COVID-19 Impact on E-Commerce in the Information and Communication Technology Industry
Imbalance of fulfilling the consumer’s demand with respect to groceries and other essentials item has made the e-commerce industry into limelight due to the COVID-19 pandemic. As the people have two options either to visit the supermarket personally or to order their respective product via online.
It has led to the rise in popularity of digital e-commerce web platform like shipt, Walmart, Instacart, Amazon and many more as numerous people finds digital e-commerce services reliable and safe during this time. Almost every customers practicing social distancing rely on this home delivery service the most and are willing to continue this for the next time as well. This has also changed the shopping behavior of the consumers on the geographical level. For instance, it has been witnessed that as compared to U.S., countries like Germany, U.K. and Japan do lack in shopping criteria basically in essential food items and groceries. This can be due to the leniency of U.S. law towards this COVID-19
With respect to shopping behavior while purchasing the item, people have begun stocking the housing essentials including mask, sanitizers, toilet papers and others. This act has negatively affected the overall e-commerce industry to some extent as the companies are failing in fulfilling the huge demand. Thus, this results into an increase in the price of essential items in an uncontrolled way due to this panic buying pattern. It just looks like everyone has to be the leader in the ongoing race of purchasing up unnecessary and irregular items. Based on the gender, it has been noticed that men are less concerned towards the ill effect caused due to this Covid 19 but are active in online shopping. Not only in U.S. there is an increase in new users downloading the wholesale mobile app but it also has be seen an increasing trend from India too. From January 2020, there is almost 50% hike in users who have spent on online and e-commerce app. On the other hand, in South Eastern countries like Thailand, Malaysia and Singapore among others, it has been witnessed a decline in the conversion rates in e-commerce apps. To overcome this e-commerce companies are taking initiatives to shift the consumer behavior towards at a quick rate and have reached more than 1million users on the daily baisis
For instance, Blibli, an e-commerce industry in Indonesia has been providing an easy yet outstanding online shopping experience to its users and has reached more than 1million users on the daily basis through their awareness campaign KarenaSehatNo1 through app push notifications and email.
Changes in the revenue Across E-commerce