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 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.

1
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 free

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 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.

3
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 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 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.

4
 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 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 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,

5
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

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,

6
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 primary principle in 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 scholars and their researchers above stress the 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 have major portion of those who often use internet marketing and 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

7
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 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 e-

commerce based business. They 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.

8
 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 in advertising,

this enables to communicate in much larger 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, 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 e-

commerce it is easy for the business, security Improvements, convenient for shoppers and prices

often lower.

9
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 e-

promotion.

Local Literature

In the Philippines, most of the 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

10
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 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 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

11
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, 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 Kotler (1967), “The Marketing mix is the set of controllable 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.

12
 INPUT PROCESS OUTPUT
Profile of the respondents Identifying the Respondents profile

respondents profile Identified that Age: 24-29

 Age
Instrument years old, Gender: Female,
 Gender
Status: Employed, Monthly
 Status  Survey
Income: ₱10,001-20,000 had
 Income Questionnaire
the highest score in agreeing
the online marketing
strategies of Lazada are
effective or positive to them.

Assessment of Online
Assessment of Online Determined that Lazada’s
Marketing Strategy of
Marketing Strategy of online marketing strategy
Lazada as Perceived by
Lazada as Perceived by utilizing 4Ps needs to further
the Residents of
the Residents of Marikina develop the current
Marikina City was
City. strategies for maintaining its
assessed
 Product company growth.
Statistical Analysis
 Place
 Likert Scale
 Price
 Percentage/Fre
 Promotion
quency
 Grand Mean
 Anova

Feedback

Figure 1. Research Paradigm

The research paradigm discussed the flow of the study to be taken.

13
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, research, and the use of statistical 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 grouped according to profile.

14
DEFINITION OF TERMS

Lazada- Is an online retail store where customers can order via internet.

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 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 – Is the Lazada’s website in the internet and includes the logistics for door to door delivery

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.

15
 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 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 Barangay Sta. Elena from 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.

16
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.

𝑵
𝒏=
𝟏+𝑵(𝒆)𝟐

Where:

N= Size of the 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.

17
 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:

18
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 was used to classify the respondents profile and evaluation.

𝑓
𝑃= 𝑥100
𝑛

Where:

P= Percentage

n= number of cases or total number of Mean

f= frequency

19
The mean was used to know the level of respondent’s evaluation regarding the assessment of

online marketing strategy of Lazada.

∑ 𝑓𝑥
Weighted Mean: 𝑥 = n

Where:

X = Mean

∑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 – 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 of the respondents

when they are grouped according to their profile.

𝑀𝑆𝑇
𝐹=
𝑀𝑆𝐸

Where:

F = Anova Coefficient

MST = Mean sum of squares due to treatment

MSE = Mean sum of squares due to error.

20
 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
24-29
30-35
29% 30% 36-above

21
 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%
Male
63% Female

22
 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
Housewife
13% 54% Working Student
Self Employed

14%

23
 Table 5. Frequency and Percentage Distribution of the Respondents
According to Monthly Income

Monthly Income Frequency Percentage

₱ 10,000 below 28 10.6%

₱ 10,001-20,000 110 41.7%
₱ 20,001-30,000 83 31.4%
₱ 30,001-40,000 29 11%
₱ 40,001 above 14 5.3%
Total 264 100%

Table 5 presents the monthly income of the respondents, wherein out of 264 respondents,

the highest percentage are earning ₱10,001–20,000 monthly with 110 or 41.7%, followed by

earning ₱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 are earning above ₱40, 001 monthly 14 or 5.3%.

Figure 5. Frequency and Percentage Respondents

According to Monthly Income

5% 11%
11%
10, 000 below
10, 001 - 20,000
20, 001 - 30,000

31% 42% 30, 001 - 40,000

40, 001 above

24
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

The selection of items

available in the website
and mobile application is 4.0606 Agree
broad
The photo and description
of the products in the
website and mobile
application are accurate 3.8939 Agree
and clear.
The items available are
guaranteed to be new,
genuine, not defective or 4.0189 Agree
damaged.

The products proven

defective or damaged can
3.7803 Agree
easily return and
reimburse.
Grand Mean 3.9384 Agree

Table 6 shows the result of respondents assessment of Lazada in terms of product. The

highest mean is the 1st category with 4.0606, followed by the 3rd 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 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

4.1439 Agree
application is accessible.

The order status option in

the website and mobile
application for tracking the 3.9280 Agree
progress of delivery is
reliable.
The delivery of the products
is always on the given 3.9432 Agree
timeframe.
The transaction of payment
upon cash on delivery or
3.9129 Agree
through banks is always
secured.
Grand Mean 3.9820 Agree

Table 7 shows the result of respondents assessment of Lazada in terms of place. The

highest mean is the 1st category with 4.1439, followed by the 3rd 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

26
 Table 8.
Respondents Assessment of Lazada in Terms of Price

Price Variable Mean Verbal Interpretation

Availability of different price

points depending on the 3.6212 Agree
brand of the products.
Guarantees the product is at
3.8409 Agree
its best price offer.
The prices are much
affordable for as low as P 20
3.8939 Agree
pesos compare to other
online retail store.
The prices of additional cost
charge in shipping delivery for
as low P99 pesos are much 3.9053 Agree
affordable compare to other
online retail store
Grand Mean 3.8153 Agree

Table 8 shows the result of respondents assessment of Lazada in terms of price. The

highest mean is the 4th category with 3.9053, followed by the 3rd 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.

27
 Table 9.
Respondents Assessment of Lazada in Terms of Promotion

Promotion Variable Mean Verbal Interpretation

Special promotions such as

discounts and vouchers are
3.9508 Agree
available in website and
mobile application.
Promoting accustomed daily
deals and appropriate
3.9129 Agree
vouchers for the regular
customers.
The featured promos and
discounts given up to 70%
3.9583 Agree
makes fun and efficient to
shop.
Promotes convenience in
featuring non – fee charge
shipping delivery within Metro 4.0530 Agree
Manila and easy payment
methods.
Grand Mean 3.9688 Agree

Table 9 shows the result of respondents assessment of Lazada in terms of promotion. The

highest mean is the 4th 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 2nd category with 3.912 The respondents have

overall "Agree" to Lazada in terms of place with 3.9688 Grand Mean.

28
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 Mean P-value Decision Remarks

18-23 years old

4.1875

24-29 years old 3.9747 There is

Ho No
4.1711 0.150 significant
30-35 years old Accepted
difference

36 years old 3.9344

above

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.

29
 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 P-value Decision Remarks

18-23 years old 4.0208

24-29 years old 3.8608 There is

Ho
0.500 No
Accepted
significant
30-35 years old 3.7895
difference

36 years old
above 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.

30
 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 P-value Decision Remarks

18-23 years old 3.1458

There is
24-29 years old 3.9494
No
Ho
significant
0.525 Accepted
30-35 years old difference
3.9737

36 years old
above 3.9672

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.

31
 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 P-value Decision Remarks

18-23 years old 3.7708

24-29 years old There is

3.7342
Ho No
0.076
Accepted significant
30-35 years old 3.9605 difference

36 years old
above 3.6230

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.

32
 Table 14.
Significant Difference of the Respondents Assessment to Lazada's Place Strategy
According to Gender given the First Category of Place Variable

Gender Mean P-value Decision Remarks

4.1224
Male
Ho There is

0.710 Accepted No
significant

4.1566 difference
Female

Table 14 shows the significant difference in the first 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.

33
 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 P-value Decision Remarks

Male 3.9082
There is
Ho No
0.749 Accepted significant
difference
3.9398
Female

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.

34
 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 P-value Decision Remarks

Male 3.8878
There is
Ho
No
0.364 Accepted
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.

35
 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 P-value Decision Remarks

Male 3.7857
There is
Ho a
0.040
Rejected significant
Female 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.

36
 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 P-value Decision Remarks

Employed 3.6268

There is
Housewife 3.5946 No
Ho
0.667 significant
Accepted
difference
Working Student 3.5000

Self-employed 3.7143

Table 18 shows the significant difference in the 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.

37
 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 P-value Decision Remarks

Employed 3.9225

Housewife There is
3.7027
Ho No
0.146 Accepted significant
Working Student 3.6111 difference

Self-employed 3.8776

Table 19 shows the significant difference in the second category of price variable according

to status. The highest mean are employed respondents with 3.9225, followed by self- employed

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 P-value Decision Remarks

Employed 3.8662

Housewife There is
4.0541
Ho No
0.709
Accepted significant
Working Student 3.8611 difference

Self-employed 3.8776

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 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 P-value Decision Remarks

Employed 3.8732

Housewife There is
3.8919
Ho No
0.519
Accepted significant
Working Student 4.1111 difference

Self-employed 3.8571

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.

40
 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
Mean P-value Decision Remarks
Income

₱10,000 below 3.9286

₱10,001-20,000 3.8273

There is

₱20,001-30,000 Ho No
4.0241
0.281
Accepted significant
difference
₱30,001- 40,000 4.1379

₱40,001 above 4.1429

Table 22 shows the significant difference in the first category of promotion variable

according to monthly income. The highest mean are earning ₱40,001 above monthly with 4.1429,

followed by earning ₱30,001-40,000 with 4.1379 monthly, followed by earning ₱20,001–30,000

monthly with 4.024, followed by earning ₱10,000 below monthly with 3.9286 and the least are

earning ₱10,001–20,000 monthly with 3.8273. The data reveal a P-value of 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
Mean P-value Decision Remarks
Income

₱10,000 below 3.7857

₱10,001-20,000 3.8455
There is

0.281 Ho No
₱20,001-30,000 4.0843
Accepted significant
difference

₱30,001-40,000 3.7586

₱40,001 above 4.0000

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 ₱10,001 – 20,000 monthly with

3.8455, followed by earning ₱10, 000 below monthly with 3.7857 and the least are earning

₱10,001 – 20,000 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.

42
 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
Mean P-value Decision Remarks
Income

3.8214
₱10,000 below

4.0273
₱10,001-20,000
There is

0.422 Ho No
3.8675 Accepted significant
₱20,001-30,000
difference

₱30,001-40,000 4.0000

3.9129
₱40,001 above

Table 24 shows the significant difference in the third of promotion variable according to

monthly income. The highest mean are earning ₱10,001 above with 4.0273, followed by earning

₱30,001- 40,000 monthly with 4.0000, followed by earning ₱40,001 above monthly with 3.9129,

followed by earning ₱20, 001 – 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.

43
 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
Mean P-value Decision Remarks
Income

₱10,000 below 4.0000

₱10,001-20,000 4.0727
There is
Ho
0.972 No
₱20,001-30,000 4.0723 Accepted
significant
difference
₱30,001-40,000 4.0000

₱40,001 above 4.0000

. Table 25 shows the significant difference in the fourth category of promotion variable

according to monthly income. The highest mean are earning ₱10,001 above with 4.0727,

followed by earning ₱20,001- 30,000 monthly with 4.0723, followed by the same mean with

4.0000 are earning ₱10,001 – 20,000, ₱10, 000 below, ₱10,001 – 20,000 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

44
 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 and results, the researchers came up with the following findings:

1. 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.

2. As to 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 of the respondents are Employed 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.

4. As to Monthly Income, it shows that 110 or 41.7% of the total respondents are

earning ₱10,001-20,000 monthly, followed by are the respondents earning

₱20,001-30,000 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 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 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 that 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, it reveals that there is no

significant difference as its 1st category the P- value is 0.150, 2nd category P- value

is 0.500, 3rd category P- value is 0.525, 4th category P- value is 0.076. All of the P-

values 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, it reveals that there is

one out of four categories that have significance, the 1st category the P- value is

4.1224, 2nd category P- value is 0.749, 3rd 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 1st category the P- value is 0.667, 2nd category P- value

is 0.146, 3rd category P- value is 0.709, 4th category P- value is 0.519. All of the P-

values are greater than the level of significance which is 0.05; therefore the null

hypothesis is accepted.

4. As to Monthly Income analogize to 4 categories of Promotion Variable, it reveals

that there is no significant difference as its 1st category the P- value is 0.281, 2nd

category P- value is 0.134, 3rd 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 following recommendations were made:

1. 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 indicating that majority

of the respondents is maybe the minimum income earners.

2. 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 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 Lazada as top online 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.

49
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Wani, T. A. (n.d.). Google. Retrieved December 08, 2016, from Academia.Edu:
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