The Top 3 Challenges Egyptian Retailers Will Face In 2021?

Forced to adapt

The first wave of coronavirus hit the world at the onset of 2020 and suddenly people were forced to adapt to the new normal. Businesses, especially the traditional retailers were the ones who suffered a massive blow. First, due to complete lockdown and then the changes in the shopping and behavioural pattern of consumers. If you are wondering what the changes are in this ‘new normal’ for the Egyptian retailers, here is a quick market survey-

1- The reluctance of customers due to ongoing pandemic

The Covid 19 and the subsequent lockdown have created a huge ruckus and panic among the people. Customers are scared to step into brick and mortar stores which is causing a footfall, profit, and sales to plummet in the traditional retail channel. Moreover, during the lockdown, the consumers have also become accustomed to the digital medium. This has been the case for a profession, entertainment, or shopping and it will be a major challenge for retailers to tackle this habit.

2- The entry of E-commerce magnates

Another challenge for the traditional retailers is the massive growth of online retailers like Amazon which has entered aggressively in the Egyptian market. Ecommerce not just sell but also educate the customers through digital means. What adds to their popularity is the fact that consumers can shop from the very comfort of their homes from a massive catalog of products, all at the click of a few buttons.

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3- Evolving consumer behavior

In today’s times, consumers are willing to spend more on experience rather than the product. Ecommerce combines experience with affordability, thus creating a win-win situation for the customers. As a result of this, customers are putting pressure on retailers to perform on the same lines as their digital counterparts like Amazon, Uber, etc., and provide them an experience of the highest order. While the traditional channels are striving hard to compete in terms of experience, it will be a challenge to maintain the scalability of operations along with the seamless consumer experience.

Thus, with the market gradually unveiling itself, it would be interesting to observe how the buyers and sellers react to the changing shopping patterns.

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