Musica Closes Its Doors After Nearly 3 Decades Due to Covid Pressures
- Clicks Group has recently announced that its music store Musica will be shutting down after 3 decades in the industry
- According to Clicks, the digitalization of entertainment coupled with mounting pressures brought on by Covid-19 has seen the entertainment company struggle to stay afloat
- Clicks had first acquired Musica in 1992 and helped it become the leading brand in entertainment over several years
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Pharmaceutical giant Clicks recently revealed that Musica will be shutting down after almost 30 years. According to the company, Musica has seen a steady decline in revenue due to the increasing reliance on digital consumption of gaming, music, and other forms of entertainment.
With the terrible Covid-19 pandemic also wreaking its own amount of damage on a number of industries, Musica is one of those that seemingly collapsed underneath the pressures of the pandemic.
"The inevitable demise of the brand has been accelerated by the COVID-19 pandemic which resulted in the rapid decline in foot traffic in destination malls where Musica stores are typically located," wrote Clicks.
Timeslive also reported that 19 Musica stores have been shut down since the start of the new financial year. They also wrote that the 59 stores that are currently still operational will be closing once their leases expire over the next coming months.
The company also said that they will try to keep on as many of Musica's staff members as possible and have absorbed most of them into the Clicks health and beauty sectors adding that they have seen a lucrative increase in revenue due to the high demand for vitamins and other health supplements.
Source: Twitter
Briefly.co.za also reported that Alcohol makers have started to invest in the zol market as the lockdown continues to cripple the liquor industry. Ever since the lockdown, due to the Covid-19 pandemic, began in March 2020 in Mzansi, a lot of alcohol producers and retailers have shared that they have lost millions of rand in revenue since government banned the sale of alcohol.
Mzansi's leading producer of spirits and ciders, Distell, has reportedly announced that it bought a 20% stake in the local brand RETHINK. RETHINK produces a wide range of dagga-based products such as teas, skincare items and CBD oils, among other things.
Distell owns some of the country's favourite booze brands such as Savanna, Hunter's, Klipdrift and J.C. Le Roux, among others. Business Insider reports that South Africa’s zol industry is expected to be worth R14 billion, with predictions of a surge towards R28 billion by 2024.
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Source: Briefly News
