E-Commerce Coping with Increased Demand
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E-Commerce Coping with Increased Demand

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Miriam Bello By Miriam Bello | Senior Journalist and Industry Analyst - Thu, 04/02/2020 - 12:50

The benefits of technological tools as never been as evident as they are now. We can work, do grocery shopping and even entertain ourselves without stepping out of our homes. Even though it is hard to think about someone benefitting from this awful crisis, there are companies that are growing due to their service offering. E-commerce has had a boost as many of those who can are doing more online shopping that usual. From basic things like groceries to medicine and healthcare supplies, the growth of online shopping has been significant for companies like Amazon or Mercado Libre. Due to growing demand, Mercado Libre enjoyed growth of about 56 percent on entertainment articles such as Nintendo or Xbox. Toys were also a highly demanded product, delivering 160 percent growth. Fitness and sports articles grew 100 percent, which is significant as these articles are not usually best-sellers. Lastly, office supplies also presented an increase of about 135 percent. Amazon’s growth has been so significant that the company announced the hiring of 100,000 workers to cope with orders.

Platforms might seek to profit form the situation, which is why the Mexican Association of Online Sells (AMVO) has presented a series of recommendations for companies, exhorting them to learn from the best practices implemented in other regions that have faced or are currently facing an emergency scenario, such as “no-contact” deliveries applied in the UK.

Pierre Blaise, Director General of AMVO, said “electronic commerce is positioned as an ally in the face of a global phenomenon, with retail companies reporting sales of up to 500 percent more, which positively impacts the activity of the delivery industry." He has also highlighted the importance of the delivery staff and how they are taking the risk to supply the rest of the population with goods during this pandemic.

Nielsen’s Director General said that this growth was expected based on the situation lived in 2009 with influenza. “We can expect consumers to return to the same preventive measures to avoid the epidemic period by using antibacterial masks and gels, reducing visits to crowded places and spending more time at home.”

As consumers increasingly use digital methods to prepare for a possible emergency in Mexico, supermarkets in the country have the opportunity to provide a smooth, frictionless and agile experience with their e-commerce websites and mobile applications.

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