Covid-19 has shaped the world in many ways- no citizen of any nation around the world is unaffected by covid-19. Businesses have been forced to change their strategies to remain profitable and sustainable, consumers have changed their spending patterns & habits to preserve money.
How has covid-19 impacted businesses negatively?
Cost Implications of introducing remote working due to covid-19
Some businesses had to implement alternative measures to remain profitable and productive such as remote working which allows employees to work from home. Although this could be a benefit for employees, businesses might have to invest more in tools that help their employees to work productively from home.
Travel & Tourism sector disrupted
Covid-19 rules and regulations have placed the travel and tourism sector in a financially compromising situation due to the travel bans placed within countries and cities. Businesses that depend on tourists such as lodges, tourist attractions, theme parks and museums were disrupted due to the lockdown restrictions.
Businesses considered as non-essential had to close down
The closing down of non-essential businesses has left a lot of people unemployed, business owners had to consider other ventures in order to stay afloat.
Direct consumer-orientated businesses such as restaurants and entertainment parlors had to temporarily close down
Since many customers of those establishments are in the habit of dining and watching movies or performing other activities during weekends, their absence from these places has led to lower revenue in the establishments. Read more
What are some benefits has covid-19 had on businesses?
The older-aged customers are searching for the most comfortable way to shop and are switching to e-commerce as a result of an increasing presence of various online retailers due to lockdown restrictions that prohibit physical retail shopping. Since the demand and opportunities are supported by the rapid increase in internet penetration, younger population, and the digitalized generation, some retailers see it as an opportunity to start their own e-commerce store or a site on platforms such as Amazon.
Companies have been forced to find alternative ways to reach their customers, engage with them and ascertain that there is visibility for their brand. This has directed most businesses into investing in digital marketing to increase Web site and social media activity and engagement with potential customers in order to convert them into leads and sales.
Most businesses have integrated covid-19 into their business offerings, for example, medical companies have added covid-19 protective equipment in their product lines such as the sale of masks, sanitizers, face shield masks, and protective gloves to be sold to other businesses and the general public.
Retrenchment of employees has cut costs for businesses and they now have to remunerate essential departments that are the core of the business.
Although Covid-19 has had an impeccable negative impact on businesses, it has also driven some businesses in the right direction. The threat of a global pandemic has pushed businesses to think about marketing in new ways, businesses are having to consider different types of marketing channels that they may not have considered previously. Read more