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Rapid Digitization shifting consumer behaviour
The sharp rise in the valuation of the companies and elevation of the start-ups to touch the so-called Unicorn status, all credit goes to the pandemic, which brings a huge shift to the digital medium. Rapid adoption of digital customer experiences and migration to online sales have resulted in a rapid shift in consumer behaviour that otherwise would have taken years to occur. And it’s clear this shift is not temporary. Reports from eCommerce media indicate that eCommerce sales should reach $908.73 billion in 2021, an increase of nearly 14% from last year, when retail sales alone grew by 33%. In fact, COVID-19 wasn’t just a catalyst for eCommerce acceleration: it represents a pivotal moment in history that has resulted in a massive, permanent shift in consumer behaviour toward self-serve, omnichannel experiences.
With this shifting of the behaviours may lead to impact on the retail industry. As we saw that even with the re-opening of many brick-and-mortar locations, the pandemic has forever altered the retail landscape. Shifting shopping behavior trends mean people often actively avoid visiting stores to buy products, especially essentials and commodities. The benefits of eCommerce growth, from saving time to comparing prices, have become not only a preference, but a requirement for consumers, as in-person store visits steadily decrease. Driven by advanced data practices, personalization and 1:1 marketing deliver on the customer’s expectation that retailers will not only know who they are, but predict their needs and guide them to the right products and services. Finally, this explosion in digital transformation means greater risks in terms of consumer safety and security. Retailers, even small ones, must assess security risks on an ongoing basis, including the need for data protection.
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