Influence of e- commerce strategy on performance of beauty products businesses in Naivasha Town, Nakuru County, Kenya

Abstract

The purpose of this study was to investigate the influence of e- commerce strategy on performance of beauty products businesses in Naivasha town, Nakuru County, Kenya. The study was guided by four research objectives. Objective one sought to establish the influence of E payment on performance of beauty products businesses; objective two aimed at determining the influence of E-procurement on performance of beauty products businesses, objective three sought to establish influence of E- selling on performance of beauty products businesses while research objective four aimed at establishing the influence of E-banking on performance of beauty products businesses in Naivasha town. The study used descriptive survey design. The target population consisted of all the 65 registered beauty products shops in Naivasha town. The sample was 65 respondents which was selected using census. The study used a questionnaire and interview schedule to collect data. Data was analysed using descriptive statistics such as frequencies and percentages and person’s correlation coefficient. Findings on the influence of E-payment on performance of beauty products businesses revealed that there was a significant and positive relationship between e-payment and business performance. This was shown by a Pearson’s correlation coefficient of r, was 0.71, n =44 which was is statistically significant (p = 0.01). It was revealed that 43 (69.4%) used E-payment. Findings also revealed that 45 (72.6%) indicated that their businesses requested customer to pay on their page. It was also revealed that 42 (67.7%) had advertised online. Findings revealed that there is a relationship between e-procurement with business performance among beauty shops in Naivasha town. ( r, = 0.784). It was also revealed by 40 (64.5%) that the adoption of Epayment made getting more customer easy. Findings also revealed that there was a significant and positive relationship between E-selling and business performance. Majority 43 (69/4%) indicated that adoption of E-sales eased service delivery and operating systems in their business. Findings also revealed that E-banking had and influence on performance of beauty products businesses ( r, = 0.711). Majority 37 (59%) indicated that E- banking had increased performance. Based on the findings, the study concluded that E-payment influenced performance of beauty products businesses. The correlation was strong and positive relationship in both e-payment and business performance. The study also concluded that E-selling influenced business performance of beauty products businesses. Majority indicated that e- sales had influenced timely delivery of goods and services. The study also concluded that E-banking influenced performance of beauty products businesses. Majority indicated that E- banking had increased performance. Data on the rating of the extent of e- banking on business performance showed that the respondents indicated that e- purchase had influenced business performance to a moderate extent. E banking was rated as the highest mode of transacting business both for the customers and for the business owners. E banking was very efficient in transacting business and had really improved their business. The study concluded that e- commerce strategy on performance of beauty products businesses in Naivasha town, Nakuru County. The study recommended business owners should invest more on E-payment on performance of beauty products businesses. It was also recommended that since E procurement had an influence on business performance, the business owners should encourage their customers to make payments online.