Education Policy | Post Primary | Preschool | Primary | Tertiary | Search

 


Getting Chinese ‘buy in’ online

Media Release
3 February 2014
- for immediate release

Getting Chinese ‘buy in’ online

Its inhabitants are estimated to spend around 1 billion hours on the internet each day, making it the world’s largest internet market. Yet, when it comes to China, relatively little is known about consumer perceptions or preferences with regard to online shopping.

Lincoln University’s Senior Lecturer in Marketing, Mike Clemes, along with his colleagues Helen Zhang and Professor Chris Gan, have gone some way to try to bridge that knowledge gap, having just published an empirical analysis of online shopping in China in the Journal of Retailing and Consumer Services.

Using a questionnaire informed from current research literature (albeit sparse) and focus groups, Mike’s aim was to develop a comprehensive theoretical framework to identify and analyse the ‘decision factors’ shaping a customer’s willingness to shop online, and included ascertaining the relative importance of these factors. He also aimed to examine the role demographics play in the uptake of online shopping among Chinese consumers.

“Understanding the decision process and behaviours associated with online shopping is tremendously important in the ever growing virtual marketplace. What’s particularly interesting about China, however, is not only how little is known about e-shopping behaviours, but how few Chinese consumers relative to the country’s population actually use the internet for their purchases,” says Mike.

“With the right kind of research, the e-shopping experience can be dramatically improved, thereby going some way to retaining current customers and sourcing new ones. The findings of the research are every bit as important to New Zealand businesses looking to attract Chinese consumers as it is to Chinese businesses themselves,” he said.

Perhaps unsurprisingly, the findings showed that Chinese consumers viewed factors such as perceived risk (which had the strongest influence) and service quality as key factors influencing their decision to shop online; prompting the thought that businesses selling online to Chinese consumers may need to invest in risk-reducing strategies such as high-end encryption technology to mitigate any consumer concerns.

Of particular interest, however, is the seemingly high influence a consumer’s resources play when it comes to online shopping. For instance, well-educated employees appeared more inclined to shop online, with the suggestion being that this may be due to greater literacy, computer competency, and ready access to internet technology.

One possible way around this suggested in the article could be for business-to-consumer marketers to consider providing computer training courses, or increasing the provision of public computers; especially in the case of those businesses which have a physical retail presence who could use the opportunity to educate customers visiting their store.

Falling out of the research were interesting observations relating to social factors and demographics. For instance, the online shopping behaviour of friends and family appears to be a major influencer of e-shopping uptake. This is especially the case when it comes to female e-shoppers. In fact, the research found that, in China, female consumers are overall more likely to shop online than their male counterparts; a trend that is becoming increasingly pronounced. E-retailers, therefore, may want to consider providing online forums and chat rooms for female consumers to share their experiences.

Somewhat related, the research also suggests that, in the interest of creating brand loyalty,  an e-retailer may want to consider personalising the online shopping environment to make it more aligned to individual preferences.

One notable finding of the research was that high-income Chinese consumers have a much lower inclination to shop online. This may be a tied to a preference for more up-market products, with the consumers preferring to physically examine the product and take advantage of any support services offered in an in store environment. As such, Mike suggests that e-retailers wanting to attract high-income customers may want to put extra emphasis on after-sale service.

Although the research has gone some way to highlight the key decision-making factors for online shopping among Chinese consumers, Mike does stress that more research is probably required.

“Future research should probably focus on such aspects as the frequency of online shopping, the types of products being purchased, and the spend quantities,” he said.

ENDS

© Scoop Media

 
 
 
 
 
Culture Headlines | Health Headlines | Education Headlines

 

Eddie Izzard: UK Comedy Legend Returns

Hailed as one of the foremost stand up comedians of his generation. Star of stage and screen. Tireless supporter of charity. Runner. Political campaigner. Fashion Icon... February 2015, Eddie Izzard will bring his massive FORCE MAJEURE world tour to New Zealand with tickets going on sale at 10am on Tuesday 28th October. More>>

Festival Starts 28 Oct: Improv Fest Makes Up New Show

For any other festival, finding out less than two weeks from showtime that half the cast of a programmed show can’t make it to New Zealand would be a nightmare. Instead, the New Zealand Improv Festival Director Jennifer O’Sullivan saw an opportunity ... More>>

NZ Music Awards Finalists: Lorde, Sol3 Mio Top 2014 Tuis Charge

Lorde has taken the music world by storm during the past year and she co-leads the 2014 Tui charge with five finalist spots. Joining her is newcomer family opera trio, Sol3 Mio. They are followed closely by Ladi6 and David Dallas, both up for four awards each. More>>

From 'Luther' Creator: Major New Zealand Crime Series For BBC

Libertine Pictures and writer Neil Cross have teamed up with leading international TV producer Carnival Films to develop a major new crime series set in Rotorua. Libertine will develop the contemporary drama series with Carnival, producer of internationally-acclaimed British period drama Downton Abbey, for the BBC. More>>

ALSO:

Family Statement: Death Of Ewen Gilmour

“Ewen was a much loved and cherished member of our family, he was a larger than life character and by his very nature was kind, generous and always giving of his time to those who asked for his help." More>>

ALSO:

Auckland: St. Jerome's Laneway Festival - Line-Up Announced

Traversing seven cities and three countries, the festival has well and truly settled into its home in each state. From the grassy knolls and towering silos at home in Auckland, to the sparkling backdrop of the Maribyrnong... More>>

Scoop Review Of Books: No Longer An Island

Simon Nathan reviews 'Zealandia: Our Continent Revealed': The idea that New Zealand is part of a large submerged continent is not new... There was renewed interest in the extent of offshore New Zealand from the 1970s onwards with the start of offshore drilling for oil and gas, and this was given impetus by a UN agreement which allowed countries to claim an Extended Continental Shelf (ECS). More>>

Art: Simon Denny Recreates Kim Dotcom’s Personal Effects

Who owns what? How has the internet changed our relation to the world? These are two of the many questions Simon Denny raises in the latest exhibition at the Adam Art Gallery, opening on Saturday 4 October. More>>

ALSO:

Get More From Scoop

 
 

LATEST HEADLINES

 
 
 
 
Education
Search Scoop  
 
 
Powered by Vodafone
NZ independent news