For more than six months now, the world has witnessed the fury of the Covid-19 pandemic. As we speak, the pandemic is picking pace across the world, affecting some of the most profitable industries around us. By now, world markets and countries have understood that hardly any of the global industries is going to be spared! Data shows that more than 126 global sectors have come under risk downgrades as a result of the ongoing pandemic. This is the highest as compared to the stats collected since 2012.
All in all, the Southeast Asian markets appear to be one among the most critically affected areas, following the Western European industries and markets. Needless to say, this global pandemic has had its most negative impact on the developing economies in Southeast and Central Asia.
Industries that have faced maximum disruption during the Covid-19 pandemic
So far, we have seen the outbreak of the Covid-19 pandemic having a domino effect on Asian businesses, irrespective of their domain and area of operation.
- Transportation and Automotive
- Retail and Apparel
- Travel and Hospitality
Industries in Asia that have grown immensely during the Covid-19 pandemic
1) Digital Payments Market/E-Wallet Market
Studies show that the Asian e-wallet market has seen a commendable spike since the beginning of the Covid-19 pandemic. According to the Asian E-wallet Solution Market scenario report by Expersight, it appears that the digital payment market is one of the most robust industries for the next 5 years. The surge in smartphone penetration amongst developing markets in Asia has further strengthened the acceptable level of e-wallet solutions here. STICPAY, AliPay, PayPal, PayU, and WeChat Pay are some of the prominent e-wallet solutions that have thrived immensely in the Asian markets. In fact, the new e-wallet platform SticPay features a global user base of consumers and merchants from Asia, Europe, and beyond. With abilities like local wire transfer which is why this e-wallet solution has seen immense growth in just 2 years from its conception in 2018.
Lately, the digital payment market is estimated to be valued at over 600 billion US dollars. If reports are to be believed, these numbers are expected to cross 01 trillion US dollars by 2025. Moreover, due to expensive infrastructure expansion costs across the developed Asian countries, banks and other financial institutions are finding it easier to provide citizens with improved convenience, increased access, and decreased costs, all bundled in an easy-to-use e-wallet solution!
2) Ecommerce/Online Grocery
Data collected since the outbreak of the Covid-19 pandemic shows that the majority of people in both developing and developed Asian countries have resorted to online shopping in an attempt to adhere to the complete lockdown and social distancing norms. Both FMCG goods and fresh produce have seen more than 300 percent spike in their overall sales. It is now estimated that the eCommerce shopping and grocery industry will be one amongst Asia’s top revenue generators, with an estimated growth of 198 percent or US 295 billion dollars by 2023. Amazon, Walmart, Lazada, FairPrice, and Shopee are some of the strongest contenders so far.
Similarly, HappyFresh Malaysia is one such online shopping place that has picked up considerable business during the ongoing pandemic. Needless to mention, this online grocery store has deployed all necessary measures in place, such as mandatory face masks and gloves for the delivery staff and buyers, additional delivery slots, and cashless payment to name a few!
3) Online Entertainment Streaming
An already thriving online entertainment streaming industry has soared to new heights as a result of the ongoing Covid-19 pandemic. Data shows that an average individual’s screen time in Southeast Asian countries has doubled since January, taking the figures to over 600 million viewers over the last 7 months. Extension of mandatory lockdown and restrictions on social gathering has further spiked viewership and the subscription rates across the Asian markets. Interestingly, online streaming companies like Amazon Prime, Netflix, and Apple TV+ have garnered new heights of subscriptions and viewership since March, 2020.
For instance in India, the online video entertainment market is estimated to reach 04 billion US dollars by 2025. The availability of cheaper internet plans and online entertainment buzz around the millennial population is believed to further benefit the online entertainment streaming industry during the ongoing pandemic.
With the Covid-19 pandemic bringing in a catalyzing effect on the adoption rate of digital wallets and e-wallet solutions, market experts believe that the Southeast Asian region is the new hotspot for e-commerce and online entertainment to grow and flourish. Over the next couple of years, we can expect these to become some of the most profit-making mainstream industries in Asia!