Retailers must ‘recession proof’ business as Ireland enters recession

With the Irish economy facing an unprecedented challenge due to the economic effects of
Covid-19, independent retailers must make the move to e-commerce to stay profitable,
according to digital growth agency Grofuse.

“The outbreak has accelerated what has been a hesitant embrace of e-commerce. With
online shopping predicted to grow by a third by the end of 2020, retailers who have not
taken the plunge to online selling risk allowing competitors to gain greater ground amid the
economic decline,” says Grofuse Director, Ian Cullen.

 

 

 

 

 

 

 

Mr Cullen adds: “It’s now a necessity for business owners to invest in their digitalisation to remain competitive and to ‘recession proof’ their businesses. Retailers that are digitally enabled will weather the crisis better than those who are slow to adapt.”

The latest economic figures from the CSO show that the country’s GDP shrank by 6.1%
between April and June – the largest quarterly fall on record.

Meanwhile the Central Statistics Office has revised down its growth estimate for the first
quarter of the year to -2.1%. A recession is defined as two quarters of negative growth in a row.

The Minister for Finance Paschal Donohoe said the CSO figures are “absolutely in line with
what we would have expected”, stating that the virus was “doing the most damage” during
the second quarter of the year.

“In the midst of a financial crisis, business owners must improve what they still have
leverage on – their digital presence. In order to not only safeguard their business but also
promote the safety of customers and employees, online solutions must be implemented,”
Mr Cullen adds.

A business which is established online can generate more revenue streams, increase
customer retention and provide new ways to provide value to customers.

Customers will now begin to cut back on spending, meaning independent retailers must be
in a better position to compete against ‘the big 4’ and weather the looming recession.

A plan must be in place for reduced revenue and restricted spend – to provide e-commerce
stability in uncertain times and accommodate soaring demand for delivery and collection
services, provided by online ordering systems like Mercury Order from Grofuse.

For a free Mercury Order demo today, to protect your business against a further economic
downturn, visit https: Mercuryorder.com or contact our team:

UK Tel: + 44 28 7122 8820
Ireland Tel: +353 1 247 5294

International Tel: +44 333 241 44 22