It’s too early to assess the full financial impact of COVID-19 on supermarkets, but the disruption caused is plain to see: shelves empty only seconds after being restocked and long queues to get into stores and pay. It has been, and continues to be, chaotic to say the least — and behind the scenes is no different.
COVID-19 is having a material impact on business operations, disrupting supply chains, influencing customer behaviours and stretching workforces. UK-headquartered Tesco estimated that the impact on its retail cost line will be circa GBP 650m-925m — depending on the scenario — and cited significant cost increases in payroll, distribution and store expenses. But while supermarkets share the same fundamental building blocks, no two business models are identical. Although each player is encountering its own challenges — and relative opportunities — some common themes have emerged in Interviews with industry experts.
Submit your email address for full access to our Research content.