Analyzing COVID-19's Impact on High Street Retail and Business Growth

This report examines the significant impact of the COVID-19 pandemic on the British high street, exploring the decline of traditional retail due to shop closures, increased online shopping, and shifts in consumer behavior. It analyzes how the pandemic accelerated the 'death of the high street' and created new opportunities, particularly for the hospitality, tourism, and events sectors. The report highlights the potential for these industries to repurpose retail spaces, offering innovative services such as spas, guest houses, and event venues, and adapting to changing consumer preferences. It also discusses the challenges faced by stakeholders and the importance of digital presence and understanding market trends. The analysis emphasizes the need for businesses to leverage these opportunities and adapt to the evolving landscape, including the rise of online shopping and the demand for unique experiences. The report underscores the critical role of hospitality and tourism in revitalizing high streets and creating new jobs, ultimately presenting a comprehensive overview of the challenges and opportunities arising from the pandemic's impact on the retail sector.

Assessment

Contents
INTRODUCTION...........................................................................................................................2
MAIN BODY..................................................................................................................................2
COVID-19 epidemic changes the vision of death of the high street...........................................2
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9
1

INTRODUCTION
The British high street has suffered a great loss in recent months. Shop closures have led
to increases in online shopping. Death of the high street basically means that a big store closes
because of online shops, large super markets and change in customer preferences. During the
time of novel corona virus pandemic, most of the consumers are going online as they do not want
to be involved in doing physical shopping. This has led to downfall in the sale of small retailers.
There has been slower rate of opening of high streets and the closure rate is really high. The high
street retailers are also hit by the financial crisis. Present report will lay emphasis on COVID-19
epidemic changes the vision of death of the high street
MAIN BODY
COVID-19 epidemic changes the vision of death of the high street
It has been analysed that the death of high street has provided significant opportunity to
spa, events, hospitality and tourism sector to grow business in these areas. They can change
advantage of the change in consumer behaviour. Even prior to the Covid-19 crisis high streets
were in decline, the Covid-19 crisis may well be their death knell. In this the hospitality and
tourism organisation can be involved in changing the retail outlets to more of residential use.
They can build up guest houses over there or even home for elderly. This can assist them in
expanding their business. The retail high street is being declining that now a day’s consumer
prefers to only buy online as this has increased their flexibility. They do not want to visit
physical stores (Selfridge and Mitchell, 2020). The tourism organisation can set up their offices
or even stores over there. They can purchase the land from retail store owners. This can assist
them in expanding their business and also, they will be able to gain competitive advantage
because of it. As during the time of corona virus pandemic hospitality business are also suffering
the death of high street can emerge as an opportunity for them. With the closure of shops in
streets, they can purchase them and build innovative stores in order to attract consumers. They
can open spa and relaxing rooms which is really necessary during these tough times. Also, by
opening up stores over the hospitality and tourism can also provide services of spa at home. This
will convert their problems into opportunities and they will be able to attract more consumers. It
will also assist them in increasing their profitability. They should make sure to have a check
upon consumer attitudes and behaviours as their preferences change by time to time. This
2

mistake was made by high street retail store owners as they were not being able to analyse
consumer behaviour.
The high street retailers are facing long term decline in their business. This can become
opportunity for hospitality and tourism, they can also open up large super market chains over
there. This can assist them in expanding and diversifying their business. It will assist them in
increasing their profits as well as revenue during these tough times. It has also been analysed that
there are various challenges which is being faced by local stakeholders. Streets have been
preferred location of shopping’s since the urban civilisation. The high street in Britain was in
decline since financial crisis (Hubbard, 2017). E-commerce has reduced down reputation of high
street. Consumers now prefer to buy online as lots of different products are being given to them
through digital marketing. And during the time of novel corona virus crisis, consumers are not
preferring to go out so they order online. This can be converted as an opportunity to hospitality
and tourism. They can build up attractive tourist places instead of retail shops. This will assist
them in expanding and diversifying their business. They can also open restaurants and food
services which provides services online too. This can assist hospitality organisation to be in
market even during the time of novel corona virus pandemic. Various event company can be
open up at that place, so that booking for events by consumers can be easier for them. This can
also assist event company in having physical services at a better location. So, by this it has been
analysed that death of high street can be developed as an opportunity for hospitality, tourism and
events (Dobson, 2018).
The role of hospitality has become really important during the time of novel corona virus
crisis and the death of high street retail stores. British town centres and high streets have
undergone dramatic change over the last decades. It can be reason of change in policies, change
in demographic and transportation situation. The recession period of 2008 had led down business
of high streets (Drechsler, 2019). It means that before coming up of corona virus even the high
street retail shops were suffering. It has been analysed that in this the hospitality business can
took this opportunity and they can re-invent their business which is been suffering because of the
global pandemic. The hospitality business can also be involved in hosting off events in high
street with half capacity. This will support the hospitality business in building up their brand
reputation and also, they will be able to attract high range of consumers which is really necessary
for their growth. They can also show caste the activities and events conducted by them digitally.
3

This is the biggest business opportunity they have got and the industry of tourism needs to make
use of it appropriately. It has also been analysed that Consumers now prefer to buy online as lots
of different products are being given to them through digital marketing. And during the time of
novel corona virus crisis, consumers do not prefer to go out so they order online. This means that
business of high streets has gone down and the tourism organisation can make use of it. They can
also open up various other things like bars and restaurants with half of capacity.
Business activities has been continued to fall and also there are so many businesses which
has been shut down because of the novel corona virus. This was because of the lockdown which
was imposed by so many countries for the safety of their citizens. It has also been analysed that
this situation of pandemic has occurred as opportunities for so many other companies. Like for
example the high street market has come to an end so this opportunity can be grabbed by
hospitality and tourism, events and spa industry (Rao, 2019). This will assist them in increasing
their profit and revenue when new business is being opened by them. They can open up various
other entertainment services in place of the high street retail stores. Also, the hospitality and
tourism business can make sure that the entertainment service is also been telecast digitally. This
will help them in attracting mind of high number of consumers and they will also be able to earn.
As high street is one of the most common streets in United Kingdom, people will enjoy having
spa and other events over there. The tourism and event industry can be engaged in conducting
the events by creating social distancing, for the safety of visitors. They can also broadcast on the
various apps like Netflix, so when the viewers will view these events then the companies can
earn large amount of profit. All this can become an opportunity for the hospitality and tourism
during the time of novel corona virus pandemic.
Many high street shops slashed prices on clothing when they reopened after lockdown
but have been unable to sell all of their excess product. The one of major issue faced by high
street retailers is lack of their online presence, as many of the store owners fail to invest in digital
stores. It is one of the most common reason for the failure of their business amid the novel
corona virus crisis (Leone and et.al., 2020). Hospitality organisation can use this as an
opportunity they can even engaged in buying products from these stores and offering it to
travellers at their hotels. This will assist them in increasing customer satisfaction and also their
brand value will be increased. Organisations can be offered products at lower price, so that they
will like to visit the hotel again. This way they can help themselves as well as high street retailers
4

too. It is a business opportunity for the hospitality and tourism company and they must make use
of them effectively.
As the high street owners do not have an idea of the trends and consumer preferences,
this is also the main reason that they are losing their market and more people are shifting towards
online shopping. Also, consumers are diverting their mind towards online shopping as they don’t
want to do physical shopping and these high street retailers lack digital presence. Even before the
novel corona virus crisis their business was falling apart. This can become an opportunity for
other business and they can also expand their busines over there. As high street is most visitable
hospitality can business can open up their hotels or cheap motels over there. This will be
reachable by most of guests and travellers. It will also be convenient to stay in a hotel which
exists in high street as flexibility will be increased through this. It will also help them in
increasing their return of investment and they will also be able to grow and achieve their set
target and mission which was not being achieved by them because of novel corona virus crisis.
The hospitality business can also be involved in hosting off events in high street with half
capacity. This will support the hospitality business in building up their brand reputation. If the
tourism and hospitality organisation is been engaged in doing this, they will also be able to create
job opportunities (Verma and Gustafsson, 2020). This will be really helpful during the time of
novel corona virus pandemic as so many people have lost their job because of the lockdowns.
Also, hospitality business is hugely affected by this pandemic situation. This is because so many
countries have imposed ban on traveling and also hotels were forced to be closed down because
of COVID-19. By creating hotels and motels in the high street, they can also provide jobs to the
small owners. This will help them in enhancing their life style. So, this opportunity needs to be
grabbed by hospitality, tourism and events. The spa company can also open spa’s over there.
This will be really helpful at this time as most of the people are stressed. So, the spa can assist
them in giving them relaxing feeling. Better safety measures need to be taken by company when
giving body spa. They should take all necessary precautions for the safety of travellers and
clients (Donthu and Gustafsson, 2020).
During the time of pandemic situation, the role of hospitality business is crucial. They
can open up guest houses over there and can allow people who are suffering from corona to
isolate over there. Minimal charges can be taken by them. Also, it will be really helpful for
citizens as they will be staying away from their families in better conditions at cheaper rate. This
5

can assist the hospitality business in increasing their brand reputation and they will also be able
to grow by gaining trust of consumers. Customers will also be retained if this initiative has been
taken by them. They just need to make guest house in place of high street stores. Also, various
other initiatives can be taken by hospitality and tourism companies. They can build up attractive
tourist places instead of retail shops. This will assist them in expanding and diversifying their
business (Kurmann, Lalé and Ta, 2020). They can also open restaurants and food services which
provides services online too. As local movement is allowed then people can easily enjoy these
shows by taking necessary social distancing measures. It will help business in growing.
In today’s time the high street market is down falling, this is because of the reason that
consumer’s trends and preferences are changing. They prefer to shop online as there they can
have variety of products and services available to them and also at lower price. This has led to
down fall in the purchasing from the high street shops. This means that market is slowing down
and also during the time of novel corona virus period, the market is in worsening situation.
Hospitality and Tourism Company can take this as an opportunity. They can negotiate with the
vendors of high street owners and can start their business over there. This can assist them in
increasing their profit and also they will be able to grow because of this. Hospitality business
condition is also worsening during the time of novel corona virus (Hart, Ellis-Chadwick and
Haji, 2017).
It has also been analysed that before coming up of corona virus even the high street retail
shops were suffering. It has been analysed that in this the hospitality business can took can
opportunity and they can re-invent their business which has also been suffered because of the
global pandemic. It has also been analysed that retailers of high street stores have no idea related
to the trends which are going. They lack in skills related to market research. This has made
difficult for them to survive in dynamic changing conditions. Event industry can also take
advantage of this. They can use this for something else, like for example they can host events,
conduct shoots and also can attract consumers over there. This can become a better chance for
them in order to increase their profitability. In order to be in market all these industries needs to
be engaged in doing market analysis so that they can be in competition and also because of this
they will not be able to go down. High street shops are going in financial crisis because of
increase competition and existing of online stores. There sale has been declined and so many of
the people have lost their job because of this. Research has evaluated that between 2020-2030 the
6

United Kingdom’s high street shops will be vanished (Donnelly, Gee and Silva, 2020).. Many
super markets, book stores will now will be taken in memory lane, it is because of giant e-
commerce websites who has taken all the market. It has been analysed that hospitality business
can make use of this opportunity and they can start building exquisite hotels over there. This will
be flexible for consumers to have hotels in that place. By this hospitality industry can also grow
their business over there and this will help them in achieving their set target and objectives
(Donnelly, Gee and Silva, 2020).
It has been analysed that the era of internet has massive impact on the high street shops.
People don’t prefer to go over there as they are busy in their work; all these people prefer to
purchase online. Internet has increased the flexibility of consumers and now they can save time
and can purchase online. United Kingdom retail market has slowly been lowering down and also
in the upcoming years it will be vanished. Hospitality, events and spa can take place of it and
also they can open up their organisation in place of stores. This can assist this business in
growing and also by making use of this strategy they can also easily enter up the international
market. For this they need to do keen market research and also should be able to know about the
preferences and needs of consumers. This was the mistake of high street vendors that they were
not been able to analyse the new marketing trend and because of this online stores have taken
their place. There are lots of parking issues in the high street, so hospitality organisation can also
be engaged in opening up such an area where the vehicles can be easily parked. This wills also
one of the reasons that the consumers were not visiting the high street to purchase something. So
much opportunity is lying withstand hospitality and tourism, they just need to grab these
opportunities and convert this into success of an organisation. The employment role which I will
gained within the hospitality industry is of front desk manager for the guest room services which
will be opened for people suffering from novel corona virus. This will assist in achieving the
goals that has been set up by them. (Greenhalgh, Johnson and Huntley, 2019). In place of the
street shops the real estate can also build up apartment by purchasing the shops from vendors.
This will also lead to survival of retail owners and also the real estate industry can provide job
opportunities to so many people by having a building over there and also renting apartment to
other people. This will be beneficial for both so they can be engaged in grabbing this opportunity
and also their set target and mission can be achieved by this.
7

CONCLUSION
From the study it has been analysed that there has been death of high street and this has
become an opportunity for other industry as they have set up their business over there. The death
pf high street is because of internet shopping taking their place and also the novel corona virus
period has led to death of high street stores. People now do not like to shop offline because of
fear of spreading of infection. This has increased the loss of retail stores and also because of this
they have gone into financial crisis. Event industry has also made use of this opportunity. It has
also been analysed that before coming up of corona virus the high street retail shops were
suffering previously too. It has been analysed that in this the hospitality business can take
opportunity and they can re-invent their business which has also been suffered because of the
global pandemic. This has assisted them in growing and also because of this they have been able
to generate more return on investment and increase in profit.
8

REFERENCES
Books and Journals
Drechsler, P., 2019. Life, Death and Reincarnation: The vicissitudes of the traditional retail high
street. In State of Australian Cities Conference.
Hubbard, P., 2017. The ‘Death’of the High Street. In The Battle for the High Street (pp. 15-44).
Palgrave Macmillan, London.
Selfridge, M. and Mitchell, L.M., 2020. Social media as moral laboratory: street involved youth,
death and grief. Journal of Youth Studies, pp.1-16.
Dobson, J., 2018. The Battle for the High Street: Retail Gentrification, Class and Disgust. The
Town Planning Review, 89(2), pp.204-205.
Donthu, N. and Gustafsson, A., 2020. Effects of COVID-19 on business and research. Journal of
business research, 117, p.284.
Verma, S. and Gustafsson, A., 2020. Investigating the emerging COVID-19 research trends in
the field of business and management: A bibliometric analysis approach. Journal of
Business Research, 118, pp.253-261.
Leone, L.A. and et.al., 2020. Healthy Food Retail during the COVID-19 Pandemic: Challenges
and Future Directions. International journal of environmental research and public
health, 17(20), p.7397.
Kurmann, A., Lalé, E. and Ta, L., 2020. The impact of COVID-19 on small business
employment and hours: real-time estimates with homebase data. Work.
Greenhalgh, P.M., Johnson, L. and Huntley, V., 2019. An investigation of the impact of 2017
business rates revaluation on independent high street retailers in the north of
England. Journal of Property Investment & Finance.
Donnelly, S., Gee, L. and Silva, E.S., 2020. UK mid-market department stores: Is fashion
product assortment one key to regaining competitive advantage?. Journal of Retailing
and Consumer Services, 54, p.102043.
Rao, F., 2019. Resilient Forms of shopping centers amid the rise of online retailing: Towards the
urban experience. Sustainability, 11(15), p.3999.
Hart, C.A., Ellis-Chadwick, F. and Haji, I., 2017. The role of digital in the town centre
experience.
9

10