How COVID-19 is Impacting Amazon Sellers & Retail Industry
The nature of online business is changing constantly after the new era of the e-commerce industry starts. In some cases, the global alarming factors work as important influencers as well. We all know the present lockdown situation for Coronavirus (COVID-19) all over the world. It may sustain for more time than you can guess according to the latest WHO report. Since the occurrence of the disaster, there has been a negative impact on most of the emerging online retailers along with Amazon sellers. Due to the supply chain disruption, they are facing critical obstacles for the last few weeks.
An Overview of Coronavirus Global Effects
Coronavirus global effects are the hottest term in the economic world as well as other sectors. As per data from SimilarWeb, the most impacted sectors after spreading this are likely Travel & Tourism, especially air travel & accommodation, and e-commerce & shopping. On the other hand, the industry that covers restaurants and delivery, news & media, social networks & online communities are still moving upwards. Some of the companies like Nikkei, Dow Jones, and FTSE have seen huge falls since the outbreak.
Data Source: Bloomberg & BBC
Another data from OECD Economic Outlook presents the global economic growth along with the US, Europe, China, and Japan. All are going through the largest downgrade ever in this modern and civilized world after the 19th century while the Spanish Fluoccurred. From the Bloomberg report, it is assumed that the global economy might suffer a loss of $2.7 Trillion for the deadly impact of this virus.
Data Source: OECD Economic Outlook & CNBC
The Coronavirus Impact on Amazon Sellers
🔹 Sales Growth is Decreasing: In most cases, the sales growth has fallen dramatically as an impact of COVID-19 Coronavirus. Many of the sellers are badly concerned about their sales that are going down since the coronavirus outbreak. Many of the shipments have been canceled and thus they are too much worried about the future. If you see the search results from search engines to know the buying intention of the consumers right now in this crisis, you will feel the reason behind this.
People are not paying attention to other things rather than their lives at this moment. For that, they are only aware to buy the most essential items only for their livings. That’s an important reason to drop sales growth. Besides this, the production is also in a threat. Most of the workers are afraid to move from their homes for this vulnerable satiation. That’s why the chance of getting products has also been down than before.
🔹 Some Sellers Didn’t Take It Seriously: Initially, many of the Amazon sellers didn’t take this issue seriously compared with the present. It was like a media hype for many people then. They just chill and keep selling with the hope of seeing it over. That’s the reason they didn’t get any precautions to get rid of this situation. Although there was a little bit of chance for that.
🔹 Increased Sales of Medicare Products: The sellers who are involved with the Medicare products got overwhelming sales after COVID-19 affected. In the USA, medical supplies, first aid kits, cold & flu remedies, and antibiotics have reached the top-selling products. Besides these, the growth of cleaning products is also higher compared with previous months and years as well.
Data Source: Statista
🔹 They Are Looking For New Suppliers: Because of this unexpected threat and its impacts on the e-commerce industry, many of the Amazon sellers have been looking for suppliers outside of China. But what’s the reason behind this? They don’t want to take any risk of production delays due to COVID-19. Already, a percentage has claimed some urgent and essential issues. They are facing problems with supplies, imports along with the communication trouble. As a result, many sellers have started considering different countries likely the US, Vietnam, Mexico, Taiwan, and more.
🔹 A Few Has Increased Product Prices: Some sellers have raised the regular prices showing the reason for less supply of products. Although the amount is not a big one. The products with increasing prices included the necessary accessories like hand sanitizer, toilet paper, Lysol spray, hand soap, rubbing alcohol, etc.
🔹 Preparing for The Worst: Most of the sellers in Amazon are expecting a fatal blow to their businesses for the coronavirus outbreak. It’s been two months already and starting a new month but the impact is not stopped yet. As a result, many sellers are preparing for the worst and some are thinking to response the demands of people according to the situation. This may help them to get rid of this global risk.
How The Sellers Can Be Beneficial?
The global threat cannot be beneficial or any opportunity. But in the sense of business, it can bring new ways for the future. Have you gone through the research to know the best selling products at this moment? Can you imagine the sales growth of the products since the pandemic started? The thing you need to know how to find out the most wanted products right now that are searched by most of the common people. By the proper research, you can make a boom like the experts do.
If you have enough resources to start the production along with the ability to reach your audience, take the necessary steps. Don’t delay to take the perfect shots and go with the best product photo editing professional. It may need a simple clipping path or color correction to enhance the quality of your images. What now? Let’s jump to the next part to learn the way to overcome this tough time.
What to Do to Overcome the Situation?
Do you know how some of the cities are overcoming the COVID-19 pandemic even after a huge drop down? For most of the business strategists, it is going to struggle for a while. Like most other industries, it has affected all the sellers as well. The impact may remain for a while but something good is also knocking at the door at the end of this global threat. The thing you have to do is.. wait for the right time. Not every situation you need to take the risk.
Sometimes, it requires patience to have the right track. In the meantime, it’s better to rearrange your modern and actionable digital business strategies so that you can grab full control over the situation. Don’t think all the sellers or business owners are sitting idle losing hopes. Be among the positive thinkers and make yourself ready for the next jump. And, keep your awareness on towards consumers.
Another important thing is to communicate with customers through email and social media. Also, you can update the COVID-19 posts to provide real-time data to the audience. The more you engage them, the more you take advantage of the future.
To conclude
It has been a few months since the Amazon sellers are struggling with this global threat. In a word, the impacts are not positive indeed! But, what to do now? Are all the sellers and retailers going to have a long-term loss? Not really! Hopefully, it won’t be an issue to go in the long run. In the meantime, many sellers are showing its growth signal green. Maybe, it’s high time to change some strategies in terms of time and condition.
