Is It Too Early To Buy Retail Stocks?

ADRIA CIMINO | March 29, 2020

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The coronavirus outbreak has been particularly lethal for the retail sector. The industry has been dealing with a variety of problems from store shutdowns to declines in tourism to a drop in demand for products considered non-essential. The SPDR S&P Retail ETF has fallen 25% this month, compared with a 14% decline for the S&P 500 Index. Before answering that question, we should take a look at the status of the current pandemic and its impact on the economy. Cases of COVID-19, the illness caused by the new coronavirus, have reached more than 600,000 worldwide. The U.S. now has the largest number of confirmed cases in the world, surpassing China and Italy. On a seasonally-adjusted basis, U.S. jobless claims surged to more than 3 million for the week ending March 21 a new record due to disruption from the outbreak, according to the U.S. Department of Labor.

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Nova Point of Sale

Nova is a retail point of sale solution that aids owners and franchisees in managing and improving their business. Founded as a retail consulting company, Nova helps businesses develop and grow their enterprises with a suite of tools and features to help control every aspect of a business, either on-site or remotely. We help retailers grow from one location to dozens and from dozens to hundreds. At the end of the day, Nova isn't a cash register alternative; it's an advanced technology solution for the retail industry.

OTHER ARTICLES

How A Toy Retailer Is Adding Quality Play Time To Quarantine

Article | March 25, 2020

There are 32 million kids under the age of 14 in the U.S. This week, and for who knows how much longer, they will be home from school due to the COVID-19 crisis. It may sound like a situation that will try the patience of any parent. But Bill Onderdonk, COO of high-end toy and game company KiwiCo, tells PYMNTS CEO Karen Webster that he thinks he has a solution. “If you want to spend quality time with your kids, they’re great projects for two or three people to do together,” he said. “So that’s sort of the other flip side of this crisis. On a broader scale, parents are concerned about how much time kids are spending in front of screens, whether that’s video games, phones or social media. Our products are a great alternative, because they are engaging and fun for kids.”

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How to choose your niche when starting a new amazon store

Article | March 25, 2020

A large part of your success as an Amazon seller revolves around choosing the right niche. Everyone wants to select a niche that is profitable and has limited competition, but not many succeed with it. While products with high demand allow you to make money faster, the question is, how you find a profitable Amazon product niche. Even if you find the right product, the journey of selling on Amazon can be quite challenging. First, there are already numerous sellers using the leading ecommerce platform to sell similar products. And secondly, it is not easy to convince buyers to spend money on your product, especially if you are a beginner with no customer reviews. But fret not; because we are here to help you precisely with that. In this blog, we will walk you through some useful ways to find niche ideas and get your fist amazon ecommerce business going. But before that, let’s understand the term “niche” and its importance.

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Fashion retailers may have to write-off £15bn worth of spring and summer stock

Article | March 25, 2020

Unprecedented volumes of clothing are building up in warehouses as fashion retailers are unable to sell their spring and summer stock. The majority of physical shops in the UK remain closed under the government’s current lockdown measures, with sales of non-food items down by 70 per cent according to research by Retail Economics and Alvarez & Marsal reported by the Times. The study found that more than 50 per cent of non-food retailers in the UK will likely run out of cash in the next six months, with all major non-food retailers operating in negative cash flow at present.

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What are the biggest barriers to AI adoption for retailers?

Article | March 25, 2020

According to KPMG’s “Living in an AI World 2020 Report,” retailers have some optimism, some skepticism and some pessimism about how artificial intelligence (AI) will impact the industry. The study explored how 751 insiders across five industries, including retail, view the future of AI in their sectors. On the downside, 64 percent of retail insiders agreed that the use of AI to help businesses is more hype than reality right now. The study also identified numerous challenges retailers believe they face in capitalizing on AI’s potential: AI readiness: Just 43 percent of retail respondents believe their employees are prepared for AI adoption. Relatedly, only 52 percent say their companies offer any type of AI training.

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Spotlight

Nova Point of Sale

Nova is a retail point of sale solution that aids owners and franchisees in managing and improving their business. Founded as a retail consulting company, Nova helps businesses develop and grow their enterprises with a suite of tools and features to help control every aspect of a business, either on-site or remotely. We help retailers grow from one location to dozens and from dozens to hundreds. At the end of the day, Nova isn't a cash register alternative; it's an advanced technology solution for the retail industry.

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