Marketing Research Method Proposal

Eirwan
CURRENTPROGRESS.docx

OVERALL REPORT CURRENT PROGRESS AS FOR 1st October 2018

1. Introduction

1.1 Background

Online shopping has taken the retail industry by storm over the past few years. Lim et al (2016) states that the convenience of online shopping renders it as a growing trend among consumers, especially among young consumers ranging between 17 to 25 years old. It is this prevalence of online shopping that has raised the interest of retailers like ASOS to be founded with the goal of capitalizing upon this market. Research by Hejiden et al (2003) has suggested that there are several key factors that correlate  with the intentions of young consumers to purchase online. These include general awareness of the online store, loyalty towards the store and the perceived quality of the products purchased from the store. This is further supported by research conducted by Malik et al (2013). This strongly alludes to a strong correlation between some of the key factors and the online buying intentions among young consumers. It is also to be mentioned that there are also other factors that do not correlate as strongly after in-depth analysis.

1.2 Statement of Research Problem

Prior studies showed a shift in the retail industry, in which tech-savvy consumers are regularly purchasing from online stores, thus playing a vital role in the growth of online shopping (Katawetawaraks & Chang, 2011) . The increasing use of the Internet by the younger force provides a growing prospect for online stores. But the factors which makes young consumers choose to purchase online vary. One primary factor in affecting the buying intention of consumers is the awareness and loyalty towards the brand. In a study by Karam et al (2013), consumers choose their favourite brands due to the rise in their consciousness. As a result, the businesses have to compete with others to create interest for their brands in the minds of consumers. But the question arises, does this apply to the young consumers when purchasing online? A research has supported this by stating that satisfaction, trust and commitment have a significant impact on young consumer loyalty toward online shopping (Pratminingsih et al., 2013). However, according to Yang, Zhao and Wang (2010), there are still many consumers who do not have much trust in online shopping due to the fact that they cannot see or feel the physical product at the start. Hence, this research will investigate into the perceived store awareness and loyalty of young consumers towards shopping websites and learn more about their intentions in shopping online.

The quality of the products and the services provided are also an important factor in the consumer buying intentions (Maeyer & Estelami, 2011). In this day and age, there is a greater emphasis on the quality provided to consumers, as well as how the value as a result of quality is perceived by them (Day & Wensley, 1988). One particular research had conclude that product quality has positive connections with purchase intention (Boulding & Kirmani, 1993). Product quality can also be linked to current trends in the world (Sweeney & Soutar, 2001). By keeping up with current trends, brands can maintain and improve the quality of their products and services. To keep up with these trends, many brands employ the usage of celebrity and influencer endorsements (Biswas et al., 2006). This gives consumers better customer value with such a specialised form of quality service when shopping online. Therefore, there is a need for this research into looking how perceived quality in terms of products and services can affect the online buying intentions among young consumers.

1.3 Explanation of Independent Variables

There are 3 independent variables that will be employed throughout the course of this research. The first variable is store awareness. We are focusing on store awareness because we are looking into how the knowledge of the presence of ASOS can affect the online buying intention of young consumers (Karam & Saydam, 2015).

The second variable is focused on store loyalty. Like the first variable, which is based off of a study by Karam & Saydam (2015), it is focused on investigating how loyalty to the ASOS brand, as well as reaction to other online shopping websites can impact the dependable variable we are focusing on.

Lastly, we will be looking into perceived quality, in the consumers’ perspective. According to Sebastianelli (2008), perceived quality to consumers is the product and treatment they receive in exchange for the money that they paid. To ensure this research is effective, we must investigate further into how the quality consumers receive from ASOS can affect their online buying intentions.

1.4 Research Objectives

1.5 Research Questions

1.6 Hypothesis Development & Research Model

1.6.1 Hypothesis

1.6.2 Research Model

2. Research Method

2.1 Target Population

2.2 Sample Plan and Size

2.3 Development of the Questionnaire

2.4 Data Collection Method

3. Research Results

3.1 Descriptive Statistics

3.2 Hypothesis Testing (Regression Analysis)

4. Discussion & Implications

5. Limitations of the Study

6. Future Research

7. Conclusion

References

Heijden, H., V., Verhagen, T., Creemers, M. (2003). Understanding Online Purchase Intentions: Contribution from Technology and Trust Perspectives. European Journal of Information Systems, 48.

Lim, Y., J., Osman, A., Salahuddin, S., N., Romle, A., R., Abdullah, S. (2016). Factors Influencing Online Shopping Behavior: The Mediating Role of Purchase Intentions. Procedia Economics and Finance, 35.

Malik, M. E., Ghafoor, M., Iqbal, H. K. (2013). Importance of Brand Awareness & Brand Loyalty in Assessing Purchase Intentions of Consumers. International Journal of Business & Social Sciences, 4(5).