1. CEO RETAILER
PULSE #2
As the coronavirus (COVID-19) public health emergency continues to unfold,
retailers continue to assess and strategize to adapt to the changing times.
Working together with CEOs and other retail leaders from around the
world, RetailNext conducted a second pulse survey to share knowledge and
actions so that we all can be best prepared for "The Great Reopening".
Results of the first pulse survey can be found
GLOBAL CEO / RETAIL LEADERS WEIGH IN ON THEIR
COMPANIES' STRATEGIES TO RECOVER FROM THE
COVID-19 PANDEMIC
APRIL 2020
here.
2. 37%
33%
17%
13%
In this report, we cover how
retailers are experiencing and
planning for:
Store reopenings
Store associates
Health and occupancy controls
Supply chain disruptions
Financial offsets through
government stimulus
We surveyed CEOs and senior
retail leaders from around the
world, focusing on apparel,
footwear and durable goods, and
excluding those in food, beverages
and petroleum.
RESPONSES FROM
RETAILERS OF ALL SIZES
1 to 50 storesOver 200
stores
51 to 101 stores
101 to 200 stores
M E T H O D O L O G Y
GLOBAL COVERAGE OF RETAILERS*
72%
20%
4% 4%
Asia
North
America
Europe
Others
HQ locations:
64%
20%
12%
4%
> 80% North
America
> 80% EMEA
Store locations:
> 80% APAC
Global
Brand
*Note: Responses between regions were immaterial with the exception of recovery estimates as
noted on page 8.
3. 0 25 50 75
83%
17%
IN-STORE TRAFFIC
83%
71%
29%
SAFETY OF STORE TEAMS
AND CUSTOMERS
71%
75%
25%
RESTAFFING STORES
25%
96%
4%
INVENTORY AVAILABILITY
4%
S T O R E R E O P E N I N G S
Most retailers will reopen with caution...
As allowed by local regulations, retailers plan to:
Evaluate local COVID-19
conditions and open cautiously
Open all stores as soon as
possible
Remain open
Not open brick and mortar stores
64%
24%
8%
4%
...And are concerned about traffic and teams.
The following percentages of retailers are concerned about:
4. P R E P A R I N G T H E T E A M
0 10 20 30 40 50
Expected number of store
associates after reopening
Fewer than
before
Same as
before
Undetermined
50%
33%
17%
Adjusted staff hours to
match new traffic patterns
New training modules
New communication
initiatives
Rehire sales associates
As retailers reopen stores, they will need to rethink their strategies and manage their
team and costs. Understanding store traffic and labor needs will be key to retailers'
reopening strategies.
Team preparation strategies:
To draw customers into stores, the following percentages of retailers plan to use:
DISCOUNTS AND
PROMOTIONS
58%
A T T R A C T I N G C U S T O M E R S
ACTIVITIES AND EVENTS
46%
CUSTOMER APPRECIATION
SHOPPING TIMES
33%
BUY ONLINE,
PICK UP IN-STORE
33%
83%
50%
46%
42%
5. of retailers have or
plan to implement
80%
new health
safety processes
in stores
of retailers have or
plan to implement
68%
occupancy
controls
in stores
H E A L T H A N D O C C U P A N C Y C O N T R O L S
The following percentages of retailers have implemented or plan to implement
these health safety precautions:
Monitoring and support
for unwell employees
Deep cleaning of
stores
Change of sampling/try on
processes
Revised return policies to
ensure non-contaminated
products
92% 84%
48% 32%
6. S U P P L Y C H A I N D I S R U P T I O N S
0 20 40 60
How much disruption to supply chains
are retailers facing?
Heavy disruption
Moderate disruption
Little disruption
12%
56%
32%
Retailers' supply chains are affected moderately, with similar trends globally.
4 - 6 months
60%
7 - 12 months
20%
1 - 3 months
16%
Most expect supply chain
disruptions to last 4 - 6 months.
Retailers expect supply chain disruptions to last:
Top supply chain changes:
Adapting supply chain for
e-commerce64%
Re-negotiated contracts56%
Alternative sourcing options28%
Shortages and out-of-stocks28%
The following percentages of retailers have
experienced or are anticipating changes
including:
7. M A R K E T I N G
Retailers across the globe are expecting changes to their marketing
strategies including:
83%
17%
Changes in
marketing calendar
64%
83%
17%
Increase in digital
marketing spend
60%
83%
17%
Reduction of
in-store events
56%
G O V E R N M E N T A S S I S T A N C E
In terms of the effect of government financial stimulus, retailers expect
to benefit in varying ways.
No material impact, not qualified38%
Employee wages will be partly covered31%
Employee wages will be largely covered23%
Rent will be covered23%
Other funds will be used to offset company losses8%
8. Longer than
24 months
3 - 12 months
12 - 24 months
72%
24%
4%
O V E R A L L S E N T I M E N T
How long retailers think COVID-19 will affect
retail operations:
Access more resources about
best practices for data strategies,
reopening stores, restaffing and
retraining associates.
In RetailNext's first pulse survey,
learn how retailers are managing
store closures, employee relations,
store associates, rent and more.
European retailers expect
the effects to last longer
than North American
retailers.
60% of European retailers
expect effects to last more
than 12 months, while only
21% of North American
retailers project such a
timeline.
LEARN MORE
COVID-19 RESOURCE HUB CEO RETAILER PULSE #1
DOWNLOAD
Discover more resources...