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University of Ruhuna                                                               ISSN: 2706-0063
               Matara, Sri Lanka

               Classification of Customers’ Satisfaction on Online Grocery
               Shopping Based on Usefulness and Ease of Use; A Case of
               Kottawa East Grama Niladhari Division

               Perera, E.C.D, Gamage, A, and Perera, B.N.G
               University of Ruhuna.
               anuradha@econ.ruh.ac.lk

               The ability of the consumer to shop online at anytime, anywhere has increased with
               the rapid growth of internet penetration. Consumer satisfaction is one of the most
               tested  factors  in  the  marketing  process  because  it  helps  to  retain  the  existing
               consumers and attract new consumers (Tandon et al, 2017). Davis (1989) developed
               Technology  Acceptance  Model  (TAM),  according  to  which  users’  adoption  of
               computer system depends on their behavioral intention to use, which in turn depends
               on attitude, consisting of two beliefs, namely Perceived Ease of Use (PEOU) and
               Perceived  Usefulness  (PU).  The  degree  to  which  understanding,  learning,  and
               operating a certain system or technology with no physical or mental effort is referred
               to as ease of use (Davis, 1989). Perceived ease of use can influence the customers’
               attitude  of  a  product;  thereby  it  pre-determines  the  customer’s  impression  of  a
               company  or  business  about  the  service  they  have  experienced  for  customer
               satisfaction. Accordingly, the research problem of this study is “how to classify the
               customers’ satisfaction on online grocery shopping based on Perceived Ease of Use
               (PEOU) and Perceived Usefulness (PU)”. Thus, the aim of this research is to identify
               the customer satisfaction level based on PEOU and PU using discriminant analysis.
               Discriminant Analysis, which is a multivariate technique, has been used in this study
               to assign observation into a category (group) in dependent variable. This method can
               be used to identify the discrimination among responses. In this study PEOU, PU and
               Satisfaction have been measured for 211 respondents and 163 (75%) of respondents
               were taken as the test sample, whereas 48 are in the train sample. Sample has been
               collected from Kottawa East GN division via simple random sampling. Data was
               collected  by  a  questionnaire.  Results  proved  that  the  discriminating  customer
               satisfaction based on PEOU and PU has provided significant outcome as the accuracy
               is more than 70%. Since PEOU and PU have significant weights in discriminant
               functions,  it  can  be  concluded  that  customer  satisfaction  has  impacts  from  both
               usefulness and ease of use in online shopping.

               Keywords: Classification, Customer Satisfaction, Discriminant Analysis, Perceived
               Ease of Use, Perceived Usefulness



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