Coronavirus effect in Ecommerce: Atypical Easter (III)

We bid farewell to a A completely unusual Easter week in the history of our country and from Geotelecom, we can only ask ourselves What has been the Coronavirus effect on Ecommerce during these days? Even if we take into account the completion of our first month of confinement (as well as the State of Alarm decreed by the government on March 14)., What behavioral patterns may have been modified in users, and what KPIs may have been affected by these unique circumstances? 
Defined as an era 'sluggish in the industry with the experience of previous years, a decline in sales is always a reality: the carefree user, focused solely on enjoying his or her vacation. The trend in searches is established, but purchases come later, since at that time their priority is leisure.

Easter 2019 vs 2020

Ecommerce Sector in Easter 2020
It is therefore not surprising to see a change in consumer behavior in the Ecommerce sector in a landscape where light vehicle mobility fell on a 90% on Holy WednesdayApril 8 (according to DGT data). We share the conclusions drawn from the data of more than 150 accounts of which we are participants:

  1. In a fair way, we first compare Easter 2019. (Between April 14 and April 21)with the behavior of the previous week of that same 2019. Investment fell by about 10%, but sales even reached a decline of about 20%. By contrast, this 2020, between April 5 - 12 vs. March 28 - April 4, the investment grew by 30% and, in parallel, revenues by 25%. We believe that the fact that all the measures implemented by the government at this point have already been in force for a few weeks has a decisive influence. There are no fluctuations caused by uncertaintyThe conversion rate is stable and, in general, the user remains constant, accustomed to a new way of life. (whether it is a holiday or a working day). 
  2. What is the result if we analyze the full 2020 Easter vs 2019? (April 5 - 12, 2020 vs. April 14 - 21, 2019) Having read the previous paragraph, as expected, the KPI's are positive. With an unchanged CPC, the number of impressions doubles, clicks increase by 75% and hand in hand, spend grows by 80%. It is important to note that even though the conversion rate remains almost fixed (with a slight increase of 11%)the volume of transactions improved by 50% and revenues by 80%.

Ecommerce at Easter 2020 vs 2019

COVID-19 impact by sector

The largest increases came from strong sectors par excellence during this crisis. We mentioned them in previous posts as 'Coronavirus effect in Ecommerce: COVID-19 in Google Ads (I)' and are fundamentally ' needs 'to be around the house':

  • Food stores
  • Hardware stores
  • Sale of toys
  • School supplies
  • etc.

In contrast, following the rhythm of the entire period of confinement, the collapse in this Easter 2020 comes in sectors with a remarkable drop since the pandemic began: tourism, textile, machinery for the hotel and catering industry or sale of products for events and parties.
Lastly, it is worth mentioning the curious circumstance of the sector Appliances and Technology, a vertical that in past years always experienced an increase during the days leading up to Easter to provide second homes in towns or vacation homes.
This time, studying the time lapses between March 29 - April 4, 2020 and April 7 - 14, 2019, we find a reality of stagnation with an intensification of 30% traffic, but very similar sales volume.

Conclusions on the Coronavirus Effect on Ecommerce this Easter

  1. Once the anxiety of the first days has passed, after a month of confinement and the consolidation of the measures established by the government, the client has a stable behavior. (whether it is a holiday or not).
  2. During this atypical Easter Week, not only do we not see a reduction in traffic, but the activity is even more intense. At this juncture, the difference between a holiday and a working day, lies in the fact that many people working in 'core activities' may have taken advantage of the opportunity to make their purchases and therefore, during these days, the Coronavirus effect in Ecommerce is, if possible, even more reinforced.
  3. As in the different posts published, online commerce continues to be benefiting from during this crisis, with data rising every week and as a result of the rules we all have to comply with by staying at home.
  4. By verticals, we also observe this balance with the exception of Household Appliances and Technology where there is a direct relationship with the impossibility of being able to move to 'second homes'.

What about your Ecommerce? Do your metrics show the same? Is the user behavior in your online store different? Tell us about it! If you want to stay informed about all the updates on our Blog about the Coronavirus crisis, follow us on our social networks:

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