Coronavirus Pandemic To Rewrite The Future of Businesses: July 2020

CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF
BUSINESSES
July 2020
Introduction
COVID-19 Global Impact
Corporate Response to COVID-19
Business Impact
Shifts in Consumer Behaviour
Conclusion
About Voice of the Industry
INTRODUCTION
Scope
This report highlights the results of Euromonitor’s Voice of the Industry: Disclaimer
COVID-19 survey, alongside commentary and context from Euromonitor Much of the information in this briefing
is of a statistical nature and, while
experts. every attempt has been made to
ensure accuracy and reliability,
▪COVID-19 has transformed the economic and consumer landscape. It has changed Euromonitor International cannot be
the way we as consumers live, work and shop. Uncertainty remains high. But what held responsible for omissions or
errors.
is clear is that economies will not emerge unscathed and the daily routines and Figures in tables and analyses are
lifestyles of consumers will shift to accommodate continued social distancing calculated from unrounded data and
may not sum. Analyses found in the
while treatment and vaccine options are investigated, and potentially into the briefings may not totally reflect the
longer term with a “new normal” as fears of a pandemic or other destructive event companies’ opinions, reader discretion
is advised.
remain palpable.
▪Forecast and scenario closing date: 29 June 2020 - the last update of data in the The Coronavirus (COVID-19) survey
analytics tools. tracks the sentiment, preparedness,
impact, reaction and future measures
▪Report closing date: 29 June 2020 - the date the report writing stopped. taken by businesses in light of the
COVID-19 pandemic, and also
▪Discussions and feedback from our clients are a vital part of all of our research at predicts consumers’ shifts in
Euromonitor International. We welcome the chance to continue the conversation - behaviour using insights from 4,812
professionals working in companies
full contact information for the author(s) can be found at the end of this report. spanning industries and geographies.
This crisis has highlighted the need to
entirely rethink businesses practices
and strategies across the whole value
chain with special focus on new
technologies and social purpose.
© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 3

INTRODUCTION
COVID-19 survey snapshot 2020
▪COVID-19 induced 2020 global recession is expected to

be the worst since the great depression in the 1930s. About Euromonitor’s
▪Surveyed companies anticipate the worst impact on the Industry Insights Series
economy, followed by impacts on society and
businesses.
In the Voice of the Industry
▪Corporate response was quick despite lack of survey series, Euromonitor
preparedness. connects with industry
▪Going forward, building resilience to future crises professionals to explore trends
will be key, with flexible working patterns and and innovations.
agile supply chains at the heart of the recovery. This report focuses on the
impact of the COVID-19
▪Respondents predict revenue streams and pandemic, drawing on a Voice
operations to remain under pressure for some of the Industry survey of 4,812
time as globally businesses adapt to COVID-19 professionals working in
disruption. companies spanning industries
and geographies and fielded in
▪Surveyed professionals expect many new enforced April 2020. More details on
consumer behaviours to eventually revert to pre- respondents and methodology
COVID-19 times but some new habits will likely can be found at the end of the
continue post-lockdown. report.

Introduction
Business Impact
Conclusion
COVID-19 GLOBAL IMPACT
Global economy is forecast to enter its worst recession since the 1930s
Global Real GDP Growth, Baseline The health crisis and unprecedented disruption caused by COVID-
and Scenarios: 19 have profound impacts on economies, businesses and
2006-2022 consumers worldwide.
12.0 ▪Businesses are facing huge challenges in navigating through the
turbulence, while coping with disrupted supply chains and
COVID-19
8.0 rapidly changing consumer needs and habits.
GFC
▪Euromonitor’s three adverse global scenarios capture the major
4.0 downside risks related to the COVID-19 crisis, based on the
impact and duration of the pandemic.
% growth
0.0
▪These scenarios can help businesses to understand what the
crisis might mean for the economy, industries and consumers,
-4.0
and navigate the extraordinary market challenges that companies
will be facing during and after the outbreak.
-8.0
▪The model predicts a worse impact than the Global Financial
-12.0 Crisis, with the global economy forecast to enter its worst
2006 2008 2010 2012 2014 2016 2018 2020 2022 recession since the 1930s, hitting every sector from hospitality to
Euromonitor Baseline, January 2020 (pre COVID-19 ) education and finance.
Euromonitor Baseline
▪The 2020 COVID-19 crisis is expected to cause a sharper first-
COVID-19 Pessimistic1
year contraction, with real global output growth in the range
between -5.5% and -3.5% in 2020 (baseline scenario), assuming
a partial recovery to pre-crisis trends in the level of output, with
Source: Euromonitor Macro Model (update 29 June 2020)
Note: Data from 2020 are forecasts. global annual growth rates around 4-6% in 2021-2022.

Businesses expect COVID-19 to be much worse than previous crises
How does the COVID-19 pandemic compare with: ▪The overall business sentiment is pessimistic about the
2002-2003 2008-2009 Global impact of COVID-19. The outbreak is expected to have
SARS Crisis Financial Crisis much worse effects than other recent crises, with
Overall global surveyed companies anticipating the worst impact on the
economy, followed by society and businesses.
Economic
economic impact
Overall economic ▪With many unknowns still ahead, the pandemic has led to
impact in my country extraordinary uncertainty about supply chains, with a
third of respondents not sure about how the impact on
Impact on customers
supply chain and logistics compares to previous crises.
Social
Impact on my life
▪As the world enters a “new normal” with social distancing
remaining to prevent new outbreaks, the psychological
Impact on my and socioeconomic scars of lockdown are likely to prevail,
company's revenue affecting consumer behaviour, until a vaccine is available.
Business
Impact on my ▪Countries are taking significant fiscal and monetary

company's
employees measures to support businesses and individuals.
Impact on my However, isolated national actions might feel weak to
company's supply
chain handle a crisis that brought enormous challenges to global
0% 100% 0% 100%
public health.
Much worse Somewhat worse
▪International coordinated cooperation among public and
Same Somewhat better private sectors is required to deploy the necessary
Much better Not sure resources to safeguard peoples’ lives while ensuring a
Source: Euromonitor Voice of the Industry survey 2020 sustainable recovery for people and the planet.
Note: Fielded April 2020.

Impact of recent crises on the economy and consumers
▪As tempting as it may be to compare the 2020 COVID-19 crisis

with previous crises looking for some similarities, analogies
might not work. The expected global recession in 2020 is likely
to be the worst since the great depression.
▪Although the 2008-2009 Global Financial Crisis (GFC) and the
COVID-19 crisis have resemblance in terms of global GDP
losses, job instability or drop in consumer incomes and
expenditure, they are very different in terms of initial shocks
and causes.
▪While the 2008-2009 crisis started in financial markets due to
excessive household debt levels, the 2020 pandemic crisis
started out as a health crisis impacting the real economy,
directly causing supply chain disruptions and declines in
consumer demand due to social distancing restrictions.
▪Despite similarities between SARS and COVID-19 in terms of
origins, with China at the epicentre of these health crises, the
SARS epidemic was contained faster, lasting eight months and
leaving less than 800 deaths worldwide.
▪The global economy in 2020 also differs from what it was 17
years ago. Since the SARS crisis, China’s contribution to global
GDP is three times greater, with the country expected to
overtake the US as the biggest economy in USD terms by 2031.

Introduction
Business Impact
Conclusion
CORPORATE RESPONSE TO COVID-19
Overview: corporate response to COVID-19
Does your company have

a business continuity plan
in place to address severe
disruptions in day-to-day
What future measures do
Preparedness operations?
you expect your business
to introduce or adopt to
prevent similar risks in
the future?
COVID-19 Survey
Business
Future April 2020 Precautions
actions impact and actions
What precautions/
measures have been
taken by your
company around
COVID-19 to support
employee health,
wellness and safety?
For companies that have What actions has
taken no or limited your company taken
action, what do you think around COVID-19 to
are the main barriers support day-to-day
preventing them from business and
doing so? Barriers operational
continuity?

Quick business response despite lack of preparedness
Business Preparedness to Address ▪At the beginning of 2020, 80% of businesses had no contingency
Severe Disruptions in Day-to-day plan to protect business critical operations from unexpected
Operations as We Have Seen From events such as the COVID-19 pandemic, (Euromonitor Voice of
the COVID-19 Pandemic the Industry: COVID-19 survey, 2020).
▪This lack of preparedness is related to the lower attention paid to
Created a business social risks. According to the 2020 Global Risks Perception
continuity plan in response 44.3% Survey, published by the World Economic Forum prior the
to the pandemic
outbreak, social risks including health threats such as pandemics
Had a business continuity
plan prior to the COVID-19 20.0%
were considered much more unlikely to happen than risks
pandemic associated with climate change or natural disasters.
In the process of creating ▪COVID-19 has changed this perception, with surveyed companies
19.3%
one now engaging more than they were in 2019 with sustainable
development goals (SDGs) that deliver social and economic value,
Not sure 6.1% such as Decent Work and Economic Growth (SDG 8), Good Health
and Wellbeing (SDG 3), Reduced Inequalities (SDG 10) and
Plan to develop a business Gender Equality (SDG 5), while showing lower engagement with
continuity plan in the next 5.3%
12 months some of the environmental goals such as Life on Land and Life
Below Water (SDGs 14 and15), according to Euromonitor Voice of
Don't plan to develop a
business continuity plan
5.0% the Industry: Sustainability survey, 2020.
▪Nevertheless, in a world where both social and environmental
% of respondents risks are becoming more prevalent, agility and ability to respond,
adapt, anticipate, and predict both social and environmental
Source: Euromonitor Voice of the Industry survey 2020
Note: Fielded April 2020. crises is crucial for business resilience and survival.

Remote work and travel cancellations in place to protect employees
Measures Taken by Companies Around COVID-19 to ▪While only about 9% of surveyed companies
Support Employee Health, Wellness and Safety reported complete business shutdown due to
Cancel travel 69.3% the pandemic, many businesses had to take
basic precautions to remain operational, such as
Business Strategy
Restrict travel 50.6%
Adjust working hours

cancel or restrict business travel and send their
45.6%
employees to work from home, while providing
Clean work areas more frequently 45.2%
them guidance and health advice.
Close the workplace 42.4%
▪However, fewer than one in 25 companies
Ban visitors 40.7% provided childcare support to its employees and
Employees must work from home 62.3% only 12% of businesses offered unpaid leave,
Provide work from home guidance and tips 61.7% putting added stress on people’s lives.
Provide information/health advice 55.4% ▪Frequent cleaning and disinfection of the
Provide face masks, hand sanitisers 45.6%
workplace along with banning visitors and
providing personal protective equipment, were
Flexible work for carers employees 41.0%
Workforce
common safety precautions taken by those

Employees can voluntarily work from home 39.5%
companies that were unable to allow remote
Provide sick leave 20.4% work due to the nature of the job.
Conduct employee health checks 18.5% ▪For those businesses working fully in remote
Offer unpaid leave 11.7% mode, uncertainty around safety of travel, which
Shut down business completely 8.5% is likely to take a while to ease, is expected to
Provide child care for employees 3.5% impact further business travel and face-to-face
% of respondents events, as well as the ability or willingness of
Note: Fielded April 2020. some employees to return to the workplace.

New ways of working and communicating are key to support operations
Actions Taken Around COVID-19 to Support ▪The pandemic has accelerated the shift towards
Day-to-day Business and Operational Continuity flexible working, with businesses across the world
2020 not only forced to move to remote mode, but also
More frequent internal offering flexible working for those employees with
60.7%
Communication
communications caring responsibilities who work from home during

More frequent external
communications
44.3% the outbreak.
▪Remote work is expected to become an integral
Increased social media engagement 38.5%
part of the “new normal” post-lockdown, with some
major companies talking about permanent work
Business Strategy
Increased remote tech capacity 48.8%

from home - a measure that can reduce businesses’
Changed sales channel mix 26.8%
overall environmental footprint while also saving
Adapt supply chain for business
23.9% employees time and money by not commuting.
continuity
Provided new tools to working from
▪With companies increasingly judged on their
58.8%
home actions during the outbreak, there is no choice but
Adapted work patterns 49.1% to communicate more frequently, honestly and
empathetically, both internally and externally, with
Workforce
Temporary reallocation of workforce 21.1% brands finding new ways to engage on social media
Downsized staff to reduce costs
with their followers.
16.3%
▪The COVID-19 forced lockdown has also affected
Sharing of workforce with other
companies
3.8% the way consumers buy and interact with brands,
% of respondents accelerating the shift towards e-commerce sales
with an unprecedented surge in online grocery
Note: Fielded April 2020. demand around the world.

Case study: ING offers permanent work-from-home option in Spain
▪The multinational banking and financial services

corporation ING Group is now offering a permanent
work-from-home option to its employees in Spain.
▪Companies around the world had to adapt their working
policies due to enforced lockdown and the need for
maintaining social distance to flatten the infection curve
and ensure the health and wellbeing of their employees.
▪This has accelerated the transition towards remote
work that ING was already envisioning, with the
company carrying pilot tests of different models of e-
work in various teams in the country.
Key takeaways
▪The pandemic has dramatically changed the way we live
and work, showcasing the need for flexibility in the
workspace, with businesses expected to provide
Just before the outbreak, in February 2020, healthy, flexible and productive options to work.
35.9% of respondents considered it
▪As flexible work becomes more prevalent, more
important to have a job that allows for a
companies are considering downsizing office space and
strong work-life balance (Euromonitor
embracing new work patterns, including the use of co-
International Lifestyles survey, 2020)
working spaces or digital nomad lifestyles that allow
employees to work from any place around the world.

Case study: Marriott International speaking from the heart
▪With 30 brands worldwide, and sales of USD54 billion in

2019, Marriott is the world’s largest hotel chain.
▪The impact of COVID-19 on global travel and tourism
has been unprecedented, with Marriott reporting a drop
in occupancy by 90% in April 2020 compared with the
same period last year, with 25% of its hotels closed.
▪In an emotional video published in March 2020, Arne
Sorenson, President and CEO of Marriott International,
spoke with great empathy about the state of the
business and the need to protect staff, customers and
communities during a crisis that, in his words, will be
worse than the shocks of 11 September 2001 and the
financial crash of 2008-2009, combined.
▪Although it could take Marriott a few years to get back
to its normal levels of occupancy, the company has now
Image source: www.marriot.com re-opened all its hotels in China.
“How you treat your employees today will Key takeaways
have more impact on your brand in future ▪In times of crisis, taking genuine care of the workforce
years than any amount of advertising, any along with communicating empathetically with
amount of anything you literally could do." consumers and employees, is key to retaining consumer
loyalty and to ensuring business recovery and post-
Arne Sorenson, Marriott International President and CEO lockdown survival.

Remote working comes with challenges and highlights digital inequality
Barriers Preventing Companies Taking ▪Although remote work is rapidly growing, at the time of this
Action 2020 survey (April 2020), over half of surveyed companies still did
Employees unable to work not have the ability to let staff work from home without
55.0%
remotely - nature of their jobs ceasing business altogether. Lack of financial resources
Lack of people/tech resources to especially affected small businesses, preventing them from
Workforce barriers
37.1%
implement
acting.
No work-from-home policy in place 29.4%
▪Those businesses operating in sectors such as services,
Employees unable to work
25.8% construction, logistics and manufacturing, which require
remotely - tech problems
employee on-site presence to remain functional, were unable
Poor internal communications 21.5% to offer remote work.
▪Among those companies whose activity does not require
Business barriers
Lack of financial resources 45.2%

physical presence, a fifth reported technical problems such
Fear of disrupting cash flow 32.1% as laptop shortages or connectivity issues due to poor home
broadband as an impediment to expanding work from home.
Fear of disrupting normal business 30.7%
▪The pandemic highlighted digital inequalities, with fewer
Situation is changing too quickly
companies in developed regions reporting people or tech
External barriers
32.6%
resources, no work-from-home policy, or internet connectivity
Unclear government guidelines 24.6% issues at home, compared to emerging and developing regions.
Takes too much time to implement ▪In a not too distant future, development in technology such as
19.6%
changes 5G networks, self-driving cars, artificial intelligence, drones,
% of respondents robots or remote medical diagnosis could enable current on-
Source: Euromonitor Voice of the Industry survey 2020 site tasks to be done safer or even remotely across the world.

The digital revolution to shape the future workspace
Future Measures to Prevent Similar Risks in the Future 2020 ▪To create business competitive
Expand remote working 66.7% advantage in the COVID-19 era,
Workforce
businesses plan to develop crisis

Worforce
Improve internal communication channels 39.8%

contingency plans (prevention),
Invest in employee health and welfare 33.5% while also expanding their remote
working capability and investing in
Reshape and implement digital strategies 57.2%
digital technology (adaptability).
Develop crisis contingency and response
▪With companies expected to show
strategy
procedures/plans
52.2%
plan
leadership and transparency about

Improve client/customer communications 45.6%
Strategy
how they deal with the crisis,

Business
E-commerce/omnichannel
E-commerce/omni-channeldistribution
distribution 42.4% effective and timely communication
Conduct global scenario planning to forecast potential with all stakeholders is more
34.5%
impacts important than ever.
Evaluate alternative logistics options and prepare for
potential channel shifts
29.5% ▪As a result of the huge challenges
faced by brick-and-mortar retailers
and logistic
Invest in automation and new supply chain technologies 28.3%

during the outbreak, over 40% of
chain chain
Expand supplier and resource pool to give greater

flexibility
27.3% companies are planning to invest in
e-commerce and omnichannel
Supply
Invest in supply chain resiliency and risk mitigation 27.2%

distribution.
Supply
Invest more in localised production 16.8% ▪However, despite recent disruptions

Reduce supply chain processes and resources to simplify
16.1% in supplies, measures related to
supply chain management
% of respondents supply chain and logistics are less
Note: Fielded April 2020. popular among businesses.

Introduction
Business Impact
Conclusion
BUSINESS IMPACT
Overview: business impact of COVID-19
Which are the most likely effects

of the COVID-19 pandemic on
your company’s sales and
Sales and operations in the next six
operations months?
Which are the most likely Relative to 2019, how are sales
effects of the COVID-19 performing in your industry in
pandemic on employee 2020?
health and lifestyles in
the next six months?
COVID-19 Survey
Business
Employees April 2020
impact Revenues
How do you think the

effects of the COVID-19
pandemic will impact the
overall revenue of your
company?
Which are the most likely
effects of the COVID-19
pandemic on your Supply
company's supply chain chain
in the next six months?

BUSINESS IMPACT
Economic slowdown and drop in consumer demand in next six months
Most Likely Effects of the COVID-19 ▪Within the next six months, recession, a drop in revenues and
Pandemic on Your Company's Sales and reduced consumer demand are expected to be the main effects of
Operations in the Next Six Months COVID-19 on businesses. At the time of the survey, three quarters
of industry experts expected a global recession to impact their
Global recession/slowdown companies’ sales and operations in the six months ahead.
Drop in my company's revenues
▪Advanced economies, which at the time of the survey were the
Reduced consumer demand worst hit with infections and deaths, enforced strict lockdowns
Uncertainty and social distancing measures, leading to a fall in revenues,
Shift in sales channel mix employment and wages.
Disruptions to recruitment ▪Professionals across industries expect adverse effects on staffing
Employee layoffs or furlough from furloughs, layoffs and disruption in recruitment to
Reduced employee productivity shortages in sectors where consumer demand has soared, and
Lack of funding
new or different skill sets are needed. Businesses have had to
realign resources and operations almost overnight.
Office closures
Lack of company readiness
▪Globally, only 8% of respondents expected business closures.
Where possible, companies adjusted focus in order to remain
Sales/revenue growth
operational, shifting manufacturing to different products or
Shortage of staff
reconfiguring the sales channel mix.
Complete closure of business
▪The pandemic has highlighted the need for companies to have
0% 25% 50% 75%
more flexible operations and be more agile in the future, building
% of respondents
in different scenarios to inform strategic and operational
Source: Euromonitor Voice of the Industry survey 2020 planning and continuous assessment and reset as needed.

BUSINESS IMPACT
Most companies expect 2020 sales to fall short of 2019
Sales Performance in 2020 ▪64% of respondents from across industries expected sales to be down
on 2019, a quarter anticipating a drop of more than 30%.
More than 30%
worse than 2019
25.0% ▪Service and non-essential industries have been hit especially hard
although there are bright spots such as small home appliances and other
20-30% worse 13.5%
home and garden categories and DIY beauty and personal care products
10-20% worse 13.2% as consumers spend on improving life at home and bringing external
experiences into the home.
0-10% worse 12.1%
▪As economies reopen and consumers resurface, ongoing social
Not sure 9.7% distancing measures and low consumer confidence will likely limit
Same as 2019 7.0%
consumer spending throughout the year. Across all regions, between 50-
60% of industry respondents expect consumers to reduce their overall
0-10% better 9.6% spending at least in the mid term.
10-20% better 5.5% ▪The economic consequences of the pandemic is driving consumer
demand for lower cost options with private label expected to rise as will
20-30% better 2.5% the search for the best deals and value for money. The need to reduce
More than 30%
1.9%
outgoings beyond lockdown could encourage consumers who have
better than 2019
adapted to new in-home beauty regimes and social occasions to
% of respondents
continue these trends further limiting sales for service sectors. More
Worse
consumers have also embraced a “make do” attitude which could further
Same, not sure
inhibit sales of new products as they reuse and recycle more.
Better
▪Businesses must take steps to address the needs of more frugal
Note: Fielded April 2020. consumers.

BUSINESS IMPACT
Case study: helping consumers to save money drives loyalty
▪UK-based Dylon (owned by global home care company

Henkel AG & Co KGaA) is a long-standing leader in easy-to-
use textile dyes. As the COVID-19 lockdown prevented
fashion consumers from visiting stores and as rising
unemployment has made many consumers more open to
reusing items, Dylon has partnered with sustainable
menswear designer Christopher Raeburn to offer tutorials
on upcycling to give consumers a cost-effective and ethical
way to spruce up older clothes. This slice of DIY fashion has
proved quite popular, especially for Generation Z fashion
mavens, as consumers look for interesting designs, lower
costs and smaller carbon footprints; adherents have been
active in sharing their results on Instagram.
Key takeaways
▪As consumers analyse the effects of COVID-19 on their lives,
companies can help them downshift in terms of cost by
renovating and reusing older products while also teaching
new skills and supporting sustainability. Supporting them
According to Euromonitor International
during a period of financial insecurity will likely build loyal
Lifestyles survey (fielded Jan-Feb 2020), customers once the global economy is on the mend post-
59% of respondents like to recycle items COVID-19.
Image source: Henkel AG

BUSINESS IMPACT
Short-term impact of COVID-19 on revenue is clear
Global Impact of the COVID-19 ▪72% of industry professionals agreed that during the first
Pandemic on the Overall Revenue of month of the pandemic, company revenues fell, with nearly half
Your Company Across the Following stating they greatly decreased. Not only affected by the huge fall
Time Frames 2020 in sales as consumption stalled in many sectors, other revenue
streams such as investments have been hit hard and advertising
Next month
spend for many companies has stalled.
▪However, market sentiment shifts as the crisis evolves. At the
time of the survey, a similar 74% still expected revenues to
In six months decrease during the six months ahead of them, but only 30% felt
the decline would be great; most expected revenues to fall but
at a more subdued level.
In one year
▪Longer term, industry professionals appeared optimistic with
34% believing COVID-19 will have no impact within five years.
In five years However, lack of knowledge about the virus leaves many with
questions such as will it resurge, is it seasonal, what is the long-
0% 50% 100%
term impact on consumer behaviour? Consequently,
respondents were more uncertain when thinking about the
% of respondents
impact in five years.
Will greatly decrease Will somewhat decrease
▪Businesses must look for new revenue streams in order to
Will have no impact Will somewhat increase
survive the COVID-19 era and drive future growth; reach
Will greatly increase Not sure
new audiences, leverage new channels, reinvent products and
Source: Euromonitor Voice of the Industry survey 2020 services for new occasions and uses, and repurpose facilities.

BUSINESS IMPACT
Case study: pivoting operations to capture revenue opportunities is key
▪Sysco Corp is one of the largest foodservice distributors in

the world with USD60 billion sales from operations in the
US, Canada, the UK, France, Sweden, Ireland, Mexico and
Costa Rica. Sales to restaurants accounted for 62% of total
sales in 2019.
▪COVID-19 presents a serious threat to Sysco as
quarantine orders severely limit away-from-home food
channels. In the last two weeks of March 2020, company
sales fell by 60%.
▪As such, Sysco has quickly pivoted to reach new channels.
It has partnered with grocery retailers to supply fresh
meat, dry goods and produce amidst surging demand. It
has also helped thousands of restaurants repurpose
themselves as pop-up “grocerants” where consumers can
shop for pantry items that are in short supply at grocery
retailers. Sysco has also created new direct-to-consumer
(DTC) platforms such as Sysco@HOME in Canada which
55% of respondents (Euromonitor offer bulk frozen and dry grocery items, restaurant-
International Lifestyles survey 2020) feel quality steaks and fresh produce.
their choices and actions can make a Key takeaways
difference in the world ▪Rapid channel shifts require the ability to adapt quickly.
Image source: www.sysco.com ▪DTC models are viable as retailers struggle with demand.

BUSINESS IMPACT
Extensive impact on company operations: new business models needed
Impact of the COVID-19 Pandemic on ▪Across industries, company operations were disrupted by
Your Current Operations COVID-19 at a huge cost.
▪Professionals around the world state that COVID-19 has had
at least a moderate impact on their companies’ operations
Extensive impact
(35%) but most (50%) are seeing a significant impact. Less
than 1% believe there has been no impact, highlighting the
devastation the pandemic has caused for consumers and
business alike.
Moderate impact ▪Businesses that have been able to continue operating
during the COVID-19 era have had to adapt swiftly,
rethinking working patterns and staffing levels, adjusting
sales channel mix and investing more in technology to
Slight impact
ensure continuity and maintain links with both employees
and customers.
▪For many, business has ceased, some temporarily, for
others permanently. Those that can reopen post-lockdowns
No impact
face significant operational changes from implementing
social distancing measures and employee protection
to reimagining the use of space and re-evaluating their
% of respondents markets, audiences and how to reach them. Whole new
business models may be needed to reinvigorate existing
Source: Euromonitor Voice of the Industry survey 2020 revenue streams and build new ones.

BUSINESS IMPACT
Case study: PepsiCo seeking direct online route to consumer
In 2019, PepsiCo ranked second in the global packaged food snacks market with an 8% value share
Image source: Henkel AG
▪Beverage players are seeking new routes to Key takeaways

consumers, including direct-to-consumer (D2C), ▪With consumers spending more time at home, all
traditionally the preserve of start-up brands. brand owners will need to find ways of reaching
▪PepsiCo has been quick off the mark to launch a D2C their consumers directly.
website (www.pantryshop.com) to meet consumers’ ▪Those who do so quickly and efficiently (with
food and beverage needs directly. payment and delivery hassle-free) will consolidate
▪The company supplemented this with market share at a time when consumers are turning
www.snacks.com, a site dedicated solely to snacks, to established brands for reliability, and in some
with the ability for consumers to create so-called cases, nostalgia.
“snack packs”.

BUSINESS IMPACT
Supply and transportation disruptions to remain
Impact of the COVID-19 ▪Many companies rely on a limited number of low-cost, offshore
Pandemic in Supply Chains Over suppliers located in countries where strict lockdowns in the first
the Next Six Months 2020 quarter of 2020 have disrupted production, transportation and
logistics, leading to supply shortages across the globe.
Shortage of supplies ▪Around 35% of surveyed companies expect shortages in supplies
and transport interruptions to remain over the next six months,
Transportation disruption
with over a fifth of them considering diversifying suppliers
Difficult to assess at this versus 15% of companies considering a move to more localised
time
supply chains.
Suppliers close down
▪Tech companies such as Apple, Microsoft and Google were
Production already looking to move production away from China prior the
stoppage/suspension
outbreak.
Diversify supply chain
▪The pandemic could accelerate pre-COVID-19 plans to reduce
Short-term change of supply chain dependency on China, initiated a couple of years
production focus
ago, with the trade war between the US and China forcing
Shift to a localised supply
chain companies hurt by the tariffs between the two countries to look
Long-term change of for alternatives.
production focus
▪While China remains an attractive consumer market, increased
Moving critical operations
to unaffected regions tariffs along with rising production costs put the world’s
0% 20% 40%
manufacturing hub, with exports accounting for 17.4% of the
country’s GDP in 2019, in a disadvantageous position. Some
% of respondents
companies may no longer consider China the most resilient or
Source: Euromonitor Voice of the Industry: COVID-19 survey, 2020 cost-effective country to base their manufacturing sites.

BUSINESS IMPACT
COVID-19 has accelerated the debate around manufacturing relocation
Attractiveness of Asian Countries to Absorb Production Capacity Moving Away From China:
minimum wage in manufacturing
Manufacturing as % of GVA and
2020
Ease of doing business ranking

(USD, fixed exchange rate)
35 200
30
150
(184 countries)
25
20
100
15
10 50
5
0
India
Vietnam
Myanmar
Laos
Sri Lanka
Cambodia
Philippines
Taiwan
Malaysia
Kyrgyzstan
Japan
Bangladesh
Nepal
Pakistan
Hong Kong, China
Mongolia
Brunei Darussalam
Singapore
Indonesia
Thailand
South Korea
China
Azerbaijan
Kazakhstan
Armenia
Manufacturing a % of GVA Wage per Hour in Manufacturing Ease of Doing Business Ranking
Source: Euromonitor International from World Bank, International Labour Organization (ILO)/Eurostat and national statistics
▪The decision to continue manufacturing in China or relocate to other countries depends on many factors,
including the existing manufacturing capabilities and infrastructure, along with the ease of doing business,
associated costs and labour regulations of different markets.
▪Manufacturing-led economies with appealing labour wages and more favourable regulatory environments to
conduct business such as Thailand, Taiwan and Malaysia, offer great opportunities for companies to diversify
supply chains, reducing their overreliance on China.
▪Other large economies in the region with lower labour costs than China such as India, Indonesia and especially
Vietnam - which has shown a very effective response to COVID-19 - are expected to capitalise on the shift in
manufacturing away from China. With low costs, Cambodia, the Philippines and Laos also position well as
potential alternative locations to China.

BUSINESS IMPACT
Continued home working and increased anxiety expected
Impact of the COVID-19 Pandemic ▪Only weeks before major lockdowns were announced around
on Employees Over the Next Six the world, a fifth of surveyed people were not able to work from
Months 2020 home (Euromonitor International Lifestyles survey 2020).
▪The pandemic has accelerated changes in the workspace forcing
businesses to establish and expand their remote work
Increased work from home 78.7%
arrangements and capabilities, which in some cases required
setting up entire systems for remote working.
Increased anxiety 76.1% ▪Nearly eight in 10 respondents expect staff, especially those in
positions where working from home is more viable, to continue
Reduced eating out and
going to bars, cinema, 71.8%
to do so in the months ahead, with two thirds of surveyed
theatre, etc companies planning to expand remote capacity. Tech
Increased focus on healthy companies such as Facebook or Google have extended working
habits from eating to hand 66.5% from home to the end of 2020, with Google also giving
washing, sanitising
employees up to USD1,000 to buy work-from-home gear.
Financial struggles 64.3% ▪While working from home could offer a better work-life
balance, some people miss the social interaction with colleagues
Increased at-home activities and/or feel over worked.
( games, cooking, gardening, 49.0%
etc)
▪With mental health key to business success, most surveyed
companies expect increased levels of anxiety and stress among
Increased employee sick
17.2% some employees, with 17% of them fearing higher sick leave.
leave
▪Since the outbreak, 24.2% of companies have reported less
% of respondents employee productivity and 55% have provided health advice,
with a third of them planning to invest in employee health and
Note: Fielded April 2020. welfare post-lockdown.

BUSINESS IMPACT
Case study: employee wellbeing more important than ever
▪With a total investment of GBP13.5 million, leading health

engagement company Tictrac, plans to expand its
Employee Wellbeing (SaaS) platform, which uses
behavioural science to identify employees’ trigger points
for stress reactions and provides advice to combat it.
▪The company provides fitness, yoga, meditation and
mindfulness videos with health and fitness influencers
giving advice on how to improve employees’ lifestyles to
keep them healthy and inspired.
Key takeaways
▪As more people work remotely, companies have a greater
responsibility in supporting employees’ mental and
physical health.
▪During lockdown, companies have set up brand new
digital health wellbeing programmes or widened existing
ones to help people to cope with COVID-19-related
59.2% of business engage with the UN anxiety.
Sustainable Development Goal Good Health ▪These programmes will stay and many companies expect
and Wellbeing (SDG 3), according to to keep them in place post-pandemic. Offering a holistic
Euromonitor’s Voice of the Industry: wellness programme can help to attract and retain talent
Sustainability survey, 2020 beyond the pandemic, while keeping the
workforce more engaged, loyal and productive.

Introduction
Business Impact
Conclusion
SHIFTS IN CONSUMER BEHAVIOUR
Overview: shifts in consumer behaviour
How do you think

consumers will change
their shopping and
spending behaviour as a
Shopping
and spending result of the COVID-19
How do you think
pandemic?
their sustainability- and
environment-related
behaviour as a result of
the COVID-19 pandemic?
COVID-19 Survey
Business
Sustainability April 2020
impact Social
How do you think

their social and
community-related
How do you think
their travel-related Travel

Increased online shopping expected to remain post-COVID-19
Anticipated Changes to ▪One of the most significant outcomes of the pandemic has been the rapid
Consumer Shopping and move to e-commerce for most goods and services. Even older cohorts,
Spending Behaviour 2020 who typically distrust technology and worry about internet security, have
been forced online as they have to stay home. Over half of the survey
Buy more on products respondents believe there will be a permanent shift to online shopping.
to improve life at home ▪Businesses have had to invest in e-commerce to stay operational, either
Reduce in-store improving existing sites or setting sites up from scratch. Aside from
shopping essential goods and services, many brick-and-mortar-only businesses
Buy more health and have had to stop trading, with no guarantees they will reopen. Those that
wellness products do will face costly challenges such as implementing in-store social
Reduce overall
distancing measures and reduced footfall.
spending ▪Only 20% of respondents believe the reduction in store-based shopping
Increase online is a short-term change; most expect this to last into the mid term and
shopping 28% even expect a permanent shift. Some new e-commerce users will
0% 50% 100%
continue to shop online having overcome previous concerns. Uncertainty
% of respondents about health risks will continue to discourage some consumers with
Short-term change only (Q1 and Q2 2020) others wanting to limit time spent in stores, while job losses, reduced
Mid-term change, but will eventually return to pre- incomes and an impending recession will lead to reduced spending.
crisis norms
Permanent change ▪Retailers need to adapt stores for customer social distancing and
No change
employee safety, and invest in getting consumers back into
stores. Store experiences will need to focus on hygiene and safety,
Not sure
while pre-COVID-19 in-store experiences will need to be reimagined for
Source: Euromonitor Voice of the Industry survey digital platforms.
2020

Less time in store, more time online


COVID-19 effect on e-commerce
Lockdown strengthening Amazon's position Primark: No online, no problem
▪As COVID-19 spread globally, lockdowns were ▪Despite a huge surge in e-commerce during
enforced, stores closed and consumer fear of lockdown as consumers were unable to visit shops,
infection grew, brands with no online presence fast fashion retailer Primark plans to survive without
quickly turned to third party e-commerce retailers an e-commerce strategy.
such as Amazon to fill the gap. ▪Primark's business model based on volume sales,
▪Amazon’s sales for both non-essential goods and does not make online sales a commercially viable
groceries - Amazon Fresh and Whole Foods - surged. option due to added costs of home delivery.
This came with some challenges, however, with the ▪Having closed all its stores during lockdown, the
company facing challenges to meet demand due to company took steps to minimise outgoings,
lack of fulfilment capacity and protecting its staff and furloughing staff, cancelling orders and pausing rent
delivery drivers. payments.
▪The e-commerce giant was quick to respond, making ▪As stores reopen, there have been massive queues of
widespread operational changes as well as shoppers, some waiting for hours to get into shops.
supporting local and international communities
▪Consumers’ focus on getting a bargain has not
financially.
disappeared and will only increase as a recession
▪With 54% of respondents expecting online shopping looms and household incomes fall.
to be permanently boosted as these new habits stick,
the pandemic appears to have strengthened
Amazon’s position further.

Case study: Inditex to invest in e-commerce
▪Despite significant losses caused by COVID-19 lockdowns

around the world, Zara’s parent company Inditex plans to
invest USD3 billion to realign its business model for the
COVID-19 era.
▪The Spanish retailer plans to invest in both its e-
commerce operations, targeting growth to reach a
quarter of its total sales to come from online sales by
2022, as well as its stores.
▪The company plans to reduce the number of stores it
runs around the world but will invest in new locations
and expand its best-performing stores, redesigning these
to allow for increased public health and safety
and making the in-store experience more attractive.
Key takeaways
▪Taking an early lead in adjusting channel mix and
business models to cater to new consumer needs gives a
competitive advantage.
▪Online growth helped mitigate a decline of over 40%
With global sales of USD28 billion, Inditex
in first quarter sales for Inditex as lockdowns resulted in
was the third largest company in the global
mass store closures. While some of these sales will revert
apparel and footwear industry in 2019
to stores post-lockdown, being prepared for continued
growth in online sales is key for all businesses.

Social outings expected to bounce back, work from home stays
Anticipated Changes to ▪Consumers’ social lives in the short to mid term are expected to continue
Consumer Social and to revolve around the home and virtual socialising, even after lockdowns
Community Behaviour are eased, but longer term as businesses and consumers adapt, social
activity is expected to return to “almost” a pre-COVID-19 norms. Less
Shift social activities to a
virtual platform, rather than 10% of respondents expected consumers’ reduced out-of-
than in-person home entertainment such as eating out, going to bars, cinema or
Spend more time in the attending gatherings to be a permanent change, at the time of the survey.
home
▪Globally, people want to see some semblance of a normal social
Reduce eating out and
going to bars, cinema, life. However, concerns about safety and uncertainty surrounding a virus
theatre, etc resurgence remain high and ongoing social distancing restrictions will
Avoid large events and continue to deter some consumers as the perceived experience is less
gatherings
appealing, meaning the return to out-of-home socialising is likely to
Work from home more be slow. Most industry professionals anticipate consumer lifestyles to
remain impacted into the mid term.
0% 50% 100% ▪While survey respondents expect life to ultimately return to some form of
% of respondents
pre-COVID-19 normality in terms of social and community behaviour, half
Short-term change only (Q1 and Q2 2020)
of respondents anticipated a more permanent shift to working from
Mid-term change, but will eventually return to
pre-crisis norms
home.
Permanent change
▪This has huge implications for business which will need to reassess
No change operational needs such as resource structures, working patterns and
Not sure office space use, but will also need to consider the implications on
Source: Euromonitor Voice of the Industry survey demand for its products and services as consumer consumption trends
2020
Note: Fielded April 2020. and occasions will centre more on a home-based life and digitalisation.

Case study: contactless technology accelerates openings
▪Presto is a US-based company providing technological

solutions for the restaurant sector, from streamlining
operations to improving the guest experience. Its tools
allow customers to do everything from booking tables,
ordering and paying for their food to leaving feedback
and even playing games between courses.
▪In May 2020, Presto launched its free Contactless Dining
Kit which enables guests to connect via their mobile
devices to order and pay for food with no contact with
staff or menus.
▪Since its launch the kit has orders from thousands of
restaurants, both chains and independents, from around
the world.
Key takeaways
▪Foodservice outlets face numerous challenges to reopen;
how to provide a safe dining space and experience
for guests and maintain social distancing between staff
and guests. Contactless technology plays a key role in
All companies must consider themselves limiting physical touchpoints for diners and enabling
health players now, operating in some way restaurants to maximise capacity within guidelines and
to mitigate consumer health fears or turning tables more efficiently.
address preventative health needs ▪Consumers value proactive thinking and actions that
make them feel comfortable and safe.
Image source: www.presto.com

Most expected changes in travel behaviour will be mid term
Anticipated Changes to ▪Travel categories have been the hardest hit as COVID-19 shut down
Consumer Travel Behaviour borders and kept people at home. No social travelling and only essential
workers commuting, often reverting to the use of personal cars to do so,
Reduce use of public public transport use, and national and international travel have stalled in
transit
the short term.
Increased use of
personal cars ▪As lockdowns are lifted, domestic travel will increase as consumers visit
Reduce travel via family and friends or just get away from the homes they have
airplanes been forced to remain in over recent months. 55% of respondents
Increased use of non- expected domestic travel to increase in the short to mid term; 20% see
enclosed transport
this as a more permanent change to the detriment of international and
Reduce international
travel air travel.
More holidays taken ▪56% expect international and air travel to remain limited even in the
close-to-home mid term. It will be some time before consumers feel safe to fly and visit
0% 50% 100% other countries and for airlines, airports and related services, including
% of respondents accommodation, there will be challenges, such as adhering to social
Short-term change only (Q1 and Q2 2020) distancing measures, to overcome, both in terms of implementation and
Mid-term change, but will eventually return cost implications versus revenues. For consumers, travel experiences, be
to pre-crisis norms it for holidays or getting around town, will be influenced by longer
Permanent change
waiting times, fear of crowding and higher costs as travel companies
No change
across sectors have to limit numbers.
Not sure ▪Across consumer-focused transport categories, be it for leisure or
Source: Euromonitor Voice of the Industry survey business, enclosed or non-enclosed, companies offering any type of
2020
Note: Fielded April 2020. shared transport will need to ensure consumer safety to succeed.

Case study: safety is a key consideration when choosing transport
▪US-based e-scooter sharing platform Wheels struggled as

COVID-19 kicked in and was forced to pull its scooters
from service.
▪The company quickly adapted, working with NanoSeptic,
a company that manufactures self-cleaning surface
products, to create a self-cleaning “skin” that keeps bike
handlebars and brake levers clean and sanitised.
enabling the company to redeploy its fleet of scooters.
▪To appeal further to consumers and reignite business,
Wheels has reduced its rental pricing plan for regular
users.
Key takeaways
▪While consumers want non-enclosed transport options
such as e-scooters, transport systems that involve
sharing have suffered during the COVID-19 era due to
consumers’ safety fears and a huge fall in the number of
The transport industry accounts for over commuters.
20% of the world’s CO2 emissions. Cleaner ▪To win back consumer trust and business, e-bike and e-
mobility is needed to combat the effects of scooter services need to invest in products that remove/
climate change limit health threats or offer significant benefits that will
resonate with today's more anxious consumers,
Image source:www.takewheels.com especially post-pandemic.

New (and sustained) focus on how brands treat customers/employees
Anticipated Changes to Consumer ▪Just weeks before major lockdowns were implemented, 23.2% of
Sustainability Behaviour consumers were buying from purpose-driven brands and 26.4%
boycotted those that did not share their social and political beliefs,
Decrease overall carbon according to Euromonitor International Lifestyles survey, 2020.
emissions due to limited travel
▪Environmental concerns such as plastic waste and climate change
were the focus of attention pre-COVID-19 but the pandemic brought
Increase demand for plastic unprecedented challenges and uncertainty with consumers and
packaging
businesses putting people’s health first.
Decrease in demand for ▪As per June 2020, 69.1% of surveyed companies expect consumers to
second-hand products be more concerned about sustainability in the aftermath of the
COVID-19 pandemic, according to Euromonitor Voice of the Industry:
Increased attention paid to how
companies treat customers and Sustainability survey, 2020.
employees in time of crisis
▪Increased demand for plastic packaging and decline in popularity of
0% 50% 100% second-hand products during the outbreak, is expected to reverse in
% of respondents the short to medium term, as consumers regain confidence in the
Short-term change only (Q1 and Q2 2020) safety of reusable and pre-owned items.
Mid-term change, but will eventually return to ▪Demand for brand purpose will stay strong, with the attention on
pre-crisis norms
Permanent change how companies treat employees expected to remain high in the long
No change
run. Between 2020 and 2025, 71.1% of business plan to invest in
employee support programmes such as promotion of work-life
Not sure
balance, flexible hours or ability to work from home (Euromonitor
Source: Euromonitor Voice of the Industry survey 2020 Voice of the Industry: Sustainability survey, 2020).

Case study: contactless coffee bringing back reusables
10.9 billion cups of coffee were sold through the UK foodservice channel in 2019
Image source: City to Sea / Better Food Café (Bristol, UK)
▪Non-profit City to Sea has launched a campaign called customer, observing distancing. First tested with
#contactlesscoffee working with local foodservice cafés in Bristol, others are following the advice and
outlets in Bristol (UK) as they started to reopen in May, again accepting reusable cups.
to encourage a hygienic, safe “contactless” return for Key takeaways
the reusable coffee cup, in this time of COVID-19, and
▪This initiative provides a practical and safe alternate
amid concerns about a surge in disposable cups.
to single-use cups, allowing consumers and staff a
▪The customer places their clean cup (lid removed) on a contactless experience, while also minimising waste.
tray that the barista takes to prepare the coffee, using
▪This innovation could easily find applications in
normal crockery to make the coffee, before pouring
other product categories, showing that the reuse
into the customer’s cup, without touching it, brings the
revolutionaries trend will make a come back post-
tray with cup back to the till point and
lockdown.

Introduction
Business Impact
Conclusion
CONCLUSION
Shifting the innovation focus to meet consumers’ new behaviours
▪COVID-19 has created a seismic

shift in the consumer mindset.
▪New habits developed during
Health and lockdown and fears over new
safety first waves of contagion, along with
social distancing and the
upcoming recession, is expected
Spending cuts An e- to affect both consumer
and making commerce preferences and disposable
more of less future incomes.
Shifts in ▪Some of these shifts, such as the
behaviour move towards remote work, and
the appetite for the digital world,
are here to stay.
▪Brands will need to be more
Creating space creative than ever to engage with
Working from
in a crowdless consumers that are now more
home
world
cautious and a little bit more
anxious due to the huge
Hometainment uncertainty around how COVID-
and socialising 19 will evolve and impact their
from a distance lives.

CONCLUSION
Lessons to learn
▪ If the pandemic has taught us anything, it is that preparedness and agility

Companies must be agile to act are key resilience tools to adapt to the new normal and future-proof
and able to act swiftly to businesses.
changing situations ▪ Those companies that do not put in place a recession-navigating
strategy might face the risk of being left behind in the COVID-19 era.
▪ Public safety is forcing companies to invest in automation and digital

technologies that allows for social distancing in the workspace.
Investing in technology is
▪ As consumer lifestyles move indoors and online, there will be some long-
a priority
lasting implications.
▪ Digital connectivity is key to survive post-COVID-19.
▪ While environmental sustainability initiatives, most of them paused while

dealing with the immediate health crisis, are set to make a comeback, the
Shift to people-centric virus has brought a strong sense of social purpose, with companies
strategies expected to rethink their cultural norms and the role they play in the
welfare of employees, consumers and the wider society.
▪ The pandemic has changed the world as we know it, reshaping everything,
from business practices and the workspace to consumers’ preferences and
behaviours.
An opportunity to ▪ During the recovery phase, companies are expected to review their work
pause and reset patterns and policies along with their marketing, communication and sourcing
strategies, while delivering on their pre-COVID-19 and lockdown
commitments.

Introduction
Business Impact
Conclusion
ABOUT VOICE OF THE INDUSTRY
About Euromonitor’s Voice of the Industry series
About Voice of the Industry 2020 Voice of the Industry survey series
Focus and design Industry Results publication
▪Euromonitor’s Voice of the Industry series surveys Beauty and Personal Care
professionals on trends and innovations across 11 January 2020
(2019)
key industries: beauty and personal care, toys and
games, non-alcoholic drinks, packaged and fresh Digital Consumer (2019) February 2020
food, retailing, digital consumer trends, alcoholic Alcoholic Drinks (2019) February 2020
drinks, consumer foodservice, consumer health,
COVID-19 (special survey) April 2020
luxury goods, and travel and tourism.
▪Survey, design, execution and analysis were Travel May 2020
developed collaboratively across teams within Consumer Health June 2020
Euromonitor International. Typical sample sizes of
professionals in each industry range from 250 to Non-Alcoholic Drinks May 2020
1,000+. Sustainability August 2020
Retailing September 2020
COVID-19 survey fielding
Beauty and Personal Care
▪4,812 professionals across 84 counties and 18 January 2021
(2020)
industries were invited to participate in April 2020.
Digital Consumer (2020) February 2021
Interested in sharing your industry perspective in
Alcoholic Drinks (2020) February 2021
our Voice of the Industry surveys? Email
survey@euromonitor.com with your contact details. Consumer Foodservice (2020) February 2021

COVID-19 Voice of the Industry respondents by Industry

Geographic focus of COVID-19 Voice of the Industry respondents

For Further Insight please contact
Maria Coronado Robles
Senior Consultant Sustainability
maria.coronadorobles@euromonitor.com
https://www.linkedin.com/in/maria-coronado//
Alison Angus
Head of Lifestyles
alison.angus@euromonitor.com
https://www.linkedin.com/in/alison-angus/
Experience more...
This research from Euromonitor International is part of a global Learn More
strategic intelligence system that offers a complete picture of the To find out more about
commercial environment. Also available from Euromonitor Euromonitor International's
International: complete range of business
intelligence on industries,
countries and consumers please
Global Briefings visit www.euromonitor.com or
Timely, relevant insight published every month on the state of the market, contact your local Euromonitor
emerging trends and pressing industry issues. International office:
Interactive Statistical Database Bangalore +91 (80) 6774 0500
Complete market analysis at a level of detail beyond any other source. Cape Town +27 21 524 3000
Market sizes, market shares, distribution channels and forecasts. Chicago +1 312 922 1115
Dubai +971 4 372 4363
Strategy Briefings
Dusseldorf +49 211 890 0944
Executive debate on the global trends changing the consumer markets of
Hong Kong +852 3796 3604
the future.
London +44 (0) 20 7251 8024
Global Company Profiles Santiago +56 22 915 7200
The competitive positioning and strategic direction of leading companies São Paulo +55 11 2970 2150
including uniquely category-specific sales and share data. Seoul +82 2 6123 0209
Country Market Insight Reports Shanghai +86 21 6032 1088
The key drivers influencing the industry in each country; comprehensive Singapore +65 6429 0590
coverage of supply-side and demand trends and how they shape future Sydney +61 0 2 9581 9200
outlook. Tokyo +81 3 3436 2100
Vilnius +370 5 243 1577

Coronavirus Pandemic To Rewrite The Future of Businesses: July 2020

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Coronavirus Pandemic To Rewrite The Future of Businesses: July 2020

Uploaded by

Copyright:

Available Formats

CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 3

COVID-19 survey snapshot 2020

▪COVID-19 induced 2020 global recession is expected to

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 4

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 6

Businesses expect COVID-19 to be much worse than previous crises

Impact on my ▪Countries are taking significant fiscal and monetary

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 7

Impact of recent crises on the economy and consumers

▪As tempting as it may be to compare the 2020 COVID-19 crisis

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 8

Overview: corporate response to COVID-19

Does your company have

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 10

Quick business response despite lack of preparedness

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 11

Remote work and travel cancellations in place to protect employees

Restrict travel 50.6%

Adjust working hours

common safety precautions taken by those

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 12

New ways of working and communicating are key to support operations

communications caring responsibilities who work from home during

Increased remote tech capacity 48.8%

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 13

Case study: ING offers permanent work-from-home option in Spain

▪The multinational banking and financial services

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 14

Case study: Marriott International speaking from the heart

▪With 30 brands worldwide, and sales of USD54 billion in

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 15

Remote working comes with challenges and highlights digital inequality

Lack of financial resources 45.2%

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 16

The digital revolution to shape the future workspace

businesses plan to develop crisis

Improve internal communication channels 39.8%

leadership and transparency about

how they deal with the crisis,

Invest in automation and new supply chain technologies 28.3%

Expand supplier and resource pool to give greater

Invest in supply chain resiliency and risk mitigation 27.2%

Invest more in localised production 16.8% ▪However, despite recent disruptions

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 17

Overview: business impact of COVID-19

Which are the most likely effects

How do you think the

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 19

Economic slowdown and drop in consumer demand in next six months

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 20

Most companies expect 2020 sales to fall short of 2019

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 21

Case study: helping consumers to save money drives loyalty

▪UK-based Dylon (owned by global home care company

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 22

Short-term impact of COVID-19 on revenue is clear

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 23

Case study: pivoting operations to capture revenue opportunities is key

▪Sysco Corp is one of the largest foodservice distributors in

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 24

Extensive impact on company operations: new business models needed

© Euromonitor International CORONAVIRUS PANDEMIC TO REWRITE THE FUTURE OF BUSINESSES PASSPORT 25