On average, 45% of all salons asked for rent abatement. Fitness related brands and franchises both had an average of 15.7% of locations ask for rent abatement. The least rent abatement was seen in child-related retail, with an average of only 7.7% of retail locations making requests.

Survey respondents assumed these categories most frequently asked for abatements as a result of frequent forced closures, and in many cases, state mandated delays in re-opening.  These delays have been especially problematic for gyms. One Florida management group said, “fitness gyms that offer basketball, pickleball and racquetball have a harder time bouncing back because of the restrictions. We’ve seen 55% of our fitness tenants request rent abatement as a result.”

When you compare the East versus the Western United States, rent abatement requests become a bit more interesting. Both regions had almost the same average request rate, 16.9% average on the East coast and 16.4% average on the West coast. Both regions still saw salons making up the largest portion of the rent abatement requests, followed by fitness and then franchise tenants.

The West coast, however, saw larger averages in food, fitness, and franchises than the East coast.  The East coast saw higher averages of rent abatement requests in salon, child-related, national brands, and medical retail tenants than the West coast. 

Salon retail was the category with the largest difference between geographies, with East coast salons making rent abatement requests an average of 8% more often than the West coast. The next largest difference was in medical retail tenants, again with East coast tenants making abatement requests 5.4% more often than their West coast counterparts. The category where the West coast most outpaced the East was in food and restaurants, with an average of 4.8% more rent abatement requests.

When interviewed, Mark Brutten of Brixton Capital, said “The restaurant industry was able to stay open, but some restaurants were not prepared for take out only and delivery. Some ran out of take out supplies and because the warehouses they get their food trays from were closed, they could not replenish. A lot of essential businesses were not even thought of as essential and were forced to close.“

There is no question, the Coronavirus pandemic has put additional stress on many stores already struggling. As many stores have been forced to stay closed, this stress has now started to impact shopping centers and retail commercial real estate groups. Rent abatement requests may just be the beginning of the turmoil many of these locations will face before Covid-19 restrictions begin to lift. 

Retailsphere will continue to perform outreach and survey for information related to Covid-19 rent abatements and restrictions and will update on our blog. If you’re interested in learning more about Retailsphere’s data collection and research team, reach out to Retailsphere today to speak to someone about our extensive retailer database or request a personalized demo.

The post More Salons Asked for Covid-19 Rent Abatements than Any Other Retailer Category appeared first on Retailsphere.

Retail has a long history of adapting to changing economic conditions, though profound industry change has never come as quickly as in the past dozen years, as the Great Recession, the rise of Amazon and now the COVID-19 pandemic have rocked physical stores, forcing shopping centers and tenants into a rapid succession of adjustments.Out of the recession sprang a strong value orientation and from the Amazon expansion came new online-proof dining and entertainment experiences, plus an "if you can't beat 'em, join 'em" foray into e-commerce from retail tenants.

But what now? The coronavirus, which continues to make consumers cautious of en-masse gatherings, poses a continuing existential threat to physical retail that's likely to reverberate for years to come and force a battery of unprecedented challenges.

"What we see in front of us for a recovery in this case, is unlike anything any of us have had to endure or experience for over 100 years," said Keith Jelinek, managing director in the global retail practice at consulting firm Berkeley Research Group, in an interview with the online publication, Retail Customer Experience.

While the global pandemic threat will eventually pass and business operations will return to normalcy stage by stage, the odds are that retail customer experiences and interactions will be vastly different moving forward, he said. "The current crisis should serve as a reminder to all retailers and consumer-product and service companies that having a worst-case-scenario plan is an important part of critical strategic planning," Jelinek said.

The slow and uncertain return of customers to shopping centers is making it very difficult to project staffing and inventory needs for owners, Jelinek said. Moreover, seasonal and trending fashion merchandise, as well as such things as sports-league apparel, have mostly passed their peaks languishing on shelves during COVID-19 shutdowns and will need to be moved at a loss as new product is brought in, Jelinek said. "It will take time, and that time will require the generation of liquidity and access to capital," he added. Moreover, seasonal-buy plans that vendors would typically project for the next year will be much harder to orchestrate, given the possibility of another wave of the coronavirus, Jelinek said.

On the macro level, retailers and other consumer-goods and service companies must now routinely assess potential threats and challenges globally, and do so through "a logical set of steps that build their capability to sustain the impact and then to rebound," Jelinek said.

Technology that will help create completely touch-less stores, including the checkout process, will be on the minds of retailers and consumers alike. That can be achieved, at least in part, "through stronger retailer apps that also create brand loyalty and clarify the value proposition of a brand," said Karly Iacono, who heads the Iacono Retail Group of retail-investment-property specialist Marcus & Millichap, in her video, "Retail Bankruptcies and the Path Forward."

Heat mapping and other store-use surveillance that shows where consumers are most frequently congregating and how long they're staying there, will be critical in creating a safe environment, said Iacono, in the May video. "This could be extremely useful if we have to continue social distancing to see how the flow of the store is working and if there are any bottlenecks," said Iacono.

Smart retailers will be able to use those same processes to streamline their product lines and amplify their value propositions, plus determine what products are of interest, what layout changes needs to be made and what parts of a shop customers aren't getting to from a flow perspective, she said.

As centers reopen, new logistical strategies are being used to make common areas and food courts safer, including spacing of seating to allow social distancing, quicker removal of food trays, repetitive cleaning of high-use areas, addition of hand sanitizing stations and signage that promotes distancing; plus the creation and diplomatic enforcement of new occupancy maximums, among other measures, according to Cushman & Wakefield's Recovery Readiness for Retail Properties guide. Enhanced tenant communications about safety, sanitation, hygiene and disposal practices, as well as crucial information about how both employees and customers can minimize the touching of merchandise, will all need to be issued.

To emerge from the present turmoil and get through the next year to 18 months, retailers will need a lot of extra cash on hand, meaning they'll have to be especially mindful about their budgets and financial statements and any expansion plans, said Iacono. They'd also be well advised to consider strategic innovations that could both make them more competitive and optimize existing real estate, she added.

For example, Gap is moving into furniture and baby product lines, Target is piloting same-day shipping to compete with Amazon, Bed Bath & Beyond has turned 25% of its stores into shipping hubs with no retail, Walgreen is expanding into ophthalmological services and Walmart is expanding into health services, Iacono said.

At the small-store level, retailers are surviving the COVID-19 slowdown by doing such things as delivering purchases to customers, making curb-side pickup available, facilitating online payment, and photographing a targeted range of store products to send to customers, according to the National Retail Federation. Those practices should continue when such businesses return to normal hours, the federation said.

It's still too early to tell what shopping centers tenant mixes will look like post-coronavirus, given ongoing tenant financial fallout. Before the widespread closures, the percentage of food tenants in shopping centers had been rising steadily, from the old standard of about 3%, to 10% in 2019, with many newer centers committing up to 15% of property to eateries, according to a JLL survey. Younger patrons in particular, said JLL, were keen on supporting community-based restaurants and merchants, though some of those may not be able to emerge from coronavirus-related shutdowns.

Physical stores, despite the bump given to online retail experiences during the pandemic, will remain the most powerful sales channel, as well as the most measurable and manageable, said Doug Stephens, author of "The Retail Revival: Re-Imagining Business for the New Age of Consumerism" and "Reengineering Retail: The Future of Selling in a Post-Digital World," in an interview with Retail Dive.

Stephens, who also goes by "the Retail Prophet," said physical stores are still the first point of contact between consumers and brands the vast majority of the time. "As consumers become increasingly technologically entrenched, they'll crave far more and better physical retail experiences," he said. "And so brick-and-mortar spaces will (continue to) offer retailers and brands the opportunity to draw the consumer into the brand story, deliver a remarkable and immersive brand and product experience, and ultimately galvanize their relationship with consumers."

Stephens adds that the future of retail will likely "see complete integration of technologies like augmented and virtual reality, the internet of things, sensor-driven packaging and connected appliances." For greater efficiency, chain retailers will probably push forward initiatives allowing them to ship products to customers from any of their stores, Jelinek added.

Store customers returning after COVID-19 shutdowns are more likely to re-adapt quicker to open-air centers than enclosed ones, Jelinek said. Meanwhile, re-opening shopkeepers are faced with the realization that all interfaces between store associates and consumers need to be tweaked to put safety at the forefront, including handling of shopping carts, dressing room usage, handling of cash and credit cards and installation of clear dividers at POS terminals.

Jelinek concluded: "Retail always manages to adapt."

Are you looking for innovative retailers to bring to your shopping center in a post-Coronavirus shopping environment? Retailsphere is here to help you not only identify brands that appeal to your audience, but also ones that have been innovating long before Covid-19. Reach out today for a demo and see how easy it can be to find and reach out to national, regional, and local brands who are thriving and expanding in today's retail climate.

The post As Amazon grew, retail focused on food. What will happen after Coronavirus? appeared first on Retailsphere.

Hope is permeating as vaccines are widely available and as a nation we are shrugging off the hardships of enduring over a year steeped in a world-wide pandemic. As shoppers step outside their homes, retailers kick back into gear, with many stores opening more locations. Recently, findings from CoreSight Research discovered that 3,199 retailers in the United States will open new stores while 2,548 stores were closing. Retailers, particularly thriving ones that championed the worst of the pandemic, are taking advantage of the opportunities to expand. New store formats are being explored, especially by large national department stores (read about some here and here). Expansions are taking place across the board, national brands, franchisors, and local/multi-unit groups. Some of the categories experiencing the most expansion are restaurants, grocery stores, athletic apparel, home decor and improvement, and services. 

Research collected from Retailsphere confirms the following retailers are expanding. Below is just the scratch on the surface of the retailers swiftly opening new doors this year. 

Restaurants

National and Franchisors

Well-known and easily affordable Little Caesars was buoyed in the pandemic crisis like many quick service restaurants that were already equipped to handle take out and delivery. As a result, Little Caesars is anticipating 50 new locations this year with expansion open to all states. 

Local

Perhaps a little less well-known is Pressed Juicery, founded by three friends who through each of their personal experiences found the benefits of juicing. With 94 current locations, Pressed Juicery is looking to expand two new locations this year and four more in 2022. They are particularly interested in expanding in California, Nevada, Washington, and Oregon. 

If you want to gather other ideas for expanding restaurants, investigate here. 

Grocery

National and Franchisors

Supermarket Publix, the superstar grocer on sustainability, has done very well this past year.  As a result, Publix plans to open 12 new doors this year with its eye on expanding in Florida, North Carolina, South Carolina, Tennessee, and Virginia. 

If you would prefer to fill your grocery vacancy with a local or regional grocery retailer, see what Lidl has been up to.

Discount 

National and Franchisors

Discount stores almost always do well, but they tend to do their best when the economy has taken a hit and consumers are on a tight budget. This past year, a number of discount stores have announced major expansions. Dollar Tree, where everything is just $1, is among those ramping up their physical stores count in every state. 

If Dollar Tree isn’t the right fit for your vacancy, browse through these other expanding discount retailers: Five Below, Ross, Dollar General, and more.

Athletic wear

Local

Athletic apparel shops got a lot of love this past year as folks stuck at home focused on workouts (or just some comfy leisure wear). Fabletics, founded by Kate Hudson, has been growing and getting more attention. While not expanding in all states, they are open to locations suited to their brand and preferred demographics. 

If you need ideas on another expanding athletic wear brand, check out Nike. 

Home decor and improvement

National and Franchisors

Many home improvement stores experienced fabulous profit increases as consumers focused their income towards the fixing up their home. Ace Hardware, while not as iconic as some of the other giants in home improvement retail, still had a very good year. Preferred store sizes range from 4,000 to 30,000 square feet. Ace Hardware is looking to expand specifically in Arizona, California, Colorado, District of Columbia, Florida, Georgia, Illinois, Indiana, Missouri, Nevada, Oregon, Texas, and Virginia. 

If you want to read more about the success of other home improvement retailers, take a peek here. 

ServicesNational and Franchisors

E-commerce brought a boom to the shipping industry, especially during a pandemic that forced consumers to stay at home and buy online. Subsequently, The UPS store has been flooded with packages. Service shops, like a package shipping company, require physical space. The UPS store plans to expand a whopping 200 locations this year in every state. 

Local

When wearing a mask all day and every day, we tend to focus on the important things. By that I mean eyebrows. They are one of the only things you can see when wearing a face mask, so those eyebrows better look fleek. Perfect Eyebrows’ 12 existing locations have seen the increase in eyebrow threading popularity. To keep up with demand, Perfect Eyebrows is keen to expand. 

The expanding retailers listed above are just a small sample of the entire database Retailsphere collects to help commercial real estate managers and owners fill their host of vacancies. Set a time on our calendar to virtually meet with a Retailsphere expert to show you the expansive data on retailers you need to have at your fingertips. 

The post Expanding Retailers to Bring to Your Shopping Center appeared first on Retailsphere.

We will feel the ripple effect from the COVID-19 pandemic for years to come. As states begin to allow businesses to re-open, foot traffic is still down, anxiety is heightened, and everyone is wishing for a crystal ball. While we can't tell the future, we can anticipate life beyond these challenges. Here are three ways you can pivot in the face of uncertainty to remain nimble and viable in 2020 and beyond.

Tidy Up Tenants

Now is the time to take stock of all properties, tenants, and the reality of their businesses. Making line-item lists of all fixed and variable costs, as well as reviewing tenants' financial histories, will help you determine where the biggest problems lie. 

Negotiate leases and contracts with high-functioning businesses to make sure you can make it through these hard times together, and take a hard look at problem tenants who've been struggling. Working openly, and focusing on the data, creates a more efficient and fair way to negotiate ending leases early for the good of the property and the tenants. Plus, take a look at our in-depth analysis of lease options for struggling tenants during Covid-19 for a few options forward with under-performing tenants.

Renovate Real Estate

Cash not an issue? Consider putting liquid assets toward value-adds. Strategic upgrades will reward high performing tenants and improve property value over time. 

Temporary closures, whether full scale or just to the public, provide a perfect opportunity to make changes to existing properties, getting them ready for business in recovery. Ideas to consider, specific to the pandemic, include:

• Drive-thru or take-out windows
• Additional drive-thru lines
• Awnings or additional outdoor seating
• Transparent partitions between staff and customers
• Special parking for delivery and takeout orders

No-Contact Networking 

With the cancellation of ICSC RECON and many other large scale real estate conferences, it's time to tap into other means of networking. Rich resources online, like LinkedIn and Retailsphere, can give you a leg up in connecting with your dream tenants and keep you up-to-date on the latest news. Retailsphere's free store closure guide helps you quickly access recent retail closures and keep tabs on bankruptcy reports. 

Looking for a hook to use when reaching out to the point of contact at a specific brand? By researching brands on the Retailsphere platform, you can view data on their business, surmise their needs and possible issues, and then reach out with ways your property can help solve the challenges they're facing. Build your relationship through email, or Zoom, and keep ahead of your competitors with valuable insight. The platform is also perfect for getting a bird's-eye view of the surrounding market, and quickly seeing brands in competing commercial properties.  

Keep Your Business Healthy

New information about COVID-19 and how it will affect the world economy and health comes out every day. Keep tabs on news and potential resources with Retailsphere's Covid-19 Resource page. Use this to make plans now, execute on them quickly, as these decisions could make or break your business for years to come. Interested in how Retailsphere can help you launch your business forward? Let us walk you through our platform so you can see it in action. Request your demo today.

The post Strategic Actions to Take during Covid-19 appeared first on Retailsphere.

The health practices of wearing masks, better practices in hand washing and social distancing have actually reaped very beneficially in general health. An open outdoor space allows for those behaviors we’ve adapted to continue. 

Retail leasing agents and shopping center owners may be looking at their current spaces to determine designs that will amount to a better retail experience. Benefits to open space to consider include outdoor areas for events and concerts. A public open space designed mindfully and artfully can also be an Instagram worthy hot spot, a place to relax, and to socialize. Due to the pandemic, many outdoor spaces became waiting or eating areas. A new open outdoor concept could be developed to incorporate areas for outdoor eating or a space specifically designed to hold a queue of people. 

Outdoor public spaces increase foot traffic, especially if there is a reason to go. For example, University Place in Orem, Utah cleared out the anchor space where the old Mervyn’s used to be and created an indoor/outdoor play area and large outdoor plaza to provide plenty outside space for farmer’s markets, magic shows, outside art galleries, and a water and light show synchronized to song.

Shopping centers may rely on these open spaces to continue prosperring, recognizing that brick and mortar retail needs to be a place people go to for an experience. 

Once the work is done to have a beautifully designed outside space to draw in customers, the next step will be to take a look at those stagnant vacancies. True, people will be drawn to the outside space, but they may not stay if the shops are undesirable or non-existent. Add to your agenda a virtual demo to discover how you could fill your retail vacancies with desirable and expanding retail tenants. 

The post Utilizing an Open Space Concept as a Leasing Agent appeared first on Retailsphere.

Having bad tenants is an inevitability. For some landlords and property managers, the Coronavirus pandemic has highlighted the actions of your worst tenants. They may not be paying rent as sales have slowed or they might not be following local regulations as they open. Regardless of the issues, the stress of recent events has often made good tenants even better, and bad tenants even worse. As the Coronavirus pandemic continues to stretch on, it could be the right time to part ways with these bad tenants with clearly identified reasons and less struggle.The simplest option to begin the eviction process is for non-payment, assuming your state has not put a moratorium on evictions. Millionacres has put together a list of states and cities that have moratoriums on evictions due to the pandemic. It is important to check on the status of your regional regulations. Attempting an eviction in places where there are still tenant protections could put you in even greater risk. 

If there aren‚Äôt any laws currently in place, non-payment is the most straightforward way to begin the eviction process. Even when that is an option, many states have slowed or halted hearing eviction cases related to rent non-payment during the Coronavirus pandemic. But, most courts are still hearing cases for non-payment related eviction cases. 

This means another option could be an Unconditional Quit Notice. In most cases, state and local authorities have put in place a list of requirements for tenants to begin reopening. If the tenant continuously disregards these local, state and federal regulations for reopening, and it is resulting in illegal and dangerous activity, then you could have a case. The key to this course of action is to clearly document how the tenant is engaged in dangerous or illegal activity on the property. Since this type of notice forces your tenant to vacate the premise immediately, you can only issue one when you can prove they have:

• repeatedly violated a significant lease or rental agreement clause
• been late with the rent on more than one occasion (outside of the Covid-19 time period)
• seriously damaged the premises, or
• engaged in serious illegal activity, such as drug dealing on the premises.

Finally, depending on your lease language, even with an eviction moratorium, you may be allowed to assess late fees, interest, or other penalties on unpaid rent. Instead of a legal eviction process, this could be an opportunity to offer your tenant to end their lease on their own accord, instead of having these additional fees added to their rent once operations begin to start back up. 

As with all eviction procedures, it is important to engage legal counsel and ensure you have all of your details in order. Tenants often have numerous protections against unlawful eviction and you can end up on the losing side without the proper preparation. 

If you are planning on starting the eviction process for a tenant, or plan on asking a tenant to break their lease, give yourself enough time to line up a new tenant to move into the space. With the current state of retail, many brands are slower to add additional locations.  Retailsphere can help you identify the brands that are still expanding, and provides you with information to make sure it is the right fit for your space. Plus, we give you all of the tools to help track the progress of your outreach, so you know when its the right time to start transitioning your current tenant out.

Reach out to Retailsphere today and schedule your no-obligation demo. You’ll see how Retailsphere can help you prepare for vacancies and create a potential tenant pipeline.

This article does not constitute legal advice. We recommend that you consult with legal counsel regarding any eviction process.

The post Has COVID-19 Highlighted a Need to Break Up with a Poor Tenant? appeared first on Retailsphere.

Craft breweries are still finding ways to open their doors. As of June 2020, there were an estimated 8,200 Independent craft brewers in the United States. As of November, that number had crept up to 8,400. 

Most of the losses seen for small craft brewers this year has been in on-premise sales. Prior to the pandemic, many small brewers had been moving towards on-premise sales because it offered larger profit margins. With many geographies limiting in-person drinking and dining, Nathan Greene, consulting analyst for New York-based Beverage Marketing Corporation said that 75% of the craft beer’s losses will come from these on-premise sales. 

These smaller breweries have been forced to pivot to off-premise sales. Many were unprepared or took some time to ramp up for off-premise packaging. As a result, many of the larger breweries have primarily benefited from the increased off-premise sales of beer during Covid. To add additional issues for craft brewers, there has been a massive aluminum shortage, meaning that even if these small brewers wanted to sell off-premise beer, they have had issues getting it packaged for sale. 

However, even with these struggles, overall beer sales numbers were staggeringly good for 2020. Total domestic beer saw sales of $26.6 billion, 5.9% year over year increase and craft beer has seen sales of $4.7 billion, a 10.7% year over year increase. For the 6 month period ending around September 5th, beer sales rose 11.2 percent in value, while craft beer sales increased 16.3 percent, according to Nielsen data. But these increases have not canceled out the widespread losses from sales at bars and restaurants.

Long term, the craft beer industry will remain strong. The TTB had 219 new brewery applications between Q2 and Q3 of this year, a period that many would have assumed to see almost none. Many experts imagine that future closures will not be due to Covid-19, but due to this increased competition. 

Unfortunately for those hoping to bring a new brewery to their vacant retail space, that may not be happening any time soon. BMC’s Greene said “Many craft brewers, if they hadn’t done so before, are embracing new online ordering systems, eCommerce and at-home delivery.

Pre-COVID, around 10-15% of independent craft beer volume went through direct sales, this will likely grow to about 20 percent by the end of 2020.” This means that the trend for breweries is much like the rest of retail, towards more e-commerce.

Ready to bring a brewery into your own retail spot? With a free demo from Retailsphere, you’ll see how our powerful database can help you fill any vacancy. Schedule a demo today.

Many retailer databases crowd the market but none provide data as complete and reliable as ours. Retailsphere works hard to offer the most complete retailer profiles designed with you in mind. Whether you're a shopping center owner, landlord, commercial real estate broker, developer, or something else entirely, we provide the data you need to fill your vacancies with the best retailers as quickly as possible.

The post COVID Impact on Breweries appeared first on Retailsphere.

Small plates focus on the community aspect of dining. What was once reserved for the appetizer course, small plate restaurants offer diners to share an experience with one another. Can this type of dining survive through Covid-19? Will people want to share food once restaurants reopen?

Before the current pandemic, you may have already noticed subtle changes: servers encouraging you to order for the table, smaller portions, and a greater variety of items. You're not the only one. Following on the heels of the communal table trend in the early 2000's, at which people from different parties share one large table (like Momofuku in New York), the small plate is the natural extension of this trend.

This trend in dining seems to follow the greater weight that millennials and young people have put on the shared experience. Young people have traditionally wanted to go out to eat with their friends in a way that they can all share. They want a dining experience where they can all sit down, choose a few different items and everyone can try a little bit of everything.

Even during the pandemic, places have gotten creative on creating small plates to go. Take Local and Vine in NYC as an example. They have a simplified menu available through Seamless so you can continue to enjoy your favorite shared dishes within your own home.

So will people flock back to this shared dining after Coronavirus? We believe that people will be more eager than ever for more communal experiences after having been cooped up for many months. And what better way to reconnect than over food?

Plus, small plate restaurants are a great option for consumers of all price-points. Since small plates restaurants tend to serve smaller portions at lower costs, as they allow a greater amount of control when it comes to the quantity and pricing of food. This is a great way to ensure that there is always some level of foot traffic coming in and out of the shop once doors begin to reopen.

For owners of shopping centers, small plate concepts are a great type of business to consider if you're trying to attract a younger crowd. Even with the Covid-19 slow down, we believe small plate restaurants will continue to grow in popularity. Plus, now is a great time to use a slower period to renovate an old space into an amazing restaurant ready shell that could cater to a small plate sharing.

Sign up for a free demo today to see how you can find unique restaurant options like the ones featured here.

The post Can small plate restaurants survive Covid-19? appeared first on Retailsphere.

One aspect all restaurants have had to learn early on to survive financially in 2020 is that take out, curbside pickup, and delivery are vitally essential. Restaurants that didn’t specialize in these suffered until they figured out how to make it possible. Good fortune smiled on the pizza industry since most pizza places have mastered the carry out and delivery for decades. Not only was pizza ready to go in the new era covid created, but pizza has often been an easy meal to provide for families.

Cost-effective

It’s cost-effective, helping families stretch the budget when economic times have been downright nasty. Pizza also falls into the comfort food category. Crispy crust, gooey cheese, just the right toppings… mmm. It hits the spot. Pizza can be eaten hot or cold. No utensils required. Without knowing it, pizza was the answer to consumers' food fuel. To prove pizza has been a forefront winner during the pandemic, let’s take a look at the statistics. 

Papa John’s, which had been underperforming for a couple of years, saw a 28% increase in the second quarter (in the midst of the onset of the pandemic) compared to last year and continues to increase month to month. In an effort to keep up with the demand, Papa John’s hired 20,000 new employees between March and June with plans to hire 20,000 more. Desperate to get these new hirees started, the company even simplified the hiring process so that most new hires can start the same day they are hired. 

Jobs created

Plagued by downward trends in sales and bankruptcy, Pizza Hut has been positively buoyed in the face of the coronavirus. The best week in sales in 8 years occurred in early May, and the brand continues to make gains. Pizza Hut announced it will hire 30,000 permanent positions, including cooks, delivery drivers, restaurant managers, shift leaders, and virtual call center agents. To get pizza to the masses faster, the training for delivery drivers is down to 5 hours before they hit the road, three times faster than previous training. 

Based on world-wide sales, Domino's is the leader in the pizza industry. In just the past three years, Domino’s stock has increased 99%. Their large slice of success over other pizza giants is credited to their innovations in technology and mastering the delivery. COVID-19 might as well have been a small bump in the road considering Domino’s was prepared for the chaos that the coronavirus created. Already set in the app and online was the innovative technology for ordering pizza on an app and tracking your pizza status from inception to delivery. Additionally, Domino’s has been the only pizza chain to rely solely on their own in-house delivery teams. Other pizza places supplemented the demands for deliveries by using a mixture of in-house delivery fleets and third party delivery services, such as UberEats. Domino’s has proved over and over that they are doing things right. U.S. individual store sales gained by 16% in Q2 of this year. In the first half of 2020, Domino’s net income soared to $240 million, generating a 30% increase from the same time last year. 

The consumers have spoken, and the pizza industry is responding in a flurry to keep up with the demand for pizza. There is yet to be a slow in the pizza industry’s growth, and though the trends may level off as consumers and restaurants get used to new take out options, pizza will continue to reign supreme. The fact is, pizza as we know it, in a box and ready to go for delivery or take out, provides slices of normalcy that many cling to in this year where the normal is still not defined. Pizza is a comfort food for more than one reason. There is comfort in knowing what to expect.

Starving for a prosperous pizza place in your vacant space? Order up some time with a Retailsphere professional to strategize an effective system for searching for ideal tenants.

The post How COVID affected the demand for Pizza appeared first on Retailsphere.

While challenges are present, more businesses continue to open, and more parents are returning to work away from  home. Demand for childcare will continue to grow, and opportunities will arise. And the latest research states that daycares are actually low risk for spreading COVID.  

With the results of the presidential election finally in, landlords can also plan for daycares to be buoyed by President Biden’s promise to make childcare more affordable and accessible for working families. 

Here are our top tips for helping childcare tenants stay healthy and successful in a post-pandemic world:

1. Ensure proper ventilation.

With COVID-19 still hitting peak levels and the normal flu season also upon us, ensuring proper ventilation is key to the health and safety of childcare facilities. Arrange for a thorough inspection, as well as a possible cleaning, of air ducts and the regular change of filters.  

Allowing for open windows and doors when possible will also promote a healthier environment. Landlords may want to install screens, childsafe windows, or evaporation fans to promote air flow. 

2. Think smaller spaces.

Because of limitations in classroom size, daycare centers may turn to non-traditional methods. Micro-locations in smaller, more open-concept spaces may be an affordable option for centers with low occupancies. 

With this approach, large square footage vacancies could be broken up to provide more classrooms and accommodate smaller class sizes with temporary walls and partitions. Courtyards or unused parking areas could also be repurposed for extra outdoor space. 

3. Consider neighboring tenants.

While many businesses will require employees to return to the office, there has been a huge shift in acceptance of remote work. Either way, working parents need childcare. And as shoppers continue to limit their exposure, convenience is key. 

Consider preparing childcare friendly spaces for rent right next to co-working spaces. Clustering these types of tenants with other necessities such as grocery stores or pharmacies can drive more traffic to the entire space. Areas that contain higher concentrations of healthcare workers, blue-collar, or hourly employment will also likely see an increased need for childcare centers as they are not able to work remotely. 

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Would a childcare center be a good fit for your available properties? Retailsphere can help find great tenants to fill your commercial vacancies. Click here to schedule a free virtual demo. 

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