Small grocers make big gains during MCO
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SUNDRY shops and neighbourhood grocers have emerged as unexpected beneficiaries of the movement-control order (MCO).
Shop owners told The Malaysian Insight sales increased by about 50% to 60% since the MCO was imposed on March 18 and they expect business to be good even after restrictions are lifted.
Shoppers seeking to avoid long queues and awkward distancing measures would prefer to go to neighbourhood stores.
Even with queuing and social distancing, the smaller size of local shops mean customers can go in and out in a much shorter time than large supermarkets.
Klang Coast Provision and Sundry Goods Retailers’ Association chairman Tan Teck Hock said business dropped 10% since the conditional MCO came into effect on May 4, when controls were relaxed and more businesses were allowed to open.
However, he believes that business will still be good even after the CMCO is lifted due to consumer sentiments about shopping in crowded places.
Federation of Sundry Goods Merchants’ Associations of Malaysia president Hong Chee Meng anticipates that most people would have embraced “new normal” practices of staying home and avoiding crowds, which means more purchases of rice, oil, salt, curry powder, spices and other groceries.
“Although more people are back at work, they are worried about eating out amid the Covid-19 pandemic. So, they are likely to cook and bring their own food instead of eating out. So, business at sundry shops will continue to be good,” Hong said.
Sundry shops experienced a shortage of supplies in the early days of the MCO due to logistical issues but these have been ironed out and prices remain stable.
Hong said even though sundry shops are small businesses, the personal touch of shop owners, convenient locations and speed at completing purchases are plus points for shoppers.
“You’ll likely walk around after going to the supermarket but in sundry shops, you’ll leave right after buying what you need. That decreases potential exposure to Covid-19,” he said.
Hong said some grocers have also adapted to the relaxed rules with new ways to serve customers.
“Some that operate in housing areas or near high-rise apartments have set up WhatsApp groups where they take orders for purchases.
“They even take photos for customers to ensure that the correct items have been selected and deliver the goods directly to their doorstep later in the afternoon or evening. Such services have received good feedback from customers.”
Hong said sundry shops that have survived for decades are now showing their resilience amid the pandemic and are likely to survive even with competition from large supermarkets.
The association is encouraging small shop owners to improve their use of digital technology and adapt their retail space to cater to the safety of customers who still prefer to shop in person.
As of yesterday, Malaysia recorded 7,970 Covid-19 cases while the death toll remained at 115 since May 22. The number of new cases reported daily has been on the downtrend in recent weeks, with most of the infections occurring among foreign workers living in cramped accommodation. – June 4, 2020.