When COVID hit, the quarantine and ensuing issues did a lot of damage to many industries. The hospitality industry was probably one of the hardest hit, including many sub-industries that felt the crunch.
One of the trends we predicted was that many industries that use logistics services would start making a comeback. That has happened to some degree, but we think it’s happening even slower than many experts thought this time last year.
According to this article from McKinsey, it could take five years for some of the most-impacted industries to get back to their 2019 levels of productivity and economic contributions.
“If the economic recovery from COVID-19 is muted (one of two scenarios executives view as most likely), some industries will take years to get back to their pre-pandemic normal. Many in those industries are small businesses, and their recovery may take even longer, if at all,” the article reads.
The logistics industry suffered differently from the pandemic in that the needs skyrocketed, which ended up exposing issues in the sector that are in the process of being corrected. While there was increased demand in some aspects, there was a drastic drop in other logistics needs, and it is those that we are hoping to see return.
For example, trade shows. You might be surprised that logistics services are necessary for trade shows! Vendors will often ship their large booth setups and the logistics provider, such as On Time Logistics, will pick it up and deliver everything to the event venue. Some providers offer white glove delivery, which includes helping set up the booth space.
As USA Today reported earlier this year, business conventions, including trade and vendors shows, are making a comeback. This is also helpful to the hospitality industry, which offers hotel space, meeting space, catering, and even transportation for the conventions.
“In pre-COVID times, business events – from small academic conferences to giant trade shows like CES – routinely attracted more than 1 billion participants each year. The pandemic brought those global gatherings to a sudden halt, emptying convention centers and shuttering hotels,” the article reads. “Still, it could be several years – if ever – before conferences attract the crowds they did before the pandemic. Many countries and businesses are still restricting travel, pinching attendance at big events like the Canton Trade Fair in China, which required 26,000 vendors to pitch their wares virtually in April.”
The pandemic continues to impact the manufacturing industry, and, unfortunately, that doesn’t appear to be resolving soon. In this article from Advanced Tech, COVID-related supply chain problems include rising costs, delivery delays, and many other uncertainties.
As we all recover from the pandemic, we at On Time Logistics focus on our core values that drive how we do business. We would love to help you and your company navigate the new normal by providing high-quality final mile delivery and courier services in Arkansas, Oklahoma, Kansas, and Missouri!