The entire COVID-19 pandemic has become a case study of the chain effect of social change. What was almost unimaginable more than a year ago has now become part of everyday life. In the business environment, these changes are manifested not only as changes in consumer behavior, but also as new challenges that companies face; none of them have been affected.
In this context, the role of electronic commerce has developed enormously. No longer just order niche products online; By 2020, more than 50% of consumers will use direct sales channels to buy basic necessities, such as groceries, cleaning products and other consumer goods. In fact, online grocery sales have more than doubled and increased 54% last year, approaching the $ 100 million mark.
Brick and mortar suffered even before the pandemic, but now it appears to be declining, with fewer new stores opening in 2020 than in any of the previous three years. Even more surprising is that 60% of consumer-business interactions now take place online.
For some online marketers, these numbers add up to a windfall gain. Others have to reassess their business and face the new reality of consumer values and behavior. Regardless of whether a particular seller’s source of income deepens or depletes, e-commerce entrepreneurs are forced to change their mindset.
The ever-changing supply line
Stay-at-home ordering, and non-essential business closings directly affected a large number of companies. However, a bigger problem caused by the spread of Covid19 is a major supply chain disruption. Whether due to government intervention, employee illness, or operational changes (such as social distancing or staggered shifts to ensure employee safety), thousands of suppliers around the world have suddenly reduced production or closed entirely.
Any business owner who did not have a contingency plan involving multiple or alternate suppliers was completely exposed, and many people paid the price in the form of unavailable products. Regardless of whether the supplier has experienced revenue losses, it is now clear that supply chain optimization must become a priority. This means understanding the many risks that exist in and around the company’s supply base. In addition, it is essential to work with companies that use proven online business models. Instead of spending time and money on any new or gorgeous platform, look for platforms that have been successful over the years. Reduce your risk by carefully choosing your platform, while keeping its proven advantages in mind.
The pandemic economy made e-commerce more indispensable than ever Important. This paradigm has also changed, and companies are forced to innovate or adopt dynamic solutions to solve problems, such as bringing items to customers who are not authorized (or unwilling) to interact closely with other members of the public.
To a large extent, e-commerce has been at the forefront in this regard, but it still faces many challenges. Where are the products stored, who will dispose of the items after delivery, and how to dispose of these products-all these questions need to be raised again based on health and safety issues. In addition, many entrepreneurs have to keep track of whether their technical infrastructure and expertise are capable of managing the massive increase in online shopping.
Necessity, the mother of all inventions
The 2020 vocabulary chosen by people is “unprecedented”. Happily, this year is now in the rearview mirror, but the future era of e-commerce will undoubtedly contain more milestones and unprecedented achievements. Three-quarters of consumers and marketers report that they prefer digital options, and it seems that this epidemic has inspired the era of online business.
Change can be challenging and uncomfortable, but in a business environment, it is often synonymous with opportunity. With the right product and the right mentality, now is the best time to become or become a digital entrepreneur.