ONLINE

OLD
SHOPPING
Consumer preferences in Internet
Shopping within the Metro Manila

SEGMENT
Increasi Increasi Substant
ng trend ng ial
in number growth
online of in
shopping online internet
stores retailin
g
BACKGR
to understand the
different factors and
considerations that affect
consumer behavior and
preferences in internet
shopping for 31-60 year old
Filipinos

to recommend solution and

RESEARCH
suggestions to companies for
internet retailing prospects
as a form of distribution
 ACTION
helping SMEs decide on
STATEMENTS
whether to invest in online
channels

determining the
types/natures/products of
business suitable for online
retail Question number 4, 6, and 7
 TARGET
Filipinos,
RESPONDENT
male &
female:
Resident
s of
Metro
Regular
internet
users: at
31-45 yrs
S old
46-60 yrs
Manila
for at
least 12
least 5.5
hours per
Socio- May or week
may
old months
economic not be
classes AB internet
and C shoppers
SAMPL
Caloocan 10
Quezon City 45

E
Marikina
Manila
San Juan
10
30
10
Mandaluyong 10
Makati 15
Pasig 10
Taguig 15
Pasay 10
Paranaque 15
Las Pinas 10
Muntinlupa 10
METHODOLO
GY
Qualitativ Quantit
e ative
Interviews Survey
 1. Does 2. What 3. What
one are the are the
invest in considera improveme
online tions to nts to
shopping? take into implement
account? ?

ANALYSIS
PART 1:
Does one invest in online
shopping?
ONLINE
WORTH
SHOPPING
There is an IS
GETTING INTO
existing/potential market
among the 31-60 year old
segment.
WHY INVEST?
High awareness but must
encourage trial and
repeat purchase
Conversion
100%
90%
Ratio
98%
98%

80% 78%
74%
70%
72%
Respondents

60%
50% 57%
40%
30% 30%
20%
10% 17%
0%
Aware Tried Current Frequent

Question number 4, 6, and 7

4) Are you aware of online shopping?
6) How often do you buy products online?
7) Have you purchased anything in the past 12 months?
Females are more skewed
Target
towards buying online
Shopped in the past 12 months
100%
90%
80% 35%
70% 54%
Respondents

60%
50%
40%
30% 65%
20% 46%
10%
0%
Female Male
Yes No

Question number 7, and 23

7) Have you purchased anything in the past 12 months?
23) Demographics
 Online shoppers who are
target
heavy internet users should
be targeted

Question number 2, and 7

2) On average, how many hours a week do you access the internet?
7) Have you purchased anything in the past 12 months?
 Mainly because they are
target
likely to engage in different
activities through the web
Online Activities
77%
Browsing 64%
Social Media 70%
70%
Chatting 58%
61%
News 56%
44%
Work 48%
35%
Content 27%
19%
Gaming 24%
16%
School 20%
9%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Online Shopper Non Online Shopper

Question number 3 and 7

3) What activities do you normally engage in online?
7) Have you purchased anything in the past 12 months?
 WHY INVEST?
Online shopping channels are
able to satisfy the needs of
the customers…

Question number 12
12) On the overall, how would you rate your online shopping experience?
WHY INVEST?
…With almost all of
respondents saying they
will shop online again

Question number 14
14) Would you buy online again?
 WHY INVEST?
Moreover, those who have not
done online shopping are open
to the idea.

Question number 19
19) Would you consider shopping online in the future?
PART 2:
What are the considerations to
take into account?
 Logistical

Drivers Promotions
CONSIDERATIONS

Barriers Product
Question number 13
13)How is your general experience of online shopping?
In investing in online
retail, SME can take
advantage of:
Ease of purchase
Availability
Product variety
Question number 13
13)How is your general experience of online shopping?
Question number 18
18) Why do you not purchase products online?
In investing in online
retail, SME must ensure
that:
Transacting online is
secure, minimal risk
Quality of the products
should meet customer
expectations
Question number 16, 21, and 23
16 and 21) What products do you think are suitable to but online?
23) Demographics

Product perceived by online to

be the most suitable to be
purchased online are
accessories
Question number 8, 16, and 21
8) What products do you purchase online?
16 and 21) What products do you think are suitable to but online?
23) Demographics

However, actual purchase is

different from what is
perceived as suitable
Question number 5
5) How did you learn about online shopping?

Online Shopping Awareness Source

Since awareness in
generated mostly through
online ads and word of
mouth…
Social networking sites
should be capitalized on
Question number 9
9) What platforms do you use for internet shopping?

Online Shopping Platforms

100%
90%
80%
70%
72%
60%
50%
40% 48%
30%
20%
24%
10%
0%
Online Malls Independent Sellers Brand Specific

Can take advantage of online

malls (eBay, Amazon, etc.) and
independent sellers (Facebook,
Instagram, etc).
Question number 11
11) How did you pay for the product

Mode of Payment
60%

50%
53%
40%
47%
41%
30%

20%

10%
7% 6%
0%
Credit/Debit Bank Deposit Cash on Delivery Bayad Center Mobile Payment
Card

Offer use of debit/credit cards,

bank deposits and cash on
delivery as modes of payment.
PART 3:
What are the improvements to
implement?
 Timeliness Product
Security
of Variety
Delivery

Things to
Question number 22
22) What do you suggest for the improvement of online shopping?
Regardless of age bracket and
gender, most of the respondents,
especially the non-online shoppers,
suggested that security should be
improved.

Recurring words among the

respondents’ responses include
certification body for online
shopping, securing payment and
providing warranty for customers (in
order to make them feel safe and
confident about purchasing online).
Regardless of age bracket and
gender, most of the respondents which
were also online shoppers suggested
that timeliness of delivery should be
improved

Improving this can encourage repeat

purchase from those who have tried
already.
Respondents recommended
that product variety be
improved in order to
provide more choice and to
entice them to try or
continue online shopping
conclusion
Overall summary of the analysis
and recommendation
It is advisable to invest
in online shopping as
evidenced by high
awareness, trial and repeat
purchase.

Online channels can focus

on encouraging trial and
repeat purchase
Target females because
they are more likely to
purchase online

Target heavy internet

users because they are
likely to engage more in
different online activities
SMEs can capitalize on the
ease of purchase and
availability of online
shopping channels

However, what needs to be

addressed are security and
trustworthiness not only for
online shoppers but for non-
online shoppers as well
The most purchased products
is electronic gadgets,
however, accessories also has
a high potential as evidenced
by high suitability levels.

Social networking sites

should be capitalized on

Can take advantage of online

malls, and credit/debit cards,
Get permits or certificates
to legitimize online stores
from gov’t (as evidence of
their reliability) to attract
non-online shoppers and retain
online shoppers
Provide consumers a way to
track delivery of their
purchases and establish a more
effective way of
communication.
Improve product variety by
Thank you!
Question number 4, 6, and 7