Factors Determining the Choice of Online/Offline Channel: A Discriminant Analysis Approach

Abstract

Technology forces consumers to change their purchase behaviour. As Consumers are now not only buying from offline but online as well. Sometimes consumers also search for the product online and purchase offline and vice versa. This study attempts to identify the factors by which consumers can be classified into online and offline buyers. The study was conducted on 151 respondents selected based on judgment and snowball sampling. Discriminant analysis is used to identify the factors based on which the consumer is classified as an online and offline buyer. The study identified that consumer purchase products online due to high need fulfillment, better offers, relative price, verities of products, better choice, product information and better price comparison. In contrast, consumers choose offline channels for quality, reliable information, quality of judgment, and better after-sales services. Apart from the theoretical implications, which revolve around expanding the discourse of consumer buying behavior, the paper will be extremely useful to marketing practitioners, particularly in segmentation, targeting, and positioning concerning luxury product marketing