Coronavirus Effect: Bankruptcies Won’t Save Retail This Time
For retailers, facing an apocalypse isn’t anything new. What’s new is the fact that everyone else is too. Retail has for years faced the challenges of slowing foot traffic, changing shopping patterns and online competitors that has caused an industry upheaval some analysts have deemed the “retail apocalypse.” But as the coronavirus pandemic has ground U.S. business to a halt, the pain has spread far and wide to upstart retail brands, landlords, lenders and suppliers. With everyone in duress, landlords and creditors with the ability to pull the trigger that could put a retailer into bankruptcy have become gun shy. “Everyone has a gun to their head,” said one banker requesting anonymity. “It’s mutually assured destruction.” Read more at CNBC.
Woof, what a hard thing to read (as a boutique owner, myself). I have to say, though, that I can imagine businesses that survive this thing will have record sales after stay-at-home orders are lifted. Everybody will be out and about, and hopefully that will translate into sales. I’m trying to use the time to utilize a planogram software and up my store’s revenue that way, but I guess we’ll all see eventually