing process needed some improvement. In the
customer's opinion, signing up for the system before making a purchase was not
necessary. Customer three and two had no issues with the password strength required. On
the other hand, customer one questioned the credibility and security threshold of the
password strength prompted at sign up.
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2. Customer one found the product delivered to be the exact product they purchased from
the system. Customer two and three had been supplied with the wrong product. The size
or color and quality of product delivered didn't match the customer's standards when
making the purchase.
3. The three customers evaluated had issues with the time taken for the product to be
delivered. The product either took so long or it was delivered later than the time they
wanted to use it. In one case customer, two who had purchased designer shoes to wear on
an event had to opt for alternative shoes as the shoes were not delivered on time.
4. Time used to make payment was comparatively fine with the three customers evaluated.
However, customer three expressed concerns about why it was necessary for a customer
to be signed up. The retailer's response on receipt of order and processing time was
slightly slow (Mallat & Tuunainen, 2008).
5. Customer one rated the graphical user interface of the system as excellent while customer
two and three ranked it as slightly above average. This could be attributed to the wrong
product being delivered to the two customers other than what they had viewed from the
system interface (Mittal, 2017).
6. The integrity of the reviews by previous shoppers was questioned by the three users. The
numerous premium ads and the design of the links in the system were found to inform
their answer on this (Kim, Ferrin, & Rao, 2008).
Retailer Evaluation
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Three different retailers were evaluated. They were named retailer one, retailer two and
retailer three. The evaluator observed a set of activities being performed by each retailer on the
system. The retailer updated their inventory by close checking on goods stocked at the physical
warehouse versus those posted on the system. The retailer was also tasked to post new products
and their prices on the system. These include goods stocked for promotion purposes and
launching of entirely new commodities.
The retailer was monitored while responding to a customer request for purchase and time
taken to acknowledge receipt of an order from the customer. The retailers appraise ship program
to loyal customers was tested by noting the number of customers rewarded with free gift
shopping vouchers as deduced from the customer relationship management linked software
(Meziane & Kasiran, 2008).
The evaluator also monitored the communication between the retailer and the shipping
company. The retailer was required to first make a formal application for shipment of the goods
to the customer and thereafter negotiating the price charged for the service. The retailer also
confirmed receiving money in their bank account from the customer's online payment service
provider. To help understand the retailer's opinion on the responsiveness of the system to retailer
needs, a set of questions were administered to the three users. The following were their
responses;
1. When asked on how they found the system accommodating while posting products and
updating the price changes with different products, all retailers decried of the time-
consuming nature of the process and the limited space for products catalog.
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Online Shopping Systems 15
2. Retailer one raised issues on the ability of the system to handle up surging traffic. With
an increased number of customers, retailer one failed to identify and recognize their most
loyal customers due to heavy traffic. Retailer two and three had no issues with traffic. It's
worth noting that retailer one had no customer relationship management system inter-
linked with the shopping system.
3. When asked about the appropriateness of the system in advertising their products, retailer
three and one decried of the stiff competition from digital marketing channels. Retailer
two had no issues with marketing. Retailer three and one were forced to explore other
channels like display ads, shopping engines, and email subscriber lists. The retailers were
also asked about their ability to attract new customers while retaining the current ones.
4. The choice of the right partners and technology was also found to influence the growth of
their business (Qiu & Benbasat, 2009).The inventory management software being used,
customer relationship management systems used and the email software employed by the
system had direct impacts on the retailers business as stated unanimously by the retailers,
when asked to comment on technology. The choice of company to be contracted in
delivering the goods to the customers was found to influence the likelihood of the
customer shopping again with the retailer. Companies that took so long discredited the
retailer's service delivery (Lin & Lee, 2009).
5. The workmanship used to man the physical warehouses and the system was found to
influence the growth of the retailer business. Retailer three proposed hiring of the right
talent and purpose-driven individuals as the bedrock of desired growth (Jing & Lewis,
2011).
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Online Shopping Systems 16
FINDINGS OF THE EVALUATION
The evaluation findings were based on empirical facts of the data collected, the opinion
of users and answers to questions asked in the interview (Zellman & Kilburn, 2015). Different
class of users had a divergent opinion on different functionalities of the system. This can be
justified by taking into consideration that different class of users have a different set of
expectations on how the system should suit them (Hong, Thong & Tam, 2015). The evaluation
findings have been categorized into two sections with each section representing a single class of
user evaluated as demonstrated below;
Customer class
1. Overall time taken by the customer to complete shopping was found to be exhausting,
this was because of too many products in the shopping catalog (Guided Selling, 2015)
2. The signing up process was not found to hold any relevance. It ended up wasting the
customer's time while shopping. This had a negative implication on the customer's
intention to shop from the system (Tung, Xu & Tan, 2009).
3. Time taken by the system to deliver messages to the retailer from the customer was
compromisingly slow. Some customers had to log out of the system and later come back
to check if the sender had written to them. This informed the customer's decision on
whether to shop through the same retailer next time (Romain & Cuestas, 2008)
4. The products displayed on the system in some cases were manipulated by the system in a
manner either the color, size and other physical attributes deceived the customer (Smith,
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Online Shopping Systems 17
Johnston & Howard, 2011). The graphical user interface of the system, therefore, needed
some improvements (Holbrook, Holbrook, Lehmann & Schmitt, 2016).
5. Time taken to deliver products to the customer was way too long. This, however, was
occasioned by the contact time between the retailer and the delivering company (Lin &
Lee, 2009). The message response time of the link between the shopping system and the
delivery company is inconveniently annoying. There was a need for intermediaries such
as delivery companies to be incorporated and directly integrated into the system features.
6. The integrity of reviews was questionable (Neijens, Bronner, & Ridder, 2011). It was
possible for one person to review the system twice. Majority of those participating in
rating the product had been lured with tokens or promised rewards after rating the
system. This, therefore, ended up misleading innocent new shoppers.
Retailer class
1. It was quite easy for the retailer to post products on the system inventory. However, it
wasn't possible for the retailer to take stock of goods at the warehouse from the system.
To do this, it required extra features on the system (Goo, Kishore, Rao, & Nam, 2009).
2. Product marketing was found to be an expensive affair as the system had no marketing
program features integrated with it (Chintagunta, Chu & Cebollada 2012). The retailer
relied on the system interface to attract customers to shop or employed marketing
services sourced elsewhere.
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Online Shopping Systems 18
3. Complimentary technologies used by retailers to meet customer needs such as the
inventory software management, customer relationship management, and email
applications were not compatible with the system (Luo, Ba & Zhang 2012). They could
not be configured to match the system specifications.
4. The system was also found to lack human resource management abilities. The retailer had
to man their labor force using different systems. This greatly impacted on the quality of
services offered to customers (Prateek, Dr. Richa & Sibongiseni, 2016).
5. It was also not possible for the retailer to come up with the list of customers who have
purchased goods from the online shopping system, they had to refer to the inter-linked
customer relationship management system.
6. The limited space in the products catalog limited the number of products that the retailer
could stock at the system.
7. Fear by customers as to whether goods purchased will get to them after payment and
delays brought up by a long chain of processes limits the number of sales done by the
retailer (Bhatia & Dahiya, 2013)
8. The system needed some modifications to restore customer's trust on the retailers and
means of payment provided.
Through the evaluation, the methodology employed it can be deduced that users' opinion
on the functionality of the system will form a good base for all future system improvements. The
information received from customers was found unbiased, the evaluator could assess the answers
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Online Shopping Systems 19
given on the interview questions using the results observed while the users went on to perform
the tasks issued earlier.
Challenges were notwithstanding in the evaluation process. Some users of the system
were not familiar with the concept of system evaluation. This made it a bit difficult for the
evaluator to get expected results in some cases. Users also were found not to be so helpful when
answering interview questions. In questions requiring a brief explanation, a one-word answer
was given. The evaluation process had some setbacks in that it didn't factor in a scenario where a
physically challenged person would be the customer (Kaufman & Childers, 2009). It also proved
difficult to quantify user's personal opinion.
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APPENDIX
User trials observation notes
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The classes of users evaluated were the customer class and the retailer class.
Customer three took more time to shop, he had to be signed up before proceeding to the
products catalog.
Customer three was also observed to be having sight problems, and he had to use reading
glasses while viewing products.
Customer two was from a remote area while customer three and one were from urban
areas. It took more time to get goods purchased by this customer to the destination
(Amanor-Boadu, 2009).
All the three customers failed to review the system and instead raised questions about the
credibility of the reviews done before.
All the customers had the money or their means of payment ready before opting to shop.
All the evaluated customers were predominantly male, the evaluator could not get a lady
who was ready to be evaluated.
Retailer one stocked electronics and electrical appliances, retailer two clothes and shoes.
Retailer three stocked motor vehicles and automobiles.
The retailer had no control of the system expect to post and update product information.
Time taken by the delivery company to get goods to the customer was dependent on the
geographical location of the customer in comparison to the retailer warehouse. However,
it took more time to deliver goods to remote areas (Amanor-Boadu, 2009).
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