The Coronavirus has impacted virtually all sectors of the Indian economy. The Coronavirus India impact is
more obvious in the e-commerce domain. While some areas have increased in their sales
volume, others have taken a dip. This mixed bag showcases the highlights and weak
areas of the Indian e-commerce domain. So, it’s essential to understand what this implies
for the e-commerce businesses moving forward.
How E-commerce Industry is Coping with the Coronavirus Outbreak in India
1. Coronavirus India and Ecommerce: A Topsy Turvy Story
With the shut down of physical shops during the lockdown, experts were estimating that
e-commerce will step in. And while physical shops are seeing an economic
slowdown with a 60 percent decline, e-commerce a similar story. These businesses have
seen a revenue decline of about 15 percent. It is on account of the suspended
deliveries in major cities across India.
Some e-commerce segments have been hit harder than others. Fashion seems to have
among the most substantial impact as the people try to adjust income decrease and cover for
potential job loss. The same can be said of travel and leisure domains. Since no one is
traveling, there is hardly any business conducted through online platforms.
2. Keeping Up with the Essentials
Despite the fact the Prime Minister asking the public to take only the needful, people have
been aggressively purchasing products online and offline. Home consumption has reached
a new high as individuals stay at home and order products online. Food basics like rice,
tea, sugar, noodles, and frozen foods are being sold faster than they are arriving. Similarly,
e-commerce businesses like Zomato and Swiggy are selling more even though there is a
degree of caution among people due to the Coronavirus.
In addition to food and other consumables, daily hygiene and protection items like gloves,
masks, sanitizers, tissue rolls, and soaps are in high demand. It is a state of panic
purchasing, and it is giving e-commerce businesses an upward incline, albeit a
short-lived one. Naturally, there are also instances of artificial price inflation and other
illegal practices. These are even driving buyers towards e-commerce domains where the
pricing is reasonably standardized.
See Also : Coronavirus Impact on Indian Economy
3. Indian Ecommerce After Coronavirus
The presence of e-commerce in India has had a significant impact on how the nation has
handled the Coronavirus lockdown. As these three weeks are drawing to a close, experts
estimate that a slight paradigm change might be on the horizon. With the prominence of
e-commerce and home deliveries made pertinent even to staunch physical shoppers,
e-commerce may see a swifter upward trend.
Now, more than ever, Indian businessesfocussing on essentials like food and medicine
will see increased volume. And if the lockdown is extended, then the need for e-commerce
and home delivery services will rise even further. People are genuinely beginning to avoid
shopping centers and malls. However, they still need products, and as the quarantine is
lifted, they may shift to e-commerce for some time to come. The exact change will be hard
to predict; social, political, and technological factors will determine the outcome.
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