We started to see a bit of normality settle in May. Businesses opened at half capacity, citizens were getting some fresh air while practicing social distancing, and some people went back to work. The one thing that didn’t change was online shopping. For the past few months, there’s been a significant increase in ecommerce activity. While some shoppers head to their favorite brick-and-mortar stores, the larger population continues to buy online.
This month proves that while we may be heading in a “normal” direction, the way products are bought and sold is far from it. Industry leaders are constantly adjusting their business strategies, like the introduction of Facebook Shop, a new partnership between FedEx and Microsoft, and even the cancellation of Jet.com! Ecomdash brings you the latest changes in the ecommerce world and how it affects online sellers like you.
Social Media Giant, Facebook, Launches New Ecommerce Store
Facebook recently launched their Shop feature, allowing online sellers to create their own branded site. Its new tool makes it easier for businesses to sell on the world’s largest social media platform and give consumers the “joy of shopping versus the chore of buying.” In an industry that’s evolving every day, Facebook is setting a social commerce precedent for every social media platform. Facebook Sellers of all levels can connect with even more consumers when they create a personal Facebook Shop.
FedEx and Microsoft Fulfillment Partnership
Smaller companies aren’t the only ones feeling pressured by Amazon to improve their business model. With FedEx’s extensive logistic network and Microsoft’s cloud computing, the two hope to compete with the efficiency that Amazon brings to the ecommerce world. So what brought these two giants together? Well, Amazon is continuing to expand their own delivery network and might drop third-party carriers like FedEx.
Walmart’s Jet.com Is No Longer Flying High
Walmart, who acquired Jet.com back in 2016, is grounding the overnight ecommerce sensation. Using Jet’s resources to improve its own ecommerce functionality, Walmart let the online marketplace slowly fade away. Luckily, there are still many online platforms you can start selling on today!
Companies Can Apply For PPP Loan Forgiveness
The previous controversy surrounding SBA’s stimulus loan for entrepreneurs has a silver lining. While larger companies were applying for assistance, smaller businesses were being left out of receiving the aid they needed to stay afloat. The government has stated that entrepreneurs who allotted 75% of their Paycheck Protection Program loan to wages/payroll are eligible for forgiveness. Those who don’t meet the requirements must pay back the amount given in 2 years at a rate of 1%.
Shopify’s New POS Feature Brings People Closer
Shopify has improved the way online merchants use point-of-sale systems during the recent pandemic. Shopify POS bridges the gap between online selling and in-person sales, which is especially useful for those businesses slowly reopening. Merchants can manage their orders, products, and payments, both online and off, all while following their current business strategy. For example, sellers providing curbside pickup/checkout can integrate their system with sales from their ecommerce store.
Walmart Ecommerce Explosive First Quarter
It’s no surprise that the world’s largest online marketplaces like Walmart are thriving in the current situation. But what are the actual numbers? Walmart recently shared their 1st quarter stats, earning about $134.62 billion in revenue. The bulk of that was from ecommerce sales which grew by a whopping 74%. This proves just how important having a reliable online store is for merchants around the world.
It’s nice to see stores opening back up and people going back to work, but that doesn’t mean ecommerce is going to start losing traffic. While some areas are lifting stay-at-home orders, a large majority of people don’t feel comfortable reverting to their normal routine. Instead, companies are developing new ways to make interactions safe. POS systems allow for omnichannel management, social media platforms are becoming online stores, and shipping carriers are joining hands with tech giants. Are you making changes to your ecommerce strategy? If so, let us know!