The Online Shopping In Malaysia Marketing Essay

October 17, 2017 Marketing

Whether we like it or non, the Internet and World Wide Web are progressively going of import in Malayan life. Online shopping may be a fresh tendency in Malaysia but it is fast catching up among Internet users due to lifting Internet incursion. Besides, online shopping avoids with the crowd and it ‘s easier to compare monetary values of comparable merchandises online, which translates into better nest eggs ( Leong and Lee 2009 ) .

As for the Internet incursion in Malaysia, 356.8 % growing is seen for the period of 2000-2009. Thereby, for case, in 2000 it was accounted 3,700,000 subscribes, or merely 15 % of the population. In 2005 the sum of endorsers doubled and reached 26,500,699, 37.9 % . Presently, over 60 % of Malaysians can utilize Internet connexion actively, with about 17 million endorsers accounted. ( eCommerce Journal 2009 ) .

Harmonizing to the Nielsen Company 2007 research, on-line travel is a favorite e-commerce activity for Malaysians, with 55 % of Internet users purchasing air hose tickets or made flight reserves online, while 41 % said they had made hotel or tour reserves online and 22 % computing machine hardware. 21 % purchased book and 18 % tickets to concerts and events. ( eCommerce Journal 2009 ) .

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A important portion of buying has moved to the Internet. But Malaysia is still in the babyhood phase when it comes to online retail, which makes e-commerce still comparatively weak in Malaysia. Harmonizing to comScore ( 2009 ) , the online retail ( or dubbed as entire on-line disbursement in the retail industry ) in Malaysia is lowest compared to many other states. The list ( in Asia ) goes: 1 ) Japan, 2 ) South Korea, 3 ) Australia, 4 ) Taiwan, 5 ) Singapore, 6 ) New Zealand, 7 ) Hong Kong, 8 ) China, 9 ) Vietnam, 10 ) Philippines, 11 ) India, 12 ) Indonesia, and 13 ) Malaysia.

Next, the growing of Internet use in Malaysia has been steadily turning but a far smaller per centum has really made purchases online. Harmonizing to comScore ( 2009 ) , Entertainment is most popular class in Asia Pacific ( includes Music, Movie, Television, Multimedia, Entertainment News, and Humor ) and Email is still really of import to Internet user. Therefore, sing to retail sites is weak in Malaysia.

Besides, Malayan online retail merchants face the challenges with Internet users who still like to see and keep merchandises before purchasing, and who have the same concerns about security issues every bit good as after-sales service. Is it the impact of factors attributed to big Internet users but non many store online. Therefore this research survey will lend meaningfully to this country of research.

( B ) Rational of Study

The Internet is no longer a niche engineering. It is aggregate media and an utterly built-in portion of modern life. A major entreaty for puting up on-line concerns is that it ‘s convenient, easy to make and cheaper ( no lease fee, to province the obvious ) . ( Leong and Lee 2009 ) .

The economic downswing has turned up the force per unit area on Malayan companies, it is imperative to happen new clients for their merchandises and services for worsening gross revenues and fiscal restraints. Widening their selling and advertisement range by embarking into e-commerce is a logical move. ( Laalitha 2009 ) .

E-commerce in retailing has tremendous potency. An organisation can make such a big figure of consumers via e-commerce ; it is possible to develop the concern that could be profitable. The continued success for on-line retail merchants will depend for the willingness of consumer to do purchase online in the position of online shopping is still comparatively weak among Malayan.

Therefore this survey is clear placing consumer attitudes toward on-line shopping in order to assist gross revenues and selling section to place the potency of online shopping and measure the future growing of e-commerce that utile for the local companies in Malaysia to hold a good apprehension of the dynamic online markets before to venture into on-line retailing.

Although research predict turning cyberspace users in Malaysia and on-line shopping has many distinguishable chances and advantages, but the inquiry lingers: Why do cyberspace users avoid on-line shopping? Therefore this research survey will lend meaningfully to this country of research.

( degree Celsius ) Objective of the Study


The aim of this survey is to analyze the online shopping in Malaysia. For this intent, three specific Scopess will be examined, that is:

To place the features of online shopping in Malaya

To place Malayan Internet users ‘ attitudes towards online shopping

To place why Internet users do non shop online.


Hypothesiss developed for this survey are:

H1: There is no relationship between cyberspace use and purchasing via cyberspace.

H2: There is no relationship between online shopping and demographic variables.

H3: There is no relationship between online shopping and the traditional shopping.

H4: There is no important correlativity between future on-line purchase variables and current issues and countries of concern variables.

Research Questions:

This research has aimed to research the undermentioned inquiries:

Why do cyberspace users avoid on-line shopping?

( vitamin D ) Research Methodology

A self-administered questionnaire will be used to roll up the necessary research inquiries and aims refering to online shopping in Malaysia. The inquiries are largely present in close-ended manner with well-structured inquiries. The study questionnaire consists of seven distinguishable subdivisions, each of which contains inquiries refering to different parts of the survey.

Due to clip and cost restraints and besides big population of Internet users in Malaysia, therefore it is more appropriate to carry on the research by utilizing a convenience trying method will be used to roll up informations chiefly from the current Internet users at Klang Valley which is indicated highest incursion of Internet users. Indeed, trying method has restrictions in footings of generalization if compared to other method of sampling, but it is assumed that the sample represent the whole population of Internet users in Malaysia.

The study will be conducted through the combination method: face to confront interviews, electronic mail and postage questionnaires. Each of the method has its utilizations and none is superior in all state of affairss due to e-mail and postage questionnaires salvage both clip and cost and can cover a broad geographical country which supplemented by personal interviews will give more dependable consequences than either method entirely.

Once the primary informations collected, several of statistical techniques will be used in the information analysis. Frequency Distribution Analysis will be used to find a demographic profile of the study respondents and the current cyberspace users of on-line shopping. Besides, the frequence distribution analysis will besides be used to find method of payment, degree of satisfaction and dissatisfaction, issue and country of concerns, grounds for store and do non shop online. ( Adeline et al. 2006 ) .

Chi-square Test in Cross-tab will be used to find the relationship between online shopping and other conventional methods of shopping such as shopping via physical shops. The Independent Samples t-test will be adopted to compare average differences between on-line shoppers and non-online shoppers. Finally Pearson Correlation Coefficient Matrix will be employed to find the grade of correlativity between future online purchases and issue of concern for current Internet users. ( Adeline et al. 2006 ) .

( vitamin E ) Expected Contribution from the survey

This survey is clear recognizing consumer attitudes toward on-line shopping in order to assist direction, the industry and authorities to foretell the online shopping tendency and measure the future growing of on-line commercialism.

Besides, on-line retail has tremendous potency. Therefore, this survey is of import for the little and average endeavor ( SEMs ) in Malaya to hold a good apprehension of the Internet as a new concern scheme for driving concern growing every bit good as to understanding what Malayan Internet users truly want and why they are non shopping online. ( Laalitha 2009 ) .

( degree Fahrenheit ) Sample Questionnaire

The questionnaire is adapted from Adeline ( 2006 ) with some alteration to accommodate the context of this survey. The questionnaire consists of eight subdivisions as shown in Appendix.

Section 1 is to bespeak the respondents to finish information related to demographic profile. Section 2 is to bespeak the respondents to supply the information related to internet usage whereas Section 3 is about the information of Internet users experience on online shopping.

Section 4 is to bespeak the respondent to supply information about the factor act uponing their shopping determination. Factors include: merchandise monetary value and quality, more options and wider choices, easiness of research, client reappraisal handiness, after-sales service, entertaining/fun, convenient, good client service, publicity, fast bringing clip, website supplying sufficient merchandise information and account, an point no available elsewhere.

Section 5 is to bespeak the respondent to supply information about the current purchase form in footings of types of goods and services, passing sum, buying frequence, payment method and disbursement clip.

Section 6 is to bespeak the respondent to rate the satisfaction degree and countries of dissatisfaction for their shopping experience with 1 is the lowest and 5 is the highest. Section 7 besides request the respondent to rate to the hereafter on-line purchase form ( buying in the same retail merchants, types of good and services, passing sum, buying frequence and is of import for the retail merchants presents have an online shopping installation ) with 1 is the lowest and 5 is the highest.

Last subdivision is to bespeak the respondent to supply information about the issues and countries of concerns toward online shopping, which include revelation of personal information, security of recognition card dealing, do non physically seen and touch a merchandise, trust on online retail merchants and adequateness of consumer protection Torahs and ordinances.


Adeline Chua Phaik Harn, Ali.Khatibi and Hishamuddin bin Ismail. 2006. E-commerce: A Study on Online Shopping in Malaysia. J. Soc. Sci. , 13 ( 3 ) : 231-242 ( 2006 ) . hypertext transfer protocol: // ( accessed January 31, 2011 )

comScore. 2009. State of the Internet with a focal point on Asia Pacific. hypertext transfer protocol: // ( accessed January 17, 2011 )

eCommerce Journal. 2009. Internet and e-commerce industry in Malaysia. hypertext transfer protocol: // ( accessed January 18, 2011 )

IDC. 2007. IDC Reports 70 % Growth in Malaysia eCommerce Spending in 2006. hypertext transfer protocol: // % 20Malaysia % 20- % 20eCommerce.asp. ( accessed January 10, 2011 )

Internet World Stats. 2009. Malaysia Internet Usage Stats and Marketing Report. hypertext transfer protocol: // ( accessed January 10, 2011 )

Laalitha Hunt. 2009. SMEs Eager to Tap E-commerce. The Star online. December 12. hypertext transfer protocol: // file=/2009/12/12/business/5281516 & A ; sec=business. ( accessed January 10, 2011 )

Leong H. Y. and Lee L. S. 2009. Buying via Internet. The Star online. April 11. hypertext transfer protocol: // file=/2009/4/11/business/3620542. ( accessed January 10, 2011 )

Malaysia Crunch. 2009. Malaysia ‘s E-Commerce Statistics. hypertext transfer protocol: // ( accessed January 15, 2011 )

Nielsen. 2008. Over 875 Million Consumers Have Shopped Online – The Number of Internet Shoppers Up 40 % in Two Old ages. hypertext transfer protocol: // ( accessed January 25, 2011 )


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