While the devastation of the Covid-19 pandemic has killed more than one and a half million people all over the world, the economy has suffered a major setback due to the lockdown to avoid its effects. Talking about the economy, there is a big decline in the retail sector of India.
According to survey agency Nielsen, three out of four retail channels in the country suffered heavy losses in the last week of March. Explain that in the retail sector, e-commerce, cash and carry, traditional and modern are the four major channels. But except for one modern, the remaining three channels have suffered a steep decline.
Which channels have fallen so much
64 percent decline in most e-commerce channels
44% drop in cash and carry channel
Traditional trade also declined by 6 percent
Explain that shopping mart, hypermart, mini supermart etc. come in the modern trade channel. It is also expected to fall drastically in April after the lockdown rules are tightened.
According to Nielsen India, the retail sector witnessed such a major decline due to blockage in supply chain due to lockdown, blockage in goods movement and staff shortage. In such a situation, most of the employees working in the retail sector are forced to stay in homes. At the same time, due to the absence of about 90 percent of the trucks on the road, there was no movement of goods.
According to the survey, the most demand in retail sector these days is for cleaning goods and cereals. Hand sanitizers, soaps, floor cleaners etc. have been found useful for prevention of corona epidemic. Hence their sales have increased significantly. At the same time, due to uncertainty of lockdown, large number of people are stocking rice, flour etc. Due to this, their demand has increased from 50 to 100 percent.
The nationwide lockdown allowed retailers selling essential items to keep shops or stores open. But due to high demand and inadequate supply of goods, out-of-stock problems arose and due to which their sales also saw a huge decline.