Local shop owners not hopeful of much business this festive season, say e-commerce eating away at their clientele

The ongoing pandemic and the increased dependence on e-commerce have hit the local shop owners hard this festive season.

The ongoing pandemic and the increased dependence on e-commerce have hit the local shop owners hard this festive season.

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A survey conducted in 10 cities in the country by community social media website LocalCircles, suggested that the number of consumers using e-commerce during the festive season has gone up from 27% in 2019 to 51% in 2020.

In Noida, 5,192 responses were received of which 41% people said they will use e-commerce while 29% said they will prefer home deliveries from local stores and only 16% were willing to visit malls and markets for shopping.

“Between the Covid crisis and competition from e-commerce sites, the markets are already working at only 30-40% profit margins. Once shopping malls become fully operational, that figure will go further down. In order to stay afloat, we have been appealing to all local vendors to take their businesses online. That is the only way we will have a fighting chance to survive,” said Sushil Kumar Jain, president, Sector 18 market association.

He said during the pandemic, the dependency on e-commerce sites has gone up ever more and nearly 17.5 crore businesses, according to industry experts, across the country have shut because of the current market situation.

The survey further said nearly 45% of shoppers feel that shopping online is not only more convenient but also safer and 75% people are willing to make their purchases from small vendors if they are available online. Home renovation items such as furniture or sanitaryware, grocery and food supplies are some of the things on which Noida residents were most willing to spend, as compared to electronics, fashion wear or appliances, said the survey.

“If the pandemic has shown anything, it is the importance of essentials. Unlike previous years, I will not spend money on frivolous items. And I will buy those things that are available for purchase from the comfort of my home,” said Ritika Singh, a resident of Sector 75.