Online store traffic lukewarm before Eid as pandemic drags on

With Eid just around the corner, online shopping sites have been experiencing lukewarm traffic since authorities of the popular shopping malls in Dhaka and elsewhere in the country have kept the markets shut to stem the spread of Covid-19.

However, the closure of the big malls draws mixed reaction from e-traders — some cast doubt as they already see a drop in online orders due to socioeconomic condition of the people, whereas some are a little optimistic about life restarting in the days to come.     

To attract the customers and online store traffic, different e-commerce sites and online platforms are already offering different lucrative deals like cash discount, cashback, gift hamper, free shipment, and so forth. Yet the sale is not up to the mark, said the insiders.

As per the e-Commerce Association of Bangladesh (e-CAB), there are 1,200 online platforms across the country. During Eid, such platforms usually receive a huge volume of orders for clothes and fancy items. But it’s a seamy picture before Eid-ul-Fitr.

Md Abdul Wadud, secretary of the e-CAB, told The Business Post that their members have taken various initiatives to keep customers away from possible infection by facilitating cashless shopping, e-payment and free home delivery to the customers.

Yet, due to pandemic, the orders have come down significantly this year compared to those of last year, he said, adding that this scenario is not encouraging.  

Moreover, there are many e-commerce sites which bring products from abroad and deliver those to the doorsteps of the customers. Since export-import has stopped in this pandemic time, these online shops have stopped their operations as well, said Wadud.   

Earlier on May 4, the government announced the reopening of shopping malls and markets from May 10 after laying down some preconditions. But different associations of shop owners, especially the big and popular ones, refused to reopen markets before Eid fearing that it would further deteriorate the coronavirus situation. However, some roadside shops and small markets reopened on a limited scale on May 10 after 45 days of lockdown since March 26.

Alongside the online platforms, people buy products from online platforms of popular brands like Aarong, Anjans, Sailor, Cats Eye, Kay Kraft, Yellow, Gentle Park and Le Reve. 

Asked about the sales this year, Marketing Executive of Kay Kraft Sadik Khan said they are receiving orders online but the volume is very low.   

Asikul Alam Khan said, “We have increased our stocks of fashion products including clothes targeting the Eid sale as people feel discouraged to go out of home for shopping due to the pandemic.”

But the orders for clothes and fashion products are comparatively lower this time – this is unusual during Eid.

“For clothes, we are receiving 500-600 orders on an average which was around 3,000-4,000 last year,” he added. 

Online sales of daily commodities on the rise

Priyoshop.com CEO Asikul Alam said they are getting around 3,000 orders for daily essentials as the demand for the items has increased in this pandemic time.    

Regarding the mode of payment, he said, “We are working with a number of banks and financial institutions to make payment easy for the customers.”

Government official Hasan Mohtarim Sajib said he used to buy only fancy things like dress and gift items from online store.  “But in the last two months during the lockdown, I bought 95 percent of the daily essentials online,” he said.

Though he is not going to buy anything for himself on the occasion of Eid, the dress he bought for his kid was purchased online, he added.

Banker Fatema Shumi, a resident of the capital’s Azimpur area, also prefers buying things online to traditional markets. But in the changed scenario caused by Covid-19 pandemic, she is completely dependent on online platforms especially for buying daily commodities.  

She said she does not have any plan to buy Eid dress in this pandemic situation.

Change in online food ordering behaviour

Online food delivery service HungryNaki’s Co-founder and Deputy CEO Ibrahim Bin Mohiuddin said, “People’s food ordering behaviour has changed in the lockdown. He said they used to receive many small orders like the orders ranging from Tk50 to Tk100; moreover, there are some people who used to place orders three to four times a day.”

Now they sometimes receive big orders, he said, adding that some customers in a single order are buying food worth around Tk15,000.  

But in general, the number of orders has decreased in this pandemic time, he said, adding that they are getting orders mostly for kebab, halim, zilapi and similar iftar items.    

However, the orders for daily commodities and medicines via the online platform have increased. As a result, they are struggling to deliver the goods to the doorsteps of the customers since the number of delivery people has decreased to 180 from around 400, added Ibrahim Bin Mohiuddin.   

No enthusiasm for cell phones and electronic products 

There had been a trend among people to buy new gadget during Eid. But this is absent this time as many people are struggling to lead a modest life in the pandemic situation. Though different online platforms for technological products have come up with a huge collection of gadgets with discount offer, the sale is not up to the mark, said the insiders. 

Dewan Kanon, CEO of dealbazar.com, told The Business Post: “We plan to provide smartphones and other electronic gadgets to the clients at affordable price this Eid.”

Gadget & Gear (G&G), multibranding chain retailer of mobile phones and accessories, has kept its online sale open during the pandemic time with a good collection of gadgets.

Nur-e-Alam Shimu, CEO of G&G, said they have a sufficient number of mobile phones and gadgets in their stocks to serve their customers online.

Yet only those people are buying phones whose previous ones had broken down, said Shyamal Saha, chief operating officer of Transsion Bangladesh Ltd.  On the occasion of Eid, the sales target was set too high, whereas it hovers around 15 percent now due to the pandemic, he added.

On condition of anonymity, an official of electronic brand Samsung told The Business Post: “Eid sales are yet to pick up. People usually buy refrigerators, TVs, ACs, and phones. But the trend is absent this time.”   

“Though we are getting orders for phones, the volume is very low,” he said, hoping that the sales volume would increase by 50 percent in the remaining days before Eid. 

Fahim Mashroor, chief executive officer of e-commerce site ajkerdeal.com, said, “...we hope that the Eid sale online will increase in the coming days as consumers are preferring e-commerce sites for buying things to the traditional markets because of the fear of coronavirus infection.”

Buying shoe not a priority this time  

Covid-19 pandemic has bit into shoe business as well. Rifatul Karim, assistant manager (marketing) of shoe brand Apex, said people prefer buying Apex shoes online to their traditional outlets, but the sales volume is not satisfactory.     

However, they are receiving a good number of orders from people outside Dhaka. There are people who used to visit Dhaka for Eid shopping, but they cannot visit the city now, he said. These people are probably placing orders for shoes online, he said, adding that delivery of the products to those customers becomes a big challenge.  

Since the customers are interested to pay bills online, he said they are offering discounts on cards of different banks. 

However, every difficulty is an opportunity in disguise, as believed by owners of different online platforms. They think people’s dependence on buying products online is increasing. The people who would not buy things online are getting used to buying stuff online in this Covid-19 pandemic situation. Even after the pandemic is gone, the habit will remain with them. The insiders want to see it as an opportunity for the future.