The pandemic led hyperlocal ecommerce- As we all witnessed it

“The sudden outbreak of the covid19 pandemic put us all in troubled waters. Hyperlocal ecommerce just about convincingly helped us see the rough patch through.”

Introduction

While everything was going good and smooth for the business world until the fag end of the year 2019, the beginning of the year 2020 signaled ominous signs for the world standing and knocking at the door of the new year. While some countries had the onset of the pandemic in as early as December 2019, the majority of the world witnessed challenging and crisis times during and after the first quarter of the year 2020. While this sudden and uncalled for outbreak affected businesses drastically, the consumers too were not spared from bearing the brunt of the deadly disease and the misfortune that came along with it. Human lives were lost, people were forced to get into their confines, availing even the basic amenities became an uphill task, inventory shortages took place, and businesses were shattered.

But as they say, every dark cloud has a silver lining, so had the pandemic-led circumstance. While moving out, having luscious meals with family and siblings and shopping with the closest amigos became a dream in that pandemic-driven situation, there were ecommerce businesses, pulling up their socks, either working on improving or partnering with immaculate hyperlocal ecommerce delivery software companies, streamlining their logistics and ameliorating the supply chain management, to meet the basic needs of the otherwise isolated, quarantined and pandemic-hit customers.

The pandemic and hyperlocal ecommerce- A discourse

The unwanted outbreak of the pandemic led us all into a frenzy. While the affected businesses struggled hard to keep up with the sales and profits, the story with the consumers was no different either. Isolated and confined in their homes, they witnessed adverse times. Leave aside products and services of conspicuous consumption, availing even the basic home essential products became nothing less than a herculean task and they had to rely heavily on the popular concept called ‘hyperlocal ecommerce’.

While a majority of people would not have cared thinking about the ecommerce businesses making instant and contactless deliveries possible, they just somehow did it. At the backend, there were tremendously capable hyperlocal ecommerce delivery software partners who provided feasible delivery solutions to each and every one affected, perhaps, which is why sales of hyperlocal businesses witnessed unprecedented acceleration.

Consumers, with nowhere to go and with no option to check upon, had to go hyperlocal. The pandemic just transformed the market behavior in entirety. In just a few months, the entire retail paradigm shifted from mega malls, hypermarkets and e-commerce to hyperlocal economical units and neighborhood stores. As the economy plunged during the lockdown, businesses started relying on locally available produce or resources to replenish and meet the rising demands.

As a result, everyone from consumers to companies, though initially a bit anxiously but interestingly made peace with and adopted the hyperlocal channels for survival. One such example is of Zomato and Swiggy which forayed into grocery delivery to meet consumers’ demands in collaboration with neighborhood Kirana stores. Not that these players were not there in the hyperlocal space previously, but the fact that they saw the pandemic as a blessing in disguise and hence made a lot of hay while the sun shone. There are many other cases of such businesses which came up during the pandemic and have made a fortune out of their timely intervention into the much-needed hyperlocal space.

Having come out of the pandemic, they have made the customers habitual of expecting instant, contactless and convenient deliveries, thereby continuing to deliver to them through the hyperlocal model.

Proliferation of hyperlocal ecommerce businesses during the pandemic

Hyperlocal ecommerce has had a vigorous proliferation during the crisis times of the pandemic. There were obvious reasons to it- the consumers were left with little choices to move out and buy, and businesses made the most of this opportune time. The pandemic-led hyperlocal ecommerce made way for a lot of businesses and the challenge ahead of them was to meet the pace of blistering demand that was about to arrive.

Several businesses proliferated. Instacart, an American retail grocery delivery service, saw an unprecedented rise in its sales figures. As reported in The Wall Street Journal, Instacart’s sales hit a record high in the year 2021, and its holiday season was the busiest in company history. Total revenue grew about 20% to $1.8 billion, and pretty far in 2022, sales were growing year over year. Instacart’s online grocery purchases even jumped to 10% of the $1 trillion industry, more than triple of what they were at the end of 2019.

It was also reported that while the number of orders has increased, people are ordering smaller amounts compared to the pandemic’s peak, because they aren’t staying at home as much. However, Instacart had an overwhelming proliferation during that time.

Similarly, Getir, the biggest rapid grocery delivery company in Europe, also witnessed an upsurge and it thereon expanded into Europe via London in 2021, when a post-pandemic gold rush for instant groceries was in full swing. Investors were convinced that lockdown habits would stick and consumers would continue to demand grocery deliveries direct to their homes. Since 2020, investors have flooded the global sector with more than $5 billion in funding. Those billions funded the dramatic expansion of an industry promising a new era of ultimate convenience: groceries on your doorstep in 10 minutes.

Moreover, in Europe alone, companies that were launched between the years 2020 and 2021 included Gorillas, Weezy, Blok, Dija, Fancy, and Cajoo.

Additionally, some food delivery companies have tremendously worked their way up the ladder both during and after the pandemic. Several hyperlocal businesses and their delivery partners are crafting personalized at-home dining experiences to capitalize on the covid fueled delivery surge, and consumers’ heightened appetite for on-demand culinary experiences.

Ecommerce as it stands post pandemic

Remaining into the pandemic hit circumstances and catering to global customers for a good period of time, gave retailers and vendors a lot of business sense. Futuristic businesses pretty soon realized that the consumers’ habits and newly acquired lifestyle trait of availing products and services from the luxury of their homes was no mean thing for them. Attribute it to the outbreak of the pandemic or the timely incorporation of technology into business operations, that aspiring businesses and hyperlocal ecommerce delivery software partners capitalized upon hyperlocal ecommerce deliveries, no sooner did the pandemic got over.

The pandemic having got over but the consumers’ insatiable need to have as many contactless, convenient and instant deliveries remaining well intact even after the pandemic restrictions have been lifted, is sending strong signals for the business fraternity- ones that require prompt business attention and agility in their behavior. The customers, as much and successfully as they have been catered to during the pandemic period, have led them to become even more demanding of such hyperlocal deliveries.

Today as the scenario stands in the post pandemic world of hyperlocal deliveries, the contemporary consumers would rather not want to go for a product that takes time to reach them. Instead, they have been widely switching over to rival businesses that deliver to them instantly and conveniently. Some researches have suggested that consumers are even willing to pay extra in order to avail same day delivery for their products. This shows the kind of transformation consumers have undergone over the last couple of years, especially after pandemic’s effects waning, and the businesses’ ability to instantly cope with the evolving demand of theirs.

Wrapping up

The post pandemic phase has turned out to be a period of curiosity and interest. More and more businesses are desperate to go hyperlocal, pre-established businesses have been finding innovative ways to streamline their operations so as to make way for more and more hyperlocal deliveries, and the state-of-the-art hyperlocal ecommerce delivery software companies have been working relentlessly to come up with cutting edge technological innovations in operations, delivery and supply chain distribution mechanisms.

What makes this period even more interesting and worthy of attraction is the changed consumer behavior. Had it not been for the pandemic struck businesses and their lightning fast deliveries back then, consumers presently, may have chosen to give up on the luxury of availing products and services from the lavish confines of their homes. But the pandemic has significantly changed the face of business and consumers are no exceptions to it.

As these consumer needs and demands evolve, there are high expectations from businesses to satisfy them. This may require them to plan accordingly, adopt newer technologies, strategize, put in place better inventory control processes and ameliorate their supplier network and distribution mechanisms. Or still better, it would be riveting to watch whether in a short span of time, businesses start delivering widely through drones and robots.

The time is surely not far when we are going to witness it all- drone deliveries, use of robotics, artificial intelligence backed business processes, blockchain technology, machine learning- all consolidated into one and aimed at providing the best and unfathomable hyperlocal delivery experiences to all those concerned.