Collection And Delivery Points Have Impact On Consumer Buying Behavior In Online Retail Selling

The significance of consumer perspective in designing the delivery system of goods

The proposed the research is based on the consumer perspective regarding the acceptability and delivery points of goods. This mean the research identifies how or to what extent consumer perspectives are significant when designing the delivery of the product.  As put forward by Weltevreden (2008), a consumer perspective can contribute much to improving the delivery system of goods.  Moreover, it has also been identified that the increase in global online retail sales throughout the last decade leads to a huge increase in the number of good items to be delivered. Even though, the vehicles kilometers travelled related to sipping trips may decrease as the consequence of the e-commerce selling, a growing number of failed home deliveries may out-weight this decline. This can even worsen the remote transportation issues, which is usually occurred due to high car dependency. The purpose of the research is to investigate consumer perspective towards the establishment of collection and delivery points in online retail selling.

It has been observed that consumer perspective towards online retail selling ay include due to failure of deliveries of goods. The E-commerce implementation has carefully been studied with the consumer perspective and purchasing behavior but how collection and delivery points influence the consumer attitude and acceptability towards the goods (Bell, Corsten and Knox 2011).  Even though online selling and adoption of e-commerce is rapidly covering the global markets, the collection and delivery points have recently been introduced in some particular location. This means though the markers using technology and ecommerce trends are approaching the customers in the remote areas but the delivery points are not developed in all locations. Consequently, the customers find it difficult to collect their products. For example, if a customer has to travel kilometers to receive the product despite paying the charges, his/her purchasing decisions may be influenced.

Pantano and Viassone (2015) mentioned that the even though e-commerce vendors are seeking to travel hundreds of kilometer to deliver the products to the customers but there are several incident of failed delivery. Verhagen and van Dolen (2011)  particularly,  mentioned that in some European nations such as France, UK, Netherlands, Collection and delivery points have been established to enhance the efficiency of delivery and reduce the number of failed delivery. However, this initiative has not been taken in some potential global market. For example, the large market like China and India is rapidly adopting ecommerce trends in business but there several remote locations where collections and delivery points are not developed yet.  Such late response to the issues is affecting the customer-purchasing attitude.

Challenges in online retail selling due to failed delivery and the need for collection and delivery points

The aim of the research is to examine consumer perspective towards the establishment of collection and delivery points in online retail sector. So, in order to fulfill the research, the following key objectives are developed:

• To examine how failed deliveries of products perceived as major problem with online shopping
• To analyze the challenges in establishing Collection and Delivery points

• To develop suitable suggestions for establishing the Collection and Delivery points

This introductory chapter presents the significance of the topic by stating the purpose of the research. The research is supposed to be conducted on Collection and Delivery points factors in online selling to learn how consumers are influenced by these two aspects. Therefore, in order to stand the research clear research aim and objectives have been formed based on which a review of literature will be conducted and appropriate research techniques will be chosen.

It is identified that in today’s business environment customers tend to expect online retailers to provide more convenient and more personalized delivery options to adapt to their busy life style. In this context, Fagerstrøm and Ghinea (2011), the customers will not hesitate to discard an online purchase if the delivery option if the delivery option they want is not available. On the other side, Pookulangara and Koesler (2011) conducted a  research and surveyed 3000 adults and found that almost 33% of the consumers confirm that they have purchased goods from one particular retailers in preference to another as the delivery options on offer proved to be  more effective and appealing. However, Nazir et al. (2012) mentioned that only 49% of respondents have mentioned that they have been happy to pay additional charge for better and convenient delivery option. This finding clearly indicates that how e-commerce directors could continue to focus exclusively on making changes to front end-website capability are missing an increasingly obvious. In this context, Colla and Lapoule (2012) mentioned that consumers today might not hesitate to discard shopping baskets if they experience unsatisfactory delivery points. On the other site, Song et al. (2009) conducted a research and found that almost 51% of buyers confirm they failed to process an order because of poor delivery options.

On the other side, McLeod, Cherrett and Song (2006) conducted a research and found that almost 21% of the respondents have motioned that delivery has not been guaranteed by any certain date; thereby, the ultimate delivery of goods took a lot of time. Likewise, Edwards et al. (2009) conducted a research the impact of collection and delivery points and found that almost 76% of the consumers have mentioned that they view a retailer’s return option before placing an order of item. Likewise, the authors have mentioned that almost 52% of the respondents have mentioned that they failed to proceed with a purchase because the return processes offered to the consumers were not easy and convenient for them (Song et al. 2009). This particular study helps to understand that when it comes to consumer expectation from the online retailers, the consumers have mentioned that they want the delivery options to e displayed clearly on the page. On the fact of convenience almost 85% of the respondents mentioned that they want fast delivery, while, 81% say that they want a guaranteed delivery date (Edwards, McKinnon and Cullinane 2010).

Global trends in adopting collection and delivery points and its impact on consumer attitude and acceptability

 Likewise, almost 80% of the respondents mention that want a dedicated time slot to be given. On the other side, MetaPack Delivery Consumers Choice: 2015 Sate of eCommerce Delivery’s Survey was implemented  online with almost 3000 respondents across all US and some European nations such as UK, France, Netherlands, Germany to understand consumer delivery and demand (Al-Debei, Akroush and Ashouri 2015). The findings disclose some significant and attractive differences in delivery expectation between European Nations and US consumers.

 Variance in delivery preferences: Collection of in store most popular after home delivery

A put forward by Guo and Jaafar (2011) when it comes to the series of delivery options used, the shoppers in today’s digital business environment order to utilize some particular services besides the home delivery. This remains universally popular with all consumers, almost 90% of the respondents of the research claims to be using this option in the last six months.  The findings of the survey also indicates that collect in store topped the list of all alternative to home delivery and remains most popular with UK(47%) and shoppers in US (33%) (Rohm, Kaltcheva, and Milne 2013). Conversely, it is also found that the delivery to the local shops or the pickup point remains as the second most popular choice- particularly for almost 48% of French consumers. Ultimately, deliver to a customer’s locker, remains as the least popular with most shoppers across Europe and United States, where only 20% of the customers of Germany mentioned that they have used sic service in the last few months (Lewis 2015).

Delivery experience influences consumer loyalty

As mentioned by Song et al. (2009), a negative delivery experience could turn customers off considering a retailer again. Almost 51% of Spanish consumers would not prefer to ship with a retailer again considering a poor experience and there is a possibility that they could broadcast their displeasure through social media (Colla and Lapoule 2012.). On the other side, 56% have confirmed that they have used social media to express their views less than a positive experience. According to Colla and Lapoule (2012), conducted a research on this contest and discovered that in Germany almost 49%, almost 49% in UK and almost 47% in Dutch consumers mention that they would never use a retailer again due to bad experience. On the contrary, a study conducted by Nazir et al. (2012) reveal that consumers in US reached a high level of frustration and they have mentioned that due to bad delivery experience, they can go on withdrawing their loyalty from the retailer.

Consumer expectation from online retailers regarding delivery options

Future wants and needs: Multiple delivery methods appeal to customers around the world

Pookulangara and Koesler (2011) conducted a survey for their research on customer demand towards the online shopping and in the survey, when the customers were asked about what delivery service they would prefer using in the future, a little appetite was found for a direct delivery service into customer’s car boot or trunk. On the other side, Fagerstrøm and Ghinea (2011) mentioned that the most criticized drone delivery concept gained a significant enthusiasm among the US and German shoppers. However, few of the customers have also mentioned that securing a box outside their home, nonetheless, proved to be a wining concept for almost 21% of US shoppers (Fernie, Sparks and McKinnon, 2010).

H0- Collection and Delivery Points have impact on consumer buying behavior in online retail selling

H1- Collection and Delivery Points have no impact on consumer buying behavior in online retail selling

A research philosophy usually deals with the source, nature and enhancement of knowledge. In a more specific way, it can be mentioned that research philosophy is a belief that about the ways in which information about a particular phenomenon should be collected, analyzed and used. There are three different types of research philosophy such as positivism, intrepreitvism and pragmatism.  As put forward by Roberts (2013), positivism research philosophy views the world as independent and real where the parties or organization resides as discrete entities. It is also identified that positivism research philosophy could support the integrated technique methods  throughout the nature and the society, which can be studied in the same specific way. On though contrary, interprevisim research philosophy considers the social world as different form the nature world and socially established (Mkansi and Acheampong 2012). Hence, the research authority or the organization is usually considered as the product or the entity of a discussion. Conversely, the pragmatism encourages a particular philosophy of meaning which considers the facts of reality as socially negotiated or discussed but they are valid as they generate more real-world outcome. However, in the proposed research, the positivism research philosophy will be selected.

Positivism research philosophy will be selected for the research as it delivers the primary number as well as statistical modeling to provide the quantifiable and generalisable implications. This could further help to develop scientific laws and theories. In addition, in positivism research philosophy, the research can be analyzed on the basis of the criteria reliability and validity. On the contrary, interpretivism research philosophy will not be applied in the proposed study because the findings o the research are typically judged involving the criteria  of normal adequacy, contextual sensitivity and meaning.

Variation in delivery preferences and its influence on consumer loyalty

The research approach is divided into two types such as deductive research approach and inductive research approach. Neuman (2013) particularly mentioned that deductive research approach experiments and tests the validity of assumptions in hand, whereas inductive research approaches helps to form the emergence of theories as well as generalization. Furthermore, Taylor, Bogdan and DeVault (2015) conducted an article and mentioned that deductive research approach is widely concerned with the development of hypothesis on the basis of the theory and then develop strategy to verify the hypothesis. Conversely, Bernard (2017) mentioned that inductive approach starts with the theories and observations that are usually proposed towards the final implication of the research process as the consequence of observation. In this context, Humphries (2017) also commented that inductive research includes the search for pattern from observation and explanation. Hence, when applying inductive research approaches no theories and hypothesis is required. Nevertheless, in the proposed study, deductive research approach will be selected.

Justifying deductive research approach for the proposed study

For the proposed study, deductive research approach will be selected deductive research leaves the scope deriving an authentic outcome from the research findings.  In addition, the deductive research will be appropriate because it could provide the possibility to describe and explain the casual relationship between the concepts and variables. In addition, this research approach particularly provides the possibility to measure the concepts quantitatively. Moreover, the deductive research approach provides the possibility to generalize the findings to a certain extent.

For the proposed study, both quantitative and qualitative research method will be used. As put forward by Smith (2015), quantitative research techniques explain and measure the range of occurrence based on the numbers and calculations. More specifically, the questions such as “how many” and “how often” are usually asked in the quantitative study. In this context, Flick (2015) also mentioned that quantitative data collection techniques are usually based on the numbers and mathematical data collection. Conversely, the qualitative data collection methods are based on random sampling ad structured data collection instruments.

According to Roberts (2013), the finings of quantitative studies are typically easy to present, compare and generalize. The quantitative research method will be used because quantitative method helps to collect the real-world data, practical, facts, opinions ad consideration of the customers towards the Collection and Delivery points strategies of the online retailers. The collected data can be analyzed with the facts and opinions found in the literature review. On the other side, qualitative research method will be used because qualitative research methods help to analyze the content, which include the technique of categorizing verbal or behavioral and tabulate data. For example, as the research requires real-world facts evidences, a manager of a retail organization can be interviewed to learn the challenges of developing Collection and Delivery points. Thereby, the findings of the research would be more effective and relevant to proposed research context.

Future demand and needs for multiple delivery methods

Methods for gaining access to sites, data and information

In order to collect data for the analysis in the proposed study, both primary and secondary data collection method will be used.  As put forward by Bernard (2017), data collection methods are usually divided into two different categories namely primary data and secondary data collection.

Primary data: In order to collect the primary data, both survey and interview methods will be used. To conduct the survey an extended questionnaire will be designed which will include 20 close-ended questions. On the other side, to conduct interview, another different questionnaire will be designed which will include 5 five different open-ended questions.  The survey will help to learn the issue of delivery and collection of goods from the delivery points of the online retailers. By conducting the survey, consumer perspective towards Collection and delivery point of online retail organizations can learnt. Particularly, the issue such as why customers find online shopping hazardous? or which particular aspect of online shopping is creating troubles for the consumers. Moreover, the research aim is to evaluate consumer perspective towards the delivery points and Collection developed by online retailers; thereby, the proposed data generated through survey and interview is highly relevant.

 Likewise, by conducting the interview among the managers of e-commerce vendors, the major challenges when developing a delivery points or extending the transportation area for delivering goods can be known. However, Lewis (2015) commented that chosen methods such as survey and interview may not be effective in deriving appropriate  research result because, these two methods includes the possibility of biasness. This means that the respondents chosen for primary data collection may give biased response. On the other side, the managers of the organitions may not disclose the real facts considering the loyalty of the organitions; thereby, it can be mentioned that chosen methods might provide a biased result, which will affect the overall research result. Nonetheless, in order to avoid the biasness and the criteria of reliability and validity will be applied.

Samplings

As put forward by Palinkas et al (2015), sampling can be stated as a specific principle applied to choose members of population to be included in the research. There are two different types of sampling such as probability sampling and non-probability sampling. Probability sampling further include four different types of sampling but for the proposed study, one of the four, which is Simple random sampling technique, will be used.  By applying simple random sampling, the respondents such as online shoppers will be engaged into the survey. The respondents will be randomly chosen from the population size, which is 100 for the survey. On the other side, non-probability sampling method will include convenient sampling method, which helps to collect data from population members who will be conveniently available to take part in the study. The population size for convenient sampling method will be 5, which mans five managers will be selected for the interview.

In quantitative data analysis, the raw numbers will be converted into the meaningful data by using rational and critical thinking.  In the proposed study, the quantitative data analysis could include the calculation of frequencies of variables as well as differences between variables such as Delivery points and consumer perspectives. In addition to this, the chosen quantitative method is associated with the finding evidence to either support or reject the hypothesis that is formulated in earlier in the research. Likewise, the qualitative data will be analyzed by considering the opinions of managers and contrasting them with the facts found in the literature review. Content analysis method will be applied here to analyze verbal and behavioral data to summarize the collected data.

It is certain that to conduct the interview and survey, there may be some challenges; for example, some respondents may not agree to the condition of interview. Even though, the popularization for qualitative analysis is 5, it is expected that all five  respondents may not take part in the interview. Thee organizational managers might think that the information they provide may further create marketing issue which could affect organizational brand and they might step back. On the other side, financial back up could be a challenge to the researcher because surveying 100 customers requires a large budget. In order to design the questionnaire in the Google or excel sheet, the researcher is required to data storage devices. Likewise, to collect the verbal data, audio recording devices will be required.

According to Wester (2011), ethical consideration is one of the mot significant aspect which must be treated with highest priority. When conducting the research, particularly, when collecting the primary data, the researcher may face the challenge of consent. It is certain that the researcher cannot engage the respondents without their consent. Thereby, the researcher will show the consent form provided by the University only. The researcher must ensure that respondents’ identity will not be disclosed and when processing the collected data, the principle of Data Protection Act 1998 will be used. In addition, the research authority will also need to ensure that the participants should not be subjected to harm in any way. In addition, adequate level of confidentiality of the research data needs to be ensured.

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