UNDERSTANDING THE EFFECT OF RETURN POLICY OF AMAZON ON CUNSUMER BEHAVIOR AND PURCHASE PATTERN

Abstract

E-commerce industry is booming with the entry of new players daily and has become increasingly competitive in nature. Consumer skepticism and low internet penetration in India still plagues the industry. The industry is tech intensive and requires one to overcome the cost barrier to enter it. Hence, it becomes crucial to analyze the various factors on which the consumer behavior depends and formulate policies keeping the key factors in mind. This report is a based on primary data about how customers perceive the return policies of Amazon. Primary research includes the overall analysis of the customers’ purchasing pattern in the above mentioned industry so that gaps can be analyzed effectively and brand loyalty can be understood in customers. This primary research, in turn, helped a lot in understanding the return policy of the company and the things that a customer wants while returning the product. How favorable the current policy is and what improvements it needs to gain positive customer response. This will be done by analyzing the shares of different companies in the market and comparing their return policies and analyzing the customers from various financial backgrounds as this too is an important factor. This aspect can also help a lot in understanding the gaps in the mind of customers and how companies can improve these policies. Conclusion of the report will be focusing on the strategic improvement of current return policy and how it can provide an edge to the company in the longer run. The major part of the project is based on analysis, computations and understanding of return policies major players and consumer behavior.