It’s hard to believe anything good came out of 2020, but certain brands saw big gains even in a tough year. While these retailers burned bright, filling a specific mid-pandemic need, there is some danger of them burning out soon as a new normal begins to settle in. Here are 3 types of retailers that may begin to sputter in 2021.
Too much of a good thing? Pizza may be to OG delivery option for most people, but everyone has their limits.
Brands like Dominos and Pizza Hut saw big bumps as many people defaulted to easy delivery options last year. Even Papa Johns was able to overcome scandal and come out on top!
But not only will more people be heading out to dine in the upcoming months, more options for delivery have also become commonplace—which could up the competition and dampen sales for pizza chains.
Both Lowe’s and Home Depot saw profit growth thanks to record numbers of people stuck at home, looking for a project.
But the demand for supplies and upgrades may slow as people begin to have less time once again due to reinstated commutes, leisure time spent outside the home, and less discretionary income as we move past stimulus checks.
How well these retailers will build out long-term success remains to be seen.
Much of 2020 revolved around supermarkets. In certain areas, they were one of just a handful of essential businesses that remained open.
But even with being allowed to stay open, many grocery chains made big changes to how they do business in response to the pandemic. Retailers like Aldi and Lidl continued expanding nationwide in 2020, while other brands like Publix and Walmart increased their curbside pick-up abilities and made other changes based on customer demand.
While grocery retailers will always be a necessity, more changes could be imminent. Many customers now rely on grocery delivery, which could force large-scale grocery stores to downsize their in-store square footage requirements. And with delivery in the mix, meal kit services and restaurants also now compete more directly with traditional grocery stores.
While there is no doubt habits and preferences changed during the pandemic for nearly all shoppers, it still remains to be seen which trends will stick and which will soon be distant memories.
Retailsphere keeps tabs on the latest industry trends, expansion plans, and retail data to keep you informed and well prepared for the future. Schedule your demo with Retailsphere today, and see it in action.