It’s not bizarre to learn how much the economy deflated in the recent weeks, everyone especially those in the business know firsthand how the pandemic affects the market. In this graph presented by ICSC, numbers from U.S. Census Bureau keep on shrinking and it was well manifested on April. Reports show how much retail industry had loss. From March, scores had begun decreasing doubled and even tripled until last month. Sales at traditional and discount department stores, a subset of the general merchandise category, fell 47 percent year over year in April. Clothing stores fared worst among U.S. store categories, as sales fell 89.3 percent year over year and 78.8 percent from March. Only nonstore sales show significant advancement from March 2020 to April 2020.
Given these facts, it is understandable that the retail industry is trying their best to adapt and recover one step at a time. Business owners and retailers should have the initiative to invent action plans and strategies to cope up with the revenue loss. To continue supporting business operations, some are even laying off people to the extent. Now that malls are closed, the need for laborers is least priority and being relevant is on top. Effective marketing is now crucial as interest in clothes and other miscellaneous products subside. Even when online sales boost up, more people are inclined to spend in the essentials. With majority of individuals not being paid at this time, buying the usual can be now considered as luxury.
As the economy reopens, everyone hopes to recover from the losses. However, the big question lies on the safety. Would going out and doing your job means you choose profit over health? How much more are we going to lose? Is the present fix working? We all hope the month of May gives a better number for retailers.