Major international brands are forced to suspend operations in dozens of countries amid the spread of coronavirus, quarantine and the refusal of consumers to visit shopping centers and retail stores. As retailers in mainland China gradually come to life, more and more fashion retailers in Europe and the United States are stopping to operate.
As of 18 March 2020, the total number of reported cases due to Covid-19 was close to 200,000. More than 30,000 cases were confirmed in Italy, including the most affected countries France, Germany, Spain and the USA. Thus, retailers that experienced a sharp drop in revenue in February due to the suspension of operations in China are now losing key markets.
To date, it is known that Adidas closed its stores before March 29. Gap has temporarily suspended about 100 stores in the most affected regions. H&M has closed hundreds of stores until April 2, Nike – until March 27, Reebok – until March 29, Sephora – until April 3, Victoria’s Secret – indefinitely.
All employees of retail chains who have been suspended from work will continue to receive their salaries in full. Losses of retailers against the backdrop of this situation are estimated at billions of dollars. It is expected that the situation on the US and European markets may stabilize not earlier than the end of March – beginning of April.
The complete list of fashion and beauty retailers that closed their stores in the USA in March looks like:
