E-Commerce

Positive and Negative Impacts of Coronavirus on e-Commerce July 2020

Positive and Negative Impacts of Coronavirus on e-Commerce July 2020

The effects of COVID-19 (coronavirus) have swept the world. Industries as diverse as medicine, education, technology, travel, e-commerce and the economy worldwide are feeling the impact of the pandemic. Currently, there is a lot of uncertainty as a cure for the coronavirus is still being found. It would not be wrong to say that this situation has created a revolution in consumer behavior.

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While giant economies are almost at a standstill, jobs at every point are being greatly affected. Reports indicate that if the pandemic continues, the world economy will be heading towards its lowest levels since 2009. However, e-Commerce has been affected by the coronavirus in both positive and negative ways.

e-Commerce, when we compare Monday, March 9, 2020 and Monday, March 16, 2020, PC e-commerce traffic %15.10There has been an increase in the number of coronavirus cases in Turkey. When we look at the weekly trend graph, we can see that with the increase in coronavirus cases in Turkey, "#evdekalturkiye" campaign started on March 10 and the following days, March 11-12, we see that the number of e-Commerce visitors reached its highest point on Monday, March 16, as many companies switched to the work-from-home model.

corovirus-graphic

Coronavirus e-Commerce Negative Effects on

Due to the coronavirus, there are negative effects in general, if not in most industries. Most e-commerce companies were manufacturing their products in China or importing them from China. Due to supply chain disruptions, this has had a very negative impact as there is no product to supply to the market after the stock runs out.

Categories adversely affected by the coronavirus:

  • Event attire such as bridal and prom dresses
  • Non-essential cosmetics such as makeup
  • Makeup artists, hairdressers, etc. (many canceled appointments)
  • Travel and sports equipment
  • Luxury goods such as jewelry and watches
  • Shoe
  • Cleaning services
  • Devices requiring installation
  • Large furniture products (because they require installation)

Coronavirus e-Commerce Positive effects on

Experts are constantly warning people to avoid crowded places. Governments are also cautioning citizens against crowds in public places. As a result, these steps have boosted online sales of services or basic household items.

With the arrival of summer, the holiday season has opened, but most people are hesitant to go on vacation due to the coronavirus. For this reason, it is the subject of many news channels that inflatable pools are sold out, especially in big cities. The pandemic process and such events bring many opportunities.

Such changes profoundly affect shopping behavior based on the events or circumstances currently being witnessed. With these changes, there are many people who have just experienced the convenience of online shopping. With the coronavirus, the demand for e-Commerce has increased and sales have increased for many categories in direct proportion.

Categories positively affected by the coronavirus:

  • Online Markets
  • Food Deliveries
  • Pet food brands
  • Personal hygiene products and household cleaning products
  • Baby products
  • Electronics (for setting up a home office, playing games and entertaining children)
  • Small household appliances (such as smart soap dispensers, towels)
  • The Book
  • Table games
  • Online teaching
  • Underwear
  • Toy
  • Garden supplies
  • Gift baskets and flower deliveries
  • Concierge services

Conclusion

coronavirus-and-e-commerce-effects

Consumer goods such as grocery, health and beauty are in high demand, while luxury brands are experiencing declining sales. People who were initially reluctant to shop through eCommerce are now forced to do so. As technology becomes more advanced and consumers take advantage of the convenience of eCommerce, it is likely that their prejudices will be erased.

It is difficult to do a full analysis of the impact of COVID 19 as it is still active. However, basic household products Trendyol, N11 stores, such as the Internet of Things, account for the most significant percentage of online sales. This is a motivation for businesses to become more active online. For example, many e-Commerce sites or infrastructures have been put into service with the pandemic process.

In 2020, e-Commerce is projected to account for about 12 percent of total retail sales. In this first quarter, the change in customer behavior due to COVID 19 will have a deeper impact on e-Commerce. COVID 19 may be a new opportunity for your e-Commerce company. As a result, even if we are not going through a pandemic process, it is an inevitable development for businesses to sell online in this period when e-Commerce is developing day by day. With the pandemic process, this process has accelerated and made a positive contribution for many categories.

 

 

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