Covid Effect: E-commerce and Logistics sector to thrive

Covid Effect: E-commerce and Logistics sector to thrive

E-commerce has been a time saving and easy to go solution for many issues. Anything and everything is delivered at your doorstep from around the world. Its power to bring down things from across the world on a 5-inch screen has made it more popular among consumers of all types. Let’s have a look at India that it was a decade ago. But the flood of technology has made it turn upside down. Experts say that the last 10 years have seen more disruptions in the Indian logistics sector, than ever.

The ongoing scenario of the COVID-19 crisis has made the e-commerce market more essential than ever before. Amidst following the social distancing and other norms of lockdown, people have come to rely on an e-commerce website for safety and convenience. Not only the existing e-commerce businesses, but other businesses have also started to acknowledge the need for exploring this platform.  

Building logistics for e-commerce is no easy task. Starting with the company selling goods to consumers, it requires solid operating models and a supply chain management system. The e-commerce companies were not vague in India a decade ago. But now, with the increase in demand, many such companies are active that handle supply chain for B2C and B2B deliveries.

E-commerce is made so easy-to-use with the help of technology, that not only it is prevailing in urban regions but have craved its way in rural areas as well. A simple app on mobile phones has everything you need to be brought at your doorsteps. However, people in rural areas were reluctant about this change. But with COVID-19 in the picture, the things have changed and these companies with their extensive pin code coverage, have started to cater to their needs better.

The deliveries offered by such platforms are not limited to goods, but also food, medicines, and other essential items are delivered in record time. With restaurants closed and medical shop a mile away, in current times, this happens to be the best solution. However, this is not limited to B2b and B2C but also cater to some of the C2C deliveries. Many platforms help people to transfer their goods or bring their things home from a certain place. With lockdown into the picture, corporates are obligated to work from home. To help in this, hyperlocal delivery players have played an important role in providing fast deliveries between consumers, whether these are documents or forgotten items that were stuck in lockdown.

During the time between ordering and delivery, these platforms ensure that the customers are well aware of the process. The expected time and day of delivery, order conformation, the parcel is dispatched, contact details of the delivery man, etc. are provided to help customers track and trace their goods. With these features involved, the e-commerce platform not only is seen as pickup and drop services but enhances overall customer experience.  

The Kirana stores that relied on local suppliers, because of the pandemic have now started to use the platforms that deliver goods in wholesale. Some local truckers are helping these businessmen, but to track them is a task made easier by online platforms. These types of logistics services are widespread and can cater to every corner because of being local and well versed with geography.

The business on the supply side of the network is also at ease with the arrangement. They have fewer clients to deal with and can sell their goods at discounts and reasonable prices to the customers with the reduced impact of multiple middlemen. It is also easy for them to look after customer service and feedback on their products. And supplying goods to the preferred warehouse of e-commerce platforms is far easier than supplying to wholesalers across locations.

This industry and market are expanding exponentially and the ongoing humanitarian crisis is only giving more reasons for it to boom. The days when drone deliveries and autonomous vehicles will further transform logistics globally and in India are soon to come, but until then, players in the industry need to specialize to survive with the help of technology, better operating models, and enhanced customer service.