In the light of social distancing measures and stay at home orders, consumers have shifted their spending towards online channels. From grocery, medicines, household supplies to personal-care products, the pandemic has forced consumers to use online channels for purchases they previously made in other ways. The demand has shifted to a broader range of categories, which has significantly boosted the growth of the e-commerce industry.
The exponential growth of e-commerce has placed a myriad of new demands on the retail environment, disrupting the traditional retail model and forcing businesses to modify their operations to cater to these fundamental shifts. To win in this era of digital transformation, retailers need to redefine their e-commerce strategy and build the required capabilities. This, by no means, will be an easy task. Amidst growing demand and increasing competition, retailers who would be able to meet consumer expectations sustainably and efficiently will emerge as market leaders.
Evolve Supply Chain Management
The surges in demand for online goods during the pandemic highlights the need to rethink aspects of supply chain management. An effective eCommerce supply chain strategy begins with stock availability. To meet the ever-increasing demand from customers, retailers must gain visibility beyond immediate suppliers. It may not be possible to maintain buffer stock at all times and depending on a single supply source may land you in trouble during times of high demand. To mitigate the risk of disruption, retailers must have a heterogeneous supply network facilitating stock availability and replenishment at all times.
Growing demand further highlights the need for investing in industrial spaces that are strategically located and structured to serve these time-sensitive needs. In an increasingly cost-competitive market, ensuring logistical cost efficiency is and will continue to be a key factor in business decisions. Having inventory in locations closer to customers also helps in facilitating timely delivery. With some retailers offering as little as three-hour delivery timeframes, having a winning eCommerce delivery strategy is more vital than ever.
To stay ahead of the competition, online retailers need to tighten their supply chain and make it more customer-centric. From having a stronger product availability, fast last-mile delivery and easy returns, flexible warehousing, and efficient logistics network, retailers need to adapt their operations to meet and exceed customer expectations.
Improved Customer Experience
In today’s increasingly competitive eCommerce scene where markets are dominated by digital-savvy customers, adapting to customer habits and expectations is a sure-shot way for businesses to stand out. Customers want intuitive site navigation, streamlined customer checkout, and the ability to search product catalogs and track their order status in real-time. With rising consumer expectations and pressures, digital initiatives are necessary to transform the customer experience. Retailers need to refine their business model to changes in the environment that offer them opportunities to enhance customer engagement and improve the overall shopping experience. Providing enhanced customer experiences helps gain a competitive advantage, increase customer engagement, and in turn loyalty, leading to increased sales and profitability.
Embrace New Technology
With technology developing at an unprecedented pace and customer expectations constantly evolving, business survival is dependent on understanding and adapting to this changing landscape. Businesses are improving their productivity by adopting and adapting new technologies such as advanced analytics to ensure personal, timely, and automated customer interactions and recommendations across devices. Investing in new technology solutions represents an opportunity to grow revenue, attract new customers, and drive channel shift. The adoption of technology requires acquiring new skills, including data science, software development, and advanced analytics. We are also seeing the next wave of innovative techs, such as robotic stock picking, drones, and RFID coming to the fore that represents a massive opportunity to increase scale and profitability potential. Successful eCommerce retailers are leveraging the latest technological innovation to create sustainable, efficient capabilities required to survive in this growing, globally competitive modern world.
Ecommerce is transforming the retail sector, presenting unparalleled opportunities for businesses. But to reap the benefits, online businesses will need to start investing in improved services, brand values, and best in class technology. Companies’ strategies will need to focus on fortifying their web presence, providing an easy, dependable, and seamless shopping experience. By implementing these strategies, eCommerce businesses can effectively capture the loyalty of customers, which is pivotal for accelerating growth and ensuring online success.
Emotio, the award-winning Ecommerce marketing agency, provides innovation and exceptional digital solutions. The team has been designing and building brands since 1989. Emotio will help you grow, commercialize your brand through creative designs and expert marketing tactics best suited for your business. Reach out to us today!
