E_marketing

17 Pages 4193 Words

e web site, this was a determinate in choosing to purchase from that site.

Lindstrom (2002) also claimed that 39% of respondents in study indicated that seeing a well-designed web site would positively influence their behaviour relating to privacy. 76% of the respondents consider having the option to "opt-out" (or disallow distribution or sale of personal information) as a factor that influences their confidence in the privacy practices of the web site.

Consumer experience
The types of products purchased online vary widely, especially when comparing the items purchased by those with different levels of online experience.

In 2002, by far the biggest difference in purchasing habits was the percentage of very experienced users who bought books online, compared to new users. Very experienced users also bought more computer equipment, software, electronics, food and cosmetics, travel arrangements, sporting goods, gifts, videos or DVDs, and children’s goods (Lindstrom 2002).

New users are more likely to purchase CDs, clothes, jewellery or watches, hobby items, collector’s items, furniture, and automobiles. (Lindstrom 2002)

Effects on Retail
Online buying replaces some purchasing in retail stores for many Internet users. Nearly two-thirds of Internet purchasers in 2002 (65.6 percent) said that online purchasing has reduced their purchasing in retail stores either somewhat or a lot; up from 52.6 percent in 2001 and consistent with 65.1 percent in 2000 (Lindstrom 2002).



Risk
Perceived risk from a consumer is a significant factor affecting Internet consumer behaviour. Handson (2000) provide evidence to support a relationship between perceived risk and frequency of use. Handson (2000) contend that perceived risk is likely to have the greatest impact on infrequent Internet shoppers, which precludes the conversion of Internet browsers into Internet shoppers.

These researchers: Handson (2000), Hardaker & Graham (200...