In a world of economic uncertainty, the long-term outlook for buying and selling online is bright
With social distancing measures, people changing their spending habits, and businesses coming to a closure, the world witnessed a massive economic slowdown.
At the same time, the need for online availability of the product just magnified during the time of COVID 19 lockdown. While it will still take a lot of time for things to go back to normal, people comfortable with their physical business presence have started reconsidering online business remodeling.
Businesses are utilizing this time to plan their e-commerce debut. They have all the time to approach the web development companies and discover their options to prepare for future growth.
Situation Analysis of Current Ecommerce Market
While the marketing experts have always commented positively on the future of eCommerce nationally and internationally, today it has only magnified.
A lot of custom software development companies have witnessed that in the past few months there has been a significant increase in people approaching technology for fulfilling the need of the time.
According to Statista, the eCommerce market was only 14.1 % of the total retail sales globally. If we go by the U.S. Department of Commerce report, the percent shrinks further to just 11.4 % for the Q4 2019.
The lockdown has pushed the generic brick and mortar economy to a dramatic halt. By March 2020, their retail sales fell to 6.2 % year over year. And that is just putting it lightly, we even have statistics proving that markets such as clothing have had a fall of about 50%.
Meanwhile, all of this sounds quite gloomy, here is the good news. The eCommerce market witnessed a growth of 275 % since April. Also, Digital Commerce 360 reported that retailers with a strong online presence have seen no decline in their purchase as their instore sales just were replaced by the digital.
Ecommerce is only going to bloom more
Ecommerce is soon to take over the brick and mortar businesses. And that is not just us who are saying that. The above facts must have made it very clear that let along with temporary, the change is coming fast. Consumer polls to are indicating things north for eCommerce.
And why not, eCommerce has everything. It offers people an opportunity to shop online from the comfort of their home, with the assurance of replacement, refunds, discount offers, and even safe payment methods.
Also, it is not just the consumers enjoying the benefits of eCommerce. Imagine, when you don’t have to maintain a high-fi store.
All you need is a proper warehousing facility and a tech-savvy team to perform software-based sales and management operations. You even will have massive data to understand your consumers better and design high-yielding marketing strategies to capture the market. If you are looking for an opportunity, here is one knocking at your doorsteps.
It is time you seek out a software design company and turn this opportunity into a money-making giant. Because if you still wait, you might lose about 60% of your consumer base that says they won’t go back to their old ways of shopping. Get ready for digital reorientation.
Marketing channels are only going to get bigger
The more businesses look forward to making their mark in the online market, the more they require new modes of marketing such as social media.
A MarketWatch report for example reported that the increase in messaging on Facebook increased by about 50 % in the countries where the Corona Virus impact can be found majorly.
It is very simple; the more people look out for online buyers the more they will move towards turning these virtually populated places to find a potential consumer base.
Of course, we are looking at a recession in the eye, but that doesn’t mean you don’t have to advertise. In the end, we should not forget, this is a recession imposed by people themselves.
Once we are out there again, we will soon be resuming our normal lives and buying things. It is what happened back in 1920 when the Great Depression happened, and even today, nothing is going to stop people from shopping online.
Thus, don’t underestimate the power of digital platforms that will you reach the audience where they are currently spending their time the most.
Experience the Entrepreneurship like never before
For countries that are most impacted by Covid-19, one another problem was to fight the unemployment rate. A lot of people lost their jobs and this is when they realized it is time to encourage entrepreneurship in people.
Many countries like India, have designated a special relief package for startups and businesses impacted by COVID to survive it and move forward in their business goals. Similarly, many countries partnered with similar initiatives to support research and development
However small the percentage might be, still it gives us hope to see digital disruption in many industries and the creation of new opportunities for entrepreneurship.
Also, it will help entrepreneurs streamline their current business models and get ready for a more digitally-oriented future.
More and more digitally-enabled businesses are going to make their debut in the market, helping the economy to churn up.
Ecommerce holds a significant position in the same. People working in the retail sectors or owning any kind of retail business are more likely to embrace the change and play a catalyst role in laying the foundation of the future.
How to get started for your debut?
As an endnote, we will emphasize the fact that we are still looking at a major economic crisis. But hurdles come and go, winners utilize the opportunity at its maximum to be future leaders.
If you agree to it and have a plan to start your digital business, then, plan your things right. Understand your consumers, create revenue models, list out top UX design companies, and developers, share your project with them.
Most of all look for trusted long-term relationships with your vendors, and development team to be benefitted in the future.