Future of Retail Post Covid-19
For a year retail will see a slump of 30% to 35% in almost all product line except grocery and medical. Infect grocer and pharmacies, drug stores has shown remarkable growth in the sale.
Who will be affected the Most?
The major drop in business will be of Brick-and-mortar stores ( Physical retail formats) as the customer will be apprehensive to visit malls and stores and Ecommerce will get a major boom in the Industry
Reason: People will not be able to maintain social distancing in physical stores. Customer will be afraid of touching merchandise or taking a trial of merchandise at physical stores. Back of mind, they think that product might be affected by Covid-19 carrier, which can threaten their life.
How merchandise will reach to end customer?
E-commerce: In the near future, we will see e-commerce will continue to grow significantly. The contribution of E-come will be almost double from 15% to almost 30% E-commerce seller will be benefited from Covid-19 pandemics. They will fulfil customers need through virtual stores created by Ecommerce sites. Online Business turnover will increase dramatically once lockdown will be open. Customer will feel safe to buy from online portals where He or she will buy merchandise with maintaining social distancing, and without touching apparel and other products. Now, researches have made us aware that Virus takes 3 days to dye at most of the substances. Post placing Online Order, delivery takes 2 to 3 days which is very safe for the end-user. Life of the virus at any polybag is also not more than 24 hours. Within 24 house the effect of Virus remains only 1%. 99% virus dye or microbes delay within 24 hours.
The middle class will be the most affected class financially post Coronavirus. Online buying will help the middle class to save money by not spending at petrol, parking, outside dining and impulsive buying. Shopping in the mall with small kids is always very challenging for the families. In fact, it may change consumers’ behaviour permanently. Once the customer will be comfortable to buy online may not prefer to buy offline further. Buying online will not only save time but also money.
What are you thinking right now?
If you are a business without virtual stores then move faster to create an online platform for selling. Use digital marketing rather than spending at ATL (Print Media & Electronic Media).