FACTORS STIMULATING PURCHASE INTENTION AND PURCHASE

BEHAVIOR OF ONLINE STORE CONSUMERS

Abegail Tolibas, Chenelle Ashley Palileo, Daniel Morente, John Patrick Pelingon, Kaye Matibag,
Kerstein Keith Saboy, Maricris Mateo
12 ABM 02

Research Paper in Practical Research 2

Senior High School Department
Adamson University, Manila, Philippines

Mr. Jordan D. Manlapaz

Research Adviser

Introduction Wolbert, Visa country manager, claimed, "In

this new normal, we're seeing a shift-Filipinos
Technology has had a tremendous
are becoming more digital, and the COVID-19
influence on the business world, allowing
situation has forced consumers to adopt this
entrepreneurs to reach out to previously
behavior change". "They are shopping for
unattainable customers. According to Manila
essential goods and services such as groceries,
Times (2013) titled ‘The Reader's Digest
drugs, and pharmaceutical goods and making
Trusted Brand Survey 2013’ states that 17
bill payments for their telecommunication
percent of Filipino respondents have
services.". It is evident that the market demand
significantly changed their shopping habits in
for online stores in the Philippines of today's
the face of the rising number of online stores in
time is truly outstanding. With the increased
the last two years. Only seven percent of
community quarantine, most brick-and-mortar
Filipino shoppers trust online comments
businesses also have to close, pushing retailers
regarding brands or products, while less than 10
to reconsider their business strategies and use e-
percent of Filipino respondents actively share
commerce platforms to continue operating
their brand experiences online. In the present
today. In contrast, based on an article, the
day, Philstar published that 7 out of 10 Filipinos
Department of Trade and Industry (DTI)
expect to increase their online shopping as the
revealed that the number of consumer
coronavirus disease 2019 or Covid-19 pandemic
complaints linked to online purchases increased
continues to translate into a shift in consumer
significantly in 2020 compared to prior years.
behavior, according to a study by digital
DTI Undersecretary Ruth Castelo said her
payments leader Visa. In this report, Dan
agency got 14,869 complaints on online online stores as their platform in purchasing
transactions from January to October 31 this products. Gen Z are the ones who have enough
year during an online hearing before the House knowledge that can easily relate in this study,
committee on trade and industry. Consumers duly because they are more accessible and they
also grumbled about terrible customer service, patronize the use of online space in purchasing
advertising and sales promotion difficulties, their goods. Aside from that, researchers also
consumer product quality and safety concerns, consider their knowledge in modern
and billing challenges, among other things technologies and innovations in business trends.
(Inquirer, 2020). According to Chang, H., & The researchers started this study last October
Chen, S, the study aims to investigate whether 2021 and will gather data by January at a digital
online environment cues (website quality and platform targeting respondents from Metro
web site brand) affect customer purchase Manila. A research survey questionnaire will be
intention towards an online retailer. The study provided to get the answer of the respondents. It
also aimed to assess the degree of reciprocity is known that purchasing a product online needs
between consumers' trust and perceived risk in a technology that a person will use. It is for the
the context of an online shopping environment. researchers to also know and understand the
This issue may have also affected both purchase respondents behavior and intention when it
intention and online store customers' purchase comes to purchasing products online.
behavior negatively when shopping.
Nonetheless, there are still high numbers of
Filipino consumers who are into this kind of Statement of the problem
platform since it gives them the convenience of
doing multi tasks without leaving the comfort of The findings of this study will redound
their homes. As for the whole business industry to the consumer behavior with their level of
that most of them are engaging to an online purchase intention through online. It examines
platform, this study will find Filipino consumers' the purchase decision-making process and its
different perspectives regarding the factors when consequences to the buyers. Therefore, the target
it comes to their purchase intentions and of this study is to define and determine the
behavior. For entrepreneurs to know their target stimulation degree of online store consumers in
customers' wants, needs, and other aspects, they purchasing a product through the online
need to apply or consider an online store. marketplace, that will make way in the
Meanwhile, respondents are the individuals who navigation of an e-commerce. By which this
will be part of the research. In this study, the study states what it wants to achieve in a general
target respondents will focus on Gen Z's that use and specific manner by the end of the whole
research paper in the academic year 2020-2021, the population. The research started on October
in Adamson University. The following are the 11, 2021 and will be done in March 2022. The
general and specific statements of the problem. place of study is at Adamson University which
is located at 900 San Marcelino Street, Ermita,
The primary purpose of this Manila. Moreover, the researchers will take
investigation is to determine and assess place within Metro Manila with about 100
factors affecting the consumers behavior respondents and through online spaces given the
corresponding to their level of purchase fact that the researchers would not be able to
intention in the light of the limited physical hold a physical investigation brought by the
establishment brought by the pandemic, pandemic. By their answers the researchers will
which consumers will likely refer to online be able to know the significant relationship
shopping. between the purchase intention and purchase
behavior to online store consumers. This study
1. What is the demographic profiles of will not cover other problems that are not
respondents in terms of considered as one of the purchase intentions and
a. Age purchase behavior of the consumers.
b. Gender Additionally, the other people which do not fall 
c. Social Classes by Income level as Generation Z are not within the scope of this
d. Geographical Location research.
2. What is the level of purchase intention
of the respondents?
3. What is the buying behavior of the Significance
respondents? Consequently, It investigates the rise in
4. Is there a significant relationship average spending and even a reduction in the
between purchase intention and buying frequency of purchases. Moreover, this
behavior of the respondents? investigation will prove how subjective norms
affect the purchase intention, and behavior of
online consumers.
Scope and delimitation of the study
In conducting this study, the benefits
The study focuses on the purchasing that would be drawn out thereafter the
decision-making mechanism and its implications conclusion of this paper, would have an impact
for shoppers. The data collection will be on business firms/owners, online consumers,
conducted to Generation Z, who will represent economy, and to the researchers who are
currently Accountancy Business Management triggers their purchase intention will definitely
students. be marked as an advantage for business firms, it
will increase their market segmentation strategy,
ABM students- Obtaining additional so that they could divide their consumer based
information that are essential for them in future on their convenience, preference, interest and
trading activities whether it might be about other factors. Consequently, it provides
selling second hand products or a legitimate resources for higher sales and profits that will
business. Furthermore, it will provide an in- help in their long run in the industry of
depth understanding on how commerce works, commerce. On the other side, it also means the
specially when they are bound to adjust due to acquisition of a vital value of being flexible
unfavorable conditions just like the pandemic, since they would oversee the purchase intention
whereas they will be forced to identify and behavior of their customers online.
consumers’ purchase intention and behavior in
online platforms. Hence, it is vital in Online customers- They will see the
performance tasks that hones their skills as value of having an alternative method in availing
professional marketers in spite of a limited the essential goods and services as well as their
range of audience in an online market. wants. It would be much suitable to their buyers
since their dislikes and likes in buying a certain
Business firms- They would be able to product is determined.
figure out factors affecting customers’ decision
making in purchasing a commodity. It will be Economy- Given the centrality of online
useful in increasing their customer base that can purchases, it is used also to evaluate the
pave the way in providing surveys as to what influence of customer purchasing intent and
will be the equilibrium between price points and behavior in both developed and developing
the demand of their product. Assessing factors economies. It is common knowledge how
on these variables would help businesses to businesses have continuous progress due to the
navigate their stability and what kind of online platform. E-commerce became the
operation they will have especially when the regular way of conducting business (Downing &
most available platform as a marketplace is the Liu, 2014) and with development of social trust,
internet. Consequently, by understanding what it significantly contributes to the economic
values or attitudes their consumers consider in growth (Qu, Pinsonneault, Tomiuk, & Liu,
their purchasing behavior, allows businesses to 2015).Hopefully, this research will give a better
distinguish what products are obsolete and are in understanding of the changes in the habits
high demand. Additionally, knowing what towards buying online. Furthermore, having an
extensive comprehension on the value of Market place is the platform where businesses
innovating in an industry where there is a interact with their customers.
continuous growth and development of new Purchase behavior is the subsequent action that
trends to increase their customer base and their is inline with the purchase intention.
long run. Purchase intention -refers to a customer's
attitude toward assessing their ability and
willingness to purchase a product or service.
Hypothesis

In line of the problem presented, the Theoretical Framework

researchers come up with this null hypothesized:

HO₁: There is no significant relationship The theory of planned behavior (TPB)

between purchase intention and purchase introduces the concept of perceived behavioral
behavior of the consumers in an online store.
control (PBC) to the theory of planned behavior
and defines it as the determinant between the
purchase intentions and behavior of the
Definition of terms
consumers in an online store (Ajzen, 2002). In
this research, PBC is defined as the consumers
The following terminologies are used
perception on how they control themselves when
and have significant role in the completion of
purchasing a product on an online store. Due to
this study:
the online environment uncertainty, some
consumers may lose control that can result in
Attitude tells how we think or feel of
indecisive decisions. Therefore, perceived
something.
behavioral control is an important component to
Businesses are established economic
examine in this study in order to fully
organizations that earns profit in exchange of
understand how consumers decide and their
their goods and services
behavioral intentions are determined in the
Customers/Consumers are clients who avail
situation of purchasing online. People are more
certain goods or services.
likely to prefer situations in which they have
CoVid-19 pandemic is a world wide crisis that
control over the situations in which other forces
people are forced to adjust to.
have control (E.S.T. Wang, 2014). Particularly,
Ecommerce allows businesses to continue
in this study it aims to prove that there is a
trading operations on the internet.
direct relationship between the perceived
Generation Z are individuals aged between 9
and 24 years old.
behavioral control of the consumers and their
online purchase intention.

The theory of Culture Determinism is related to

this study. Cultural influences can affect the
buying behavior of the individual. A person's
culture appears to be the values and attitudes
which consumers have developed while growing
up in society. These values and beliefs lead to
certain buying behaviors. E-commerce Figure 1. Conceptual Framework
contributions in a community such as family and
friends could influence purchase behavior Figure 1 represents the variables that will
depending on the social status, which is be used in the study. All factors that have been
influenced by your occupation, income, and mentioned/written in the format are to be tackled
education. Puri (1996) proposed a two-factor in the research paper. This study will only focus
cost-benefit accessibility framework based on on online store consumers whose population will
research on impulsivity, self-control, and time- be represented by respondents from the
inconsistent preferences, as well as a pleasure Generation Z. Thus, the respondents
perspective, in which an individual feels an demographic profile shall be acquired: their age,
irresistible urge to buy a product when exposed gender, social classes by income level, and
to it. This theory's fundamental assumption geographical location as for these may
would be that a customer's impulse actions are contribute in identifying the different behaviors
determined by what s/he perceives better in a online store consumers practice. Their acquired
buying situation - the cost of purchase benefit – measurement and observation on purchase
or both of them, as well as an individual intention and behavior will provide opportunity
disposition, to buy impulsively. for the completion of the study and shall offer
suggestions and recommendations to businesses
to improve and maximize their platform in the
market. For the Purchase Intention this refers to
consumers attitude towards purchasing behavior
and consumers degree of willingness to pay or
the willingness of customer to buy a certain
product. Moreover, the purchase intention, being
Conceptual Framework the independent variable, consists of sub-
variables; product perception, shopping or brand caters to their satisfaction upon
experience, customer service, and risk purchasing a product.
associated with purchase. All of the said sub Methodology
dimensions contribute to the enjoyment of
online store consumers that serves as a The study will be carried out in the form
stimulator that will determine their decision of quantitative research, which will examine the
making or purchase behavior. Successful degree of purchase behavior preceded by the
interactions between consumer and platform consumer's purchase intention, and will involve
foster customer loyalty, readiness to try new the collection and analysis of numerical data.
products, trust in the platform online shopping With the scores or findings gathered, they can
(Hussain and Li, 2021). In proper utilization of reflect on their understanding of the relationship
social platforms, specifically e-commerce- between purchase intention and behavior. As a
consumer engagement and transactional result, a Correlational Research Design was
conversations would likely to rise. For the chosen.
reason that these are features of a marketing
strategy in businesses to attract or hold the It is typically used in investigations to
attention of customers, that might be an test accurate hypotheses, perform statistical
insinuation for them if the process of availability analysis, and conduct large-scale population
of the online products is possible. Thus, these research, such as gathering evidence for a
elements are to be considered in their consensus. At the same time, it establishes
subsequent behavior of interacting with the relationships between variables without
organization. On the other hand, purchase manipulating or controlling them (Bhandari,
behavior shows the consumers attitudes towards 2021). As a result, in a comprehensive study
a marketing strategy or the trading of a regarding factors stimulating purchase intentions
commodity. Consumers spend time carrying out and behavior of Gen. Z consumers, particularly
research and comparing multiple products. when the feasibility of going into physical
Online Selling helps consumers save time and establishments is uncertain due to changes in
effort the same goes with the seller. You can who is permitted to leave their respective homes.
even still deal with the seller with a good In such a process, the researchers will pave the
discount. With such offers being said, their way for understanding the degree of their
attempt in availing what is in store corresponds willingness in the findings where there is
to their liking on the performance and service of supposed to be a natural relationship between
an online store, hand picking as to what branch variables. Equally important it explores the
commodities being purchased for the reason that
their marketing environment partakes to the part of Generation Z which are classified by
online consumers’ purchase intention and their ages and behavior as a consumer. Thus, the
behavior, all of which are included as indicators respondents are composed of people from
in the Likert scale to be used. Hence this Generation Z since they are the ones who are
investigation’s data collection is aided through more involved in online shopping these days. In
questionnaires by which respondents are terms of the sample size, the research will have a
selected in a purposive sampling technique. total of 100 respondents.
under the non-probability sampling
Purposive sampling is a non-probability
In terms of data collection, respondents sampling technique used to assist in the selection
are Gen Zs who buy patriots commodities of respondents. Furthermore, EMMEL (2013)
whether through online markets or physical stated that when using theoretical or purposive
stores. The results extracted from participants sampling, the researcher is reflective and acts
are the primary source of data for this study. To empowered to respond to empirical findings and
get their responses the distribution of google theoretical discoveries. On online stores, Gen Z
forms that consist of a privacy agreement, the consumers as the population are more diverse,
questionnaire itself, and the demographic profile that is why in coming up with the sample size,
of the respondents to confirm that they meet the the researchers formulated criteria based on
criteria which are in line with the researchers ideal judgment, in which certain attributions of
sampling technique. In terms of secondary the respondents will hand out clarity in regards
sources of data, researchers will rely on existing to the query presented. Wherefore, in choosing
data by searching, reading some articles, and the respondents they must qualify for the
browsing completed research that is relevant to following criteria: (1) Generation Z’s with the
the study, which will be of great assistance to us age range of 17 to 24 years old, (2) have 500
researchers. to 1,000 pesos weekly income, (3) should be
living in Manila, (4) a regular buyer from an
Also, the population of this study is online store and lastly, (5) purchase a product
Generation in the area of Manila. Provided that twice to thrice a month. Hereafter, if the If
Manila is one of the centers of urbanization and heterogeneity is low and units are similar to each
commerce and the country as well as the over 14 other, a smaller sample will suffice. As a result,
million people population, gives the perfect area the self-report Likert scale is one of the most
of the study with evidently the number of common measurement methods (Baumeister et
respondents to consider. The totality of the al., 2007; Clark and Watson, 2019). Likert scales
population will consist of respondents that are provide a convenient way to measure
unobservable constructs, and published tutorials intentions and purchase behavior of consumers
detailing the process of their development have about products and services.
been highly influential, such as Clark and
Watson (1995) and Hinkin (1998) (being cited Data Gathering Procedure
over 6,500 and 3,000 times, respectively,
according to Google scholar). In a study conducted, the relevance and
influence of the researchers provided help for
Subsequently, the acquired data for this future solutions, which identified variables
research is through a survey and a questionnaire, based on the current status of e-commerce and
where the same questions are asked of a large its online consumers during the pandemic. In
number of respondents, resulting in a sample which a hypothesis negates the significance
size of 100 out of 100 Gen Zs residing in between the two has been established. Hence,
Manila, usually with predetermined responses. the reality of the industry was revealed in news
which is composed of two parts. The first part, articles, existing researches, and other related
purchase intention, is made up of four sub- literature paved the way in comprehending the
variables; product perception, shopping necessity and gravity of investigating the study.
experience, customer service, and risk Later on, the research title and research problem
associated with the purchase. All of the said sub- were formulated directing the events of creating
dimensions contribute to the enjoyment of the paper.
online store consumers. The second part is about
purchase behavior, which consists of 4 sub- The acquisition of the required
variables as well; perceived, time-saving, data starts off last October 7, 2021, from the
website design, and security. All of which collection and analysis of review of related
contribute to affecting buying behavior while literature and study, formulation of
purchasing or exploring things online. In methodology-consisting the sampling technique,
composing the questionnaires, the researchers and frameworks, all of which have been
use closed-end questions, in which respondents elucidated upon numerous consultation from the
are given a set of predefined options to choose professor. Consequently, identification of
from, such as strongly disagree, disagree, and mediums to gather the primary data through the
agree, among a set of multiple-choice questions. assessment of the respondents' demographics.
The rating scale that will be used to conduct the Afterward, the content validity of the intent
survey is the Likert scale. This will help the purchase scale, and purchase involvement scale
researchers to understand the purchase has been requested. The utilization of the said
instruments is to be fulfilled once effective
communication with the target respondents has Frequency Distribution. This will be
been conducted, whereas the platform for used to determine the profile of the respondents.
This will serve as the tabular representation of
reaching them is probably in social media and
the respondents when their frequencies are
emails. arranged based on their age, gender, social
classes by income level, and geographical
location. The data to be gathered for this
Hereafter, the data obtained
statistical tool can be acquired from the first part
from the unstructured questionnaire will be of the questionnaire which is allotted for the
analyzed and interpreted through statistical profile of the respondents.
analysis and assistance of two professionals in
Pearson. This statistical tool is the best
distinguishing the significant relationship to utilize in testing for statistical relationships or
between the level of purchase intention and associations between two continuous variables.
buying behavior of online consumers. Once data Because it is based on covariance, it is widely
regarded as the best method for determining the
gathering has been done with the aid of rating degree to which two variables are related. It
scales placed in google form survey and the provides data on both the size and the direction
results of the score are classified into three of the link or correlation. For this study, Pearson
r will be used to determine the significant
categories (1) 30-60 = low level, (2) 61-90 =
relationship between the purchase intention and
moderate level, and (3) 91-120 = high level. buying behavior of the respondents.
Additionally, respondents whose level of
Formula:
purchase intention is high, reveal their impulse
Σ ( x i−x ) ( y i− y )
and constant shopping behavior. r=
√❑

Research Instruments
Wherein:
r =¿ correlation coefficient
Level of Purchase Intention and purchase x i=¿ values of the x-variable in a sample
Behavior response profile x=¿ mean of the values of the x-variable
y i=¿ values of the y-variable in a sample
y=¿ mean of the values of the x-variable
Data Analysis

Percentage. According to the

The research will utilize the following percentage of observations, each data point or
statistical tools to respond with the objectives in grouping is shown in a graph. It is a statistical
Chapter 1. The statistical tools will help the tool used for analyzing answers on surveys or
researchers evaluate the gathered data focused questionnaires, most commonly for determining
on the level of purchase intention of the the different compositions in a population.
respondents and their buying behavior.
Formula:
 f
P= ×100
n

Wherein:
P=¿ percentage
f =¿ frequency
n=¿ total number of the respondents

Arithmetic Mean. This will be used to

determine the descriptive analysis of the
variables used in this study. As the survey forms
are composed of questions that can be answered
through the use of Likert Scale, the descriptive
rating (based on the scale weight of the Likert
Scale) for a specific variable will reflect the
acquired arithmetic mean with the help of the
key indicators from each part/category of the
survey form.

Formula:
Σx
x=
n

Wherein:
x=¿ mean score
Σ x =¿ sum of values
n=¿ number of observation

Reliability