Pricing

Consumer’s Perception on E Retailing brands: Implication on pricing

Pricing Project Report

Table of Contents

Motivation 3

Objective 3

Methodology 3

Process / Data collection 4

In-depth interviews 4

Survey 4

Data analysis 4

Factor analysis 5

Multidimensional Scaling 6

Hypothesis 7

Hypothesis testing and Inferences 7

T Test 7

Conclusion 8

Motivation

One cannot ignore the surge in the usage of e-commerce websites in present scenario. Being students of MBA, there develops a natural curiosity to understand the factors, motivation and specific strategies (both pricing and preference) implied by the retailing websites behind this increased usage of these sites by almost all of us. To sum up, the motivation to choose this topic as our pricing projects are:

* The increase in trend of online shopping

* Conventional retailers going for online models

* High growth of industry

* Increase in number of e retailers

* Why do customer prefer one website over other

* What pricing and bundling strategies are implied by the companies

Objective

To find whether the pricing and bundling strategies of various e-retailers are in synchronous with the actual perception of the customers by finding the underlying factors using the perception mapping of different retailing brands based on the response given by actual customers. If possible, come up with possible strategies for the non-aligning practices.

Methodology

To pursue this analysis primary data as well as secondary data was collected.

Primary data:

1. Personal interviews conducted with participants to find out various dimensions on which a particular website is perceived

2. Survey floated to find out the level of impact each of the possible perceived factors have in discriminating several websites

Secondary data:

1. 30 similar products (6 product categories and 5 products in each category) were identified across 8 websites along with their price data...