Telemedicine and Wholesale Goods Startups are Potential Post-Pandemic
Venture capital players assess changes in market behavior, including startup consumers during the corona pandemic. Digital services such as telemedicine, logistics, and e-commerce grocery stores have increased in demand.
“The sector is still relevant after the pandemic also remains interesting,” Chairman of the Venture Capital Association for the Indonesian Startup (Amvesindo) Jefri R. Sirait told Katadata.co.id, Monday (4/5).
He explained that the market will adjust to new conditions called ‘new normal’. These sectors are considered potential because, in the ‘new normal’ post-pandemic, people will continue their habits during the pandemic.
“We (venture capital) continue to keep updated and follow the pattern of existing trends, as an approach to changing market behavior that can be one of the attractiveness or value of a company,” he said.
Chairperson of the Indonesian E-Commerce Association (idEA) Ignatius Untung said, worry makes people have new or ‘normal normal’ habits. The community will then become accustomed to maintaining their health, such as by consuming fruits, supplements, and traditional ingredients.
For telemedicine, during the pandemic these services were indeed increasingly needed. Consultation with doctors through the application is predicted to be a trend. Moreover, digital-based health services can reach more Indonesians.
However, he warned, not all startups that have high transactions will continue to be used after the pandemic. “What will still be relevant and habitual can only maintain its users as it is today,” he said.
Positive Effects of Pandemic, Consumers & SMEs Become Accustomed to Digital Transactions
The coronavirus pandemic (Covid-19) indirectly has positive side effects on consumer transaction patterns, as well as micro, small and medium enterprises (MSMEs). Minister of Cooperatives and Small and Medium Enterprises (MSME) Teten Masduki revealed the existence of the Covid-19 pandemic made MSMEs more familiar with digital transaction patterns.
He predicts digital transaction patterns will continue to carry over even though the corona pandemic is over later. “Maybe there are still many people who are hesitant to transact via online platforms. However, now more and more consumers are starting to believe and move to shop online to break the chain of the distribution of the coronavirus,” Teten said in Katadata Webinar Series: Digital Platform X UMKM Overcome the Scarcity of PPE, Tuesday (5/5).
The shift in shopping trends to digital platforms is mainly due to the drastically reduced mobility of people, the impact of social distancing calls from the government, and the application of Large-Scale Social Restrictions (PSBB) to break the chain of the spread of the coronavirus.
The government has also encouraged MSMEs to make adjustments, aka ‘swerving’ their business lines, to match market demand amid this pandemic. For example, textile SMEs began to produce fabric masks and food stall entrepreneurs until small restaurants began providing online delivery services.
Online Groceries Shopping Transactions Increases by 350%
This changing shopping trend has made staple sales online up 350% during the Corona pandemic. Sales of herbal foods and beverages, games, and equipment for sports also increased sales. The number of seller partner accounts on e-commerce platforms has also increased since the pandemic.
In line with Teten, East Ventures Partner Melisa Irene said, the company predicts there will be a trend of shifting transaction patterns, from offline to online. He considered, currently the startup that was acquired by East Ventures also saw the positive side effects of this pandemic.
The positive side effect of the Covid-19 pandemic for the digital ecosystem is that more consumers are shopping for fast-moving aliases with large needs and tertiary categories online.
“Hopefully, when our economy recovers, we will see changes in consumer behavior like that,” Melisa said.
He is optimistic, digitization or the use of technology currently carried out by consumers during the pandemic will become a habit that continues. Not only as an alternative but incarnated as the main channel for transactions.