Row Covid-19 or Coronavirus vaccine flasks on white background
getty
The retail industry is grappling with how best to utilize the COVID vaccine in order for business to return to “normal.” But with the pace of store closures quickening this year, it is highly unlikely that a COVID vaccine will be the silver bullet that brings retail back.
According to recent reporting by CNBC, as many as 10,000 stores could close in the U.S. this year, which would set a new record (up from 8,741 closures last year). Bed Bath & Beyond
BBBY
M
JCP
First Insight’s latest consumer research shows that a vaccine provides very little hope for in-store shopping.
Even with a vaccine, people will still be afraid to go in-store. Nearly one-third of American consumers are unsure about receiving or will not receive the COVID-19 vaccine when it becomes available.
Further, 40 percent of consumers say they will shop for apparel in-store either less or the same amount after being vaccinated, a theme that is reflected across in-store visits for footwear (44 percent), accessories (43 percent), beauty products (45 percent), luxury items (41 percent) and electronics (43 percent). Additionally, the majority of consumers (61 percent) said they would cut back on spending if a national lockdown were enforced.
With COVID spikes predicted in the coming months due to new COVID variants, vaccinated retail employees will likely still not be enough to bring people in-store. Sixty percent of respondents to the First Insight survey stated that spikes in COVID-19 are deterring them from shopping in-store, particularly women.
According to our survey, 51 percent of men feel unsafe trying on products in dressing rooms versus 73 percent of women. Further, 52 percent of men versus 67 percent of women feel unsafe trying on shoes, and 51 percent of men versus 68 percent of women feel unsafe working with a sales associate.
Still, the retail industry is pushing forward with anything that will ease COVID-related fears, considering mandatory vaccinations and incentive programs for employees in the hopes that not only will it protect workers, but help shoppers feel safe. U.S. retail chain Dollar General
DG
This could be the right approach. A recent piece by Mercer explores the possibility of making vaccines mandatory and notes that EEOC guidance suggests private employers consider encouraging, rather than requiring, employees to take the vaccine, and being sure to communicate, educate, lead by example, and offer time off.
Many hourly workers face difficulties when accessing medical services such as immunization. These barriers range from scheduling issues because they have to juggle multiple jobs, to a lack of employer-sponsored healthcare coverage. “We felt the right thing to do was to break down these barriers to vaccination,” Todd Vasos, Dollar General’s chief executive said in a report in The Wall Street Journal.
Aldi and Lidl have announced similar plans to offer extra pay for those willing to get a needle in the arm. Aldi said it would also like to open on-site vaccination clinics at its warehouses and offices to make it easy for workers to get the shots and eliminate the obstacles of getting child care or finding transportation, an approach that law firm Bracewell encourages.
In the end, it comes down to UNDERSTANDING. Specifically, understanding through experience management engagements, and connecting the dots between your customers, employees, brand and products.
It’s time for retailers and brands to understand the needs and expectations of employees and consumers, and craft experiences that reflect their needs – whether that be marketing messages around safety or aligning on expectations for product assortments and pricing.
Voice of Customer insights must act as a foundation for building relationships and experiences that strengthen loyalty and increase sales in this difficult environment. It is no longer a “nice-to-have” capability but an absolute “need-to-have”. Otherwise, these leaders are flying blind and listening to the internal echoes in their virtual meetings.
