Some e-commerce categories raking it in amid Covid-19 outbreak
Digital Vouchers saw a whopping 1,237 per cent growth year on year in Thailand amid changing shopping trends in the aftermath of the pandemic, a study by aCommerce highlights.
BrandIQ Flash Insights report by aCommerce, an end-to-end e-commerce platform and solutions provider in Southeast Asia, reveals the 100 fastest-growing e-commerce categories after the Covid-19 outbreak.
The company says it launched BrandIQ in 2018 to help brands understand online shopper trends and apply data analytics to increase e-commerce sales.
BrandIQ is the first software as a solution that assists retailers and brands in consolidating product and channel information and getting granular views on sellers' activities, brands' share of shelf, share of categories, and market share comparison, aCommerce said. Flash Insights provides a quick overview of trends that are growing in the Thai e-commerce landscape.
Because of the restrictions and Covid-19 preventive measures, Thai people have been avoiding visiting offline stores. They stay home and order goods from stores and retailers to fulfil their needs. This “new normal" way of living persuaded brands to start investing in online marketplaces to drive store visits.
BrandIQ's Flash Insights report confirms that in addition to driving sales, voucher programmes present a solution for brands to optimise their inventory amid the Covid-19 crisis, the company said.
Another trend that surged during the pandemic was cooking at home. As the coronavirus pandemic continues to cause disruptions, many Thais have settled into a routine that involves a lot more home cooking, increasing the demand for refrigerators and cookware. Online groceries also surged with dairy and chilled products growing 2,637 per cent, dry and packaged goods by 389 per cent and breakfast cereals and spreads by 271 per cent, the report showed. This shift in behaviour is not only because consumers working from home no longer stop by for breakfast or coffee on their commute, but also because they feel unsafe going to restaurants.
Last year's report revealed a surge in food supplements and furniture categories, and with many people in the country still working from home this year, the trend has continued, the company said.
The pandemic highlighted the need for comfortable and productive spaces during quarantine whilst creating a growing demand for supplements as consumers prioritised wellness and health, the company said.
The report also shows a significant increase in demand for arts and crafts for kids. This category includes activities and products which enable kids to learn while they are at home studying.
BrandIQ explains the overall increase across these categories due to the restrictions on out-of-home activities on the one hand, and retailers' need to sell their products on the other. As a result, businesses had to adjust their strategies, and the changes in consumer behaviour have accelerated the speed with which companies have to undergo a digital and ecommerce transformation.
“Granular data and analytics of your e-commerce business is important for brands, but getting access to real-time data on your competitors’ sales, promotions, and orders is a game-changer,” said Paul Srivorakul, Group CEO of aCommerce.
“Providing brands with end-to-end data is important in optimising their e-commerce business and automating processes that help save costs and grow sales. For example when a particular brand or product starts selling well, our system immediately alerts marketing to increase advertising spending, then triggers customer service to increase support, then contacts the supplier to place a larger order and alerts logistics to prepare for increase in orders,” he added.
aCommerce has added regional platforms such as Shopee and Lazada, including local marketplaces such as Tokopedia in Indonesia, Qoo10 in Singapore, and soon Sendo and Tiki in Vietnam.