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Many industries in Romania have low recovery prospects because of Covid 19 pandemic
A quarter of companies in Romania (25%) estimated at the beginning of the year that they would have a business figure increase up to 20% in 2020. Once the coronavirus pandemic appeared, with two months of emergency state, many industries have low recovery prospects, says Gabriela Streza, business development director at Valoria Solutions consulting company.
“The year 2020 began with optimistic prospects for business in Romania. The results of Valoria study on the evolution of business foreseen by companies in Romania at the beginning of 2020 shows that 25% of companies expected business increases of 10%-20% versus 16% the previous year, 28% foresaw an increase of 5%-10% against 26% the year before and 18% said there would be an increase from 20% to 30%, as in 2019. But the Covid 19 pandemic and two months of emergency situation came over this optimistic landscape. Many industries have very delicate prospects now and the recovery will be gradual and difficult for all domains, more difficult for some than the others (for instance tourism, transport of persons, HoReCa). In the two months of emergency situation, the drop of even lack of demand in many industries made sales processes get into expectation and management teams had to evaluate the impact of the pandemic over their business and industry,” Streza said.
According to the consultant, managers must, in the perspective of a gradual return to activity on May 15, be aware of the fact that the post lockdown sale process will look differently from what they considered in past years.
“Sales teams must know the financial impact of Covid 19 in order to adjust objectives for the remaining period of 2020. That will help set up a normal outlook of the last 12 months of incomes, a key factor of evaluating business prognoses. Covid 19 set up an opportunity for sale teams to prove their real resilience capacity and the performance level. During unfavorable periods, companies with such sales teams adapt easily to the new conditions, can benefit from advantages offered by competence, even in a difficult market like the post lockdown one. However, corrective actions correlated with the change of the economic landscape are needed. Economic slowdown as a result of Covid 19 pandemic will determine buyers and creditors to be careful. Considering changes of the market or industry in which you activate an alliance or partnership can be beneficial to maximize a valuable proposal. Do not waste the crisis. Now it is time to massively improve the B2B sales process especially by digitalization and the increase of people's competences in the sales team,”Streza added.
According to Valoria study on the Barometer of digitalization in Romanian companies in 2018, about a quarter (22%) of these organizations thought they would not change in the next 305 years because of digitalization, compared to 32% a year before.
Valoria Business Solutions is a consulting, training and coaching company.