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A COMPARATIVE STUDY ON ONLINE AND OFF LINE SHOPPING BEHAVIOR OF

CONSUMERS WITH SPECIAL REFERENCE TO CHENNAI

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 Rabindra Bharati University Journal of Economics Vol: XVIII, No: 10, 2024

A COMPARATIVE STUDY ON ONLINE AND OFF LINE SHOPPING BEHAVIOR OF

CONSUMERS WITH SPECIAL REFERENCE TO CHENNAI

POOJA.T
Dr.P.MAHESWARI

ABSTRACT
This research paper investigates the shopping behavior of consumers in Chennai, with a specific focus on
comparing online and offline shopping patterns. With the advent of e- commerce, therehasbeenasignificant
shift inconsumer behavior fromtraditional brick-and- mortar stores to online platforms. Understanding
the preferences, attitudes, and factors influencing consumer choices between online and offline shopping
is crucial for both businesses and policymakers. This study employs a mixed-method approach, combining
qualitativeand quantitativetechniquesto gather datafromasampleofconsumers in Chennai. The findings shed
light on the differences and similarities in the shopping behavior of consumers in both online and offline
contexts, providing valuable insights for retailers, marketers, and policymakers.
Keywords: Online shopping, Offline shopping, Consumer behavior, Chennai, E-commerce, Retail

INTRODUCTION
The first world wide web server and browser, created by Tim Berners-Lee in 1990, openedfor commercial use
in 1991. Thereafter, subsequent technological innovations emergedin1994.Onlinebanking,theopenofaPizzash
opbyPizzaHut,Netscape’sSSL v2 encryption standardto secure data transfer, and first online shopping system.
ImmediatelyafterAmazon.comlaunched itsonlineshoppingsite in1995 ande-baywas introduced in 1995.
Shopping is a part oflife. some get necessities fromshopping more. Shopping is one of
theoldesttermsusedtotalkaboutwhatwehaveallbeendoingovertheyears.Thenagain inancienttimes,thetermtha
twouldhavebeenusedwouldbe“trading”or“bartering” and probably even “market”. So, what has traditional
shopping have to offer now that the internethas opened up a wider and more market to the current customers.
In general, there are two types of shopping: Traditional shopping and online shopping. Bothof them have
some merits and demerits respectively. Nowadays, more and more people wouldgo shopping viz, internet.
Clicking in one word, thousands of items will come out based on their choices. Online shopping has become
an increasinglycommon stable oflife in21stcentury. Itspopularitycanbecreditedtothefactthatconvenienceis
highlyvaluedinourworldtoday. Shoppingonlineofferstheopportunityto buyanything and everything you need
on a flight or getting ready for bed.
Acomparative study of online and offline shopping seeks to explore and analyze the distinct characteristics,
advantages, and challenges associatedwitheach mode ofshopping, as wellas the factors influencing consumer
preferences in choosing between them. By examining these factors, researchers aim to provide valuable insights
into the evolving dynamics of consumer behavior in the digital age and inform strategies for businesses and
policymakers to enhance the shopping experience and meet the diverse needs of consumers.

M.COM–Finalyear Department Of Commerce –SRMIST

AssociateProfessor,DepartmentofCommerce,FacultyofScienceofTechnology,SRM Institute of Science and
Technology, Ramapuram, Chennai- 89

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 A Comparative Study On Online And Off Line Shopping Behavior Of Consumers With Special
Reference To Chennai

NEEDFORTHESTUDY:
Thegrowthofthetechnologiessurroundingtheinternet,whichareinterestedtoselltheir products and
services through their websites even though buyers and sellers can be thousandsofmilesapart,maybelo
ngtodifferentpartoftheworld,mights peakdifferent language also. Since internet is a virtual medium and
so manypotential consumers, the online retailers are most important to understand the wants and need
of the customers. Theimportanceofanalyzingandidentifyingthefactorsinfluencethewomentopurchase
on internet is vital because new virtual market will bring significant differences to the customers.
Analyzingconsumerbehaviorisnotanewphenomenon.Manytheorieshave beenused for many years not onlyto
understandthe customers attitude, it’s also forthe market strategy that will attract the customers efficiently.
Even though there are many researchtopicsinfieldofbusinesstoconsumerinthecontextofinternetbusiness,online
retailing is a new retailing medium and online behavior is diverse from traditional consumerbehavior,onemust
identifywhatinfluencetheonlineconsumers.Therefore,If theconsumersliketodoshopping,whatfactorinfluencing
topurchasegoodsthroughthe internet is quite meaningful.

STATEMENTOFPROBLEM:
Theadvent ofe-commerce hasrevolutionizedthe retaillandscape, providingconsumers with unprecedented
convenience and accessibility to products and services. Concurrently, traditional brick-and-mortar
stores continue to serve as vital avenues for consumer purchases, offering tangible experiences and
personalized interactions. However,despitethecoexistenceofonlineandofflineshoppingplatforms,thererema
ins agapinunderstandingtheunderlyingfactorsinfluencingconsumerpreferencesbetween these two modes of
shopping.
Thisresearchaimstoaddressthefollowing keyquestions:
●● What are the primary factors influencing consumer preferences in choosing between online and offline
shopping channels?
●● How do demographic factorssuch as age, gender, income level, and geographic location influence
consumer preferences for online versus offline shopping?
●● What role does product type, price sensitivity, and perceived quality play in shaping consumer
preferences for online versus offline shopping?
●● How do experiential factors such as convenience, trust, social interaction, and sensory experiences
impact consumer preferences in the choice between online and offline shopping?
●● To what extent do psychological factors such as perceived risk, enjoyment, and satisfaction influence
consumer preferences for online versus offline shopping?
●● What arethe implicationsofconsumer preferences forretailersand marketersin
designingeffectivestrategiestocatertotheevolving needsofconsumers inboth online and offline shopping
environments?
By addressing these questions, this research aims to provide valuable insights into the
dynamicsofconsumerpreferencesbetweenonlineandofflineshopping,there by offering practical implications for
businesses and policymakers to enhance the shopping experience and meet the diverse needs of consumers in
an increasingly digitalized marketplace.

OBJECTIVESOFTHESTUDY:
●● Tounderstandthetrendinonlineshopping.
●● Toidentifythemostpreferrede-commerceportal.Also,toknowshopping intensions among the people in
comparison of online and offline shopping
●● Tofindoutthecorrelationbetweenbuyingbehaviorandproblemsfacedbythe consumer while choosing the
shopping type.

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 Rabindra Bharati University Journal of Economics Vol: XVIII, No: 10, 2024

REVIEWOFLITERATURE
●● Dzyabura,D.,Jagabathula,S.,&Muller,E.(2019)indicatedthat“Despitethe growth of online retail,
the majority of products are still sold offline, and the “touch-and-feel” aspect of physically examining a
product before purchase remains important to many consumers. In this paper, researchers demonstrated
thatlargediscrepanciescanexistbetweenhowconsumersevaluateproductswhen examining them ‘live’ versus
based on online descriptions, even for a relatively familiar product (messenger bags) and for utilitarian features.
Therefore,theuse ofonline evaluations in market researchmayresult ininaccuratepredictionsand potentially
suboptimal decisions by the firm.”
●● Using home‐scan data set from Kantar Worldpanel Wang, H. H., Hao, N., Zhou,
Q.,Wetzstein,M.E., &Wang, Y.(2019)conducted“anempiricalstudy onChineseurbanconsumershopping
behaviorfromonlineandofflinechannels, using yogurt as an example. Results confirm the advantages of E‐
commerce relative to traditionaloffline retailchannel in terms of keeping consumers loyal. Results also indicate
the online and offline markets are of different business models, in that the online market is a separate market
from offline even for the same brand. There exists evidence of brand loyalty for online shoppers but not
offline. However, it is more challenging for online late entrants to build brand loyaltybecause consumersare
price sensitive online. Firmsare recommended to think of new and differentiated products online, which focus
more on quality instead of price to catch the young generation with increasing income.”
●● AccordingtoHult,G.T.M.,Sharma,P.N.,MorgesonIII,F.V.,&Zhang,Y. (2019) “Retailers seek to
utilize both online and offline purchase channels strategically to satisfy customers and thrive in the marketplace.
Unfortunately, current multichannel research is deficient in answering what drives customers’ satisfaction,a
ndconsequentlytheir loyalty,differentlywhencustomerspurchase online versus at a physical store. This gap in
knowledge can be a significant concern for retailers due to the negative impact of having dissatisfied customers
on their bottom lines. Using a version of the American Customer Satisfaction Index(ACSI) model, thispaper
demonstrateseveralimportant purchase-channel differences in the antecedents of customer satisfaction and its
subsequent effect on customer loyalty. Specifically, authors show that when retail customers buy electronic
goods online they view purchase value as a significant attribute in rating satisfaction, and are more satisfaction-
sensitive when making repurchase decisions than when they purchase offline.
●● Heejin Lim and Alan F. Dubinsky (2018) analyzed “an expectancy value approach to study
consumers’ perception of e-shopping characteristics with reference to e-store factors viz., merchandise;
convenience, interactivity; reliability; promotions, and navigation. The findings obtained demonstrated that
consumers’ attitude toward online shopping was positively related to their perceptions of Website merchandise
and reliability attributes.”
●● O l a l o n p e I g e ( 2 0 1 8 ) a s s e s s e d “ a b o u t v a r y i n g k i n d o f s i m i l a r i t i e s o n l i n e s h o p p i n g
hadwithconventionalNon-storeshopping.Itdiscussedaboutfactorsinfluencing Internet shopping, the benefits,
motives, and risks. In an empirical World Wide Web Survey, a number of factors were found to increase the
likelihood to shop on the Internet. Previous activities in inhome shopping; computer or Internet related work;
Internet; experience; active Internet use, and product uniqueness. Risk due to inability to inspect the product;
payment method, and slowness of buyingwerefoundtodecreasethelikelihoodtoshopOnline.Oneofthechallenge
to researchers and marketer is alike is determining the demand for online versus off line services for different
classes of products, and for different types of consumers.”

RESEARCHMETHOLOGY
Research Methodology may be understood as a science of studying how research is done scientifically. In it
we study the various steps that are generally adopted by a researcher in studying the research problem along
with the logic behind them.

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 A Comparative Study On Online And Off Line Shopping Behavior Of Consumers With Special
Reference To Chennai
RESEARCHMEANING:
Research in common parlance refer to a search for knowledge. In fact, research is art of scientific investigation.
Research can be defined as, “Ascientific and systematic search for pertinent information on a specific topic”.
RESEARCHDEFINITION:
Researchcomprisesdefiningandredefiningproblems,formulatinghypothesisonsuggested solution, collection,
and at last carefully listing the conclusionto determine whether theyfit the formatting hypothesis.
SAMPLESIZE
Asamplesizeofthisstudyconsistsof108respondents.
SAMPLEAREA
TherespondentswereselectedfromthecityofChennaianditssuburbanareas.
TOOLSAPPLIED:
ThedatawastabulatedusingStatisticalPackage forSocialscience. SPSS16.0wasusedfor all statistical analysis.
Percentageanalysis
Correlation

ANALYSISANDINTERPRETATION
DEMOGRAPHICPROFILEOFRESPONDENTS
Distribution of respondents based on the demographic factors such as age, gender, educationalqualification,
occupation, marital status and the size of the family has been shown in the table.
AGE :- For the purpose of analysis is the respondents have been classified in to three based on their ageup to
18-25 years old, middle-aged from 25 to 45 years old and old above 45 years old as represented in table 4.1.

Table4.1AGEOFRESPONDENTS

Age No.ofrespondents Percentage(%)

18-25 66 61
25-45 35 33
Above45 7 6
Total 108 100

It is observed from the table 4.1 that out of 108 respondents, 61 percent Falls under the age groupofyoung(18-
25);33percentwereoftheagebetween25and45yearsandtheremaining 6 percent were above 45 years old.
GENDER:- The respondents have been classified according to their gender as male and female. Table 4.2
shows the gender-wise classification of respondents.

Table4.2GENDEROFRESPONDENTS

Gender No.ofrespondents Percentage(%)

Male 46 24
Female 54 54
Total 108 100
Table4.2providesthat46percentoftherespondentsweremaleand54percentwerefemale.
SIZEOFTHE FAMILY: -Respondents have been classified into 3categories according to the size of their families
as those who had in their families up to 2-3members from 4 to 6 membersandabove7membersasthecasemaybe.
Theclassificationofrespondentsinrelation to their family size has been. Presented in table 4.5

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 Rabindra Bharati University Journal of Economics Vol: XVIII, No: 10, 2024

Table4.5FAMILYSIZEOFRESPONDENTS

Familysize No.ofrespondents Percentage(Iv)

2-3members 42 40

4-6members 60 57

7 and above members 3

4
Total 106 100
Table 4.5 showsthat among the respondents40 per cent had a familysize of2 to 3 members; 57 per cent
ofthemhaving 4-6 members; and the remaining 3 per cent up to 4 members.

TOUNDERSTANDTHETRENDINONLINESHOPPING:
Null Hypothesis(H0): Thereisnosignificantrelationshipbetweenbuyingpreferenceand problem faced.
AlternativeHypothesis(H1):Thereisasignificantrelationshipbetweenbuyingpreferenceand problem faced.

TABLE4.28PREFERENCEOFTHECONSUMER

Preference of shopping Percentage(%)

Bothequally 40 37

Offline/Retail 37
stores 40
Online 28 26

Total 108 100

TABLE 4.29MOSTLYPROBLEMFACED

Wherehaveyoufacedmore problems? No of Percentage(%)

respondent
Offline 25 23

Online 48 45

Both equally 35 32

Total 108 100

TABLE4.30RESULT

PERCENTAGE ACCEPTEDVALUE ACTUALVALUE

corelationbetweenbuying 0 – No relation 0.075094

behaviourandproblemfaced Between0-1 relationexist

Result 0 >0.075094 Acceptnullhypothesis

From the above table it is inferred that there exists a relation between buying behaviour. 0 > 0.075094.Thus,
we Accept Null Hypothesis.

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 A Comparative Study On Online And Off Line Shopping Behavior Of Consumers With Special
Reference To Chennai

FINDINGSSUGGESTIONS&CONCLUSION
●● T
 he respondents have been classified in to three based on their age up to 18-25 years old,middle-aged
from25to45yearsoldandoldabove45yearsold.Itisobservedthat out of 108 respondents, 61 percent Falls
under the age group of young (18-25) 33 percent were of the age between 25 and 45 years and the
remaining 6 percent were above 45 years old.
●● O
 utof108 respondents, 46respondentsare male and 54 are female which isobserved at 24 and 54
percentage respectively.
●● 1 0 per cent of the respondents were Entrepreneur whereas 35 per cent of them are homemaker. The
next 27 per cent of them are student and 36 per cent of them are working.
●● T
 he family monthly income of the respondents among the total respondent’s family monthly income of
up to Rs.10000, from Rs.10000 to Rs.20,000 from Rs.20,001 to Rs.30000, from Rs.30001 and above.
●● T
 he respondents 40 per cent had a family size of2 to 3 members; 57 per cent ofthem having 4-6
members; and the remaining 3 per cent up to 4 members.
●● H
 owoftenthe consumer shoponline where there are19 consumer who shop 6 months once and 57
consumer shop monthly, 24 consumer shop weeklyand 7 consumer shop yearly
●● H
 owoftentheconsumershopofflinewherethereare21consumerwho shop6months once and 43 consumer
shop monthly, 38 consumer shop weeklyand 5 consumer shop yearly
●● T
 hemostpreferrede-commerceplatformwhereFlipkartisthemostpreferredplatform with 35 consumer
and second mostly preferred platform is meesho and then comes amazon and Myntra.
●● T
 he consumer choose physical stores mostly of the consumer with the total of 36
consumeroutof108consumerschooseit because ofqualityand31consumerschoose price and 23
consumers go with offers, 14 consumers go with brand and last 4 of consumer choose variety.
●● O
 nline shopping most of the 34 consumers choose offers then 26 consumers go with price,
22consumersgo withthebrand, 21consumersgowithqualityand5consumers choose variety
●● T
 he products preferred offline 37 of consumer prefers clothing and apparels and 27 consumer prefer
electronics and groceries, 14 consumers prefer home goods and the last category of 3 consumer prefer
all of the products
●● T
 he products preferred offline 49 of consumer prefers clothing and apparels and 22 consumer prefer
electronicsand 23 consumersgowithgroceries, 13 consumersprefer home goods and the last category
of 1 consumer prefer all of the products
●● H
 ow frequently the consumer encounter in offline shopping 44 consumer gets issue frequentlyand 38
consumer get issues occasionallyand 24 consumer get issues rarely and 5 consumers out of 108 never
get issues
●● T
 he consumer faces more problems online where online we have more issues which comes up to 48
and 25 consumers does not get any issues and 35 consumer face problems equally
●● T
 hetable4.7howmuchtheconsumerspend forshopping41consumerarethehighest who spend 1000-1500
and 1500-2000 arespend by30 consumers, 1000 is beenspend by 21 consumer and more than 2000 is
been spent by 16 consumers out of 108 consumers.

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 Rabindra Bharati University Journal of Economics Vol: XVIII, No: 10, 2024

●● T
 he inferredthatthereexistsarelationbetweenbuyingbehavior.0>0.075094.Thus, we Accept Null
Hypothesis.

SUGGESTIONS:
●● Onlineshoppingshould takecareontheproductdeliverywith lessissues.
●● Upgradingofonlinepaymentmodeisrecommended.
●● A
 s there are no proper laws for online shopping, they have to be implemented to prevent from frauds
in online shopping. This will help to maintain security and private information properly concerning
the respondence.
●● T
 he corporate vendors and other type of online vendors should start service centers inall major cities.
This willcreate consumers’ confidence on online shopping(vendors).
●● T
 herespondence face majorproblemsontheft oncredit card information
andlackofsecurityononlinepayment.Implementingprecautionarysteps to solve this problem shall
create consumer confidence on online shopping.
●● Consumersshouldnotinvestpaidadstooearly.

CONCLUSION
Inthepast,consumer hadsufficient timeto visit shoppingcenters, searching for various product. Many consumers
prefer bargaining and decide the purchase after physical education of the commodities. The entire process can range
froma few hours to weeks dependingontheproduct,quantity,qualityandsourceofpurchase.Todaythereisradical
change in the entire scenario. Everything in today’s world is internet-oriented life electronicdatainterchange,e-
mail,e-business,ande-commerce.e-commerceexchange of information using network-based technologies. In the
present high-cost situation, e- commercecanbeusedascompetitivestrategy.Itssuccessfullyincludestheentireonline
processofdeveloping,marketing,selling,delivery,servicingandpayingforproductsand services.
Onlineshoppingisavastgrowingtechnology.If itisproperlyutilizedwithassuredsafety and security for the
transitions, it will thrive into a highly competitive and dynamic environment. Chennai city population is highly
tech savvy and the city are dotted with thefirms ofmanysuccessfulentrepreneur.Infuture,onlineshoppingis
boundtogrowin a bigway,given the growing youth population. Therefore, thefocusofthestudywas
mainlyonfactorsthatinfluencefemaleconsumerstoshoponline.

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