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E-commerce changes due to coronavirus

Written by Brandsom | May 20, 2022 1:43:20 PM

Corona has influenced many aspects of society, including e-commerce. Consumers and retailers are increasingly turning to online marketplaces to serve their needs. Due to the pandemic's restrictions, many consumers turned to online shopping. All of which have become increasingly reliant on e-commerce. But, exactly, what has changed? What does this imply for the future of the health and beauty industries, among others?

E-commerce changes due to coronavirus

Corona has influenced many aspects of society, including e-commerce. Consumers and retailers are increasingly turning to online marketplaces to serve their needs. Due to the pandemic's restrictions, many consumers turned to online shopping. All of which have become increasingly reliant on e-commerce. But, exactly, what has changed? What does this imply for the future of the health and beauty industries, among others?

We are living in a new digital era. One of the many changes the COVID-19 pandemic brought about is that a new shopping behaviour has become embedded in our society. Lockdown caused consumers to search for and develop new shopping patterns.

Consumers are also willing to pay more for the perceived safety of online shopping. Data from Adobe shows that, worldwide, consumers spent around $32 billion more online for the same goods over the past two years than they paid for them before the pandemic.



It is clear that shopping behaviour will not go back to pre-pandemic times. Today, over half of shoppers globally shop online much more frequently than they used to. E-commerce is here to stay.

A new retail era

The retail industry has thus entered a new era. The proportion of online retail sales for non-food products in the UK, US, Germany, and France is forecast to accelerate by around two years compared to what would have been the projection if there had been no pandemic. This suggests that an additional $650 billion worth of spending will move online by 2025 due to this new pandemic-induced shopping behaviour. This acceleration will lead to $540 billion in additional home delivery sales by 2025.

Pandemic lockdown regulations also meant that many people spent less money than they would have generally spent had they been able to go out or travel. Therefore, they have more money to spend than they used to have. Being at home more has also resulted in a surge of home improvements and upgrades in furnishings.

Mostly, online prices are higher than in-store prices. Yet consumers continue to buy online. According to Adobe, in 2020, higher online prices added $4.8 billion to e-commerce sales. In 2021, that figure jumped to $22 billion. You can also add in inflation, which has increased prices further but has not yet deterred online consumer spending. If the first months of 2022 are anything to go by, it will rise again this year, possibly up to $27 billion.

COVID-19 has changes the beauty world

Health and beauty shopping arguably did not have as developed an online presence as other retail categories. Whilst the rise in e-commerce will impact markets, the health and beauty industry is expected to double its number of online buyers by 2025.

Most consumers give more consideration to goods in a higher price range. They want to experience and feel furniture before purchase, for example. Goods of a more fragile and breakable nature are also expected to attract physical shopping. But a large percentage of the food and health and beauty industries can expect e-commerce to be a more significant sales outlet than it used to be.

What does this say about the future of the health and beauty industry?

The beauty industry has always been at the cutting edge of e-commerce innovation. New technology in the beauty industry is coming on in leaps and bounds. Companies that embrace digitisation and online posting have seen sales of beauty products rocket. Bringing customers on board to help build and develop it involves them in the community of the brand and creates loyal customers.

Influencer marketing has, therefore, become a growing part of beauty e-commerce. Harvard Business School reported that global spending on influencer marketing was estimated at $2 billion in 2017. The changes in online spending caused by COVID is expected to push that figure up to $15 billion by the end of 2022.

However, data suggests that the next influencer trend in the industry will be authenticity. Showcasing authenticity and taking a more honest approach will help bolster sales and bring on board more sceptical followers. Authenticity is not just about how you sell your products; consumers are willing to pay more for natural and sustainable products. They will consider effectiveness over price and quality rather than a discount or mass-produced items.

Words such as “natural”, “organic”, and “clean” are keywords in the current beauty business.

Alongside authenticity, consumers in the beauty industry are looking for a personalised approach. These days, beauty products need to be personalised for everyone, and they want a highly personal service. Many companies have been introducing ways for customers to get personalised advice via apps and dedicated platforms, using technology to fulfil their customers’ needs without having to visit a store.

Social media advertising is different from catching a customer’s eye with carefully crafted shelf displays in shops. Getting people to see your adverts isn’t always easy and can be costly. Having the right consultancy partner can make a big difference. A marketing agency such as Brandsom knows the markets and can help you form the best marketing strategy for your product.

Change in the requirements

The major drivers for online shopping are cost, speed and convenience of delivery. Cheap and speedy delivery inspires loyalty. Since COVID-19, there has been a distinct focus on the immediacy of deliveries. This expectation has created a competitive market where retailers look to work with the fastest delivery companies.



The pandemic, the Russian invasion of Ukraine, and other factors have disrupted retailers’ supply chain. Many items are out of stock or take a lot longer to deliver than retailers are used to. Consumers want their products promptly, but this is not always possible. Timely and clear communication regarding deliveries is crucial to keep your customers returning.

It is important to take age into account. Digital natives (18–24-year-olds born into the digital age) are three times more likely to face negative delivery experiences than those over 65 years of age. Twice as many digital natives prefer collections over home deliveries compared to those over 55.

“Out-of-home” delivery is emerging as a popular alternative to home delivery, both for the consumer and the retailer. Different options are available, such as collection points, lockers, and in-store pickup. This is more secure and results in a 30% lower carbon footprint.

And a lower carbon footprint is a growing concern for people who are increasingly aware of the importance of sustainability. It is, therefore, important for most retailers to consider sustainable options. Not doing so may result in the loss of customers who are increasingly conscious of their sustainable and social responsibility.

Understand the marketplace

The key to good e-commerce is flexibility. Many store owners realise that they need to go online if they want to survive. But having an online presence isn’t enough. It would be best if you got out there into the marketplace. When a potential consumer goes online, your products need to be easily found and easy to purchase.

That’s where Brandsom comes in. If you need a reliable consultancy firm that knows all the ins and outs of the e-commerce marketplace, then look no further. We can help you find the best marketing strategy for your products. Our specialists take the burden from you, ensuring you reach your desired customers and they can access your products with as little effort as possible. Please contact us at contact@brandsom.nl or call us at 030-2270520 for a no-obligation consultation.