With the ongoing pandemic, it’s no surprise that most brands across the world are concerned about how coronavirus will impact the E-commerce industry.
All the ecommerce brands are bracing themselves to control the impact of coronavirus on their business. All the big e-commerce merchants such as Walmart and Amazon experienced a drop in casual shopping and an increase in the purchase of home essentials such as groceries, toiletries, and other items.
The international e-commerce industry is segmented based on healthcare, beauty, fashion, and personal care products. The outbreak of coronavirus had an impact on these divisions due to the uncertainty of consumer demand and market supply across the world. It has been said that one of the most affected industries due to the pandemic is the electronics industry. Other companies getting affected in the industry include Amazon, EBay, Shopify, Walmart, Alibaba, etc.
In this article, we will study the impact of coronavirus on different ecommerce industries.
Covid’19: Men Vs Women – Study of Online Shopping Habits
Research shows that the shopping behaviors are highly based on gender differences, the variations can be seen clearly.
While the research shows that women are less likely to be concerned about the effect of coronavirus than men with regards to online shopping, it also shows that men are more likely to be concerned about the effects of Covid’19 which is directly impacting their shopping behaviors. 25% of men reported that the pandemic has affected their spending on product shopping. In addition, 45% men compared to women reported its effect on their expenses (traveling, entertainment, restaurants, etc.)
It can be concluded that men were more fond of shopping online than in-store shopping experience before the pandemic.
Changes in E-Commerce Industry Revenues
Since the pandemic, people are practicing social distancing as a way to slow the rise of pandemic, there has been a decline in in-store shopping. This means there would be a rise in online shopping as more and more people will turn to E-commerce businesses to purchase the products and items they are looking for.
According to a recent survey, on an average 40% people are shopping online for house essentials, groceries, apparels, etc.
The grocery industry has experienced a rise after the second week of March. Many in-store shoppers turned to online shopping to find the goods they used to purchase from a local grocery store.
- Other ecommerce industries
Along with the grocery products, ecommerce industry includes a wide range of products among other categories.
Product Categories Changed During Covid’19
As people are making online purchases, buying choices has been changed on local and international level, the products that were purchased before are not getting purchased anymore. On the contrary, the products that were not purchased before are becoming high in demand. Some of them are mentioned below:
- Health and safety products
After the outbreak, we all witnessed empty shelves or seen the prices rising high for health and safety products. People started buying sanitary masks, hand sanitizers, toiletries, etc. According to the data collected from research, the market sales for surgical masks went up to more than 200%.
- Shelf goods
This is another category of consumer packaged goods which saw a rise after the outbreak. This category applies to all the goods people planned on storing for quarantine. Some of the products include: milk, bread, coffee, beans, fruits, and snacks that have long shelf life.
- Food and beverage
Along with shelf goods, there’s need to store food and beverage. Due to the pandemic, the sales of food and beverage items went up. Although, there were some behavioral changes seen around the people buying groceries.
For example, some people preferred shopping online while others opted for BOPIS (buy-online-pick-up-in-store). Downloads of online shopping apps increased that allowed people to get the items delivered to their place instead of standing in long queues.
- Luxury goods
While the demand for the above goods can be categorized as necessity goods, other industries have performed well. In addition to entertainment, restaurants, traveling industries, another industry that experienced a downfall is the luxury good industry. Many big industries suffered huge loss due to Covid-19.
- Fashion and clothing
As discussed above, the luxury brands suffered big losses, mainly because they are closing the retail industry of their businesses. After the pandemic, people are not interested in shopping for clothes as they used to before. Departmental stores like Nike, Adidas, Forever21, ASOS are experiencing losses. During this period, online apparel stores have witnessed their sales going down drastically.
During this pandemic most of the businesses which had no online presence before COVID-19 now contacting to professional eCommerce development company to get an engaging website. We are all going through these turbulent times together and trying to adjust our lives according to the situation.
As an ecommerce store, you must be facing uncertainty and losses while trying to cater to your customer’s needs. The coronavirus situation will get better soon and your business will recover successfully depending on your industry and audience.