4. Dominance of e-commerce and growth of social commerce
With a pandemic of this scale and the government urging people to stay indoors, it's natural that ecommerce growth is accelerated in the process. According to eMarketer, US e-commerce sales generated an estimated US$600 billion in 2020, accounting for 14.5% of total US retail sales. Comparatively, e-commerce in 2019 only saw US$600 billion in revenues.
eBay’s stock price soared by 55% and Amazon’s surged by 66% since the beginning of 2020.
Closer to home, Singapore -- one of South East Asia’s fastest growing e-commerce markets -- is predicted to reach almost S$10 billion (US$10 billion) in e-commerce sales for the year 2020 alone.
Social platforms have also grown as a result of the COVID-19 outbreak, with more people adopting the use of social platforms including Facebook, Instagram, Twitter and TikTok, in turn rendering these avenues an effective means for social marketing. A fashion purchase survey revealed that 55% of Gen Zs made a fashion purchase after being inspired by browsing social media. 50.6% of Millennials, 8.1% of Gen X, and 27.5% of baby boomers also followed this consumption pattern, a trend likely to continue even in a post-COVID era.
Actionable step: Hop on the digital bandwagon if you have yet to do so. For companies who already have a digital presence, think forward and explore if you could start an e-commerce platform to further drive your business.