Imagine becoming a millionaire overnight, that’s what happened to the global e-commerce industry as the COVID-19 forced everyone to be quarantined. The virus caused the shutting down of all brick-and-mortar stores, and people finally started turning their reluctant heads towards online shopping.
E-Commerce during Pre COVID-19
Before the unprecedented COVID-19 pandemic, the e-commerce platforms were pacing up with a global rate of 5% -7%. Many under-developed countries were starting to adapt to the idea of e-commerce stores. The experts had already predicted a massive rise in online shopping in the next decade. People were becoming interested and experiencing online shopping websites and on social media for the first time.
A majority of People were still unwilling to adapt
Despite the curiosity inciting technology and an annually increasing traffic rate, brands were failing in their attempt to earn a considerable profit through online channels due to the gaps and glitches.
- Unsatisfactory first experience, leading to a total boycott of using e-commerce platforms.
- Many local and international deliveries were delayed and orders were, therefore, canceled
- Many early millennials were not internet savvy and reluctant from experiencing buying online.
- People wanted an instant response in queries regarding product details and refunds. Customers were unsatisfied with the support services provided by these e-commerce platforms.
- A majority of consumers were having trust issues and were preferring to physically observe the products in person at a physical shop rather than observing it on an image or a video.
Yet youth was interviewed and said he and his family were not willing to opt for online shopping. He said, “I once had a bad experience while cheap assignment service. I consulted online writing which turned out to be a scam. I also wanted someone to write my assignment for me at cheap rates. That too turned out to be a fraud. I am never trusting online service again”.
COVID-19, a catalyst for the E-Commerce Era
As the COVID-19 struck, a large number of consumers were left with no option but to buy online. Hence e-commerce platforms witnessed a skyrocketing graph of traffic and conversions. Because of COVID-19, the e-commerce businesses registered the following activities:
- 25% to 35% increase in conversions
- 8% to 15 % increase in online profit earned.
- Around 200% increase in platform traffic
E-commerce marketers were offering discounts which further prompted the consumers in purchasing during times of uncertainty and crises.
A New Buying Behavior
Despite increasing traffic and more customers, the online shopping gave also opportunities to brands in which they rectified their flaws and glitches. This created a satisfactory experience among the consumers. The people have now become used to online shopping and this new behavior is less likely to change in the post COVID-19 world.
In the End, it’s a Blessing in Disguise
With a sudden rise in online shopping, the COVID-19 pandemic was seen by dramatic shifts of consumer buying behavior, many of whom are less likely to return back to visiting physical stores. The e-commerce industry does owe it to the COVID-19 pandemic despite its grave health consequences.