Please, not the Gucci store! The results are in, and the losses for retail stores in April is huge.
Losses mounting up. In March, retail sales fell by 8.3%. In April, the freefall continued at 16.4%.
- Worse than expected. Economists predicted April’s decline in retail sales to be at 12.3%.
- April retail sales are down 20% from a year ago.
- Total consumer spending in April amounted to just $403.9 billion.
Biggest losers: The clothing and accessories niche took the biggest L with a 78.8% sales drop in April.
How does it affect my wallet?
What’s next? Brick & mortar retail stores were already suffering from deteriorating sales, now COVID is accelerating the decline.
Bankruptcies. Not all retailers are expected to make it out of this economic downturn. JCPenny is already planning to file for bankruptcy.
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