Digital media has completely changed the way we learn, entertain and socialize. It has forced industries to move away from their rigid and stringent ways and mould themselves according to the information age.

The age of digital media has brought with it a plethora of benefits, namely making shopping a lot more accessible and increasing connectivity. With the invention of social media, people are able to maintain relationships, regardless of living in different geographical locations. Similarly, people can shop for different products from all over the world without being restricted by their location.

Digital media has extensively influenced the e-commerce industry.

During the past few years, the shopping trends began shifting from brick and mortar stores to online. As per e-commerce expert Gary Hoover, over the past 14 years, online businesses have exponentially grown globally, particularly the beauty and fashion industries.

Worldwide eCommerce sales are also expected to grow up to $4.8 trillion by 2021. Regardless of where a customer makes his/her final purchase, customers usually start their purchase journey online. 

They do their research: compare similar products, find alternates and so on. Hence, for companies to have an online presence is absolutely crucial. When companies make user-friendly interfaces and practice complete transparency, they not only make the customer’s experience a lot more pleasant but also increase their chances of retaining that customer.

In Pakistan, e-commerce is still in initial stages, however, since 2018 this market has almost doubled in size. The increase in mobile users and better internet rates and quality, amongst other factors, have all contributed to the growth of e-commerce in Pakistan. Daraz developed Pakistan’s first E-commerce Index (2019) which discussed the online shopping trends seen by Pakistani customers during 2019.

The data suggested that the most e-commerce traffic was seen by Punjab with 55% and Sindh followed with 36%. For the year 2019, the index listed mobiles and tablets, electronics and appliances and fashion as the most popular categories. Due to the increase in e-commerce, by default digital payments also increased. Last year alone, online banking grew by 1.9X, the use of mobile accounts and e-wallets grew by 8.2X and utility of bank cards grew by 1.9X. There is no denying the importance of digital media in the 21st century, however, a question company owners often find themselves wondering is: though people are turning to digital mediums, but are they actually buying? At some point in time, everyone explores options, without the intent of actually buying. People browse both in-store and online (e-browsing).

According to Lan Xia, a professor at Bentley University in Massachusetts, people browse for primarily two reasons- to gather information and for leisure. By window shopping or e-browsing, people are able to collect information, such as prices, brands offering that product or service etc. Furthermore, this activity can also prove to be cathartic and just a source of pure fun and entertainment. When talking about e-browsing it is important to keep two concepts in mind: webrooming and showrooming.

Webrooming is when the customer first visits the company’s website before going to its physical store and showrooming is the opposite. The reason why it is important to keep these terms in mind is that they both add to the customer’s experience and help build the company’s repute and brand name. However, the question still remains whether customers purchase just as much as they browse online. As per, Episerver (2019) 62% of online shoppers do actually buy products online.

Additionally, 26% of online shoppers shop once a week, while 3% claim to shop at least once each day. Though online shopping has opened all kinds of avenues to customers, it has also resulted in customers feeling overwhelmed and confused by all the various options. According to research, 46% of customers do not go through with their online purchases because they become indecisive and confused by looking at all the options at their disposal. Another reason why customers continue browsing online without making an actual purchase is because of the high costs of delivery.

According to a report published by Statistica (2019), 63% of customers abandon their carts because the delivery charges are just too high. Creating an account before making a purchase also causes roughly 23% of people to abandon their carts. Another reason for people not making as any online purchases is also that 30.8% people prefer to see and feel the item in the physical stores before they make the purchase (Google Consumer Survey). By buying in-store as opposed to online, approximately 30% of customers also experience instant gratification. Lastly, privacy concerns and fear of getting scammed also prevent 16.9% of people from shopping online, while 6.5% of people simply prefer buying in-store because returning items is much easier.

Company owners do realize that there is a discrepancy between the browsing rate and purchasing rate on their sites. In order to address this issue, the following steps can be taken. Companies need to streamline the number of options the customers can see and refine their “filter” and “sort” buttons as much as possible so that customers do not feel overwhelmed. Delivery charges also need to reduce, because high transportation costs dishearten shoppers and push them towards shopping in-store. Flooding customers with spam and junk mail should also be avoided. Instead of spamming customers with content that will only annoy them, companies should only contact customers when there is an actual need, for example when deals or sales are taking place. As far as customer privacy is concerned, companies should always give an option of “guest check out” instead of forcing them to create permanent accounts.

Moreover, companies should periodically review their security systems, so that they can ensure the safety of their clients and customers. All the patterns discussed above shed light on a life pre-COVID 19 days. However, during these uncertain times, purchasing behaviours are changing and new patterns and trends are being observed. As far as digital media is concerned, this industry saw a huge growth spurt. In these unprecedented times, more than usual people transitioned towards e-commerce to fulfil all needs, be it grocery shopping, buying medicines etc. As per a recent study in the UK, two in five people will continue to shop online even after everything reopens.

As far as Pakistan is concerned, the Ecommerce index highlights that in March the demand for FMCG products grew immensely and is predicted to continue growing over the following months. Demand for hand sanitizers and other toiletries grew by 18X, while the number of perishable items being ordered also grew by 9X.  

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