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The Retail Response to Covid-19



The Retail Response to Covid-19

The Covid-19 outbreak has had a major impact on the retail industry: from closures, to logistics issues, to changes in consumer purchasing behavior, to a decline in foot traffic.

Store owners are thus faced with a new challenge : in this article you will find some strategies and tools that will help you communicate and stay in touch with your customers.


Security and information


Always stay up to date with the local situation using official sources. It is important to know the developments of the situation so that you can respond quickly to changes that may affect your store.


Be authentic, active, present and frequent in communicating with your customers

The severity of the period requires a high level of empathy and genuineness in communication. People are looking for "safety": be proactive in informing both your store employees and customers about the measures your company has taken to ensure health and safety.

Use your social media and website as a constantly updated communications hub .


Timeliness and clarity


Always be clear in your communication with your customers, for example by drawing up a FAQ with a list of questions they would probably like to ask you (when are we open? do we deliver to your home?).


Also consider using your CRM to keep them informed: you can send a newsletter, a text message or a WhatsApp message, for example.


Re-evaluate priorities and evolve your channels


Customer purchasing behavior has changed during the Covid-19 outbreak,

and, as a result, retailers are forced to face new challenges, which vary by industry.


The desire to stay connected has changed user behavior:

  • Time spent on your cell phone: +70%

  • Increase in Movies and Entertainment Offerings on Streaming Services: +51%

  • Time spent on messaging services: +45%

  • Time spent on social media: +45%

  • Time spent on the PC or playing video games: +36%

*Source: Facebook IQ source: “Coronavirus Research” (online survey of people ages 16/64 in AU, BR, CN, DE, ES, FR, GB, IT, JP, PH, SG, US, ZA), by GWI , Mar 16 20, 2020.


Grocery stores and supermarkets have faced a higher-than-normal surge in demand and traffic (both in-store and online).

Other sectors, however, such as fashion, luxury and travel, are witnessing a constant decline in traffic and numerous closures of their physical stores.

Some data:

  • 51% said they spend less on clothes and accessories

  • 71% said they spend the same amount of money on their pets

  • 42% said they will postpone expenses amounting to more than €1000 during this period.

Source: ”Coronavirus Week of March 30" by Luth Research (302 respondents in the US surveyed in the week of March 30, 2020),

Apr 1, 2020.


In all sectors, however, users have changed their choice of purchasing channel: they have moved online and searched for offers on aggregators.


It is therefore necessary to activate or strengthen your online presence, investing resources to support digital channels.

Reinvent your marketing strategy


People are relying heavily on digital channels for news, entertainment, and staying connected with friends and family. More time spent at home has also increased the time spent on social media.


So, here are some best practices:


  • It is therefore useful to share information on how your store is dealing with the situation: both on safety inside and opening or delivery hours.

  • Adopt empathetic communication with your consumers: everyone is experiencing a delicate and difficult situation, do not contribute to the bad mood.

  • Consider using social media to provide real-time communications or a virtual tour of your store.

A research by Ipsos ( Ipsos Study 2020: Base: 999 adults 18/65) tells us how much consumers want to stay in touch with brands:

  • 70%: "I completely agree, I want to continue to hear from the brands I love what they have to offer"

  • 64%: "I expect companies to acknowledge the global crisis in their advertising campaigns"

  • 10%: "I think it's inappropriate for companies to continue advertising products during this period"


When it comes to channels, consider those that give you broad coverage and flexibility , because as you well know, the situation can change suddenly (advertising on more static media can turn out to be a bad investment).


Say/Do/Sell


How should a shop behave in what it says, what it does and how it sells?


Say

  • Empathy: As mentioned in this article, people are attracted to those who communicate transparently about how and what they are doing to help the community.

  • Entertainment: Creating content that is playful and entertaining for your audience is a way to keep them engaged. Create “challenges,” “how to” videos, and share content generated by your followers.

  • Education and Empowerment: While we are socially distant, there are many ways to be socially responsible. Produce content on how we can get through this difficult time together.

Do

  • Updates : Quickly communicate your services in a clear and relevant manner

  • Promote Donations: Consider using your brand to support your community on a local or national level. People are drawn to those who advocate for groups or situations that are most in need.

Sell

  • Discounts and promotions: As consumers struggle with a new economic reality, spending priorities have shifted more towards food and essentials. For other sectors, it is therefore advisable to activate discount promotions.








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