Hurricane Sandy leaves lasting damage for retailers
Retailers throughout the Northeast saw significant damage to their stores and operations when Hurricane Sandy hit the region late last month. It seems that even though the debris has been mostly cleaned up for many businesses, there is longer lasting damage in the form of decreased revenue for retailers.
Upstart Business Journal reports that the approximate total of lost retail sales due to the massive storm is $4 billion, according to the MasterCard Advisors' SpendingPulse. This amount represents about 20 percent of the nation's retail sales, as New York, New Jersey, Connecticut and other northern states generate nearly $18.7 billion each week. However, for the week that Sandy region, retailers only brought in about $15 billion.
The storm could also have an impact on November retail sales, despite it being one of the busiest shopping months of the year. Bloomberg Businessweek reports that even though merchants may see a rise in their sales amounts after the hurricane, the revenue losses could be too large to make up. Additionally, Sandy required consumers to stock up on necessary supplies, forcing many people to make unexpected purchases which might impact their budgets over the coming weeks.
