edeon.net Communication  Barcelona

Proximity eCommerce as a differentiating element

27/04/2020

The current crisis shows that trade must take a step forward and promote the marketing of products and services from the network. Amazon and Google Shopping will be the media, but local commerce must know how to find its space and lead local ecommerce.

Let’s put it in a short sentence: the world has changed . All the media, generalist or specialized, are warning us that things can take a long time, even years, to be back as before. In fact, they will not be the same as before until there is a vaccine against COVID-19 and this vaccine has reached a significant percentage of the population, which will not happen until, at best, in mid-2021. , social distancing will prevail.

From what we are seeing in other countries and what transcends the de-escalation plans, this social distancing is taking shape in:

• Extension of confinements for the elderly and risk groups.
• Intermittent general confinements, as the health situation evolves.
• Obligation to wear masks in public places.
• Mandatory safety distance of between 1 and 2 meters between people.
• Limitation of the capacity of shops when they are authorized to open, depending on their area.
• Social distancing also inside shops.
• Limitation of the distance between tables and implementation of physical protections (glass, methacrylate, etc.) in the hotel premises.
• Prohibition of mass events.
• Constant cleaning of the establishments and a long and so on

This leads us to a different form of face-to-face shopping. Shops and restaurants will not be able to serve large volumes of customers, it will be slower, more queues will be generated ... and if it is not managed well, in short, the possibility of generating more sales will be lost.

In general, consumers will care less about waiting to buy a product or service if the power of the brand is strong enough that, in the mind of the consumer, the wait is worth it. Improving the reputation and enhancing the branding of companies will be key, but it is currently something that few small businesses have well developed. From edon we can help promote marketing strategies that increase the reputation of brands, always analyzing the strengths and target audiences to whom brands should be addressed.

In addition, smaller (surface) businesses will suffer more, because it is more than possible that they are only allowed to have one or two people inside their store. In shops with more surface area, the queue can be produced within the store itself, which can be used if the premises are restructured by separating the waiting area with boxes and markings on the ground, as is already done in many large chains. of the retail sector, and placing here the products of sale of impulse or up-selling.

Obviously there are many more variables to analyze: type of business, customer loyalty ratios, frequency of product purchases, seasonality, price ... but it must be clear that physical stores, restaurants and bars will have to change.

To this must be added that many consumers who were unusual buyers of eCommerce have launched to buy through this channel, probably out of necessity, but the longer the confinement the more accustomed the customer will be to buy online.

If we talk about local eCommerce we mean that it is aimed at the type of customer that is in the nearest geographical area. In this strategy of proximity is not rejected customers who may come from other places, but we put the focus on our immediate environment.

Turning a crisis into an opportunity

In e deon , when the coronavirus crisis began we decided to help small businesses by promoting the Slowshopping.cat campaign, a directory of thousands of neighborhood businesses that only had to create tokens so that customers could contact them and then deliver the products at home. This tool, we could call it primary, serves to show that businesses must go a step further by improving their presence on the Internet and making their way to sell digitally. We don’t know how long it will take or how long it will take us to get out of this covid-19-generated situation, but what we do know is that these crises usually load some of the weakest businesses. When we talk about proximity eCommerce is an opportunity for small business we are not talking about growing, but about surviving until the storm returns to normal and growth strategies can be thought of.

Proximity eCommerce should not be seen as an expense but as a necessary investment that will allow the viability of thousands of neighborhood establishments. The main features are:

• Faced with a scenario of uncertainty, the customer is given the security that their products will always have available.
• Proximity eCommerce will help you serve more customers in less time. Shipping costs locally are very low, either through traditional logistics companies or riders from companies like Glovo or Deliveroo.
• The customer is provided with what he needs at all times: no queuing and, if he cannot leave, the products are taken home. If customers are older people, even more so. If they are not clear when placing an order, they can always ask for help from someone or they can be helped by phone until they get used to it.
• Catalogs are expanded and stocks are minimized, as agreements can be reached with logistics platforms that store products.

From the agency we are working as never before with the aim of continuing to democratize the network to all types of companies. The little ones have to take a small step to exist and generate their first sales, and companies that already have an internet presence need to prepare for a race where they will need to optimize positioning, reputation and loyalty.

Source: Marketing4commerce