Stay in Touch
When 21-year-old Hunter College student Kenneth Pabon began looking for a fashion internship during his spring 2019 semester, he took a little bit of a different approach to finding his gig. Pabon did not use Hunter College’s career advising office or scour online job boards like LinkedIn, where he does have a profile, or Indeed. Instead, he Instagram direct-messaged two of his favorite fashion influencers, Sophie and Charlotte Bickley, sisters behind the website and social media accounts Yin 2My Yang.
Studies suggest around 80% of Gen-Zers expect to consume fewer animal-related products in the coming year, over 30% intend to be on entirely meat-free diets by 2021 and 44% think being vegan is cooler than smoking. But Gen Z’s culture and attitudes surrounding plant-based products are very different than those of their elders, and what’s resonated with Millennials isn’t going to cut it with a new generation of consumers for whom availability of non-animal-based products is expected.
"With everyone staying home, it’s actually been good for the puzzle business."
"Landlords have been sympathetic to the retailer brands’ situation during these shutdowns."
As other types of retail businesses have temporarily closed their stores in the wake of the coronavirus outbreak, grocery store workers and employees at big-box chains like Target and Walmart have found that their jobs have become more critical than ever before. Shoppers are flooding their stores looking for toilet paper, hand sanitizer and to stock up on two weeks worth of groceries. That leaves workers scrambling to fulfill order pick-ups and make sure the stocks are shelved before the stores are opened, coming in earlier than usual to unload extra trucks, and struggling to keep up with more frequent cleanings that have been ordered by corporate offices.
Retail has changed dramatically over the last few weeks. While many businesses are struggling, the ones that are able to see this crisis through will likely need to invest in new technology to be better prepared for the next crisis. Here are some of the areas that big retailers will likely focus on.
China's online retail market is worth perhaps $1.5 trillion, according to McKinsey. The livestreaming app ShopShops is making it extra accessible to stores and boutiques around the world.
People are staying home, and they are probably drinking too. Alcohol e-commerce is seeing big spikes in business, and some are being forced to delay shipments because of the added strain. These sales were already on the up and up, but this acceleration might bring booze to the e-commerce forefront.
"There is always going to be room for companies that understand a customer’s needs and deliver products with value."
Alex is a 22-year-old social media manager for a startup. Six months ago, while standing in a crowded No. 3 express train on the way to work, he had a panic attack. “I was staring at my phone, trying to simultaneously respond to a Slack message from my boss but also scrolling through Instagram and texting a friend when I thought I was going to die,” says Alex (who didn’t wish to use his last name because he doesn’t want to be known as “the depressed guy” at work). “I literally thought I was being crushed under what felt like a mountain of work, overwhelmed, and messages were coming at me from everywhere, and I just wanted to die.”
The silver lining for dining establishment is the strong foot traffic quick service restaurants are seeing as quarantines take effect.
Since the beginning of the coronavirus outbreak in the U.S., grocery delivery services like Instacart and Amazon Fresh have seen a huge spike in demand. But other food startups are also seeing an increase in sales, as many shoppers stock pile snacks and fresh food while they work from home for the foreseeable future.
Now that members of Generation Z are entering the workforce and beginning to flex their purchasing power, marketers want to better understand these individuals who were born from 1995 to 2012. Seven Gen Z marketers and entrepreneurs share their insights from the frontlines.
Retailers are embracing shopping rewards programs that offer bonuses beyond coupons. As brick and mortar and e-commerce retail struggle to navigate the current landscape, loyalty programs can act as a bridge to shoppers amid the Covid-19 crisis. A shift in customers’ expectations in recent years has led more retailers to adopt unique perks that reward frequent shoppers in experience-focused ways, not just discounts. Retail chains like Uniqlo, Sephora and H&M have joined the trend, along with startup direct to consumer brands like Carbon38 and Glossier.
Businesses big and small are feeling the impact of the coronavirus. But mid-tier retailers, especially those saddled with a lot of debt, are in an especially precarious situation. Many of these brands have been trying to rejuvenate business for years with mixed success. The coronavirus may prove to be their death knell.
In a new guide for brand and agency marketers, learn the most cutting-edge measurement and attribution techniques preferred by advertisers that have successfully scaled their TV budgets.
For retailers, running heavy promotions during store shutdowns is proving to be tricky. Due to the coronavirus outbreak, large retailers like Macy’s and Nordstrom, along with chains like the Gap, are aggressively pushing seasonal sales to make room for spring merchandise. With virtually all brick and mortar sales down, anywhere from up to 80% to 100% of expected revenue effectively disappearing for large brands, offering discounts is one of the most effective ways to stay afloat right now, said senior retail analyst at Fit Small Business Meaghan Brophy.
Read MoreExclusively for Modern Retail+ members: Hear from Colin Darretta, CEO and Founder of Wellpath, on the future of direct to consumer business.
Subscribe
