Majorly the responses from all the three focus groups were coherent with slight change. Brand Awareness: Shopping on internet is very easy if the brand or company from which is the shopping is being done is a well known brand. To answer your questions, How can we changed the customers mind moving them from local grocery purchasing method to online grocery method? However, food and beverage firms need to be aware that some parts of the market are migrating more rapidly to digital than others. Looking for a flexible role? The customers are also analyzed to know the personality traits so that the company can target the appropriate audience. That compares unfavorably to the 18.9% of apparel and 10% of homewares spend made digitally. People are living in this virtual world through social networking websites and not even people but several companies have a… But several things which need attention are: The brand name of the online website should be relevant to the corporate name “Miou Co. Ltd.” as it will develop credibility. Conclusion. It is a growing part of retail. Are your products visible when consumers are searching? In fact the customers should also verify whether the product being sent by the company is same as described in the website else they will end up paying higher cost for a local material made product. Present era is an era of globalization where the world is considered to be flat. These are the benefits for the businessmen who start their own online shopping portal (Hinton, 2004). Company should also come up with several offers which will benefit the end customers and thus de-motivate them to go other grocery stores. The market research is conducted to understand the customer buying behavior and their decision making patterns while shopping on internet. This research aims to analyze the customer buying pattern as well as their perceptions towards online shopping and specifically online grocery shopping. The conventional ways of getting your grocery needs are becoming obsolete and the advantages of getting them online far outweigh any opinion to the contrary. While online shopping has attracted an abundance of research interest, examinations of online grocery shopping behaviour are only now emerging. Online shopping is the process consumers go through to purchase products or Services over the Internet. Online shopping is most convenient for individuals that don’t have time to go to the store. It also means that food and grocery brands urgently need to understand the motivations of digital consumers so that they can evolve their brands and propositions accordingly. According to Orian Research, the global online grocery market would grow with a CAGR of 23.7 % in the period of 2020- 2025. This market research will clear all the confusions from top managements regarding the feasibility as well as profitability of the online grocery shopping portal. The online shopping system presents an online display of an order cut off time and an associated delivery window for items selected by the customer. Conclusion: In general, the collected primary data allowed us to answer the research question addressed for this master thesis. From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs. One more research suggests that the grocery ecommerce business will be expected to reach $250 Billion within the next five years. Through internet a person can have its presence at any corer of the world. Apart from the convenience and comparison of prices instantly the major advantage of online shopping is home delivery. Online shopping has become an increasingly common staple of life in the 21st century. Everyone is busy nowadays with their work and responsibilities and this sure helps in solving a big-time problem. Despite ‘good old fashioned grocery store shopping’ having a huge advantage of cultural inertia, it turns out that in general, having meal kits delivered and cooking them at home is a clear winner both in terms of actual cost and in the amount of time spent. Consumers are generally comfortable buying these items online as they know what they will get. Shopping will be highly personalized and the mall will provide lower prices than most competitors. Online grocery shopping may have unique foods or equipment that your local grocery store doesn’t have. *You can also browse our support articles here >. Packaging design is also a more of a driver of purchase in the store than it is online. This helped in gathering the information about the customer perception, characteristics, advantages and disadvantages of online shopping and the points which acts as an obstacle to online shopping. While the market share of online food and groceries shoppingis low, more people have started going online and trying out a time-saving, zero-labor way of grocery shopping. Thus customers are highly dependent upon the reviews of the customers who are using that product. 1. When it comes to what type of products consumers are buying, staple pantry products – rice, canned goods and the like – top the list. This can keep you updated on all the best upcoming sales. The major benefit is that respondents don’t have to visit physically for buying even a single item as well as they can devote saved time to do other beneficial activities. Method of payment is another risk by itself. Sixth is no need to waiting in lines. Grocery shopping is a routine task; it is generated from need, and not desire, or luxury for that matter. Respondents are unsure whether they should respond honestly or they should say whatever moderator wants to hear. In this research, this ethical issue is handled by telephonic focus group discussion. Findings are as follows: Almost all the respondents were comfortable with online shopping format because of high internet penetration. May be the product can be successfully catered to the customers through online but the buying pattern of the customers would not allow them to buy these products online. We have been successful in our attempt to take care of the needs of both the customers as well as the administrator. It is easy to be lured by hype that will not deliver results. Shopping online is about to explode. It is popularity can be credited to the fact that convenience highly valued in our world today. Last year, some 23.4% of all consumers who shopped for food tried an online service. start your grocery shopping from Bigbasket. These interviews are generally carried out at the home of interviewee to get natural surroundings for unbiased opinions. The market research findings suggest to Miou Co. Ltd. that it should open an online shopping website. He also works with clients to help them understand the retail, shopper and market landscape. The top reason for not ordering via voice is that the products cannot be seen. The major factors while choosing online shopping website is brand name, reviews and quality of product and security. Online shopping is the process whereby consumers directly buy goods or services from a seller in real-time, without an intermediary service, over the Internet. Coupon codes—like the ones you can get from coupon code sites —are also extremely popular when shopping online. They revealed that it is fairly important to go for e-shopping. What level of security should be present in the online shopping websites? data is gathered directly from the customers (Leedy & Ormrod, 2005). JD.com, China’s largest online retailer, has seen sales of common household staples quadruple over the same period last year. Quality and hard to find items are found easily on the internet and when shopping the traditional way. An online shopping aims at making shopping … Online grocery shopping market share As far as online retail goes, food and grocery is one of the less developed sectors, with a relatively meager 5.5% of all spending being made online. Overhead cost which consists of electricity, maintenance and staff salary is very high of the traditional stores whereas it is very less in the case of online shopping portals. Major advantages and disadvantages related to online shopping? Food and beverage firms should be aware of this and ensure that they direct investments accordingly. This company is aiming to open an online grocery shopping website so that customer can also shop through their website. Neil is a founding partner of Prasentia, a firm that works with clients to help them communicate more effectively. The major points which emerged are as follows: In Australia, majority of the population has awareness about the internet and hence they are aware of using internet for shopping. Thus users should be made aware of these security standards and also all the online shopping websites should strictly follow all the security measures in order to maximize customer wallet share. The Good Samaritan Thus we come to the conclusion that Big Basket has taken a vow to take out all the drudgery from shopping, it has also promised itself to provide all its customers with as many discounts and offers as it possibly can so that in these days of rising prices its customers find some financial relief. Online shopping. With online grocery shopping, you would automatically cut out all these irrelevant expenses from your budget. Depending upon the analysis, marketing implications are carved which will help the top management in designing the marketing campaigns for success of online grocery shopping website. Also the touch and feel factor is missing in this case. It is a growing part of retail. These gateways provide secure form of transaction of money from one account to another. The internet has made online grocery shopping practically easy and fun. Thus internet penetration and internet usage is also a known and crucial factor in deciding the fate of online shopping portal. Oftentimes, you can buy the same products online as available in a brick-and-mortar store and can sometimes score better sales. III. Online shopping has become a popular shopping method ever since the internet has declared a takeover. The customers across age-groups have different opinions in terms of their traits for buying online, but indicate one straight forward trait that they are happy to have an online shopping experience as it has many advantages over offline shopping. If you are a shopper who writes out a grocery list and sticks to it, online shopping may be more expensive for you. Online grocery shopping has enjoyed strong growth and it is predicted this channel will continue to grow exponentially in the coming years. Same is the case with the Miou Co. Ltd. which is a national supermarket chain in Australia. However, this basket size is smaller than for general online ordering, mostly because many committed online shoppers do bulk shops to obtain free delivery or to make the delivery charges worthwhile. This blog is dedicated to giving you up-to-date information, analysis, news, market trends and everything about the world of grocery … Marketing efforts need to be directed to achieve this. There are many cases where the online shopping websites are fraud and thus customers end up losing their money. They want to save time wherever it is possible. There are certain more factors which need to be thoroughly checked to analyze and conclude whether it is necessary for the company to have their own online shopping portal. However, the significant point is that digital grocery is becoming more accessible and increasing numbers of consumers are willing to give it a go. Some of the major parameters which have been considered as crucial for the success of the online shopping portals are discussed in detail as follows (Loken, Kim & Monga, 2006): Customer Buying Behavior: This is the most important and impactful parameter which is part of the decision of opening of an online shopping portal as end customers are the persons who will earn the business and revenues. (Kalakota and Whinston 1997) The global market for online grocery retailing remains at a relatively early stage of development in many parts of the world. The number of people grocery shopping less than five minutes from their home has more than doubled over the last 20 years, increasing from 17% in 1980 to 42% in 2006. It never happens that any customer will use internet just for shopping. Online grocery shopping allows you to choose exactly what you want without having to put up with any pressure or breach of privacy. Get to know about the top 10 online shopping statistics for 2021 and how they affect you and your business. Major Players of the Grocery Industry. Here are some benefits of opting to buy your foodstuffs on the internet: Comfortability. The focus group is a group discussion conducted among a group of 15-25 people who represents the target segment of the company (Deaux, 2002). So, E-Shopping is a boon as it saves lot of time. An online grocery store definitely has good potential. b. Why is this number so low? These are the major categories which have huge number of customers on internet also (Piercy, 2006). 1st focus group discussion happened between people from age 18-25 years, 2nd happened between 26-40 years and 3rd discussion happened with people above age of 40 years. Want to remove all the limitation 6.2 Conclusion ; After having detail studyon online shopping,We can see a great change in the behavior of people in many mananers like … As far as online retail goes, food and grocery is one of the less developed sectors, with a relatively meager 5.5% of all spending being made online. This decision is based majorly on comparing the prices as well as reviews. This will help in developing literature review of the presented topic. The era of globalization has come into existence largely because of the internet boom and internet is considered to be the fastest way of communication. The marketing campaigns should focus on the benefits like 100% secure transaction and fastest way of purchasing grocery while doing other activities. Any opinions, findings, conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of UKEssays.com. Online Shopping continues to grow, and it seems like it won’t be slowing down anytime soon. Psychographics: The Psychographics is the study of the characteristics of the personality, traits, values and lifestyle of the customers. To analyze Customer buying behavior when they turn internet shopper. It is an online store that … Internet is not only used to spread awareness about the products but now it is also explicitly used for shopping. The major influencer for online shopping is lifestyle and the choice of product is very high in online shopping format. Price-comparison websites make deal hunting easier and you can find the online stores with the best reputations by reading reviews submitted by other shoppers. The buying pattern is highly important to be analyzed properly and without bias so that the feasibility of the portal can be calculated. The major chunk of the money invested in opening a traditional offline shop is invested in acquiring land and developing of shop and its interior design. To be successful and to make money from the online grocery business, you must be capable of delivering items to hundreds of homes in your neighborhood. The research work being conducted was driven very carefully but then also there are certain limitations which are as follows: The sample size for the interview and focus group was less and thus the sampling population cannot be attributed as complete target segment characteristics (Linville, 2007). Although product and service quality were considered to be very important for consumers who are planning to try online grocery channel, the ease of using the website was also a determinant factor. 1. Internet usage frequency: For the success of online shopping portals, the customers should have high internet usage frequency (Miles and Huberman, 1994). The major area which is being focused by Psychographics is interests, activities and opinions and these parameters help in analyzing the lifestyle and values of the customers. Majority of the respondents would prefer to shop online grocery to save their time but they will prefer shopping only from established corporate names as it helps in building credibility. Registered Data Controller No: Z1821391. Admittedly, many of these people only used online once or twice or used it for only a few specific items. This, along with increased consumer demand, will spur the market to higher growth. It also presents the marketing implications for the company when it opts for opening an online shopping website. From crowds that … The research is being conducted for the company Miou Co. Ltd. which is national supermarket chain. To match with the changing patterns of buyers, Miou Co is planning to open an online shopping website for its grocery products. That means buying is often most conveniently done through stores. So what are you waiting for? Online shopping is considered to be inevitable for the companies which directly deal with customers for their daily needs. In ecommerce, convenience is a byproduct of the user experience you create. Experts say this is an “inflection point” for the online grocery shopping trend, and Amazon is likely to be the biggest beneficiary. Thus the majority of the online shopping websites have secured network line and even certified SSL lines provided by different gateways. It is very rare to find any conventional retail stores that are open 24/7. To export a reference to this article please select a referencing stye below: If you are the original writer of this essay and no longer wish to have your work published on UKEssays.com then please: Our academic writing and marking services can help you! Neil Saunders is a retail analyst and consultant. Marketing There are a number of factors. Research Objective: The research objective sets a path for the research conduct and this objective helps in clarification about the core reason which needs to be brought out by this research. Almost all mainstream grocers, and players like Walmart and Target, are now busily developing online grocery services so that they can remain competitive. Thus these benefits and advantages acts as motivational tools for encouraging online shopping business. This has huge cost implication and even if a store has a chain of stores then also the owner cannot think of opening more than 100 stores simultaneously. Internet boom has presented shoppers a new address and companies one more point of contact through online shopping. An online shopping portal can be accessed from any place wherever internet penetration is available. Online shopping can curb impulse shopping, and browser plug-ins like Rakuten help you get cash back when you shop. This report presents the market research of buying patterns and consumer traits of customers with respect to online grocery shopping. Oftentimes, you can buy the same products online as available in a brick-and-mortar store and can sometimes score better sales. Our academic experts are ready and waiting to assist with any writing project you may have. Whereas in case of online shopping portal, this expense is compensated with few dollars spent on buying a domain name (Lawrence, 2005). We are not talking about planning a vacation or dining in a fancy, posh restaurant; we are talking about something that needs to be done on a routine basis. To attract customers to shop online, e-tailers and marketers offer discounts to the customers. However, for the moment it remains a niche channel. Many consumers still lack confidence in buying these things online, which represents both a challenge and an opportunity for online grocers. Online shopping is thus considered as a very profitable option by the companies which have presence as brick and mortar stores across any region. Usually credit cards are the preferred method but sometime you can use PayPal. The reality, however, suggests otherwise. The majority of the categories for online shopping are electronic items and fashion as well as clothing products. You can view samples of our professional work here. In this era of modernization, it is becoming very difficult for the grocery shops to sustain without having an online shopping portal. 1) There is convince having the ability to shop from home. The era of globalization has come into existence largely because of the internet boom and internet is considered to be the fastest way of communication. Looking at the online grocery market in aggregate is useful; however, there are a lot of nuances that sit behind the headline figure. This is not an example of the work produced by our Essay Writing Service. The market research tools being employed in this report is focused group discussion and depth interviews to know the customer characteristics as well as buying behavior. The way in which people shop for groceries differs between online and in stores. Analysis of the responses of the primary research conducted helps in deriving on any solution as well as it helps in providing the recommendations to the Miou Co. Ltd. for retaining and acquiring new customers as well as marketing implications. In developing countries like Bangladesh, India, Pakistan, Thailand, Philippines and many under developed countries, the penetration of internet is very less (Ridgeway & Johnson, 2000). As a direct result of retail and e-commerce combining efficiently, online retailers grew in popularity all around the world. The cost of land comes in millions if the shop has to make presence at many locations in a country. Thus one of the national supermarket chains in South Korea came up with an idea of selling grocery products on the go to the customers through mobile application. In-Depth Interviews in this research was conducted over 15 respondents by going in their home and taking almost 1.5 hrs to complete. Almost everyone has an opinion that they will opt to buy only packaged products from online grocery store because they don’t want to stay in billing queues and want to spend their time in other recreational activities. This is a new form of discussion where it is not necessary that respondent is present physically thus it helps in unbiased opinion flow in the discussion. It is a form of electronic commerce. None of this should be taken as an indication that voice shopping will not grow or that it won’t someday be important. I. Online shopping has increased and changed the way people shop. Consequently if a company whether new or established is able to show case its products and services through clear a outline and its online activities advertise the services offered and products offered through their online service then there … The availability of online stores give you the freedom to shop at your own pace and convenience. The moderator and interviewer are the only persons responsible for the data quality as well as unbiased opinions. Online shopping websites have seen an exponential growth and there are many companies in this sector which don’t have any brick and mortar shops but exclusive presence on internet. This project is an attempt to provide the advantages of online shopping … He should provide the analysis of the interview rather than giving raw information which was carefully handled in this research. Whereas in the case of traditional shops it is highly difficult for the owner to open shop at every city in the country. If you’re busy with an online job or online classes then online shopping can sometimes be more convenient. Online Grocery & Food Shopping Statistics. In the focused group discussion, there is a moderator who presents the questions which needs to be discussed in focus group. have the choice to shop online or make purchases in the traditional manner. 4 min read. I. Online shopping has increased and changed the way people shop. Convenience, price and quality. People are living in this virtual world through social networking websites and not even people but several companies have also made their presence in the virtual world utilizing the internet boom (Cohen, Manion & Morrison, 2007). The top retailers of grocery … If you are an impulse buyer and have trouble sticking to your grocery list, or if you struggle to get to the store because of your busy schedule or mobility, online grocery shopping … They also have confidence that the products transport well. Although many might argue that shopping online is inherently more convenient than shopping at a retail location, there are still some really bad ecommerce sites out there. Price plays a major role in buying decision making. All work is written to order. Online shopping stores are open round the clock of 24/7, 7 days a week and 365 days. This propensity is rises because of several reasons which can be: Customer want to compare and check about the product at several different place and then he makes his buying decision after choosing from several other alternatives which are present. Finally, grocery retailers have been slower at developing online services than many of their counterparts in other sectors. The research is conducted as primary research and the data gathering tools employed is focus group discussions as well as in-depth interviews. This gives huge benefits and freedom to online shopping stores as they a customer is free to purchase anything around the clock. What are major advantages as well as disadvantages of using online shopping website? This report will include the analysis of customer buying behavior and also analysis of the target segment. Thus from the above example it can be clearly attributed that there are several other factors which needs to be observed while deciding on the parameters which are very crucial for the success of the online shopping portal. Research Problem: The research is being conducted for Miou Co. Ltd. to understand the marketing implications of opening of online shopping website. What’s more is that many shoppers find online food shopping more difficult than walking around a shop and putting things in a cart. Thus there may be chances that the inferred information might be wrong or biased as per opinion of researcher. Why is … And many believe grocery delivery is the future of grocery shopping. Retailers of all types are expanding product offerings, adding in-store pickup, free shipping and experimenting with social media. It can be very effective for the working mothers since they can do all of their shopping easily, they can do it at any place. The good news is that online shopping platform eliminates all of these little traps. These are some of the major parameters which help in deciding the success of online shopping portals and thus marketing managers should consider analyzing all the above parameters very carefully while developing online shopping portals. For shopping online, they just need to choose the article they want and pay online, and then shopping is finished. This increases the profit margin of the online shopping portals several folds when compared to the traditional stores and also the breakeven is reached at faster rate. These are some of the major benefits which are reaped while starting an online shopping portal as compared to starting of traditional shops. Comparison sites like Google Shopping show a wide range of products and prices before you make a final decision so you can make the most of your budget. Grocery shopping, while a necessity, has become one of the most anxiety-inducing activities in our daily pandemic-filled lives. Let us know using the comments section – what are the extra benefits of online grocery shopping or grocery shopping online on a budget in comparison to purchasing grocery from a traditional grocery store? There are many individuals that are looking for other amazing alternatives shopping and online shipping is just the fix for that. It is popularity can be credited to the fact that convenience highly valued in our world today. This project is an attempt to provide the advantages of online shopping to customers of a real shop. Over the next five or so years, all of these categories will see online sales grow. Also on the agenda is designing an online shopping site to manage the items in the shop and also help customers purchase them online without having to visit the shop physically.Our online shopping mall will use the internet as the sole method for selling goods to its consumers. Online shopping is the process whereby consumers directly buy goods or services from a seller in real-time, without an intermediary service, over the Internet. Decision is based on the primary research ( focused group and in-depth interviews in this,! Been successful in our world today of homewares spend made digitally mind moving them from local grocery method. Is brand name, reviews and quality of merchandise, who, and there is! This information is much more in this research was conducted through telephone ( Kollock 2004! 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