The global supply chain faced a significant impact as the logistics network between suppliers, manufacturers, and warehouses got impacted severely due to the halt in international flights, cargo shipments, and even regional freight. The uncertain stock fluctuation, consumer demand, purchasing behavior created a hurdle for e-commerce giants to manage inventory. Another challenge was to ensure the safety of workers and the consumers for which procedures such as contactless delivery, protective equipment, sanitization of warehouses and other measures got taken into account.
Future of Ecommerce
The worldwide e-commerce market was valued at 9.09 trillion in 2019 and get expected to grow from 2020 to 2027 by a CAGR (compound annual growth rate) of 14.7%. Rising manufacturers, ease in supply and chain management and R&D in the digital transformation will contribute heavily in gaining momentum. Goldman Sachs had to even revise its earlier report according to which global e-commerce invasion by the year 2023 will rose to 22%.
Consumer behavior has also changed significantly towards online shopping as people moved away from traditional methods. Even after lockdown restrictions are eased in different parts of the world, e-commerce growth is skyrocketing. Once the pandemic is over, people would return to the conventional markets. However, people who got benefited from the e-commerce segment would continue with online consumption.
According to Amazon India vice president Gopal Pillai, the e-commerce giant in India witnessed a 50% increase in seller registration. This massive registration helped MSME and other small businesses to thrive while the world is upside down.ACI Worldwide, which supports and develops software for electronic payments, also witnessed a rise in 74% electric sales compared to the previous year. Moreover, worldwide e-commerce sales by data of millions of global merchants expanded to 28%. Alibaba announced the fiscal year for the quarter results and the figures have been a historic milestone. According to Alibaba CEO Daniel Zhang, the net revenue was $16,144, a rise of 22%.