Covid-19 Has Accelerated Trends That Were Happening Anyway

Now that the Government have announced the acceleration of reopening plans for the Irish economy following months of lockdown as a result of Covid-19 and we all try to plan for a return to some sort of normal, it is timely to reflect on some of the trends that were happening anyway but which have been accelerated as a direct result of the pandemic.

Most noticeably, in the retail sector of the economy, the shift towards online retailing had slowly being making its presence felt over the last number of years. However, only about 13% of total retail sales in the Irish economy occurred online and while this proportion was slowly increasing year-on-year, the reality is that it was particular cohorts of the population that were shopping online, most notably the millennial generation. There were also certain distinct categories of goods and services that were more likely to trade online. Over the last number of months, a broader cohort of the population have embraced online retailing out of necessity and many of these are now converts to the world of multichannel. Also, many goods and services that heretofore were rarely sold online have experienced an increase in sales despite physical stores being closed. Many retailers and in particular restaurants who heretofore hadn't developed their online offer were forced into action over recent months in an effort to keep their businesses afloat to some degree during lockdown. Plans to explore multichannel, which for whatever reason had been put on the long finger, were suddenly dusted down and implemented.

In the academic world, over recent years a small number of schools and colleges throughout the country were exploring the possibilities of online learning to supplement their regular regimes. In the last few months, every school in the country has had to move online using a plethora of different systems to reach out to pupils during lockdown. Those institutions which had already embraced technology were able to adapt easily to the new reality of teaching remotely. Even institutions who heretofore had resisted any move towards online learning have now seen the possibilities that technology brings and are now open to incorporating some element of remote learning into their curriculum's going forward.

In the world of offices, in line with advances in technology, we have seen huge change in the last decade in terms of some company's willingness to allow staff to work remotely and flexibly. This has been particularly evident in the technology sector and with multinational employers but less so with the public sector and more traditional industries. This is clearly another example of a trend that was slowing happening anyway. Indeed one of the items in the Government's draft Programme for Government, which was released pre-Covid was a stipulation that all public sector employees be allowed to work at least 20% from home going forward. However, a willingness to embrace remote working is a trend that has clearly been accelerated as a result of the pandemic. While there is no doubt that the traditional office still has a future, it is clear that Covid-19 has accelerated a trend in the office market whereby occupiers who heretofore didn't believe in the concept will have seen the appeal of allowing staff to work remotely and flexibly at least part of the time going forward.

The concept of wellness is one that was becoming increasingly topical in all aspects of life in recent years and is one that is going to become even more important from this point forward as health (physical and mental) becomes ever more important in the new paradigm. This is another trend that was happening anyway but which has been accelerated by Covid-19.