Business Dean Says COVID-19 May Have Changed Retailing

Large retailers that were already having issues connecting to a changing customer base could not escape COVID-19.

JC Penney, Pier 1, Neiman Marcus among the retailers who are closing stores in the aftermath of the COVID-19. MTSU College of Business Dean Dr. David Urban said the stress of forced closures in many parts of the nation proved too much to overcome.

“Some of those chains were not in the best of shape before the virus,” Urban said. “The virus I think was a catalyst that just accelerated the decline. It made it that much more acute before they had to take some steps.”

Urban said before the pandemic, customers were already comfortable with online retail. He said online shopping became increasingly more convenient during the pandemic, and has accelerated a positive movement.

“What you’re seeing a lot is with people purchasing of what would be considered staple items, not shopping goods or luxury goods online,” Urban said. “I mean, when people start buying toilet paper and paper towels for delivery by Amazon, you know that things are shifting.”

Retail trends have been shifting for some time, Urban said. Large department stores have fallen out of favor. So have shopping malls. Add that to the rise of online shopping and the future of retailing may never be the same, Urban said.

“Once people get a taste of changes in preference and find them to be comfortable, then it really is a new normal not going back to what had been normal,” Urban said.