Does online shopping decrease the revenue of local franchises? #BCM210

My question will investigate the effects that online shopping has on local franchises, whether they boost people’s need for face to face customer service or whether the convenience of shopping from the comfort of your own home is more appealing. The project should give insight into the ways that online shopping promote and deteriorate the popularity and therefore income of shopping in a local store and what outcome that has on the attraction and tourist turnover of the town or city itself. Online shopping has made the process of shopping easier for those who do not like supermarkets, who get stressed finding car parks, juggle children or simply work too much and don’t have time to get to the shops. Being able to purchase products online makes this process easier and more convenient as the product can be delivered to their door. Bulk produce suppliers then don’t have to suffer because some people aren’t able to shop in store.
In saying that though, some aspects of online shopping challenge the local boutique stores who don’t have an online shop. Customers find satisfaction in buying clothing and household items online because of the convenience of doing it from the comfort of your own home, therefore making local franchises suffer.
My reading is a scholarly article from the European Journal of Marketing called “Buying or Browsing ?: An exploration of shopping orientations and online purchase intention.” (Brown, Pope, Voges, M, N, K, 1967. Buying or browsing?: An exploration of shopping orientations and online purchase intention. European Journal of Marketing, [Online]. 37, 1666-1684. Available at: http://www.emeraldinsight.com/doi/full/10.1108/03090560310495401).
It profiles the people who shop online in comparison with the people who shop in store. The article states that the Internet shopper is statistically older, of a higher income, slightly more likely to be male, less risk adverse and more convenience orientated. They are innovative and variety seeking and not brand or price sensitive.
They are then categorised into more groups of shoppers: the Economic shopper, the Recreational shopper, the Apathetic shopper, the Active shopped, the Conscious shopper and the Convenience-orientated shopper to name a few.
I intend to perform this research by making an anonymous questionnaire that I can get fellow UOW students (equal male and female students) to fill out, consisting of eight questions so that I can make an appropriate response as to whether shopping online deteriorates business for local franchises. The questions will be:
1.     Are you male or female? – I will ask this so that I can partly prove whether the research done from the article is accurate in saying that slightly more online shoppers are male.
2.     Do you prefer to shop online or in store? – This question will give me an average of how many people prefer to shop online or in store.
3.     Why?
4.     Do you think online shopping increases sales for local franchises or decreases sales? – This question will allow insight into how people perceive their shopping habits to affect their local economy.
5.     Do you think local franchises suffer because of online shopping? – This question will be able to give me everyone’s different opinions which will allow the readers of the project to get a better understanding as to why some people prefer one option over the other and why the local franchises suffer or benefit from online shopping.
6.     Does online shopping benefit you more so than shopping in store? – This will give me their personal preference.
7.     Why?
8.     Would you ever give up online shopping to help support local franchises and our economy? – This question will help us understand how we can help local franchises who may suffer because of online shopping if people are unwilling to give it up.
 Owners of local franchises and people who shop in store will benefit from this research because they’ll know how to make the most of the business they run or shop in and how to expand their market to make it more accessible and convenient for those who do prefer to shop online. The people who do shop online may also benefit from this research because if shopping online does deteriorate revenue for local franchises then it may encourage them to shop in store and support their local economy.

 

4 thoughts on “Does online shopping decrease the revenue of local franchises? #BCM210

  1. garthburley says:

    I think this is a good topic and you have explained your outline well. However as is the same in my case, i think you need to narrow down your topic and find an angle for your research. Other than that it seems like a good idea.
    Also, maybe put your references at the bottom and just do a footnote for future blog posts.

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  2. kasandra23 says:

    Firstly, i really liked your question in general i think its very interesting and relevant with the increasing popularity of online shopping. I myself and a self-confessed online shopping addict and would really like to know the outcome of your research and question and know the actual effects it has on local stores. I think maybe a point further pursing is maybe how theres more popularity with online shopping due to its constant targeted ads and promotion via emails and etc.. whilst with shopping at local stores you have to physically be there to be tempted to shop and make purchases.

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  3. chenjizhu says:

    Firstly, I think your structure and every steps are really systemically, especially your questions part.
    Besides, I love your topic, online shop compare with local truth markets is an interesting and important issues. But be honestly, as a person love online shop, even I do not wish local stores are gradually disappear, I never thought the economic effect between those two. So your topic is really attract me.

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  4. Kate Bowles says:

    My quick response relates to the opposition of online and local, when as you say some local franchises will also have online stores. So the opposition is really online and instore, and the issue is as much as anything one of labour. Who will pay staff to provide face to face customer service if it can be done through an automatic choosing and checkout system? This is such a well thought out project, I’m really delighted.

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