Factors determinate customer shopping behaviour through Internet: the Malaysian case

3 Abstract: This study try to explore factors that are affect shopping behaviour of the customer, how does Internet marketing affect the behaviour of the customer. Factor analysis is used in this study to identify the salient attributes that have impact on consumers' shopping behaviour about Internet marketing. Since, Factor analysis represents an analytical process of transforming statistical data (as measurements) into linear combinations of variables. In addition, multiple regression model was estimated to anticipate the effects of the explanatory variables. Findings of regression analysis indicated taht all four factors such as Internet marketing environment, product characteristics, familiarity and confidence and promotional offer have significant impact on customer intention about Internet marketing. In conclution, underlying uncertainty of customers as to the security of transaction on the Internet. Customers may not yet be ready for the transactional purposes due to security concern and mentally afraid doing transaction online due to security reason. They believe that online transactions are not secured enough to protect the payment method as disclosure of information.

[1]  Alan J. Dubinsky,et al.  Effect of brand name on consumers' risk perceptions of online shopping , 2004 .

[2]  Dongsong Zhang,et al.  Predicting and explaining patronage behavior toward web and traditional stores using neural networks: a comparative analysis with logistic regression , 2006, Decis. Support Syst..

[3]  B. Moon Consumer adoption of the internet as an information search and product purchase channel: some research hypotheses , 2004 .

[4]  J. W. Hutchinson,et al.  Dimensions of Consumer Expertise , 1987 .

[5]  M. Uncles,et al.  Sales promotion effectiveness: the impact of consumer differences at an ethnic‐group level , 2005 .

[6]  Stephen J. Hoch,et al.  EDLP, Hi-Lo, and Margin Arithmetic , 1994 .

[7]  Tanya Sammut-Bonnici Consumer Confidence in the Digital Environment , 2007 .

[8]  Rakesh Mohan,et al.  Sales Promotions on the Internet , 1998, USENIX Workshop on Electronic Commerce.

[9]  N. Luhmann Soziale Systeme : Grundriß einer allgemeinen Theorie , 1984 .

[10]  Jane Imber,et al.  Dictionary of marketing terms , 1994 .

[11]  Simpson Poon,et al.  Product characteristics and Internet commerce benefit among small businesses , 2000 .

[12]  Alev M. Efendioglu,et al.  Chinese culture and e-commerce: an exploratory study , 2004, Interact. Comput..

[13]  L. Stoel,et al.  Effect of brand familiarity, experience and information on online apparel purchase , 2005 .

[14]  J. Schroeder,et al.  Ethical issues of global marketing: avoiding bad faith in visual representation , 2002 .

[15]  Tzyh-Lih Hsia,et al.  Analysis of E-commerce innovation and impact: a hypercube model , 2004, Electron. Commer. Res. Appl..

[16]  Sally J. McMillan Longevity of Websites and Interactive Advertising Communication , 2002 .

[17]  F. Karakaya,et al.  Electronic commerce: current and future practices , 2001 .

[18]  Stephen Taylor,et al.  E-shock — The Electronic Shopping Revolution: Strategies for Retailers and Manufacturers , 1999 .

[19]  Bart J. Bronnenberg,et al.  Exploring the implications of the internet for consumer marketing , 1997 .

[20]  Leo R. Vijayasarathy,et al.  Product characteristics and Internet shopping intentions , 2002, Internet Res..

[21]  V. Zeithaml Service excellence in electronic channels , 2002 .

[22]  Shaun McQuitty,et al.  Systematically Varying Consumer Satisfaction and its Implications for Product Choice , 2000 .

[23]  F. Reichheld,et al.  E-LOYALTY: YOUR SECRET WEAPON ON THE WEB , 2003 .

[24]  Steve Baron Marketing Research (2nd Edition) , 1992 .

[25]  Thompson S. H. Teo,et al.  Senior executives' perceptions of business-to-consumer (B2C) online marketing strategies: the case of Singapore , 2002, Internet Res..

[26]  Alan I. Wilson,et al.  Internet based marketing research: a serious alternative to traditional research methods? , 2003 .

[27]  R. Goldsmith,et al.  Buying apparel over the Internet , 2002 .

[28]  U. Sekaran,et al.  Research Methods for Business : A Skill Building Approach (5th Edition) , 1992 .

[29]  Simpson Poon,et al.  A preliminary study of product nature and electronic commerce , 2001 .

[30]  Donnavieve N. Smith,et al.  Flow and Internet shopping behavior: A conceptual model and research propositions , 2004 .

[31]  Michael de Kare-Silver,et al.  E-Shock: The electronic shopping revolution: strategies for retailers and manufacturers , 1998 .

[32]  Eric J. Johnson,et al.  Mere-Possession Effects without Possession in Consumer Choice , 1997 .

[33]  D. Schultz Analyzing sales Promotion: Text and Cases , 1987 .

[34]  Kiran Karande,et al.  How important are ethics and social responsibility? ‐ A multinational study of marketing professionals , 2001 .

[35]  Charles L. Martin,et al.  Building customer relationships: an inventory of service providers’ objectives and practices , 2001 .

[36]  Jungjoo Jahng,et al.  Effective design of electronic commerce environments: a proposed theory of congruence and an illustration , 2000, IEEE Trans. Syst. Man Cybern. Part A.

[37]  George M. Zinkhan,et al.  Promoting services via the Internet: new opportunities and challenges , 2002 .

[38]  Kwangtae Park,et al.  Characteristics of product/service process and customer needs of geographical accessibility in electronic commerce , 2003 .

[39]  Eun-Ju Lee,et al.  Understanding consumer motivation and behavior related to self‐scanning in retailing , 2003 .

[40]  Jay Kandampully,et al.  Electronic retailing and distribution of services: cyber intermediaries that serve customers and service providers , 2002 .

[41]  Pierre Chandon,et al.  A Benefit Congruency Framework of Sales Promotion Effectiveness , 2000 .

[42]  Ahmad Jamal,et al.  Customer satisfaction and retail banking: an assessment of some of the key antecedents of customer satisfaction in retail banking , 2002 .

[43]  Stephen J. Hoch,et al.  Price Discrimination using in-Store Merchandising , 1996 .

[44]  Jennifer E. Rowley Product searching with shopping bots , 2000, Internet Res..

[45]  Kenneth John Peattie,et al.  Sales promotion – a missed opportunity for services marketers? , 1995 .

[46]  Ali Khatibi,et al.  Investigating potentially affective factors of online sales: a study on Malaysian business online , 2006, Int. J. Inf. Syst. Chang. Manag..

[47]  A. Ehrenberg,et al.  The after-effects of price-related consumer promotions , 1994 .

[48]  K. Deans,et al.  E‐marketing in perspective: a three country comparison of business use of the Internet , 2002 .

[49]  Eric W.T. Ngai,et al.  Internet marketing research (1987‐2000): a literature review and classification , 2003 .

[50]  Dennis A. Pitta,et al.  Online relationships and the consumer’s right to privacy , 2001 .

[51]  Olalonpe Ige Electronic shopping: young people as consumers , 2004 .

[52]  Peggy Choong,et al.  Preventing or fixing a problem: a marketing manager’s dilemma revisited , 2001 .

[53]  David F. Midgley,et al.  E-Business: Revolution, Evolution, or Hype? , 2001 .

[54]  M. Laroche,et al.  Brand familiarity and confidence as determinants of purchase intention: An empirical test in a multiple brand context , 1996 .

[55]  Larry Weber,et al.  Marketing to the Social Web: How Digital Customer Communities Build Your Business , 2007 .

[56]  William R. Dillon,et al.  Essentials of Marketing Research , 1992 .

[57]  John E. Bingham,et al.  On-line Data Collection Without Updating , 1977 .

[58]  J. Rowley Product search in e‐shopping: a review and research propositions , 2000 .

[59]  G. Hofstede Cultural constraints in management theories , 1993 .

[60]  William R. Darden,et al.  Work and/or Fun: Measuring Hedonic and Utilitarian Shopping Value , 1994 .

[61]  Chaffey Internet-Marketing , 2001 .

[62]  A. Rangaswamy,et al.  Consumer Choice Behavior in Online and Traditional Supermarkets: The Effects of Brand Name, Price, , 2000 .

[63]  Valerie J. Trifts,et al.  Consumer Decision Making in Online Shopping Environments: The Effects of Interactive Decision Aids , 2000 .

[64]  Claire Payne,et al.  Engendering trust in e‐commerce: a study of gender‐based concerns , 2002 .

[65]  Brian T. Ratchford,et al.  On the Efficiency of Internet Markets for Consumer Goods , 2003 .

[66]  P. McCole The Role of Trust for Electronic Commerce in Services , 2002 .