COVID-19 has been a catalyst for change in the e-commerce sphere, completely changing consumers' shopping behaviour. This is bound to have a lasting effect on how businesses conduct online transactions.

Benji Borg from digital experience agency ANCHOVY. and Matthew Sammut, executive director at NIU, a web design and development agency, talk about the disruption and acceleration of the e-commerce sector, brought about by the pandemic.

COVID-19 has been a huge catalyst for change and has accelerated the digitisation of most sectors. What was the most significant shift in the eCommerce landscape locally?

Matthew Sammut: Yes, I think COVID-19 restrictions have urged and encouraged the consumer to go online. Food delivery, high street apparel, domestic appliances and ride hailing are all great examples of how things have changed in the past months. Consumers now expect to find almost everything online, have the relevant information at hand, and conclude in the shortest time possible.

We’ve also seen how having a website is no longer enough. Consumers no longer visit your shop, and too often neither your website. They expect sellers to reach out to them with the right product at the right time and at the right price point. You need to know your customer well, have outstanding SEO optimisation and continuously capitalise on social media tools.

Over the past months, we have seen many local businesses forced to revisit their whole business and digital strategy and become digital-first. Previously we saw technology adoption, now we are seeing a shift in mindset.

Benji Borg from digital experience agency ANCHOVY.Benji Borg from digital experience agency ANCHOVY.

Benji Borg: The biggest shift locally has been awareness and realisation. We have always had three types of people. Those who did not adopt digital strategies, those that semi-adopted them and the full adopters. Pre-COVID, the first two buckets were the largest but post-COVID has made everyone shift to a digital-first mindset. I personally work digitally everyday of my life and I still consider myself as a semi digital-first adopter pre-COVID. I now find myself searching, booking and buying everything online first, with a mix of offline methods to have the full experience. 

Customers' buying journeys have become so complex, multi-channeled and diverse that if you are not present across all these touch points as a business, you are already at a loss. eCommerce is just a puzzle piece in the whole digital ecosystem. 

How do you see the eCommerce sector's evolution in Malta in a post COVID-19 economy?

MS: It is hard to generalise, as different businesses will apply different technologies in different ways for different objectives, but I do expect growth, consolidation, specialisation and aggressive competition. Economies of scale will favour those who play smart and leverage automation and efficiency, and specialists will use technology to reach out to markets that were previously unreachable. I think Maltese companies will start to sell beyond our borders, and vice-versa.

I also predict growth in the ecosystem that serves the eCommerce value chain. New players will emerge within the eCommerce value chain too, in logistics, payments, packaging, digital marketing, insurance and solutions development among others.

I also predict growth in the ecosystem that serves the eCommerce value chain- Matthew Sammut, NIU

Matthew Sammut, executive director at NIU.Matthew Sammut, executive director at NIU.

BB: Adapt or be left behind. It's that simple. This goes beyond having a good-looking website to a fully immersive digital experience. If you were building a race car, you would want to have a great car, a fast engine, a skilled driver and an even better support team. The same goes for business. You cannot simply have a striking website; you need great customer care, fast and convenient delivery, and in-store experiences that keep your customers coming back for more.

What new skills will workers need to embrace and absorb to survive in this new world of eCommerce?

MS: First, a valuable worker in an eCommerce environment needs to have a good grasp of technology, how to use it and its limitations. The ability to manipulate and interpret complex sets of data will also help. Companies sit on so much data that will require strong analytical skills to take advantage of. Too often, this goes to waste. 

Digital marketing, use of social media, SEO and maintaining the sales funnel are also extremely highly sought-after skills. Finally, as customer interaction shifts to email and chat, the ability to attend to customers in a fast yet effective manner is also highly desirable.

BB: Running an eCommerce business requires a completely new mentality and skillset. The reality is that there is still a shortage locally when it comes to technically capable people to perform such tasks. Companies will need to start forming partnerships with firms or look towards employing remotely. The HR shortage needs to be tackled at a national level. Skilled workers in this field are young and generally do not follow the traditional routes of education, making them efficient at certain tasks, but very hard to manage and control. This means that organisations will need to invest more time in teaching their new teams how to function both technically and socially.

Have digital solutions become more attractive for older generations and has COVID-19 created new audiences for eCommerce?

MS: We have seen this in the past when computers, broadband internet, and mobile phones emerged. Sections of society adopt before others for many reasons including fear, ease of use, availability, priorities, and costs amongst others. However, as history has shown time and time again, eventually, technologies become mainstream. This is what is happening now with eCommerce adoption in Malta. 

I think that it is important that we encourage the elderly to embrace the Internet and eCommerce. They stand to benefit so much from technology and the opportunities it offers. 

There is a window of opportunity for business to not simply sell products, but also to educate- Benji Borg, ANCHOVY.

BB: Digital has become more user-friendly, but there is still a long way to go. My aunt recently asked me if she will get charged when using WhatsApp to call her cousin in England. This shows there is still a noticeable gap in educating some generations on how digital truly works. I believe there is a window of opportunity for business to not simply sell products, but also to educate. If you take the time to educate your customers, you will generate loyalty and repeat business. Older generations generally have less people to talk to, so there needs to be an easier helpline for this generation to tap into the fast-moving digital world.

This also applies to eCommerce. For example, online stores should ask customers for their age and the website’s layout should change depending on that. If the customer is over 60 years old, the font could become enlarged, the navigation is made easier, and help features become more prominent. 

These are minor changes that have a huge impact on the customer. 

What do you think is the key to unlocking success in eCommerce and online sales conversion?

MS: First, eCommerce should not be viewed as a parallel sales channel to an existing bricks-and-mortar setup. This is an unprecedented opportunity to rethink your business - from redefining your market and product, redesigning your processes, overhauling your stock management, fulfilling demand faster and smarter, or systemising customers support, to mention some examples. 

As to conversions in the digital age, this is both a science and an art form. Irrespective of your industry you need to understand and harness digital marketing through social media campaigns, SEO, and other more traditional modes. You need to leverage data and continuously test your gut feelings, measure the outcomes, learn, and then execute. 

Finally, from experience, we have found that successful online businesses are able to strike the right balance between what is done in-house and what gets outsourced. While you must remain at the helm of your operations, you will need outside specialists to support you with tech solutions and expertise. By teaming up with the right partners you will be securing the best solutions for your needs while your resources remain focused on where it matters most - running the business. 

BB: Once again, it’s quite simple. Spend enough time listening to your customers and learn how to interpret that data. You would be surprised by how much you can learn from reading complaints and Facebook messages, and doing the casual in-person delivery here and there. You, as the business owner, cannot take your product and your purchasing journey for granted. You live and breathe this every day. However, new customers are seeing all of this for the very first time. You need to make sure that you are getting their attention and then giving them what they need at the right time. Companies need to invest more time in research and data to optimise the customer journey. 

Another important aspect is having a strong company ethos and sticking to it. Above all, and now more than ever, customers want to trust and support the brands they are buying from. The brand is an extension of who they are.

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