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Some companies are benefiting from the coronavirus. Most companies aren’t.

  • Rating — 5 (3 votes)
  • Updated on April 15, 2020
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People are stocking up but staying at home more, and the coronavirus is hitting business.

The novel coronavirus outbreak is a big, scary, and volatile thing. Although it’s just an epidemic, and like all other epidemics before it, this shall pass. But before it will happen there will be a huge market transformation which will bring down some companies and some of them will make profits during the world crises.

Customers don’t want to get sick, so they are staying at home. Going out less or following the government advice of “social distancing” to reduce the likelihood of an outbreak, hurts companies across many sectors — from mom-and-pop restaurants and film distributors to major airlines. But, customers still need to work, get healthcare check-ups, watch TV, shop, so on and so forth. 

As a result, companies that work in sectors such as telework, healthcare, entertainment, delivery, and shopping platforms are benefiting from the coronavirus pandemic. We are going to overview more detailed these sectors and the benefiting companies: 

  • More and more people stay home, they’re likely turning to Amazon to order whatever they need because the e-commerce giant can get it to their front door in a day.
  • The delivery services like Grubhub, DoorDash appear to be overwhelmed in orders from customers who have turned to online retailers amid product shortages at physical stores. 
  • Entertainment services. Customers will interact with at-home entertainment options, of which Netflix is probably the most popular.
  • Quarantines, cancellations, and work-from-home policies have greatly driven up the demand for video and chat software that allows people to try and maintain some semblance of business as usual. A firm that helps companies track how their employees use the software, saw Zoom usage increase more than 30 percent since the beginning of February. 
  • Neolix, a maker of urban robo-delivery trucks, made an interesting claim recently. The Beijing-based company said orders for its self-driving delivery vehicles were soaring because the coronavirus epidemic had both cleared the roads of cars and opened the eyes of customers to the advantages of driverlessness. The idea is that when the epidemic is over, the new habits may well persist.
  • Medical companies that provide patients with affordable, convenient access to medical care 24/7. For example, Teladoc connects you with a board-certified doctor 24/7/365 through the convenience of phone or video consults. Within minutes, a doctor will contact you ready to listen and resolve your issue. 
  • During COVID-19 people can visit the gym or go to the park for a jog but want to maintain themselves in good shape, they do sports with equipment and apps for home training.

Digitalization is the future as you can see in the example of the benefiting companies. If you are still running your business offline you may lose everything.  Digitalization is a trend that has gained significant dynamics in the wake of the novel coronavirus outbreak across the globe.The idea of it is simple. Take a physical process, and digitize it so that customers can do it from their own homes. Before the coronavirus outbreak, the digitalization trend already had a ton of dynamics. After the coronavirus outbreak, however, the trend has gained more dynamics than ever before.

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