E Commerce 3 Final Na Final Na

2
E- Commerce : A study about the Factors Affecting Online Shoppers to

Shop Online
THE PROBLEM AND ITS BACKGROUND
Introduction
Electronic Commerce is a relatively new business
channel, which entails selling and buying goods and
services using a technology channel, namely, the World Wide
Web or Internet. It is a state-of-art technology that is
comprised of hardware, software and network equipment
whereby each of the components works as a single system
bringing people closer together. This new technology has
been used and implemented worldwide so that people can be
connected to each other, in both personal and business
matters, by just clicking a mouse anywhere and at any time.
The trend of E-Commerce has been increased rapidly in
the recent years with the development of internet and due
to the easy accessibility of internet usage easy access to
internet has driven consumers to shop online. In addition,
online shopping is the third most popular activity on the
internet after email using and web browsing. Globally more
than 627 million people have done online shopping so far,
World's biggest online consumers included Germans and
British. Books, Airline Tickets / Reservation / Clothing /
Shoes / Videos and other are the most popular items
purchased on the internet. Through electronic marketing and
Palayan City National Senior High School

3

Shop Online
internet communication business firms are coordinating
different marketing activities such as market research,
product development, inform customers about features,
promotion, customer services, customer feedback and so on.
Online shopping is used as a medium for communication
and electronic commerce , it is to increased or improve in
value , quality and attractiveness of delivering customer
benefits and better satisfaction , that is why online
shopping is more convenience and day by day increasing its
popularity. There is also risk associated with online
shopping. Concerned authorities are devising policies to
minimize the risk involve in e-commerce has been grown very
fast because of many advantages associated with buying on
internet because of lower transaction and search cost as
compared to other types of shopping.
Buy and sell or retailing in the Philippines has grown
rapidly over the recent years, Pinoy love to shop which why
local online buy and sell site and online shops are growing
even bigger than before.
Statement of the problem
The prime purpose of this study is to identify and
analyze the factors influencing consumers to shop online.

4

Shop Online
Another purpose of the study is to analyze who are online
shoppers in terms of demography.
1.Who are online shoppers in terms of demography?
1.1 Gender
1.2 Age
1.3 Weekly Allowance
2. How these factors influence consumers to shop online
2.1. Convenience
2.2. Time Saving
2.3. Website Features / Design
2.4. Security
3. Factors Motivate Online Shoppers to conduct their
first purchase through online.
Significance of Study
The researcher designed this dissertation to study the
Convenience, Time Saving, Website Design/Features ,Quality
of products / Service and Security. While it is important
to investigate the motivation behind consumer purchasing
but it is equally important to find who are the online
shoppers in terms of demography. This study will be
beneficial to the following:

5

Shop Online
Marketers. This study will help marketers to formulate
their marketing strategies for online shoppers.
Online Shoppers /Potential Online Shoppers. This study will
help potential online shoppers to know the factors they
should consider when they are buying products through
internet
Online Seller / Potential Online Seller. This study will
help Online Seller/ Potential Online Seller to know what
are the important factors they should conside while or
before selling online and who are the consumer and
potential shoppers they should include in their target
market.
Community / Non-online shoppers. This study can do
something to help others and make a worthwhile contribution
to the community such as concern citizen will have relevant
information and awareness about the study.
Future Researcher. This dissertation can help future
researchers by adding knowledge, information and research
in the field of online shopping and this study can be a
good reference in the future.

6

Shop Online
Scope and Delimitation
This study will focus on the five factors affecting
online consumers to shop online and who are the online
shoppers in terms of demography. This study will be
conducted during 2nd semester S.Y. 2017-2018 at Atate
,Palayan City , Nueva Ecija.
CONCEPTUAL FRAMEWORK
People can sell products and buy products through the
online shop once the owner has established his or her own
shop. Normally, the online shop owner will provide
necessary information about the shop for customers; there
are product details, product pricing, time to delivery, a
search function, a contact person via E-mail, contact phone
number, shopping basket, and an online payment system.
According to Monsue, et.al. (2015), There is no face-
to-face contact between the seller and the shopper while
the shopper is online at the shop, but other communication
channels, such as help buttons, search, features, and an
online chat service, are provided to the shoppers.
Moreover, the study of Mamood, et.al (2014), that the
influencing factors in online shopping are convenience,
time saving, security, web site design, and consumer

7

Shop Online
demopgraphics. These factors are added in to the model as
the variables of this study to test whether they are
factors influencing online shoppers purchasing intention.
The cited concepts above served as guides in this study to
assess the factors affecting online shoppers to shop
online.
The factors affecting online shoppers to shop online
were composed of the following: Socio-Demographic Profile
(Gender, Age ,Weekly Allowance , Factors influence
consumers to shop online (Convenience, Time Saving, Website
Features / Design, Security); Assessment on the Factors
Influencing Online Shoppers to Shop Online, and; One-on –
one Interview.
Figure 1 showed the research paradigm of the study.
This indicated the factors affecting online shoppers to
shop online .The first table consist of the quantitative
data follow up with qualitative data and the
interpretation.

8

Shop Online
Socio-Demographic
Profile.
 Gender
Assessment on
 Age
the Factors
 Weekly Allowance
Influencing
 Frequency of FOLLOW UP Online Shoppers
Buying Habits WITH:
to Shop Online
2)Factors influence
consumers to shop One-on –one
online Interview
A. Convenience
B. Time Saving
C. Website Features / Interpretation
Design
D. Security
Figure 1 Research Paradigm
Operational Definition of Terms:
Electronic commerce (ecommerce) is a type of business
model, or segment of a larger business model, that enables
a firm or individual to conduct business over an electronic
network, typically the internet and sometimes written as
"e-commerce" or "e-commerce".

9

Shop Online
Convenience the fact of something being easy to do, get to,
etc., or something that is useful and helpful:Convenience
and comfort are both major factors in consumer choice.
anything that saves or simplifies work, adds to one's ease
or comfort, etc
Time Saving reducing the time spent or required to do
something.
Security means planning, creation and updating of websites.
Website design also involves information architecture,
website structure, user interface, navigation ergonomics,
website layout, colors, contrasts, fonts and imagery
(photography) as well as icons design.
Factors a circumstances, fact or influence that contributes
to a result or outcome: something that helps produce or
influence a result; one of the things that cause something
to happen.

10

Shop Online
REVIEW OF RELATED LITERATURE AND STUDY
This chapter presents the literature relevant to the
concept of the present study, it also analyses some studies
and materials from the internet to provide sufficient
background and information essential for the accomplishment
of this study. It sought to collect claims of previous
studies about E-Commerce specifically focused on the
Factors influencing online shoppers to shop online. The
following headings are used to discuss the literature (1)
The introduction of E-Commerce, (2) Factors Influencing
Online Shopping and lastly (3) The Relevance of Related
Study to the Present Study.
Online Stores
According to Strader and Shaw (2016) online shopping
is a relatively new type of retailing. The rise of the
online shops or internet shops is a type of Electronic
Commerce that is Internet-based and has proliferated
worldwide since the mid 90s. It is an alternative way of
selling and buying products and services at the present. It
reduces the cost of online business investment including
the costs of advertising, human resources, inventory, time

11

Shop Online
to market, product improvement and service qualities, and
it is very easy for a person to build an online shop. An
increasing number and variety of firms and organizations
are exploiting and creating business opportunities on the
Internet while E-commerce has been rapidly growing as
stated by Liao and Cheung (2015) on their study.
People can sell products and buy products through the
online shop once the owner has established his/her shop.
There will be a web site address for customers to visit in
the form of URL, such as http://www.ebay.com. Normally, the
online shop owner will provide necessary information about
the shop for customers; there are product details, product
pricing, time to delivery, a search function, a contact
person via E-mail, contact phone number, shopping basket,
and an online payment system. There is no face-to-face
contact between the seller and the shopper while the
shopper is online at the shop, but other communication
channels, such as help buttons, search, features, and an
online chat service, are provided to the shoppers as stated
by Monsuwe et al, (2015). In this way, the services of the
online shop will not be less to the offline shop, which has
a sales person present to assist shoppers11.“The study
points to the importance of online shopping to the

12

Shop Online
Philippine market,” MasterCard said in a statement.
MasterCard’s study found that Filipinos turn to the
Internet to purchase the following: Airline tickets (38.4
percent), home appliances and electronic products (35.1
percent), clothing and accessories (31 percent), hotels
(29.9 percent) and computer software (29.4
percent).Meanwhile, sites of apps stores (50.1 percent),
music downloads (42.6 percent) and home
appliances/electronic products (38.2 percent) draw the most
web traffic, the study also showed.
The Importance of Electronic Commerce
There are a number of reasons in the literature
suggested by Kini (2002) as to why Electronic Commerce
based Internet technology is needed from both the sellers'
and shoppers' perspective:
(1) To save labor costs, so that business owners can invest
in other areas of their business to generate increased
revenue, resulting in customers getting the benefit of
better pricing;

13

Shop Online
(2) To improve the quality of their products or services
online that will serve the needs of customers better;
(3) To have a variety of products so that customers can
browse for more products and services without leaving their
homes; they also do not need to go from shop to shop to
compare prices, thus they get the benefits of convenience
as well as saving time while they are online;
(4) To serve customers better, business owners can track
customers' behavior when they visit the shop each time so
that in the future customers will be better served13when
they revisit; and (5) Business owners can respond to their
customers immediately, they are also able to answer any
questions from customers right away. In this way, their
customers can obtain increased satisfaction with the
services as well as saving their time.13
Online Shoppers in terms of Demographic
Studies related to the demographic data of the
consumer have shown that online shoppers mainly consist of
people with Higher education and income and working in

14

Shop Online
middle to senior management or professionals (Hoffman
et.,al(2016)
Wu (2015) found that not only will those factors
influence online shoppers but demographic data also do. For
example, men are found to buy products online more than
women; most male shoppers buy hardware and home electronics
online because it is convenient. On the other hand, female
shoppers buy less but According to a new report by Business
Insider Intelligence(2015), female consumers are much more
likely to utilize their smartphones and tablets to research
and purchase merchandise however, of the U.S. consumers who
made a purchase through mobile devices last month, 66.5
percent were ladies, while only 33.5 percent were men.
Also, people who are interested in buying online mostly
earn high incomes and have high level of education. Thus,
the influencing factors advised by previous studies in
online shopping are convenience, time saving, pricing,
trust, and consumer demographics. These additional factors
are added into the model as the variables of this research
to test whether they are factors influencing Thai online
shoppers' purchasing intentions. Other than the factors
which influence consumers to shop online, online shopper’s
demography in terms of Age, gender, income and education is

15

Shop Online
equally important to define their strategies accordingly.
Mahmood, Bagchi, and Ford (2014) found that wired lifestyle
people Lohs, often buy online goods and services because
they have spent long periods of time surfing the net while
they are at work and home. Moreover, Uddin and Sultan
(2013) eloquently stated that online shopping is a new
medium so the consumer behavior in the field of online
shopping is also pretty diverse in nature compare to
traditional consumer behavior, so it is equally important
for one to identify what factors influence consumers to
shop online. In order to reach towards purchase decision,
it consists of several factors which influence consumers to
shop online. These factors are important for retailers to
compete in the market and to make their product more
compatible.
Factors influencing online shopping in the literature
Online shopping or Electronic Commerce is a relatively
new business channel that has been implemented rapidly
worldwide. The most influential factors for online shopping
from prior studies are convenience, and time saving for
online shoppers. Moreover, online technology is simple to
operate as Ahnet.,al (2012) stated in their study. While,

16

Shop Online
specific products, such as books, CDs, and computer
software are usually cheaper than at other stores. That is,
they can offer a competitive price to the shoppers.
There are a number of Electronic Commerce benefits for
online businesspersons as well as for customers (Benefits
of e-commerce, 2006.). First, it can easily be expanded
nationwide or globally. Online businesspersons can plan to
sell the products and services not only to locals but also
internationally, since it is based on the Internet channel
where the system infrastructure normally is connected
throughout the globe. Second, it can expand the customer
base of the Internet shop. Businesspersons can provide more
product lines so that there is more variety of the products
offered to the potential customers as well as to the
current customers. In this way, the customers may have more
choices for shopping. Third, it is relatively easy for
customers to search for information over the Internet for
comparison before purchasing. Fourth, it can reduce the
shopping time of the customers, resulting in customer
satisfaction and loyalty. Fifth, it provides convenience to
the customers since the Internet shop is open 24 hours 7
days a week. They can shop any time any day they like.
Sixth, the online businesspersons can simply update the

17

Shop Online
customer database while the system processes any purchasing
transaction from the customers. Lastly, businesspersons can
advertise on the Internet, and save both cost and time
since the cost of using the Internet is very minimal
compared to other channels. In summary, the above are not
only benefits to business persons but also to shoppers in
terms of convenience, time saving and better prices. As
advised in previous studies, these three factors are found
to significantly influence consumers to purchase goods and
services online Chang et al, +(2004)
Convenience
Convenience factor refers that it is easy to browse or
search the information through online is easier than the
traditional retail shopping. Through online, consumers can
easily search product catalog but if the consumer look
generally for the same product or item in a traditional
store manually it is difficult to visit physically and time
consuming also. Convenience has always been a prime factor
for consumers to shop online.
Darian (2014) mention that online shoppers carry
multiple benefits in terms of convenience, such as less
time consuming, flexibility, very less physical effort

18

Shop Online
etc.Bhatnagar and Ghose (2013) claims for convenience as
one of the most important advantage for online shopping.
According to the Robinsoet.,al (2013) the major motivation
for online purchasing is convince in terms of shop at any
time and having bundles of items delivered at door step. 18
The study also found more Filipinos using their mobile
phones to purchase items— from 21.4 percent in 2012 to 34
percent in 2014, with 94.2 percent of participants able to
access the Internet via smart phones, MasterCard noted,
adding that those who purchased via mobile phones did so
because they were able to do it “on the go.” Availability
of apps that facilitate mobile shopping has also made it
more convenient.
Time Saving
Time saving is another common variable explored in
many articles. Some researchers found it to be important
(Chang et al, 2005) but some found the opposite (Rohm and
Swaminathan, 2005). These references indicated that time
are not important to online shoppers' buying intentions.
This is to say that time saving would be valued by business
people, and busy people, as they cannot gain the time they
lost back, in other words, time is more valuable than other

19

Shop Online
factors such as money. In Addition according to Freeny,
et.al (2013) place like Bangkok that is very similar to the
Philippines in terms of heavy traffic. Coming to an offline
store is time consuming. The shoppers are required to plan
in advance for the best arrangement of getting what they
want to buy; for example, at what time there will be no
crowd at the store, which store has the goods or services
they are looking for. There is an open / close time
schedule at most shops, so the shopper cannot purchase
things all day long, unlike the online shop which is open
24 hours 7 days a week. According to Wolfin , Barger and
Gilly (2013), the shoppers may feel uncomfortable if they
do not buy anything after visiting an offline store. This
is because there is a sales person assisting them and
encouraging them to purchase something. They will not have
this kind of pressure at an online shop since they will ask
for help only when they need it. Quaddus and Achjari(2005)
suggest that shopping online will save people's time in
purchasing products and hence they can have more time for
other activities. In this case, the online shop has to be
well designed by the web designer, so that shopping has
little difficulty in navigating the web. Besides, the speed
of the Internet is important; if it is slow, people using

20

Shop Online
it are likely to be spending more time rather than saving
time. Nevertheless, Rohm and Swaminathan (2004) argue that
time saving does not motivate online shoppers' intentions
to buy. About 21 percent of respondents agreed that time
saving are not their concern .On the other hand according
to the study of Umlifa and Limayem (2003) that the saving
time factor is significant. Morganosky and Cude (2002)
state that time saving is the most essential factor
influencing online shoppers' decisions among 50 percent of
their respondents. It is because they can save their time
for something else; they can do other activities and be
more productive because they shop online.
Interestingly, the leisure shoppers who enjoy surfing
the Internet for shopping (Brown et al, 2002) will not pay
attention to time saving, but business shoppers will
(Koiso-Kanttila, 2000). It is implicit that the time
saving factor would have an impact on some particular
people, situations, and needs.20
Website design/features
As mentioned by Shergill& Chen (2016).Website design
and online shopping activity is one of the vital
]influencing factors of online shopping. Website design,

21

Shop Online
website reliability/fulfillment, website customer service
and website security/privacy are the most attractive
features which influence the perception of the consumer of
online buying. Almost 100,000 on-line shopper’s surveyed by
Reibstein( 2015) shows that web site design was rated as
important factor for online shopping. Another study
conducted by Zhan et.al (2014)indicated that website design
features of the website are important and influencing
factors that leads consumer’s satisfaction and
dissatisfaction with a specific website. Furthermore the
study conducted by Yasmin and Nik (2011) shows a
significant relationship between online, shopping activity
and website features. As studies by Li et.al (2011) website
design features can be considered as a motivational factor
that can create positive or negative feelings with a
website and if website is designed with quality features it
can guide the customers for successful transactions and
attract the customers to revisit the website again.
However, worse quality website features can also hamper
online shopping.
Web design quality has important impacts on consumer
choice of electronic stores, stated by Liang and Lai
(2011), Also According to Liang and Lai (2011), web design

22

Shop Online
quality or website features has direct impact on user to
shop online. Moreover researchers such as Belanger, Hiller
and Smith (2010) concluded that a large segment of internet
users have serious concerns of security. Likewise ,Kamariah
and Salwani (2005) claims the higher website quality, the
higher consumer intends to shop from internet. Website
design one of the important factor motivating consumers for
online shopping.
Types of products online
Certain types of products are more likely to be
purchased online, such as music CDs, books, and
downloadable software, because these products can be viewed
and listened to online before shoppers make buying
decisions. Once consumers are satisfied and decide to
purchase the product, they can get it online by
downloading. The sellers can immediately close the sale and
earn revenue with less cost since there is no cost of
packaging. The online business person, therefore, might
provide a way to satisfy online shoppers in a similar way
in order to draw more sales and this result in being
successful in the market as stated by Bhatnagar et. al
(2016). Surge's study of U.S. Online Consume': Sales in

23

Shop Online
2010 and 2012 (cited in Kim and Park, 2015, p.
107)indicated that the three best online selling items were
travel, computer hardware, apparel and accessories,
respectively.
Clothing is another popular online product reported by
Goldsmith and Flynn (2014). They mention that in the U.S.,
most consumers like to purchase through the Internet or
Electronic Commerce. This is because of the Internet's
innovativeness, which persuades them to buy some products.
However, there is still a marketing segment remaining for
selling clothing through catalog shopping as well
(Goldsmith and Flynn, 2013).
In Addition ,Barger and Gilly (2013) report that CDs,
books, software, hardware, toys, travel, products /
services, online auctions, are the products most frequently
purchased at online shops as well as other recorded online
purchased products, i.e., ammunition, lingerie, groceries,
camping equipment, cars, and houses. Sim and Koi
(2013)advise that the most popular product purchases in
Singapore are books, magazines, and CDs.
These are considered as unique products, which are
more convenient to buy online than at offline shops. The
Internet Week (2003) reported that there was a growth of

24

Shop Online
online sales of over 10 percent for electronic products.
These were purchased through the Internet. They comprised
personal computers, digital cameras, wireless home-
networking devices and portable music players.
Relevance of Related Studies to present study
The studies that had conducted and reviewed previously
from various sources were discovered nearest to the present
study and were used as part of the review of the present
study because of its similarity and relevance. On the other
hand , difference were also found that's why it is worth
conducting for.
A Study conducted by MasterCard(2014) in the country
points out the importance of online shopping in the
Philippines this is one of the reason why the researcher
conduct the present study. “An increasing number and
variety of firms and organizations are exploiting and
creating business opportunities on the Internet”, Liao and
Cheung (2015). Above mention statistics indicate the rapid
growth in the field of virtual shopping. With this emerging
field of shopping the interest of marketers is also
increasing in studying what actually motivates consumers to
shop online. Fierce competitions among online sellers have

25

Shop Online
forced them to gain the competitive edge in the field of
virtual shopping. In order to gain competitive edge in the
market, marketers need to know the consumer behavior in the
field of online shopping. So it is important to analyze and
identify the factors which influence consumers to shop
online in order to capture the demands of consumers.25
Other than the factors which influence consumers to
shop online, online shopper’s demography in terms of Age,
gender, income and education is equally important to define
their strategies accordingly the present study is Similar
to the study of Wu (2015) that demographic data also
influenced the online shoppers to shop online.
The Studies of Liao and Cheng (2015), MasterCard
(2014), Darian (2014) , Robinson et.,al (2014) and the
other authors of the previous studies that was used to
support the present study of the researcher are all
relevant to the study that the researcher will conduct.
As online shopping is a new medium so the consumer
behavior in the field of online shopping the researcher
decided it is equally important for one to identify what
factors influence consumers to shop online. In order to
reach towards purchase decision, it consists of several
factors which influence consumers to shop online. These

26

Shop Online
factors are important for retailers to compete in the
market and to make their product more compatible.

27

Shop Online
METHODOLOGY
This chapter includes the research methodology of the
dissertation. In more details, in this part the researchers
outline the research design, the sample and sampling
procedure, the instrument will be use, the research method
,the methods of data collection and the type of data
analysis.
Research Design
This study employed the mixed method design which is
the combination of qualitative and quantitative approach to
collect and analyze data. This study most appropriately
employed the explanatory model, which contains first
quantitative data collection followed by qualitative data
collection. This method was used in order to obtain a
clearer picture from the quantitative data, and then to use
the qualitative data to provide better understanding and
explanation of the study in question. Explanatory design
(also called sequential design) is a two-stage mixed method
design. This design first begins with the collection and
analysis of quantitative data and followed by the
collection and analysis of qualitative data. In the

28

Shop Online
explanatory design, the researcher recognizes particular
quantitative findings that need further explanation.
Research Locale
This study was conducted in the Palayan City National
High School which is located in Atate ,Palayan City , Nueva
Ecija.
Figure 2 shows the map of Brgy. Atate ,Palayan City.
Figure 2
Map of Atate ,Palayan City
Sample and Sampling Procedure
The samples in this study were consisted of senior
high school students (grade 11 & grade 12). The target
samples of this research are the Senior High school

29

Shop Online
Students who have purchasing experience in online shopping
from Palayan City, Nueva Ecija.
This used study purposive sampling which is non-
probability sample that is selected based on
characteristics of a population and the objective of the
study. Purposive sampling is also known as judgmental,
selective, or subjective sampling. A total of 51 students
serves as the respondents of this study.
Table 1. List of Selected SHS Sections and total
number of respondents
Section Number of Respondents

Grade 11
GAS-A 3
GAS B 2
GAS-C 3
STEM 3
HUMMS 3
ICT 7
Grade 12
GAS-A 11
GAS-B 4
GAS-C 2
STEM 2
IA 3
HE B 9
TOTAL 51

30

Shop Online
Instrument
The survey questionnaire and interview guide questions
is the main instrument used in this study in order to
gather the necessary data and information about the
respondents and the Factors Affecting Online Shoppers to
shop online. The questionnaire is divided into three(3)
sections. The first section is Demographic part the second
section is consisted of close-ended questions about the key
construct of the research specifically the Factors
Affecting Online Shoppers to shop online in terms of
Convenience ,Time Saving ,Website Features / Design,
Security and the last section consisted of additional
comments from the respondents about the factors influence
them to shop online . In total , the questionnaire has 15
number of question.
Response Mode. The respondents used the Likert 4-point
scale in responding to the items of the questionnaire:
4= Strongly Agree
3= Agree
2= Dis-agree
1= Strongly Dis-agree

31

Shop Online
Scoring mode. In arriving at a verbal description for
each item statement, the legend guide below was used:
Legends: 3.40-4.19 -Strongly Agree
2.60-3.39 -Agree
1.80-2.59 -Disagree
1.00-1.79 -Strongly Disagree
Data Collection and Data Analysis.
The survey questionnaire was given out to randomly
selected Senior High school students who have purchasing
experience in online shopping after receiving permission
from them. To collect necessary data the researcher
conducted an one-on-one interview and observation. The
researcher conducted one-on-one interviews and a few
observations regarding the Factors affecting online
shoppers to shop online .The direction was fully explain to
the respondents before answering.

32

Shop Online
RESULTS AND DISCUSSION
This chapter comprises the analysis, presentation and
interpretation of the findings resulting from this study.
The analysis and interpretation of data is carried out in
two phases. The first part, which is based on the results
of the questionnaire, deals with a quantitative analysis of
data. The second, which is based on the results of the
interview and focus group discussions, is a qualitative
interpretation.
1. Online shoppers in terms of demography
1.1 Gender
The Figure 3 shows the Percentage of the respondent’s
gender

33

Shop Online
Percentage of the respondent’s gender

Figure No. 3
According to demographic profile, 61% of the
respondents are female and 39% of the respondents are male.
As mentioned before the study is conducted in the Palayan
City Senior High school students with total number of 51
respondents. As indicated on the Figure 3 reveals that the
majority respondents are female. According to the survey
result it is clear that female respondents are more
interested to shop online than male.
The Result is similarly linked to the Study of
Business Insider Intelligence (2015), female consumers are
much more likely to more often than males the survey shows
66.5 percent were ladies, while only 33.5 percent were men.
1.2 Age
The Figure 4 shows the Frequency and Percentage of the

age of Respondents.
Frequency and Percentage of the age of Respondents.

34

Shop Online
Figure No.4
The figure above shows that 14% of the respondents are
16 years old, 39% are 17 years old, 37% of them are 18
years old, 8% are 19 years old, and only 2 % of the
respondents are 20 years old. The result shows that most of
the SHS students who participated and qualified for this
study is 17 years old.
1.3 Weekly Allowance
The Figure 5 indicates the Respondent’s weekly allowance
RESPONDENT'S WEEKLY ALLOWANCE

RESPONDENT'S WEEKLY ALLOWANCE
53
33
8
4 2
200-400 401-600 601-800 801-1000 1001-1300
Respondent’s weekly allowance

Figure No. 5

35

Shop Online
The Figure 5 shows that most of the SHS Students who
shopped online have allowance ranging from 401 to 600php
weekly.
Weekly Allowance is one of the important and sensitive
demographic variables. This figure shows that 33% of the
respondents weekly allowance range from 200-400php, 53% of
the respondent’s weekly allowance range from 401-600php, 8%
of the respondents weekly allowance range from 601-800php ,
4% of the respondents weekly allowance range from 801-
1000php and only 2% of the respondents weekly allowance
range from 1001-1300php.
2. Factors Affecting Online Shoppers to Shop Online
2.1 Convenience
Weighted mean given by the respondents on this
variable are presented in Table 3. As observed, respondents
Agree (WM=2.96) that online shopping is Convenience.
Table 2. Assessment of Online Consumer on Convenience
Convenience Weighted Rank Description

Mean
1.The delivery arrives on time 3.01 2 Agree
when I order something online.
2. Detailed information is available in the 3.13 1 Agree
online shopping website.

36

Shop Online
3. I can buy anytime 24 hours a day in 2.78 4 Agree

online shops
4.It is easy to choose and make comparison 2.92 3 Agree
with other products while shopping online.
Average Mean 2.96 Agree
The result shows that the respondents “agree” that online
shopping is convenience as indicated by the computed means, as
follows in chronological order: Detailed information is delivery
arrives on time when ordering online ( WM:3.01) ; It is easy to
choose and make comparison with other products while shopping
online (WM:2.92) and Can buy anytime 24 hours a day in online
shops (WM:2.78). The ‘convenience’ factor was cited as the main
reason by the most interviewees, for using the Internet to search
and shop for products. For the Online Shoppers who said that
their main reason why they shop online is because it’s convenient
to use. “ It’s convenient because instead of going to public
places like mall , tiangges and traditional market which is
commonly crowded I prefer to stay at home and shop through my
mobile phone’’ , except from avoiding crowded place the
respondents said that online shopping is more handful because all
you need is your phone , internet connection in buying online.
In addition the result of interview shows that it’s convenient
because you can save time, transportation money and based on the

37

Shop Online
SHS online shoppers from Palayan City National High school online
shopping is an effortless activity which you can also save your
energy.
The finding indicates that detailed information is available
in the online shopping websites which makes it easier for the
consumer to be well-informed and become familiar into the online
shopping website. Detailed information pertains to the
information about the product, instructions, procedure, help
centre , rules and conditions in the online community involving
buyers and sellers, promotions, updates etc. which the
respondents agreed that these are presented in online shopping
websites.
In terms of on-time delivery the respondents agree
that the delivery arrives on time when ordering online. The
delivery usually takes 3-5 days during normal days and 5-
10days during holiday and if the supplier is within the
province it only takes 1-2 days to be delivered which is
acceptable for these customers, They prefer to wait for
several days / expected date of arrival instead of going
out and shop in the traditional market.
For item “It is easy to choose and make comparison
with other products while shopping online obtained overall

38

Shop Online
weighted mean (WM:2.92) with description of “Agree”. It
shows that the customer agree that It is easy to choose and
make comparison with other products while shopping online
because compare to traditional market to need to exert
physical effort and time to walk around just to choose and
make comparison with the other products unlike in online
shopping all you need to do is to browse and search for the
products for few minutes.
The result shows that for item “ I can buy anytime 24 hours
a day in online shops” the respondents least agreed that it
has 2.78 weighted mean. Some of the respondents shopped
through facebook managed by E-retailers which is usually
not 24/7 active on their online shops .
2.2 Website Features/ Design
Table 3 shows the mean values obtained for the items number
5-9 that is related to the website features/design of an
online shop.

39

Shop Online
Table 3 Assessment of Online Consumer in terms of Website
Design/ Features.
Website Features/ Design Weighted Rank Description

Mean
5.It’s easy to search different 3.21 5 Agree
products because of website design.
6.While shopping online, I prefer to 3.27 4 Agree
purchase from a website that provides
safety and ease of navigation.
7.The website layout helps me in 3.35 1 Agree
searching and selecting the right
product while shopping.
8. I believe that familiarity with the 3.33 2.5 Agree
website before making actual purchase
reduce the risk of shopping online.
9. I prefer to buy from website that 3.33 2.5 Agree
provides me with quality of
information.
The highest mean value obtained on the perception of
the respondents was 3.35, which means “the website layout
helps me in searching and selecting the right product while
shopping online”. On the other hand, the lowest mean value
was 3.21 which showed that “it’s easy to search different
product because of website design”.

40

Shop Online
Website layout is the graphic user interface of a web page, it
includes the options, search bars, tools and buttons which helps
user to browse and shop easily. For the respondents one of the
things they like in online shopping is the ease of navigation;
proper segmentation of products. This factor closely linked to
the time-saving where the shoppers can easily search the specific
thing they want to buy like what the one of our respondent’s
answer that in online shop it has search engine where consumer
can easily search and browse different products , from different
sellers with different quality and prices . Also some of the
online shops have segmentations according to gender, age, hobbies
and needs such as gadgets, furniture and appliances. In addition
there more products available online you purchase authentic and
branded items or the consumer can buy class a goods also there
are more products that is available in the online shop which is
not available in shop place like Korean cosmetics which shoppers
can only be found in limited stores in Manila but because of the
online shop limited items like these can be more accessible
wherever the consumers are in the country. There are also online
shops offer goods from overseas specifically china and Korea
where shoppers don’t have to pay for expensive shipping fee. This
type of advantages gives opportunities to the Students who is
involved in E-tailing . The agreement of the respondents with the

41

Shop Online
statement confirms that the website that provides quality of
information can influence consumers more than a website with less
quality information.
The study of Reibstein(2015) shows that almost 100,000
online shoppers rated website design as important factor
for online shopping is relevant to the present study.
2.3 Time saving
The Table 4 shows the obtained mean value for the
Time-Saving in Online Shopping.
Table 4.Rate of Respondents affiliated in Time-saving.
Time Saving Weighted Mean Rank Description

10.Online Shopping Saves Time 3.25 1 Agree
11.Online Shopping doesn’t 2.94 3 Agree
waste time
12.I feel that it takes less 3.11 2 Agree
time in evaluating and
selecting a product in online
shop
Based on the assessment of the respondents, the
highest mean value indicated was 3.25 for the item number
10 , Online Shopping saves time interpreted as “Agree” and
the lowest mean value were obtained for item number 11 ,
number 11 online shopping doesn’t waste time.

42

Shop Online
One of the reasons people shop online was because it saved
them time. Closely linked to convenience is the notion that
Internet is a “mouse click” away, and can actually save consumers
a lot of time in their shopping or physical browsing. All of the
respondents interviewed are SHS Students. All were on the opinion
that student’s life generally was getting a bit hectic with
paperwork, studies, examinations and other responsibilities. The
Internet has now become an extremely convenient gadget and made
life less hectic. It is a time saving piece of equipment when it
comes to most of their personal commercial chores. “Since I’m a
Student who is currently busy with the school works, online shop
is a smart way to shop for student like me who don’t have time to
go to Cabanatuan to shop “ said by one of the respondents from
grade 11.
Similarly, the study of Freeny, et.al (2013) stated that
time saving would be valued by business people, and busy people,
as they cannot gain the time they lost back, in other words, time
is more valuable than other factors such as money. In Addition,
place like Bangkok that is very similar to the Philippines in
terms of heavy traffic. Coming to an offline store is time
consuming.

43

Shop Online
2.4 Security
The Table 5 below shows the weighted mean linked to the
Security regarding in shopping through online.
Table 5. Assessment of online consumer in terms of security
Security Weighted Mean Rank Description

13. I feel Safe and secure 2.76 2 Agree
while shopping online
14.Online Shopping protects 2.74 3 Agree
my security
15.I like to shop online 3.35 1 Agree
from trustworthy website
Average Score 2.95 Agree
The highest mean value on the perception of the
respondents was 3.35 and it means the respondents like to
shop online from trustworthy website and the lowest mean
value acquired was 2.74 for item number 14 , Online
shopping protects my security.
The findings show that the respondents believe that
trustworthiness is important attribute while shopping
online. It proves that majority of the respondents would
not like to take risk by shopping from a website that is
not trustworthy.

44

Shop Online
Nevertheless, the study of Bhatnagar and Ghose (2004),
that the security is one of the factor which limits buying
on the web as they claim that there is a large segment of
internet shoppers who don’t like to buy online because of
their thinking about the security of their sensitive
information. Furthermore, according to Cuneyt and Gautam
(2004) claims trust in the internet shopping with advanced
technology, and frequent online shopping to the internet
being secured as a trustworthy shopping channel.
3. Factors Motivate Online Shoppers to conduct their first
purchase through online.
The factors motivate online shoppers to shop online are peer
influence, current popularity of online shop and the
advertisement of these websites with attracting photo attached to
it. Peer Influence, some of respondents is influenced by their
friends/ peers in their purchase in online shop. Popularity of
online shop, Teenagers these days are active on social media
online shop’s popularity keep increasing and almost everyone have
heard this term before that’s why it’s one of the factor motivate
them to shop online for the first time. Advertisement while
using social media account its hard not to avoid noticing the
advertisement that keeps popping out to the screen, the

45

Shop Online
advertisement posted and keep showing on your newsfeed even in
television people can see the advertisement of famous online
shopping website such as Lazada , OLX.com and Carousel.com which
is currently famous on our country and out of curiosity some of
these respondents motivate to made their first purchase online.

46

Shop Online
SUMMARY OF FINDINGS, CONCLUSIONS AND RECOMMENDATIONS
This chapter presents the summary of findings, the
conclusions drawn from the findings and the recommendations
deduced based from the conclusions of the study.
Summary
This study entitled “E-Commerce: A study about the Factors
Affecting Consumer to Shop Online” was conducted to determine the
factors influencing the online shoppers to shop online. This
study includes the socio-demographic profile of the respondents
(Gender , Age and Weekly Allowance) , Factors Affecting Online
shoppers ( Convenience, Website Design, Time-saving and Security)
, The Main Reasons Why SHS online shoppers from PCNHS shop online
lastly ,The factors motivate online shoppers to conduct their
first purchase through online. This study would benefit the
Marketers, Online shoppers/ Potential Online Shoppers, Online
Seller/ Potential Online Seller, Community / Non-Online Shoppers
and Future Researcher. With total population of 51 respondents
from Palayan City National Senior High School. The researchers

47

Shop Online
used purposive sampling to get the respondents and conducted
during the second semester S.Y. 2017-2018.
1. Demographic profile study of respondents indicates that in
Palayan City National Senior High School that most of the online
shoppers are female and they specifically around 16-17 years old
and have allowance ranging from 200 to 600php weekly.
2. The result shows that the respondents agreed that the
online shopping is “convenience” because “Detailed
information is available in the online shopping website”,
the website features/design is important factor in
influencing them in purchasing from the online shops, time-
saving, and secured and trustworthy.
3. The factors motivate online shoppers to shop online are peer
influence, the current popularity of online shop and the
advertisement of these website with attracting photo attached to
it.
Conclusion
Based on the findings, the following conclusions are
given and concluded:
1. The respondents are mostly females and considered in
their near maturity that has enough weekly allowances.

48

Shop Online
2. Shopping online was considered Convenient, Time-
saving, secure and persuasive due to its website
design.
3. Peer influence, popularity of online shop and the
advertisement are the factors that motivate consumer
to shop online.
Recommendation
Based on the findings of the study, the following
recommendations were drawn:
1. Online Sellers and Marketers should focused more on
the female buyers to maintain them as their customer
in addition they should add more and upgrade some
products and research about the male customer needs
/their interest to attract more male buyers.
2. If online shopping business owner target the teenagers
as their customer they should have cheaper price or a
budget friendly price because the weekly allowance of
the respondents are commonly less than 1000php.
3. For buyers being familiar with the websites
process, function and authenticity is necessary to

49

Shop Online
avoid risk such as fraud , phishing, pharming and
those called "bogus seller".
4.Currently e-retailers offer very few or no Loyalty
programs for e-consumers which most of the solid
stores provide. Since customer can’t buy 24/7 from
them e-retailers should maximize customer lifetime
value for long term run, Loyalty Programs for existing
high value e-consumers should be launched.
5.E-retailers and Online Shoppers should maintained
and improve their advertisement and marketing strategy
since this is proven effective to motivate target
customer to make their first purchase through online
shops.

50

Shop Online
Acknowledgement
The completion of this dissertation could not have

been possible without the participation and assistance of
so many people. The contributions are sincerely appreciated
and gratefully acknowledge, however the group would like to
express their deep appreciation and indebtedness
particularly to the following:
First of all we would like to thank the Great Almighty

the most beneficent and most merciful, who has provided us
the courage and health to complete our work. Secondly we
would like to thank our families back home who have
supported us and encouraged us for our work. We full
heartily appreciate our family and friends support
specially thanks to Ronalyn Anastacio, Jeuel Agustin and
Marianne Gose for supporting us during our study.
With our deepest gratitude to our research adviser

Mrs. Shiela Magpayo for her encouragement, motivation and
help throughout the dissertation work, without her support
it would be difficult to complete the work in limited time
period.
Last but not least we would like to thank all the
respondents who participated in our survey and to those who
have directly and indirectly supported us.

51

Shop Online
Bibliography
Bibliography
Abdullah, Y. H. (2011). ”INFLUENCING FACTORS ON CONSUMER
CHOICE TOWARDS ONLINE SHOPPING”. online:
http://www.internationalconference.com.my/proceeding/2ndice
2010_proceeding/PAPER_086_ConsumerChoice.pdf.
Hoffman, D. (2016). Internet and web in United States.
Inc., M. C. (2014). Filipinos Trurn to the internet to

purchase. Masyer Card Philippines.
Lei, L. a. (2011). Online Shopping Acceptance Model; A

Critical Survey of Consumer Factors in Online Shopping.
www.google.com.
Michael, I. (2016). Motivators for Australian Consumers to

Search and Shop. Ian.Michael@zu.ac.ae.
Pedroso, K. (2015). More Filipinos choosing to shop online.

Inquirer.net.
Wijesundara, B. (2016). Factors Affecting Online Purchasing

Intention of sri lankan consumer. www.academia.edu.

52

Shop Online
APPENDICES

53

Shop Online
Survey Questionnaire
This Questionnaire is about Factors Affecting Online Shoppers to

Shop online. Those data to be gathered are confidential
Part A. Respondents are requested to Tick the check boxes in
order to complete required questions.
1. Gender 2. Age :
a) Male
b) Female 3) Weekly Allowance:
4)Grade Level: Grade 11 Grade 12
Questionnaire on Consumers Attitudes towards Online Shopping
Part A (1). (Respondents are requested to answer the following

questions with answers from strongly agree to strongly disagree
on a Likert five-point scale)
Strongl Agre Disagre Strongly
y Agree e e Disagree
1.The delivery arrives on-time when I
order something online
2. Detailed information is available in
the online shopping website
3. I can buy anytime 24 hours a day in
online shops
4. It is easy to choose and make
comparison
with other products while shopping
online.
5. Its easy to search different products
because of website design
6. While shopping online, I prefer to
purchase
from a website that provides safety and
ease
of navigation
7. The website layout helps me in
searching
and selecting the right product while

54

Shop Online
shopping online
8. I believe that familiarity with the
website
before making actual purchase reduce the
risk of shopping online
9. I prefer to buy from website that
provides
me with quality of information
10. Online shopping saves time
11. Online shopping doesn’t waste time
12. I feel that it takes less time in
evaluating and selecting
a product in online shop
13. I feel safe and secure while shopping
online
14. Online Shopping protects my security.
15. I like to shop online from a
trustworthy website
Interview Guide Question
1. What is your main reason why you shop online?
2. What do you prefer traditional market or online shops?
3. What factor motivate you in your first purchase through online

shop?

55

Shop Online
DOCUMENTATION
Figure 6 Conducting Survey on Grade 12 Student
Figure 7 Conducting Survey on Grade 11 Student

56

Shop Online
CURRICULUM VITAE
A.Personal Information
Name: Ephreen Grace R. Marty
Address: Brgy. Singalat , Palayan City
Date of Birth: January 11, 2001
Place of Birth: Marikina City
Civil Status: Single
Sex: Female
Age: 17
Blood Type: AB
Height: 5’8
Weight: 50 kg
Parents: Ephraim A. Marty & Reena M. Marty

57

Shop Online
B. Educational Background:
Elementary: Singalat Elementary School
S.Y 2011-2012
Junior High School: Palayan City National High School
S.Y 2015-2016
Senior High School: Palayan City National High School
S.Y 2017-2018
C. Honor Achievement
Elementary – 9th Honor
Grade 10 – 2nd Honor
Grade 11- 5th Honor
Grade 12 – with Honors

58

Shop Online
CURRICULUM VITAE
Name: Mary Joy B. Biag
Address: Bgy. Caballero,Palayan City
Date of Birth: September 14, 1998
Place of Birth: Palayan City
Sex: Female
Age: 19
Blood Type: AB
Height: 5’3
Weight: 51 kg
Parents: Danilla Biag

59

Shop Online
Ma. Rufina Biag
Elementary: Elementary School
S.Y 2011-2012
S.Y 2015-2016
S.Y 2017-2018

60

Shop Online
CURRICULUM VITAE
Name: Diomel DC. Rullan
Address: Brgy. Malate, Palayan City
Date of Birth: June 28, 2000
Place of Birth: Bitas, Cabanatuan City
Sex: Male
Age: 17
Blood Type: AB
Height: 5’4
Weight: 45 kg
Parents: Diomedes Rullan

61

Shop Online
Eliza DC. Rullan
Elementary: Malate Elementary School
S.Y 2011-2012
S.Y 2015-2016
S.Y 2017-2018
C. Honor Achievement

62

Shop Online

E Commerce 3 Final Na Final Na

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

E Commerce 3 Final Na Final Na

Uploaded by

Copyright:

Available Formats

2

E- Commerce : A study about the Factors Affecting Online Shoppers to

THE PROBLEM AND ITS BACKGROUND

Electronic Commerce is a relatively new business

channel, which entails selling and buying goods and

services using a technology channel, namely, the World Wide

Web or Internet. It is a state-of-art technology that is

comprised of hardware, software and network equipment

whereby each of the components works as a single system

bringing people closer together. This new technology has

been used and implemented worldwide so that people can be

connected to each other, in both personal and business

matters, by just clicking a mouse anywhere and at any time.

The trend of E-Commerce has been increased rapidly in

the recent years with the development of internet and due

to the easy accessibility of internet usage easy access to

internet has driven consumers to shop online. In addition,

online shopping is the third most popular activity on the

internet after email using and web browsing. Globally more

than 627 million people have done online shopping so far,

World's biggest online consumers included Germans and

British. Books, Airline Tickets / Reservation / Clothing /

Shoes / Videos and other are the most popular items

purchased on the internet. Through electronic marketing and

Palayan City National Senior High School

E- Commerce : A study about the Factors Affecting Online Shoppers to

internet communication business firms are coordinating

different marketing activities such as market research,

product development, inform customers about features,

promotion, customer services, customer feedback and so on.

Online shopping is used as a medium for communication

and electronic commerce , it is to increased or improve in

value , quality and attractiveness of delivering customer

benefits and better satisfaction , that is why online

shopping is more convenience and day by day increasing its

popularity. There is also risk associated with online

shopping. Concerned authorities are devising policies to

minimize the risk involve in e-commerce has been grown very

fast because of many advantages associated with buying on

internet because of lower transaction and search cost as

compared to other types of shopping.

Buy and sell or retailing in the Philippines has grown

even bigger than before.

Statement of the problem

The prime purpose of this study is to identify and

analyze the factors influencing consumers to shop online.

Palayan City National Senior High School

E- Commerce : A study about the Factors Affecting Online Shoppers to

Another purpose of the study is to analyze who are online

shoppers in terms of demography.

1.Who are online shoppers in terms of demography?

1.3 Weekly Allowance

2. How these factors influence consumers to shop online

2.2. Time Saving

2.3. Website Features / Design

3. Factors Motivate Online Shoppers to conduct their

first purchase through online.

The researcher designed this dissertation to study the

Convenience, Time Saving, Website Design/Features ,Quality

of products / Service and Security. While it is important

to investigate the motivation behind consumer purchasing

but it is equally important to find who are the online

shoppers in terms of demography. This study will be