What did e-commerce look like during the 2020 crisis?

2020 was an exceptional year for the e-commerce industry. The COVID-19 pandemic has had a huge impact on Poles' shopping habits and changed the landscape of online retail. In this article, we will look at how the pandemic affected the e-commerce market in 2020, what trends emerged in the industry and what are the forecasts for the future.

Changes in shopping habits

The pandemic has caused many people to start using online shopping as an alternative to stationary stores. In March 2020, when stores were temporarily closed and people were forced to stay at home, as many as 73% of respondents declared online shopping - 27% more than before the pandemic. The increase in online sales resulted from the need for safe shopping and having goods delivered straight to your home.

However, after the opening of shopping malls in December 2020, online sales decreased slightly. The share of e-commerce in retail sales decreased from 11.4% in November 2020 to 9.1% in December, when most malls were open. However, it is unclear whether this is the result of shopping preferences or post-lockdown fatigue.

According to a study conducted by SW Research, half of respondents would recommend online grocery shopping to their loved ones. Respondents point to time saving, ease of making large purchases and safety as the main advantages of online shopping. Even after sanitary restrictions are lifted, 90% of online buyers do not intend to give up this shopping channel.

Increase in e-commerce sales

Despite the decline in the share of e-commerce in retail sales in December 2020, the entire year 2020 was record-breaking for the e-commerce industry. According to Santander's report, the share of e-commerce in retail sales in 2020 was 8%, which means a huge increase from 5.5% during the few weeks of the pandemic. It is worth noting that the growth rate of the e-commerce market was not as dynamic as in previous years. Nevertheless, the growing share of online shopping in retail sales indicates long-term changes in consumer preferences.

In 2020, many trends emerged in the e-commerce industry. One of them was to increase the frequency of online shopping. Despite a decline in the number of purchases in other categories, 1/3 of Poles increased the frequency of online shopping. Another trend was the increasing importance of selling in visual media, such as Instagram or Pinterest. Companies began to create inspirations and product arrangements that attracted customers to online shopping. Personalization of the offer has also become an important element in e-commerce.

It is also important to note that online grocery shopping has become popular and continues to be a nationwide phenomenon. More and more people appreciate the convenience and safety of online grocery shopping.

The future of the e-commerce industry

2020 was a period of dynamic growth for the e-commerce industry in Poland. The COVID-19 pandemic has changed Poles' shopping habits and accelerated the digitization of trade. Despite the decline in the share of e-commerce in retail sales after the opening of shopping malls, online shopping has become a convenient everyday reality for Poles. Trends such as the increase in the frequency of online shopping, the growing share of visual media and the personalization of the offer predict a promising future for e-commerce in Poland. According to Strategy& analysts, the value of the e-commerce market in Poland will increase by over PLN 94 billion by 2027. Trends such as the growing share of "digital native" generations (Millennials and Generation Z) and competition between shopping platforms will drive the growth of the e-commerce market .

Personalization of the offer, inspiration and arrangement of products and the use of visual media will continue to be important for the development of e-commerce. Companies should adapt their marketing strategies to changing consumer preferences and invest in innovative solutions.

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