September 15 2020
"During lockdown situations, the best way to reach customers for most retailers apart from
supermarkets is online," Timlin said. "What we're seeing is that retailers who have both a physical store and an e-commerce site are using the latter to offset the losses from the closure of the former. And while that may not enable them to break even, it's certainly helping the bottom line look less worrying."
At the moment, e-commerce verticals that are trending down include:
E-commerce had been steadily gaining momentum — the world over and also in India much before COVID19 happened. By and large the onset of the pandemic and the ensuing lockdown has thrown the progression of online purchasing off balance because of restrictions on eligible items to essentials and due to the limitations placed on physical movement directly impacting deliveries. Nevertheless, experiences of life during the lockdown may result in nudging attitudes towards opting for e-commerce once things are back to normal.
Prior to the pandemic, attitudes towards shopping online had broadly clear distinctions between those for whom it was a matter of convenience whether it be groceries and staples or recreational items; and those for whom it was imperative to shop from physical markets and brick and mortar stores because they are a more active process. The pandemic has created a shift in the way consumers behave and carry out their activities, directly affecting the e-commerce industry. The situation that only essentials and especially medical supplies are being made available and also people are not inclined to spend money beyond their necessities, offers both challenges as well as opportunities.
B2B marketplaces are the worst hit as most of their supplies are dependent on exports as well as imports. Industrial, safety and MRO supplies are severely affected. Most of the production lines for these items are based out of China. In the aftermath of the Coronavirus outbreak, factories aren't operating to their capacity resulting in reduced production and thereby contributing to the supply-demand inequity.
In 2020, the e-commerce industry was expected to do a business of around USD 6.0 trillion but due to lockdown and delivering of only the essential items seems that this number will not be achieved. B2C e-commerce companies can only deliver the essential products and services to their customer but in case players involved in B2B are under the lockdown completely. With the shutdown of the factories, in appropriate amount or nil of raw material, workers at home, blocked logistic services results into no product, no administration and no transaction. Moreover, the e-commerce organization has to keep their warehouse worker and delivery agent safe from this Covid infection. This can be done by taking proper measure like continuous sanitization of the workplace, access to mask, gloves and instant medical consideration to those agents with Covid symptoms so that the respective companies can serve their customers regularly and efficiently.
The coming month is considered to be tough time for the e-commerce industry as increasing number of death rate due to COVID-19 is making the government to release a curfew in many countries. The respective players have to work in close collaboration with the local authorities as well as the governments so as to run their business efficiently by offering in need with helping hand.