Web Design: Security, Layout, Website Customer Care, and Reliability - Research Paper Example

Marketing Research Table of Contents Table of Figures 1 Executive Summary 2 2.0 Introduction 2 2.1 Hypothesis 3 2.2 Scope 3 3.0 Background Information 3 4.0Methodology 5 6.0 Results 5 7.0 Discussion of the Results 5 7.1 Website Security 6 7.2 Website Layout 7 7.3 Reliability 8 7.4 Website Customer Care 9 7.5 Overview of Web Design- Hypothesis 10 8.0 Recommendations 10 9.0 Conclusion 11 References 12 Appendices 14 Table of Figures Figure 1 Ecommerce growth in Australia (Hird 2012, p.1) 4 Executive Summary In the modern age, online shopping is on the increase as business organizations turn to ecommerce to increase their competitiveness. Generally, this age is being referred to as the digital age. This report will give a deep insight into how website design influences the purchasing decision of online shoppers. The report will make use of results from a survey carried out on 100 respondents and secondary data from journals and publications to discuss about the four elements of web design which are security, layout, website customer care and reliability. The aim of the research and the report is to test the hypothesis ‘Online shoppers are more likely to purchase their products from a well designed website as compared to an ill designed one’. This hypothesis is accepted at the end of the report. 2.0 Introduction The world is fast turning towards being a digital one. The continuous development of technology and the increased internet connectivity to people around the globe has boosted ecommerce around the world. As at now, more and more people are turning to the internet for shopping while business organizations are turning to it to advertise their products, market, sell and connect with the market. Generally, the use of the ecommerce is limited to the imagination of the sellers. Just as meant countries around the world, the use of ecommerce in Australia has also grown tremendously. Online shopping which is a major element of ecommerce has also risen substantially. More and more people are gaining confidence in online shopping, hence leading to the increase in the number of online transactions (Delafrooz, Paim & Khatibi 2011, p.70). There are several factors which affect the willingness of a buyer to purchase online. The following report will take an in depth analysis into the effect of the website design on the purchasing decision of online shoppers. The report is based on a survey carried on 100 random respondents, whereby crucial data and information about the topic under analysis was collected. 2.1 Hypothesis The hypothesis of the report and the study is ‘Online shoppers are more likely to purchase their products from a well designed website as compared to a poorly designed one.’ 2.2 Scope The scope of the research is on website design and its effect on the online shopping. Under the website design, the research will take a focus on website security, website layout, reliability of the website and the website’s customer care and its influence on online shopping. 3.0 Background Information As indicated earlier, online shopping, which is one of the major elements of ecommerce has risen tremendously in Australia and the world in general. This has been triggered by the shift of business operations towards technology. Ideally, the modern world is digital and ecommerce is providing business organizations with a chance to have a competitive advantage over their competitors (Bode, Cripps & Linn 2005, p.1). The use of ecommerce in Australia is rising at a very fast rate. It is estimated that by the end of 2013, its worth will be $37billion Dollars (Hird 2012, p1). The following figure shows the growth in ecommerce in Australia. Figure 1 Ecommerce growth in Australia (Hird 2012, p.1) However there are several factors which affect online shopping and the ecommerce in general. These factors affect the purchasing decision of the buyer. This research will focus on website design and its influence on the purchasing decision of a buyer. As indicated in the introduction, the research will focus on the following elements. First is website security; which involves such elements such as the confidentiality and privacy of the buyer, the security of the transactions and the assurance of the security of the buyer’s purchases. The second element which will be analyzed is the website layout. This element involves such elements such as the display of the contents of on the website, the ease of use and the ease of finding what a user is looking for. The reliability of the website involves such aspects such as its ability to provide information consistently, timely and accurately as desired by the user. Lastly is the website customer care. On this element, it is expected that the website design will accommodate for customer care (frequently asked questions (FAQ), such as live chat sessions and telephone & email contacts) which enables a user to get help on any queries which may crop up during online shopping. This report will discuss website design with respect to the above four elements. 4.0Methodology The research will make use of primary data which will be gotten from a survey on 100 respondents. Under the survey, questionnaires which had questions targeted at getting information from Australians about online shopping were administered to 100 respondents. The questionnaire which was used for the survey is attached in the appendix. The data collected will be used in this paper. The research will also make use of secondary sources such as the internet, journal articles and publications on online shopping and ecommerce. 6.0 Results The result of the survey are presented in the excel sheet which is attached to this report. 7.0 Discussion of the Results From the results, it can be seen that most people, 95% of the respondent have at any one time shopped online. This shows that online shopping has become widely accepted in the country. The frequency in which the people shop online with is also high. 8% of the respondents shop online daily, 22% weekly, 40% monthly, 20% yearly and 5 percent rarely shop online. Of the total number of respondents, 5% have never considered shopping online. One thing which came out sharply in the survey is that online shoppers consider the design of a website before making any online purchase. On analyzing the results, it can be concluded that indeed shoppers are more likely to purchase from a store with a well designer website as compared to an ill designed website. The following section discusses the four elements of the website design identified earlier with respect to the findings of the survey. 7.1 Website Security The security of a website is one the factors which every organization should factor in while designing an ecommerce website. The security of website is one of the factors which make the online shopper to trust the website which he/she is shopping from (Mukherjee & Nath 2007 p.1110). For this reason, the website design should incorporate as many security features as possible so as to win the trust of the online shoppers. One factor which should be put into consideration is that many people fear shopping online for fear of losing their money, losing their confidentiality and privacy and getting substandard goods and services. All these fears by online shoppers narrow down to how secure a website is for use by a user. From the survey, it was identified that online shoppers place a substantial amount of importance on the security of the website before making any purchasing decision. Out of the 100 respondents which took part in the survey, 50 % of them rated the influence of website security on their purchasing decisions on a scale of five as 5 out of 5, 27% gave it a 4/5 rating, 10%gave it a 3/5 rating, 7% gave it a 2/5 rating while only 1% gave it a 1/5 rating. This means that the purchasing decisions of 92% of the respondents are influenced by the website security by more than 50%. Therefore, the chances of them purchasing from a secure website are more than 50% when all the other factors are held constant. For the reason above, it is important that a business organization ensures that its website has the highest levels of security in order to protect the interests of the buyer. This can be done in a number of ways which will be identified below. The first one is the use of user accounts. The user accounts enable the seller to provide personalized services to the customers, hence upholding confidentiality and privacy. Another measure of integrating the security aspect in website is via the use of internet security providers. This ensures that the browsing which is done in that specific website is secure. Such includes antimalware software and encryption of data which ensures that it is not available to unauthorized users. The use of other security features such as security images, codes and passwords is also important in ensuring that the website security is upheld. Therefore, it organizations which are contemplating of shifting their businesses online should place a lot of importance on the website security in the website designing (Küster &Vila 2011, p.146). 7.2 Website Layout The layout of the website illustrates how items are displayed on the webpage. Generally, the website layout is concerned with the website’s usability since it is an important factor affecting its quality (Flavian, Gurrea, & Orús 2009, p.170). For this reason a website with a good website layout is one in which there a good website user interface. Ideally, a good user interface makes the user feel at home in the website. It also makes it easy for him or her to navigate through the website, hence increasing chances of the user getting what he or she is searching for in the shortest time possible. More often than not, users are irritated by bad user interfaces since they allude to confusion, hence making them find it hard to place orders in such websites. This can be seen from the survey whereby 48 % of the respondents purchasing decision is strongly influenced by the website layout rating the influence on purchasing decision as 5/5, 36% rated it 4/5, 15% rated it 3/5 while 2 % rated it at2/5. From this, it can be seen that the purchasing decision of 95% of the respondents is highly influenced by the website layout. The basic principle which organization should use in their ecommerce web designs is to ensure that simplicity is maintained as much as possible on the user interface while getting in the mind of the user and placing items where the user expects them to be. On this point, it is important that items be grouped together according to specific grouping criteria. For instance, cloth ware can be grouped with respect to male and female clothing, children and adults among other sub groups. Another important feature which should be placed on a website is a search icon which enables a user to search for what he or she is looking for. The usability of the website should also be maintained. For instance, it is advisable that the website be designed simply so as to accommodate the computer gurus and the less computer oriented individuals. From the above discussion, it is possible to conclude that the website layout element of web design is an important aspect which ecommerce websites should consider since it ensures that a website is usable, hence increasing chances of customers making purchasing decisions (Shergill & Chen 2005, p.91). 7.3 Reliability More often than not, online shopping is associated with a lot of uncertainty, particularly for first time users (Zhang & Liu 2011 p.160). For this reason websites should find ways of ensures that that they reduce the level of uncertainty to users. This is achieved via the integration of reliability aspects into the website design reliability is n aspect which ensures that a customer can bank on the ecommerce website to tend to his or her shopping needs. In instances where by a website is reliable, getting returning customers; that is retaining customers is very easy (Chou & Chen 2012, p. 106). Generally, most of online shoppers normally use the same website which they used on their first time. This is because they were satisfied with the services which were offered by the web site on that initial time. From the survey it has been seen that many of the respondents place a substantial amount of importance on reliability. Out of the 100 respondents who were involved in the survey, 38% rated their purchasing decision with respect to the reliability of a website at 5/5, 20 % rated it at 4/5, 22% rated it at 3/5, 17% rated it at 2/5 and 3% rated it a 1/5. In order to ensure that websites are reliable, organizations should integrate such features as shopping baskets and catalogues so as to monitor the purchases of the customer. The use of user accounts also increases the reliability of a website. Lastly, the use of appropriate payment methods ensues that a large number of consumers have access to the payment method, hence ensuring that the buyers purchasing decisions are encouraged. 7.4 Website Customer Care The last element of website design is the website customer care. Website customer care is an element of the website which allows users to get responses for their questions, hence being able to make informed decisions (Andrew & Hawarth 2010, P.2). As indicated earlier online shopping is characterized by a high rate of uncertainty. This is due to the virtualness associated with it. However, a website customer care creates a link between the seller and the buyer. Generally, a customer is more likely to make a purchase from a website which has a good customer care. This can be seen from the survey whereby 70 % of the respondents indicated that website customer care influenced their purchasing decision rating it at 5/5. 20 % of the respondents rated it at 4/5 while others rated it at 3/5 and 2/5. In order for an ecommerce website to take account of website customer care aspects, it should integrate such factors such as online live chat, telephone & email contacts and social media plus other communication mediums which realize well with the users. From the above, it can be seen that website customer care has a substantial influence on a customer’s purchasing decision. 7.5 Overview of Web Design- Hypothesis From this discussion above, it can be acknowledge that online shoppers are more likely to purchase their products from a well designed website as compared to an ill designed one. Therefore, the hypothesis is accepted. 8.0 Recommendations From this report, the following recommendations which influence the purchasing decision of online shoppers are given: Website security- ecommerce websites should exhibit the highest levels of security. In addition to ensuring that transactions are secure, this ensures that more customers make purchasing decisions on their websites. Website layout – the website layout should be such that it allows for usability of a website. Ecommerce websites should ensure that their lay out allows for ease in use and navigation Reliability- reliability of a website ensures that it gives utility to its users. Ecommerce websites should ensure that their websites are reliable. Website customer care- web customer care enables customers to get answers to their questions before making purchases. It ensures that customers gain trust with the website hence making purchasing decisions. 9.0 Conclusion In conclusion, it has been seen in this report that the website design is very important in influencing the purchasing behavior of online shoppers. Under the website design the report has discussed about the following elements: website security, website layout, reliability and website customer care. Website security involves such elements such as the confidentiality and privacy of the buyer, the security of the transactions and the assurance of the security of the buyer’s purchases. The reliability of the website involves such aspects such as its ability to provide information consistently, timely and accurately as desired by the user. The third element which will be analyzed is the website layout. This element involves such elements such as the display of the contents of on the website, the ease of use and the ease of finding what a user is looking for.. Lastly is the website customer care. On this element, it is expected that the website design will accommodate for customer care (frequently asked questions (FAQ), such as live chat sessions and telephone & email contacts) which enables a user to get help on any queries which may crop up during online shopping. From the survey and the analysis of the results, the hypothesis ‘Online shoppers are more likely to purchase their products from a well designed website as compared to an ill designed one’ has been accepted. References Andrew, D., & Hawarth, K., 2010. Online Customer Service Chat: Usability and Sociability Issues, The Chronicle, pp.1-9 Bode,S., Cripps, H., & Linn, C., 2005. Electronic Commerce Projects Adoption and Evaluation in Australian SMEs: Preliminary Findings, 18th Bled E Conference E Integration in Action Bled, Slovenia. Pp.1- 14 Chou, T.,& Chen, Y., 2012. Exploring The Continuance Intentions Of Consumers For B2C Online Shopping: Perspectives of Fairness And Trust", Online Information Review, Vol. 36, No. 1, pp. 104 - 125 Delafrooz,N., Paim, L., and Khatibi, A., 2011. A Research Modeling to Understand Online Shopping Intention, Australian Journal of Basic and Applied Sciences, Vol. 5, No.5, pp.70-77. Flavian, C., Gurrea, R., & Orús, C., 2009. Web design: a key factor for the website success, Journal of Systems and Information Technology, Vol. 11, No. 2, pp. 168 – 184 Hird,J., 2012. Analysis of Australian e-commerce statistics [Infographic] Retrieved on 1st February 2012 from < http://econsultancy.com/ke/blog/10572-analysis-of-australian-e-commerce-statistics-infographic > Küster , I.,&Vila, V., 2011. 2011. Successful SME web design through consumer focus groups", International, Journal of Quality & Reliability Management, Vol. 28, No. 2, pp. 132 - 154 Mukherjee, A., & Nath, P., 2007. Role of Electronic Trust in Online Retailing: A Re-Examination of The Commitment-Trust Theory, European Journal Of Marketing, Vol. 41, No. 9: pp. 1173 – 1202 Shergill, G., & Chen, Z., 2005. Web-Based Shopping: Consumers’ Attitudes Towards Online Shopping In New Zealand, Journal of Electronic Commerce Research, Vol.6, No.2, pp.79- 95 Zhang, G., & Liu, Z., 2011. Effects Of Influential Factors On Consumer Perceptions Of Uncertainty For Online Shopping, Nankai Business Review International, Vol. 2, No. 2, pp. 158 - 171 Appendices Questionnaire Evaluating How the Website Design Affects Online Shopping (Dear respondent, please note that the information that you give here is used solely for research purposes. Be assured that the information you give will be treated with utmost confidentiality and there is no any time that your identity will be revealed. Thank you for your help. ) 1. What is your gender? 口male 口 female 2. What is your age? (tick against your age group) 口 less than 20 口 20-30 口 30-40 口 40-50 口 over 50 3. According to you is online shopping beneficial? Rate it against a scale of 5. 口1 口2 口3 口4 口5 4. How often do you do online shopping? 口Daily 口 Weekly 口 Monthly 口 yearly 口 Rarely do, just look around 口 Have never considered shopping online 5. How do you access online shopping forums?\ 口 Personal Computer 口 Personal Phone 口 Public Computer (café, library, etc) 口 Friends Phone/ Computer 口 Don’t Do Online Shopping At All. 6. How did you come to know about internet shopping? Tick where applicable 口 Search Engines 口 Advertisements 口 Friends 口 Social Media 口 Others 7. Do you know anyone who does online shopping? How many Yes/no ……………… 口 Below 5 口 5-10 口 11-20 口 21-40 口 Above 40 8. What do you normally shop online? Tick all that is applicable to you. 口 Consumer Foods 口 Clothes 口 Shoes 口 Jewellery 口 Electronics 口 Automobiles (cars & bikes) 口 Software 口 Books 口 Others (name them please) 9. What is your view on the website design, Is it important to you? (rate its importance) 口 Very important 口 Fairly important 口 Important 口 Less important 口 Don’t give it a second thought (rarely consider it) 10. Does the website design affect your online shopping behavior? (Rate it against a scale of 5) 口1 口2 口3 口4 口5 11. How does the security of a website affect your purchasing decision? (Rate it against a scale of 5) 口1 口2 口3 口4 口5 12. How does the layout of a website affect your purchasing decision? (Rate it against a scale of 5) 口1 口2 口3 口4 口5 13. How does the reliability of a website affect your purchasing decision? (Rate it against a scale of 5) 口1 口2 口3 口4 口5 14. How does the website customer care of a website affect your purchasing decision? (Rate it against a scale of 5) 口1 口2 口3 口4 口5 15. What is your take on the risk of fraud on the internet via online shopping? (Rate the risk of being frauded out of a scale of 5) 口1 口2 口3 口4 口5 16. Do you think that the goods and services offered online are equivalent to those that you get in real/physical stores? 口 Yes 口 No 17. What information do you want to see about the product you are shopping for? 口 Photograph 口 Detailed information (about its use) 口 Price 口 Comparison with other alternatives 18. What is the importance a website having various payment systems for you to choose from? 口 Very important 口 Important 口 Less important 19. Have you used any of the following methods to pay for your online purchases? 口 Online money transfer (paypal, skrill, Liberty reserve) 口 Plastic money (credit cards, debit cards) 口 Wire transfer 口 Others (Indicate below) ……………………………………………………………………………………….. 20. Generally, do products and services offered in well designed websites provide more utility than those ones offered in ill designed websites? (rate against a scale of 5) 口1 口2 口3 口4 口5 Read More