Page 20 - HW April 2020

state of the nation 2020
Nothing as certain
AS UNCERTAINTY
A lot has surely happened during the couple of weeks since I started on
our annual State of the Nation article. Having also this year polled a broad cross section of suppliers for their take on what’s ahead, what’s the outlook? Steve Bohling reports.
JUST AS WE were preparing our annual poll of the DIY retailer and merchant leaders, COVID-19 raised its ugly, inconvenient head.
ings moved pretty quickly for our captains of industry, faced with making urgent provision for the introduction of Level 4 restrictions, and understandably leaving few with time to share their take on the hardware channel’s recent history, let alone its prospects for the next wee while.
However, Mitre 10 CEO, Chris Wilesmith, was quick o the mark with some answers to my questions, as follows:
Jacinda Ardern (16-03-2020): “ e economic impact of the virus on New Zealand could be greater than the impact of the Global Financial Crisis”? Agree or disagree?
Actually this is already con rmed in terms of market valuations around the world, there has already been more value destroyed than in the GFC.
However, as we know, being planned, calm and ready for what comes the other side as the world recovers will ensure our communities recover quickly.
e good news is that countries that react quickly, as China did, start to recover quickly as reported recently.
New Zealand has a number of amazing strengths to keep our communities safe, we are food rich producing signi cantly morethanneedforNewZealandersandawater-locked remotecountrymakingithardertobringthediseaseintoour community.
What is your outlook for the market and for the business in the next 6-12 months?
Very clearly there is the impact that we are seeing in terms of con dence right now in our communities which will manifest in economic hardship for many.
Some sentiment reported by Yabble is as follows (COVID- 19 Insights based on N = 750 nationally representative New Zealanders):
• 32%ofpeopleareworriedaboutjobsecurity.
• 47%ofpeopleareworriedaboutpersonalhealthimpactbut
more (63%) are worried about the personal economic impact.
18 NZHJ | APRIL 2020
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