Forecasting change in Thailand for COVID-19

by | Apr 30, 2020 | Covid-19, Uncategorized

Forecasting change in Thailand for COVID-19

by | Apr 30, 2020 | Covid-19, Uncategorized

COVID-19 changes everything. One of the inevitable changes is the change in digital technology. Due to the fact that in the current situation, people barely go outside but people still need food. What could have been changing is that there will be more demand for food delivery service. Datareportal (2020) reported that there was a 22% E-commerce growth increase in food and personal care from year 2018 to 2019. What we expect for the future is that at the end of 2020, there will be double for this category. Even though the results have not been yet confirmed, observing people’s behavior on ordering food online could create an assumption that by the end of 2020, there possibly be an increase in food e-commerce.

From searching for the penetration of online food delivery statistics. One example would be GrabFood. Electronic Transactions Development Agency (2020) has conducted a research on online food delivery of Thai people from March 5th to March 15th, 2020 particularly focus on how COVID-19 affected Thai order delivery food’s behaviors. Out of 376 responses, more than 85% of the responses order food online. The user uses the platform/App Food Delivery in order to order online food at 88.47%. 80.37% order online food due to the laziness to go and buy. 57% did not want to queue. Surprisingly, 34% ordered the food due to the fear of COVID-19. Gen Y group age from 19-28 years old is the most online platform users at 51.09%.

Another expectation would be more advancement in online communication platforms. An example of the use in education- zoom or any video conference must have been increasing. It is not very surprising since everyone has to do almost everything remotely; the communication platform would suddenly become famous as now all classes are shifted to online. Using zoom or canvas would be excellent options replacing from offline to online and can still function as if we are sitting together at the same place. However, Zoom is not very popular in Thailand right now, but Zoom’s worldwide usage has dramatically increased during February and March. Also, on March23rd, there was a report on the failure in zoom. The users can not access to zoom since 9.00 am, however, it has not yet been clarified on why zoom stopped functioning, but there is a possibility that many users have been using zoom as a platform to communicate (Zoom ล่มทั่วโลก! แอปฯวิดีโอคอลยังไม่เผยสาเหตุหยุดทำงาน, 2020).

Microtransaction usage will be expected to be used a lot more in Thai people daily life, Now that most of the people are still at their home and the usage of food delivery is increasing every day. People will need microtransactions to make payment of their daily expenses, and also people are afraid the risk of the virus is carried by banknotes and coins. For example, Grab, and KFC even ban their delivery employees from accepting banknotes and coins to avoid and reduce the risk of COVID-19 virus which they call Contactless delivery, and the customer can only choose to pay by microtransaction service.  

Electronic Transactions Development Agency (ETDA) also encourages people to start an online business and online opportunities by using platforms like Shopee and Lazada during the COVID-19 crisis. As those platforms have usage increase up to 478.6% for shopee and 121.5% for Lazada (สพธอ.), 2020). 

Also, some companies might develop or create new lines of production to adapt to the COVID-19 situation. As if their old ways of doing business, they might not be able to survive the crisis. For example, Sizzler is a restaurant chain that is known for streak, salad and seafood and they have a lot of branches around Thailand. Now they have to sell Donburi which is Japanese rich meal for delivery. The reason that they started to sell Donburi could be that Japanese is very popular in Thailand and Sizzler wants to increase their sales as much as possible. This shows that many companies might come up with something new that they never did before, So we could expect to see some new innovation develop during this crisis.

References

(สพธอ.), ส., 2020. ETDA เผย คน Gen -Y สั่งอาหารออนไลน์มากสุด และกว่า 40% สั่งเพราะหวั่นโควิด-19 – สพธอ.. [online] Etda.or.th. Available at: <https://www.etda.or.th/content/online-food-delivery-survey-during-the-prevention-of-covid-19.html> [Accessed 23 March 2020].

(สพธอ.), ส. (2020). ETDA แนะพลิกวิกฤตให้เป็นโอกาส ขายของออนไลน์อยู่บ้านนั่งนับเงิน ช่วงโควิด-19 – สพธอ. Retrieved 8 April 2020, from https://www.etda.or.th/content/covid-19-creates-online-opportunities.html

 

DataReportal – Global Digital Insights. 2020. Digital 2020: Thailand — Datareportal – Global Digital Insights. [online] Available at: <https://datareportal.com/reports/digital-2020-thailand> [Accessed 21 March 2020].

Mgronline.com. 2020. Zoom ล่มทั่วโลก! แอปฯวิดีโอคอลยังไม่เผยสาเหตุหยุดทำงาน. [online] Available at: <https://mgronline.com/cyberbiz/detail/9630000029401> [Accessed 24 March 2020].

Zoom Usage Statistics. (2020). Retrieved 25 March 2020, from https://trends.builtwith.com/media/Zoom

 

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