The Effectiveness of Dynamic Pricing Strategies on Amazon India During Festive Sales in Andhra Pradesh

Author

Chennam Rohith Venkata Naga Sai, M. Raja Pavan Kumar


Abstract

 In this paper, the author investigates the impact of the dynamic pricing policies followed by Amazon India during festive sale and its impact on consumers in Andhra Pradesh. During festive sale online shopping portals change the prices, offer, and deal depending upon demand and supply, competitors' prices, the available stock and sale period, which may be impacting to consumers' price comparison and purchase decision.

The study has focused on the customers that used Amazon India in state Andhra Pradesh and also knew about festive sale. The researcher has focused on the customers' awareness of the changing price, perceptions of price attractiveness, perceptions of price fairness, customer trust, customer satisfaction, and customer purchase intention. The study is done on the product aspects quantitative descriptive and cross-sectional research design. Primary data will be collected by questionnaire and distributed within the convenient sample (voluntary and confidential contains 20 closed questions) via Google form. Population of the study Amazon India customer in Andhra Pradesh State. The convenience sample consisted of 200 people.

The results of data through questionnaire will be analysed by frequency and percentage analysis, mean, and standard deviation, Cronbach's Alpha, pearson correlation and multiple regression analysis. It can display the customer response to change in pricing during festive sale, effect of dynamic pricing on consumers to buy or not and also it helps to determine what major factors go into purchasing decision of customer at Amazon India.

Abstract: this was an exploratory study having as catchment the online shoppers of Amazon India. The origin of this research was the celebration of sale on Amazon during sale time. The price elasticity being followed by Amazon during sale time was leading to improve of trust level and so buying intention of online buyers of India due to favourable price perception and price fairness. It can be assumed that online consumers of Andhra Pradesh view the Amazon India as the trade mark for the product price. The increase price perception of Amazon India serves as positive price cue for online customers of Amazon during festive sale period.Results of the study: Responses of 120 Amazon India customers were analysed. 57% often or always notice price changes during festive sales, 58% often or always compare with other websites, 60% find discounts important or very important, and 42% are satisfied or very satisfied with festive-sale prices. Perception of price changes (p = 0.033) and importance of discounts (p = 0.005) significantly predict purchase intention, while price attractiveness is linked to satisfaction (χ² = 7.37, p = 0.007) but not directly to purchase intention.


Keywords

Dynamic pricing; Amazon India; Festive sales; Price attractiveness; Price fairness; Customer trust; Customer satisfaction; Purchase intention; Andhra Pradesh



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References


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