Covid-19 has flipped just about every industry on its head and the retail industry is no exception. Businesses have been forced to create technological adaptations, and it’s required a lot of creativity.
Here’s what you need to know about adapting during a pandemic that has accelerated the eCommerce world.
Behavioral Impacts
People adapted to new lifestyles relatively quickly because of the pandemic, and panic purchases slowed in many nations. The result was only a minor change in sales patterns.
It was the purchase process that was altered, not the number of purchases. Initiatives such as Buy Online, Pick Up in Store took off. And this has been key for big-box sellers during the pandemic.
The eCommerce industry has almost doubled year-on-year in comparison to 2019. Even after COVID-19 has subsided, people are most likely to subconsciously avoid risk by not going shopping in person.
Challenges for eCommerce During the Coronavirus Pandemic
- Product shortages
- Creating convenient ways for people to shop with drive-up and same-day delivery.
- Pressure to fulfill far more than usual online orders can be too much for businesses and threaten to upend their e-commerce operations.
Opportunities for eCommerce During Covid-19
- Customers will shift towards online purchasing, to avoid public places
- Covid-19 has increased the use of social platforms and 42% of Gen-Z consumers state that they’ve purchased fashion items directly through social platforms.
- There are emerging formats that allow brands to create an in-store experience for customers at home through augmented reality and automated conversational chatbots. These have the opportunity to keep gaining traction.
- Customers who purchased online during the holiday season will likely repeat this buying pattern post-holiday.
How To Maximize Online Growth
To be frank- retail businesses must implement a strategy with tech at its core if they want to grow.
Improving the website experience will be important. Though social distancing is a short-term restriction, improving the website experience will serve you, in the long run, to keep customers returning long after the pandemic.
It will also be essential to re-evaluate the current logistical operation to ensure that returns and exchanges are as safe as possible for those who do choose to shop in-store.
A smooth, accessible, and safe experience returning an item will likely be much more important to customers after the pandemic than it was before.
Takeaways
- People adapted to new lifestyles relatively quickly, and this included moving to the internet for their shopping needs.
- Product shortages and pressure to fulfill more orders than usual have been (and will continue to be) challenges for eCommerce During Covid-19
- Shifting towards online purchasing, and emerging technology has been (and will continue to be) opportunities for eCommerce During Covid-19
- To maximize growth you must keep technology at the core and continue to reevaluate the safety and accessibility of in-person interactions.
Coronavirus has created new challenges and new opportunities for many online businesses. There are many of these opportunities available, they just need to be recognized and put to use.
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