The Internet has created a new market for both customers and organizations, and has been an alternative market to the traditional market. The main purpose of this study is to investigate factors affecting online buying behavior of consumers. To conduct this research 50 customers were selected at simple random sampling methods. This research is based on experimental study. A questionnaire was prepared with 5 point likert scale and close ended question. This study tried to find out some factors that influence customer in making online purchase. It was found that perceived benefit, psychological factors, website features affect the consumer buying behavior. Based on the findings it was recommended that decorated website, connection of E-retailer with customer after selling the product, secured payment method, refund system, more promotional efforts to shift customer from physical to online shopping etc. should be ensured.