Many of the industry giants have heavily suffered in sales due to the closing of stores in the wake of the COVID Crisis. On the other hand, a big rise in demand has been witnessed in some areas of retail business. The companies are adopting strategies to revamp their wholesale process to garb this opportunity. E-commerce is obviously providing solutions. The companies that already have E-commerce platforms or have immediately made arrangements are in a better position to retain their customers. They have got good sales even in the times of physical closure of many of the stores.
The retail companies are taking steps to avail of these opportunities by making due changes in their business models. Every industry from small to large is facing uncertainties. The businesses traditionally depending on physical sales are now fast moving towards E-commerce platforms. That is a new investment area where returns are fast. Expanded sales volumes can assure the early return of investment.
Importance of Safety Measures
The re-opening of physical retails will now be under the entirely changed hygiene and health safety code. Investing in sanitizes, gloves, masks, disinfecting sprays will now be a new normal for the businesses. Caring about the health safety of both customers and employees is at the top of the list. Retailers now need to take necessary steps to attract customers and to meet SOPs set by the monitoring bodies.
Reduction in Income
The pandemic has a big damaging effect on income levels. On the other hand, family wellbeing, and healthcare have gained very high priorities. Where it all is going to make an impact upon? The shopping list is surely an item of facing possible cuts. Slashed jobs reduced the disposable income of a large chunk of remaining jobholders. The focus now will be on essentials alone. It will surely reduce the sales causing a revenue deficit.
Supply Chain Issues
The prolonged lockdown affected every walk of life. It is not only the supply chain sector but the industries are facing their part of the story. Increased expenses are a challenge and long-run closer have caused issues like depleted raw materials, manpower, etc. Incurring more expenses on staff safety like investing in PPEs, Sanitizers, Protective screens, and disinfecting are all counting towards additional burden on revenues.
Discouraging Cash Sales
The Covid-19 has set new protocols of social distancing. Cash sales then carry a big risk of transfer of viruses through currency notes. The more emphases will shift on cashless sales. The plastic money already being in wider use the currency notes are facing another era of being discouraged by the mainstream retailers. The Credit/Debit cards and even mobile payments will have a future ahead. The spree will wipe out the use of cash as never before.