Prashar, Sanjeev and T. Sai Vijay, T. Sai Vijay and Parsad, Chandan
(2016)
Segmenting Online Shoppers: A Study Of
Consumers' Web Portal Selection Motivations
For E-Shopping.
Asian Academy of Management Journal (AAMJ), 21 (1).
pp. 1-20.
ISSN 1394-2603
Abstract
As the internet permeates geographic boundaries and varied demographic strata,
electronic commerce/online shopping is witnessing exponential growth. The objective of
this research is to segment online shoppers based on attributes of web portals. A survey
using a questionnaire was administered to 203 shoppers in India. Factor analysis is used
to determine the factors that influence the selection of web portals. The robustness of the
model developed using factor analysis was checked using Confirmatory Factor Analysis
(CFA). Finally, cluster analysis was applied for identifying the clusters of respondents
and profiling them. Based on cluster analysis, the study identified four segments:
Traditional Shoppers, Benefit Seekers, Convenience and Assurance Seekers and
Information and Price Seekers. Each of the four segments varies considerably in terms of
their selection of website/portals for purchases, portraying the differences in their online
shopping orientation. Against the general perception that shoppers prefer web portals
that provide best user experience and attractive web atmospherics, this research shows
that their inclination is towards brand image of the web portal and also being able to get
value proposition through the website. Firms need to develop plans to consider the
unique characteristics of the online market segments for an optimum allocation of
marketing expenses. Findings of this research may be used as guidelines for the
development of multi-dimensional strategic framework by online retailing firms.
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