COVID-19 has turned out to be one of the worst pandemics in human history, affecting millions of people across the globe.
While the pandemic is having a growing impact on the global economy, the eCommerce sector has the opportunity to open the door to new possibilities.
Let’s try to figure out what changes COVID-19 is bringing to eCommerce startups.
eCommerce is Changing
The eCommerce landscape was evolving at a rapid pace before the inception of COVID-19. As an eCommerce startup, you need to understand how the ongoing health crisis is reshaping human needs. COVID-19 has been impacting eCommerce now that social distancing is in full swing. Millions of workers across the globe have been asked to work from home. Schools and businesses have been shut down to implement lockdown.
The economic disruption caused by the COVID-19 has led to increased market fluidity and decreased valuations. Where many business sectors are struggling to survive, there are opportunities for others to flourish.
The consumer, as a result, has been forced to adopt eCommerce as an alternative. eCommerce startups certainly have an incredible opportunity to establish their footprint. Since customers are being encouraged to avoid public places, many countries have allowed people to buy online.
High Demand, Low Supply
Consumer demand for nice-to-have products is going down as people focus on basic needs. They flock to online stores to buy the necessities in response to lockdown.
As a startup, you must learn more about the psychology of panic buying or how consumers respond to pandemics. It’s not surprising how customers want to stockpile certain medical supplies, food items, and protective equipment.
Children can’t go to school due to lockdown. As a result, schooling equipment and homeschooling witness massive spikes in demand, which is great news for any business providing B2C education equipment. Another example is the face mask industry. The coronavirus pandemic has fueled an unprecedented global demand for protective equipment.
Customers have no option but to stay home and order online. As an eCommerce startup, you can also seize the moment to have a great start and sell something that people can’t resist buying.
How to Start an eCommerce Business
COVID-19 is driving innovators to come up with great ideas that might help the world go through this tough patch. Now is the time to start your business if you have great eCommerce ideas. A handful of Chinese startups have already been testing drones, robots, and automation to streamline product delivery.
If you’re ready to start an eCommerce business right now, make sure your business idea would help people with their need to minimize physical contact.
What products do you want to sell? How will you obtain your product? What can differentiate your business from your competitors? You should do some research and idea evaluation to answer these questions before starting an eCommerce startup amid a deadly pandemic. I will enlist some high-demand products in the next section.
Startup Opportunities for Ecommerce
Right now, it wouldn’t be a great idea to start an eCommerce site that sells non-essentials. If we analyze eCommerce stats in hard-hit countries like Italy, Germany, and the US, we see a relatively steep incline in eCommerce sales. Significant changes can be observed in the demand for certain products.
The following niches have high demand:
- Groceries and home basics,
- Survival shopping,
- Entertainment and activities,
- Online courses,
- Backyard betterment,
- Indoor sports and fitness.
Get Your Site Online (web hosting)
Developing an eCommerce platform is easier than ever before. However, you need to make the right choices when it comes down to web hosting and selecting the right content management system.
Even if you’re offering high demand, low supply products, your eCommerce site needs a powerful web hosting. It’s critical to ensure your online store is providing a streamlined customer experience. A wrong hosting provider can have a devastating impact on your overall business as customers simply hate slow online stores.
You can take a quick look at Cloudways reviews at Woblogger. Cloudways is a high-speed and secure web hosting ideal to build a feature-rich and scalable site for your startup.
Develop a Successful Marketing Strategy
The success of your eCommerce startup will largely depend on your marketing strategy. People are now learning how to shop online for new things. They’re buying unique items that they were previously buying from brick-and-mortar stores.
Regardless of when the global economy will recover, the pandemic will change the way people view eCommerce forever. The crisis has driven many brands to highlight certain aspects of their business that are relevant to emerging consumer norms. You need to adapt too and develop marketing strategies accordingly.
Taken into account the current paid media trends, Facebook advertising would be an ideal paid marketing option for your eCommerce business to accelerate growth. Test ads that focus more on the consumer needs for self-care. Here are some tips for developing a successful marketing strategy during the pandemic:
- Send emails to your prospects about how you plan to operate your business during COVID-19,
- Engage more frequently with your customers since consumers are now online more than ever before,
- Don’t use ads that focus on gathering with others,
- Focus on Facebook advertising,
- Adjust your message to resonate with consumers’ growing concerns,
- Optimize your site for SEO and user experience,
- Offer free shipping,
- Enroll in an after-pay service.
The pandemic will turn many business successes stories into failures, but it already has one winner: eCommerce. COVID-19 has led to accelerated customer acquisition as consumer behavior favors certain sectors. As an eCommerce startup, you need to explore many growth opportunities hidden within these challenging circumstances.
Life will eventually go back to normal as the COVID-19 curve has started to flatten in many countries. Make sure your business strategies are well aligned with the current economic situation.