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Coronavirus: who wins and who loses this battle?
17 Mar 2020

The effects of coronavirus (COVID-19) seem endless, as well as the list of companies who’ve been suffering as a consequence of it. From tourism, to restoration and technology, all people, a little around all the world, have already felt directly or indirectly the influence of the virus, and it seems it is here to stay.

However, there are still companies who have benefit with the impact of COVID-19, which is leading to an increase of their sales. Food retail and streaming platforms are two good examples we will soon approach in detail. But let’s start with the negative impacts: who are the companies who have been losing this battle?

1.    Hershey’s

It is basically common sense that COVID-19 spreads out through human contact. Whether by saliva, sneezes or a simple touch, all public health authorities discourage completely any type of interaction that may result in a contact with the other person.

As so, Hershey’s was one of the first companies forced to make changes in its advertising strategy, by suspending its ads, which promoted the human touch through hugs and hand shakes. These ads lost their place to advertising spots related to the brand’s products, which removes it from a position where it could be contested for promoting unadvisable behaviors in this delicate period around COVID-19.

2.    KFC

Following the same reasons that led Hershey’s into removing its ads, KFC was also forced into suspending its campaign Finger Lickin’ Good. A TV ad which encouraged people to lick their fingers while eating at KFC’s restaurants was part of the campaign and had been circulating around. In the United Kingdom, more than 150 people reported the company for promoting actions that go against the worldwide public health recommendations to fight COVID-19, and from all of those recommendations, washing our hands regularly stands out. The company had already suspended the ad before all the complaints, however, their spokesman admitted that there is a possibility of the ad coming back later, when all of this is over.


Retrieved from Youtube - Ads of Brands


3.    Apple

Leaving advertising behind and entering the operating branch, Apple has seen its iPhone production being reduced due to the delays of its lens supplier, Genius Eletronic Optical, which is located in Taiwan, one of the countries affected by coronavirus. Additionally, the company decided to close all its stores outside China until march 27, as an attempt to contain the spread of the virus. All stores in China had already been closed during the time when this country was the biggest focus of the virus, and these have been reopened gradually.

Apple also made changes in its licenses policy, so it is easier for their workers to stay home taking care of sick members of the family or taking care of their children. It is important to highlight that the company already donated 15 million dollars to help fight this pandemic.

In the middle of all these complications that COVID-19 has brought to companies, there are still a few of them who manage to take out advantages of the present situation. Who are those companies who have apparently been winning against the virus?


1.    Purell

The brand Purell, from Gojo group, sells health and skin hygiene solutions, from which stands out the hand sanitizer. Not just Purell, but all the other brands that belong to this industry are currently leading the top of the most sold products around the world. We can also highlight the companies who sell breathing masks and toilet paper.

2.    Netflix

Due to the social isolation measures defined by all the governments around the world — like in Portugal —, people have been spending pretty much all of their time at home. Even though many of them continue to work (remotely), with schools closed, children and all young people spend most of their days watching movies and TV shows on streaming platforms, like Netflix.

It’s expected that the company will reach the 510 thousand mark of subscribers in the United Stated and Canada, and the 7 million mark of international subscribers. On the other hand, the company has suspended the production of series and films that were being shoot in the United States and Canada, in which is included the TV show Stranger Things, one of the most famous of this platform.

3.    Uber Eats

For the same reasons that the number of subscribers of streaming platforms is increasing, home delivery services have also been seeing their sales increase. In january, in China, there was an increase on 20% on expenses of this type of services, according to the NPD. Uber’s CEO himself have mentioned that, while their transportation services would suffer a decrease, their delivery services would benefit from all of this.


Retrieved from New In Setúbal


4.    Continente

The supermarket chain Continente is just one of the many examples we could mention in order to talk about the exponential increase on food retail sales. From Lidl, Aldi, Pingo Doce and so on, all of them have seen their stores being flooded by hundreds of people every day. What makes Continente stand out from all the rest is that they own an online store, allowing costumers to buy food from home.

Fortunately, these companies have already adopted measures to control the run to supermarkets. Some of them close their stores at 7pm (instead of 9pm) and, in all of them, there is someone controlling the number of people who goes into the store at one go.

Selling more, or selling less, the big lesson we can take out of all of this is that, in this battle, there are only losers. One way or another, every company gets affected by the pandemic of coronavirus. No matter how much money companies like Netflix or Continent may be making, there are always downsides, like the suspension of the production of films and series or the risk that employees face while working at the stores, respectively.

In this way, the Flybizz Agency makes its appeal: to all the people who have the possibility to stay home, whether working or taking care of your relatives, do it. Stay home. This is a responsibility charged to all of us and only by respecting all the recommendations from superior authorities we will get through this.




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