Retail Sales: JKU Researchers Estimate a Daily Decline of 130 million Euros
Losing pre-holiday business means the impact will be worse than during last spring when losses were around 2.2 billion Euro.
The Institute of Retailing, Sales and Marketing at the JKU estimates that sales dropped approximately 110 million Euros a day during the first lockdown back in spring. The higher losses estimated during this lockdown are due to the fact that businesses will be losing their big pre-holiday business. By closing for 17 days, sale losses could even exceed the estimated total of 2.2 billion Euro.
Prof. Christoph Teller (head of the Institute of Retailing, Sales and Marketing at the JKU) also stated that it is uncertain what will happen after the lockdown, especially on December 8, which is traditionally one of the biggest shopping days of the year in Austria. The country’s businesses may have to brace for "…a tsunami that will hit stationary retail trade and be difficult to control." Businesses got a taste of this over the past weekend before the official lockdown began. However, for the time being, there seems to be no plan as to how to proceed once the lockdown ends.
Researchers believe that the time period between March 16 and Easter of this year when 22,400 retail stores closed for 24 shopping days and lost 110 million Euros a day in sales is comparable to November and will result in a total loss of approximately 2.6 billion euros in sales. Even shortly after Easter - and once certain retail restrictions were lifted, affecting "only" 8,100 large retail stores - daily losses in sales still amounted to 80 million euros a day.