Why regional e-commerce companies must prioritise sustainability

Why regional e-commerce companies must prioritise sustainability

While the Covid-19 pandemic may have propelled the growth of the e-commerce sector, a shift in shopper preferences and the convenience the segment offers indicate that it will continue to boom even after the outbreak recedes in the future.

The surge in e-commerce has also transformed the concept of urban delivery, last-mile, and associated technologies. Demand for last-mile delivery is increasing and is expected to grow by 78 per cent globally by 2030, according to a World Economic Forum (WEF) report.

However, this trend in its current format - and with expected forecasts - appears unsustainable as the growing consumer base and purchasing power will have adverse environmental implications on a broader scale. Rising demand for online shopping and time-definite deliveries is expected to weigh heavily on sustainability as urban density, air pollution and traffic congestion scale.

"To satisfy customers' ever-rising desire to buy products online, without any intervention, the number of delivery vehicles in the top 100 cities globally will increase by 36 per cent until 2030. Consequently, emissions from delivery traffic will increase by 32 per cent and congestion will rise by over 21 per cent,“ the WEF report reads.

"Rapid urbanisation, increased number of online customers, product availability, rise in