Coronavirus is shaking up business and consumer behavior on a massive scale. Both the public and private sectors are scrambling to slow the spread of the illness and contain COVID-19 infections. While the full economic consequences of this black swan event are still unclear, we know that the effects that the virus—and the drastic measures being taken to contain it—are already precipitating change across industries.
As cities went under lockdown and social distancing became the new norm, consumers turned to online shopping to meet their daily needs. This resulted in an increase of 52% year on year in online sales with an 8.8% increase in online shoppers. Some might think this as a blessing in disguise for online retailers. But, the story is not yet complete.
According to a report by Bloomberg, about half of the retailers have witnessed a downward trend in their online traffic since mid-February. Also, 64.5% of retailers have not witnessed shifts to their eCommerce stores post spread of COVID-19 virus in their country. This presents a somewhat mixed picture for the eCommerce sector. In this post, we’ll try to understand the true effects of the COVID-19 pandemic on the eCommerce.
- The Good for the E-Commerce Industry
- Hygiene Products Became the Biggest Selling Items Online.
- Spurt in Online Medicines Purchases.
- Sales of home sport Equipment increased
- Sale of Online Groceries Picked Up
- The Bad for the E-Commerce Industry
- Weak Consumer Sentiment has Dampened Demand
- Supply Disruptions have Affected Products’ Availability
- Consumers are Uninterested with offers
- People are Being Overly Cautious
- Adverse Change in Consumer Behavior
- Customer support is under the radar, and often disappointing!
Every Challenge is an opportunity to become better. It’s a fact that this pandemic proved that being online is essential. However, if you do that, you must know how to address customers, what to offer them, and most importantly, make sure your support team is always ready to answer the needs of your customers.