The COVID-19 pandemic has impacted retail in an unprecedented manner, as it continues to dominate global headlines. It has ushered in unfathomable changes to the way people eat, live, work, shop and play, indicates a survey conducted by Colliers International.
The survey was conducted to offer real data concerning the impact of COVID-19 on the retail industry in the Middle East and how both landlords and retailers are coping.
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According to the survey, “Retailers physical store revenue impact is estimated to be hit harder than landlords retail asset revenue for Q1 and Q2 2020.” But, “landlord and retailer expectations of support packages are not aligned.” Having said that, “There is a much greater alignment from landlords and retailers on recovery expectations, the reduction in physical space requirements and structural lease changes.”
On the other hand, “Retailers have seen incredible growth in online sales in Q1 2020 and they expect this growth to continue in Q2 2020.”
The survey also indicates that, “Both retailers and landlords look at the same countermeasures to minimise the impact of the pandemic to their business, including increasing their online presence, increasing sanitisation measures, temperature checks, social distancing policies and food and beverage delivery from physical restaurants.”