Market Research Project - Caddyhome

According to MarketLine, the world online retail market expanded by almost 18% in 2010 and is predicted to reach close to $435 billion in sales. The market is expected to reach a 90% growth by 2015 and exceed $827 billion in sales. Listed in an article “Ecommerce Growth Statistics”, the average amount spent by each consumer is expected to rise from $1,207 per year to $1,738 per person by 2016. That is a significant increase. That shows that people prefer to shop online than going to the actual store in today’s society. Shoppers will spend on an average of $327 billion online shopping in 2016, which is about 45% from $226 billion in 2012. It is very evident that consumers will drive ecommerce into the future; especially e-retail. In just a few years, purchases online will be more profitable than ever, with others products and services available to purchase such as mobile and social allowing consumers to shop to their convenience. For retailers and

the position of market leader in this segment, dominating it by its organization, knowledge of the market and superior business model, focused specifically on online retailing. It is possible, however, that its competitors will invest heavily in the online segment and catch up with the market leader. Furthermore, such trends as slow food and ecological concerns may impact on the company's businesses model. They are particularly strong among the urban, well educated and affluent customers. It is dangerous because they are biggest spenders as well as enthusiastic users of internet and possibilities offered by it. Loosing them may disproportionately hurt company's profits and its market position.

Lately, there have been issues of brand management on the internet. The new digital tools require a lot of adjustments at the executional stage. According to Chaffey (2000) Internet marketing success depends on the sites interactivity features. Also added that a brand’s presence online should be conceived in a way that is sympathetic to the technology and the environment. Many brands fail in the execution of different features resulting in customers’ needs and expectations not being met says Hewson and Coles (2001) The consumer still looks up to the luxury brands although the bond is presently being evolved beyond the existing “top-down” model. (Okonkowo, 2009) The percentage of online shoppers and the sales of luxury brands have been on a positive growth. In spite of the growth, it’s not clear that what drives the consumers to shop online and whether they would be interested in shopping if attractive online stores were introduced. Therefore, what factors affect consumers to shop online will be examined here. A framework is necessary to develop the complex system and determine these factors, influences and buying behaviors of the consumer. (Perea, 2004) Affluent consumers use the internet as their powerful source of information about the luxury products and it is necessary that they have an online presence.

Develop 95% confidence intervals for the proportion of subscribers who have broadband access at home and proportion of subscribers who have children.

Online purchasing is becoming more and more practical thing for contemporary customer. It is explained by high internet penetration in every country, lower cost than in retail network, door to door delivery. Internet plays an important role nowadays; therefore it creates a new market, which sometimes is quite difficult to measure. Online shopping is different from the B&M shopping due to the fact that there is no physical presence of goods, from other standpoint internet is able to sell way more services and motivation and decision making process directly connected to the feedbacks.

Among the trends in grocery sales is the rise and availability of digital consumerism, particularly among the youngest generations of shoppers. According to analysts, “one-quarter of online respondents say they order grocery products online, and more than half (55%) are willing to do so in the future.”This trend is attributed to the “growth of online grocery shopping is

The Internet has changed the way we do virtually everything, including the way we shop. However, shopping is not the only thing that has changed. In the last decade we have changed the way, we apply for loans, study, and even plan a vacation. Doing any of these things would have been impossible a few decades ago. At present, online banking, paying bills, ordering new services, and shopping online have become part of our daily lives. Traditional brick-and-mortar stores have been around much longer than online stores, but we cannot deny that online shopping is giving the traditional stores competition. Many consumers still choose to shop at regular brick-and-mortar stores because they like to see and

According to Turban and King (2003), internet technology renders retailers an additional channel for branding, transactions and customer relationship management, the adaptation of which may drive down retailers’ transaction costs, and ensuring faster and higher quality of customer interactions, resulting in enlarging the existing markets and consumer base. M&S realizes this and have tried to sell clothing via high street stores as well as via internet though they have experienced cost cutting, rationalisation and management changes in order to revive their business in recent years. Internet technology might enable sustainable competitive advantage, but problems remain on how to physically organize their online retail operations.

Retail businesses and other small businesses have seen a huge drop in sales due to the convenience and simplicity of shopping online when and where the customer wants too. According to Market Line’s 2015 Industry Profile, Table 4 and Figure 4 show the expected percent of the retail sector value to grow 10.5% by the year 2019 and to reach a projection of 574.5 million dollars. (Market Line) The retail businesses and other small businesses see less shopping traffic and therefore have slower days especially during times such as Christmas. Many people question if whether they should face the hassle of fighting others for items when it’s already in the convenience of their hands. Many online stores offer phone applications linked to their stores for both Apple and Android users that allow the customers to purchase an item with the click of a button. As technology continues to improve, so will the online shopping industry.

1. As a customer, what do you want from an online grocery store? How does consumers’ behaviour differ when shopping for groceries on-line vs. off-line? What are the implications of these differences on the operations of an on-line vs. off-line store?

Internet Research. 2005, Vol. 15 Issue 3, p335-352. 18p that consists of seven focus groups from different parts of the country tried finding about the perception of consumers on the concept of online grocery. The research indicated some positive and some negative beliefs, which were remarkably congruent across groups. In the minds of consumers, while the concept has advantages of convenience, price and product range. Disadvantages, such as the loss of the recreational aspect of grocery shopping could act as mental barriers where one bad experience can result in permanent disapproval of the

Online shopping is becoming tremendously popular among customers. Major fashion retailers have established their online presence to expand their market. Primark is one of the fashion retailers having lowest prices among the high street brands. The aim of this study is to analyse the consumer shift from high-street shopping to internet shopping and evaluate how an online store can affect the retail business of Primark.

The aim of the research is to find the reasons for the expansion in use of online shopping and the factors that contributed to this growth.

Hypothesis 2: Consumer perception will change in comparison to traveling time to physical store with online grocery services.

Supermarket e-commerce stores that have altered business practice grow very fast. The popularity of online supermarket increases every year. Keynote’s study (as cited in Hand, Riley, Harris, Singh, and Rettie, 2009, p. 1205) explain that in 2006, the percentage of online supermarkets are higher approximately 35% than previous year. It could be that customers will shop online only in the future if the popularity of traditional stores go down. In addition, many supermarkets such as Walmart, Coles, and Giant are starting to build e-commerce. Online supermarket grow