Because of corona lockdown: Shops in Stuttgart experience the worst slump ever

The corona virus in Baden-Württemberg led to far-reaching restrictions. Almost all shops and stores closed their doors for several weeks. Now a devastating dealer death threatens in Stuttgart. 

• The corona virus in Baden-Württemberg led to massive sales losses in retail
• Non-food retailers in particular reported a sharp decline in sales - the textile retailers were the hardest hit.
• Due to the losses and the economic hardship due to the Corona regulations , a devastating dealership is now at risk .

Stuttgart - The corona virus in Baden-Württemberg (BW24 * reported) led to numerous bans and measures to protect against infection *. Many people bought large quantities of food to accumulate supplies. At the non-food retailers, however, sales fell sharply due to the corona crisis . According to the Baden-Württemberg Trade Association (HBW), retailers suffered a historic drop in sales in April. Until April 20, the dealers in Stuttgart had almost no sales due to the closure due to the corona virus in Baden-Württemberg .

The gradual easing and the eventual reopening of all stores - regardless of their size - did not lead to any relevant improvement in Stuttgart . The face of slower spread of the coronavirus in Baden-Württemberg decidedLoosening did not have the desired effect on retail *. This information is also the result of a HBW survey. The association asked retailers about their sales after the reopening . The majority of retailers surveyed described sales as “extremely bad” * after the reopening.

Coronavirus in Baden-Württemberg: Retail only generates 20 to 40 percent of sales in the previous year

Corona virus in Baden-Württemberg: Fears that the corona crisis will have a devastating effect on retailers in Stuttgart.

© Sebastian Gollnow / dpa

Even after theAccording to the survey , retailers did not record sales nearly as high as in the previous year due to the compulsory closure due to the corona virus in Baden-Württemberg . On average, they generated only about 20 to 40 percent of sales, compared to the previous year. The turnover of a quarter of the retailers surveyed was even less than 20 percent.

The corona virus in Baden-Württemberg has fatal consequences for the economy *. In the state capital Stuttgart *, too, many retailers are affected by falling sales . The Chamber of Industry and Commerce (IHK) speaks of negative effects55 percentthe dealer in Stuttgart . The IHK determined this number at the beginning of March. "This crisis particularly affects small and medium-sized retail companies, which like no other industry are of central importance for our cities and municipalities," HBW general manager Sabine Hagmann is quoted in a press release.

The Chamber of Industry and Commerce also explains that especially small and medium-sized companies in Stuttgart are struggling with livelihoods because of Covid-19 . According to the Chamber of Industry and Commerce, 85 percent of companies anticipate slumps in 2020 due to the effects of the corona virus in Baden-Württemberg . 23 percent of retailers in the state capital fear a drop in half of sales .

#Corona stands for one thing economically: #crisis. In the worst case, #insolvency threatens. The #IHKStuttgart answers those affected and creditors important bankruptcy law questions - confidentially, individually and free of charge. Dates & registration: https://t.co/SHnBTdWPym pic.twitter.com/dLreOnoyEb

Because of corona virus in Baden-Württemberg: HBW demands open compensation funds for injured companies

In order to support retailers and companies that have lost sales due to the corona virus in Baden-Württemberg , the HBW is calling for an industry-wide compensation fund. The trade association formulated these demands in a letter to the state government of Baden-Württemberg: “In a medium-sized country like Baden-Württemberg, the situation looks much more dramatic than elsewhere. In the border area with Switzerland and France, the sales deficits are around 80 percent. We urgently need the border openings here! ”Says the association.

Many companies in Stuttgart rely on support to survive the devastating effects of the corona virus in Baden-Württemberg . TheIHK Stuttgart rates short-time work as particularly important for retailers . The Chamber of Commerce also regards emergency aid in the form of grants (at 59 percent) as well as tax deferrals or the reduction of advance payments (also at 59 percent) as important. According to data from the IHK, more than half of the companies in Stuttgart would like to see corporate taxes reduced.

"Depending on how the conditions of the federal program develop, the gap that will continue to exist at the state level must be filled by the corresponding oneSecond Emergency Aid Fund will be closed, ”said HBW Managing Director Hagmann regarding the further development for retailers affected by the corona virus in Baden-Württemberg .

* BW24 is part of the Ippen-Digital editors network .