This study attempts to focus on the impact of emerging online shopping sites on the conventional model of buying and selling with reference to Pune City. Retailers involve a large segment of the population and a large population is reliant on these retailers. However, the entrance of online shopping sites which have attractive incentives and wide-ranging varieties have put the conventional stores in an adverse situation. This research studies the preference of customers and their attitudes towards online and in-store shopping in various age brackets and also the reasons for doing so. This research also studies the different aspects of conventional retail businesses are affected and the different recovery mechanisms used by them to counter the online shopping sites in their survival race. This study also tries to cover the customer’s viewpoint on purchasing online or in conventional stores which are being preferred by them.