Business Strategy

Coronavirus:
Brand
Strategies

Brands and retailers are stepping up in times of

crisis with innovative and caring strategies that look
to help, reassure and connect with fearful consumers

Br ewd o g
 Analysis
As the coronavirus outbreak paralyses
the global economy and gives rise to fear and
anxiety, brands are finding innovative ways to
connect and make a difference.
Thoughtful retail strategies, caring brands
and acts of philanthropy that consumers are
likely to remember long after
the situation has stabilised are coming to the
fore, with everyone from small
independent labels to major retailers getting
on board. 
From Walmart, CVS and Walgreens
dedicating their parking lots to coronavirus
testing in the US to multiple retailers paying
their employees full salaries while stores are
closed, companies are prioritising people's
physical, financial and emotional
wellbeing on an unprecedented scale. 
As explored in our 2018 report High Velocity
Consumer, consumers are increasingly
looking to brands to show up for them and
act as a pillar of stability through this crisis
and beyond. In the first of a three-part series,
this report explores how retailers and brands
are making a difference during the pandemic. Keep Calm-O -Mat ic
Caring for At-Risk Groups
Retailers are stepping up their efforts to
care for the elderly and those with extended
needs during the pandemic, offering
support for at-risk groups who are in
isolation or for those who may struggle to
shop for food as much of society panic-
buys and strips supermarket shelves bare.
Supermarkets and grocery retailers around
the world are introducing special hours in
their stores to ensure that elderly and
vulnerable customers are able to shop in
peace in less crowded aisles.
Australian retailers Coles and Woolworths
and UK supermarkets Sainsbury's, Waitrose,
Lidl and Iceland have all made the decision
to open their doors earlier than normal to
allow for customers over 70 and those with
a disability to browse newly restocked
shelves, immediately after the store has
been deep cleaned.  for those in need. People with an elderly or
Sainsbury's is also giving those customers
priority access to online delivery slots, and
has closed its meat, fish and other fresh
counters to free up capacity for essentials.  where they can authentically step up for
Many supermarkets have also introduced
rationing, with customers only able to buy
a maximum of three of any grocery
product and a maximum of two on
popular items such as toilet roll, soap and
UHT milk.
John Lewis has launched a £1m S ainsbur y 's
community support fund to be distributed
across the UK “at this time of national
crisis”. The cash will be distributed
through its Waitrose grocery stores for
schemes such as local delivery services to
support those self-isolating,
vulnerable, elderly and the people caring
for them, as well as for delivering food
boxes to care homes.
UK gourmet ready-meal company Cook is
seeking to help vulnerable people by
putting aside meals in its physical stores
infirm neighbour can mention so at the
till to receive free meals to pass on.
Brands should continue to look to spaces
elderly and at-risk groups, offering T he Guar d ian
solutions and strategies around delivery,
food shopping and emotional reassurance.
 Meaningful Offers
As the coronavirus outbreak shutters
restaurants, bars and stores across the
world, many brands are offering discounts
and deals to alleviate the closures’
financial, emotional and technological
costs incurred on their business.
Several companies are also offering
thoughtful discounts, aimed at improving
their customers' wellbeing during this time
or as a way of reaching out to local
communities.
Everlane has promised to give its customers
"meaningful value in uncertain times", by
offering new weekly promotions on
everyday basics. Starting with 50% off
denim, the promotion is aimed at those
working from home or self-isolating and
want to wear comfortable basic clothing.
To drive customers into store while being
mindful of people's health, US coffee chain
Bluestone Lane is offering a blanket 50%
afternoon discount on everything alongside
a free immunity-boosting drink to those
who come into a physical location.
UK plant-based smoothie company FOGA
is giving frontline NHS staff 40% off all
purchases on showing their NHS ID at
checkout. Similarly, Pret A Manger is giving
NHS staff free hot drinks and slashing
prices by 50% on all other items to thank
all the efforts workers are making to deal
with the coronavirus epidemic.
Across the US, U-Haul is offering 30 days of
free self-storage to aid college students
who were forced to move out of dorms and
head back home to start online classes.
As the pandemic continues to spread, it will
be increasingly important to think of ways
to give back and make a positive
contribution – however small – in this
tense environment. Redirecting the
negative energy and fear of the current
climate towards something positive will
result in more loyal customers in the long
term.
Be mindful of messaging around discounts,
however. It's crucial not to bombard
customers with offers and deals. Speak to Pr et A Manger
them sensitively with meaningful offers
that will resonate.
 Low-Impact Connection
The Covid-19 pandemic is driving a shift
towards a frictionless, low-impact society in
which brands and consumers have little to
no interaction within a physical space.
We forecast the rise of the Spacemakers as
a key consumer group in the Shopper
Forecast 2020, exploring how people
increasingly want to control how much they
opt in or out of human interaction, as they
forge their own in-store experience.
The coronavirus outbreak has accelerated
this shift in consumer behaviour, and major
companies are responding with strategies
that allow for little to no human connection,
while still providing excellent service.  Reducing friction and offering a low-touch
Food delivery services such as Uber Eats
and Deliveroo are moving to no-contact
delivery, which users select at the checkout.  human contact will be increasingly key.
Taking it one step further, Starbucks has
moved to a strictly 'to go' format across the
US, with chairs flipped onto tables so that
customers can't sit down. In China, the
chain has introduced the Contactless
Starbucks Experience, which leverages
digital  other retailers to begin its expansion and
ordering, such as Mobile Order and Pay
through the Starbucks app, but minimises
human contact and reduces time in the
store itself. 
Fast food retailers are also moving
towards grab-and-go formats during the
outbreak, with McDonald's and Chick-fil-A S t ar bucks
closing their seating areas, and KFC
moving to drive-through only. Seattle fine
dining restaurant Canlis is closing its
doors and instead opening three pop-up
replacements: a bagel shop, a drive-
through burger joint, and a delivery
service.
but high-impact, fast and efficient
experience that forgoes the need for
 
As first outlined in the Future of Retail
Space 2020, expect to see a rise in
frictionless payments and cashier-less
stores. In March 2020, Amazon announced
that it will officially start selling its
Amazon Go cashier-less technology to
S t ar bucks
the fulfillment of its 3,000-store goal by
2021. 
 Sanitising Solutions
Diversifying business – whether to solve
problems, capitalise on existing design
flaws or pivot to a new market – is a key
brand strategy that we explored in 2019.
Shifting business models to respond to
urgent consumer demands and the ongoing
crisis has now never been more pertinent.
Businesses are pivoting their offers and
stepping up efforts to provide cleaning
products and hand sanitiser amidst
worldwide shortages.
The French luxury goods group LVMH has
given over three of its perfume and
cosmetics factories to production of
hydroalcoholic gel (hand sanitiser) for free
distribution to French hospitals fighting the
country’s coronavirus outbreak. As many
as 12 tonnes are due to be produced a week
instead of the usual Dior, Guerlain and
Givenchy scents manufactured onsite.
This approach has also been adopted by UK
brewers Brewdog, which has begun to
produce branded hand gel in place of beer
at its factories in Scotland, and donating to
those in need.
Similarly in Puerto Rico, the family-owned
rum brand Serrallés has transformed its
distilleries into hand sanitiser production
plants to donate to Puerto Rican hospitals.
On a more micro level, UK natural skincare
brand Haeckels is offering free refills of
hand soap to customers who bring in their
own containers; while Lush has been
inviting people into its stores to wash their
hands to prevent the spread of the virus.
Elsewhere, brands are reprioritising their
product ranges to meet changing
demands. Venn Skincare is recalibrating
existing lines and speeding up product
development, prioritising hand sanitisers
and other antibacterial products, and has
increased order volumes for extra
packaging and ingredients. Byredo has
also re-released its rinse-free hand wash
tube in huge quantities which didn't sell
well in 2017, but is now flying off shelves
at £25 per piece. 
Ensure you are equipped to be as agile as
possible during this time, developing new By r ed o
content and products, and adapting to
new platforms and circumstances.
 Prioritising Mental Health
As the spread of Covid-19 kicks up a notch
in the West, brands are stepping in with
resources and initiatives to help individuals
take care of their mental health and to
better weather the storm in times of
uncertainty.
Alleviating people's growing fear and
anxiety through sanctuary-like spaces and
mindful retail strategies that tap into
mental health awareness will continue to be
key during this period, so look to carefully
worded campaigns, calming product ranges
and adopt a reassuring tone of voice to
offer support and help to those in need.
NY-based self-care app Shine has partnered
with US non-profit Mental Health America to
build a website offering wellness tools for
dealing with the coronavirus pandemic. The
digital database covers many aspects of
negotiating the outbreak: users can find
help for dealing with news-induced anxiety,
isolation and financial fears. There are
also dedicated areas for parents trying to
explain life changes to their children, as well
as tools for groups dealing with xenophobia
as a result of the coronavirus spreading.
The website also gives users the chance to
ask an expert about their most pressing
coronavirus concerns, as well as a round-
up of entertaining links to help people take
their mind off things. 
Mindfulness subscription app Headspace
is now offering free premium subscriptions S hine
to all US healthcare workers in public
health settings. The app has also released
a special catalogue called Weathering the
Storm, which consists of free-to-access
guided meditations and at-home guided
walking routines for all, designed to bring
comfort, peace and relief at this time. 
In a pioneering move, Starbucks has
announced that it will offer free mental
health services to its frontline workers and
their families. Starting from April 2020,
full- and part-time workers and immediate
family members can be connected by a
third party with counsellors in person or
online. The chain, which employs many
thousands of baristas and cafe workers,
said it made the decision before the virus
took hold, but has now kicked it into
action.
 Encouraging
Mindful
Consumption
While supermarkets around the world are
increasingly pleading with customers not to
panic-buy, hoard items and deprive others in
need of essential products, there is another
narrative emerging that sees small brands
asking consumers to support them by buying
more – and buying more mindfully – during this
period. 
Men's slow fashion brand Noah is known for
its sustainable ethos, appealing to Anti-Excess
shoppers by encouraging people to buy less, but
better. The label released a statement on Walmar t

Instagram in March 2020 that goes

against these beliefs, asking followers to buy
something, not necessarily from them – but
from “any independent businesses or creative
enterprises you believe in”. The independent
brand, which has closed its retail stores
indefinitely, aims to drum up support for itself
and others who are threatened by bankruptcy
and closure following the pandemic.
Opening up an open and honest conversation
with your customers regarding worries and fears N o ah
is a good way of extending trust. Give customers
the opportunity to take control of the
relationship to build a stronger rapport, getting S ainsbur y 's
them on side in times of need.
 Action Points
- Maintaining a sense of community,
especially during a stretch of uncertain sales
projections, will be key for brands navigating
this tricky period. Look to meaningful
discounts and offers that resonate with local
communities and at-risk groups, and speak to
people's current needs.
- Messaging around aid during a crisis needs
to be sensitive – it's important not to be seen 
taking advantage of the situation. But those
that step up and help in concrete ways are
likely to make a lasting impression on
consumers, extending trust and driving
loyalty.
- Amp up customer service and be
transparent. It's crucial that customers and
retail partners know if there will be delays,
closures and further turbulence. Be specific
about the recovery process and don't be
afraid to involve customers in the
conversation around your own fears and
anxiety. 
- These short-term changes will have long-
term impacts. Be aware of purpose-washing
and act authentically now, with results-driven Ref iner y 2 9

solutions and services that will help during

the crisis and beyond. 
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