E-commerce platforms have seen a notable surge in demand for essential items such as groceries as consumers increasingly value the convenience of shopping from the comfort of their home and avoid going out during heatwave conditions. . This increased demand for shipping is also increasing the need for additional headcount across e-commerce and quick commerce companies, according to a study. economic times report.
Demand trends and forecasts
Industry experts say e-commerce operators, including QuickCommerce platforms, delivered 1.2 million to 1.5 million deliveries per day in the past month, compared to the same period last year. The number has increased to over 2 million.
TeamLease Services, a prominent staffing services provider, says this surge will create a demand for approximately 10,000 additional operations personnel at these platforms' dark stores or distribution centers, and an additional 30,000 to facilitate order delivery. We predict that we may need a biker in person.
Ujjwal Chaudhry, a partner at consulting firm Redseer, said there was a significant increase in quick commerce orders in the first few weeks of May, especially in the National Capital Region (NCR). “Delhi-NCR region has shown almost twice the growth compared to the overall metropolitan growth,” he said.
The surge is largely due to the ongoing heat wave, which has kept people from going out to shop.
summer shopping trends
Executives at staffing and e-commerce companies also note that consumers are increasingly ordering ice cream and drinks online, along with groceries.
“Grocery delivery has a bigger demand for bikers than restaurant delivery,” said Kartik Narayan, chief executive officer of staffing at Teamlease Services. As temperatures rise and demand for products such as ice cream and cold drinks increases, the demand for workers in both dark store and delivery jobs has increased significantly.
Additionally, Amazon saw a notable spike in demand for ice cream and dairy products on its grocery delivery platform, AmazonFresh, this summer: Srikant Sree Ram, director of AmazonFresh, said the company saw a 43% year-over-year increase in unit sales in each category, a 20% increase in ice cream shoppers, and a 33% surge in those buying dairy and dairy-alternative drinks.
Jayen Mehta, Managing Director, Amul, said there was a significant increase in sales through e-commerce and quick commerce channels compared to last year, with an overall increase of 40% in ice cream sales across various retail channels. Ta.
E-commerce support and sales trends
Executives across the industry have noted a surge in demand for summer-bound categories such as ice cream, curd and beverages.
Manish Bhandrish, Managing Director, Mother Dairy, said, “With the peak of summer in most parts of the country, we are seeing a significant surge in demand for our portfolio of ice creams, curds, beverages, etc. across key markets. I'm seeing it happening,” he said. In ice cream alone, he has recorded an increase of more than 20 percent compared to the same period last year. ”
Demand for delivery and warehouse staff has surged 20% compared to last summer. Companies have adapted by revising incentive policies and improving working conditions for gig workers to mitigate the challenges posed by the scorching weather.
Recognizing the challenges delivery partners face in these unprecedented circumstances, e-commerce companies say they are offering support. For example, Swiggy has set up more than 300 of his zones in high-demand areas, allowing delivery personnel to rest or have a snack in a shaded area. Similarly, Zomato has set up 450 rest points across cities and plans to expand this to over 4,000 by June. Meanwhile, Brinkit stocked up on essential beverages in its stores and quickly installed coolers to provide relief from the heat.
As temperatures continue to rise and summer has not yet reached its peak, meeting growing demand remains a challenge for e-commerce companies and their delivery partners.
First published: May 22, 2024 | 12:30pm IST