The Industries That Will Be the Most Affected by the COVID-19 Virus Outbreak
Unless you have been living under a rock, chances are you have heard about the COVID-19 (Coronavirus Disease 2019) outbreak caused by the SARS-CoV-2 virus.
The virus is spreading quickly and companies have been forced to let their employees work from home or have had to close their doors temporarily. The financial implications of not being able to operate for weeks or months can be dire for your business.
Nobody knows just how much the virus is going to impact businesses but we can all predict with certainty that the damage of this outbreak will be significant, not just because of the sick people, those who lose their lives, and how their loved ones will be affected by these tragedies, but also because of the impact on the economy and these people’s livelihoods. As a lot of businesses cannot operate, people might lose their jobs and businesses might close. Some people might have to deal with the loss of a loved one and the added financial stress. But what industries are most likely to be impacted by the COVID-19 outbreak?
The Hospitality Industry.
Many restaurants and hotels are seeing a massive drop in business, as people around the world have been instructed to isolate themselves socially and people are trying to avoid going to public places where they can come into contact with people who have been affected.
The Travel Industry.
As many countries have chosen to close their borders temporarily and people are not able to fly internationally, the travel industry is taking a huge knock. People are too scared to board cruise ships or aeroplanes since the air is being circulated and they are trapped in a space with people who could be infected with the virus. If nobody can fly, airlines cannot make money. With all the flights that have been cancelled, weeks of not being able to fly internationally in some cases, and some countries deciding to close their borders for months, things are not looking good for airlines. Virgin Atlantic has even asked its employees to take eight weeks of unpaid leave.
Events Companies.
As people are not getting together in large groups, a lot of events around South Africa have been cancelled or postponed, including sports events and concerts. Companies who make it their business to host events for large groups of people will lose a lot of money if their events cannot proceed. Event-organising companies who arrange functions for other businesses will also lose money because businesses will not be able to host conferences, networking events, etc.
IT Companies.
IT companies that make their income by helping various businesses with software or hardware problems or setting up cybersecurity will lose work if companies are going to close down. They are already unable to do work for organisations if their employees are all sitting at home and if people are unable to work.
Construction Industry.
If a lot of companies are forced to cut costs, chances are that businesses will not be expanding any time soon and will not require the services of a construction company. Homeowners who are stressed about finances are also likely to put any home renovations on pause and those who wanted to build their dream homes are also likely to put those plans on hold.
Small Companies Without a Safety Net.
Small companies that do not have cash reserves to carry them through can expect difficult times ahead and many might have to close their doors in the end.
What Can You Do?
All you can do in a time like this is to develop a clear strategy for protecting the business, try to save as much as you can, take advantage of any opportunities that arise, and if you have some extra money to spend, use it to help your business get ahead in these troubling times. If you can take advantage of the fact that a lot of companies will not be spending on marketing and dedicate your efforts to getting more attention in the marketplace through advertising, you will not only help your business now, but you can help it become one of the most recognised in the industry and blast past the competition. Now is the time to focus on marketing if you have some extra money to spend.
If you want to up your marketing game and get more attention to help your business thrive instead of losing money, contact us at iLEAD et al. As digital marketing experts, we can help you come up with the best strategy for you.
