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| Booming Business in Pandemic |
The ongoing Covid-19 Pandemic is disrupting the global economy as the demand-supply match is heading towards imbalance, resulting in the failure of traditional business models. Businesses of all sizes, scale, and spread are in deep crisis due to disruption of the demand cycle. However, there are some exceptions that are making good money, even during the crisis. Broadly, businesses involved in manufacturing and supplying essential services, mainly medical supplies like masks and protective kits, are on the frontline.
The world will definitely bounce back to normalcy in a few months, but that would be a new normal. In the battle of survival, the demand for masks and medical supplies is on the rise, and companies are gearing up to pump production of essential medical supplies. Even automobile companies like Ford and Tesla are coming forward to manufacture ventilators.
The world is paying a huge price in terms of health and finance, but one good visible change is awareness towards ultra-high hygiene. Since there no remedy available and the only solution to avoid contamination is maintaining distance and hygiene, the cleaning industry is booming as the demand for such products and services skyrocketed in recent months. Mass sanitization of public spaces and individual level cleanliness has increased the demand for sanitation and cleaning products. Even post-COVID-19, the trend is likely to continue as the world has seen the benefits of cleanliness.
On the technology side, one business that has seen a sudden spurt in demand is the drone. Whether it is for monitoring or spreading disinfectants in certain areas, government agencies are using drones on an extensive scale very effectively to scale up the operation. Countries like China, South Korea, and Spain are using drones to keep track of the people's movement during the lockdown. China used drones in some regions to speed up transfer medical supplies without much exposure to the virus.
Since people are buying groceries in larger volume,s there is a sudden jump in demand. However, the demand is limited to the essential items as people are avoiding unnecessary spending. You must have seen videos of people fighting for toilet papers and how restrictions were placed on individual buying. The need for extra hygiene pushed the demand for soap and hand sanitizers to the roof. Another big jump in demand has been witnessed in the sales of liquor. Well, we will be able to know about reason only when the lockdown ends, whether it is increase in consumption or a way to keep stock.
The next business that is doing relatively well is the e-commerce industry like Amazon. At a time when companies are slashing headcount, the e-com major hired 100,000 new employees during the Pandemic to meet the increase in demand.
Lockdown restrictions have given people more than enough time, so businesses like board games and puzzle makers are doing exceptionally well. In fact, there was a 2018 board game titled Pandemic, which is doing exceptionally well. Fitness equipment companies are also doing good as gyms are not allowed to open, and people are showing increasing interest in fitness equipment. The sales of a Yoga mat, in particular, are breaking all records.
On the work front, video conferencing companies like Zoom has seen life-time jump in user-base as people are working from home, and there is no other option other than video conferencing to keep things going. Another business on the work front that is witnessing a jump in demand is document handling as people need hands to manage paperwork.
In the absence of regular outside engagement and entertainment options, people are increasingly opting for online gaming. There is a massive demand for online gaming, as this gives one the platform to play and engage with other players. The chance to interact with other gamers when one isn't allowed to meet anyone physically is like a god gift. Interestingly, people are more than ready to pay higher for the advance features for the better gaming experience.
Another business that is doing exceptionally well in this pandemic time is the personal adult entertainment industry. Well, this is better than the past or not, we will come to know only when the real market opens. But for now, the virtual entertainment space is rocking.
Another business that is witnessing a surge in demand is the on-demand remote doctor services. Since hospitals are overcrowded and primary health services are busy managing the Pandemic, the online medical consultancy business is seeing a jump in demand. However, there are regulatory hurdles when it comes to prescribing medication and treatment.
Telecommunications companies are also doing well as people are communicating more while maintaining social distancing restrictions. People are consuming more and more data not just for calling but for entertainment and work. Higher data consumption leads to higher revenue. The streaming video and live video hosting sites are doing extremely well. Like Netflix, YouTube, Amazon Prime is doing exceptionally well as people have time and have no other options to get entertained.
Crisis by nature pushes you to think afresh and go to extremes. The boom in space travel booking inquiry shows that people are more than willing to pay fortunes to travel to outer space. The new breed of entrepreneurs like Elon Musk, Jeff Bezos, and Richard Branson are actively working to make this dream possible, if not on a large scale, then at least for the creative curiosity of a limited group of people.
The reason why I have highlighted some industries that are doing well even in times of crisis is that you should also gear up to and wait for the right to see your business flourish, if not during the crisis, then, of course, during normalcy. All you need is to be ready for the new normal.
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