The ongoing coronavirus situation has impacted our lives in more ways than we expected, from our social interactions to our spending habits. It has been incredibly problematic for businesses and individuals up and down the country, and much of the hard data behind what is happening is only just coming to light. We have managed to scoop up some of the numbers that elude to the true quantifiable effects that this completely novel situation has brought about. If you are involved in any sort of business, either online or physically, this data should help you map out your plan for the next few years. Whether you like it or not, the business landscape is changing, and it is likely to be a change that is long-term, at least for the next 5 years.
Coronavirus Marketing News
Many people will already have heard of some of the effects that coronavirus has had on business and marketing in general. Netflix subscriptions have shot up, online shopping is now the new norm, and the eCommerce giant Amazon has been enjoying huge increases in sales. On the other side of the table, many companies both large and small have filed for liquidation and have shut their doors permanently. People are out of work and uncertain about their future and what they are going to do for work in the short term.
Coronavirus Case Studies
Coronavirus has brought a lot of movement and jostling to the business landscape, but there are lots of standout stories that provide us with a deeper understanding of how markets are shifting and what we can learn from it.
Amazon
We have all heard about how well Amazon is doing and how much money Jeff Bezos is making, but what do we know exactly about their lockdown experience? The facts are, Amazon holds the title of having 35% of all UK online lockdown sales. This is huge and represents the creeping dominance that this company is having on the online market place which is being felt by consumers.
Primark
The fast fashion retailer recently released a statement confirming that they made £133 million in revenue during the first week of opening. Although their revenue has contracted by 75% for the same quarter, they still expect to make a profit this year of £350 million. They have not been able to adapt and implement an eCommerce model, however their prospects look good and they have ordered £800 million in new stock for this year.
Naked Wines
Naked Wines is one of the UK’s leading online wine retailers that has been enjoying steady growth in the UK thanks to their communal approach to wine selling. When the coronavirus lockdown hit, the company saw a surge in sales as people started looking to online vendors to get their wines. Naked Wines share prices are up 5%, revenues are up 13%, and repeat customer sales have grown a whopping 13%, which is monumental for any online business.
Adapt To Survive
One thing that lockdown has highlighted in the business world is the ability of organisations to adapt to survive. It has been a long hard road for many businesses, and many more would have gone under if were not for the creativity and perseverance of owners and directors up and down the country. Pubs and restaurants came to a complete standstill, but many refused to simply close their doors when lockdown hit. The owners realised that they could use their contacts and suppliers and transition their business into a home delivery fulfilment model business. This not only keeps them afloat, but it also retains their company salience with their customers, and promotes them within the community. Small businesses like florists and food companies realised that they would have to put all of their efforts into an online business model if they were to survive, and many did so with overwhelming results.
The Strong Will Survive
The strength of many businesses continues to be tested, even as lockdown measures are starting to ease, but we are not out of the woods yet. The truth is that markets have been changed for good, and they may never snap back to how they were pre-lockdown. As physical shops start to open and consumers start to flood the markets with spending again, many businesses will breathe a sigh of relief, but we must not forget the lesson to be learned here. Anything can happen in life and in business, and organisations would do well to remember the lessons that coronavirus has brought to the world. Avoid running up debt, don’t take your customers for granted, and above all, make sure you establish a strong online presence so that you can diversify your business if need be.
