Riding the Long Tail of the Recovery
Many people think the pandemic will end with the flip of a switch. The reality is quite the opposite. The COVID-19 virus is almost “conquered” in some places, but it persists in other places. It’s important, therefore, to realize the tail end of the pandemic will be ragged, not a sharp line.
Some retail sectors’ recoveries will take more time, such as travel/hospitality & leisure, which won’t return to pre-pandemic levels until business travel starts again. It will be 2022 and 2023 before those business travel dollars flow at past levels.
Many other sectors are in the revitalization stage: restaurants, bars and nightclubs, live events, cruises, weddings and movie theaters, the list is long. Some are improving, others will need more time.
Then, there are the retail sectors, such as home improvements, sporting goods and recreational products (RVs, motorcycles, bicycles, etc.), that were largely unaffected, although they had to evolve their business models and deal with supply-chain issues. The latest US Census Bureau data shows the significant increases in Q1 2021 sales for selected retail categories compared to Q1 2020.
Q1 2021 Sales for Selected Major Retail Categories
|
Category |
Q1 2021 |
Q1 2020 |
% Change |
|
Furniture and home furnishings stores |
$33.25 B |
$27.10 B |
+22.7% |
|
Electronics and appliance stores |
$21.24 B |
$19.58 B |
+8.5% |
|
Building materials and garden equipment and supplies dealers |
$104.44 B |
$85.36 B |
+22.4% |
|
Clothing and clothing accessories stores |
$56.32 B |
$47.07 B |
+19.7% |
|
Sporting goods stores |
$14.19 B |
$9.54 B |
+48.7% |
US Census Bureau, June 2021
Many economists are forecasting a “boom” economy and many signs indicate that could happen, but it’s more likely the boom will take more time, which may be better for the economy.
For you and all media AEs, the strategy is to be as current as possible about the progress of most retail sectors, which is the primary value of your Media Group Online membership. Some local businesses will likely need more media/ad exposure as they reopen or must establish a new brand identity because their business model has changed significantly.
Whatever the case, they are relying on you to keep them informed and help forge strategies with what you’ve learned from Media Group Online’s huge library of content.
