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How eCommerce Is Adapting and Reacting to the Coronavirus

How eCommerce Is Adapting and Reacting to the Coronavirus

The global COVID-19 pandemic has ravaged the world in just a few months since it appeared. Businesses around the world are shutting down, people are left unemployed and the global economy is once again failing. In this time of uncertainty, every industry is suffering losses in one way or another. 

However, when it comes to eCommerce, this sector became more important than ever. Those companies that are still operational must supply consumers around the world and vital institutions with essentials. 

In other words, it's estimated that the eCommerce industry will actually thrive during these trying times. A similar situation happened during the SARS outbreak back in 2002/2003. Therefore, when everything falls apart, we rely on the online world to keep the world running. 

Now that the majority of countries have implemented strict regulations to prevent the Coronavirus from spreading, most of the brick-and-mortar stores have been closed due to social distancing policy. Fortunately, if you can't go to the store to get what you need, you can order it online. With that in mind, here's how eCommerce is adapting and reacting to the Coronavirus

Changing behavior

As mentioned before, a lot of stores have been closed down completely due to the fact that there's a high risk of spearing the virus in closed spaces with a lot of people. Some companies did this voluntarily while others were closed due to the government-imposed regulations. 

However, even consumers themselves avoid stores due to fear of infection. Moreover, a lot of stores are struggling with inventory thanks to the individuals who do some extensive panic buying and are hoarding items as if there's no tomorrow. 

That said, the change in consumer behavior is forcing the eCommerce sector to adapt. Online stores are now stocking up on essential items, such as groceries, sanitary products, healthcare products, medical supplies and so on. The supply chains are being reorganized to connect vendors, suppliers and deliveries directly with consumers themselves. 

Switching to eCommerc

A lot of industries have just started to explore the world of eCommerce. A lot of industries have been forced to adopt a new approach due to the global pandemic crisis. What began as a convenient method, quickly turned out to be a necessity. 

For example, the oil and gas (O&G) industry considered eCommerce to be a convenient way to supply companies with essential equipment, such as a drill collar, for instance. However, since O&G operations cannot come to a halt even during the pandemic, the eCommerce method became their salvation. 

Nowadays, companies that must remain operational can order equipment from reliable online stores and resume their exploitation of natural resources without hindrances. The entire O&G sector is now focusing its efforts on eCommerce so that they can ensure seamless orders and deliveries to exploitations sites. 

The fall of eCommerce store

As you might imagine, not all eCommerce stores are enjoying success these days. Consumers are now focused on necessities instead of luxuries. Since they are deemed nonessential, fashion brands, cosmetics brands and similar eCommerce stores are shutting down their operations for the duration of the crisis. 

Since these brands are forced to close down their physical stores, their eCommerce counterparts aren't doing any better. People are simply not interested in such items when they are isolated in their homes. 

Due to this change in consumer behavior, people are rapidly losing their jobs. Layoffs in the retail sector are skyrocketing while only a few retails manage to remain operational by switching from selling nonessential products to selling essential items. 

Management of shopping surg

This global crisis has taken everyone by surprise. Even though the market is still highly competitive, a lot of businesses that operate online have decided to take on a new approach so that they can manage to survive, as well as manage the increasing demand for essential products. These events have given birth to some unusual strategies. 

For example, Fulfillment by Amazon (FBA) services, such as warehousing and shipment that are available to third-party sellers, are temporarily suspended so that the delivery of essential products can be prioritized. Moreover, eCommerce businesses have developed new strategies that will allow them to efficiently serve customers while providing them with convenience nonetheless. Here are a few examples

  • Increasing the minimum wage and overtime pay for employees that are still working

  • Online stores have introduced new services on their websites

  • Carriers are delivering goods worldwide

  • Certain measures have been taken to protect employees from exposure

  • Deliveries to homes have increased. 

Serving customers is still a top priority for eCommerce businesses. Smaller companies that are operational are trying their best to stand out so that they won't be overshadowed by large enterprises and industry giants. 

In light of recent events, it's very difficult to say or predict how things will turn out for various businesses across the world. The global economy will certainly suffer, whereas the eCommerce sector will most likely prosper. Still, as the pandemic grows stronger by the day, even eCommerce businesses are strained beyond their limits.

Author Biography.

Keith Coppersmith
Keith Coppersmith

Keith Coppersmith is a business and marketing expert who has experienced both the rise and fall of many businesses. As a regular contributor at BizzmarkBlog, he enjoys writing and providing insight into the marketing industry based on both practice and theory.

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