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INDORE INSTITUTE OF COMPUTER APPLICATION

MAJOR RESEARCH PROJECT ON A STUDY OF ONLINE SHOPPING AT INDORE A NEW AVENUE OF E-MARKETING

(For the partial fulfillment of the MBA full time program)

Supervised by Col. H.V.Mankotia IIST, Indore Marketing

Submitted by: VISHNU VERMA MBA (H.R.) IV SEM Major: H.R. (2009-11) &

Research Centre Indore Institute of Computer Application, Indore (DEPARTMENT OF MANAGEMENT STUDIES)
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DECLARATION
I hereby declare that the project entitled A STUDY OF ONLINE SHOPPING AT

INDORE A NEW AVENUE OF E-MARKETING is my own work conducted


under the supervision of Mr. H.V.Mankotia IICA, Indore.

I further declare that to the best of my knowledge this work does not contain any information without citation.

VISHNU VERMA MBA 4th Semester Roll No. -- 09136336

CERTIFICATE
This is to certify that Vishnu Verma, student of MBA 4 Semester, of INDORE INSTITUTE

OF COMPUTER APPLICATION Indore (M.P.) has completed his major research project entitled A STUDY OF ONLINE SHOPPING AT INDORE A NEW AVENUE OF E-MARKETING. He has prepared this report under my guidance and to the
best of my knowledge, this is his original work and has not been submitted anywhere before.

Date: Place: Indore Prof. H.V.Mankotia Project guide IICA, Indore

ACKNOWLEDEMENT

It is my esteemed pleasure to present this research project on A STUDY OF ONLINE

SHOPPING AT INDORE A NEW AVENUE OF E-MARKETING. The effort


was always support and blessed by people directly or indirectly related to our work. I would like to express my gratitude to some of those who have given their support and blessing during the research work.

I express our deep sense of gratitude and heartfelt thanks to all my faculty of MBA department of INDORE INSTITUTE OF COMPUTER APPLICATION for their faith in our abilities & providing opportunities to carry on this research project.

Specially, I thank Col. Mankotia, under whose kind guidance, I have completed the project, and who helped me at every stage of my research work.

I am indebted to all my family and friends for their continuous support and encouragement during the course of this project.

VISHNU VERMA MBA 4th semester

TABLE OF CONTENT Sr.No. PARTICULER PAGE NO.

Declaration

2 3 4 5 6 8 9 10 11 12 13

Certificate Acknowledgement Introduction Review of literature Rationale Objective of study Research methodology& Findings Questioners Findings Bibliography & Reference Reference-

3 4 6-14 15-17 18-18 19-19 20-21 22-31 32-32 33-34 35-35

INTRODUCTION
Online shopping is the process whereby consumers directly buy goods or services from a seller in real-time, without an intermediary service, over the Internet. It is a form of electronic commerce. An online shop, e shop, e-store, internet shop, web shop, web store, online store, or virtual store evokes the physical analogy of buying products or services at a bricks-and-mortar retailer or in a shopping centre. The process is called Business-to-Consumer (B2C) online
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shopping. When a business buys from another business it is called Business-to-Business (B2B) online shopping. History In 1990 Tim Berners-Lee created the first World Wide Web server and browser. It opened for commercial use in 1991. In 1994 other advances took place, such as online banking and the opening of an online pizza shop by Pizza Hut.[1] During that same year, Netscape introduced SSL encryption of data transferred online, which has become essential for secure online shopping. Also in 1994 the German company Internship introduced its first online shopping system. In 1995 Amazon launched its online shopping site, and in 1996 eBay appeared. Customers In recent years, online shopping has become popular; however, it still caters to the middle and upper class. In order to shop online, one must be able to have access to a computer, a bank account and a debit card. Shopping has evolved with the growth of technology. According to research found in the Journal of Electronic Commerce, if one focuses on the demographic characteristics of the in-home shopper, in general, the higher the level of education, income, and occupation of the head of the household, the more favorable the perception of non-store shopping., Enrique. (2005)The Impact of Internet User Shopping Patterns and Demographics on Consumer Mobile Buying Behavior. Journal of Electronic Commerce Research, An influential factor in consumer attitude towards non-store shopping is exposure to technology, since it has been demonstrated that increased exposure to technology increases the probability of developing favorable attitudes towards new shopping channels. Online shopping widened the target audience to men and women of the middle class. At first, the main users of online shopping were young men with a high level of income and a university education. This profile is changing. For example, in USA in the early years of Internet there were very few women users, but by 2001 women were 52.8% of the online population.

Logistics
Consumers find a product of interest by visiting the website of the retailer directly, or do a search across many different vendors using a shopping search engine. Once a particular product has been found on the web site of the seller, most online retailers use shopping cart software to allow the consumer to accumulate multiple items and to adjust quantities, by analogy with filling a physical shopping cart or basket in a conventional store. A "checkout" process follows (continuing the physical-store analogy) in which payment and delivery information is collected, if necessary. Some stores allow consumers to sign up for a permanent online account so that some or all of this information only needs to be entered once. The consumer often receives an email confirmation once the transaction is complete. Less sophisticated stores may rely on
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consumers to phone or e-mail their orders (though credit card numbers are not accepted by email, for security reasons).

Payment
Online shoppers commonly use credit card to make payments, however some systems enable users to create accounts and pay by alternative means, such as: Billing to mobile phones and landlines Cash on delivery (C.O.D., offered by very few online stores) Cheque Debit card Direct debit in some countries Electronic money of various types Gift cards Postal money order Wire transfer/delivery on payment Some sites will not accept international credit cards, some require both the purchaser's billing address and shipping address to be in the same country in which site does its business, and still other sites allow customers from anywhere to send gifts anywhere. The financial part of a transaction might be processed in real time (for example, letting the consumer know their credit card was declined before they log off), or might be done later as part of the fulfillment process. Product delivery Once a payment has been accepted the goods or services can be delivered in the following ways. Downloading: This is the method often used for digital media products such as software, music, movies, or images. Drop shipping: The order is passed to the manufacturer or third-party distributor, who ships the item directly to the consumer, bypassing the retailer's physical location to save time, money, and space. In-store pickup: The customer orders online, finds a local store using locator software and picks the product up at the closest store. This is the method often used in the bricks and clicks business model. Printing out, provision of a code for, or emailing of such items as admission tickets and scrip (e.g., gift certificates and coupons). The tickets, codes, or coupons may be redeemed at the appropriate physical or online premises and their content reviewed to verify their legibility (e.g., assurances that the right of admission or use is redeemed at the correct time and place, for the correct dollar amount, and for the correct number of uses). Shipping: The product is shipped to the customer's address or that of a customer-designated third party. Will call, COBO (in Care Of Box Office), or "at the door" pickup: The patron picks up pre-purchased tickets for an event, such as a play, sporting event, or concert, either just before the event or in advance. With the onset of the Internet and e-commerce sites, which allow customers to buy tickets online, the popularity of this service has increased.

Simple systems allow the offline administration of products and categories. The shop is then generated as HTML files and graphics that can be uploaded to a web space. These systems do not use an online database. A high-end solution can be bought or rented as a standalone program or as an addition to an enterprise resource-planning program. It is usually installed on the company's own web

server and may integrate into the existing supply chain so that ordering, payment, delivery, accounting and warehousing can be automated largely. Other solutions allow the user to register and create an online shop on a portal that hosts multiple shops at the same time. Open source shopping cart packages include advanced platforms such as Interchange, and off the shelf solutions as Avactis, Satchmo, osCommerce, Magento, Zen Cart, VirtueMart, Batavi and PrestaShop. Commercial systems can also be tailored to one's needs so the shop does not have to be created from scratch. By using a pre-existing framework, software modules for various functionalities required by a web shop can be adapted and combined. Like many online auction websites, many websites allow small businesses to create and maintain an online shops (ecommerce online shopping carts), without the complexity that involved in purchasing and developing an expensive stand alone ecommerce software solutions. Why does electronic shopping exist? For customers it is not only because of the high level of convenience, but also because of the broader selection; competitive pricing and greater access to information. For organizations it increases their customer value and the building of sustainable capabilities, next to the increased profits. Designers of online shops should consider the effects of information load. Mehrabian and Russell (1974) introduced the concept of information rate (load) as the complex spatial and temporal arrangements of stimuli within a setting.[8] The notion of information load is directly related to concerns about whether consumers can be given too much information in virtual shopping environments. Compared with conventional retail shopping, computer shopping enriches the information environment of virtual shopping by providing additional product information, such as comparative products and services, as well as various alternatives and attributes of each alternative, etc. Two major sub-dimensions have been identified for information load: complexity and novelty. Complexity refers to the number of different elements or features of a site, which can be the result of increased information diversity. Novelty involves the unexpected, suppressing, new, or unfamiliar aspects of the site. A research by Huang (2000) showed that the novelty dimension kept consumers exploring the shopping sites, whereas the complexity dimension has the potential to induce impulse purchases .The main idea of online shopping is not just in having a good looking website that could be listed in a lot of search engines or the art behind the site. It also is not only just about disseminating information, because it is also about building relationships and making money. Mostly, organizations try to adopt techniques of online shopping without understanding these techniques and/or without a sound business model. Rather than supporting the organization's culture and brand name, the website should satisfy consumer's expectations. A majority of consumers choose online shopping for a faster and more efficient shopping experience. Many researchers notify that the uniqueness of the web has dissolved and the need for the design, which will be user centered, is very important. Companies should always remember that there are certain things, such as understanding the customer's wants and needs, living up to promises, never go out of style, because they give reason to come back. And the reason will stay if consumers always get what they expect. McDonaldization theory can be used in terms of online shopping, because online shopping is becoming more and more popular and a website that wants to gain more shoppers will use four major principles of McDonaldization: efficiency, calculability, predictability and control. Organizations, which want people to shop more online with them, should consume extensive amounts of time and money to define, design,
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develop, test, implement, and maintain the website. Also if a company wants their website to be popular among online shoppers it should leave the user with a positive impression about the organization, so consumers can get an impression that the company cares about them. The organization that wants to be accepted in online shopping needs to remember, that it is easier to lose a customer then to gain one. Lots of researchers state that even when a site was "top-rated", it would go nowhere if the organization failed to live up to common etiquette, such as returning e-mails in a timely fashion, notifying customers of problems, being honest, and being good stewards of the customers' data. Organizations that want to keep their customers or gain new ones should try to get rid of all mistakes and be more appealing to be more desirable for online shoppers. And this is why many designers of web shops consider research outcomes concerning consumer expectations. Research conducted by Elliot and Fowl (2000) revealed satisfactory and unsatisfactory customer experiences.

User interface
It is important to take the country and customers into account. For example, in Japan privacy is very important and emotional involvement is more important on a pension's site than on a shopping site. Next to that, there is a difference in experience: experienced users focus more on the variables that directly influence the task, while novice users are focusing more on understanding the information. There are several techniques for the inspection of the usability. The ones used in the research of Chen & Macready (2005) are Heuristic evaluation, cognitive walk through and the user testing. Every technique has its own (disc-) advantages and it is therefore important to check per situation which technique is appropriate.

When the customers went to the online shop, a couple of factors determine whether they will return to the site. The most important factors are the ease of use and the presence of user-friendly features.

The System Itself


The Shopping Cart system works like the name suggests. Firstly, the customer must choose the product desired from the source. Once this step is done, an option to add the product to the cart will be given, this step will assure that the item you desire will be bought. Once the customer has finished browsing for other potential purchases and has decided that the product he chose previously is the one that he wants to buy, the user must then follow the steps provided by the website in order to fulfill the transaction (normally requires an active account and/or registration method). Lastly, the order will then be sent to the desired address at a predicted date, which may alter depending on the speed of the process. E-commerce B2C product sales totaled $142.5 billion, representing about 8% of retail product sales in the country. The $26 billion worth of clothes sold online represented about 13% of the domestic market, and with 72% of women looking online for apparel, it has become one of the most popular cross-shopping categories. Forrester Research estimates that the United States online retail industry will be worth $279 billion in 2015.
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For developing countries and low-income households in developed countries, adoption of ecommerce in place of or in addition to conventional methods is limited by a lack of affordable Internet access.

Advantages
Convenience
Online stores are usually available 24 hours a day, and many consumers have Internet access both at work and at home. Other establishments such as internet cafes and schools provide access as well. A visit to a conventional retail store requires travel and must take place during business hours.

In the event of a problem with the item it is not what the consumer ordered, or it is not what they expected consumers are concerned with the ease with which they can return an item for the correct one or for a refund. Consumers may need to contact the retailer, visit the post office and pay return shipping, and then wait for a replacement or refund. Some online companies have more generous return policies to compensate for the traditional advantage of physical stores. For example, the online shoe retailer Zappos.com includes labels for free return shipping, and does not charge a restocking fee, even for returns which are not the result of merchant error. (Note: In the United Kingdom, online shops are prohibited from charging a restocking fee if the consumer cancels their order in accordance with the Consumer Protection (Distance Selling) Act 2000.

Information and reviews


Online stores must describe products for sale with text, photos, and multimedia files, whereas in a physical retail store, the actual product and the manufacturer's packaging will be available for direct inspection (which might involve a test drive, fitting, or other experimentation). Some online stores provide or link to supplemental product information, such as instructions, safety procedures, demonstrations, or manufacturer specifications. Some provide background information, advice, or how-to guides designed to help consumers decide which product to buy. Some stores even allow customers to comment or rate their items. There are also dedicated review sites that host user reviews for different products. In a conventional retail store, clerks are generally available to answer questions. Some online stores have real-time chat features, but most rely on e-mail or phone calls to handle customer questions.

Price and selection


One advantage of shopping online is being able to quickly seek out deals for items or services with many different vendors (though some local search engines do exist to help consumers locate products for sale in nearby stores). Search engines, online price comparison services and
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discovery shopping engines can be used to look up sellers of a particular product or service. Shipping costs (if applicable) reduce the price advantage of online merchandise, though depending on the jurisdiction, a lack of sales tax may compensate for this. Shipping a small number of items, especially from another country, is much more expensive than making the larger shipments bricks-and-mortar retailers order. Some retailers (especially those selling small, high-value items like electronics) offer free shipping on sufficiently large orders. Another major advantage for retailers is the ability to rapidly switch suppliers and vendors without disrupting users' shopping experience.

Disadvantages
Fraud and security concerns
Given the lack of ability to inspect merchandise before purchase, consumers are at higher risk of fraud on the part of the merchant than in a physical store. Merchants also risk fraudulent purchases using stolen credit cards or fraudulent repudiation of the online purchase. With a warehouse instead of a retail storefront, merchants face less risk from physical theft. Secure Sockets Layer (SSL) encryption has generally solved the problem of credit card numbers being intercepted in transit between the consumer and the merchant. Identity theft is still a concern for consumers when hackers break into a merchant's web site and steal names, addresses and credit card numbers. A number of high-profile break-ins in the 2000s have prompted some U.S. states to require disclosure to consumers when this happens. Computer security has thus become a major concern for merchants and e-commerce service providers, who deploy countermeasures such as firewalls and anti-virus software to protect their networks. Phishing is another danger, where consumers are fooled into thinking they are dealing with a reputable retailer, when they have actually been manipulated into feeding private information to a system operated by a malicious party. Denial of service attacks are a minor risk for merchants, as are server and network outages. Quality seals can be placed on the Shop web page if it has undergone an independent assessment and meets all requirements of the company issuing the seal. The purpose of these seals is to increase the confidence of the online shoppers; the existence of many different seals, or seals unfamiliar to consumers, may foil this effort to a certain extent. A number of resources offer advice on how consumers can protect themselves when using online retailer services. These include: Sticking with known stores, or attempting to find independent consumer reviews of their experiences; also ensuring that there is comprehensive contact information on the website before using the service, and noting if the retailer has enrolled in industry oversight programs such as trust mark or trust seal. Before buying from a new company, evaluate the website by considering issues such as: the professionalism and user-friendliness of the site; whether or not the company lists a telephone number and/or street address along with e-contact information; whether a fair and reasonable refund and return policy is clearly stated; and whether there are hidden price inflators, such as excessive shipping and handling charges. Ensuring that the retailer has an acceptable privacy policy posted. For example note if the retailer does not explicitly state that it will not share private information with others without consent. Ensuring that the vendor address is protected with SSL (see above) when entering credit card information. If it does the address on the credit card information entry screen will start with "HTTPS". Using strong passwords, without personal information. Another option is a "pass phrase," which might be something along the lines: "I shop 4 good a buy!!" These are difficult to hack, and provides a
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variety of upper, lower, and special characters and could be site specific and easy to remember. Although the benefits of online shopping are considerable, when the process goes poorly it can create a thorny situation. A few problems that shoppers potentially face include identity theft, faulty products, and the accumulation of spyware. Whenever you purchase a product, you are going to be required to put in your credit card information and billing/shipping address. If the website is not secure customers information can be accessible to anyone who knows how to obtain it. Most large online corporations are inventing new ways to make fraud more difficult, however, the criminals are constantly responding to these developments with new ways to manipulate the system. Even though these efforts are making it easier to protect yourself online, it is a constant fight to maintain the lead. It is advisable to be aware of the most current technology and scams out there to fully protect yourself and your finances. One of the hardest areas to deal with in online shopping is the delivery of the products. Most companies offer shipping insurance in case the product is lost or damaged; however, if the buyer opts not to purchase insurance on their products, they are generally out of luck. Some shipping companies will offer refunds or compensation for the damage, but it is up to their discretion if this will happen. It is important to realize that once the product leaves the hands of the seller, they have no responsibility (provided the product is what the buyer ordered and is in the specified condition).

Lack of full cost disclosure


The lack of full disclosure with regards to the total cost of purchase is one of the concerns of online shopping. While it may be easy to compare the base price of an item online, it may not be easy to see the total cost up front as additional fees such as shipping are often not be visible until the final step in the checkout process. The problem is especially evident with cross-border purchases, where the cost indicated at the final checkout screen may not include additional fees that must be paid upon delivery such as duties and brokerage. Some services such as the Canadian based Wishabi attempts to include estimates of these additional cost,[21] but nevertheless, the lack of general full cost disclosure remains a concern.

Privacy
Privacy of personal information is a significant issue for some consumers. Different legal jurisdictions have different laws concerning consumer privacy, and different levels of enforcement. Many consumers wish to avoid spam and telemarketing which could result from supplying contact information to an online merchant. In response, many merchants promise not to use consumer information for these purposes, or provide a mechanism to opt-out of such contacts. Many websites keep track of consumers shopping habits in order to suggest items and other websites to view. Brick-and-mortar stores also collect consumer information. Some ask for address and phone number at checkout, though consumers may refuse to provide it. Many larger stores use the address information encoded on consumers' credit cards (often without their knowledge) to add them to a catalog mailing list. This information is obviously not accessible to the merchant when paying in cash.

Product suitability
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Many successful purely virtual companies deal with digital products, (including information storage, retrieval, and modification), music, movies, office supplies, education, communication, software, photography, and financial transactions. Other successful marketers use Drop shipping or affiliate marketing techniques to facilitate transactions of tangible goods without maintaining real inventory. Some non-digital products have been more successful than others for online stores. Profitable items often have a high value-to-weight ratio, they may involve embarrassing purchases, they may typically go to people in remote locations, and they may have shut-ins as their typical purchasers. Items which can fit in a standard mailbox such as music CDs, DVDs and books are particularly suitable for a virtual marketer. Products such as spare parts, both for consumer items like washing machines and for industrial equipment like centrifugal pumps, also seem good candidates for selling online. Retailers often need to order spare parts specially, since they typically do not stock them at consumer outletsin such cases, e-commerce solutions in spares do not compete with retail stores, only with other ordering systems. A factor for success in this niche can consist of providing customers with exact, reliable information about which part number their particular version of a product needs, for example by providing parts lists keyed by serial number. Products less suitable for e-commerce include products that have a low value-toweight ratio, products that have a smell, taste, or touch component, products that need trial fittings most notably clothing and products where color integrity appears important. Nonetheless, Tesco.com has had success delivering groceries in the UK, albeit that many of its goods are of a generic quality, and clothing sold through the internet is big business in the U.S.

Aggregation
High-volume websites, such as Yahoo!, Amazon.com and eBay, offer hosting services for online stores to all size retailers. These stores are presented within an integrated navigation framework. Collections of online stores are sometimes known as virtual shopping malls or online marketplaces. Become.com is a product price comparison service and discovery shopping search engine with a mission to help shoppers make ideal buying decisions. Dulance was a price engine that specialized in searching for hard-to-find products often sold by small independent online retailers ("The Long Tail"). My supermarket aggregates inventory from the UK's four leading online groceries for shoppers to compare supermarket prices. Many companies that don't have internal resources or expertise (such as do-it-yourself-ears) work with a web development firm to handle all or some of the facets of the online shopping set-up, including integration of the ecommerce platform and hosting. Full service digital companies can design, develop and set-up ecommerce sites so that they're up and running with existing merchant accounts or new ones."

The impact of others review on consumer behavior


One of the great benefits of online shopping is the ability to read others reviews, which could be from experts or simply fellow shoppers on one product and service. The Nielsen Company conducted a survey in March 2010 and polled more than 27,000 Internet users in 55 markets from the Asia-Pacific, Europe, Middle East, North America and South America to look at questions such as How do consumers shop online?, What do they intend to buy?, How do they use various online shopping web pages?, and the impact of social media and other factors
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that come into play when consumers are trying to decide how to spend their money on which product or service. According to that research, reviews on electronics (57%) such as DVD players, cell phones or PlayStations and so on, reviews on cars (45%), and reviews on software (37%) play an important role and have influence on consumers who tend to make purchases and buy online. In addition to online reviews, peer recommendations on the online shopping pages or social media play a key role for online shoppers while researching future purchases of electronics, cars and travel or concert bookings. On the other hand, according to the same research, 40% of online shoppers indicate that they would not even buy electronics without consulting online reviews first. Online reviews play a fundamental role on consumers who want to buy some kind of product, but the biggest effect is seen for electronics, cars and software

See also
Bricks and clicks business model Electronic business Electronic commerce Direct Imports List of online stores List of Open Source ecommerce Software Online auction business model Online music store

REVIEW OF LITERATURE
The aim of the authors of this paper was to identify areas that would aid in developing a better understanding of the dynamics of a customer's decision to shop online. To accomplish this, a review of the empirical studies on the antecedents of online shopping was performed. From an extensive literature search, a total of 45 relevant articles were identified. The factors that have been investigated in these studies were classified according to their similarity and patterns of their findings were identified and analyzed. 1 Literature derived reference models for the adoption of online shopping Man Kit Chang, Waiman Cheung, Vincent S. Lai May 2005
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Information and Management, Volume 42 Issue 4 Publisher: Elsevier Science Publishers B. V. Bibliometrics: Downloads (6 Weeks): n/a, Downloads (12 Months): n/a, Citation Count: 20 LITERATURE REVIEW SECOND DRAFT PRIVACY AND SECURITY ISSUES IN ONLINE SHOPPING Shopping online has never been so easy. With the flourishing numbers of online merchants, people nowadays have various choices to do their shopping. Big companies such as eBay and amazon.com have introduced many value added features to help the customers to decide what to shop for. With features such as price comparison, product photos and user reviews, consumers can shop easily and smartly without even going to the stores and having such a hard time looking for the products they want. All they have to do are just browse for the product they want in the website and within a few mouse clicks they are off. Such simplicity is what makes online shopping appealing for consumers. The question is, why do many people still deny to shop online? Well, for most people, privacy and security issues are their concerns. Hence, here I will discuss customers perception of privacy and security issues, the reality of such issues and ways to avoid those issues, all based on some trustworthy sources I have found. To know customers perception of customer and security issues, I reviewed a scholarly article entitled Consumer Perceptions of Privacy and Security Risks for Online shopping produced in the Journal of Consumer Affairs. In the United States, more than half of the adult population uses the Internet and from that number, approximately half have shopped online (Sexton, qtd. in Miyazaki and Fernandez. Previous studies had shown that Internet users as a whole agreed that privacy and security issues are vital for them to shop online (Rohm and Milne, qtd. in Miyazaki and Fernandez 29). Most of them regard their personal information as their main concern (U.S. FTC, qtd. in Miyazaki and Fernandez. In the research conducted by Miyazaki and Fernandez, who are the authors of the articles themselves, privacy and security issues accounted for more than 65 percent of consumers main concern as oppose to the other 35 for shopping inconveniences and others. They also concluded that more experienced Internet users tend to have more concern regarding privacy issues but less concern on security issues. Nevertheless, consumers still consider both as their main concern for online shopping as suggested in the survey (35). Now, after knowing that privacy and security issues are vital for consumers in online shopping, I would like to know the emphasis in the real world. From an article titled The Myth of Secure EShopping published in PC World, the reality of such issue is revealed. While most consumers trust big and well established online merchant such as CD Universe, Travelocity, Columbia House and Ikea, these big companies still receive frequent security threats (Kandra). Joseph McDonnell, a CEO of online security firm IShopSecure even confessed that all online firms must have received threats of some sorts. He added by saying that hackers could easily infiltrate and get customers personal information online as online shoppers are not anonymous. Experts also discover that security measures taken by online retailers are insufficient. For instance, data encryption only applies in actual transfer of customer data but not in the database which is ironically the most common targets for hackers. Some other sites however, do not even have privacy and security policy posted implying that they do not protect their customers (Harrell).
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This is what happened to Bibliofind when it was hacked hence compromising its customers credit information (Kendra). Apart from the retailers themselves, credit card processing firms and third party sites also receive threats (Kandra). Creditcards.com once had disclosed that someone had infiltrated its site and posted more than 55000 credit card numbers on the Internet. So, from all these indications, I can see that online shopping is not totally safe. However, customer rights and security aspects are not just the responsibility of online merchants. To uphold them, the consumers themselves need to act. According to Ten Things Your Mother Never Told You about Online Shopping published in Yahoo! Internet Life, to be an ace consumer, online shoppers need to prepare themselves with some basics (Helping ). As the prominent method of payment is credit card, consumers should be more aware in handling it. They should never disclose their credit information via e-mail. Some of the credit card issuers also have some sorts of protection that consumers should apply for. Apart from that, consumers should limit themselves from releasing unnecessary personal information such as age and income to protect their privacy (Hood, qtd. in Helping. Also, as Todd Richter who is the president of Girl shop (an e-commerce site) had said, consumers should always be aware of the security technology used by merchant sites. Technologies such as Secure Socket Layer (SSL) and VeriSign play vital part in distinguishing one site from another. Nonetheless, consumers should always be alert of the privacy and customer policy in each site they tend to buy from (Halpin). Lastly, if there are still dissatisfactions, consumers could always report them to consumer-related agencies such as Better Business Bureau or Federal Trade Commission (Halpin). Thus, after reviewing these three reliable sources related to the privacy and security issues of online shopping, I can see some interconnections between them. By common sense, anyone who tends to shop online will think twice before they buy anything as to consider the privacy and security issues related to it. This is proven in my first source (Consumer Perceptions of Privacy and Security Risks for Online Shopping) through the survey. People are always conscious about their privacy and security. However, this is not the case in the real world. As my second source (The Myth of Secure E-Shopping) has proposed, even though online merchants have tried their best to beef up the security, threats and attacks still prevail. For this reason, consumer should act fast to protect their privacy when shopping online. My third source (10 Things Your Mother Never Told You about Online Shopping) explains many ways that consumers could do to enhance the privacy and security aspect apart from what online merchants have done for the same reason. Taking all these contents as a whole, I would say that in any situation, people can still shop online safely provided they understand the reality and take some precautions above all.

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RATIONALE

Topic is basically identifying on existing online shopping and finding out new avenue for online shopping. E marketing was introduced in Indore 26 Mar 2010. Since then some growth particularly in the field of ticketing, online shopping, share market. There is a need to study of how this process can be expanded by identifying new avenues for e marketing.

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OBJECTIVE OF STUDY
1 To study the existing online shopping at Indore 2 To Identify new avenues of e marketing & online shopping at Indore

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RESEARCH METHODOLOGY
FOLLOWINGS METHODS USED IN THIS RESEARCH:

Research DesignData will be collected through prepared question, interaction personal, interaction with customer, interaction customers on telephone and visit to cyber caf. This collected data will be organized and analysis to draw relevant conclusions which will match with achieving the objective of this study. 1. Sample method
Research Design is the arrangement of conditions for collection and analysis of data in a manner that aims to combine relevance to the research purpose and constitutes the blue print for the collection, measurement and analysis of data. Research Design used in the project.
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Sample size: - The size of sample should be neither excessively large, nor too small, it
should be optimum. The sample size for my study is 100 customers (some customer of cyber caf daily uses customer and some customer broadband connection user)

2. Designing the Questionnaires


Every question was design with multiple options, Two to five answers were given in each question. Customers perception of online shopping and not perception of online shopping and how many use internet. Same types of questions were included in the questionnaire to know the customers perception of online shopping.

3. Analysis of all data


Fist collected data then analysis of date through percent analysis then finding new avenue of online shopping.

SOURCES AND METHODS OF DATA COLLECTION


For the research purpose, the researcher does data collection. For successful efficient marketing research investigation, the researcher must be familiar with the nature of the data as well as the data collection method.

Sources of data collection


Sources of data collection state the various sources of data from where we collect the informations for the comparative analysis.

METHODS OF DATA COLLECTION


Methods of data collection are the way through which the data is collected for the research purposes. While deciding about the method of data collection to be used for the study. The researcher would have to decide sort of data he would to select for his study and accordingly he will have to select one or the other method of data collection. The methods of collecting primary and secondary data differ since primary data are to be originally collected, while in case of secondary data the nature of data collection work is merely that of compilation. For data collection, we will develop a well defined questionnaire as a research instrument consisting questions aimed to measure the consumers perception, their liking and disliking and their views and comments about Celebrity Endorsement.
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SAMPLING PLANS
The marketing researcher must design a sampling plan, which calls for three decisions a) Sampling unit - Who is to be surveyed? b) Sample size - How many people should be surveyed? c) Sampling Procedure - How should the respondents be chosen?

SAMPLING PROCESS & SIZE


Research being exploratory in nature, a simple random & convenient sampling was taken into consideration. 100 consumers,

CONTACT METHOD
Used can be personal interviewing. All the consumers, user of internet were contacted personally and information can be collected with the help of a questionnaire.

Questioners
Q. No.1.1 Do you have computer with internet connection?

Yes 47

No 53

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Interpretation :- In this graph focus on 47 customer have computer with internet & 53 customer have not computer with internet

Q.1.2 How long you have been using internet?

6 Month 34

1Year 25

New User 41

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Interpretation :- In this graph focus on 34 customer have been using since 6 month & 25 customer have been using since 1 year & 41 customer is new user.

Q.1.3 Do you use internet fir purchase?

Yes 53

No 47

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Interpretation :- In this graph focus on 53 customer purchase thru internet & 47 customer does not Purchase thru Internet.

Q. 1.4 Which product you preference purchase through internet related?

Railwaytickt 31

Insurance 26

Health tips 20

Share Markets an. 23

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Interpretation :- In this graph focus on 31 customer preference of railwaytickt & 26 customer preference of insurance&20 customer preference of health tips & 23 customer preference of share markets.

Q. 1.5 How many times in a month you use internet for marketing? 1-5 Month 21 6-10 Month 24 10-20 Month 16 More then 20 17

Nil 22

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interpretation :- In this graph focus on 22 customer is new user of internet marketing & 21 customer have been using internet for marketing since 1-5month & 24 customer & 24 customer have been using internet for marketing since 6-10month & 16 customers have been using internet marketing since more than 20month .

Q.1.6 Do you buy local products through internet?

Yes 49

No 51

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Interpretation :- In this graph focus on 49 customer use internet for purches local product & 51 Customer use internet For perches local product.

Q. 1.7 Which types of local product do you purchases?

Cloth 27

Hostelling 24

Bill 27

Education related 22

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Interpretation :- In this graph focus on 27 customer purchase cloth & 24 customer purchase hotaling & 27 customer Use bill & 22-customer use education related.

Q. 1.8 Do you have credit/debit card?

Yes 54

No 46

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Interpretation :- In this graph focus on 54 customer use credit / debit card & 46 customer does not use credit / debit card.

Q.1.9 Which bank credit/debit card use?

HDFC Bank 15

SBI Bank 18

PNB Bank 18

Bank of Baroda 12

Dena Bank 12

ICICI Bank 12

Axis Bank 12

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Interpretation :-Question according Hdfc bank 15 customer & SBI Bank 18 customer & PNB Bank 18 customer & Bank of Baroda 12 customer & Dena Bank 12 customer & ICICI Bank 12 customer & Axis Bank 12 customer.

Q. 2.10 In this question 10 question included which product preference of customer?

More product

Kirana product

Sweets

Vegetable Pay water bill

Pay rent Education Information bill distance of product learning

purchase medicine

Tele medical

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Yes No Yes No Yes No 70 30 27 73 65 35

Yes 45

No 55

Yes 67

No 33

Yes No Yes 34 66 66

No 34

Yes 58

No 42

Yes 70

No 30

Yes 39

No 61

Interpretation :- All question according customer want product is Sweets & pay water bill & Education distance learning & information of product & purchase medicine. All question according customer does not want product thru online Shopping kirana product & pay rent bill & medical thru online & vegetable.

FINDINGS
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A STUDY OF ONLINE SHOPPING AT INDORE A NEW AVENUE OF EMARKETING


1) Some of customer use computer with internet. 2) Average of customer purchase product through internet 3) Most of preference railway ticket and average preference of other product average customer aviaries of local product 4) I find most of product purchase through internet but online shopping is uninsured so most of customer is not using online shopping but if we sell new product that many customers will start online shopping. 5) I fined to new avenue like average preference of kirana product, Tele medical, Pay rent bill, Vegetable most of preference of Education distance learning and sweets Pay water bill, Information of
product, purchase medicine

Conclusion
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According my MRP Research 47 customer havent computer with internet and 53customer doesnt use of internet. Through online shopping 53 customer use internet use according most of customer new user most of customer preference railway ticket not avelebal more products so I find new avenue for online shopping and online shopping very important part related work. Most of customer use computer with internet. Most of customer purchase product like a Railway ticket, insurance (health related, whikal related, hose related), bill pay, distance education, job related information job related vekenshi information. Through internet many product advertising. I checked many product sell through internet and this process very easy and customer very a cited because customer complete shopping through online shopping and without go shop and without case money and product quality is high because company advertising cost and shopping moll charges and customer can direct dill with company so most infective

Bibliography & Reference


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1. Bigne, Enrique (2005). The Impact of Internet User Shopping Patterns and Demographics on Consumer Mobile Buying Behavior Journal of Electronic Commerce Research, VOL. 6, NO. 3. 2. Lopresti, Michael (Saturday, September 1, 2007,). "Bill-2-Phone Lets Customers Add Online Purchases to Their Phone Bill".Allbusiness.com.http://www.allbusiness.com/mediatelecommunications/8910400-1.html. Retrieved 23 November 2010. 3. Geena Rao. "Mopay Now Allows You To Bill Mobile Payments To A Landline Account". TechCrunch.com.http://techcrunch.com/2010/07/19/mopay-now-allows-you-to-bill-mobilepayments-to-a-land-line-account/.Retrieved 23 November 2010. 4. Jarvenpaa, S. L., & Todd, P. A. (1997). Consumer reactions to electronic shopping on the World Wide Web. International Journal of Electronic Commerce, 1, 5988. 5. Peterson, R. A., Balasubramanian, S., & Bronnenberg, B. J. (1997).Exploring the implications of the Internet for consumer marketing. Journal of the Academy of Marketing Science, 25, 329 346. 6. a b Stephen F. King en Juhn-Shiuan Liou, "A framework for internet channel evaluation", International Journal of Information & Management 24 (2004), 473488 7. Mehrabian, A., & Russell J.A. (1974) an Approach to Environmental Psychology. Cambridge, MA: The MIT Press. 8. a b Huang, M. (2000) Information load: its relationship to online exploratory and shopping behavior. International Journal of Information Management 20: 337347. 9. Campbell, D.J. (1988) Task complexity: A review and analysis. Academy of Management Review, 13(1), 4052. 10. a b c d e f g h i j Falk, Louis K.; Sockel, Hy; Chen, Kuanchin. (2005) "E-Commerce and Consumer's Expectations: What Makes a Website Work." Journal of Website Promotion, 1(1) (6575) 11. Steve Elliot and Sue Fowell, "Expectations versus reality: a snapshot of consumer experiences with Internet retailing", International Journal of Information Management 20 (2000): 323336 12. Ram L. Kumar et al., "User interface features influencing overall ease of use and personalization", Information & Management 41 (2004): 289302 13. A b Sherry Y. Chen en Robert D. Macredie, "The assessment of usability of electronic shopping: A heuristic evaluation", International Journal of Information Management 25 (2005), 516532 14."E-retail grows 9.8% in 2010, comScore says in the United States in 2010".
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15. "Forrester Research, Understanding Online Shopper Behaviors, US 2011, May 16. "Forrester: Online Retail Industry in the US Will Be Worth $279 Billion In 2015". TechCrunch. February 28, 2011. 17. "A guide for businesses on distance selling". http://www.oft.gov.uk/shared_oft/business_leaflets/general/oft698.pdf. Retrieved 2008-12-24. 21. ^ "Keeping It Real for Cross-Border Online Shoppers". http://www.ecommercetimes.com/story/69105.html. Retrieved 2010-02-10. 22. ^ a b Nielsen, Online Shopping Trends, (USA: The Nielsen Company, 2010)

REFERENCEwww.google.com www.facabook.com www.wikipedia.com


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www.yahoo.com http://onlineliberary,wiley.com/athens http://www.research.ibm.com/automatic http://www.oup.co.uk/jornals http://wber.oxfordjournals.org & Research magazine etc.

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