Owing to lockdown and movement restrictions to prevent the spread of COVID-19, brick-and-mortar retail is severely impacted. This has drastically impacted not only brick-and-mortar sales but also reduced retailer’s ability to service online orders in store.
As the COVID-19 impact manifests across all sectors of the economy, consumer confidence is likely to be dampened, further impacting sales and increasing the likelihood that the impacts on comparison retail will be felt for months to come.
In addition to luxury comparison retail and full-service restaurants, entertainment and leisure are proving to be some of the hardest hit retail categories, with cinemas worldwide closures at an unprecedented rate, both voluntarily and due to government restrictions. While full-service restaurants have some ability to adapt – such as experiment with takeout / delivery options – dedicated entertainment and leisure facilities remain closed indefinitely due to their social nature.
In this context, Ricardo Bergsma, director of leasing and retail advisory services at Colliers International MENA, said, “Shopping centres continue to close as governments implement varying degrees of lockdowns in a bid to thwart transmission of the virus. Countries with nationwide mall closures include the UAE, Saudi Arabia, Kuwait and Egypt, dramatically impacting retailer operations which will have widespread implications, particularly for mall owners / operators who are likely to see major disruptions in lease payments. For shopping mall owners to try and mitigate the impact, certain measures should be taken into consideration such as increasing PR activity with press releases, adopting screening measures in the malls, considering short-term rent break and increasing social media presence.”
“Grocery retail, on the other hand, is struggling to keep up with the demand, now that consumers rely on supermarkets and grocery shops to buy their goods,” he added. “Carrefour in the UAE has revealed a 300% surge in online orders and 59% increase in new customers onto its platform.”
“Overall, we are seeing retail as one of the fastest sectors to recover when the market bounces back to normality. We are working with retailers on case-by-case bases to provide customised advice and guidance,” Bergsma concluded.
J Lindeberg was started by Johan Lindeberg in 1990s with the aimSeptember 2, 2022 | By RetailME Bureau
Majid Al Futtaim has made significant strides toward environmental, social, and corporateJuly 5, 2022 | By RetailME Bureau
Abu Dhabi based grocery retail chain Lulu Group has partnered with Amazon
UAE-government-led initiative Food Tech Valley – announced in 2021 by His Highness
Abu Dhabi-based supermarket chain Lulu Hypermarket is all set to open in
Plant-based meat brand Beyond Meat’s financial results for the third quarter of
UAE’s fresh produce brand Barakat has launched bio-degradable packaging across its entire
UAE-based agritech start-up Pure Harvest Smart Farms has signed a Memorandum of
Carrefour, owned and operated by Majid Al Futtaim – Retail in the
Grandiose Supermarket, part of Ghassan Aboud Group, has announced expansion plan in
The Valrhona journey began 100 years ago with a cocoa bean. Since
Deliveroo UAE has announced the expansion of its rapid grocery delivery service
The Ministry of Climate Change and Environment (MOCCAE) revealed that the UAE
The Dubai Festivals and Retail Establishment (DFRE) has unveiled an exciting line-up
Sunset Hospitality Group (SHG) has announced a partnership with award-winning Italian restaurant
UAE-based retail group Brands For Less Group (BFL) launched its first shopping
The UAE e-commerce market is expected to reach $9.2 billion in 2026,
As part of its expansion plan home-grown brand PINZA! opens two dine-in
Alison Rehill-Erguven the new CEO of Arabian Centres Company (ACC), owner, developer
Online luxury and fashion business NET-A-PORTER announced the winners of its inaugural
Healthcare provider under Aster DM Healthcare Group Medcare forays into beauty &
Luxury retailer Chalhoub Group’s homegrown brand Level Shoes turns 10 continuing to
UAE-based Arabic eatery Operation: Falafel, which is part of AWJ Investments, has
Global sportwear retailer NIKE, Inc. recently reported its fiscal 2023 financial results
One of the leading grocery retail operators of hypermarkets and supermarkets in