CHAPTER 1 THE PROBLEM AND ITS BACKGROUND INTRODUCTION
The online shopping was pioneered by Michael Aldrich in 1979 where he connected a modified domestic television via a telephone line to a real- time multi-user transaction processing computer. Through the years, online shopping has grown in popularity, but some of them did not retain. Just diminutive of them are already known by the people, primarily because people likes the concept that it is convenient convenient and accessible. One of the most enticing factor about online shopping, particularly during a peak season, is it alleviates the inconvenience and inaccessibility of malls. Most of the online shopping firms formulated their online marketing strategy to keep up with intense competition. In the Philippines, especially in Metro Manila the competition was extremely unstoppable. Because in this region, most of the people are busy to their work, business and to their family. But online marketing strategy is not easy; the competition is very tough, with many marketing tools and techniques such as extending marketing mix. And Lazada PH is the one of the many online shopping offers good products and services. With an effortless shopping, fair price and exciting promotions. This study will show the connection of online shopping strategies that contains marketing mix.
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BACKGROUND OF THE STUDY
This study aims to assess online marketing strategy used by Lazada Company utilizing the 4Ps also known as modern marketing mix by Philip Kotler. Through this study, researchers provide information that can affect the buyer’s perception about a particular strategy. With the advent of internet and various advance technologies, people are now living easily. They find ways through modern technologies that could help them to make their task every day in much faster and convenient. One of which is online shopping, unlike in traditional shopping people go to malls to shop and buy products but there are times it is crowded especially during holiday season, it ease the problem with the need for long hours of waiting in parking lots, cashier areas and also in searching for an item in each stores. Lazada have turned many Filipinos in a new way of shopping. When Lazada came into the market Filipinos have now the alternative way to shop everywhere and anytime they want even when they are busy with their schedules or don’t have a time to shop. They have fr ee fr ee downloadable downloadable application and an official website that anyone could freely access and shop on their store and after purchasing a product they will deliver it to the respective resp ective home of their client’s. Lazada is all in over social media with its various advertisements thru facebook, twitter and instagram. Filipinos are hooked by this online retail store because they offer wide range of products, good customer services, different range of price items and discounts giving them a good publicity that they are known for.
2
STATEMENT OF THE PROBLEM
This study aimed to assess the online marketing strategy of Lazada as perceived by residents of Marikina City. Specifically the research sought to answer the following: 1. What is the demographic profile of the respondents in terms of the following: 1.1 Age 1.2 Gender 1.3 Status 1.4 Monthly Income 2. How do the respondents assess the online marketing strategy of Lazada in terms of the following: 2.1 Product 2.2 Place 2.3 Price 2.4 Promotion 3. Is there a significant difference on the assessment of the respondents when they are group according to profile.
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SIGNIFICANCE OF THE STUDY
The results of this study will be a great help to the following: To the Consumers This study will guide the buyers purchasing purchasing decision of products or services to an online shopping site such as Lazada Company. To the Online Sellers This study will contribute knowledge to the online sellers of which online marketing strategy is effective and applicable to its own businesses. To the Future Researcher This research will be an effective reference r eference tool to future researchers that would further make relevant study particularly the standards underlying the strategy of online marketing, it can attain a better understanding. SCOPE AND LIMITATION
The scope of the study is to know and examine the significance of marketing strategy of Lazada Online Shopping. This study focuses in assessing the random residents of selected Barangays in Marikina City with total respondents of 264 which includes, Barangka with 98 respondents, followed by Calumpang with 94 respondents and Sta.Elena with 72 respondents. The researchers considered time constraints in the preparation of the study or it has to be completed within the second semester of school year 2016-2017.
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CHAPTER 2 REVIEWS OF RELATED LITERATURE AND STUDIES
The researchers made use of different source of reading materials related to online marketing strategy of Lazada. These materials such as books, thesis, journals, and website articles are essential in broadening the knowledge of the researchers. These will also guide the researchers on how online marketing strategy will describe its significance to the students by getting ideas on the related studies and make improvement and development development as possible. Foreign Literature
There are several studies of prominent scholars in business field which affirms the importance of internet as an alternative mode of communication for business. According to M.J Thomas (1998) he forecasted that internet will change the way business work, but it was also according to J.A. Quelch and L.R. Klien(1996) stated that the internet is used by the customers compare and search for the products and the company which have made their online sight secure and are expected to gain more profits more than their competitors. According to A.L. Howard (2002) who conducted conducted a similar research, his research made a results that the company that uses internet and e-commerce for their business activities are enlarging with 46% much faster than their competitors. The several researches made to a fact that for the past years businesses has been utilizing internet as part of their general activities and the companies who uses the internet are gaining substantial benefits form their online presence. This only proves that the internet is a significant tool in e- commerce based business ever since the advent of technology and the companies that actively used it have been outperforming. With that,
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the internet helps companies to perform well or grow. In occurrence of a question in what are the ways in which the communication technology has helped the business organizations. According to G.P.Walters (2008) in his study on the ways in which the internets can help a business with the several activities ranging from improvements of new business models, assessing and selecting the right distribution channels, communication with customers and providing sales information. Explaining the results of his research, he asserted that the internet can greatly use as a good channel in communicating with the customers and also the business managers maintains to be updated with information. Stated the same fact of the importance of knowledge- based competitive advantage hasn’t hasn’t been undermined with any of the scholars and in the world of fierce competition, information and knowledge are only organizational resources leads to competitive advantage that is sustainable and long term Imhof et al (2011). This concludes it also helps to utilize huge volumes of information’s that can serves as basis for future’s strategy formulation. In addition to the benefits of operational level is effective customer relationship management and close monitoring supply chain, in strategic level the benefits of internet includes the and effective marketing management, establishment of competitive advantage with the organizations industry and increase of performance on the basis of efficiency and effectiveness S.M. Wagner (2006). According to D. Hoffman (2000) N. Capon and J.M. Hulbert (2001) reported the importance of the optimal combination of the strategic marketing and internet. D. Hoffman (2000) stated that internet has the significant impact on how the services and products will promote,
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advertised and marketed. He affirms the new technologies specially the internet in the ways of the organizations using it made a breakthrough in the internet marketing. According to M. Varadarajan (2010) he reported the
innovations in technology has
increase the use of social networking channels in promoting a business and exploration of new markets for the company to use the internet in making their marketing strategy integrated and technology as well customer centered. According to N. Capon and J.M Hulbert (2001) he stated that that primary principle in achieving achieving success for today’s marketing place is assimilate the internet into the overall strategy of the organization specifically in marketing strategy. By this, it works as an important determinant of success of the organizations strategy M. Khalifa and V.Liu (2008). It was the extent of using internet in to the organizations strategy as a key for effective and success for company strategy in market place. All of the mentioned contemporary contemporary scholars scholars and their researchers above above stress the need need in improving the quality service through the use of internet and traditional marketing theories hold true at the same time. The only change in classic theories of marketing is the tools that are used by these people to provide services to the customer. Navarro et al (2010) reported that majority of the businesses involved in international businesses businesses have major portion of those who often use internet marketing and e-commerce e -commerce.. It is call tactic, the internet marketing is a useful tools both local and international organizations. As to J.N. Sheth, N.K Sethia and S. Srinivas (2011) stated that in innovating the marketing strategy and communication will apply an actual and objective customer centric approach and to stay in the
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competition in E-markeplace. The last scholars mentioned reported that social networking media as concurrent marketing techniques where email marketing is one important tool. It is also stated in e- marketing the use of mobile marketing such Crittenden et al (2011). The focus mainly in marketing modes including email marketing and social media marketing, in addition the internet market is used by organization in promoting the corporate social responsibility moves. According to P. Ussahawanitchakit Ussahawanitchakit and A. Intakhan (2011) conducted a research study on the impact of internet marketing strategy. The researchers concluded that internet marketing strategy plays significant role and gauge to the overall success and effectiveness of the ecommerce based business. They T hey stated that: “The results show that information richness strategy, relational exchange strategy and joint-learning strategy have a significant positive association with competitive advantage and firm performance. Foreign studies
In the book of principles of marketing by Gary Armstrong and Philip Kotler (2013) the online marketing strategy is the fastest growing form of direct marketing. Widely use of internet has greatly impact of both buyers and sellers. The scholars examine how marketing strategy and practice are changing to take advantage of today’s internet technologies. Most of the business establishes nowadays is carried out digital networks to connect people and companies. The internet is perhaps the most admired invention of all time, this can connect people around the globe anywhere and anytime they want too. As this was also change the in business field, as customer’s notion for accessibility, fast, price, product and service information.
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More and more people are hooked in using internet in order to reach this market, companies are now breaking through online such as Click only companies where it operates only online or in internet. And also click and mortar companies where they have a traditional brick and mortar but they created an online base activities. In the book of retail management by Michael Levy and Barton Weitz (2012) internet channel is also called online retailing which the company offers products and services via internet. Online media vehicles with which customers can interact is through blogs, websites and social media. The companies make its own website for the customers able to communicate with them, they use website to build brand image; inform customers of the store location, announcement of events, and their available merchandise. Blogs are containing different periodic post of common webpage, using the blog company may use word- of- mouth in advertising they post daily updates and customers can comment on it. Social Media there are three major facilitator’s youtube, facebook and twitter, the same in blogs and website, they may use word-of –mouth –mouth in advertising, this enables to communicate in much larger community. community. In the book of international marketing by 3G Elearning FZLLC (2012) where it asserted the role of internet in marketing; first it is the fastest growing communication technology, technology, within the first five years 50 million people were connected, lastly capable of interactively sharing information in real time. The benefit of online base business is it reduces the cost by reducing the labor, paper works, and errors in keying the data, post cost and time. Flexibility with efficiency, improve relationship with trading partners, lock in customers and new markets. Added features in ecommerce it is easy for the business, security Improvements, convenient for shoppers and prices often lower.
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The online base businesses need online strategies to attract and retain customers. E-Product strategies- there are clear online facts about the products that will purchase. E-Price strategies- the internet gives consumers the power to shop around for the best deal at a click of a button. E-Place strategies- The location refers to the websites or link of the store. Consumers can purchase direct from manufacturers cutting out retailers daily and also deliver the products in the given time frame. E-Promotion strategies- online shop uses different promotional tools such ad banners but this was a challenge for the company, having a recognizable domain name is first stage towards epromotion. Local Literature
In the Philippines, most of the businesses businesses implements e-commerce. Several businesses to consumer transaction have merge for the past years such as auctions, online shopping and online banking (Lacson, Pasadilla, 2006). With this it only show that Filipino are grabbing the opportunity in selling goods with over 16% people are using the internet. This opportunity will not only benefit those huge companies but also the small and medium enterprise that are not able to advertise their produce the same as huge companies that have large budget. By creating a website, blogs and social media accounts it could make their business grow with their sales and establishing their company image. Local firms have reaching the potential of e-commerce that will help to compete in local and international market. In the process of preparing themselves to conduct e-commerce, these
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firms will alter the business activities as well have an impact to the welfare of the laborers. Most efforts to measure the economic effects of e-commerce include the laborers welfare- have focused on the US and Europe. (Roberto, 2002) in general he discusses the changes of nature in work, employment demand for the industry which may focus to white collar jobs. In 21st century where Filipinos have entered in local e-commerce the transaction reach Php 1 Billion and at least Php 1 Billion growth in sales yearly. If this continues for over 10 years the economy is at its good place (Toral, 2004). The undeniable benefit gaining from e-commerce is it reduces transaction cost. Buyers are likely to search for products that are in lower l ower cost with accurate information about the price and the product itself. Large savings in production and cost of delivery in electronic as well (Lee,2006). The companies that are base online gain advantage over their competitors in terms of availability of the products, accessibility of the place, convenience for the customers these are the features in using the internet, customers are looking for the companies who caters these attributes. E-commerce enhances better transaction of business to help both sellers and customers as well (Deanna and Fritz, 2006). With these, companies gain much better relationship with their customers and leads to increase their sales will be achieved (Kim and Katherine, 2004). And also e- commerce offers great deals for a new option in selling products and advertising as well (Roso and Navarro 2006). Availability of the products in the web gets more exposure to attract customers and it’s more affordable affordabl e in terms of advertising with just small amount for paid commercials for business to implement. Since this is a trend more competitors are approaching and the company must take into considerations the key factors in order to have a successful online marketing system starting from
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the smallest details in the website, target the customers, good web design, features and content and including the security improvements.
THEORETICAL FRAMEWORK
Marketing mix refers to the set of actions, or tactics, that a company uses to promote its brand or product in the market. The 4Ps make up a typical marketing mix – Product, – Product, Place, Price and Promotion. All the elements of the marketing mix influence each other. They make up the business plan for a company and handled it right, can give it great success. But handled wrong and the business could take years to recover. This marketing mix is a tool of a marketing manager/s to achieve the marketing objectives/targets. They use the four elements of marketing mix in a rational manner to achieve his marketing objectives in terms of volume of sales and consumer support. This study used the theory of Marketing Mix that grouped into four categories known as the 4Ps of Marketing.
According to Philip Philip Kotler (1967), “The “The Marketing Marketing mix is the set of controllable variables variables that the firm can use to influence the clients response.” These four variables help a company develop a unique selling point as well a brand image.
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INPUT
PROCESS
Profile of the respondents
Age
Gender
Status
Income
OUTPUT
Identifying the
Respondents Respondents profile
respondents profile
Identified that Age: 24-29
Instrument
years old, Gender: Female, Status: Employed, Monthly
Survey Questionnaire
Income: ₱10,001-20,000 10,001-20,000 had the highest score in agreeing the online marketing strategies of Lazada are effective or positive to them.
Assessment Assessment of Online Marketing Strategy of Lazada as Perceived by the Residents of Marikina
Marketing Strategy of Lazada as Perceived by the Residents of Marikina City was
City.
Assessment Assessment of Online
Product
assessed Statistical Analysis
Place
Price
Promotion
Likert Scale
Percentage/Fre
Determined that Lazada’s Lazada’s online marketing strategy utilizing 4Ps needs to further develop the current strategies for maintaining its company growth.
quency
Grand Mean Anova
Feedback
Figure 1. Research Paradigm The research paradigm discussed the flow of the study to be taken.
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The system contains three frames that are composed of input which undergoes to process or operation and resulted to an output. The input contains the primary variables regarding of Lazada Online Shop. This includes the profile of the respondents, relevant relationship, the variables, and perceived of online marketing and the most used strategy of Lazada in the internet. The second frame contains the process of the study. This includes the methodologies and procedures this study will be using in gathering data and in analyzing the variables by making survey questionnaires, questionnaires, research, and the use of statistical approaches approaches and tools. Last frame is the output. This contains the recommendation that this study will suggest for further development of online marketing strategy of Lazada. The arrows show the flow of information in the research as a process. The feedback will be the connecting loop from the input to the process and lastly to the output.
HYPOTHESIS
The hypothesis was tested at 0.05 level of significance. Ho: In our study where we test the level of the significance of the respondents we found out that there is no significant difference on the assessment of online marketing strategies of Lazada utilizing 4Ps, as the respondents respondents grouped according to profile.
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DEFINITION OF TERMS
Lazada- Is an online retail store where customers can order via internet. Assessment Assessment – – Is the process that use to examine the respondents perception about online marketing strategy of Lazada. Perceived- Is the degree of a customer being aware of the online marketing strategy of Lazada. Online Marketing Strategy – The – The strategy of Lazada used through the internet to retail its products. Online Shopping- Is the process of people that goes to Lazada website to purchase products. Product- Is the merchandise items that Lazada offers in the website. Price- Is the amount of cost indicated in each items that Lazada offers. Place – Place – Is the Lazada’s website in the internet and includes the logistics for door to door deli very system. Promotion- It is the way that Lazada promotes products to customers by using advertisements and discounts promos. Social Media- Primarily internet or cellular phone based applications and tools to share information among people.
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CHAPTER 3 RESEARCH METHODOLOGY
This chapter describes the operational plan of work or strategy. A number of activities in the plan of work include the following operation: a) research method b) research locale c) sources data d) population and sample size e) sampling technique f) research instrument Research Method
The research method identifies the study of assessment of online marketing strategy of Lazada as perceived by the residents in Marikina City. At the same time, we, the proponents will utilize Quantitative Research approach for the empirical investigation of observable phenomena phenomena via statistical, Mathematical or Computation Technique. The Proponents utilize survey questionnaire and interview and will not use artificial method and experiment to have a proper description which describes the data. Research Locale
The respondents of the study are the residents of Barangay Barangka, Barangay Calumpang and and Barangay Sta. Elena from Marikina Marikina City. This city is one of the active cities in Metro Manila, the researchers infer that this area where people with everyday work are more likely to shop online rather go to malls due to busy schedule. Description of the Respondents
The respondents of this study are the households representative of the selected Barangays in Marikina City who have experienced nor likely to shop online in Lazada.
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Sources of Data
The study used two types of gathering data. The primary data is the total household population data of Marikina City that came from the Community Based Monitoring System of Municipal Hall in Marikina City. The secondary data came from internet, journals, books and related researchers. Population and Sample Size
The total number of household population in three Barangays are 4,857, out of this there are 370 used in pre survey and the respondents that answered yes in the pre survey composing of 264 are the actual respondents that the researchers will assess. The researcher used slovin formula to calculate the sample size of this study.
=
+()
Where: N= Size of the t he Population n= Size of the Sample e= Margin of Error This study sets 5% margin of error as a basis used in slovin’s formula. And used slovin’s and got as the sample size that becomes the respondents for Pre-survey. Sample Technique
In this study we used Simple Random Sampling technique to gather data. A simple random sample is a subset of a statistical population in which each member of the subset has an equal probability of being chosen. A simple random sampling is meant to be an unbiased representation of a group.
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The researchers distributed the questionnaires to the residents of the selected Barangays in Marikina City. The results of the questionnaire are tallied to know the different perception of the residents in the online marketing strategy of Lazada. The most number of respondents are in Barangay Barangka with 98 or 37% that answered yes in the pre survey form, followed by Barangay Calumpang with 94 or 36% and the least number of respondents are in Barangay Sta. Elena with 72 or 27% of the total population. And these respondents are given to answer a following questionnaire that composes of primary questions about Lazada’s Online Marketing Strategy. Research Instruments
This study prepared two kinds of survey questionnaire that aim to collect the data on the assessment of online marketing strategy of Lazada as perceived by the residents of Marikina City . The pre survey composed of basic questions that allow the researchers to come up with possible respondents. The second questionnaire provides the profile of the respondents that compose of age, gender, status, monthly income and primary questions. Data Gathering Procedure
The researchers made a preliminary questionnaire with the help of the advice of the professors and co-author, the questionnaire are revised until it was made final. The researchers conducted survey in three Barangay which are in Barangka, Calumpang and Sta. Elena, the distributed survey forms are over 264. Statistical Treatment
The data collected in this study were organized and classified based on the problems formulated. The data were tallied, tabulated to facilitate the presentation interpretation of research using the following:
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1. Likert Scale – – a method ascribing quantitative value to qualitative data to make it amendable to statistical analysis. A numerical value was assigned each potential choice and a mean figure for all responses was computed at the end of the evaluation. To be able to identify the interpretation of respondents, the following scale value and verbal interpretation is utilized. Table 1. Scale Value and Range Mean with its corresponding Verbal Interpretation
Scale Value
Range of Mean
Verbal Interpretation
5
4.51 - 5.00
Strongly Agree
4
3.51 - 4.00
Agree
3
2.51 - 3.00
Neutral
2
1.51 - 2.00
Disagree
1
1.00-1.50
Strongly Disagree
To be able to interpret the mean rating of the respondents, the following scale and verbal interpretation is being utilized. 2. Frequency and Percentage The frequency/percentage frequency/percentage was used to t o classify the respondents respondents profile and evaluation. =
100
Where: P= Percentage n= number of cases or total number of Mean f= frequency
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The mean was used to know the level of respondent’s evaluation regarding the assessment of online marketing strategy of Lazada. Weighted Mean: =
∑ n
Where: X = Mean ∑fx = ∑fx = the sum of all products of f and x, f being then frequency of each weights and x as the weight of each operation. N = total number of respondents 3. Grand Mean – Mean – is is the mean of all the means coming from different sub-samples. This is used in the study to evaluate the average mean of all respondents as they perceived the online marketing strategy of Lazada. 4. ANOVA - was used to test the significant difference on the assessment assessment of the respondents when they are grouped according to their profile.
=
Where: F = Anova Coefficient MST = Mean sum of squares due to treatment MSE = Mean sum of squares due to error.
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CHAPTER 4 PRESENTATION, ANALYSIS AND INTERPRETATION
This chapter presents the findings based on specific problems postulated at the inception of the presentation. Relevant data were systematically gathered, tabulated, and clearly presented, analyzed and interpreted to achieve the objectives of this study. I.
Demographic Profile of the Respondents Table 2. Frequency and Percentage Distribution of the Respondents According to Age Age
Frequency
Percentage
18-23 years old
48
18.2%
24-29 years old
79
29.9%
30-35 years old
76
28.8%
36 years old above
61
23.1%
Total
264
100%
Table 2 presents the frequency and percentage distribution of the respondents according to age bracket, wherein out of 264 respondents the highest are ages 24-29 years old with 29.9%, followed by 30-35 years old with 28.8 %, followed by 36 years old above with 23.1% and the least of the age bracket is 18-23 years old with only 18.2%. Figure 2. Frequency and Percentage Distribution of the Respondents According to Age
23% 18%
18-23
29% 30%
30-35
24-29
36-above
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Table 3. Frequency and Percentage Distribution of the Respondents According to Gender Gender
Frequency
Percentage
Male
98
37.1%
Female
166
62.9%
Total
264
100%
Table 3 presents the frequency and percentage distribution of respondents according to gender wherein out of 264 respondents, female had the highest frequency and percentage with 166 or 62.9% and the least are male respondents with 98 or 37.1% of the total population. Figure3. Frequency and Percentage Distribution of the Respondents According to Gender
37% 63%
Male Female
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Table 4. Frequency and Percentage Distribution of the Respondents According to Status Status
Frequency
Percentage
Employed
142
53.8%
Housewife
37
14%
Working Student
36
13.6%
Self Employed
49
18.6%
Total
264
100%
Table 4 presents the frequency and percentage distribution of respondents according to Status wherein out of 264 respondents, the highest are employed with 142 or 53.8%, followed by 49 or 18.6% are self-employed, followed by 37 or 14% are housewives, and the least are the students with 36 or 13.6%. Figure 4. Frequency and Percentage Distribution of the Respondents According to Status
19% Employed
13%
Housewife
54%
Working Student Self Employed
14%
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Table 5. Frequency and Percentage Distribution of the Respondents According to Monthly Income Monthly Income ₱ 10,000 below
Frequency
Percentage
28
10.6%
₱
10,001-20,000
110
41.7%
₱
20,001-30,000
83
31.4%
30,001-40,000 30,001-40,000
29
11%
14
5.3%
264
100%
₱
₱ 40,001
above
Total
Table 5 presents the monthly income of the respondents, wherein out of 264 respondents, the highest percentage are earning
10,001 –20,000 20,000 ₱10,001 –
monthly with 110 or 41.7%, followed by
earning ₱20,000-30,000 20,000-30,000 monthly with 83 or 31.4%, followed by earning ₱30, 001- 40,000 monthly with 29 or 11%, followed by earning
₱10,000
below with 28 or 10.6%, and the least total
respondents respondents are earning above ₱40, 001 monthly 14 or 5.3%. Figure 5. Frequency and Percentage Respondents According to Monthly Income
11%
5% 11% 10, 000 below 10, 001 - 20,000 20, 001 - 30,000
31%
42%
30, 001 - 40,000 40, 001 above
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II. Respondents Assessment on the Online Marketing Strategy of Lazada Table 6. Respondents Assessment of Lazada in Terms of Product Product Variable
Mean
Verbal Interpretation
4.0606
Agree
3.8939
Agree
4.0189
Agree
The products proven defective or damaged can easily return and reimburse.
3.7803
Agree
Grand Mean
3.9384
Agree
The selection of items available in the website and mobile application is broad The photo and description of the products in the website and mobile application are accurate and clear. The items available are guaranteed to be new, genuine, not defective or damaged.
Table 6 shows the result of respondents assessment of Lazada in terms of product. The highest mean is the 1 st category with 4.0606, followed by the 3 rd category with 4.0189, followed by the 2nd category with 3.8939 and the least weighted mean is the 4 th category with 3.7803. The respondents respondents have overall "Agree" to Lazada in terms of product with 3.938 grand mean.
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Table 7. Respondents Assessment of Lazada in Terms of Place Place Variable
Mean
Verbal Interpretation
The website and mobile application is accessible. accessible.
4.1439
Agree
The order status option in the website and mobile application for tracking the progress of delivery is reliable.
3.9280
Agree
The delivery of the products is always on the given timeframe.
3.9432
Agree
The transaction of payment upon cash on delivery or through banks is always secured.
3.9129
Agree
Grand Mean
3.9820
Agree
Table 7 shows the result of respondents assessment of Lazada in terms of place. The highest mean is the 1 st category with 4.1439, followed by the 3 rd category with 3.9432, followed by 2nd category with 3.9280 and the least is the 4 th category with 3.9129. The respondents have overall "Agree" to Lazada in terms of place with 3.9820 Grand Mean
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Table 8. Respondents Assessment of Lazada in Terms of Price Price Variable
Mean
Verbal Interpretation
Availability of different different price points depending on the brand of the products.
3.6212
Agree
Guarantees the product is at its best price offer.
3.8409
Agree
The prices are much affordable for as low as P 20 pesos compare to other online retail store.
3.8939
Agree
The prices of additional cost charge in shipping delivery for as low P99 pesos are much affordable compare to other online retail store
3.9053
Agree
Grand Mean
3.8153
Agree
Table 8 shows the result of respondents assessment of Lazada in terms of price. The highest mean is the 4 th category with 3.9053, followed by the 3 rd category with 3.8939, followed by the 2nd category with 3.8409 and the least is the 1 st questions with 3.6212.The respondents have overall "Agree" to Lazada in terms of price with 3.8153 Grand Mean.
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Table 9. Respondents Assessment of Lazada in Terms of Promotion Promotion Variable
Mean
Verbal Interpretation
Special promotions such as discounts and vouchers are available in website and mobile application.
3.9508
Agree
Promoting accustomed daily deals and appropriate vouchers for the regular customers.
3.9129
Agree
The featured promos and discounts given up to 70% makes fun and efficient to shop.
3.9583
Agree
Promotes convenience in featuring non – non – fee fee charge shipping delivery within Metro Manila and easy payment methods.
4.0530
Agree
Grand Mean
3.9688
Agree
Table 9 shows the result of respondents assessment of Lazada in terms of promotion. The highest mean is the 4 th category with 4.0530, followed by the 3rd category with 3.9583, followed by the 1st category with 3.9508 and the least is the 2 nd category with 3.912 The respondents have overall "Agree" to Lazada in terms of place with 3.9688 Grand Mean.
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III. Significant Difference on the Assessment of the Respondents when they are Group According to Profile. Table 10. Significant Difference of the Respondents Assessment to Lazada's Product Strategy According to Age given the First Category of Product Variable Age
18-23 years old
24-29 years old
30-35 years old
Mean
P-value
Decision
Remarks
4.1875
3.9747
4.1711
There is
0.150
Ho
No
Accepted
significant difference
36 years old above
3.9344
Table 10 shows the significant difference in the first category of product variable according to age. The age bracket with the highest mean are ages 18-23 years old with 4.1875, followed by 30-35 years old with 4.1711, followed by 24-29 years old with 3.9747 and the least are ages 36 years old above. The data reveal a P-value of 0.150 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 11. Significant Difference of the Respondents Assessment to Lazada's Product Strategy According to Age given the Second Category of Product Variable Age
Mean
18-23 years old
4.0208
24-29 years old
3.8608
P-value
0.500 30-35 years old
36 years old above
3.7895
Decision
Remarks
There is
Ho Accepted
No significant difference
3.9672
Table 11 shows the significant difference in the second category of product variable according to age. The age bracket with the highest mean are ages 18-23 years old above with 4.0208, followed by 36 years old above with 3.9672, followed by 24-29 years old with 3.8608 and the least are ages 30-35 years old with 3.7895.The data reveal a P-value of 0.500 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 12. Significant Difference of the Respondents Assessment to Lazada's Product Strategy According to Age given the Third Category of Product Variable Age
Mean
18-23 years old
3.1458
24-29 years old
P-value
Decision
Remarks
There is
3.9494
No
Ho 0.525 30-35 years old
3.9737
36 years old above
3.9672
Accepted
significant difference
Table 12 shows the significant difference in the third category of product variable according to age. The age bracket with the highest mean are ages 30-35 years old above with 3.9737, followed by 36 years old above with 3.9737, followed by 24-29 years old 3.9494 and the least are ages 18-23 years old with 3.1458. The data reveal a P-value of 0.525 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 13. Significant Difference of the Respondents Assessment to Lazada's Product Strategy According to Age given the Fourth Category of Product Variable Age
Mean
18-23 years old
3.7708
24-29 years old
3.7342
P-value
3.9605
36 years old above
3.6230
Remarks
There is
0.076 30-35 years old
Decision
Ho
No
Accepted
significant difference
Table 13 shows the significant difference in the fourth category of product variable according to age. The age bracket with the highest mean are ages 30-35 years old, followed by 18 -23 years old with 3.7708, followed by 24-29 years old with 3.7342 and the least are ages 36 years old 3.6230. The data reveal a P-value of 0.076 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 14. Significant Difference of the Respondents Assessment to Lazada's Place Strategy According to Gender given the First Category of Place Variable Gender
Male
Mean
P-value
Decision
Remarks
Ho
There is
Accepted
No
4.1224
0.710
significant
Female
4.1566
difference
Table 14 shows the significant difference in the first f irst category of place variable according to gender. The highest mean are female respondents with 4.1566 and the least are male respondents with 4.1224. The data reveal a P-value of 0.710 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 15. Significant Difference of the Respondents Assessment to Lazada's Place Strategy According to Gender given the Second Category of Place Variable Gender
Mean
Male
3.9082
P-value
Decision
Remarks
There is
0.749
Ho
No
Accepted
significant difference
Female
3.9398
Table 15 shows the significant difference in the second category of place variable according to gender. The highest mean are female respondents with 3.9082 and the least are male respondents with 3.9398. The data reveal a P-value of 0.749 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 16. Significant Difference of the Respondents Assessment to Lazada's Place Strategy According to Gender given the Third Category of Place Variable Gender
Mean
Male
3.8878
P-value
Decision
Remarks
There is
Ho 0.364
Accepted
No significant difference
Female
3.9759
Table 16 shows the significant difference in the third category of place variable according to gender. The highest mean are female respondents with 3.9759 and the least are male respondents with 3.8878. The data reveal a P-value of 0.364 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 17. Significant Difference of the Respondents Assessment to Lazada's Place Strategy According to Gender given the Fourth Category of Place Variable Gender
Mean
Male
3.7857
P-value
Remarks
There is
0.040 Female
Decision
Ho
a
Rejected
significant
3.9880
difference
Table 17 shows the significant difference in the fourth category of place variable according to age. The highest mean are female respondents with 3.9880 and the least are male respondents with 3.7857. The date reveal a P-value of 0.040 which is less than the level of significance which is 0.05 showing a significant difference, therefore the null hypothesis is rejected.
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Table 18. Significant Difference of the Respondents Assessment to Lazada's Price Strategy According to Status given the First Category of Price Variable Status
Mean
Employed
3.6268
P-value
Decision
Remarks
There is
Housewife
3.5946
No
Ho 0.667 Working Student
3.5000
Self-employed
3.7143
Accepted
significant difference
Table 18 shows the significant difference in the t he first category of price variable according to status. The highest mean are self-employed respondents with 3.7143, followed by employed respondents with 3.6268, followed by housewife respondents with 3.5946 and the least are respondents working student with 3. 500. The data reveal a P-value of 0.667 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 19. Significant Difference of the Respondents Assessment to Lazada's Price Strategy According to Status given the Second Category of Price Variable Status
Mean
Employed
3.9225
Housewife
3.7027
P-value
3.6111
Self-employed
3.8776
Remarks
There is
0.146 Working Student
Decision
Ho
No
Accepted
significant difference
Table 19 shows the significant difference in the second category of price variable according according to status. The highest mean are employed respondents with 3.9225, followed by self- employed respondents respondents with 3.8776, followed by housewife respondents with 3.7027 and the least are working student respondents with 3. 6111. The data reveal a P-value of 0.146 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
38
Table 20. Significant Difference of the Respondents Assessment to Lazada's Price Strategy According to Status given the Third Category of Price Variable Status
Mean
Employed
3.8662
Housewife
4.0541
P-value
3.8611
Self-employed
3.8776
Remarks
There is
0.709 Working Student
Decision
Ho
No
Accepted
significant difference
Table 20 shows the significant difference in the third category of price variable according to status. The highest mean are housewife respondents with 4.0541, followed by self- employed respondents with 3.8776, followed by employed respondents with 3.8662, and the least are working student respondents respondents with 3. 8611. The data reveal a P-value of 0.709 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
39
Table 21. Significant Difference of the Respondents Assessment to Lazada's Price Strategy According to Status given the Fourth Category of Price Variable Status
Mean
Employed
3.8732
Housewife
3.8919
P-value
4.1111
Self-employed
3.8571
Remarks
There is
0.519 Working Student
Decision
Ho
No
Accepted
significant difference
Table 21 shows the significant difference in the fourth category of price variable according to status. The highest mean are working student respondents with 4.1111, followed by housewife respondents with 3.8919, followed by employed respondents with 3.8732 and the least are self – employed respondents with 3.8571. The data reveal a P-value of 0.519 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 22. Significant Difference of the Respondents Assessment to Lazada's Promotion Strategy According to Monthly Income given the First Category of Promotion Variable Monthly Income
₱10,000
below
₱10,001-20,000
Mean
P-value
Decision
Remarks
3.9286
3.8273 There is
₱20,001-30,000
4.0241
0.281
Ho
No
Accepted
significant difference
₱30,001- 40,000
₱40,001
above
4.1379
4.1429
Table 22 shows the significant difference in the first category of promotion variable according to monthly income. The highest mean are earning followed by earning
₱30,001-40,000
above monthly with 4.1429,
with 4.1379 monthly, followed by earning
monthly with 4.024, followed by earning earning
₱40,001
₱10,000
–30,000 ₱20,001 –30,000
below below monthly with 3.9286 and and the least are
10,001 –20,000 20,000 monthly with 3.8273. The data reveal a P -value of ₱10,001 –
0.281 which is greater
than the level of significance which is 0.05; therefore the null hypothesis is accepted.
41
Table 23. Significant Difference of the Respondents Assessment to Lazada's Promotion Strategy According to Monthly Income given the Second Category of Promotion Variable Monthly Income
₱10,000
below
₱10,001-20,000
Mean
P-value
Decision
Remarks
3.7857
3.8455 There is
₱20,001-30,000
4.0843
Ho
No
Accepted
significant
0.281
difference ₱30,001-40,000
3.7586
₱40,001
4.0000
above
Table 23 shows the significant difference in the second of promotion variable according to monthly income. The highest mean are earning
₱40,001
above with 4.0000 monthly, followed by
earning ₱20,001- 30,000 monthly with 4.0843, followed by earning 3.8455, followed by earning 10,001 – 20,000 20,000 ₱10,001 –
₱10,
10,001 – 20,000 20,000 monthly with ₱10,001 –
000 below monthly with 3.7857 and the least are earning
monthly with 3.8455. The data reveal a P-value of 0.134 which is greater than
the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 24. Significant Difference of the Respondents Assessment to Lazada's Promotion Strategy According to Monthly Income given the Third Category of Promotion Variable Monthly Income
Mean
P-value
Decision
Remarks
3.8214
₱10,000 below
4.0273
₱10,001-20,000
There is
0.422 3.8675
₱20,001-30,000
Ho
No
Accepted
significant difference
₱30,001-40,000
₱40,001
4.0000
3.9129
above
Table 24 shows the significant difference in the third of promotion variable according to monthly income. The highest mean are earning ₱30,001-
₱10,001
above with 4.0273, followed by earning
40,000 monthly with 4.0000, followed by earning
followed by earning
₱20,
₱40,001
above monthly with 3.9129,
001 – 30,000 – 30,000 monthly with 3.8675 and the least are earning
₱10,000
below monthly with 3.8214. The data reveal a P-value of 0.422 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted.
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Table 25. Significant Difference of the Respondents Assessment to Lazada's Promotion Strategy According to Monthly Income given the Fourth Category of Promotion Variable Monthly Income
Mean
₱10,000 below
4.0000
₱10,001-20,000
4.0727
P-value
0.972 ₱20,001-30,000
4.0723
Decision
Remarks
There is
Ho
No
Accepted
significant difference
₱30,001-40,000
4.0000
₱40,001
4.0000
above
. Table 25 shows the significant difference in the fourth category of promotion variable according to monthly income. The highest mean are earning followed by earning 4.0000 are earning
₱20,001-
₱10,001
above with 4.0727,
30,000 monthly with 4.0723, followed by the same mean with
10,001 – 20,000, 20,000, ₱10, ₱10,001 –
000 below,
10,001 – 20,000 20,000 ₱10,001 –
monthly. The data
reveal a P-value of 0.972 which is greater than the level of significance which is 0.05; therefore the null hypothesis is accepted
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CHAPTER 5 SUMMARY OF FINDINGS, CONCLUSIONS AND RECOMMENDATION
This chapter presents the summary of findings, conclusions and recommendation prior to our study. This study presents the Assessment of Online Marketing Strategy of Lazada as Perceived by Residents in Marikina City. Summary of Findings
According to the gathered data data and results, the researchers researchers came up with with the following findings: findings: 1. Respondents Respondents Profile 1. As to Age, it shows that ages 24-29 years old are the highest respondents with 29.9% of the total respondents, and ages 30-35 years old are second with 28.8%, the third are ages 36 years old above with 23.1% and the least ages are 18-23 years old with 18.2% of the total respondents. respondents. 2. As to t o Gender, it shows that the Females are the highest respondents composing of 166 or 62.9% and the least are Male respondents with 98 or 37.1%. 3. As to Status, it shows that majority majority of the respondents respondents are Employed 142 142 or 53.8% of the total population, followed by the Self-Employed with 49 or 18.6%, then the Housewives with 37 respondents or 14% and the least are the Working Students with 36 respondents or 13.6% of the total respondents. respondents. 4. As to Monthly Income, it shows that 110 or 41.7% of the total respondents respondents are earning
₱10,001-20,000
₱20,001-30,000
monthly, followed by are the respondents earning
with 83 or 31.4%, then 29 or the 11% of the respondents earning
45
₱30,001-40,000
and 28 or 10.6% are earning
₱10,000
below and lastly the 14 or
5.3% respondents earning ₱40,001 above. 2. Assessment Assessment of Online Marketing Strategy of Lazada as perceived by residents in Marikina City 1. As to Product Variable, it reveals that respondents agreed to all the category of product variable with means within the 3.51-4.50 mean interpretation "Agree". 2. As to Place Variable, it reveals that respondents respondents agreed to all the category of place variable with means within the 3.51-4.50 mean interpretation "Agree". 3. As to Price Variable, it reveals r eveals that respondents respondents agreed to all the category of price variable with means within the 3.51-4.50 mean interpretation "Agree". 4. As to Promotion Variable, it reveals that respondents agreed to all the category of promotion variable with means within the 3.51-4.50 mean interpretation "Agree". 3. Is there a significant difference on the assessment of the respondents when they are group according to profile. 1. As to Age analogize to 4 categories of Product Variable, V ariable, it reveals that there is no significant difference as its 1 st category the P- value is 0.150, 2nd category P- value is 0.500, 3rd category P- value is 0.525, 4 th category P- value is 0.076. All of the Pvalues are greater than the level of significance which is 0.05; therefore the null hypothesis is accepted. 2. As to Gender analogize to 4 categories of Place Variable, V ariable, it reveals that there is one out of four categories that have significance, the 1 st category the P- value is 4.1224, 2nd category P- value is 0.749, 3 rd category P- value is 0.364, 4th category P- value is 0.40. The first three categories P- values are greater than the level of significance which is 0.05; therefore the null hypothesis is accepted. Only the 46
fourth category is less than the level of significance which is 0.05; showing a significant difference, therefore the null hypothesis is rejected. 3. As to Status analogize to 4 categories of Price Variable, it reveals that there is no significant difference as its 1 st category the P- value is 0.667, 2nd category P- value is 0.146, 3rd category P- value is 0.709, 4 th category P- value is 0.519. All of the Pvalues are greater than the level of significance which is 0.05; therefore the null hypothesis is accepted. 4. As to t o Monthly Income analogize to 4 categories of Promotion Variable, it reveals that there is no significant difference as its 1 st category the P- value is 0.281, 2 nd category P- value is 0.134, 3 rd category P- value is 0.422, 4th category P- value is 0.972. All of the P- values are greater than the level of significance which is 0.05; therefore the null hypothesis is accepted. Summarizing the Assessment of Online Marketing Strategy of Lazada as perceived by residents in Marikina City, this study shows that the respondents all agree that the online marketing strategy of Lazada is effective or positive to them. Conclusions
Based on the conclusions made in the study the t he following recommendations were made: 1. Respondents Respondents profile 1. The highest Age bracket is 24-29 years old indicating that these age bracket are millenials who are probably working already and aware on using the internet. 2. The highest Gender respondents are females with 166 of the total respondents it show that females are more natural to shop online than male.
47
3. The highest Status are employed respondents indicating professionals who doesn’t have time to go to the mall are more likely to go shopping online. 4. The highest Monthly Income bracket is the ₱10,001-20,000 10,001-20,000 indicating that majority of the respondents is maybe the minimum income earners. 2. Assessment Assessment of Online Marketing Strategy of Lazada as perceived by residents in Marikina City 1. The Product Variable of Lazada as perceived by the resident of Marikina is Effective since the overall assessment is "Agree" indicating that their selection of product is broad and guaranteed to be new. 2. The Place Variable of Lazada as perceived by the resident of Marikina is Effective since the overall assessment is "Agree" indicating that their website and mobile application is accessible and delivery of the product is always on the right place and time. 3. The Price Variable of Lazada as perceived by the resident of Marikina is Effective since the overall assessment is "Agree" indicating that their prices are affordable along with wide range of price. 4. The Promotion Variable of Lazada as perceived by the resident of Marikina is Effective since the overall assessment is "Agree" indicating that their discounts and voucher promo are very effective. 3. Is there a significant difference on the assessment of the respondents when they are group according to profile. Majority of the respondents respondents have no significant differences in perceiving the online marketing strategy of Lazada when grouped according to profile namely their age, gender, occupation and monthly income. 48
Recommendations
As the result shows that a lot of people are recognizing recognizing Lazada as top online shopping shopping site in the Philippines. In our study, majority of the respondents are millenials, where they have good perception with Lazada’s existing online marketing strategy, We recommend that Lazada’s current online marketing strategy further develop to maintain its company growth, in terms of developing new product strategy such as deepen the broad assortment of products than the usual offerings and also make improvements with customer service by creating a marketing team that will focus in customers concerns or complaints, this will have positive impact with Lazada’s company image to build strong customer relationship with current and potential consumers. And in addition, aside from the internet to increase consumer awareness make new promotional strategy such as advertising in other media platform like Television and Radio. With regards to price and place strategy, in maintaining their competitive edge in the market Lazada should continue to provide competitive pricing and make the promo in non-fee door to door delivery system applied in more areas in the Philippines to attract more customers. .
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