Due to the advancement of the internet, shopping online has become a trend especially to those in developed countries such as America and Japan because of their busy lifestyle. Even though in Malaysia the percentage of online shoppers are relatively low compared to the developed countries, it could not be denied that soon, the online shopping market will be huge in Malaysia. This study aims to examine the website features that influence online shopper satisfaction in Malaysia and their online shopping behavior. Factors examined include merchandise, site design, convenience, personalization and demographic details ranging from gender, race, age, income, and occupation. A total of 100 questionnaires were distributed to online shoppers in Penang. Data collected was analyzed using PASW version 18.0. Findings show that there exists relationship between merchandise, site design, convenience, and personalization with online shopping. From this research, it is also learned that there is no huge difference of perception between male shoppers and female shoppers towards online shopping. Discussion on findings, conclusion and limitations of study are also included in the report.