Quick Commerce

Quick Commerce

Quick Commerce: Are You Aware of Your Product Availability?

Product availability is the key issue for brands looking to expand their presence across face fast-paced Quick-commerce landscape. As more funding coming in Q-com platforms are getting over the issues that hindered their progress so far. With the expansion of new categories that cater to the last-minute needs of shoppers, quick commerce platforms are expanding their horizons.  As more and more brands are turning towards quick commerce platforms around the world, they also need to measure and monitor performance across platforms and geographies. Let’s dive deeper and assess the core issues that brands face on quick commerce platforms and how they can overcome such challenges and boost efficiency across platforms. Different Quick Commerce Platforms Pose Different Challenges Every platform on quick commerce or e-commerce platform has its own set of challenges with different requirements and regulations for brands to optimize product pages and boost their share of search. Here are some of the key challenges that are roadblocks to brands success. 1. Optimizing Product Page Across Quick Commerce Platforms On e-commerce platforms like Amazon and Flipkart perfect page analysis is key for brands to understand what’s working on one platform and not working on the other or vice-versa. eCommerce Competitive analysis at the platform level helps enhance performance on the platform. This means keeping up with the content optimization requirements in the title and description across platforms. However, this approach needs to vary based on the platform. On Quick Commerce platforms optimizing the title became critical along with product images with key ingredient details on them as most q-com platforms do not have detailed product pages. 2. Tracking Product Availability in Real-Time Across Quick Commerce Platforms When a product goes out-of-stock brands for sure lose out to competition as quick commerce users seek rapid fulfilment of their requirements. For example, if a shopper is looking for 5 kg Atta (Flour) and our brand is not available the brand the person generally uses or knows about, the person will simply switch to the next best option and maybe stick to that choice next time. So, the brand not only loses a loyal customer but also loses the shopper’s trust in their brand. This is a very common shopper behavior on quick commerce platforms. The purchase decisions are made really quickly based on the best available products along with product pricing and offers. Another such case is availability across platforms, a shopper looking for a specific product of the brand might search on multiple platforms as well. This means brands must monitor their presence across platforms at the pin-code level and on the platform’s dark stores. Case Study – How a Beverage Giant Optimized Product Availability Across Q-Com Platforms A global leader in the beverage industry, in optimizing their performance across platforms and geographies with the Digital Shelf tracker to monitor their products across Africa, the Middle East, and South Asia (AMESA). In mainly focused on enhancing its market presence by monitoring availability which include Brand Availability Trends Availability share versus competition City-Wise Availability Trends – monthly, weekly, daily, and hourly Platform-wise & geography-wise analysis Heat map to identify new geography to target Tracking Bottlers (Sellers) performance Maintaining Out-of-Stock product lists & real-time alerts In October 2023 in the KSA region, product availability on platforms like Quick Market, Carrefour, and Nana stood at 28%, 57%, and 86%, respectively. However, after comprehensive real-time of monitoring stock availability, they were able to identify the gaps and by the end of November, it improved significantly across platforms, soaring to 51%, 100%, and 94% for Quick Market, Carrefour, and Nana, respectively which enhanced their presence across platforms and bolstered their brand reputation. This significant accomplishment was made possible through a data-driven strategic approach of identifying gaps, implementing real-time monitoring of in-stock and out-of-stock products across platforms, and meticulously tracking the performance of bottlers (sellers) across diverse regions. Final Thoughts When products go out of stock it puts every effort that the brand has made to mark their presence on the quick commerce platform to a standstill. The competition is fierce on quick commerce platforms, and the shoppers’ purchase decisions are swift. Brands need to be on their toes and identify new geographies where competition is available, and they are not and where competition is facing stock-outs to score on every opportunity to become the top choice of the shoppers. Get in touch with our experts for deeper insights. Reach out to learn more!

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E-commerce 2024

E-commerce 2024 – Vision for the Future

To expect the unexpected thoroughly shows the modern intellect”. These words of Oscar Wilde feel so apt for the post-pandemic world of e-commerce. The ecosystem picked up pace in most unexpected times and pushed the boundaries and expectations beyond what anyone could prepare for. But as the dust settled the brands and platforms are now in an intense race to go beyond just providing convenience and quality. It is about optimizing customer experience and taking efficiency to the next level. 23%–25% year on year growth is expected in India’s e-retail market. By 2028, it will reach over $160 billion USD. (Source: Bain & Co. Report) 2024 is going to be the year where brands and platforms need to efficiently predict what customers need and match the pace of evolving digital commerce ecosystem. E-Commerce vision for the future – Next level customer experience The AI/ML is changing the world as we know it with rapid pace. Brands need swift actions and platforms need wider expansions as customer behavior and needs for enriched experience are evolving. Even the world biggest e-commerce marketplace is pushing it to extend its reach with launch of new features that engage customers like recently launched AI-Generated Review Highlights. It’s a short paragraph featuring most frequently mentioned product feature across written review highlighted on product detail page. Such value to customer sentiments build trust among the new shoppers and leave positive impression. It helps shoppers purchase decision and confidently navigate. It also eases the review submission process and help combat fake reviews. In last decade, Digital native brands selling online-first make up two-thirds of sales among top 10 global e-retailers. (Source: Bain & Co. Report) In past years platforms introduced several innovations some of them specific to the Indian market. This includes features like voice search, product video, and shopping interface in regional language, which helped double the users and its usage year-on-year (YoY). To elevate the shopping experience more platforms are moving towards emerging tools such as augmented reality (AR) and AI-driven solutions in 2024 allowing customers to virtually place products in real-world settings. Pushing for initiatives such as integrated live streaming, live promotions, product highlighting, and utilizing chat features for ease in shopping and handling grievances is making the shopping experience more interactive and engaging. Influencers bring in new shoppers and new revenue streams. Live streams by influencers covering domains like fashion, lifestyle, tech, gaming, home decor, beauty, and sports are new ways to advertise products and platforms. Various marketplace and D2C brands running an Influencer Program to monetize their content and open new shopping avenues. Platforms like TikTok and Instagram are turning into new e-commerce shops bringing extensive reach to shopping platforms. Challenges for Brands and platforms in 2024 The major challenge for brands in 2024 is staying ahead of the competition and exploring new markets. The competition across e-commerce and quick commerce landscape has always been intense but now it’s fiercer than ever. Shoppers now look to explore more options and strive for products that suit their lifestyle choices. Brands that have a wide presence in the physical retail space now moving online for not just sales but visibility in the digital landscape. D2C brands which have their own set of niche audiences are now pushing for online marketplaces to expand to new shoppers. The number of SKUs that need to be monitored has risen as multiple competitors are present across categories, sub-categories, geographies, platforms, and product variants. Real-time monitoring and ecommerce competitive analysis lead to better decision-making and more decisive strategies that help, understand competition, market trends, and customer behavior. Brands monitoring their products on multiple e-commerce quick commerce and e-commerce platforms and adhering to the platform guidelines to optimize performance is key to having as successful 2024. 1 out 3 shoppers are now Gen Z and Tier 2+ cities are dominating the market with 7 out of 10 online shoppers (Source: Bain & Co. Report) For platforms, the major challenge is optimizing efficiencies and enriching the customer experience. With multiple shopping options available across geographies, it is important for platforms to provide a customer experience that makes shoppers prefer their platforms. Quick commerce platforms are not just challenging the e-commerce platforms but also making their own space among shoppers. Quick commerce platforms are got wider acceptance in 2023 and looking to expand more inventory as they move into 2024 with rising presence and demand in tier-2 cities. Swift delivery and an expanding range of product categories have made them the talk of the town for the last-minute needs be it a party, festive celebration, or daily needs. The Final Thought Adapt, learn and keep moving forward. The world of digital shopping is evolving, customer choices and preferences are evolving with individuals looking for products that suits their lifestyle needs. Brands need to keep up with the trends and stay in tune with market dynamics with competitive analytics that provide real-time data and actionable insights that can help shape brands marketing efforts and data-driven decision making. 2024 is going to be a year of evolution where data and tech will drive efficiencies and take customer experience to the next level. What brand need is a digital commerce intelligence companion in 2024 to lead their ways. Get in touch with our experts for deeper insights. Reach out to learn more!

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Middle East eCommerce

Middle East eCommerce: The Expanding Market with Massive Purchase Potential

The digital transformation of the region is nothing less than an Arabian knight tale. The expanding landscape and diverse eCommerce ecosystem are all set to lead the global eCommerce world. Countries like Saudi Arabia, United Arab Emirates, Kuwait, Qatar, and Bahrain are the key markets that make up the core of the region.   But what does it take to be a hero in this expanding e-commerce landscape?   In simple terms – Know your competitor, stay on top of the market dynamics & trends, and tap the pulse of Middle Eastern shoppers.   As the story unfolds it requires a deeper understanding of the Middle East e-commerce landscape. So, let’s dive deeper to understand how business can drive brands in this digital ecosystem.   Middle East eCommerce – Explore, Identify and Don’t miss out on opportunities The Middle East region holds a special position in the global eCommerce ecosystem with rapid advancement in technology, the adoption rate of eCommerce, evolving and maturing consumer behavior, and internet penetration beyond tier-1 cities in the region leading market expansion and economic growth.   Digital Expansion Post-pandemic the global eCommerce market has experienced growth beyond traditional retail channels driven by an expanding number of digital shoppers. The global market is expected to touch USD 6.35 trillion by 2027*. The proliferation of smartphones, high-speed internet connectivity, and the convenience of online shopping are the key contributors to the global eCommerce upswing.   The region has risen above the challenges like the limited payment options with the adoption of swift payment options like direct carrier billing. The lack of trust in online retailers, and a preference for in-store shopping were also key challenges but the rise of online purchases and quality services by global brands has built brand trust across platforms in the Middle East digital ecosystem. Such improvement in infrastructure propels digital expansion.   According to the Mordor Intelligence report, the size of the MENA region’s ecommerce market will almost double by 2028 compared to 2023. The expected CAGR is 11.5%, and with the MENA countries’ combined GDP of US$3.9 trillion, the region shows potential for fast growth in the ecommerce market. Evolving Consumer Behavior   The Middle East has taken center stage in the global eCommerce market with massive room for expansion as several countries in the region and tier-2 cities of the most active countries are exploring the prospects of online shopping with higher access to technology and internet penetration. The support from the governments is helping the region overcome major challenges like lack of trust in online retailers, preference for in-store shopping, and limited payment options.   A notable shift in consumer has triggered post-pandemic as shoppers turned to e-commerce platforms for daily needs, electronics, and other essential goods. Convenience, product choices, and competitive marketplaces have opened new opportunities for shoppers. The market presents exciting opportunities for international brands venturing into the market along with opportunities to target expatriate populations with brands they are familiar with. The Middle Eastern young and tech-savvy population presents a vast consumer base for e-commerce expansion.  The young and tech-savvy shopping population with rising disposable income is making up a large consumer base and the market is expected to touch base with USD 50 billion by 2025. *  *Source: Deloitte | A Middle East Point of View – Summer 2023 Not just the Middle East but the entire MENA region is experiencing a massive surge in e-commerce across categories. The key drivers of this growth are rising internet penetration, rising consumer demand for value and convenience, and extensive reach of e-commerce and quick commerce intelligence platforms.  The region under the Gulf Cooperation Council (GCC) and MENA countries like the UAE, Saudi Arabia, Egypt, and African countries has grown exponentially post-pandemic.   Platform Revenue Amazon.ae US$520.1m  Trendyol US$3,215.7m Ounass.ae US$15.3m  Noon US$251.7m  Amazon.sa US$126.1m  Souq.com US$82.4m  Basharacare.com US$6.6m Mumzworld US$67.5m  Fig 01: The top revenue-generating eCommerce platforms in the Middle East region |Source: Vitro Commerce (This will be illustrated as a chart)   Middle East eCommerce Trends Growth Across Categories The shopping patterns across eCommerce platforms are different across digital ecosystems same stands for the Middle East but the core difference is the purchase potential and inclination towards online shopping.   A Blend of local brands and global names Even the biggest name in the retail market sells their product with local packaging using local language and push variants that cater to the local Flavors and cultural preferences.   Adoption of Digital Payments Digital payments are one of the core challenges in the Middle East region. The rise of Direct Carrier Billing (DCB) for swift transactions along with mobile wallets is building a payment ecosystem that encourages online hopping with integration on various marketplaces.   Focus on enhancing customer experience The need for convenience is the utmost need of the shoppers. With the rise of value-first shoppers across digital ecosystems, brands focus on providing seamless customer journeys.   Rise of Quick Commerce The expansion of the digital ecosystem demands swift delivery. The same-day delivery need has led to the rise of Quick commerce intelligence platforms in the Middle East region.   eCommerce Future in Middle East The future of e-commerce heavily relies on well-connected, digitally savvy audiences. And the MENA region has it all! Retail penetration in the region is now around 11–12% and keeps growing. Over 80% of buyers use mobile devices, and 70% of them use social media to reach the seller.   eCommerce in the Middle East statistics and trends show that Internet penetration is close to 100%, and 80% of users already buy through the internet. This is a great target audience of potential buyers for new sellers. In general, 85% of all buyers are tech-savvy and accept paying digitally.   The population’s growing buying capabilities and the building of new e-commerce initiatives by governments suggest the MENA region has a promising and thriving e-commerce future ahead of it. This makes it perfect for those who are looking for a place to start their e-commerce business.   Final thoughts The opportunities in the MENA region are unmatched. The wide variation in product categories and high purchase

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Quick Commerce

Woes in Quick Commerce: How to Optimize Your Product listings

The rising wave of quick commerce is leading spoiling customers of choices – now the 15 minutes delivery needs are expanding across segments. The quick commerce ecosystem works differently than eCommerce marketplaces where customers spend more time in product consideration & evaluation. Here promos, availability, product bundling & combos, enticing offers on banners what attract shoppers. Here we are going to explore what makes tracking quick commerce performance for brand so essential. The challenges and what they need to catch the pace of quick commerce platform. Hot spot for Last-Minute Needs Quick commerce platforms target the daily needs of shoppers and entice shoppers to turn small ticket purchases into large volume with impulse purchases. It bundles products or categorizes them as per the needs of shoppers like party needs, puja or festive needs, daily groceries, or anything that you need at the last minute. It starts with adding just one item that you need to your cart but ends up adding more items in related categories into the cart.  This turns the low-ticket purchases into a larger shopping bag. It’s more like your neighbourhood grocery store but with product categories and products variants.  Quick Commerce platforms sell at micro level with dark stores. The demand from one region varies from the other that makes availability, product categorizing and product bundling key or brands to monitor. The quick commerce sector in India currently has a market size of $700 million and is likely to grow 8 times to reach a $5.5 billion market value by 2025. The addressable market of this industry is projected to be around $60 billion. | Source: ET Retail The challenges brands face on Quick Commerce platforms   Optimizing Quick commerce Product Listings: The listing on Quick commerce needs to be tagged into to specific categories where shoppers look for with accurate category tag- listings. As quick commerce products do not have extensive product description – brands need to comply with platform-specific guidelines to show the various images of the packet with ingredient details on it. Mastering Pricing Analysis in Quick Commerce: Another core challenge for brands is setting the price and promotional offers This requires apt bundling of the products under the same category. For example, a detergent power paired with 2 soap bars or stain remover liquid. But the catch here is the resellers bundle their product without brands being aware of and damaging brand reputation and product worth. Efficiency of Q-com Banner: Brand must be aware of what shoppers are looking for and ensure that is promoted on the brands ad banner theme for example during Raksha Bandhan a top chocolate brand offering celebration offer and offering high promotional offers during the peak hours of the festive season. Brands must be aware of ad traffic but also the performance and compliance of the banner ad with notification on if it is running on slotted time, visibility of banner, theme and keywords on the banners. How Digital commerce intelligence on quick commerce platforms will lead the way Quick commerce platforms have taken the retail industry by storm, revolutionizing the way consumers shop for everyday goods. Brands are realizing the immense potential in this space and are actively looking to optimize every step of the customer journey. Brands need to optimize very step of customer journey across quick commerce platforms to edge ahead. Real-Time Stock Availability Alerts One of the crucial aspects of quick commerce is ensuring that products are available when customers want them. Real-time stock availability alerts can help brands keep track of inventory levels across various outlets. When an item goes out of stock, the system can instantly trigger alerts to replenish the inventory. This ensures that customers are not disappointed due to stockouts, enhancing their overall shopping experience. Enhance Share of Search with Title Keywords In the digital realm, visibility is key. Brands must optimize their product listings with relevant title keywords to improve their share of search. When customers search for products, having the right keywords in product titles can boost your products’ chances of being discovered. Digital commerce intelligence tools can help identify the most relevant and high-impact keywords for your products, increasing your visibility on quick commerce platforms. Optimize Banner Performance Banners play a significant role in attracting and engaging customers on quick commerce platforms. Brands should continuously optimize banner performance by focusing on images, themes, and keywords. Digital commerce intelligence tools can provide insights into which banners are performing well and which need improvement. By analysing customer interactions and click-through rates, brands can fine-tune their banners to drive more conversions. Track Pricing & Promo Trends Pricing and promotions are crucial factors that influence customer buying decisions. Brands must closely monitor pricing and discount trends in the quick commerce space. Digital commerce intelligence can help track competitor pricing strategies and identify opportunities to offer competitive prices or attractive promotions. Staying ahead of pricing trends can give brands a significant advantage in the market. Opportunities in Quick commerce What seems like a turbulent time for Indian Quick commerce platforms turned upside down with hefty investment into Zepto and it became the first unicorn of 2023. Zepto, a grocery delivery company, secured a massive $200 million in fresh funds and were valued at a whopping $1.4 billion. On the other hand, Q1 FY24 of Zomato-owned Blink It made 384 crore revenue over 2140 Crore Gross Order Value with reduced EBITDA for the quarter. The platforms are looking to be innovative and investing in dark stores with more focus on swift delivery and a larger assortment. This is the perfect time for brands to focus on Quick commerce and overcome the optimization hurdles with digital commerce intelligence. Final Thoughts Quick commerce is reshaping the way consumers shop, and brands need to adapt to this evolving landscape. The competition across quick commerce platforms is growing with more choices for the shoppers across categories. The competitive landscape requires swift monitoring of product performances versus competition and data-driven decision strategies. By keeping track of stock availability, enhancing share of search, optimizing banner performance, and

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