Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
RV INSTITUTE OF MANAGEMENT
CA-17, 36th Cross, 26th Main, 4th T Block,
Jayanagar, Bangalore-560041
2014-15
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DECLARATION
TOWARDS
ONLINE
GROCERY
SHOPPING
IN
BANGALORE CITY is the result of the project work carried out by me under the
guidance of Ms. Rashmi Shetty, Assistant Professor, RVIM in partial fulfillment for
the award of Masters Degree in Business Administration by Bangalore University.
I also declare that this project is the outcome of my own efforts and that it has not
been submitted to any other university or Institute for award of any other degree or
Diploma or Certificate.
Date:
Place:Bangalore
R V Institute of Management.
RAMESH DHARMANN
Reg No: 131GCMA115
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CERTIFICATE OF ORIGINALITY
Dr. T.V.Raju
Guide
Director
Date:
Date:
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ACKNOWLEDGEMENT
Date:
Place: Bangalore
R V Institute of Management.
RAMESH DHARMANNA
Reg. No.: 131GCMA115
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TABLE OF CONTENTS
CHAPTER NO
PARTICULARS
LIST OF TABLES
Vii, Viii
LIST OF CHARTS
1X, X
EXECUTIVE SUMMARY
1
PAGE NO
INTRODUCTION
X1
1-13
14-21
22-27
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28-68
69-72
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LIST OF TABLES
TABLE NO
DESCRIPTION
4.1
4.2
PAGE NO
ratio)
4.3
4.4
4.5
4.6
4.7
4.8
4.9
4.10
4.11
4.12
4.13
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4.14
4.15
4.16
4.17
4.18
4.19
4.20
4.21
4.22
4.23
4.24
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LIST OF CHARTS
CHART NO
DESCRIPTION
4.1
4.2
4.3
4.4
PAGE NO
not.
4.5
4.6
4.7
4.8
4.9
4.10
4.11
4.12
4.13
4.14
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4.16.1
4.16.2
4.16.3
4.16.4
4.17
4.18
4.19
4.20
4.21
4.22
4.23
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CHAPTER 1
1.1 INTRODUCTION TO THE ONLINE GROCERY SHOPPING
INDUSTRY
Growing interest by consumers to point and click their way through nearly all aspects
of daily life has fueled the Internet economy to develop services and sell products
online even in areas that were once the sole domain of traditional businesses, such as
grocery stores and pharmacies. Businesses that sell consumer products online have
been coined as etailers and as e-grocers in the case of online grocery retailers.
Some of the reasons why an increasing number of consumers buy groceries online are
common to all Internet purchases, including better prices, larger selection,
convenience, and time savings. Home delivery of items purchased online is appealing
to those for whom going out to shop is dicult for various reasons, such as physical
disability, the need to care for small children, the lack of adequate or convenient
transportation, and/or a busy lifestyle.
Buying groceries and other products online unchains consumers from physically
driving to and shopping in traditional stores. In a study by McKinsey and Company,
84% of consumers who order groceries online do it as a substitute for frequent regular
trips to a grocery store, rather than substituting for infrequent trips to stock up on
limited items or for special occasions. Hence, the industry could obtain the mass
critical to success. The value proposition of e-grocers is to become a single-source
solution for the busy consumer today. E-grocers provide information as well as
products and services.
E-grocers scheduling requirements and the desire to consolidate purchasing activities
to a single trip are two factors aecting the consumers desire to purchase groceries
online. Other factors negatively inuencing consumers decisions to purchase
groceries or other goods online include shipping costs, credit card security, the need
or want for immediate delivery of products, and the social aspects of the shopping
experience.
Internet is changing the way consumers shop and buy goods and services, and has
rapidly evolved into a global phenomenon. Many companies have started using the
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Business-to-Government (B2G):
Business-to-government e-commerce or B2G is generally defined as commerce
between companies and the public sector. It refers to the use of the Internet for public
procurement, licensing procedures, and other government-related operations. This
kind of e-commerce has two features: first, the public sector assumes a pilot/leading
role in establishing e-commerce; and second, it is assumed that the public sector has
the greatest need for making its procurement system more effective.
Web-based purchasing policies increase the transparency of the procurement process
(and reduce the risk of irregularities). To date, however, the size of the B2G
ecommerce market as a component of total e-commerce is insignificant, as
government e-procurement systems remain undeveloped.
Consumer-to-Consumer (C2C):
Consumer-to-consumer e-commerce or C2C is simply commerce between private
individuals or consumers. This type of e-commerce is characterized by the growth of
electronic marketplaces and online auctions, particularly in vertical industries where
firms/businesses can bid for what they want from among multiple suppliers. It
perhaps has the greatest potential for developing new markets. Online auction site
eBay, Yahoo! Auctions are a couple of examples of C2C websites.
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Products put at an easy reach so that she can check the label, feel it (if
required) and physically compare it with a similar product from a different
manufacturer
And most importantly freebies and discounts available with the products
Naturally, the same woman when she would visit an online retail store will look for
these factors in her sub-conscious mind. She would love to get the same feeling as she
derives from the environment of her favorite retail store. She will unknowingly
demand these from your online shopping store. She would choose to stay and buy
from youronline webstore if you can meet the following:
Save time: You should give her the navigational freedom and easy roam around
options in your store; give her instantly whatever she wants.
Get a better selection: Your product should be the best in the designated price
bracket
Complete product details: Do not describe your products in single words; give as
much detail as possible.
Better value/offer: Your freebies should be 'useful' enough and the discount should
be noticeable
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It also saves travel expenses and time going to the grocery store. Considering
the wide availability of the Internet.
It also means grocery shopping can be done from remote locations or in the
middle of doing other tasks. For instance, using an online grocery store can
allow a person to do all grocery shopping during the lunch break at work.
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It is also very useful for those without a car or who may be physically unable
to move around easily, since the food is delivered right to their doors.
Customers can shop anytime they want, at their own convenience, 24 hours a
day, 7 days a week.
Perhaps the largest disadvantages of shopping online are that it costs extra
money, since food must be delivered, and that the food ordered is not obtained
immediately.
Also, online grocery stores will often only cover specific delivery areas.
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CHAPTER 2
2.1 THEORETICAL BACKGROUND OF THE STUDY
A grocery store is a retail store that primarily sells food. A grocer is a bulk seller
of food. Grocery stores often offer non-perishable food, with some also having fresh
produce, butchers, delis, and bakeries. Large grocery stores that stock significant
amounts of non-food products, such as clothing and household items, are
called supermarkets. Some large supermarkets also include a pharmacy and an
electronics section.
In the United States, Canada, and United Kingdom, supermarkets and convenience
stores are sometimes described as grocery businesses, or simply grocers. Small
grocery stores that mainly sell fruits and vegetables are known as produce markets
or greengrocers and small grocery stores that predominantly sell prepared food, such
as candy and snacks, are known as convenience stores or delicatessens.
Internet is changing the way consumers shop and buy goods and services, and has
rapidly evolved into a global phenomenon. Many companies have started using the
Internet with the aim of cutting marketing costs, thereby reducing the price of their
products and services in order to stay ahead in highly competitive markets.
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Groceries are different from many other products, such as music and books that are
commonly purchased online. Many grocery products are perishable and therefore
time-sensitive in terms of their delivery needs. In addition, groceries are a
replacement product, i.e., the same basket of products is more-or-less purchased on a
regular basis. Finally, groceries are high-touch items, meaning that consumers like to
inspect the quality of items they are purchasing.
Five years ago online grocery sales were only $85 million however, this growing
market had attracted an number of "pure-plays" - companies that focused exclusively
on selling through the Internet, and attempted to replace traditional bricks-and-mortar
supermarkets. Most of these pure-plays failed spectacularly. Today, traditional bricksand-mortars stores are increasingly entering the online market in an attempt to
leverage both brand awareness and create distribution efficiencies.
Online security and privacy are also of concern to consumers. In particular, security
issues generally revolve around the transfer of personal and financial information (for
example, addresses, telephone numbers, credit card numbers, etc.) over the Internet.
Another privacy concern relates to the use of online consumer demographic and tasterelated data. Online stores gather this information and can use it to target costumers or
sell to marketing firms for marketing analysis.
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2.2 COMPETITORS:
2.2.1 BIGBASKET.COM
What is BigBasket.com
Big Basket is Indias largest online food and grocery store, with over 10,000 products
and over 1000 brands. Big Basket sells products in categories such as fresh fruits and
vegetables, grocery and staples, meats, personal care, and home and kitchen products.
BigBasket operates in four cities including Bangalore, Mumbai, Hyderabad and Pune.
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Bigbasket.com allows you to walk away from the drudgery of grocery shopping and
welcome an easy relaxed way of browsing and shopping for groceries. Discover new
products and shop for all your food and grocery needs from the comfort of your home
or office. No more getting stuck in traffic jams, paying for parking, standing in long
queues and carrying heavy bags get everything you need, when you need, right at
your doorstep. Food shopping online is now easy as every product on your monthly
shopping list, is now available online at BigBasket.com, Indias best online grocery
store.
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Zopnow.com, an online retail store exclusively aims to catergrocery and FMCG need
of people launched its service in Bangalore. Zopnow with punch line Be Lazy, Buy
Easy plans to deliver grocery items at consumers doorstep in less than 3 hours or at
a predefined time specified by the customer.
However, currently zopnows is offering 1501 products to some selected areas of
south Bangalore. Zop now is founded by serial entrepreneur B.K Birlaand Mukesh
Singh, erstwhile CTO, Makemytrip.
According to company website, it wants to build a customer centric online store that
will leverage the hybrid model of online, call center, mobile application and physical
touch. Zopnow claims to deliver great customer experience by providing customers, a
convenient way to shop and in the process cut down the time at the checkout counter,
traffic and parking. At present Zopnow offers cash on delivery (COD) option and are
in the process of adding card, debit card, Sodexho and Ticket Restaurant vouchers,
however Sodexho and Ticket Restaurant vouchers would be applicable only for food
items. It offers free shipment for minimum order value of INR 500 and above,
however shipping cost of INR 30 is added to all shipment below INR 500
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YouMart is a brand of Ujjivan Enterprises Pvt Ltd. and was formed on 13th
December 2012.
YouMart is a strong initiative in the Online Supermarket space and embarked on a
journey to make it the most preferred Online Grocery Store in India. Presently we
operate in Bangalore, and will expand the operations to other metros in India. Our
product portfolio includes everything our customer needs, from Groceries and Staples,
fresh Vegetables and Fruits, Personal care products, Baby care products, Cleaning
items to Stationeries and other Home needs.
YouMart is a strong initiative in the Online Supermarket space and continues to thrive
hard to make it the most preferred Online Grocery Store in India. Today we serve
only in Bangalore but will soon move to other cities in India. We keep everything our
customer needs from groceries and staples, fresh vegetables and fruits, personal care
products, baby care products, cleaning items to stationeries and other home needs. We
provide all easy payment options such as cash and card on delivery, sodexo vouchers,
debit card and credit card online payment through secured and trusted payment
gateway.
Quality guaranteed - Quality in product and service is paramount for YouMart.
Vegetables and fruits are handpicked for you and we guarantee quality and on-time
delivery every time. YouFarm is the in house division of YouMart and we carefully
procure and pack the best quality pulses, dals, rice, vegetables and fruits at regular
prices.
Working with a four-pronged approach:
Innovation
Customer satisfaction
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Open Door Policy - Managers' doors are open to employees at all levels.
Customer satisfaction - Capturing suggestions and ideas from the sales floor
and delivery front line.
Striving for excellence - Making eye contact, greeting, and offering help to
customers to whom we serve.
2.2.3 NATUREBASKET.COM
Godrej Natures Basket is the retail venture of Godrej Group and is today Indias
foremost retail destination for fine foods from across the world. Started in 2005 as a
single fresh food store, we have today morphed into a 32-store chain of premium
gourmet stores strategically located at high street locations in Mumbai, Delhi/NCR,
Pune, Hyderabad and Bangalore.
With the growing palate preference of the Indian consumers, we are ready to embrace
sophisticated and exotic tastes from around the world. Were travelling more than
ever before, and as we take a bigger place on the world stage, we want to explore
everything it has to offer.
So we bring you the very best in service, quality and of course, international cuisine
selection- a huge variety of delicious cheeses of all kinds from France and Italy, fresh
and spicy ingredients from Thailand, amazing handcrafted ham and salami from
Europe, oils and vinegars from the Mediterranean, most exotic and fresh organic
produce and a cellar that boasts of the worlds best collection of wine & beer. In
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Customised gifts and treats for all special occasions & festivals
Gift vouchers
In-store food consultants for advice on food tasting & pairing, wine tasting
and appreciation
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CHAPTER 3
3.1 REVIEW OF LITERATURE
"India is among the fastest-growing markets and has been identified as one of
the significant potential markets for the company,"
Muralikrishnan B., country manager at eBay's India explains that Indian consumers
toward buying high margin products such as clothes and shoes as is the trend among
eBay shoppers in the West rather than electronic gadgets and books, which are the
most popular choices now but command lower profit margins and are less frequent
purchases.
He depicted that India's nascent e-commerce market, which till recently was largely
limited to people buying train, flight and movie tickets, is in the middle of a surge as a
younger, tech-savvy middle class increasingly takes to shopping online in a country
seeing rapid growth in Internet usage.
Consulting firm Techno park predicts a $70-billion annual market by 2020, up from
$600 million now, which is just 0.05% of global online shopping. EBay itself
estimates India's online shopping market in 2012 will grow close to 100%.
E-commerce: A boon for the current economic downturn
First Data Corporation and ICICI Merchant Services, has laid down some facts that
ecommerce market in India had clocked close to Rs 55,000 cores by the end of 2014.
Even though there are less than 10 million internet users who are actually engaging in
ecommerce activities, there are about 150 million internet users in India or around 75
million households that are ready for e-commerce.
With entry and operational costs being comparatively low than the other countries like
US, the second half of 2011 and the beginning of the current calendar have seen the
launch of a good number of new e-commerce sites spanning across a variety of
businesses womens fashion, mens fashion, shoes, followed by accessories,
groceries, sports, toys, home furnishings, jewellery, automotive, bicycles, electronics
and electrical equipment etc.
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Chapter 1 : Introduction
Questionnaire
Bibliography.
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CHAPTER 4
DATA ANALYSIS AND INTERPRETATION
Table 4.1, Table showing the Age of the respondents
70
35%
25-30
22
11%
>30
108
54%
Total
200
100%
Analysis:
35% of the respondents are of the age group of 18 years and 24 years.
11% of the respondents are of the age group of 25 years and 30 years.
>30
108
25-30
22
18-24
70
0
20
40
60
80
100
120
Interpretation:
The above chart we can infer that most of respondents belong to age of above 30
years. And few of the respondents belong to the age group of 18 24 years. The
respondents who belongs to the age group of above 30 years.
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87
44%
Female
113
56%
Total
200
100%
Analysis:
From the above table we can analyze that 45% respondents are male
Chart 4.2, Chart showing the Gender of the Respondents (Gender ratio)
No of respondents
113
120
100
87
80
60
40
20
0
Male
Female
Interpretation:
From the above figure it can be infered that majority of the respondents are female
and few of them are male. This is because most of the grocery shopping is done by the
females. Even male respondents also actively doing online shopping.
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42
21%
Service
93
46%
Business
38
19%
House hold
27
14%
Total
200
100%
Analysis:
From the above table we can analyse that 46% of the respondents are in
service sector.
Student
Service
14%
Business
House hold
21%
19%
46%
Interpretation:
From the above chart it can be inferred that majority of the respondents are
from service sector and majority of the students respondents also doing online
shopping.
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200
100%
No
0%
TOTAL
200
100%
Analysis:
From the above table we can analyse that 100% of the respondents use
internet. Today it became common that every one has accessing to the internet
Chart 4.4, Chart showing whether the respondents use the internet or not.
250
200
200
150
No of
respondents
100
50
0
0
Yes
No
Interpretation:
The above chart shows all the respondents use internet who are educated which
shows that all the respondents have the highest degree of buying grocery online since
they have access to internet.
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117
58%
Office
75
38%
Any other
4%
200
100%
Total
Analysis:
From the above table we can analyse that 58% of the respondents have access
to internet at home
Chart 4.5, Chart showing where the respondents have access to the internet
No of respondents
140
120
117
100
75
80
60
40
20
0
Home
Office
Any other
Interpretation:
From the above chart we can infer that majority of the respondents have access to the
internet at home, and most of the respondents who are working they are accessing to
the internet from office, few of the respondents have access to the internet at college.
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No of respondents
Percentage
1-2 Times/day
42
21%
3-4 Times/day
70
35%
5-6Times/day
31
15%
Daily
57
29%
Total
200
100%
Analysis:
35% of the respondents said that they go online 3-4 times per day in a week.
21% of the respondents said that they go online 1-2 times per day in a week
15% of the respondents said that they go online 5-6 times per day in a week
Chart 4.6, Chart showing how many times per week do respondents go
online(email, internet, facebook)?
1-2 Times/day
3-4 Times/day
5-6Times/day
Daily
29%
15%
21%
35%
Interpretation:
From the above chart it can be inferred that majority of the respondents go online 3-4
times in a day, and few of the respondents go online 5-6 times in a day. And most of
the respondents uses facebook, email, internet on daily basis.
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200
100%
No
00
0%
Total
200
100%
Analysis:
100% of the respondents said that they have purchased products by online,
Chart 4.7, Chart showing whether the respondents have ever purchased
anything online or not
No of respondents
No
Yes
200
50
100
150
200
250
Interpretation:
From the above chart it can be inferred that majority of the respondents go far online
purchasing. All 200 respondents are shop online.
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Attributes
No of respondents
Percentage
Apparels
54
27%
Books
23
11%
Electronics
87
44%
Food
36
18%
Any other
0%
200
100%
Total
Analysis:
44% of the respondents said that they shop electronics items online.
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Any other
Food
36
Electronics
87
Books
23
Apparels
54
0
20
40
60
80
100
Interpretation:
The above chart depicts that electronics items has the highest number of transaction in
online shopping, and another important thing is most of the respondents buying the
food from online sellers. Apparels is the second most item sold in the online
shopping, which are more preferred by the female respondent, along with food items
etc.
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No of respondents
Percentage
Yes
144
72%
No
56
28%
Total
200
100%
Analysis:
The above table shows that 72% of the respondents have purchased groceries
online.
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No of respondents
No
56
Yes
144
20
40
60
80
100
120
140
160
Interpretation:
From the above chart we can infer that majority of the respondents have purchased
groceries online. In 200 respondents 144 respondents have purchased groceries
online, and few of the respondents never do their grocery shopping online.
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No of respondents
Percentage
Bigbasket.com
93
46%
ZopNow.com
49
Youmart.in
33
Naturebasket.com
25
13%
Others
00
0%
Total
200
100%
24%
17%
Analysis:
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Others 0
Naturebasket.com
25
Youmart.in
33
ZopNow.com
No of respondents
49
Bigbasket.com
93
0
20
40
60
80
100
Interpretation:
From the above chart we can infer that majority of the respondents purchases
groceries from bigbasket.com, where most of the respondents purchase the groceries
from Zopnow, youmart.com and few of them purchases from naturebasket.com.
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Period
No of
Percentage
respondents
Weekly
76
38%
Monthly
28
14%
40
20%
56
28%
200
100%
online
Total
Analysis:
38% of the respondent said that they shop groceries online weekly.
28% of the respondent said that they do not shop groceries online.
20% of the respondent said that they shop groceries online only in special
occasion.
14% of the respondent said that they shop groceries online monthly.
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80
76
70
56
60
50
40
40
28
30
Series1
20
10
0
Weekly
Monthly
Interpretation:
From the above chart we can infer that majority of the respondents shop groceries
weekly, out of 200 respondents 76 respondents does grocery shopping online and few
of the respondents shop groceries online in a month.
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Particulars
No of respondents
Percentage
500-1000
92
46%
1000-1500
64
32%
1500-2500
35
17%
3000& above
09
5%
Total
200
100%
Analysis:
46% of the respondents said that they spend monthly Rs 500-1000 on online
grocery shopping.
32% of the respondents said that they spend monthly Rs 1000-1500 on online
grocery shopping.
17% of the respondents said that they spend monthly Rs 1500-2500 on online
grocery shopping.
5% of the respondents said that they spend monthly more than 3000 Rs on
online grocery shopping.
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No of respondents
100
92
90
80
64
70
60
50
35
40
30
20
10
0
500-1000
1000-1500
1500-2500
3000& above
Interpretation:
The money spend in online shopping is ranging from INR 500-1000, which indicates
the users are willing to pay more price when there is premium quality products such
as electronics, branded apparels, good quality food etc. And majority of the
respondents spent more than 500 to 1000 Rs on online grocery shopping and few of
the respondents spent more than 3000 Rs on online grocery shopping.
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No of respondents
Percentage
Rs0
75
37%
Rs50-100
90
45%
Rs100-150
27
14%
Rs150& above
08
4%
Total
200
100%
Analysis:
45% of the respondents said that they are ready to pay Rs 50-100 delivery
charge.
37% of the respondents said that they dont pay any delivery charges.
14% of the respondents said that they ready to pay 100 to 150 Rs delivery
charge.
4% of the respondents said that they are ready to pay more than 150 Rs of
delivery charge
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Rs150& above
Rs100-150
27
Rs50-100
90
Rs0
75
0
20
40
60
80
100
Interpretation:
From the above chart we can infer that majority of the respondent ready to pay Rs
100-150 delivery charges, it shows that out of 200 respondents 90 respondents ready
to pay 100 and below 150 And 37% of the respondents dont want to pay any
delivery charges, and out of 200 respondents only 8 respondents ready to pay more
than 150 Rs delivery charges.
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No of respondents Percentage
Very likely
26
13%
Likely
34
17%
28
14%
Unlikely
105
52%
4%
200
100%
Very unlikely
Total
Analysis:
52% of the respondents said that they dont want to pay annual membership
fee.
17% of the respondents said that they are likely agree to pay annual
membership fee.
14% of the respondents said that they are neither likely nor unlikely agree to
pay annual membership fee.
13% of the respondents said that they are very likely agree to pay annual
membership fee.
4% of the respondents said that they are completely disagree to pay annual
membership fee.
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40
26
28
20
0
Very likely
Likely
Neither likely
nor unlikely
Unlikely
Very unlikely
Interpretation:
From the above chart it can be inferred that majority of the respondents are not agree
to pay annual membership fee, and only 13% of the total respondents very likely
agree to pay annual membership fee.
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No of respondents
Percentage
None
37
18%
1000
89
44%
1500
43
22%
31
16%
Total
200
100%
Analysis:
44% of the respondents said that they are ready to pay 1000Rs annual
membership fee
22% of the respondents said that they are ready to pay 1500Rs annual
membership fee
18% of the respondents said that they are not ready to pay any annual
membership fee
16% of the respondents said that they are ready to pay above 2000Rs annual
membership fee
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No of respondents
31
1500
43
1000
89
None
37
0
20
40
60
80
100
Interpretation:
The above chart depicts that the majority of the respondent agree to pay Rs 1000 for
annual membership fee, and few of the respondents agree to pay more than 2000 Rs
for annual membership fee for online grocery shopping.
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Saving time
114
65
21
Better prices
68
81
23
28
Easy to order
54
86
57
Product
98
85
17
variety
Analysis:
The above graph depicts that user respondent think that online shopping will
be beneficial as it will save their time to shop for grocery items.
The next relating aspect why consumer will shop grocery online as it is very
easy to order any product, allow the user to avoid long queues resulting in
reduction in time spent in shopping.
The other factors why online grocery shopping will be beneficial as it will
allow the user to shop all the grocery at a particular place with discounts and
offers.
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Saving time
150
114
100
65
50
21
0
0
1
Interpretation:
The above graph depicts that user respondent think that online shopping will be
beneficial as it will save their time to shop for grocery items
57% of the respondent saving time is very important and of the 11% of the thinking
saving time is not so important
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Better prices
100
80
81
68
60
40
23
28
20
0
1
Interpretation:
The above chart depicts that majority of the respondents said that price are likely
important for shopping online, out of 200 respondents 81 respondents said better
prices are likely important.
Chart 4.16.3, Chart shows how easy to order feature is important factors
relative to the respondent for the consideration of Purchasing groceries online
instead of going to the store
2%
Easy to order
0%
27%
28%
1
2
3
43%
4
5
Interpretation:
From the above it can be inferred that 28% of the respondents said that easy to order
feature neither important nor important, and majority that is 43% of the respondents
said easy to order feature is likely important.
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Product variety
120
100
98
85
80
60
40
17
20
0
1
Interpretation:
The other factors why online grocery shopping will be beneficial as it will
allow the user to shop all the grocery at a particular place with discounts and
offers. 98 respondents are said that having product variety is very important.
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No of respondents
Percentage
51
25%
Ration shop
4%
Sabzimandi
97
49%
Supermarket
43
22%
Total
200
100%
Analysis:
49% of the respondents said that they do their grocery shopping in subzimandi
25% of the respondents said that they do their grocery shopping in local kirana
stores.
22% of the respondents said that they do their grocery shopping in super
markets.
4% of the respondents said that they do their grocery shopping in ration shops.
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No of respondents
Supermarket
43
Sabzimandi
97
Ration shop
51
0
20
40
60
80
100
120
Interpretation:
From the above graph we can determine that user choose subzimandi and local
kirana stores for shopping grocery items as they are proximate to their home.
The above graph depicts that, when it comes to price factor people prefer to
shop from supermarket and ration shop as these shopping centres offers
grocery items at wholesale prices.
User prefers to shop from supermarket when it comes to the quality of the
product.
User prefer supermarket to shop grocery items as they offer more discounts &
offers compared to the other shopping centres.
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Attributes
No of respondents
Percentage
71
35%
29
14%
21
11%
79
40%
any others
00
0%
200
100%
Total
Analysis:
45% of the respondents said that they do their online grocery shopping when
they do not have time to find things in different market.
35% of the respondents said that they do their online grocery shopping when
they need home delivery.
14% of the respondents said that they do their online grocery shopping when
they want something unique.
11% of the respondents said that they do their online grocery shopping when
they need to compare prices.
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0%
35%
40%
11%
14%
Interpretation:
From the above we can depict the factor which motivates the respondent to shop
online is when they need home delivery.
The other factor which motivates to shop online when they compare prices of
different products at a same place.
The above graph also determines that people shop online when they dont have the
time to find things in the market for the product to be purchased.
Also respondent shop online when they want some unique & special product which
they cannot find in the offline market.
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Attributes
No of respondents
Percentage
14
7%
Discounts offered
54
27%
Advertisement
30
15%
Variety
102
51%
Others
00
0%
Total
200
100%
Analysis:
51% of the respondents said that variety feature attracted them to shop grocery
through online.
27% of the respondent said that discount offered feature attracted them to
shop grocery by online.
15% of the respondents said that advertisement attract them to shop online.
7% of the respondents said that design of the website attract them to shop
groceries online.
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No of respondents
Others
Variety
102
Advertisement
30
Discounts offered
54
14
0
20
40
60
80
100
120
Interpretation:
From the above diagram we can determine that people prefer online shopping
when discounts offers are offered to them.
The other factor that motivates the majority of respondents to shop online is
when the product they purchase is of value of money.
Also the design of website along with the different advertisement promotion
motivates the user to shop online
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No of respondents Percentage
No guarantee
38
19%
13
6%
Security issue
117
59%
Physical examination
32
16%
Total
200
100%
Analysis:
59% of the respondents are having security issue in online grocery shopping
6% of the respondents are having clutter of the website issue in online grocery
shopping.
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No of respondents
140
117
120
100
80
60
38
40
32
13
20
0
Security issue
Physical
examination
Interpretation:
The above data determines the user to shop online is the security issue, which consists
of issues like phishing, hacking of accounts etc.
The other factor which demotivates the respondents is physical examination that is the
tangibility of the product is the important issue when it comes to online shopping, and
few of the respondents have clutter of the website.
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No of respondents
Percentage
yes
138
69%
No
62
31%
Total
200
100%
Analysis:
31% of the respondents said that buying groceries online is not beneficial.
Chart 4.21 Chart showing do the respondents think buying groceries online is
beneficial
No of respondents
No
No, 62
yes
yes, 138
50
100
150
Interpretation:
The above chart depicts that most of the respondent think that buying grocery is
beneficial,
The remaining respondent thinks that online grocery shopping will be not beneficial
due the factors like forgery products, highly priced products and no guarantee of the
product.
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Attributes
No of respondents Percentage
Easy to order
32
16%
73
36%
34
17%
Saves Time
23
12%
38
19%
Any other
00
0%
Total
200
100%
Analysis:
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No of respondents
Any other
38
Saves Time
23
34
73
Easy to order
32
0
20
40
60
80
Interpretation:
The above chart depicts that user respondent think that online shopping will be
beneficial as it will save their time to shop for grocery items.
The next relating aspect why consumer will shop grocery online as it will allow the
user to avoid long queues resulting in reduction in time spent in shopping.
The other factors why online grocery shopping will be beneficial as it will allow the
user to shop all the grocery at a particular place with discounts and offers.
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Attributes
No of respondents Percentage
Bigbasket.com
89
44%
ZopNow.com
58
29%
Youmart.in
27
13%
Localkiranastore.com
07
4%
Naturebasket.com
19
10%
Any other
00
0%
Total
200
100%
Analysis:
44% of the respondents said that bigbasket.com is favorite website for online
grocery shopping.
29% of the respondents said that zopnow.com is favorite website for online
grocery shopping
13% of the respondents said that youmart.in is favorite website for online
grocery shopping.
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100
90
80
70
60
50
40
30
20
10
0
89
58
27
19
7
No of respondents
0
Interpretation:
The above chart depicts that majority of the respondents favorite website is
Bigbaket.cm, out of 200 respondents 89 respondents purchases groceries from
Bigbasket.com, and most of the respondents purchases from Zpnow.com, but out of
200 only 7 respondents purchases from the naturebasket.com
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No of respondents Percentage
Online shopping
142
71%
Offline shopping 58
29%
Total
100%
200
Analysis:
71% of the respondents are said that buying groceries online is beneficial than
buying in stores.
29% of the respondents are said buying groceries online is not beneficial.
Chart 4.24, Chart showing according to the respondents which is the easier way
to make shopping
No of respondents
Offline shopping
58
Online shopping
142
50
100
150
Interpretation:
From the above chart we can infer that majority of the respondents are thinking that
buying groceries online is beneficial than buying in regular stores or in offline. Out
200 respondents 142 respondents feeling that shopping groceries through online is
easier.
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CHAPTER 5
5.1 FINDIGS:
In the survey, interviews and study conducted above, I came across many factors that
are as fallows.
54% of the shoppers who does online shopping are the age above 30 years,
and 35% of the youth between the ages of 18 to 24 years.
The number of Female respondents was more that is 56% as compared to the
male respondents that was only 44%. It shows that most of the grocery
shopping is done by the females.
The survey indicates that majority of the was from the service sector that is
46% of the total respondents.
The survey indicates that 100% of the respondents uses internet for email,
shopping, facebook etc.
From the survey it was came to know that most of the respondents have
access to the internet from home that is 58% as compare to having access to
the internet at office that is only 38% of the total respondents.
From the data collected above it can observed that 100% of the respondents
does online shopping.
The survey indicates that majority of the respondents buys electronics items
by online as compare to apparel.
72% of the respondents does online grocery shopping and 28% of the
respondents never do online grocery shopping.
The study reveals that 38% of the respondents does online grocery shopping
weekly.
Majority of customers prefer subzimandi and local kirana stores for grocery
shopping.
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Giving offers and discounts have more effect on consumer buying decisions.
online.
The data also determines the factors which will be beneficial for the consumer
to shop grocery online which are variety at one shop, saves times and avoid
long queues.
From the above data collection we can determine most of respondent agree to
buy grocery online if the option is given.
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Various schemes and festival offers, cash discounts on bulk purchase can be
provided to attract new customers.
In order to increase the productivity of the site, the firm should offer special
discounts with respect to seasons like Diwali, Ganpati, Holi etc, also special
packages should be created as monthly ration.
Instead of going the regular eCommerce way of Grocery shopping, the firm
should start up by bringing existing retailers online.
For the purchase of the grocery item user can choose their nearby Kirana
Store from the listed stores along with a convenient time of the delivery.
The local store would be informed about the order and it would be delivered to
the address at the time mentioned with the payment of cash only on delivery.
Convenience and time saving are the main reason to shop groceries online.
Therefore Business to Consumers (B2C) sites should be designed in such a
way that consumers spend less time in finding information they are looking for
as delays in searching or loading a web page might turn the consumers to other
sites which have faster download and display times.
The key to selling to a customer which cannot be seen is to get the customer to
trust the website with which they have electronic transactions.
Most of the Indians still like to see the product before buying; efforts should
be made to change this mindset of the people by making them aware of the
benefits of online grocery shopping.
Vendors should educate the customers about e-commerce like educating them
on safety tips like reading the item description, looking for a sellers feedback
score and asking questions, detecting spoof mails and informing them about
the new online crimes which happen regularly.
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From the above data analysis it can be conclude that consumer buys goods
from the online shopping website on the basis of factors like offers and
discounts, variety of product available, free home delivery, website user
friendliness and cash of delivery payment option.
The hypothesis framed for the project Consumer Perception towards Online
Grocery Shopping was Online grocery shopping stores are beneficial for the
consumer.
From the above data analysis it can be determined that most of the respondent
would agree to buy grocery online rather than shopping of grocery with the
traditional method.
Out of the agreed respondent to buy online grocery, most of the respondent
would think that it would be beneficial to shop grocery online on the basis of
factors like easy to order, variety, discounts/ offers, saves time and avoid long
queues.
The recommended business operation will not only beneficial for the
consumer but also to the firm, as it allows the firm to maintain its low
operating expenses and for the consumer
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BIBLIOGRAPHY
BOOKS:
Schiffman Leon.Gand Leslie Lazar Kanuk; Consumer Behavior; Pearson Education;
7th edition;2002,
Levy Michael;Retailing Management;Tata McGraw-Hill, New Delhi,5th edition;2004,
Marketing Managemen by Philip Kotler, Kothari.C.R;Research Methodology;New
Age International(P) Ltd. New Delhi,2nd edition;2009
Websites:
http://www.wikipedia.com
http://www.researchindia.com
http://www.slideshare.net/jas.bhatia/reliancefresh
http://www.vccircle.com/500/news/grocery-e-tailing-start-ups-a-dime-adozen-butinvestors-wary
http://www.firstpost.com/tech/indias-e-commerce-market-to-touch-260-bnby-2025report-255350.html
http://www.emeraldinsight.com/doi/abs/10.1108/09590550010306737
http://www.emeraldinsight.com/doi/abs/10.1108/09590550210423681
http://www.sciencedirect.com/science/article/pii/S026840120400091X
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ANNEXURE
QUESTIONNAIRE
I, Ramesh d. student of IVth sem MBA, bearing Reg.No 131GCMA115 from RVIM,
is carrying out dissertation titled A STUDY ON CUSTOMER PREFERENCES
TOWARDS ONLINE GROCERY SHOPPING IN BANGALORE CITY.
Therefore I request you to fill the fallowing questionnaire. The information provided
by you will be only used for the academic purpose and will be kept confidential.
1) Name:..
2) Gender:- Male
Female
3) Email-
4) Age:-A). 18-24
B). 25-30
hold
C). Business
B). Service
D). House
B). No
A). Home
B). Office
Q3. How many times per week do you go online (email, internet, facebook)?
D). Daily
B). No
B). Electronics
C). Food
D). Books
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A). Yes
B). No
D). Naturebasket.com
B). ZopNow.com
C).Youmart.in
A). Weekly
C). Monthly
Q10. How likely would you be to buy groceries online and have them delivered
if
Very
Likely
Q11. What is the maximum delivery fee you would be able to pay?
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A). Rs0
B). Rs50-100
C). Rs100-150
Q12. How likely would you be to buy groceries online and have them delivered if
there
were an annual membership fee but not
delivery charge?
B). Likely
D). Unlikely
Q13. What is the maximum membership fee you would be willing to pay?
A). None
B). 1000
C).1500
Q14. How important are each of the following factors relative to your
consideration of
Purchasing groceries online instead og going to the store?
Very
Import
ant
Somewhat Neither
Important Important
nor
Unimportant
Somewhat
Very
Unimportant Unimportant
Saving time
Better prices
Easy to navigate
Product variety
Q15. Where do you shop for grocery items if not in online?
A). Local Kirana stores
D). Supermarkets
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C). Variety
A). No guarantee
Very
important
Somewhat
important
Not
important
Design
User friendly
Adequate search option
Product assortments
Payment options
Cash on delivery
Net banking
Debit/ Credit Cards
Product Options
Offers & Discounts
Free Shipping
Security
Id & password
Order
confirmation
screen
Delivery
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B). No
offers
F). Any
other____________
Q22. Which is your favourite online grocery shopping website?
A).
Bigbasket.co
E). Naturebasket.com
B).
D). Localkiranastore.com
ZopNow.com
C).
Youmart.in
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