NRA calls on government to provide $ 5,000 loans to physical retailers – Shopping Center News
Retail industry leaders and cutting edge organizations urge physical merchants to adopt innovative post-JobKeeper marketing strategies to attract customers, saying government support in the form of a $ 5,000 loan would be a helpful boost.
While the National Retail Association (NRA) backs government $ 6,000 e-commerce loans for retailers looking to go online, it says not all retailers can go digital and that there is a need for retailers that depend on foot traffic and face-to-face traffic. deal with purchases to revamp and refresh their exterior in order to attract customers to their physical stores.
“E-commerce will be essential for many businesses in the future, but not all businesses can go online,” said Dominique Lamb, CEO of NRA. “What many retailers desperately need are loans so they can refresh their public branding to attract customers and help them stay afloat during this time of instability. We are calling on the government to provide small business loans of $ 5,000.
COVID lockdowns and online shopping have severely affected retail foot traffic. Retailing accounted for just over 20% of all businesses that closed from June 2019 to March 30, 2020, based on ABS statistics.
And the brick-and-mortar store challenge isn’t going anywhere anytime soon; a study conducted by Monash University revealed that Australian shoppers expect to use online shopping channels about 31% more due to COVID-19.
“In terms of industry survival, stores that were able to move to online platforms were able to protect themselves and maintain a source of revenue,” Lamb said. “However, we are concerned about stores that require a customer to physically inspect items before committing to a purchase – such as furniture, electronics and housewares stores, for example.
“It’s much more difficult for these retailers to go digital because of the buying process. They need physical marketing tactics to attract customers, like store signage, ”she said.
Mike Toweel, CEO of VitrineMedia, a light box and signage company that uses the science of “ cold white light ” – the type of light used in Tokyo and Times Square in New York City – to subconsciously attract the eye, has been busy during COVID helping businesses grow. pedestrian traffic and sales.
“Studies have shown that different types of light cause different reactions in the brain,” Toweel explained. “Cold white light engages the brain in a way that warm yellow light does not. It’s a great light for relaxing, but if you want to grab attention you want a cool white light, which illuminates very successfully. This is why it is used in aquariums.
Renish Satani, the founder and director of the new Adelaide-based mobile phone company, Pop Phones, agrees, saying the pilot project at his Golden Grove Village store has been so successful that he has since installed the screens. VitrineMedia at its other outlets in the city and in the shopping malls in the northern suburbs, Hollywood Plaza and Munno Para.
“When we were forced to close the doors on the first lockdown, we couldn’t rely on online sales like other stores and had to look for other solutions to attract customers,” Satani said. “We used our VitrineMedia indoor signs to advertise our monthly promotions and specials, and within weeks sales of these items increased by approximately 10%.”
The NRA Lamb is not suggesting that the government should provide grants, but loans to businesses that are currently strapped for cash.