7 Industries Most Affected By Coronavirus
Novel Coronavirus or COVID-19 has affected so many industries out there. The first cases of Coronavirus have seen during the end of the year 2019 and within a few months, it spread in all the countries.
Within just a few months, the number of cases started to increase all over the world. As it was spreading due to getting in touch with someone, social distancing became very important. So many countries have announced lockdown due to this virus.
Almost all the businesses or industries have seen some effect of coronavirus in some way or another. Either they are affected in a positive way or in a negative way. Here is the list of industries affected the most by Coronavirus:
1. Travel & tourism
Due to Coronavirus, the first major affected industry is travel and tourism. Due to the coronavirus outbreak, so many countries are under lockdown right now. Countries that are not in lockdown, people there are avoiding traveling to different countries and cities. Instead of going out and traveling, people are staying in their homes. This has negatively affected the whole traveling industry. The situation of Airline industries is getting worse. According to the International Air Transport Association (IATA), global airlines may lose $113 billion if this virus continues to spread. This will be a huge loss for the whole travel and tourism industry.
2. Automobile sector
The automobile is one of the crucial sectors for all the countries around the world. As we have seen, due to this pandemic, people are not leaving their homes, there are no chances of getting sales in the automobile sector. This industry directly employs more than 1.7 million people. It includes designing, manufacturing, supplying parts & components, etc. This pandemic has hugely affected the sales of this sector and it also has affected employment.
3. Real estate
Real estate is another industry that has been affected the most due to Coronavirus. Due to the pandemic, various construction activities are stopped in high-alert areas. In countries with complete lockdown, this industry will affect the most. As all the construction activities have been stopped, people working in this sector will be affected the most. Due to the coronavirus, there’s a great fall in a number of real estate and property market transactions.
Insurance companies are affected positively due to Coronavirus. Due to the rise in the number of coronavirus cases, there is also a rise in certain insurance types. The demand for health and life insurance has been increased by 35% to 40% in India. Talking about travel insurance, it has seen a great fall in demand. As no one wants to travel to different countries & cities, it is obvious to see the dip in the demand for travel insurance. In short, some insurance types are facing a hike in demand, while some are facing a decline in demand.
5. Retail industry
Retail is another majorly affected industry due to the Coronavirus (COVID-19). Retail and local industry has a great contribution to any country’s economy. Reports say that it will take around 9 to 12 months for India’s retail industry to recover from this Coronavirus pandemic. People are going out just to buy essential items such as groceries, food, etc. So retail businesses that are engaged in selling non-essential items, they are facing a huge loss.
eCommerce or online shopping is in boom due to this pandemic outbreak. Due to this deadly virus, people don’t want to go out shopping for various items. eCommerce made life easy. For various essential and non-essential items, people are making use of online shopping. They can order online anything they want and they get delivered to their doorsteps. Due to this pandemic outbreak, online eCommerce stores like Amazon are making huge money.
7. Oil & gas
Oil and gas is another industry that has seen a major decline due to the Coronavirus outbreak. This pandemic outbreak resulted in a huge decline in various oil and petroleum products. As people are not willing to go out and travel to different places, it is obvious to see a decline in demand for oil and gas. Due to this virus, there’s a great decline in the usage of various vehicles starting from bikes to airplanes.
So these are the top seven industries that affected the most due to the Coronavirus outbreak. This pandemic has affected almost all the businesses and industries.
As people are staying at their homes and not traveling outside, industries such as oil & gas, travel & tourism, retail, and automobile have seen a huge decline. On the flip side, industries such as eCommerce and life & health insurance have seen an increase in demand.