Intense competition among huge retail players like Amazon and Walmart is increasingly endangering smaller retailers, for which even small revenue declines can be devastating, according to a report this week from Moody’s Investors Service emailed to Retail Dive.
For retailers under liquidity stress, even $10 million quarterly loss in revenue can create a make-or-break scenario, Moody’s said. Additionally, retailers are dedicating resources to their e-commerce channel because of its fast pace of growth, though digital sales have yet to reach 10% of overall retail sales. The costs are taking their toll in almost every segment of retail, Moody’s said.. . . more