Thursday, April 2, 2020

Traffic grinds to a halt for softline retailers, declines even for mass merchants

Retail Dive
Hundreds of malls and tens of thousands of stores have temporarily closed across the country as part of the broader effort to slow the spread of COVID-19. Against that backdrop, equity analyst Kimberly Greenberger and her team at Morgan Stanley describe the "severe" 97.6% traffic decline they measured as "unsurprising."

They expect traffic to remain down by as much as 100% until stores reopen and government recommendations on social distancing loosen, which is likely to go on until "at least May," the analysts said.

As stores close, "eCommerce revenue growth does not appear to be offsetting lost store revenue," the analysts said in the note.​ . . . more