“We have four to five times more traffic and orders than before the Corona crisis,” said Shpping Managing Director Robert Hadzetovic about the ONachrichten. For some time now, this Swiss Post online platform has been trying to attract consumers to local dealers – so far with manageable success. The current situation seems to give many domestic retailers an unprecedented boost on the Internet. In our Kauf-O campaign, we regularly report on such businesses.
The red-white red online platform shpping.at generated almost 20 million euros in 2019. Hadzetovic is expecting “at least three times as much” this year, although the corona effect is not yet heavily weighted. “We now have more than 700 dealers and more than two million products, it’s a brutal rush, we work day and night to get the many dealers on hold in our shop,” he reports.
At the moment the goods reach the consumers in good time (by post). However, bottlenecks could arise due to the partly interrupted supply chains. Martin Sonntag, the spokesman for the Austrian online trade, sees this similarly. For example, he reports that air freight tariffs have almost tripled since the crisis began. The reason: The goods that were previously flown in the hold of the passenger aircraft must find other ways, because the air travel is paralyzed globally. The logistics centers in Austria were in full swing, “but in principle everything is important to customers”.
Consumers are rethinking
The industry spokesman found a certain rethinking among consumers that many now want to consciously shop in Austria and not only from international giants like Amazon. It will become clear how sustainable this new shopping is. The longer the crisis lasted, the more pronounced the importance of goods from the EU or Austria would remain in the brains of consumers, said Martin Sonntag.
He sees the current influx of domestic Internet retailers as sober. On the one hand, the duration of the crisis is still very short to draw conclusions from it. On the other hand, the Easter business would now be shifted to the Internet. The online shops that sell to end customers would make more sales; those in the inter-company trade would have built in.
Many retailers use the forced closure of their stores to revise their online shop or even set one up. “It will be a push for many to finally deal properly with Internet commerce,” says Sonntag. If you want to be successful in retail, you have to use all channels these days: from physical business to the Internet shop.
Amazon remains the winner
Despite all the euphoria for online retailers: Amazon remains the big winner of the corona lockdown in retail. In just ten days, the retail giant gained $ 100 billion in value. Hundreds of employees are sought in Europe and 100,000 in the United States for logistics. Hourly wages were raised by two euros (EU) and two dollars (USA). Everyday goods are processed faster than others, especially in Italy and France, Amazon no longer accepts orders for items that do not meet daily needs.
Austria’s online dealers have previously reported an increase in orders across all product groups and from seasonal runners such as Easter toys to garden furniture – now on the web.
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