5 strategies to help retailers recover from COVID-19
When it comes to store operations and consumer expectations, the retail industry will need to adjust to a new shopping reality in order to recover from COVID-19. These five steps can help retailers throughout the process.
1. Access government support
- Government relief programs can help sustain the business and support recovery.
- Leverage as many of these programs as possible (depending on eligibility) to help with wages, rent costs, loans, financing, and more.
2. Reduce spending
- Cash preservation is more vital than ever and can help buy much-needed recovery time.
- Work with your bank, landlord, and other relevant stakeholders to reduce or defer as many expenses as possible.
3. Expand revenue-generating activities
- Until physical stores fully reopen and customers are comfortable with in-person shopping, the need for e-commerce anddigital capabilities is here to stay.
- Provide customers with alternate ways to shop, such as enhanced e-commerce offerings, buy online pick up in-store (BOPUS), curbside delivery, etc.
4. Change the customer experience
- Consumers will have new needs and expectations, driven by the physical and psychological effects of COVID-19.
- Consider a socially distanced store layout, personal protective equipment (PPE) for shoppers, and a product mix that reflects the financial impact of the crisis.
5. Focus on employee retention
- Investing in staff retention now can build a stronger team—one that can see the business through COVID-19 recovery, as well as support future growth.
- Provide employees with more choice on shifts, effective PPE, and more flexible absence/leave policies.
How BDO can help
Our team of advisors can help you build and implement a strategy for your retail business to recover from COVID-19. We can assist with financial recovery and business reorganization, HR/people advisory and return-to-work plans, and adapting store operations to align with the new normal.