Online purchasing behavior of Malaysia's young consumer

Abstract

The evolution in B2C studies has point out the importance of enhancing quality of web-based transactions to ensure sustainability of business in e-commerce. E-marketers need to address web-based factors which are significantly influencing buyers'online purchase behavior, especially among young consumers. In B2C market, E-marketers need to know web-based factors influencing online buying in order to develop marketing strategies and programs to retain existing online buyers and to convert potential customers into active one. Review of previous studies related to web-based factors for online purchasing among young consumers in Malaysia has point out that the conceptualization and empirical validation of the online purchasing behavior of ICT literate buyershas not been addressed. Therefore, this paper attempted to (i) determine web-based factors affecting online purchasing behavior of Malaysia's young consumers, and (ii) identify whether type of online buyers - Trial, Occasional, Frequent and Regular Buyers - perceived various website factors differently. A conceptual framework of 24 items of five factors - website design, fulfillment/reliability, customer service, privacy/security and information quality - was constructed to determine web-based factors affecting online purchasing of young consumers, who are also regarded as ICT literate consumers. 310 questionnaires were gathered using a stratified random sampling method from ICT students in a public university in Malaysia. Result of Exploratory factor analysis showed that five web-based factors influencing online purchasing of young consumers are Information Quality, Quality of Customer Service, Website Design, Web Efficiency and Personalization, and Privacy/Security. The result of Multiple Regression Analysis indicated that Information Quality, Web Efficiency and Personalization, and Privacy/Security significantly and positively affect online purchase behavior of this group of consumers. The result of ANOVA revealed that the four types of young online buyers - trial, occasional, frequent and regular online buyers - perceived all items of website factors differently, which implies that e-marketers should focus on specific promotional mix programs to attract different types of online buyers. The results provide a usable model for measuring web-based factors influencing online purchasing in B2C market, as well as for e-marketers to tailor their marketing efforts to assuage young online consumers' anxiety with respect to online purchasing.