This study attempts to identify factors behind the usage of a blended learning approach that could have an effect on students' achievement, motivation, collaboration and communication as perceived by students. It also aims to analyze obstacles faced by students in using Moodle in blended learning. A sample of 283-students from all colleges at Sultan Qaboos University was randomly selected. A questionnaire of 45 items is developed to collect data. The results reveal that using Moodle in blended learning has an average level of effectiveness related to students' motivation with a mean of 3.216 and mean of 3.164 for students' achievements, and mean of 3.199 is related to students' collaborations and communication. The results showed there is no statistical significant difference among student perceptions related to gender and college type. The results also revealed that the highest obstacles facing students related to frequent disturbance in computer devices with mean 3.090. Based on the result of the study, many recommendations have been developed.