New Domo Report Exposes Impact of the Lockdown Economy
Domo released findings from a new report that provides insight into the impact of the pandemic for non-grocery retailers in 2020. The analysis was performed using Domo’s modern BI platform that helps companies quickly unlock the value of data to accelerate digital transformation. It combines SafeGraph GPS Mobility data from 850 non-grocery retailers with more than 210,000 U.S. retail locations to analyze foot traffic, as well as data from the Oxford COVID-19 Government Response Tracker (OxCGRT)
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New @Domotalk report provides insight into the impact of the pandemic for retailers in 2020
“Overall average daily non-grocery retail foot traffic declined 14.1% across the year and 22.5% during the holiday season. Amidst these declines, there were clear winners and losers across the various retail segments,” said John Mellor, chief strategy officer, Domo. “Our latest report outlines key differentiators from the retailers that weathered the storm and those still trying to right the ships.”
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Key Report Findings for 2020 Retail Trends:
- Fear of the Unknown: January and February 2020 roared out of the gates with 30.8% and 14.8% YoY foot traffic growth, but by March and April of the same year foot traffic plummeted. During the week of March 22nd, states with stringent Covid-19 lockdown restrictions saw a 42.3% decline and states with less stringent restrictions also saw a 25.9% decline, indicating that fear may have played a larger impact than regulations early on.
- BOPIS Mattered: Based on the analysis, retailers that had buy online, pick up in store (BOPIS) experiences were able to draw in more foot traffic with declines of only 1.2% during the year versus the 23.3% decline that retailers without BOPIS saw.
- Nearly Three Quarters of Small Business Foot Traffic Gone in April: The year’s low point for foot traffic losses occurred on April 17th; on this date, small retailers saw a staggering 83.2% drop in foot traffic and were only able to bounce back to a 51.3% decline over the summer. During the holiday season, small retailers were battered with 53% foot traffic declines while very large retailers were down only 11.7%.
- Time for DIY Projects: The top sector with foot traffic gains during the holiday and across the year was Home & Garden with 7.7% greater foot traffic in 2020 than in 2019.
- Another Blow to Mall Retailers: Retailers located in the mall suffered through a 38.8% decline in foot traffic versus the 9.4% declines of retailers not located in a mall.
Mellor continued, “Trends from 2020 foretell the likely volatile nature of the future lockdown economy. As the data shows, it’s clear that digital innovation was a critical component to retail survival through 2020 and makes clear that the future will belong to those retailers that can adapt quickly. These adaptations and innovations can be propelled through technology such as Domo’s modern BI platform, which quickly unlocks the value of data to help accelerate digital transformation initiatives.”
