Impact of Covid-19: Retail sales have been hit hard; Sales of health, hygiene and instant food products increased
NEW DELHI: Retailers experience continued growth in health and hygiene category products as well as food, personal care and home care products, but discretionary categories like beauty and cosmetics, fashion and clothing were negatively affected during the second wave of the pandemic.
Now the focus is renewed on healthy alternatives such as toothpaste and Ayurvedic juices, while instant foods and ready-to-eat snacks with nutritional offerings are also seeing greater penetration. Also, the value packs are doing well this time around as the smaller Rs 5 and Rs 10 packs saw an increase of up to 20% in categories such as cookies, ketchup and jams, while bulky and premium packaging has been affected because people are careful. their disposable income.
In addition, some retailers are also facing the problem of excess inventory in categories such as apparel, fashion and home care categories as they had stocked their inventory in March in anticipation of the coming season after having had a good rate of operation during the quarter from January to March. “Spending has fallen in high prices and non-essential categories,” said Managing Director and CEO of METRO Cash & Carry India, Arvind Mediratta.