The Tribune

• PM 'between rock and hard place'

• Harder to work than in-store traffic

• Gov't has 'gone back to the future'

By NEIL HARTNELL

and YOURI KEMP

Tribune Business Reporters

Non-food retailers will likely see a 40-60 percent sales drop-off compared to in-store activity, Tribune Business was told yesterday, after the Prime Minister ordered the sector back to curb-side offerings.

Andrew Wilson, the Quality Business Centre (QBC) and Fashion on Broadway principal, said he planned to keep all staff engaged despite the anticipated reduction in consumer demand with the shift back to curb-side, pick-up and delivery mode for Bahamian retailers.

Admitting that Dr Hubert Minnis is "between a rock and a hard place" in trying to balance economic and health interests as he seeks to bring New Providence's COVID-19 surge under control, Mr Wilson said of the latest restrictions: "It's not good for business, but we understand the decision he has made.

"We are able to offer curb-side. We've done it in the past, and will do it again. The sales will not be at a level comparable to in-store shopping. I'd say we'd be off by 40 percent; we'd have a 40 percent drop with curb-side sales, but I think he's [Dr Minnis] doing it for the greater good. I think he's doing the best that he can.

"There's no precedent for what he's faced with. Quite honestly, I'm grateful the country has Dr Minnis at the helm for a time such as this. We all err and make mistakes in hindsight, and upon reflection we may find there's another way, but I think he's doing the best he can with the options available to him."

Mr Wilson argued that it was "critical" to bring COVID-19 infection rates on New Providence under control if The Bahamas hoped to market itself as a 'safe' destination for tourists in a pandemic-stricken world, especially since the Prime Minister yesterday said the Government remains committed to the fast-approaching November 1 deadline for eliminating the 14-day mandatory quarantine.

The re-opening of New Providence's two mega resorts, Atlantis and Baha Mar, before Christmas 2020 appears to be hanging in the balance at best, with the timing and strength of stopover tourism's return - as well as that of its cruise counterpart - surrounded by much uncertainty.

"It's critical for our primary industry," Mr Wilson said of the need to bring COVID-19's spread under control. "The local economy can only keep us going but for so long. That's going to be critical for the hotels to open so people can go back to work."

He added that his stores' locations at the Mall at Marathon, where they were close to entrances/exits, meant they were better placed than others to respond to the new curb-side environment. The Harbour Bay Shopping Centre, where Mr Wilson also has outlets, is also well-equipped for curb-side, pick-up and delivery services.

Mark A Turnquest, a small business consultant, who said clothing and electronics retailers account for a significant proportion of his client base, revealed that this category "lost 60 percent of their business" when the switch to curb-side was imposed as the economy emerged from the first COVID-19 lockdown.

"All of them had their staff on two to three-day weeks," he recalled to Tribune Business. "That means their staff were making $120, $130 per week, no more than $150 for a regular $210 minimum wage job. A lot of them make their money on tops and commissions."

Mr Turnquest said curb-side sales, which required companies to take orders over the phone, e-mail or What's App for pick-up/delivery, or go out to persons sitting in their vehicles, was "not as easy as people think. It's a lot of work. My clients' sales will decrease by 60 percent".

He added: "The Government does not have a strategic plan to re-open the country. They're going back to the future, so to speak. I don't know who's advising the Government, but they have to put enforcement mechanisms in place. They don't enforce the regulations. They need to have a COVID-19 enforcement force.

"What the Government is trying to do now is buy time for November 1 because they've already told the market they're opening. They're going to lock up the economy between now and November 1."

Not all retailers were as sanguine as Mr Wilson, though. One told Tribune Business they did not want to speak 'on the record' because they were "so angry and frustrated" about the Prime Minister's decision to reimpose COVID-19 curbs.

"It's too much," they said. "The Government has done more damage to this country than the virus ever could. I need time to process it. I don't know where it's going. Operating curb side is a losing proposition. You're losing money and just spinning the wheel. Everything is upside down.

"I'm trying to run a business and stay in business. It's easy for politicians to talk, but they don't understand the needs of business owners who make decisions six months out. We cannot on/off all the time. It just doesn't work. Who's going to start a business in a country where you don't know whether you will be open or closed."

Meanwhile Brent Burrows, CBS Bahamas (Commonwealth Building Supplies) principal, told Tribune Business: “Just like the last time it is going to be very difficult for us to implement safety via the curbside. It is not really going to do anything to boost our business, and we are hoping that the online sales will bring in some revenue, but the curbside usually doesn’t do so well. It is too cumbersome for someone to do curbside.

"We are going to try to put our staff on a rotation and, at this stage, we don’t intend to lay anybody off. We are just going to put on a rotation to service the online, and if we do some curbside hopefully it is not going to last no longer than two weeks at the maximum.”

Dwayne Higgs, WHIM Automotive's general manager, added: “I had a chance to listen to everything, and I understand that we can open up curbside, so having this drive-though that we just built will be a big step for us.

"We will utilise the drive-through and the curbside at the door, and I think we will make the best of it. It sure beats the two-week lockdown that some people were talking about, but maybe they put that out there to say that this is the worst case scenario in hoping that we will accept something that is not as bad."

Mr Higgs said: “It’s a shame because Saturday is usually one of our busier days, but hopefully the people just spread out between the Monday to Friday. But our plan is to do the drive-through and the curbside, and then the delivery through the website and hoping that that website will help us to stay afloat.”

Mr Higgs said he is not laying-off any staff, but "looking at possibly doing shifts. But since we can do curbside and delivery and drive-through, I think we will just run it with our whole staff. I’m really glad we put that drive-through into place because that is really going to save us".