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Five Major Industries Set to Prosper Post-Pandemic
Words Sarah Adama
It has been a tough year for many companies; however, some companies have come out stronger. From the global pharmaceutical race for a vaccine to retailers offering necessities online and the work-from-home boom pushed by the tech industry, Politics Editor Sarah Adama, talks us through some of the sectors which have seen the most increase and are set for success in 2020.
E-commerce
When citizens across the globe were forced indoors, online consumer spending skyrocketed and companies like Amazon became the port of call. E-commerce quickly became a sudden reality for businesses who realised that their physical stores would no longer serve consumer needs.
Amazon has topped the list for the most increase in market share Covid-19 accelerated the growth of e-commerce between January to March, according to an Adobe expert, retail platforms have seen a 6% global traffic increase.
The lockdown brought overnight changes (literally!) to shopping behaviours; people changed what they were buying, when and how. When consumers turned to the internet for everyday items, it became a matter of product availability and with many companies manufacturing lines and delivery times disrupted. Retail platforms have seen a 6% global increase Thanks to its huge global supply chain, coupled with Prime delivery and logistics, Amazon became the port of call for vital goods. The E-commerce company has seen a market cap gain of $401.1bn. Pinduoduo e-commerce group in China, is steadily becoming a strong competitor as shopper count approaches 720m who shop with chief rival Alibaba. Shopify is another platform among the prime beneficiaries of the acceleration to online shopping, overtaking eBay as the second biggest e-commerce group after Amazon. Start-ups and global groups joined weeks into the lockdown to sell directly to their customers.
Businesses will begin to adapt their ecommerce and SEO strategy to succeed in the long term, those responding to customer demands in real-time will be set for success.
Virtual meeting industry
As we experience the work-from-home, learn-from-home boom, one of the biggest changes has been the shift from physical spaces to the digital space – billions of people connected online. As people found new ways to connect socially, volume for communication tools spiked unexpectedly. The most popular? Zoom, Microsoft and Slack.
With most of the world’s workforce working from home and university’s moving learning online, there is an increased emphasis on accessibility, remote technology and finding data.
Video conferences, live streams and online conversations have become a part of day-to-day life, thanks to platforms such as Microsoft Teams and Zoom Communications inc, life has gone on as normal. Perhaps virtual meetings, virtual schooling, virtual everything is the new normal.
If you ask people their favourite aspect of virtual meetings, they will likely say that they save time, money and effort and it fits perfectly into the structure of their day. Many have
realised that the commutes to the workplace, long days and short weekends were probably not necessary. Now, companies are adjusting to allow employees to work from home, there will be more flexible remote working in the future platforms by Microsoft, Google and zoom. Soon, working from home will become more standardised as employers take advantage of remote technologies.
Employers are not the only one taking advantage of remote meeting rooms, a notable amount of scheduled conferences were moved online – online conferences, work experience and interviews are becoming more accepted.
Microsoft, just after e-commerce Amazon, has topped the list as one of the most prosperous companies. The team's communication app has become a preferred way for workers to stay in touch, whilst the Azure cloud computing platform Microsoft’s net market gain in 2020 was $270bn. Zoom saw its stock price surge by over 100% in just two months and Microsoft’s skype consumer service up by 70%. The company has seen the most upside as its wide range of non-paying customers sent the company’s revenue soaring, 169 per cent increase by the end of April. The communication tool is set for huge growth in the meeting and smartphone space, quick innovation will allow the platform to deal with security and privacy issues identified.
Cyber Security
Covid-19 proved to be one of the biggest threats to cybersecurity as scammers took to the internet to take advantage of global uncertainty surrounding the disease. There has been a rise in technical challenges, and the cyber security industry worked to mitigate the risks, improving home working software and tools to target operational resilience and criminal activities such as phishing. The emergence of video conferencing providers and general public uncertainty, Cyber security companies, Okta, Zscaler to name a few are set to benefit from the shift.
The dramatic use of communication tools exposed problems with data and security. In an age where practically everything is done online, cyber criminals are becoming creative with their tactics. As companies move their services online and dependency on digital tools increases, our data is more susceptible to cyber-criminal activity now than ever. Businesses will have to re-evaluate the importance of their security solutions to ensure users are safe online – this means more money being pumped into security solutions.
Pharmaceuticals industry
Major winner. The pharmaceuticals industry has played a larger role in the pandemic and had to rethink business strategies to operate long term in post-covid era. The race to find a vaccine has led to surprising collaborations and billions pumped into the industry - a virtual conference of global world leaders saw a contribution of £6.5bn ($8bn) to the cause. There are currently over 40 companies and organisations working on a vaccination, leading the race are companies that hold prior research on different strands of the coronavirus (from The SARS outbreak in 2002 and Mers in 2012).
Biotech companies have been unaffected by the market downgrade and have in fact, doubled their stocks. Moderna, Abbvie, Chugai Pharmaceuticals, Roche and Regeneron Pharmaceuticals are just a few that top the list of Top 100 companies prospering during the pandemic.
GlaxoSmithKline and Sanofi are an example of the business collaborations that have taken place; the two competitors have joined forces to create a candidate vaccine which is expected to enter clinical trials late 2020 and perhaps a fully developed vaccine by the end of 2021. Other big companies have teamed up to deliver.
Stocks in this industry have doubled as the pandemic highlighted how crucial it is for continuous infectious disease prevention and treatment research to be prepared for future crises.
E-learning resources
When workplaces and educational institutions shut down across the world, millions had to adapt to new types of learning. The results? Internet learning.
With time to pass in lockdown, many were prompted to master new skills and gain qualifications. In response to high demand, online learning platforms, Udemy and Duolingo (to name a few) and educational institutions began offering free access to their resources. Virtual workshop platforms like Masterclass also seized the opportunity to entertain and educate people. A study carried out by Times Higher education found that 63% of university leaders predicted that prestigious universities will have full university courses available for online study by 2030. Pre-covid19, global ed-tech was projected for high growth though there has been a significant surge in usage since – language apps, video conferencing tools, virtual tutoring and online learning software.
The low cost and convenience of pursuing new hobbies from home will mean that e-learning companies are set for success. With the shift away from the classroom, it is widely speculated that online learning will continue post-pandemic and such a shift would impact the world education market. With continuous technological innovation, comes an expansion of the types of training that can be delivered online. Whilst the world moves towards a complete digital transformation, we can expect to see the emergence of blended platforms. The e-learning industry is well positioned to boom after lockdown, social distancing restrictions and fears of face to face contact means that online solutions will thrive In the very near future.
Online fitness industry
The way people work out may never be the same. The fitness industry has adapted to life in lockdown and the changes could be permanent. With the rise of fitness content creators taking to social media to engage the population and daily reminders from the media on keeping fit, it’s safe to say a huge number of the population were encouraged. As gyms closed, the industry relied on digital fitness products and online classes and people seemed to be growing more accustomed to digital fitness. Even with lockdown lifted, social distancing norms means that gyms and fitness spaces will look completely different from how they did at the start of the year. The truth is, people will be cautious, even those that have missed being in the gym space.
During the lockdown, fitness equipment providers experienced a massive surge in demand and some providers took the decision to pause sales temporarily to reduce order backlog. Exercise wear retailer Gymshark saw a massive increase in revenue and a massive change in workout habits. With leisure facilities closed and the growing popularity of online fitness, businesses have had to adjust their strategy to accommodate their consumers. Measures included opening up digital access and creating content to engage their members.
ClassPass, a fitness provider operating In North America, Europe and Asia is one of many offering employer programs to the likes of Google, Morgan Stanley and Facebook. Working from home has meant that employers need to find creative ways of subsidising employee wellbeing and productivity.
Whilst some people enjoy the live experience and social interaction that comes with working out in the gym, there is a growing appreciation for home workouts which provide structure, flexibility and an online community from the comfort of your own home. Gyms that offer home workouts will be accessible to its members, though social media has made it easier for smaller businesses and individuals to offer the same services – without a physical building. This may mean that fitness providers who do not provide a consistent in person and online service could be left behind. With many things shifting to the digital space, online fitness is undoubtedly headed for success.
