In 2020, the retail industry was completely upended. Some stores closed, others were forced to pivot. Now, longer-term business decisions are being made once again. Modern Retail mapped out all the ways that retail might be changing within a single city block.
As cities open back up, out of home is coming back into play -- but a new strategy is emerging. For one, subways still aren't the holy grail they once were. Instead, brands are increasingly turning to digital signage -- as well as outdoor spaces where people feel more comfortable.
This month marked the first time that two million passengers were screened in airports on a single day. Suitcase and travel brands are embracing the return of air travel by offering new products, expanding into new markets and doubling down on brick-and-mortar.
Grocers like Walmart and Kroger saw explosive growth in 2020. Now, in an attempt to both keep growth apace and figure out more profitable revenue streams, they're looking into ghost kitchens.
Before the pandemic, there were distinct lines between New York's most popular neighborhoods for shopping -- from Soho to Fifth Avenue. Now, no one knows exactly what the most sought-after New York City retail neighborhoods will be going forward, and retailers are operating in a holding pattern until more office workers and tourists return to Manhattan.
Brands are carrying outdoor retail experiences into a post-pandemic future. During the pandemic, outdoor malls outpaced indoor shopping and were better equipped to accommodate social distancing regulations. In response, traditionally indoor retailers and brands experimented by pushing their shopping experiences outside, hosting open-air popups or building outdoor structures. Now, these brands and retailers are incorporating the outdoors into their future retail plan.
When customers place an order through Amazon’s Prime Now program -- its two-hour grocery delivery service that the company is now rolling into its main shopping app -- the order is routed to a network of Amazon workers, called Amazon Shoppers, to pick the orders. Modern Retail spoke to one shopper who shared how her job has changed.
The future of samples is pre-packed, according to brands experimenting with handing out free products in the coming months. As CPG brands attempt to find and retain customers, some companies are looking to digital and outdoor pop-ups to distribute samples.
In 2020, in-store foot traffic dropped precipitously due to pandemic stay-at-home orders and social distancing regulations. While large retailers like Kohl’s discussed the return-to-store in their 2021 first quarter earnings calls, many brands report that foot traffic still hasn’t returned to pre-pandemic levels. To draw consumers back to store after a year spent at home, brands are returning to events, offering in-store-exclusives and courting a vaccinated consumer.
Late last year, the use of virtual assistants in physical stores received a major boost when Amazon started integrating Alexa into its growing physical retail network -- most prominently in its Amazon Fresh grocery stores. Around the same time, other retailers, like McDonald's, also began offering voice assistants at stores -- suggesting that a concept long relegated to novelty status might be catching on in the wake of the pandemic.
Throughout the pandemic, retail workers found their to-do-lists growing by the day. At the beginning of the pandemic, they were tasked with cleaning down highly-trafficked areas and working quickly to restock the items that were flying off the shelves, like toilet paper. Then, during the first round of stay-at-home orders, many of them were transferred over to fulfill curbside and buy online pickup in-store orders, services that became more popular during the pandemic. As a result, many retail workers are feeling burnt out after a year of being pulled in multiple directions.
Fast food and fast casual chains are betting on drive-thrus to remain popular, even as the pandemic subsides. Particularly in the early stages of the pandemic, restaurants struggled as indoor dining shuttered in most states. But, drive-thru visits soared, up 26% year-over-year in the second quarter of 2020 according to NPD Group. In response, experienced drive-thru players like McDonald’s as well as other newer players announced new investments in the feature.
Last month, the CDC announced the loosening of its mask guidance, saying people who are fully vaccinated against the coronavirus are not required to wear a mask “in any setting” unless local laws and regulations demanded it. Since then, retailers have been left to their own devices to come up with new mask guidelines for employees and customers. Modern Retail spoke to four people currently working in retail about how they feel about these new guidelines.
After a year and a half of unevenly applied US Covid-19 regulations as well as various city exoduses, Miami, Los Angeles and Chicago’s retail scenes fare differently. While many hope for a return to store in 2021, retailers' fates rest somewhat on location. Here's our look into how the three cities are faring.
As store workers at many big-box retailers like Walmart, Target and Best Buy are now expected to deal with both online and in-store orders, retailers are increasingly thinking about creating new tech tools to help workers manage the growing list of tasks they're responsible for. Walmart, for example announced last week that it was creating a new mobile app called Me@Walmart. Through the app, store employees can manage their shifts and view their schedules, use a voice-activated personal assistant to answer common questions, such as where certain items are located throughout the store, and eventually, use the app to scan merchandise in the backroom.
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