Under the unforeseen circumstances brought forth by Covid-19, many businesses have taken a beating. Today we will gloss over which businesses have suffered during the pandemic and how it’s shaped a new age of digital business to help business owners better understand ongoing situations.
Businesses That Are Struggling
Although the pandemic has affected all industries, the impact hasn’t affected all sectors the same. What does recent evidence show us? Firms reported that from April 2020 to March 2021 sales were 21% lower which in return the investment was 26% lower than what they should have been.
On a whole the industries reliant on personal interactions or travel have taken the largest hit, this would include gyms, accommodation, food services(cafes, pubs and restaurants) where sales have been 50% lower than the “normal”. Most of this is due to the recent lockdown and social distancing rules making it very hard for some businesses to operate.
Restaurants/bars and other business establishments in Australia have recently been closed for over 100 days making situations outstandingly difficult for small businesses to operate or survive in the future. On average 70% of firms had stated that the level of uncertainty for their business rose. With an average of 85% of businesses reporting that coronavirus was on their top three list for uncertainty.
Businesses That Are Thriving
The pandemic hasn’t affected everyone in the same manner and this also applies to businesses. Firms that allow workers to work from home for example have not suffered as much as firms that require people on the job site. Here are a few which have thrived from the pandemic.
Health Supplies
This is a no brainer really, with hospitals having to treat more patients it’s not only medical staff that have been busy. Suppliers of essential medical equipment and supplies have seen huge increases in demand. This also rings true for the information technology(IT) that has become essential for modern-day patient care.
An Australian IT professional who supplies hospitals was quoted saying “I’ve never seen anything like this. Demand is outstripping what we, or anyone else in the global industry, can provide. Hospitals are increasing their capacity with Critical Acute Care units and need our specialist equipment to support medical staff. We’re delivering it as fast as the factories can make it.”
Betting Companies/Bookmakers
With lockdowns keeping many stuck inside looking for fun and excitement, many have looked at the Bookmakers and betting companies for some adrenaline. Betting companies can now operate by having most, if not all of their teamwork from home and continue almost in business as usual, except for the increased demand.
This inherently leads to a rise in new australian bookmakers and does not look to slow down. With the future of betting companies looking for more and more mobile and online access, it doesn’t look like the gaming industry is slowing down and is unlikely to start decreasing in momentum.
Manufacturing
Big manufacturing plants that were able to shift their production lines to producing vital supplies have also thrived. LVMH for example has now started producing hand sanitiser in its perfume factories. It’s not all bad news for smaller businesses either, with Australians increasing their purchases from local manufacturers.
According to a cleaning consultant for a local cleaning product manufacturer said “We’ve seen increased demand, and while much is due to the need for hygiene, customers are also telling us they’ve been wanting to use Australian products, and this situation has given them the final push”.
Cleaning
The increased publicity regarding the spread of the virus has made the cleaning industry spike. With workspaces looking to keep clients and workers safe many companies look to more frequent cleaning services.
Groceries
In all the stress and panic caused by the pandemic, many have opted to panic buying groceries. Empty supermarket shelves and recent news of people fighting for toilet paper and other necessities in shops are clear evidence of sales sky-rocketing. Naturally, this boom is also good for the warehouses, transport and logistic companies that supply the supermarkets, with most of them looking for more staff to cope with the demand
Animal Adoptions
Perhaps the most unexpected on the list. With isolation, many people have looked to pets for company. A general manager at the Australian Animal Protection Society has stated that unprecedented levels of adoption of cats and dogs have been taking place.
Delivery Services
Another no brainer for thriving businesses. Many who have been stuck at home have resorted to less stressful ways of enjoying meals without needing to cook. Delivery services such as DoorDash and UberEats have had a giant spike in sales due to the pandemic. Cab services such as 13CABS have even launched a ‘13things’ to minimise the effect of the pandemic on their business and will deliver anything that fits in a car.
