Tuesday, August 4, 2020

Opportunities in the e-commerce sector as the base in Sri Lanka is increasing by 245 percent


"The COVID-19 lockdown has changed Sri Lankan customer habits as has the rest of the world," said Dr Rohantha Athukorala, Clootrack Sri Lanka, Maldives and Pakistan Country Leader, addressing the Metropolitan Rotary Club at The Hilton. Citing Kantar Sri Lanka's post-lockdown research study, the insight is that the e-consumer basket in Sri Lanka has increased from an $11 to $38. This lead was driven by e-payment, e-banking, online medical consultation and e-sports, which we see in Sri Lanka as the new lifestyle.

The underlying reason means the e-commerce eco-systems will have a significant post-COVID-19 change, and according to him, the private sector will have to change its business model.

"We also hear of a second wave of the deadly COVID-19 virus in China and Chennai, and clusters are also appearing in Sri Lanka, which means we have to prepare for a second wave," said Dr Athukorala.

Dr Athukorala also directs the COVID-19 Spread Rotary Stop for Sri Lanka.

"The decent news is that over two hundred firms are in the procedure of being approved by the Sri Lankan Standards Institute for a 'COVID-19 Control Environment' qualification, which means that the companies are putting up protections for a possible second wave that is cautious decision-making.

"Businesses like Akbar Brothers have gone on to place the company as the primary tea company globally certified as a 'COVID-19 Control Environment, which means that we in Sri Lanka are taking the high ground internationally, in a wise manner," opined Athukorala.

As the previous Chairman of Sri Lanka Export's Development Board and Sri Lanka Tourism, Dr Athukorala possesses the domain knowledge to back up that statement.

Recently, Anantaya Resorts and Spa announced to the world, that it is the first global hotel property to receive the 'COVID-19 Control Environment' certification that puts Sri Lanka on the global media.

The speaker went on to disclose the findings of the analysis of LMRB/Kantar. The results revealed that 13 per cent tried online education in Sri Lanka, 12 per cent tried live broadcasting via mobile media, 9 per cent tried online shopping, 8 per cent tried online shopping, 7 per cent paid their bills using smartphones. It also revealed a dramatic shift where 7 per cent conducted online religious activities.

"This is the current reality, and we in Sri Lanka need to improve based on this hard data so that we remain engaged with the Sri Lankan household," he said. Under the leadership of eminent business personality, Ruwan Jinasena, Metropolitan's Rotary Club is driving a critical project under the COVID-19 plan ‘Stop the Spread’, to certify the 'Tuk-tuk' community in Sri Lanka's urban markets, which is another first for Sri Lanka.

OSL Take: Sri Lanka showcases tremendous growth potential in the e-commerce arena, adding to an already diverse eco-system. There is growing interest in investment coming from many sources to Sri Lanka, and with a sustained support system, the Sri Lankan e-commerce will be able to compete internationally. Sri Lanka is currently engaged in a programme to transform the country into an e-economy. The government of Sri Lanka has introduced many programmes and provided many incentives to businesses involved in ICT to help develop the country's ICT and digital infrastructure sectors. All this has resulted in the expansion of business/investment opportunities in Sri Lanka's ICT and digital infrastructure sectors.

VBS/AT/04082020/Z_TB3

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