Endangered species

Tectonic shifts tend to create casualties. One of the main casualties of the coronavirus pandemic is the brick-and-mortar store. [LF1] Analysts estimate that 100,000 stores will close by 2025, according to Market Watch.

• The endangered categories include:

• Apparel stores (24,000)

• Electronic stores (12,000)

• Home furnishings (11,000)

• Grocery & food stores (11,000)

Social distancing measures and fear of infection drove people away from physical shopping facilities, leaving a litany of brand-name stores in its wake. JC Penney closed more than 150 stores as part of its bankruptcy proceedings. Neiman Marcus, Macy’s, Pier 1, Nordstrom and Zara were also among the casualties of the retail store apocalypse.

On the flip side, ecommerce has seen a surge as a result of contactless online shopping and convenience. Ecommerce penetration is now expected to reach at least 25% by 2025, up from 15% in 2020. This has translated to great news for brands such as Shopify, Amazon and Walmart. It’s a great time to be a digital marketer.