A Report ON: Study of Customer Satisfaction With Reference To Amazon

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A REPORT

ON

Study of customer satisfaction with reference to Amazon

Submitted To:

School of Business

(Submitted in partial fulfillment of BBA curriculum of the The Assam Kaziranga University)

Submitted By:
Nancy Karnany
BBA
SB17BBAGN040
2017-2020

AMAZON

Under the Guidance of:

Prof. Abinash Rath


Faculty of SOB

The Assam Kaziranga University


CONTENTS

 Acknowledgements

 Executive Summary
 Chapter I Introduction
 Chapter II Data Analysis and Interpretations
 Chapter III Observations and Major Findings
 Chapter IV Conclusions and Suggestions

 References
ACKNOWLEDGEMENT

The exclusively of this project cannot be claimed as a singular effort. I offer my


profound gratitude, as without their generous assistance this work would never I
have recognized at proper places. My project on entitled “A STUDY ON customer
CUSTOMER SATISFACTION WITH REFERENCE TO AMAZON ONLINE
SHOPPING” would have been my dream forever if I did not get inspiration,
encouragement and blessing of my parent, teachers and friends, how can it be
possible to start up my report without saying a word of thanks to all of them.
By the grace of almighty it was very favourable on my part to work under the
guidance of Prof. Abinash Rath . He guided me full of magnanimity on every
difficult step of my work and thus I completed my report in a very efficient way
over the hurdles.
I would also like to pay my thanks and regards to my parent, my family member,
and my friends who supported me and gave their full co-operation and assistance
in my study.
At last but not the least. I pay my sincere thanks to god almighty for enabling me
to do my work with his abounding grace.
EXECUTIVE SUMMARY

This project takes a look at consumer satisfaction with references to Amazon online
shopping. Online shopping is nowadays used everywhere or in every corner of the world, as it
make easier for customer to choose different variety of product. All these information has
been collected regarding the project through primary and secondary data. This report
highlights on the understanding the reason of consumer preference towards online shopping
used popularly nowadays from the questionnaire and the data collected from internet and
other resources. The limitation of this thesis is sample size i.e. only 60 respondents. The
methodology adopted by me for this thesis is to conduct a survey. I have prepared
questionnaire for the survey. The finding of the thesis is that customer is interested in product
and services given by Amazon.
INTRODUCTION
AMAZON.COM

Amazon.com, Inc., doing business as Amazon is an American electronic commerce and cloud
computing company based in Seattle, Washington, that was founded by Jeff Bezos on July 5,
1994. The tech giant is the largest Internet retailer in the world as measured by revenue and
market capitalization, and second largest after Alibaba Group in terms of total sales. The
amazon.com website started as an online bookstore and later diversified to sell
video, MP3,audiobook, software, video games, electronics, apparel, furniture, food, toys,
and jewelry. The company also produces consumer electronics—Kindle e-readers, Fire
tablets, Fire TV, and Echo—and is the world's largest provider of cloud infrastructure
services (IaaS and PaaS). Amazon also sells certain low-end products under its in-house
brand AmazonBasics.

Amazon has separate retail websites for the United States, the United Kingdom and Ireland,
France, Canada, Germany, Italy, Spain, Netherlands, Australia, Brazil, Japan, China, India,
and Mexico. In 2016, Dutch, Polish, and Turkish language versions of the German Amazon
website were also launched. Amazon also offers international shipping of some of its
products to certain other countries.

In 2015, Amazon surpassed Wal-Mart as the most valuable retailer in the United States by
market capitalization. Amazon is the fourth most valuable public company in the world
(behind only Apple, Alphabet, and Microsoft), the largest Internet company by revenue in
the world, and after Walmart, the second largest employer in the United States. In 2017,
Amazon acquired Whole Foods Market for $13.4 billion, which vastly increased Amazon's
presence as a brick-and-mortar retailer. The acquisition was interpreted by some as a direct
attempt to challenge Walmart's traditional
retail stores. In 2018, for the first time, Jeff Bezos released in Amazon's shareholder letter
the number of Amazon Prime subscribers, which at 100 million, is approximately 64% of
households in the United States.

Amazon.com’s Corporate Vision Statement

Amazon’s corporate vision is “to be Earth’s most customer-centric company, where


customers can find and discover anything they might want to buy online.” This vision
statement underscores the business organization’s main aim of becoming the best e-
commerce company in the world. In this regard, the following characteristics are identifiable
in Amazon’s corporate vision statement:

1. Global reach

2. Customer-centric approach

3. Widest selection of products

Amazon.com’s Corporate Mission Statement

Amazon’s mission statement is “We strive to offer our customers the lowest possible prices,
the best available selection, and the utmost convenience.” This corporate mission promises
attractive e- commerce services to satisfy target customers’ needs. The company focuses on
the variables of price, selection, and convenience. In this regard, the following
characteristics are identifiable in Amazon’s corporate mission statement:

1. Lowest prices

2. Best selection

3. Utmost convenience
STATEMENT OF THE PROBLEM

We face many millions of problems when we entered into the world of online shopping.
Amazon also one of the online shopping applications site that nowadays reached to millions
of people everywhere. There are some problems that customer are deals with like:-

 Defected in product that leads to the customer peace of mind decreases.

 Delay in delivery of Goods and Products is also one of the problems that
affect the serenity of the customer.

 The product which customers are choosing might be delivered wrong like,
different in color or design etc.

 Some goods or product, which customer needs may not be available


sometimes.

 Or occasionally the product will not be currently available to the address


of the customer.
OBJECTIVE OF THE STUDY

 To know the customer complacency on Amazon online shopping.

 To study the gratification level of the Amazon customer based on the respondent
responses.

 To evaluate and find out the factor that influences the customer complacency.
SCOPE OF THE STUDY

This research work will covered Amazon and also deals with the customers which are
regulars used to shopping from Amazon.

The study also covered the quality of the service and how they impact on the customer
complacency and for instant it come across with what factor that are accommodate and
enhance the satisfaction feeling of the customer on Amazon.
IMPORTANCE OF THE STUDY

 The main importance to this study is to avoid some uncertainty fact that customer
face in online shopping.

 When the research will be completed it will give an insight into a practical situation.

 It will also indicate, how to conquered and overcome the problem while dealing with
the customer.

 Alternately, it will serve as good sources of references to similar research in future.

 Finally, it is also intend to facilitate the efforts of Amazon to come out with good
quality service customer satisfaction strategies.
LIMITATION OF THE STUDY

 This study conducted relating to the Amazon online shopping application, so the result
which we gather is only applicable for the amazon customers.

 The response from the sample may be biased, or may contain cooked up from the
respondent.

 Another limitation was the relatively short period and within which this research was
carried out.

 Questionnaires method is used only for data collection and the limitation of the
questionnaire method is applicable to the study.
PRODUCT AND SERVICES

Amazon.com's product lines available at its website include several media (books, DVDs,
music CDs, videotapes and software), apparel, baby products, consumer electronics, beauty
products, gourmet ,food, groceries, health and personal-care items, industrial & scientific
supplies, kitchen items, jewelry, watches, lawn and garden items, musical instruments,
sporting goods, tools, automotive items and toys & games.

Amazon is now gearing up in India to play a role in the grocery retail sector aimed at
delivering customer needs.

Amazon.com has a number of products and services available, including:

 AmazonFresh

 Amazon Prime

 Amazon Web Services

 Alexa

 Appstore

 Amazon Drive

 Echo

 Kindle

 Fire tablets

 Fire TV

 Video

 Kindle Store

 Music

 Music Unlimited
 Amazon Digital Game Store

 Amazon Studios

 Amazon Wireless
Amazon site global availability

Region Sovereignty Domain name ince

China amazon.cn September


Asia 2004

India amazon.in June 2013

amazon.co.jp November
Japan 2000

amazon.com.sg July 2017


Singapore

amazon.fr A gust 2000


France

amazon.de October 1998


Germany

amazon.it November
Italy 2010

amazon.nl November
Netherlands 2014

amazon.es September
Spain 2011

amazon.co.uk October 1998


United Kingdom

amazon.ca June 2002


Canada

amazon.com.m A gust 2013


Mexico x
amazon.com July 1995
United States

amazon.com.au November
Australia 2013

amazon.com.br December
Brazil 2012
DATA ANALYSIS AND
INTERPRETATION

RESEARCH METHODOLOGY
Sources of data collection:-

There are basically two types of data collection:-

1. Primary Data
2. Secondary Data

Primary data are first hand information. Primary data is information that we collect
specifically for the purpose of research directly from the source .Secondary data are
second hand information. The data which have already have been collected and
processed by some agency or persons and are not used for the first time are termed
as secondary data.

In my research work, , I have used primary data, collected from questionnaire method via
Google forms survey. I have used secondary data from records of the company on the
Internet, whose component corresponds mainly to the company's website, magazine and news,
as well as articles and Observation method is used for collection of information for the
report.

METHODS OF DATA ANALYSIS

 For the purpose of analysis data as a way of comparing, contrasting and describing
such data, descriptive research statistics was used.

Table No 1.
S.No GENDER NO. OF PERCENTAGES
RESPONDENT OF
RESPONDENTS
1 MALE 28 47%
2 FEMALE 32 53%
TOTAL 60 100%

INFERENCE:

This table shows the numbers of males and females’ respondents, 47% of the respondents
were found to be males, with the females constituting 53% from the various area or places.
This means majority of the respondents were female.
Table No.2

Age distribution of respondents

s.no Age range No.of respondents percentage


1 15-14yrs 6 10%
2 20-29yrs 21 35%
3 30-39yrs 6 10%
4 40-49yrs 15 25%
5 50-59yrs 12 20%
Total 60 100%

INFERENCE:

From the above table the majority of the respondent are came from the age range of 20-.29.
Table No.3

PROFESSION OF THE RESPONDENT

S.no Profession No. of respondents Percentage


1 Students 24 40%
2 Service 12 20%
3 Business 10 16%
4 Professional 7 12%
5 House wife 7 12%
Total 60 100%

INFERENCE:

From the above table the majority of the respondent was collected from the students with
a percentage of 40%, and the lowest response was collect from professional and house wife with
a percentage of 7%.
Table No.4

INCOME REPRESENTATION

S.NO INCOME RANGE NO.OF PERCENTAGE


RESPONDNETS
1 Less than 20k 7 12%
2 20k-40k 12 20%
3 40k-60k 9 15%
4 60k-80k 10 17%
5 Above than 80k 22 36%
Total 60 100%

INFERENCE:

From the above table 12% of respondent from the income range less than 20k, 20% from 20k-40k, 15%
from 40k-60k,17% from 60k-80k, 36% from above 80k.
ma
TABLE NO.5

MARITAL STATUS REPRESENTATION

S.NO MARITAL STATUS NO.OF RESPONDENT PERCENTAGE


1 MARRIED 32 53%
2 SINGLE 28 47%
TOTAL 60 %100

INFERENCE:

From the above information given 53% of response collected from married customers, and
47% from the unmarried.
1
0

TABLE No. 6

1. How long you are using the product and shopping by Amazon?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 I month 12 20
2 Less than 1 month 7 12
3 1 years 5 8
4 Less than 1 years 16 27
5 More than 1 years 20 33
Total 60 100%

INFERENCE: From the above table, the majority of the respondents say that they are using
the product of amazon for more than one year.
TABLE NO.7

2. How much time you spend on online shopping?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 Everyday 5 8
2 Weekly once 7 12
3 Once a month 12 20
4 Twice a month 20 33
5 Every 2 or 3 month 16 27
Total 60 100%

INFERENCE:

From the above table 8% of respondent are spending everyday on online shopping and
20% of respondent are spending twice a month in online shopping.33% of respondent are
spending once a month on online shopping, and weekly once only 12% and 8% on everyday
basis.
1
0

TABLE No. 8

3. What are the main reasons you preferred amazon for shopping?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 Less price 5 8
2 Good quality 7 12
3 Fast delivery 20 33
4 Standard 12 20
5 more option 16 27
Total 60 100%

INFERENCE:

The majority of the respondent is that, the reason for preferred amazon shopping is based on
the fast delivery of the product to the customers.
1
0

TABLE No. 9

4. How much you can spend for shopping on Amazon?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 Under 500 5 8
2 500-1000 12 20
3 1000-1500 20 33
4 1500-2000 7 12
5 Above than 2000 16 27
Total 60 100%

INFERENCE:

From the above table 33% of the respondent are spend around 1000-1500 for shopping on
amazon. And 8% respondents are spending around 500 rupees.
1
0

TABLE No. 10

5. Are you shopping with amazon based on?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 Discount and offers 5 8
2 Product quality 12 20
3 Availability 20 33
4 Fast delivery 7 12
5 Fair deal 16 27
Total 60 100%

INFERENCE:

From the above table customers are purchased product from amazon based on the
availability and the fair deal of the service.
1

TABLE No.11
6. What is the mode of payment you usually preferred the most?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 Credit card 11 18
2 Debit card 12 20
3 Cash on delivery 27 45
4 Net banking 10 17
5 Other 0 0
Total 60 100%

INFERENCE:

From the above data usually customer are preferred cash on delivery, which is more
preferable mode of payment.
Table No 12.

7. Why you are choosing Online shopping instead of offline shopping?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 Save time 30 50
2 Wide choices 12 20
3 Ease to find product 18 30
Total 60 100

INFERENCE:

From the above data 50% of the respondent response that online shopping is saving time and
20% says that they choose based on wide choices and 30% response that ease to find product.
Table no.13

8. What is the uniqueness in service of Amazon which satisfied you as compared to other shopping
Applications?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 Reasonable return or 5 8
exchange policy
2 Quality product 12 20
3 Fast delivery 20 33
4 Transaction security 7 12
5 Others 16 27
Total 60 100%

INFERENCE:

From the above information, majority of the respondent have says that due to the fast
delivery of amazon service is the uniqueness as compared with other online shopping
application.
TABLE NO.14

9. What are the sources which make you purchased product from Amazon?

S.NO PARTICULAR NO.OF RESPONDENT PERCENTAGE


1 Family and friends 20 33
2 Online 12 20
advertisement
3 Promotion emails 5 8
4 Transactional 7 12
security
5 Print & broadcast Ad 16 27
Total 60 100%
1

INFERENCE: 0

From the above information the sources which makes the customers purchased a product
through amazon is Family and friend source.
TABLE NO. 15

10. Overall, what make you fully satisfied the most while shopping with Amazon?

S.NO PARTICULAR NO.OF PERCENTAGE


RESPONDENT
1 Less price 5 8
2 Discount & offer 12 20
3 Fast delivery 20 33
4 Transaction security 7 12
5 Quality product 16 27
Total 60 100%
1

INFERENCE: 0

From the above information, respondent are fully satisfied with the fast del very of amazon,
and quality of the product as well.
TABLE NO.16

11. The price is matter when you shopping from Amazon?

S.NO PARTICULAR NO.OF PERCENTAGE


RESPONDENT
1 Strongly agree 36 60
2 Agree 12 20
3 Strongly disagree 2 3
4 Disagree 3 5
5 neutral 7 12
Total 60 100%

INFERENCE:

From the above respondent the majority of the respondent are says that they are strongly
agree with the price of the product of amazon.
1
0

TABLE NO. 16

12. Amazon had a reasonable return and exchange policy?

S.NO PARTICULAR NO.OF PERCENTAGE


RESPONDENT
1 Strongly agree 36 60
2 Agree 12 20
3 Strongly disagree 2 3
4 Disagree 3 5
5 neutral 7 12
Total 60 100%

INFERENCE:

From the above information the respondent are strongly agree with the reasonable return
and exchange policy.
TABLE NO.17

13. So far, you got the product at the time estimated delivery given?

S.NO PARTICULAR NO.OF PERCENTAGE


RESPONDENT
1 Strongly agree 36 60
2 Agree 12 20
3 Strongly disagree 2 3
4 Disagree 3 5
5 Neutral 7 12
Total 60 100%

INFERENCE:

From the above interpretation the respondent are so far strongly agree with the product at
the time estimated delivery given.
TABLE NO.18

14. Instead of other shopping application, you are able to retain or regular customer of Amazon?

S.NO PARTICULAR NO.OF PERCENTAGE


RESPONDENT
1 Strongly agree 36 60
2 Agree 12 20
3 Strongly disagree 2 3
4 Disagree 3 5
5 neutral 7 12
Total 60 100%

From the above interpretation, majority of the respondent have strongly agree to be a
regular customer of amazon.
TABLE NO.19

15. Based on your overall experience, are you fully satisfied with the service, product and other
commodities of Amazon?

S.NO PARTICULAR NO.OF PERCENTAGE


RESPONDENT
1 Strongly agree 36 60
2 Agree 12 20
3 Strongly disagree 2 3
4 Disagree 3 5
5 neutral 7 12
Total 60 100%

INFERENCE:

From the above interpretation majority of the respondent are strongly agree with the service
of amazon.
OBSERVATION
AND
FINDINGS
FINDING

 More females are given respondent to the questionnaires as compare to male with
47%.

 The majority of the respondent are came from the age range of 9 to 20 years.

 The data was collected from students with 40% and the lowest response was collected
from professional and house wife with the 7%.

 Majority of the data collected from the customer income range of above 80000.

 The data collected from married customer with 63% and 43% from single.

 The majority of respondent response that they are using the product of amazon more
than 1 year.

 Most of the respondent spend on online shopping only twice a month.

 The main reason for prefer amazon is due to first delivery.

 Most of the respondent spend around 1000 to 1500 for shopping with amazon.

 The customers are shopping amazon based on availability of the product.

 Refine out that most of the customers are prefer cash on delivery while purchase on
amazon.

 Customer are use online shopping because it save time of the customer.

 The uniqueness of the amazon application as a compare to other online application


because of fast delivery.

 The sources which make the customer purchase product from amazon is due to family
and friend source.

 The overall satisfaction of customer based on the fast delivery and quality of the
product.
 While Purchase on amazon according to customer price is fully matter.

 Customer are strongly agree with the reasonable return and exchange policy of
amazon.

 Customer are fully satisfied with the delivery services because they received product
on time.

 Most of the respondent are agree to be regularly and loyal customer on amazon.

 Based on the overall experience with amazon customer are fully satisfied with the
product, services and other commodities.
SUGGESTION
AND
CONCLUSION
SUGGESTION

The researcher has made personal contact with the respondents who have purchased
products and services through online. It is concluded that most of the respondents have a
good opinion about online shopping, though there are so many problems to be improved by
the vendors and service providers

These suggestions are as follows:

 As there are no proper laws for online purchases, they have to be implemented to
prevent the anonymous intruders. This will help to maintain security and private
information properly concerning the respondents. So the website developers and
service providers should take necessary steps to overcome this problem.

 Web based technologies upgrades creative conceptualization that would improve the
response from technology savvy consumers. So the firms have to invest in such new
technologies.

 Internet environment has to be improved in the areas of art, dynamic and interactive
techniques. This improvement will give more visual appeal.

 In most of the websites the given information, features about the product on
the website and product received from the online vendor are different. This will
create lack of customer satisfaction. So the online vendor should take necessary
steps before dispatching the products to the consumer site. It creates good
opinion about the online vendor and creates repurchasing power of the
respondents.

 Even though consumers are educated they are not interested to purchase
products through online because of infrastructure shortage, they do not know
how to order the product online and they have lack of confidence on payments.
So the vendor companies and online service providers have to create awareness
to consumers as how to order the product online
CONCLUSION

 In the past, consumers had sufficient time to visit shopping centers, searching for
various products. Many consumers prefer bargaining and decide the purchases after
physical examination of the commodities.

 The entire process can range from a few hours to weeks depending on the product,
quantity, quality and source of purchase. Today there is radical change in the entire
scenario. Everything in today’s world is Internet oriented like Electronic Data
Interchange, E-Mail, E-Business and E- Commerce. E-Commerce is exchange of
information using network-based technologies. In the present high cost situation, e-
Commerce can be used as a competitive strategy. It successfully includes the entire
online process of developing, marketing, selling, delivering, servicing and paying for
products and services.

 Online shopping is a vast growing technology. If it is properly utilized with assured


safety and security for the transactions, it will thrive into a highly competitive and
dynamic environment.

 Online shopping is becoming more popular day by day with the increase in the usage
of World Wide Web known as www. Understanding customer’s need for online selling
has become challenge for marketers. Specially understanding the consumer’s
attitudes towards online shopping, making improvement in the factors that influence
consumers to shop online and working on factors that affect consumers to shop
online will help marketers to gain the competitive edge over others.

 In conclusion, having access to online shopping has truly revolutionized and influenced
our society as a whole. This use of technology has opened new doors and
opportunities that enable for a more convenient lifestyle today. Variety, quick service
and reduced prices were three significant ways in which online shopping influenced
people from all over the world. However, this concept of online shopping led to the
possibilities of fraud and privacy conflicts. Unfortunately, it has shown that it is
possible for criminals to manipulate the system and access personal information.
Luckily, today with the latest features of technology, measures are being taken in
order to stop hackers and criminals from inappropriately accessing private databases.
Through privacy and security policies, website designers are doing their best to put an
end to this unethical practice. By doing so, society will continue to depend upon
online shopping, which will allow it to remain a tremendous success in the future.
ANNEXURE
A STUDY ON CUSTOMER SATISFACTION WITH REFERENCE TO AMAZON ONLINE SHOPPING

Personal information:

 Age

15-19yrs 1 40-49yrs 4
20-29yrs 2 50-59yrs 5
30-39yrs 3 60+ 6

 Gender

Female 1 Male 2

 Profession

Students 1 Professional 4
Service 2 House wife 5
Business 3

 Income

Less than 20,000 1 60,000-80,000 4


20,000-40,000 2 Above than 80,000 5
40,000-60,000 3

 Marital status

Married 1 Single 2
Questionnaire

1. How long you are using the product and shopping by Amazon?

1month 1 Less than 1 years 4


Less than 1 month 2 More than 1 years 5
1 years 3

2. How much time you spend on online shopping?

Everyday 1 Twice a months 4


Weekly once 2 Every 2 or 3 months 5
Once a months 3

3. What are the main reasons you preferred amazon for shopping?

Less price 1 Standard 4


Good quality 2 More options 5
Fast delivery 3

4. How much you can spend for shopping on Amazon?

Under 500 1 1500-2000 4


500-1000 2 Above than 2000 5
1000-1500 3

5. Are you shopping with amazon based on?

Discount & offers 1 Fast delivery 4


Product quality 2 Fair deal 5
Availability 3

6. What is the mode of payment you usually preferred the most?

Credit card 1 Net banking 4


Debit card 2 Others 5
Cash on delivery 3

7. Why you are choosing Online shopping instead of offline shopping?


Save time 1 Wide choices 2 Ease to
find
product
8. What is the uniqueness in service of Amazon which satisfied you as compared to other shopping
Applications?

Reasonable return or 1 Transactions security 4


exchange policy
Quality product 2 Others 5
Fast delivery 3

9. What are the sources which make you purchased product from Amazon?

Family & friends 1 Transactions security 4


Online 2 Advertisement(print & 5
Advertisements broadcast)
Promotional emails 3

10. Overall, what make you fully satisfied the most while shopping with Amazon?

less price 1 Transactions security 4


Discount & offers 2 Quality product 5
Fast delivery 3

11. The price is matter when you shopping from Amazon?

Strongly agree 1 Disagree 4


Agree 2 Neutral 5
Strongly disagree 3

12. Amazon had a reasonable return and exchange policy?

Strongly agree 1 Disagree 4


Agree 2 Neutral 5
Strongly disagree 3

13. So far, you got the product at the time estimated delivery given?

Strongly agree 1 Disagree 4


Agree 2 Neutral 5
Strongly disagree 3
14. Instead of other shopping application, you are able to retain or regular customer of Amazon?

Strongly agree 1 Disagree 4


Agree 2 Neutral 5
Strongly disagree 3

15. Based on your overall experience, are you fully satisfied with the service, product and other
commodities of Amazon?

Strongly agree 1 Disagree 4


Agree 2 Neutral 5
Strongly disagree 3

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