COVID-19 has undeniably upended the global economy as it continues to batter businesses at scale. Five months into the pandemic, certain industries have accentuated their loss as the pandemic swiftly result in an unprecedented steepest downfall due to a massive decline in demand and stringent global restrictions. Recently, the United Nations has just announced that the global economy is expected to plunge by 5.2% this year, making it one of the deepest recessions faced since World War II.
Economic conditions will cease to recover from its losses if restrictions will remain in place without supplementing business practices or guidelines that will secure the safety of the consumers and businesses on a large scale. As most industries find new ways to adapt to what’s perceived to be the “new normal”, entrepreneurs express their budding optimism over the expected economic growth in the next few months.
Indubitably, it’s been a challenging period for the aftermarket industry to cope with the decline in market demand given the consumer’s immobility the past months. However, for Mineral Circles Bearings, as one of the leading industry leaders and pacesetters in the aftermarket industry, is zooming in on the opportunities that could substantially benefit the industry at scale.
“Reduced in demand for car or truck repair, parts replacement, maintenance checks, and coupled by the abrupt supply chain abruption has somehow taken its toll in the aftermarket and import/export industries,” Hassanein Alwan, Mineral Circles’ managing director mentioned when asked how global restrictions stirred the whole business value chain.
“Now restrictions are slowly abating and business transformation is imperative, the market is set to bud much sooner than expected. This is the perfect time for organisations to recalibrate their operations and veer away from mature market practices,” he optimistically added when asked about what to expect from the “new normal” for businesses worldwide.
Alwan cited certain accurate instances and opportunities how can companies re-align their priorities to qualify as quintessential partners to hedge further possible business fallouts:
- Digitalisation will be imperative– Mckinsey’s recent data report showed that businesses have leaped five years forward in just 8 weeks in terms of digital adoption. This could be an awakening call that digital transformation is no longer a choice but, rather a business imperative. Just in time when people are at the comfort of their home and mainly engaged through digital platforms. Alwan proudly highlighted how Mineral Circles has started to leverage this opportunity to strengthen its digital presence and expand its audience reach through technical webinars, campaigns, and organizational updates.
- Private vehicles will supersede public transportation– World Economic Forum has seen a staggering 75-85% decline in the demand for public transportation in big, bustling cities such as Washington, Copenhagen and Buenos Aires. The fear among consumers is expected to uncontrollably spread which could substantially affect the customer’s choice of transportation on a global scale. For the next months, consumers would most likely resort to utilizing personal cars rather than public transportation until health security becomes much more stabilized. A decline in demand for public transportation could herald a surge in demand for more vehicles. The proliferation of private vehicles on the road can potentially result in an uptick on maintenance and spare parts demand which is deemed to be favorable for our aftermarket players.
- Fortifying customer relationship is the name of the game – At this point, gaining a new customer is more expensive than maintaining one. It seems that it’s now or never to feel your customer they’re appreciated and valued especially when market players are on a race to grab potential sales. Alwan mentioned once again how Mineral Circles’ one of business values revolves around maintaining and nurturing a healthy relationship with its consumers through effective communication and top-tier professional services.
- Aftermarket Service sees a potential growth– As part of the company’s service and product diversification initiative to remain relevant and active in the business market, it’s obligatory to offer additional services linked to your company’s core strength. Mineral Circles’ sees that the current global situation necessitates businesses to offer new services that provide most value to the customers. Its Industrial Division has highlighted how the whole team has doubled its efforts to provide sustainable and reliable technical services, despite the restrictions. This goal has been founded last 2019 as additional aftermarket service it can provide to its customers on top of its wealth of knowledge in the bearing industry.
The aftermarket industry sees a sharp convergence of tailwinds in the months to come with the help of technological innovation and consistent digital efforts. Now or never, organizations must vet their long-term plan and supplant mature market practices that hinder the holistic growth of the organization. It’s implied that business consequential success and recovery will mainly rely on the foundation of the organization’s strategic approach towards effective and sustainable planning, especially during these dire times.
How about you? What are your valuable inputs about the future of the aftermarket industry post-COVID-19? We would love to hear your thoughts! Talk to us through email@example.com.