REPORT

Covid-19 shifts consumer behaviour on online shopping

A recent report from McKinsey indicated that the shift to e-commerce is here to stay

In Summary
  • According to a recent report by Scanad ,73 per cent of shoppers see online shopping as a better way to find value for their shilling.
  • Juliet Kennedy founder of online store, Greenspoon, says the pandemic has been a tremendous accelerant to her store.
"Avechi based in Kenya has slashed delivery shipping time to a record 3-4 hours in a bid to encourage more Kenyans to use online shopping."
"Avechi based in Kenya has slashed delivery shipping time to a record 3-4 hours in a bid to encourage more Kenyans to use online shopping."

The Covid-19 pandemic has shifted consumer behaviour on e-commerce, with majority of Kenyans saying it is convenient and safe.

According to a by Scanad ,73 per cent of shoppers see online shopping as a better way to find value for their shilling, and a further 70 per cent prefer it as it saves them time.

“The fact that people could not go out increased awareness and curiosity around online shopping and delivery services thus boosting it's popularity ” a Nairobi e-grocer said.

 

Dubbed, 'e-commerce convenience or necessity in the new normal', the report notes that the pandemic has inspired e-commerce growth the world over, and this trend shows no sign of abating.

Brands in sectors such as Fast Moving Commercial Goods are seeing rapid increases in online orders leading to a growing range of channels to reach customers through.

Despite the ease of restrictions in the country, it seems Kenyans have already gotten used to the online shopping therefore vendors are still getting numerous orders.

A recent report from McKinsey indicated that the shift to e-commerce is here to stay.

“It might taper down slightly as the panic subsides across the markets, but the huge shift is here to stay,” the report noted.

Juliet Kennedy founder of online store, Greenspoon, says the pandemic has been a tremendous accelerant to her store.

In March the store saw a 100 per cent increase in purchases just as Kenya reported its first case.

 

Juliet attributes this growth to the fact that Kenyans were motivated by the restrictions to try online shopping.

Delivery startup, Glovo, had a surge in grocery spending as consumers tried to reduce virus exposure while still being able to purchase essentials.

According to the firm's general manager,Priscilla Muhia, the firm had an increase in number of businesses signing up on the platform to reach their customers .

Globally, marketplaces such as Amazon & Alibaba have seen exceptional growth, omni-channel retailers like Walmart & Target are expanding their online offering and platforms like Shopify & Instacart have risen in prominence.