How quarantine fuels sales in e-commerce
24 / April / 20 Visitors: 21 ★★★★★
How much has the average check increased and what products have appeared in the top of the most sought after
March dynamics. According to Similarweb, in March compared to February there was no sharp increase or decrease in traffic for most marketplaces. The exception was two specialized sites: Liki24 traffic increased by 73%, Tabletki.ua - by 32%.
This stability in Kasta.ua is explained simply. “Shock, people were in a stupor, the hryvnia began to fall, quarantined. A slight drop or increase in traffic amid a general panic - sweeping shelves with buckwheat and toilet paper is an expected story, ” says Kasta.ua PR Director Natalia Logvin.
According to Ivan Porto, CEO of Prom.ua, when socially significant events begin in the country, the audience from online stores moves to new sites and Facebook. “It is important to understand that traffic does not reflect the real picture 100%. Despite the fact that traffic dipped at the beginning of the month, the conversion of orders has increased significantly. People go to the marketplace in order to buy something, and not just see it. This is also confirmed by the trade turnover, which grew by 20% compared to February, ” says Ivan Portnoy.
And he clarifies: in a crisis, consumers are more likely to trust proven well-known brands. Therefore, in the Ukrainian e-commerce market, it is large players who feel the growth, not small sites. “We see the same picture according to our data: in the catalog of the marketplace in March there were more orders than on the websites of companies created on the basis of Prom.ua. According to our forecasts, April will continue the March trend: for players with a wide range of goods (Prom.ua, Rozetka, Kasta, Epicenter) traffic will remain at the same level, with a slight increase. And the turnover and the number of orders will grow faster than traffic, ” the CEO of the company believes.
According to the analytical service OLX, the total number of visits to the site in March remained in the range of more than 7.5 million per day. “At the beginning of quarantine — March 17–18 – we observed a slight decline in activity. However, a week later the number of visits increased again and reached 7.7 million per day. We connect this period with a revision of the approach to our sales to SMEs and a change in user preferences, because, despite the general dynamics, the demand for certain categories of goods among users changes, ” the company’s analytical service explains.
“In e-commerce, March is subject to a clear seasonality. As a rule, this month the traffic is slightly higher than in February. In connection with quarantine, we expected an increase of 15–20% to our forecasted growth. But that did not happen. But the conversion doubled, ” said Skidka.ua, marketing consultant for the marketplace.
The head of marketing at IZI.ua Olga Khmelenko says that on their site the number of purchases has almost doubled.
A similar picture is in the dynamics of attendance of the largest Ukrainian online stores. The highest traffic growth was for Eva.ua (+ 32%), the drop was for Allo.ua (-7.25%). Makeup and "Epicenter" got into the first positions of the rating.
According to the press service of EVA, in March 2020, compared to the same period of 2019, sales grew by 680%. And compared with February this year - by 40%. “The dynamics is explained by the fact that February and March are always characterized by increased demand for our product niche. In April, due to the strengthening of quarantine measures in Ukraine, experts predict an even greater increase in the number of online sales, ”the company said.
The press service of Moyo.ua says that their indicators correspond to seasonal fluctuations. In April, the company expects an increase in traffic by 10-15%.
How has the average bill changed? Most of the players surveyed reported an increase in this indicator. Although not everyone has revealed absolute numbers. In March, the average check at Moyo.ua grew by 13%, Skidka.ua - by 40%.
“If we compare three weeks before March 15 and three weeks after, then by today we see a general tendency for the average check to grow in the main categories. Analytics on transactions with the “OLX Delivery” service showed that among goods for children the check averaged 530 UAH (+ 11.8%). By 27.7%, to UAH 6,280, the average check in the transport category increased. The amount of the transaction with delivery and in the electronics category on average increased to 1432 UAH. The average check for household equipment and household chemicals is up to UAH 723 (+ 39.3%). The increase in pet supplies amounted to 28%, ” explained in OLX.
According to Ivan Portnov, usually the average check at Prom.ua is about 800 UAH. In March, he remained at the same level.
Bigl.ua director Andrei Zdor says that in March, on average, they spent 578 UAH on one order, just like this February. At the same time, the number of purchases at the marketplace for the month increased by 30%.
On IZI.ua, Ukrainians began to spend 19.5% less in March than in February - an average of 457 UAH. “The decrease in the average bill is most likely associated not with a fall in prices, but with an increase in the number of purchases of inexpensive goods, for example, sanitizers, accessories for phones and computers,” explains Olga Khmelenko
In the marketplace for ordering services, Kabanchik.ua believes that, despite high demand, a drop in the average bill is not ruled out. In the meantime, in March, couriers were paid 168 UAH per call (22% more than in February). “Prices in the courier delivery category are very dynamic and also depend on the season, demand and services that the courier can carry out at the same time,” explains Olga Soroka, head of marketing at Kabanchink.ua.
It also complements: despite the growing demand for hairdressers, the cost of their services for the month decreased by 20% - the average check is 315 UAH, and for tutors by 35% - they are paid up to 300 UAH. In March, manicurists earned 5.5% more than in February, the average check is 330 UAH.
The most popular quarantine products. From the middle of March, laptops and accessories for them, tools in the Home and Garden category, as well as games and game consoles, got to the OLX in the top 10 from mid-March. In Kiev and the Dnieper, goods for beauty and health became the most sought-after through OLX Delivery (before that, residents often sent phones). In Lviv, instead of smartphones, they began to buy goods for sports and recreation, and in Kharkov, sports equipment supplanted children's shoes.
Ivan Portnoy notes that Prom.ua was dominated by medical products - masks, respirators, disinfectors. Before quarantine, the number of orders for these goods has tripled. But four weeks later, demand began to fall. “But more and more buyers are ordering goods for leisure and a comfortable life at home. The number of orders for children's goods and goods for hobbies and leisure increased by more than 60%. Basically they order paintings by numbers, puzzles, children's designers, yarn and everything for sewing. They also buy sports goods: bicycles, yoga mats, dumbbells, expanders, tracksuits and sneakers. Demand for these goods increased by 55%, ” Ivan Portnoy lists.
Also, at Prom.ua, the number of orders in the "everything for construction and repair" category almost doubled. Buyers are looking for wallpapers, tool kits, boilers and plumbing. Given the seasonality, the trend is for home and garden products. Ukrainians buy online seedlings of ornamental trees and shrubs, seeds and seedlings, as well as a variety of garden tools. The number of orders in this category of goods increased by 30%.
Moyo.ua says that on their site, companies bought laptops and headsets to ensure remote work for their employees. Those, in turn, equipped the house in a format convenient for a long stay, buying steam cleaners, bread machines and vacuum cleaners. Small business stocked up with large household appliances (refrigerators, freezers) for storing products due to the impossibility of implementation.
In the top of the most soared goods on Moyo.ua are bread machines (+ 500%), Microsoft Windows 10 Pro software (+ 500%), steam cleaners (+ 328%), humidifiers (+ 221%), game consoles and PlayStation games (+ 145%), computer headsets (+ 80%), laptops (+ 25%).
According to Natalia Logvin, Kasta.ua does not lag behind the general trend: the demand for sports goods, household chemicals (sanitizers), books and board games has increased. There was also an increased interest in casual clothing - jeans, t-shirts, windbreakers, paytes.
At the Skidka.ua marketplace, masks (not only sterile) and antiseptic agents showed great growth. “A significant increase was observed in the segment of small appliances. Sales of coffee machines increased unexpectedly: despite the fact that users are sitting at home, habits remained. Sales of household appliances increased: washing machines, refrigerators, electric stoves. There was no such boom in sales even on Black Friday, ” says Ivan Bratus.
And he clarifies, the number of loans has decreased significantly. Perhaps people during the crisis in this way want to keep their savings.
In the top 3 on Bigl.ua there were masks, antiseptics and respirators. After four weeks, the quarantine of orders for these positions becomes less, but there is still demand. “Also, over the month, the number of online purchases of bandanas and buffs has increased 3.5 times, and seeds, seedlings, and tubers of flowers have grown 3 times. Bicycles are ordered 2.5 times more often, and hair dye 2 times. Such a surge in demand is associated both with seasonality and with the closure of offline stores in which Ukrainians are used to buying these goods, ” says Andrei Zdor.
At IZI.ua sanitizers, masks and respirators are also in demand. Even the top 7 included used mobile phones and accessories, children's products, sneakers and sneakers, game consoles.
Shafa.ua is also in the search top - sanitizers and masks. “Also, Ukrainians are eyeing tracksuits, sneakers. Along with this, the top 10 most popular queries, like last spring, include dresses and jackets. An interesting observation: the number of queries “Swimsuit” increased by 62% compared to last week. I think that’s all because users do not lose hope of going on vacation this year and are preparing for this event in advance, ” says Shafa.ua CEO Alexander Roenko.
The leaders in EVA were household goods (+ 344%), household chemicals (+ 30.8%), childcare products (+ 299%) and personal care products (+ 209%).
At Kabanchink.ua, the demand for hairdressers (+ 150%), manicure masters (+98) and couriers (+ 36%) increased the most. The popularity of online tutors jumped 15%. “In connection with the closure of schools, parents are looking for teachers who can give lessons online. Indeed, despite the home quarantine - ZNO has not been canceled, ” Olga Soroka explains.