Covid-19 pandemic has started weathering the world economy. This is highly expected to affect the industries such as food and beverages, automotive, oil & gas, insurance, sports and entertainments, travel and tourism among others. However, there are few markets which are expected to promise positive growth for next 3 years. These markets include the sectors like healthcare, technology and chemicals.
1) Positively Impacted Medical & Pharmaceuticals Companies
The corona virus has urged medical attention of many countries across the world. This is further supported by the intervention by worldwide health organizations. Moreover, many of the nations that has the most the most skilled workforce such as India, South Korea, Australia, and Russia, are expected to increase their spending for strengthening their healthcare management systems. This will include investments for improvising diagnostic, treatment facilities, along with the better payer policies. The improvised facilities and system are expected to create multiple opportunities for the medical and pharmaceutical manufacturers, in economies with the highly skilled workforce.
On the individual level, this pandemic is expected to increase healthcare hygiene and precautionary awareness among various user groups. Thus, as a precautionary measure there will be a significant demand increase of diagnostics, vaccination, and other medical products such as masks, sanitizers, gloves and others. Owing to this demand, the medical facilities and pharmaceutical companies are sustaining the economic slowdown and can further achieve the growth opportunities by manufacturing and supplying the products specific to demand. However, the most of the skilled workforce economies has price sensitive markets. Thus, the companies with the cheapest products and the strongest supply chain will be able to breakthrough this opportunity.
2) COVID-19 Positive Impact on Technology & Entertainment
The quarantine situation across various countries has given a boost to the adoption to various technologies along with the media & entertainment tools to utilize idle time than productive time,. The tech industry will see rise in the users of paid subscription of gaming and video streaming applications, due to unused disposable incomes. This is further supported by uninterrupted supply of utility services such as electricity, internet, and other telecommunication modes. This trend is majorly expected to affect the juvenile and elderly populations other than adults.
The tech market is also lifted by the BPO, KPO, IT and other similar businesses. The lockdown and quarantine amid the covid-19, has provided opportunity to install various technology and feasibility to assess the productivity of individuals and teams working from non office spaces such as home. This includes the installation and assessment of technologies such as VPN, cloud storage management, cloud-based software, productivity tracker, and other MIS tools. Along with the smooth work process from remote locations, these technologies also offer an advantage of reducing the office space, infrastructures and other amenities thereby, lowering the demand of operating capital for such business. Thus, the adoption of these technologies in the business houses will be highly impacting the growth of this segment.
On the other hand, the entertainment industry is expected to see a trend of rise in the subscription of the web series, and online movies, among other media. This increase is assumed to be additionally boosted by at least by 3% over the period of next 6 months.
3) Digital Currency & E-commerce Adoption Boosted by Covid-19
Many developed and developing nations have implemented self-isolation and social distancing strategy to control the communal spread of corona disease. It has reduced the practice of physical money exchange and encouraged the mode of online currency transfers. Also, self-isolation and social distancing have appealed the utilization of digital mode of payments and money transfers. Some of the nation which are expected to have reduced offline transactions than and higher online transactions could be Japan, India, Spain, Italy, Germany, France, Thailand, Vietnam, Philippines, Sri Lanka, Pakistan, few Middle East and African countries, and few Latin American countries
Similar to digital currency, the e-commerce is also positively impacted by self-isolation and social distancing amid corona pandemic. The consumer purchase pattern is now showing the trend of considering the online product purchases than visiting the crowded places such as shops, showrooms and malls. Moreover, easy availability of products & services with the large number of options will also support the growth of this industry. Food delivery, house hold, laundry and other essential goods delivery offering businesses will be experiencing significant hike in revenues. However, current damaged supply chain of e-commerce may negatively impact on the growth of this segments.
4) Microbial Control Chemicals Applications to be New Trend Post Covid-19 Pandemic
Microbial control chemicals are majorly used as antiseptics, disinfectants, and antibiotics, chemotherapeutic chemicals to control or kill the microbial organisms. These chemicals are will have high demand from healthcare facilities, automotive, infrastructure & construction, paints and coatings, food and beverages for respective applications such as area/ city/ state sanitation. It will be the major highlight of this segment. Moreover, microbial food and crop protection chemicals will be higher in demand due to outbreak of corona disease. However, it is difficult to estimate the growth impact for next 3 years till the implementation of any strategies from government and regulatory bodies. However, the consumption of such chemicals will be majorly intervened by the regulatory bodies of the respective countries.
These chemicals are expected to be produced and imported from in China, India, Australia, Mexico, South American and ASEAN countries. The major consumers of these chemicals are expected to be in USA, Germany, Japan, China, U.K. and Canada, as these developed nations has the largest number of covid-19 infected patients.
5) Fertilizers & Livestock Feed are Somewhat Positively Impacted
The increased awareness on microbial infections due to consumption of food products from non domesticated animals, has spur the demand of vegetarian and domesticated animals food products. Thus, it may also spurge the number of vegan consumers, thereby increasing the demand for agriculture products. This growth of agriculture products is likely to surge the consumption of agrochemicals and fertilizers to increase the crops yield to meet the demand. Therefore,agrochemicals and fertilizers segment may have positive impact of the Covid-19 situation.
On the other hand, various countries and world authority are developing strategies to control the risk of diseases outbreaks by reducing China and other countries reliance on meat from confined animals, and promote alternatives. For instance, in April 2020, the Chinese Government has issued a draft that lists of livestock that can be farmed for meat and other applications. Thus, there will be significant increase in the demand of the high quality feed that can deliver the increase the yield along with the maintaining the quality and immunity of livestock. Therefore livestock feed can be one of the segments that can showcase the positive outlook to its manufacturers.
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