A recent Marcus & Millichap survey reported that in-store physical retail sales accounted for two thirds of all sales in the month of March, indicating that shoppers are once again eager to step away from the four walls of their homes in favor of actual shopping excursions in the real world. Thankfully strict COVID-19 lockdown measures, including vaccine passport verification, masking requirements and adhering to social distancing, are finally dissipating, culminating with Dr. Anthony Fauci recently announcing that our country is no longer in a “pandemic phase” of COVID-19.
This sense of renewed freedom is now manifesting itself with shoppers reclaiming their need for social interaction, especially in the retail realm. As offices once again open up, and social gatherings with friends and family resume, expect consumers to continue to confidently enjoy the act of browsing through literal stores rather than virtual stores in the future. Reports indicate that online sales have receded the last two months. And overall store-based spending is still up more than 10% in real terms from pre-pandemic recordings, aiding storefronts, Marcus & Millichap reports. Investors with retail holdings found more than half plan to increase their investment in the sector this year.
