FACTORS AFFECTING ONLINE PURCHASING BEHAVIOR

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14It was also found that respondents were also unwilling to spend much online. Asshown from the Table 3, only 33 percent had spent between RM100 – RM400,while only 16 percent had spent more than RM800. Although some respondentsare already willing to make online transactions, however the amount of moneyspent online is still low. Data in Table 1 also indicate that a low 9 percent havespent between RM401 – RM600. It is apparent that consumers are still unwillingto spend much on online purchase of products or services and this can thus saidthat they were not willing to risk losing money on this new type of transactions.The study also shows that respondents are still considered lighter users of theWeb as they were shown to purchase lesser items. As mentioned byKorgaonkar and Wolin (2002) in terms of Web usage, the lighter users tend topurchase lesser items as compared to the heavier users.When it comes to the frequency of the transactions made, a majority of 34percent reported that they have made transactions less than once per month. 24percent said that they had made transactions between 2 – 5 times while 22percent had transacted 1 – 2 times/ month. The study also showed that therespondents who have made more than 10 transactions were still very low (3percent). Clearly, suggesting that purchasing through cyber ads is still unpopularamongst Internet users and since nearly half of the respondents have onlypurchased less than once a month therefore they can be categorized asoccasional buyers. (http://iml.jou.ufl.edu/projects/Fall02/Kim/measurement.htm)Table 3: Purchasing through cyber adsItemPercentIn the past six months, have you ever purchased products orservices through the cyber ads ? (n=504)13How much would you estimate you have spent with theInternet retailer in the past twelve months (n=63)Less than RM100RM101 – RM400RM401 - RM600RM601 - RM800More than RM800323391016How often have you transacted with the Internet retailer in thepast twelve months ? (n=63)Never 14
15Less than once/ month1 - 2 times/ month2 - 5 times/ month6 - 9 times/ month> 10 times/ month34222433What are people buying through cyber ads? The survey asked respondents toindicate the purchase of items from different product/ services categories withinthe last six months. The data (Table 3) indicate that most people are not yetbuying online. The most popular transactions occurred in the e-banking serviceswith 80 percent respondents reported to have used the service. 65 percent havebought books online, 63 percent bought flowers while 50 percent hadexperienced buying household items. The least purchased category was cars(10 percent). This could be also due to the fact that cars are luxury andexpensive items. It is also a high-involvement product and as noted by Na Li andPing Zang (2002) product involvement affect consumers’ online shoppingattitudes and behavior.While their purchasing activity is not as high, interestingly data shown in Figure 1indicate that respondents had purchased various products such as food (46percent), cosmetics (41 percent), computer equipment (40 percent), homefurnishing (39 percent), fast food (33 percent), fashion apparel (33 percent),jewelry (31 percent), CDs (32 percent), luxury watch (27 percent), shampoos (25percent), house (24 percent) and using the financial services (44 percent).Past studies also showed that consumers who frequently engaged in onlinepurchasing more often purchased books, computer products, electronic goods,entertainment and internet-related products (Kwak et al. 2002). These areconsidered high-involvement products and as suggested by Yoon and Kim(2001), the Internet is a medium better suited for high-involved products.The diagram below is an adaptation from the FCB Planning Model (Belch &Belch 2004) and it provides a brief explanation of what respondents hadpurchased from the Internet. As shown in the figure the products/ services thathad received high percentage in terms of the products/ services that werepurchased were from the high-involvement cognitive grid of the model. Products/services such as e-banking, books, financial services, computer equipment,house furnishing, house and autos are categorized as high-involvement cognitiveproducts/ services. While such products like jewelry, cosmetics, fashion apparel,luxury watch and CDs are considered as high-involvement affective products.The figure indicates that products such as food, fast food, household items andshampoos are categorized as low-involvement habit formation products. One ofthe products included in the study was flowers and it is categorized as lowinvolvementself-satisfaction product.
Page 2 and 3: 2relationship between marketer and
Page 4 and 5: 4A Roper Starch survey of consumers
Page 6 and 7: 62001 from US $ 3.2 billion in June
Page 8 and 9: 8innovations. Indeed many researche
Page 10 and 11: 10component and the degree of accep
Page 12 and 13: 12of gender, the sample was almost
Page 16 and 17: 16ThinkingFeelingHighInvolvementInf
Page 18 and 19: 18Table 6: Relationship between cul
Page 20 and 21: 20watching television, shopping, an
Page 22 and 23: 22Korgaonkar, P. & Wolin. L.D. 2002

FACTORS AFFECTING ONLINE PURCHASING BEHAVIOR

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