Would one believe that a pandemic known as COVID 19 strikes the world and changes everything? Over the past six months, the pandemic has changed the world a complete 360 degrees around. The thought process is different, the buying pattern is different, and all are not living the usual way. Acts like this are called the “new normal”. Retailers are changing their operation style based on recent retail market trends as customers have decided to purchase commodities in the safest manner possible, reflecting that the businessman has to adapt to new retail market change.
That would indicate online shopping, avoid regular visits to their favorite shopping dens, and change retail marketing management.
The crisis is far from over, but the shape of retail industry changes assumes a different one as lockdowns are becoming partial, and businesses are opening gradually. These are what the retail industry analysis points out.
1. Competitive advantage and the new normal
The primary step is to understand what the term new normal means. It may be a general term, but it is specific for each segment a retailer is specialized as the original retail market’s new evolution is being defined. An analysis or study on the impact the pandemic has on the ordinary consumer has to be undertaken, which would mean a retail industry analysis. This would indicate how much they are willing to spend, and in turn, the retailer would get to know his growth with the retail market change.
In the same context, a new understanding of the competitive strategy must take upon the retail market structure change. Are there new advantages that can be capitalized upon?
Are there new opportunities for growth in this new retail market evolution, or can they be achieved with mergers only?
All these would help the retailer build a new strategy for the oncoming retail industry trends as the old ones are slowly but surely moving out of the door making way for recent retail industry trends.
2. Key Areas
Retailers have to face the reality of the retail market change, which is happening and ever-changing strategies as none know how long this pandemic will last. Lifting of lockdown, even though partially, has not infused great confidence in retailers. If the situation worsens, another lockdown is looming on the horizon, which would warrant another retail industry analysis.
Therefore, short-term planning must be adopted, and top priorities need to be earmarked for new retail market evolution.
The market would not be liquid as before, and a tight credit market would translate into installment schemes to the customer. One way of softening the impact is to synergize the business as the retail industry changes.
3. Become healthier players
Retailers would have built up their assets in the past, which may not be entirely resourceful. Cash holdings are liquid assets that are the absolute requirement for the day as the retail market structure changes. To play a vital role in this new scenario, liquid assets are required, and it is best to dispose of all other assets which would not contribute in the near but uncertain future would help in better Retail market management.
With a good asset portfolio, healthy partnerships are possible is what a retail industry overview would state.
4. Ship faster and cheaper
There is little doubt that E-commerce is on the way up. With the pandemic crushing business throughout the globe, people are looking for a ‘ cheap’ deal. Very few products are not found online, and the prices are compatible is what the retail industry overview suggests.
A study of retail industry changes done recently proves that people are willing to wait if the shipping charges are reduced or done away with.
5. Online and Digital marketing only
With consumers experiencing perils and anxiety on physical shopping these days, it would be the right time to open up online shopping channels for retailers. This would usher in retail market structure change. It is already in vogue and is all set to become the ‘ new normal’ as the crisis grows in leaps and bounds.
The impact of this has already been felt in grocery shopping along with other essentials and fashion; luxury items opening up online is not too far away.
Retailers need to provide an altogether new shopping experience introducing a unique shopping atmosphere, increase the traffic, and provide all facilities for this online experience. Profitability can be achieved for sure as the shift happens.
6. Health and safety all the way
Retailers cannot just be businessmen anymore. They need to assure their customers of complete hygiene in their stores, and this has to be under the purview of the retail market management. To expedite this, touchless automation has to be implemented to its highest degree. This would protect not only the customers but also the employees who are vital links.
7. Value for money
The pandemic did not bring health hazards alone. It ushered in an Economic downturn too. Money under these circumstances becomes more valuable, and consumers would demand more value for every Rupee spent.
8. Labor is not a fixed job
During regular times, every employee held a designation. During pandemic times, this cannot continue. Labor has to be moved to sections where the demand is high so that the spurt in demand can be efficiently dealt with.
9. Every brand is welcome
Many branded items were not consistent in their production in the recent past as the demand was not there. This allowed new brands to come in, and customers shifted loyalty to these. The good news is that they are satisfied with the new brand. Retailers would shift focus to bring in more brands.
Consumers at large have lost a lot of income and business profits. Nearly 21% of the businesses would never reopen what the retail industry overview suggests.
The only certain factor is that customers would prefer to go shop online instead of visiting shops, which was always the best part of shopping.