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For which niches crisis 2020 is the best time for development

Often it is a crisis that becomes a turning point for a business. Some enterprises suffer losses and stop their own work, while others, on the contrary, increase their own market share and income. In this article we want to talk about what opportunities 2020 provided. It will be about four promising niches that have become such in part due to the crisis and quarantine.

E-commerce


After the introduction of quarantine measures in the field of online trading, there was an unprecedented surge in consumer activity. According to Google Trends, the frequency of requests related to online purchases has more than doubled compared with the average for the whole year:

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In April 2020, there was a record number of commercial queries in the Google search engine over the past 5 years: a

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striking example is the experience of the Internet trading giant Amazon. Between March and April 2020, the company increased its own staff by 100 thousand employees to cope with a huge number of new orders.

Of course, the reason for this was quarantine. He made online shopping the only way to make purchases that are not essential goods. But should we expect a recession to previous indicators after the end of quarantine measures? We believe that this will not happen.

The turnover of online commerce in the world is increasing annually. According to Data Reportal, the increase is approximately 10-12%. In the CIS countries, the percentage of the population that uses online shopping tools is much lower than in Western Europe, the USA or China, but their number is growing rapidly. Therefore, the annual growth here is much higher, it is about 20%.

After the total transition to e-commerce, many users discovered the possibilities of online trading: they overcame the barrier to the first purchase, received the first positive interaction experience. Quarantine served as a catalyst for the development of online commerce. Therefore, we believe that in 2020 this is one of the most promising niches for business.

Courier and delivery services


A similar situation has occurred with delivery services. At the end of March 2020, there was a record surge in requests related to the delivery of goods and products home:

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For example, the Ukrainian food delivery service Raketa notes that the number of orders in the first days of quarantine measures increased by a quarter, and by more than 70% in a week .

It is worth noting that such a surge occurs in conditions of a strong decline in overall consumer activity. Since many enterprises were forced to freeze due to quarantine, their employees lost their source of income. Many potential clients during quarantine prefer to minimize their own expenses until the situation normalizes.

In addition, the delivery niche is closely related to online trading, because if you need online purchases, then you need delivery. Therefore, we believe that after the complete removal of quarantine, consumer demand for these services, although it will decrease, will not return to the previous indicators.

Outsourcing services


One of the most promising niches in the field of B2B is IT outsourcing. The global transition of enterprises to digital tools for work and customer acquisition has increased the demand for services related to the development and support of information products.

Attracting IT specialists to the staff and organizing their productive work is a rather lengthy and costly process. In conditions of quarantine and a general decline in income, few companies can afford the formation of a full-fledged IT department.

A more flexible alternative is outsourced services. This is a format for remote cooperation with a team of specialists, in which the company pays only for the work performed. It allows you to quickly and without extra costs to use the services of an already formed experienced IT-department.

It is worth noting that many companies during the quarantine period already introduced a remote work format among their own employees. As our own practice has shown, productivity has not decreased. Many entrepreneurs have gained experience in the effective organization of remote work, which also increases their willingness to cooperate on outsourcing.

Online education


Demand in the niche of online education has also grown significantly. For example, according to the analytical company AppAnnie, the number of downloads of mobile applications in the Education category increased by about 2 times. Webinars, video conferences and courses in electronic format have become the main way of interaction in the field of education.

The main categories that are currently in the highest demand are:

  • language learning;
  • professional education (especially related to IT: programming, web design, Internet marketing, etc.);
  • business topics;
  • media courses;
  • psychology and personal development.

The popularity of this format over the past few years, as in the case of online trading, has been constantly increasing. Therefore, you should not assume that a sharp increase in demand will disappear without a trace as soon as quarantine ceases.

How to use available opportunities


The main channel for interacting with customers at the moment is Internet marketing. It is with its help that most companies seek to increase their own market share. In this case, the main emphasis is on advertising on the Internet, as it can give a quick result:

  • display advertising campaigns on the CCM and YAN;
  • search advertising;
  • targeted advertising on social networks;
  • direct posting on sites.

Specialists take 3-5 working days to prepare and launch an advertising campaign, and click throughs on ads can be received in the first hours after launch. The effectiveness and flexibility of such tools cannot be denied.

But you should not use only advertising. Due to its popularity, competition is increasing, which means that the cost of the attracted customer is growing and profitability is decreasing.

At the same time, Internet marketers are reducing SEO costs, because promotion in search engines does not give quick results - it takes several months for improvements to affect the site’s position and traffic. Competition in the search has fallen dramatically, and in many niches it became possible to easily occupy high positions in search results.

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