The increasing use of the internet provides an initial vision for electronic marketing. If E-marketers know the factors affecting online buyer’s behaviour, and the relationship between these factors and the type of online buyers, then they can develop their marketing strategies to converts potential customers into active ones, while retaining existence online customers. Various researches have been made to investigate consumer on line behaviour and most of the studies concentrate on identifying the factors that affect consumers in shopping online.
With the development of E-retailing, researches continued to explain electronic consumer’s behaviour from different angles. According to Shergill and CHEN (2005) recent studies on consumer behaviour suggested new factors which are based on traditional models of consumer behaviour and then scrutinize their soundness with context of the internet. (Journal of Electronic Commerce Research, VOL. 6, NO. 2, 2005) . There is outright model which describe the process consumers uses in making a purchasing decision. These models pave ways for marketers to understand and explain future consumer behaviours.
The typical consumer behaviour theory contains a continuous extension from routine problem solving altitudes to limited problems issues and to broader solving behaviours. The conventional framework for analysing the consumer behaviour is a five move model, as cited in Shergill and Chen (2005). The model suggested that the customer is firstly deprived before being able to recognise the problems and later search for information and how to solve it. The information collected is the starting point for looking for other means.
The step up and assessment of purchasing assessment criteria result in decision to buy. The expansion and contrast of purchasing appraisal criteria consequence would be the actual decision to buy. At the end, post-purchase behaviour is significant in the marketing perspective; eventually this affects the consumers view if he or she is satisfied or not happy with the product or service. (Journal of Electronic Commerce Research, VOL. 6, NO. 2, 2005) As Hui and Wan (2007) argued, the attitude of consumers to shopping online is a crucial factor affecting buying actions.
They anticipated a model of shopping intentions and attitude towards the internet at large. They looked into five factors in which they believed consumer considered before shopping online. The factors are convenience, price, personality, security concerns and user experience. Convenience: There are various motives people shop online. Firstly is the amount of time spent online is limited to traditional stores. Secondly the consumer can shop at any time as a result there are no worries on when the store is closing.
Thirdly is the physical aspect of visiting the store is eliminated. The question these response posses is, does internet shoppers look for convenience when shopping? Security Concerns: The major concern consumers worried about when shopping online is about the security of their cards and their privacy. The main issue is that their details might be passed to third party. User Experience: There are numerous factors that motivate the growth of e-commerce; one of them is that people are acquiring more knowledge of the use of the internet.
Thomson and Lang(2003) as cited in Hui and Wan (2007) studied internet shopping behaviour and considered factors such as time spent on the internet, the usage of the internet at work and the effect of education on the use of the internet. They found out that purchase decisions are on past experience in particular with brand and product similarities. Price: Internet users are adequately informed about prices on the internet because they can seek for this information as it is readily available.
Personality: The study of Jayewardene (2004) was used to analyse how personal values would impact on online shopping and behaviour. It was concluded that individual attitudes impact on behaviour. Hui and Wan (2007) used survey method to analysis their respondents, they base their survey on the level of education and gender if both will impact on consumer behaviour. In their findings they found out there was no effect for gender but for education there were slight differences on the level of education.
However, the study was affected by different limitations; firstly the selection of the respondents was biased as they were picked in different days and different locations. Secondly the study is of the opinion that their respondents represent the opinion of all internet shoppers. Rhee, Riggins and Kim (2009) identified Perceive characteristic of the web as a key factor in understanding consumer usage behaviour and the adoption of the internet. They are of the opinion that some consumers view some features of the technology as useful and others as only slightly useful because they participate in various varieties of online shopping.
They developed three factors that are relevant to perceived characteristics of the web that relates to the consumer opinion of the value on online shopping, and they are perceived employability, relative advantage and riskiness. Perceived employability is the degree to which a consumer believes the internet would be easy to use and afterwards used for shopping. It is a blend of different factors such as easy use of the technology, the communication of the experience and the easy use of the internet for shopping. Relative Advantage: is the extent to which a consumer viewed the use of the Web for shopping than any other forms of shopping.
Various researches on Innovation and TAM studies have recommended that relationship exist with technology usage and adoption. Perceive risk: is the way the consumer view the usage of the web for shopping as a negative consequence on its ability to shop with fear. There is the tendency that another third party might intercept their details. With this belief the consumer view the Web as a risky outlet for shopping. Bhimani (96), Klein and Quelch (98) et al as cited in Rhee, Riggins and Kim (2009 suggested the risk associated with the concerns for privacy is recognised is a deterrent for online shoppers.