Rakhmatulina I., Sheremet T.G.

Donetsk National university of economics and trade

 named after M. Tugan-Baranovskyy

 

E-commerce in Ukraine

 

As the popularity of different e-services continues to grow, it seems natural that more and more Internet users decide to do the shopping online. Nearly one third of Internet users from Ukraine use online stores or auction portals as a place for purchasing various goods. Taking into account the attitudes towards e-commerce, this number will, most likely, increase in the nearest future.

To respond to the growing need of knowledge in the e-commerce market, Gemius research on the attitudes and preferences of Internet users towards online shopping in several countries of Central and Eastern Europe: the Czech Republic, Hungary, Latvia, Lithuania, Poland, Romania, Russia and the Ukraine. The study deals with the subject of favorite products bought on the Internet, the frequency of shopping and purchase intent. It reveals also a ranking of e-shops and auction sites.

As a result of the project carried out in Ukraine, Gemius got to know that contrary to the extremely high awareness of online shopping (98% of all respondents have heard about it), only 29% of all Internet users have ever made an online purchase. It is even more surprising when respondents’ declarations of positive attitude towards shopping are considered - 54% of them like or even love this way of spending time.

50% of Internet users (who have heard about shopping on the Internet) consider this medium risky as far as financial transactions are concerned. 6% of those who have ever done shopping on the Internet admitted that higher security of payments would make them buy more frequently. An improvement in the security of delivery would also increase the frequency of shopping (among 6%).

In addition to the small number of e-shoppers, most of them are far from purchasing online on everyday basis - only 2% do it more or less once a week. However, 45% of those who have ever done shopping on the Internet admitted that they are going to buy on the Web more frequently. An important incentive would be lower prices as well as a better financial situation of Internet users. Taking into account what Internet users usually buy online, this is no surprise. The most popular products bought in online shops are phones and accessories (49%) and, in the case of auctions, among other things brown and white goods (27%) and computer hardware (26%). As those products are generally rather expensive, it is essential for e-shoppers that they can buy cheaper via Internet. All in all, the on-line shopping is associated with saving money and time. 35% of Internet users admitted that it takes less time than buying in traditional shops. It is also worth adding that for 11% of all respondents saving time and for 16% saving money is one of the most important criteria while buying.

As far as the behavior of Ukrainian e-shoppers is concerned, they generally prefer online stores to auctions. The domestic market edged up to 27% for the former, while auctions maintain at the level of 5%. Moreover, these two places are perceived differently by Internet users. The reason for buying in online shops are lower prices than in traditional shops (57% of respondents who have done shopping in online stores), while in the case of auctions, it is the fact that there are goods, which are more difficult to find in some other places (44% of respondents who have done shopping in online auctions). Even though both online shops and auctions are popular places to buy books, CDs, films (47% and 27% respectively) and brown and white products (43% and 27% respectively), auctions are preferred in case of computer hardware (26%) and online shops in case of phones and accessories (49%).

To sum up, as there is clear intention among e-shoppers to buy online, the future of e-commerce seems to be bright. In order to promote the expansion of online shopping, its security should be guaranteed. As the saving of time is also very important for customers, quick delivery of products would be a great advantage. Last, but not least, online shops and auctions should pay more attention to the breadth of assortment and the way the products are presented. Fulfilling all these conditions would speed up the development of the e-commerce market in Ukraine and result in higher satisfaction of the customers.

Literature:

1.     http://www.gemius.com/pl/archives/2007-05-28/01

2.     http://www.ukraine-today.com/computers/e-commerce/e-com.shtml

3.     http://www.asterslaw.com/publication/ilp001.doc

4.     http://www.e-comua.ukrbiz.net/

5.     http://downloads.klipfolio.com/klipinfo/4727/ECommerce_UKR?sid=22