Covid-19 has thrown the entire E-Commerce landscape for a toss in a loop with Consumers' buying behaviour seemingly changing overnight. Brick-and-Mortar brands, Mom-and-Pop stores are all bracing the impact of the pandemic and all the uncertainties it brings along.
Business conditions have changed drastically for B2B and B2C companies. Societal trends about how we shop and use technology are changing.
Recent market survey shows how the Coronavirus Pandemic has shifted the world of E-Commerce in 2020. It is expected to see growth post-Covid-19 largely driven by Click-and-Collect, curbside Pickups and the likes. These are going to persist and experience a long-term trajectory of E-Commerce growth. Major drivers for growth are:
- Steady growth of internet users
- Convenience over price
- Need for social distancing
- Need for contactless delivery
- Elderly switching to online shopping
Forced by the lockdown and quarantine regimes that resulted in store closures and the shutting down of traditional street-side businesses, the consumers were left with no other option, but to turn to online and mobile shopping to buy groceries, daily necessities, and other products. Also, the fact that people have become more upskilled and efficient when it comes to the usage of mobiles for shopping, has also played a major role in the surge of E-Commerce. The increased exposure towards electronically mechanized and digitally automated mediums for shopping and entertainment has made it all the more convenient and comfortable for the people to shop online. The mobile apps have made it complacent and congenial for the larger chunk of the population to have a safe and hassle-free shopping experience. The merits and the rewards of finger shopping amidst the comfort of your home can't be overlooked. Developing E-Commerce mobile applications that enable shopping digitally turned out to be one of the very high in demand services during these pandemic times, as every small/big business owner wanted a good mobile application developer who could make one to suit his business model perfectly.
Anything you want or fancy is just a click away these days. Initially online shopping meant shopping for bigger things like electronic gadgets, clothes, etc., but social distancing and staying home for safety reasons has provided an impetus to online shopping for basic essentials to anything elaborate. Leading and expanding trends of online shopping was a domain that wasn't much in practice initially as people could move freely and safely, but the need of the hour is to get well versed with the changing times. The local street shops have started going digital and also delivering at doorstep to ensure safety.
Reports suggest an overwhelming increase in the share of global retail sales generated via E-Commerce. There were online shoppers earlier too but a remarkable increment in the form of new customers has been seen measuring in leaps and bounds. There is a substantial chunk of population that has started buying more digitally due to the pandemic for safety reasons. An evident increase in the first time shoppers during the outbreak has followed suit. The outbreak has not only transformed the way consumers shop, but also how have they started to pay for their purchases. Contactless payments via different modes of digital payment have received an unprecedented boost.
The sellers have started to roll out big deals to attract customers digitally, but the fact that consumers are being over cautious with their discretionary spending cannot be overlooked totally. The shift in consumer mindset will have a trickle-down effect on E-Commerce in the longer run but in today's time, it seems like a safe bet. A possible second wave and a vaccine still months away at least, it's no surprise that many people are hunkering down and safeguarding their income and savings.
In order to sustain and grow the market share, e-commerce companies need to refine their digital business models, strengthen their technological platforms, and make their supply chain more customer centric. In the wake of above developments, a recent survey shows that E-Commerce business is up by 18% and brick-and-mortar down by 14%.