Lessons for Retailers from the COVID-19 Outbreak

Thanks to the global outbreak of coronavirus, economies everywhere have been severely affected and consumer behaviour shifted rapidly. The consumer priorities have changed and the trend of shopping online has increased because of the movement restrictions in most countries. The retail sector has also seen these changes- they’ve seen a huge surge in demand for a lot of essential products. Retail POS software has helped retail store owners manage this huge demand well. However, non-essential products like computers, make-up, etc. have seen a decline in demand. 

Economies have been shaken everywhere and governments have been trying their level best to invest in order to reduce the economic damages. But, the developing countries like Pakistan, have had very poor luck when it comes to the government’s monetary response because the country was already in debt even before the COVID-19 outbreak. So, industries in developing and underdeveloped countries have been hit really bad. Coronavirus has not only taught a lesson to the governments but to the retailers too. Let’s talk about the latter today:

Ethical Approach: 

Ethics have been really tested since the pandemic started. The demand for sanitizers, masks, gloves, etc. has increased by leaps and bounds since COVID-19 started spreading. Companies and retailers that sell these products had an obligation to serve the people and not take advantage of the situation but many did. These products were sold at a lot higher rates than their prices by a lot of vendors when the surge in demand was observed. 

Pharmaceutical companies like D.Watson and Shaheen ran out of stock because Small and medium scale retailers purchased these items in bulk. The government in Pakistan, as well as other places, raided the hoarders and charged them heavily for their transgressions. So, the unethical approach cost them a lot in the end. 

Customer Care: 

This is/was the time for companies to show that they care about their customers and value their health and safety. Organizations that vigilantly started following the coronavirus SOPs and showed that they care about their customers’ health have been appreciated by their customers. A lot of retail stores and restaurants started home delivery service keeping in mind that minimal human interaction has to be observed to minimize the spread of coronavirus. 

Retailers that used this crisis to show that they care about their customers; sent concerned brand messages, put up sanitizing gates and sanitizer bottles in their store, put up signs for foot traffic in their stores reaped the benefits of their hard work. These simple acts of goodwill were appreciated greatly on social media and thus, the brand name improved as well as the sales! 

Digital Presence: 

Coronavirus pandemic fortified the belief that in this digital age, every business needs to have a digital presence. Because of lockdowns all over the world, people were forced to stay indoors and shop indoors. This meant that only the companies that had online presence to conduct their business and those that just relied on a bricks and mortar store were left behind. 

The smart business operators quickly built websites and established their social presence to stay with the time but many made the mistake of waiting for the pandemic to go away and people to come back to their bricks and mortar stores. These organizations suffered huge losses and some even shut down as a result. Every retailer learnt the importance of digital presence because of COVID-19. 

The Takeaway: 

Coronavirus has changed lifestyles of everyone and every industry has been affected by it. The sign of good businesses is that they can adapt to the changing circumstances and those who did that during this period, managed to stay in the game. Regardless of the state of any retailers business, it’s clear that COVID-19 has taught everyone a lot!