FACTORS AFFECTING CUSTOMERS PURCHASING DECISION IN ONLINE SELLING DURING

PANDEMIC

Inquiries, Investigations and Immersion

Teacher:

Mr. Salvador A. Bonanciar III

Presented to:

Jose V. Palma Senior Highschool

In Partial Fulfillment

Of the Requirements of the Degree on

Accounting, Business and Management

By:

Agullo, Reynan

Bermundo , Mary Joy

Dela Cruz, Alvin

Domingo, Ryan

Fariscal, Cherry Mae

Nuynay, Ashrel

Date: April 28, 2022

 Chapter I

Problem and it’s Settings

Introduction

These days, online selling is as easy as sipping a cup of coffee. Selling products and services
online can help your business become more beneficial and more fruitful. As our nation responds to
this pandemic, we're seeing a dramatic shift from in-person to online shopping, it has pushed various
customer to form their buys online.

If you want to get people purchase your stuff, you need to understand and appreciate how
consumers make purchasing decision. Product quality and seller reputation matters, of course. But
what about when the products matches the customers taste. Remember that people are complex.
We're just starting to scratch the surface of what they truly need. In case you don't cover all your
plans, in this manner giving a stepping stone for each thought process, the you are spilling profit. The
purpose of this research is to know what are the factors affecting customers purchasing decision in
online selling during pandemic.

Rationale of the Study

The researchers chose this study to identify the factors that may affect customers purchasing decision
in online selling during pandemic. The purpose of this study is to provide informations and analysis
related to customers purchasing decision and to determine how these factors affect the online selling
during pandemic. Aims to analyze the relationship between the demographic profiles of respondents
to the factors affecting customers purchasing decision in online selling during pandemic.

Objectives of the Study

1. Identify the demographic profile in terms of age, gender, average monthly income, education,
employment status, occupation and marital status.
2. Identify the factors affecting customers purchasing decision in online selling during pandemic.
3. Distinguish the significant relationship between the demographic profile of the respondents and
the factors affecting customers purchasing decision in online selling during pandemic.
Statement of the Problem

1. What is the demographic profile in terms of:

▪ Age:

▪ Gender:

▪ Average monthly income:

▪ Education:

▪ Employment Status:

▪ Occupation:

▪ Marital Status:

2. What are the factors affecting customers purchasing decision in online selling during
pandemic?
3. Is there a significant relationship between the demographic profile of the respondents and the
factors affecting customers purchasing decision in online selling during pandemic?

Statement of Hypothesis

There is a significant relationship between the demographic profile of the respondents and the factors
affecting customers purchasing decision in online selling during pandemic.

Significance of the Study

This study will be valuable to those consumers, online sellers, producers, students and future
researchers.

Consumers. This study is important for consumers to have a background knowledge about
purchasing decision in online selling and they can also have a strategies on how they can adjust for
the new environment of buying products through online.

Online Sellers. This study is important for online sellers to know the different factors of purchasing
decision in online selling during pandemic.
Producers. This study is important for producers to know the factors of purchasing decision in online
selling during pandemic and also to know the methods or strategies that they can use when they are
producing products through online.

Students. This study is important for students, to give them a deep understanding about the effect of
online selling and for them to have the advanced knowledge that will help them whether they will shop
through online or become a online sellers someday.

Future Researchers. This may serve as a foundation for future researchers that they will perform.

Scope and Limitations

This study discusses the factors affecting customers purchasing decision in online selling during
pandemic. The researchers had a limit of 50 respondents of customers that purchasing product
through online. This study will be conducted through online survey.
 Chapter II

Review Related Literature and Studies

Customers Purchasing Decision

In recent years, online purchasing or online shopping has entered a global scale with the
growing Internet in popularity, which led to more and more users become familiar with it and adopt it
as a media for gaining information and use it for online shopping (Lassitsa et al., 2016; Keisidou et al
., 2011). Purchases through online or online shopping will have many advantages if it compared to
physical purchases at store. Online shopping can save the time and no longer need to leave the
house and wait in long queues at the cashier when making a payment. Online shopping marketplace
can be available anytime and anywhere. This marketplace offers the consumers with various
information about products and services free of charge (Nourbakhsh et al., 2012; Adnan Shad et al.,
2016).

The purchase decision is the fourth stage in the consumer decision process and when the
purchase actually takes place. During this time, the consumer may form an intention to buy the most
preferred brand because he has evaluated all the alternatives and identified the value that it will bring
him. Negative feedback of others and our level of motivation to comply or accept the feedback. The
decision may be disrupted due to a situation that one did not anticipate, such as losing a job or a retail
store closing down (Philip Kotler, Keller, Koshy and Jha (2009). During this stage the consumer must
decide, from whom they should buy, which is influenced by price point, terms of sale, and previous
experience with or awareness of the seller and the return policy.When to buy, which can be
influenced by the store atmosphere or environment, time pressures and constraints, the presence of a
sale, and the shopping experience.This is also a time during the which the consumer might decide
against making the purchase decision. Alternatively, they may also decide that they want to make the
purchase at some point in the near or far future perhaps because the price point is above their means
or simply because they might feel more comfortable waiting.
Online Selling

According to Business News Daily, selling online is more than setting up a website and
uploading product images; it requires passion, expertise, and marketing chops to succeed. The good
news is that there's a bevy of tools to help your online shop be a success.

According to Karen Frishman a Basic Level Expert Author The online selling field may seem
infinite in scope, too, with millions of potential customers worldwide. But, success in selling
collectibles on the Web is gained in much the same way as it is in the physical world, by knowing
buyers’ needs and meeting them. Success can depend to a great degree on whether or not you are
offering collectible properties able to meet at least one of these three key commercial elements: Not
easily obtainable locally. Wide appeal due to a current surge in popularity or because an item is able
to ‘cross over’ collecting boundaries.

COVID-19 Pandemic to Customers Purchasing Behavior

Online purchasing behavior was influenced by Consumer Awareness and Experience and
Introversion, and other factors had little impact. The situations changed, however, as the COVID-19
pandemic continued to spread. Consumer Awareness and Experience increased its influence, as did
the Promptness in Decision Making. Introversion, on the other hand, lost its impact. Online consumers
also became more experienced. This study highlighted a shift in factors influencing the purchasing
behavior of online consumers during the COVID-19 period. Overall, Promptness in Decision Making
appeared to play an increasingly important role in online buying. (Hajizada, Kovalyova and Sakhbieva
2021,).
Theoretical Framework

AIDAS Theory of Selling

According to St. Elmo Lewis, AIDAS theory of selling is one of the widest known theories and is
the basis for training materials across numerous organizations. AIDAS stands for Attention, Interest,
Desire, Action, and Satisfaction. The AIDAS theory simply states that a prospect goes through five
different stages before finally responding satisfactorily to any product. Thus he/s should be led
comfortably through all five stages. The relationship of this theory in our study, this will be the basis
on how customers corresponds to the product through this five stages that can lead to have their
purchasing decision.
Conceptual Framework

-Demographic profile
of respondents in
terms of:
• Age:
• Sex
• Education • Data
• Average Gathering
Monthly Procedure Factors Affecting
Income • Interview Customers
• Employment Status • Survey and Purchasing
• Occupation observation
• Marital Status Decision in Online
• Tabulation of
Selling During
-Statement of the Data
Pandemic
Problem • Analyze the
-Review Related Result
Literature • Statistical
-Theory Treatment
(AIDAS Theory)

FEEDBACK

INPUT PROCESS OUTPUT

Figure 1: Conceptual Framework of Factors Affecting Customers Purchasing Decision

In Online Selling During Pandemic
 The input consists of demographic profile of the respondents including the age, sex,
educational background, average monthly income, employment status, occupation and marital
status. The statement of the problem, theory and review related literature and studies is also in the
input. The process consists of data gathering procedure, under this is the interview, survey and
observation. After that is the tabulation of data and analyzing the result. The output is the outcome of
input and process of the research study.

Definition of Terms

Online selling - provide a new and more convenient venue for exchanging virtually all types of goods
and services.
Factors – it is one of the things that affects an event, decision or situation.
Customers – It is an individual or business that purchases another company's goods or services.
Customers are important because they drive revenues; without them, businesses cannot continue to
exist.

Pandemic - is a disease outbreak that spreads across countries or continents. It affects more people
and takes more lives than an epidemic.

Purchase decision - is the thought process that leads a consumer from identifying a need,
generating options, and choosing a specific product and brand.

AIDAS THEORY - The AIDAS theory of selling is one of the widest known theories and is the basis
for training materials across numerous organizations. AIDAS stands for Attention, Interest, Desire,
Action, Satisfaction. The AIDAS theory simply states that a prospect goes through five different
stages before finally responding satisfactorily to our product. thus he should be led comfortably
through all five stages.

Attention - Attention is the ability to actively process specific information in the environment while
tuning out other details.

Interest - the feeling of a person whose attention, concern, or curiosity is particularly engaged by
something.

Desire - feelings that impel one to the attainment or possession of something.

Action - something done or performed; act; deed.

Satisfaction - an act of satisfying; fulfillment; gratification.

 Chapter III

Research Methodology

Research Design

Descriptive research refers to the methods that describe the characteristics of the variables under
study. Descriptive research is a part of quantitative market research or social research study which
involves conducting survey research using quantitative variables on a market research tool or social
research tool. It is a quantitative research method that attempts to collect quantifiable information for
statistical analysis of the population sample. The researchers used descriptive research to describe
factors affecting customers purchasing decision in online selling during this pandemic. The
researchers want to make sure that the study explain everything about the topic. This will make the
research more understandable to the respondents.

Respondents of the Study

This study discusses the factors affecting customers purchasing decision in online selling during
pandemic. The researchers had a limit of 50 respondents of customers that buy products through
online. This study will be conducted through online survey.

Data Gathering Procedure

The researcher formulate research questionnaire and prepared them to gathered necessary data for
the study. The researcher will provide the questionnaire to the selected respondents. Validate the
research survey and after validation, researcher will asked permission of the respondents in
answering the prepared questionnaire. The handling of questionnaire will be done virtually by the
researchers and facilitated. This procedure also enabled the researcher to conduct a survey through
Google Forms. The researchers collected the answered questionnaire.
Research Instrument

In this study, the researchers will formulate and provide survey questionnaires online with the help of
Google Forms. The survey questionnaires served as the main instrument used in this study. They are
in the form of the 5-point Likert Scale. The questionnaire was divided into two (2) sections. The
demographic information of the respondents was the first part of the survey and the last part
consisted of what are the factors affecting customers purchasing decision in online selling during
pandemic.

Sampling Techniques

In this study, the researcher will use the convenience sampling that is defined as a method
adopted by researchers where they collect market research data from a conveniently available pool of
respondents. It is the most commonly used sampling technique as it’s incredibly prompt,
uncomplicated, and economical. In many cases, members are readily approachable to be a part of
the sample.

Statistical Treatment of Data

To interpret the data the researchers will do the following statistical treatment. The tools that we will
use to interpret the data are Percentage Distribution and Frequency for respondents profile. To test
the Independence, we will use Weighted Mean, Chi-Square Test, Spearman Correlation and
Kendall’s Tau Correlation.

Average Weighted Mean

This tool will use to determine the result of the survey regarding to their demographic profiles.

Formula:
Frequency and Percentage Distibution

A percentage frequency distribution is a display of data that specifies the percentage of observations
that exist for each data point or grouping of data points. It is a particularly useful method of expressing
the relative frequency of survey responses and other data. Many times, percentage frequency
distributions are displayed as tables or as bar graphs or pie charts.

Kendall's Tau Correlation

It is a statistic used to measure the ordinal association between two measured quantities. A τ test is a
non-parametric hypothesis test for statistical dependence based on the τ coefficient. It is a measure
of rank correlation: the similarity of the orderings of the data when ranked by each of the quantities.

Spearman Correlation

Spearman rank correlation is a non-parametric test that is used to measure the degree of association
between two variables. The Spearman rank correlation test does not carry any assumptions about
the distribution of the data and is the appropriate correlation analysis when the variables are
measured on a scale that is at least ordinal.

Chi-Square Test of Independence

The chi-square test for association (contingency) is a standard measure for association between two
categorical variables. The chi-square test, unlike Pearson’s correlation coefficient or Spearman rho, is
a measure of the significance of the association rather than a measure of the strength of the
association.
 Chapter IV

Results and Discussions

Percentage Distribution According To Demographic Profile

This chapter presents the data gathered, the results of the statistical analysis done and interpretation
of findings. These are presented in graphs and tables following the sequence of the specific research
problem regarding Factors Affecting Customers Purchasing Decision In Online Selling During
Pandemic.

Figure 2. Percentage Distribution According to Age

As shown in the graph, there are 34% or 17 respondents who belongs to 21-25 years old furthermore,
8% or 4 respondents who belongs to 16-20 years old. This data implies that most of the respondents
fall to 21-25 years old because they are young professionals who prefer to shop online for their job.
For them, it’s easy to access and they have the experience in using online shop platform compared to
other age that they don’t know how to shop online and they want to avoid scams.
 Figure 3. Percentage Distribution According to Sex.

Based on the data from the graph, there are 18 male respondents or 36% of the total respondents
moreover, 32 female respondents or 64% of the total respondents. It signifies that female
respondents loves online shopping because they are attracted from the product they see from online
compared to male respondents.
 Figure 4. Percentage Distribution According to Education.

According to the graph, there are 56% or 28 out of 50 respondents belongs to College Graduate, on
the other hand 4% or 2 out of 50 respondents belongs to Elementary Graduate. We can say that most
of the respondents fall to College Graduate, commonly they are ages 21-25 years old who likes to buy
products through online because it’s easy to access and in these ages, respondents have their own
work that can also influence them to buy products through online.
 Figure 5. Percentage Distribution According to their Average Monthly Income

The graph stated that there are 18 or 36% of the respondents belongs to Php 26,000.00 above
average monthly income while 6 or 12% of the respondents belongs to Php 16,000.00 – Php
20,000.00 and Php 21,000.00 – Php 25,000.00 average monthly income. It implies that most of the
respondents income belongs to Php 26,000.00 above because the respondents has a higher income
and own work that can influence them to buy online.
 Figure 6. Percentage Distribution According to Employment Status

Based on the graph, it shows that 39 out of 50 respondents or 78% of the respondents has a
permanent employment status while 3 out of 50 respondents or 6% has a provisionary employment
status. This signifies that because their work is permanent, they have their own income that can
encourage them to buy products through online.
 Figure 7. Percentage Distribution According to Occupation

The graph shows that there are 40% or 20 respondents who belongs their occupation to others
furthermore, 2% or 1 respondent belongs his occupation to driver. This data implies that most of the
respondents belongs their occupation to others because we are in the middle of pandemic, many
businesses and companies are closed so the respondents preferred to have a job that has a higher
income and influence them to buy a product online.
 Figure 8. Percentage Distribution According to Marital Status

Based on the data from the graph, there are 38 out of 50 respondents or 76% belongs to single
moreover, 3 out of 50 respondents or 6% belongs to single parent. It signifies that because they are
single they have more time buying products through online for themselves.
 Factors Affecting Customers Purchasing Decision In Online Selling During Pandemic

Attention Mean Rank Verbal Interpretation

1. I purchase the product because it was

recommended by my friends/family. 4.30 1 STRONGLY AGREE

2. I purchase the product because it is

endorsed by celebrities 3.64 5 AGREE

3. I purchase the product because they offer

has freebies. 4.16 2 STRONGLY AGREE

4. I purchase the product because it was

posted on my social media accounts like
Facebook/Instagram/Twitter/YouTube. 3.78 3 AGREE

5. I purchase product because they put

advertisement using unique setting. 3.76 4 AGREE

Gen. Weighted Mean 3.93 AGREE

Table 1. Average Weighted Mean or Respondents Responses According To Purchasing

Decision: Attention

Based on the table above, it shows that 4.30 weighted mean or agree that they will purchase a
product when it was recommended by their family/friends while the 3.64 weighted mean or agree that
they will buy a product if it is endorsed by the celebrities. It implies that they are more attracted to buy
the product because of the experiences that is shared by their family/friends that can influence for
them to buy the product.
 Interest Mean Rank Verbal Interpretation

1. I purchase the product because it has

promos and discounts. 4.22 2 STRONGLY AGREE

2. I purchase the product because it has free

shipping vouchers. 4.28 1 STRONGLY AGREE

3. I purchase the product with a lot of claims

that will benefits me. 4.28 1 STRONGLY AGREE

4. I purchase the product when the product

is in front of me, rather than a picture of it. 4.06 4 STRONGLY AGREE

5. I purchase the product when the product

is unique and has lot of features. 4.08 3 STRONGLY AGREE

Gen. Weighted Mean 4.18 STRONGLY AGREE

Table 2. Average Weighted Mean or Respondents Responses According To Purchasing

Decision: Interest

Based on the data above, it shows that 4.28 weighted mean or strongly agree that the respondents
are preferred to purchase a product when it has free shipping vouchers and the product has a lot of
claims that will benefit them. On the other hand, 4.06 weighted mean or strongly agree that they will
purchase the product if it is in front of them rather than a picture of it. It signifies that they are more
encouraged to buy a product because it has free shipping and they don’t want adding extra payment
for shipping fee of a product. The respondents wants to buy a product that they can use for their
everyday lives.
 Desire Mean Rank Verbal Interpretation

1. I purchase the product because it is

trending. 3.70 5 AGREE

2. I purchase the product when it is not left

behind in the competition in the market
when it comes to quality. 3.92 4 AGREE

3. I purchase the product because the

reviews and feedbacks of customers are
positive when it comes to the quality of
product. 4.32 2 STRONGLY AGREE

4. I purchase the product when it is valuable. 4.24 3 STRONGLY AGREE

5. I purchase the product based only on my

needs. 4.40 1 STRONGLY AGREE

Gen. Weighted Mean 4.12 STRONGLY AGREE

Table 3. Average Weighted Mean or Respondents Responses According To Purchasing

Decision: Desire

Based on the table, it shows that 4.40 weighted mean or strongly agree that the respondents will
purchase the product based only on their needs furthermore, 3.70 weighted mean or agree that they
will purchase the product because it is trending. It signifies that they don’t just buy a product because
they just want to but they buy a product because it can satisfy their needs and they can use it for their
daily lives.
 Action Mean Rank Verbal Interpretation

1. I purchase the product if it is easily to

reach out the online sellers about the issues
in my order. 4.22 4 STRONGLY AGREE

2. I purchase the product when the feedback

of the customers is positive. 4.40 3 STRONGLY AGREE

3. I purchase the product if the ratings is 5

stars. 4.16 5 STRONGLY AGREE

4. I purchase the product if it is real and true. 4.46 2 STRONGLY AGREE

5. I purchase the product if the transaction

for payment is safe and secure. 4.66 1 STRONGLY AGREE

Gen. Weighted Mean 4.38 STRONGLY AGREE

Table 4. Average Weighted Mean or Respondents Responses According To Purchasing

Decision: Action

The table shows that 4.66 weighted mean or strongly agree that they will purchase the product if the
transaction for payment is safe and secure. However, 4.16 weighted mean that they will purchase the
product if it‘s ratings is 5. It indicates that they always make sure if the mode of payment is verified or
the online platform is trusted.
 Satisfaction Mean Rank Verbal Interpretation

1. I purchase the product if it is higher

quality for lower price. 4.40 1 STRONGLY AGREE

2. I purchase the product if the delivery to

the customers is on time. 4.18 5 STRONGLY AGREE

3. I purchase the product if I have a rights to

change my order through online. 4.34 2 STRONGLY AGREE

4. I purchase the product if I can return it

again and replaced it with other order. 4.32 3 STRONGLY AGREE

5. I purchase the product if the picture in the

advertisement is accurate when received it
in personal. 4.28 4 STRONGLY AGREE

Gen. Weighted Mean 4.30 STRONGLY AGREE

Table 5. Average Weighted Mean or Respondents Responses According To Purchasing

Decision: Satisfaction

In table 5, it reveals that 4.40 weighted mean or strongly agree that they will purchase the product if it
is higher quality for lower price while 4.18 weighted mean or strongly agree that they will purchase the
product if the product delivers on time. It entails that they want to buy the product if it is affordable and
has a good quality.
 CHAPTER V

Summary of Findings, Conclusions and Recommendations

This chapter presents the summary of findings from the analysis of Factors Affecting Customers
Purchasing Decision In Online Selling During Pandemic. This chapter also contains a conclusions
from the researchers based on the given data from the respondents and the researchers will try to
give some recommendations.

FINDINGS

1. The findings are based on the demographic profile of the respondents. In terms of age, 34% of
the total respondents fall to 21-25 years old and in sex, 64% of the total respondents are
female. As well as in educational background, 56% of the total respondents fall to college
graduate and in average monthly income, 36% of the total respondents fall their average
monthly income to Php 26,0000.00 above. In addition, 78% of the total respondents have their
permanent work in employment status. Along with occupation, 40% of the total respondents
belongs their occupation to others and in marital status, 76% of the total respondents are
single.

2. The findings are based on the factors affecting customers purchasing decision in online selling
during pandemic. In terms of attention, the general weighted mean is 3.93 or agree. In terms of
interest, the general weighted mean is 4.18 or strongly agree. In terms of desire, the general
weighted mean is 4.12 or strongly agree. In terms of action, the general weighted mean is 4.38
or strongly agree. In terms of satisfaction, the general weighted mean is 4.30 or strongly agree.
 CONCLUSIONS

1. Based on the findings of the demographic profile, the respondents are young professionals are
preferred to shop online for their job. The female respondents are more attracted to shop
online compared to male respondents. Most of the respondents are fresh graduates who wants
to shop online because of their job. The respondents are more encouraged to shop online
because they have their own work. The respondents are more encouraged to shop online
because they have their permanent work that can influence them. The occupation of the
respondents belongs to others because the respondents has different jobs and they can earn a
higher income that can influence to buy a product. The respondents are single and this can
influence for them to have more time to shop online for themselves.

2. The respondents are attracted to buy the product because of the experiences that is shared by
their family/friends that can influence for them to buy the product. Most of the respondents are
more encouraged to buy a product because it has free shipping and they don’t want adding
extra payment for shipping fee of a product. Respondents don’t just buy a product because
they just want to but they buy a product because it can satisfy their needs and they can use it
for their daily lives. Respondents always make sure if the mode of payment is verified or the
online platform is trusted. Respondents buy a product if it is affordable and has a good quality.
 RECOMMENDATIONS

1. Online sellers should not only attract professionals but they should also consider other
customers who are under age and older people. They should add other features on the product
that not only focus on the preferences of women but also for men so that they are also
encouraged to buy products through online. They also need to sell products through online that
everyone can understand especially if the educational background of the customers is not
higher. They also need to sell their product in affordable prices so that customers also have the
ability to buy when their income is lower, they are not professionals and customers who don't
have a permanent job. Online sellers should create promotional strategies that not only attract
single customers to buy products through online but also widowed, married and single parents.

2. Online sellers should create advertisements for a products they sell through online that
endorsed such as social media influencers and celebrities. The products sold by online sellers
must be accurate in the pictures placed in the advertisements so that the customers will
actually believe them. The products that online sellers sell to the customers should be trendy.
Online sellers should encourage customers to provide feedbacks. Online sellers or people who
deliver the products should improve the delivering system.