Hello people! Hope everything is fine at your end and also that our blogs are proving helpful in every way.
Due to this pandemic we all suffered a lot and since 4 months we are living a life that we are not used to, we all are restricted to our houses and maintaining social distancing to keep ourselves and our loved ones safe. These turn of events had been really unexpected and had a huge impact on not only our daily lives but on the world market and retail industry as well.
Our daily guilty pleasures such as trips to malls, coffee dates, dining at restaurants; all came to a sudden end. Similarly our shopping habits changed from luxury shopping to necessity shopping due to which the retail market fell head first. In the beginning because of the growth of digital market, the retail industry suffered some loss, but this Corona virus crisis can turn the tables entirely against the retail sector across the world.
With the start of another pandemic these practices were stopped entirely pushing the retail sector into a state of loss. On the other hand people started preferring online market over the retail market as it does not involve contact with any person who can transmit virus making it a safer and easily accessible medium. These preventive measures were enforced by the government to avoid the widespread of the virus. While there are some predictions that it will take a long time for the retail sector to return to normal, let’s understand how in-store experience is going to change post covid-19.
Firstly in-store facilities according to Collins dictionary refers to the facilities that are available within a departmental store, supermarket or other large shop. The retail sector is a big part of these in-store shopping markets, it includes all resale activities of new and used goods mainly to the general public for personal or household consumption.
• Effect On Retail Sector:
The measures aimed at slowing the Corona virus pandemic taken over the past few months have directly affected the supply, demand and daily operations of the retail sector. The effect of these is going to make a bigger impact on the retail market as compared to malls. In the near future several categories of the retail sector may run into severe supply issues and stock out.
• Customer Behavior:
Before going into the indefinite lock down people stacked up all the essential items required. However, this isn’t uniform which is to say not all essential items will see the same sales pattern in the future, some may witness spiry in sales while others could witness lower sales.
• Effect On Mass Merchandise Stores:
These include supermarkets and hypermarkets which might see slower impact because of the tag of selling essential products and also most of these are located in malls adding a plus point. Other categories such as apparel in a hypermarket would have to be sold through massive discounts, this will act as an advantage as well as a disadvantage.
• Apparel Stores:
Because of the sudden lock down most of the stores are stocked with the fashion items of the previous season. With the change in season most stores will get rid of the stock by putting up sales to stock newer styles. Discounts and sales are most likely to provide profits as most of the buyers are drawn towards lower prices and not latest trends.
• Online Vs Offline:
There is likely to be a shopping surge post crisis and offline market that is the retail market is going to enjoy profits of this. People were locked up in their houses for a long time and will definitely prefer to go out for shopping to clear their minds, hence the appeal of physical stores will be greater than online medium whereas known brand purchases would continue to be carried on online.
Here are some measures that will shield the retail sector from the effects of the crisis and enhance its resistance:
• Help essential retailers deal with labour supply shortages, by providing guidance on healthy and safety standards.
• Ensure that competition in the sector remains sufficient in the aftermath of the crisis.
• Diversifying the sales channels by helping small retailers go online.
The retail sector is most likely to get out of the crisis as it is the biggest market with the most number of choices. Talking about distant future there won’t be any dramatic downturn in the sector.
We hope this blog helps you deciding about your shopping choices post crisis and gives you an insight on these experiences. We promise to keep you updated, until then stay fashionable.