Online sales of essentials surge in India

With COVID-19 cases rising again across India and states introducing curbs in an attempt to slow its spread, online sales of daily essentials have surged in the past week. 

What’s happening

• Sales have increased by 10-15% across categories, the Economic Times reports, as shop opening hours are reduced and people remain indoors while a third wave of the coronavirus sweeps the country. Some consumers may also be stockpiling as the current wave may not peak for some weeks yet.

• Sales of packaged food and hygiene products have more than doubled over the last week, according to online grocery platform Blinkit, while sales of N95 masks have increased fivefold.
• Online sales of chocolate and soft drinks have doubled, manufacturers report.

Context

Sales through modern trade channels will take a hit as some consumers revert to e-commerce. Quick commerce brands like Blinkit, which promises to deliver in under ten minutes, have grown rapidly during 2021 and observers believe that the promise of fast delivery may now spread to other categories. Social commerce is another fast-growing area, with a recent report from Accenture finding that nearly eight out of ten social media users in India make purchases via this channel.