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Journal of Indian Institute of Management Bangalore

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The Indian Institute of Management Bangalore (IIMB) believes in building leaders through holistic, transformative and innovative education

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Profiling Internet Shoppers

Volume 18, Number 3 Article by Darshan Parikh September, 2006

Profiling Internet Shoppers: A Study of Expected Adoption of Online Shopping in India :

In spite of persistent infrastructure problems, retailers in India have responded positively to one of the biggest technological revolutions of the twentieth century i.e. online trading. Internet savvy shoppers are also playing a complementary role in the success of online shopping.

Researchers have explored online shopping and its future prospects through demographic variables and indicators, which have been accurate indicators, especially in the nascent stage of the Internet, as in India. However, there is a lack of research in the Indian context specifically exploring the applicability of the Internet for shopping. Darshan Parikh’s study aims at profiling and identifying specific segments with the propensity for Internet shopping. Based on the literature, the study mainly takes into consideration demographic characteristics, length of Internet use, Internet usage pattern (frequency of Internet usage and amount of daily Internet usage) and intention to shop online. It explores the relationship between actual and intended online shopping experience.

According to the respondents, while the digital channel offered some unique advantages such as interactive communication, rapid comparison shopping, lower transaction costs, and the elimination of time and spatial barriers, it had its own drawbacks. Given the limitations of the Internet, the diffusion of online shopping may not follow the radical adoption rates that were optimistically forecast in the late 1990s. Consumer demand for the Internet is a key factor that may ultimately drive widespread adoption of the Internet by retailers. The results of the study show that long-term Internet surfers with heavy usage had the strongest affinity for Internet shopping. Prior experience of Internet shopping had a multiplying impact on future intention to shop through the Internet. Contrary to expectations, there were no significant associations between the shopping segments and demographic characteristics.

Reprint No 06301