Want to know more?

How retailers are responding to the Covid crisis
15/05/2020
It’s a troubled outlook for retailers who have already been trying to balance bricks and mortar success with online innovation and the rise of ecommerce. The fallout from Covid makes that battle even harder. Consumers are moving to online offerings and retailers need to match their growing appetite. Kantar research into UK, French and German retail trends finds the share of people who undertake 50% or more of their total purchases online grew by between 25-80% in April 2020, and six in 10 consumers intend to continue buying as much online once the pandemic has passed as they do now.
Covid will accelerate challenges in the retail sector rather than create entirely new ones, including the need for retailers to offer a simple, satisfactory online journey as well as focus on ‘direct-to-consumer’ interactions, instead of working through large department stores. Customers are forced to shop local in the short term because of Covid but it’s a trend that has grown over the last decade, as people choose to shop near where they live rather than venture to out-of-town retail parks and hypermarkets.
Retail habits have been shifting in recent years, and they now look set to stay. From social distancing to online shopping excellence, here’s a short run down of how retailers should respond in the immediate sense and, in doing so, plan for work and life post-Covid.
Employees:
Supply chain:
Customers:
Pricing:
And finally, look ahead. Consider restructuring and new business models: in times of disruption, retailers may find the inspiration to start a new commercial journey that sets them up for long-term success.
Covid-19 is creating difficult circumstances for retailers, but it should not throw their existing plans completely off track. E-commerce, quality and sustainable products, fair pricing and customer experience are all at the core of retailer concerns, whether it’s during lockdown or not.
Retailers should leverage their brands to stay in touch with customers, reassuring them in the short term of their offer and letting them know they will be there when shopping returns to normal. If they get it right, retail brands could even increase loyalty and sales in the near future.
The virus outbreak and its consequences have reminded retailers that they operate in a tough sector that is highly vulnerable to external factors. However, retail businesses have spent the past decade – and longer – keeping up with fast-changing customer trends. If they continue to dedicate themselves to their customers, while preparing their teams and models for the future, there’s no reason to think they can’t continue to match and surpass expectations.
This website uses cookies.
Some of these cookies are necessary, while others help us analyse our traffic, serve advertising and deliver customised experiences for you.
For more information on the cookies we use, please refer to our Privacy Policy.
This website cannot function properly without these cookies.
Analytical cookies help us enhance our website by collecting information on its usage.
We use marketing cookies to increase the relevancy of our advertising campaigns.