ing to the survey, the impact of Cyclone Gabrielle ranged from flooded retail premises, roof and building damage, power outages across the country and reduced staff availability. It also revealed that retail sales diminished by about 20 – 30 per cent across these affected areas, with an average cost per business of about $55,000. However, some retail businesses have indicated that the harm caused by Cyclone Gabrielle would create losses of up to $200,000. According to Retail NZ chief executive Greg Harford, the damage is particularly significant within the retail sector, which typically sees average net margins of about 3.9 per cent.   There are also concerns that the stimulus needed for the recovery process would add to New Zealand’s inflation and cost of living challenges.  Harford said that the 6 – 8 week summer period is a key profit driver for many of these retailers in the affected areas, and that a number of these retailers are either owner-operated, or have 1-2 staff members. “These businesses are weaved into these communities and are the main face many locals interact with daily; it would be catastrophic to lose these valuable community assets,” Harford said. “The last Retail NZ Retail Radar survey showed that, in January, 30 per cent of retailers were not confident their business will survive the next 12 months, and additionally only 34 per cent had managed to meet their Q4 targets. “It was not an ideal or buoyant operating environment before this event, and confidence will have slumped significantly.” Retail NZ has called for a wage subsidy to be enacted by the government as soon as possible, as part of a plan that offers urgent support for the sector.  Essential community items According to Kmart’s New Zealand country manager Matthew Hallal, the brand did not experience store damage as a result of Cyclone Gabrielle.  However, he said that its operations were impacted by temporary store evacuations and closures, power outages and supply chain disruptions. Hallal told Inside Retail that Kmart’s Napier and Hastings stores in the Hawkes Bay area were the most affected, with longer store closure periods due to local power outages, poor cellular coverage and road closures. He said that the brand was facing challenges in supplying products to stores, with road damage impacting deliveries. Kmart also had periods of reduced capacity out of its distribution centre in Wiri (South Auckland), as high winds made it unsafe to operate some equipment. “The main challenge for Kmart currently is our ability to access the impacted stores so that we can deliver much needed products to help support those affected communities,” Hallal said. “With road closures and damage causing supply chain disruptions and transport challenges, particularly in the Hawke’s Bay areas, getting trucks into the affected locations at the frequency required has proven difficult.” The brand is supporting its charity partner, The Salvation Army, with a donation of $50,000 in Kmart gift cards, and $25,000 of products to help support cyclone-affected communities. The brand said that it was supporting its team members via discretionary leave, continuous pay through store closures and through its employee assistance program. Meanwhile, Bunnings was required to close its Hastings and Gisborne stores on the day that the cyclone hit. But, these stores were back open on the following day to provide customers with access to essential items. According to Bunnings national operations manager Derek Powell, the clean up and recovery process would take some time. But he said the brand was committed to continue working closely with the community and offering all the support it can. Bunnings has donated flood relief supplies including gumboots, cleaning equipment, PPE, storage supplies, water, batteries, generators and gas cylinders. “Over the past few weeks our team have been on the ground in the Te Tairāwhiti Gisborne and Te Matau-a-Māui Hawkes Bay areas, lending a hand with clean-up efforts,” Powell said. “We’ve also donated essential flood relief supplies to areas most affected by the cyclone, including to community groups, Civil Defence and emergency services. “All our stores are currently open and our team is on site to help the community. We’re also continuing to work really closely with our suppliers to ensure we have all the essential items the community needs.” Grocery chain Foodstuffs was forced to close 33 stores, including New World Fresh Collective in Mt Albert, and Pak’nSave in Glenfield, due to the damage wrought by Cyclone Gabrielle. However, all stores have subsequently reopened. CEO at Foodstuffs North Island Chris Quin explained that stock was being delivered by road to all stores, except for the Four Square Tokomaru Bay on the East Cape, where it was using a helicopter to deliver supplies. Foodstuffs has partnered with Whakarongorau Aotearoa/New Zealand Telehealth Services to provide free, mental health support. As of February 2022, the brand’s HereforNz team had donated over $335,000 worth of product, or cash funding to support the immediate need. “Having seen the devastation first hand, I’ve got so much respect and admiration for the hard work of our owner operators, truck drivers, team members, support teams, business and supplier partners,” Quin said. “Given the cyclone struck a week ago, it’s a big milestone to have all our stores open and it’s a testament to the dedication, commitment and culture we have here at Foodies.”