1.

Weak Consumer Sentiment has Dampened Demand

As authorities grapple with the onslaught of the virus, economies are battered by the closure of
factories and the stoppage of production by the widescale lockdown. It is not surprising then to
see consumer sentiment turning pessimistic. According to Sucharita Kondali, VP at Forrester,
“Consumer confidence in the US economy for the next 12 months is bleak, causing consumers to
buy less – both in-store and online.”

2. Supply Disruptions have Affected Products’ Availability

Production and supply of goods have taken a hit amid fears of a spread of coronavirus. Factory
production has completely stopped. Distribution channels are busy in supplying the essentials.
And, governments have restricted movements. How can online stores under such circumstances
source consumers’ demands? It is but natural as a result that online stores, too are closing.
3. Consumers are Uninterested

Experts have initially speculated that online sales will pick up when more people will be sitting
at home. That has not happened. The truth is coronavirus has completely caught the imagination
of the entire world’s population. The whole world is so much pre-occupied with Coronavirus
news and updates that it hardly has time for anything else. In this hour of crisis, people are more
focussed on survival and as such taking more care of their family.

4. People are Being Overly Cautious

The highly contagious nature of the disease has instilled fear in the hearts of millions of people.
People are avoiding not just meeting other people, but are also avoiding coming into contact with
outside objects that may carry the infection into their homes. Online deliveries change many
hands and the fear that the chain may itself be infected has alarmed many. This is one of the
major reasons why people are ordering only essential items.

5. Adverse Change in Consumer Behavior

COVID-19 has not only affected shopping patterns across the globe, but it has also changed
consumer behavior. The picture becomes somewhat clear when we see that consumers have
shifted their focus to meet their survival needs. They are focused on getting the essentials, which
has dramatically brought down the demand for other products.

What Lies Ahead?

It is difficult to predict at this stage how the future will unfold. It will not be wrong to say that
with each passing day the situation has only worsened. And, it looks like we are in this for the
long run.

Even if the new COVID-19 cases begin to decline and the situation is brought under control, it is
unlikely that businesses will come back to normal soon. It will take time for the authorities to
ensure that we do not lapse back. As such, it seems like safety measures, travel guidelines, and
meeting restrictions will not go soon. In the meantime, the losses will continue to accumulate.
What you can do to Contain Losses during the Pandemic?

Based on the research we have done, the most promising move that you can make right now is to
try to retain your existing customers. Let’s hope that in the near future, people will turn to
eCommerce again as physical stores remain shut. Further, people get over with the fear of the
pandemic and supply chains will be restored. In the meantime, you can take the following steps:

1. Remain in Touch with your Customers

Your eCommerce shouldn’t be dead during this hard time. Be in constant touch with your
customers. Send them Push Notifications, SMS, and emails reminding them how much you care
for them. Send messages like Resuming Supply Soon or Let Us Help You.

2. Get Regular Updates from Suppliers

The distribution and supply chain has been in tits and bits right now. Though the authorities are
making efforts to maintain the efficiency of supply chains, virus fears have slowed down the
speed of delivery services. Remain in touch with your suppliers and get to know when they will
be starting the delivery of goods other essentials.

3. Switch to a Mobile App

As per new research, the average time spent on smartphones went up amidst the COVID-19
outbreak. In China, following the imposition of lockdown, people spent five more hours on
mobile phones daily than earlier. What more, the majority of time was spent using business and
education apps. The same has been in Italy. Give your online store a whole new avatar by
transforming it into a mobile app. Get in touch with a mobile app development company (Or you
can take help from us).

4. Ask for Permission to Deliver Essentials

Amidst the COVID-19 lockdown, the administration has not stopped the delivery of essential
items like medicines, food, etc. But, you may require permission from the authorities to ply
during the lockdown. Follow all the procedures and guidelines and make sure you do not disobey
lockdown orders.
How we are Helping Businesses during COVID-19?

Following lockdown orders, we have transferred our business operations on a cloud

platform connecting seamlessly all our employees and clients.

Working remotely from our homes, we are putting in more time and effort to keep you updated.
Whether it is our developers or designers or the front end staff, we are working closely and in
tandem making sure we deliver just like normal days.

So as to bring the whole team on the same page, we are regularly holding virtual meetings,
discussing the progress of the work and mapping the future course of action.